Global poultry markets are benefitting from a case of restricted supply and strong demand, particularly from the foodservice sector, as most countries reopen, said the Rabobank report.

Rabobank said this is especially the case for countries in the Americas where industry profitability has improved. The exception to the global recovery story is Southeast Asia where Covid-19 continues to challenge local conditions.

According to a summary of the report, the US, Mexico, Russia and Japan face particularly strong markets with good profitability for local producers.

Supply growth will be restricted in many regions due to labour challenges, especially in the US, the UK, and Thailand.

Ongoing avian influenza outbreaks and high feed prices continue to impact global supply.

Rabobank analysts expect feed prices to remain relatively flat. Soymeal prices have been dropping due to rationalising of demand and a more oil-focused approach among crushers.

The report concluded by pointing out strong recovery in global trade with trade volumes at historic highs. The big winners in terms of trade were Brazil and the US. Exports from Europe, Russia and Ukraine dropped due to avian influenza and a slowdown in exports to China.