Finding and Analysis of Opportunities in Export and Problems Faced by the Australian Chicken Meat Industry

This research project focuses on analyzing the opportunities and problems faced by the Australian Chicken Meat Industry in export. It explores the reasons behind the high feed costs and provides recommendations to reduce them. The study aims to increase the profitability and production of chicken meat in Australia.

RESEARCH PROJECT

TABLE OF CONTENTS
TOPIC..............................................................................................................................................1
INTRODUCTION...........................................................................................................................1
LITERATURE REVIEW................................................................................................................3
RESEARCH METHODOLOGY....................................................................................................7
ANALYSIS AND RESULTS........................................................................................................12
RECOMMENDATIONS TO AUSTRALIAN CHICKEN MEAT FEDERATION.....................19
CONCLUSION..............................................................................................................................19
REREFENCES..............................................................................................................................21

TOPIC
Finding and analysis of opportunities in export and problems faced by the Australian
Chicken Meat Industry
INTRODUCTION
Overview about the Australian Chicken Meat Industry and its market trends.
Australia is well known for its land and agriculture. Chicken meat industry of Australia
plays a vital role in agriculture industry. In fact, chicken meat industry of Australia is well
known and most effective in the world. It is being exported to various countries like South
Africa, Korea, japan and many more. But past few years’ drought situation has impacted
agricultural production drastically (Kanakri and et. al., 2017). There has always been shortage of
grains due to this. Shortage of grains has increased overall price of feeding for Australian poultry
producers. Shortage of grains, increasing price of agriculture products is being focused upon but
the way in which this situation is impacting Australian poultry producers is not being focused
upon. Due to this high feeing cost for Australian chicken meat producers, their profitability is
also getting impacted because of which overall agriculture industry is getting impacted. It has
become important to focus upon reducing feeing cost for Australian Chicken Meat producers so
that profitability for chicken meat production can be increased and negative impact of this
condition can also be reduced.
Aim and objectives of the research
Aim:
To analyse opportunities in export and problems faced by the Australian Chicken Meat
Industry.
Objectives:
Objectives of this research project ae as follows:
 To analyse actual reason behind the high feed cost for the Australian poultry producers.
 To identify opportunities and constraints be found in the Australian Chicken Meat Industry.
 To evaluate parameters that influence export ratio in Australian chicken meat.
 To evaluate export data help in increasing the Australian chicken meat production.
 To recommend ways though which feed price for Australian meat industry can be reduced
Research Questions
Research questions focused upon in this research project are as follows:
1

 What is the actual reason behind the high feed cost for the Australian poultry producers?
 In what ways can the opportunities and constraints be found in the Australian Chicken Meat
Industry?
 How can the export data help in increasing the Australian chicken meat production?
Need of the study
It is important to focus upon reasons and market trends because of which feeding cost for
Australian chicken meat industry is increasing continuously because this industry plays a vital
role in Agriculture industry and also contributes in overall economy of the country. Increasing
price of grains has increased overall feeding cost for Australian chicken meat producers due to
which not only their profitability has been impacted but their overall production has also been
impacted. Australia has always been largest producers of chicken and meat in the world. But this
high feed price is reducing its overall production (Ahiwe and et. al., 2018). As a result, its export
ration has also been influenced. Some of the lower level poultry producers have been impacted
majorly and as a result their production of chicken and meat has reduced. This study will not
only help in identifying reason behind high feeding cost and reducing export rates but will also
help in provision of suggestion though which feeding cost can be reduced and export rate can be
increased for profitability.
2

LITERATURE REVIEW
Overview
Literature review is a kind of narrative review of scholar articles. It helps the researcher
in gaining knowledge about previous studies that have been conducted previously in this sector.
It further helps in developing or building a base for the research so that main research questions
of the research can be answered easily and accurately. This this literature reviews critical
analysis of existing literature or previous studies done in this sector will be reviewed.
Theme 1 Reason behind the high feed cost for the Australian poultry producers
According to the view of King, Osmond-McLeod and Duffy, (2018) High input cost is
one of the main factor which is required to be focused upon by industries as it can directly
impact or limit growth of the market. Chicken and meat production is one of the major part of
agriculture industry of Australia. This industry is directly impacted by weather conditions,
especially rainfall. Insufficient rainfall results in shortage of water because of gains production is
impacted directly which further increases overall price of grains. Not only this shortage of grains
also increases its transportation cost because of which price of final grains suppled to chicken
and meat industry producers also increases drastically. Increasing price of grains directly results
in increasing price of feeing for chicken and meat producers. King, Osmond-McLeod and Duffy,
(2018) further explains that, increasing feeding cost of chicken and meat producers impacts their
production as well. It can also be said that production of chicken and meat is supressed become
of which their profitability is also impacted directly. In order to increase production farmers are
also focusing upon adoption of new techniques and technologies but adoption of these new
technologies has further enhanced overall feeding cost. Either ways increase in feeding cost
though high price of grains or adoption of new and advance technology has impacted production
of chicken and meat.
As per the view of Wong and et. al., (2017) poultry meat export and trading helps in
producers to enhance their overall profitability. That can further help in increasing overall
production of poultry meat. But high feeding cost works as a barrier and impact production of
poultry meat because of which lower amount of chicken meat is exported or traded. Another
reason because of which feeding cost for Australian poultry meat producers is emerging diseases
pandemic in Australia. Due to this emerging disease overall quality of chicken meat has also
been impacted. As a result, it has become important for its producers to use high quality grains
3

so that they can protect their poultry meat from this emerging disease and overall quality of meat
can be maintained. This reason has also impacted feeding cost for Australian poultry meat
producers.
Theme 2 Opportunities and constraints be found in the Australian Chicken Meat Industry
There are many kinds of opportunities and constraints that are impacting Australian
chicken meat industry both positively and negatively. According to the view of Mazimpaka and
et. al., (2018) there are various opportunities that can be focused upon and grabbed by the
chicken meat producers for increasing production and profit percentage as well. Australian
chicken meat industry is famous globally for the quality of its meat and because of which it is
exported globally. Focusing upon maintaining or enhancing overall quality of chicken meat and
exporting it globally is one of the main opportunities that can be focused upon by producers of
chicken meat. Exporting poultry meat Internationally outside Australia will not only helps in
increasing its profit percentage but will also help in increasing its production and supply.
Another opportunity for Australian chicken meat industry can be found because of advancement
in technology. Chicken meat producers can focus upon adopting and implementing advance
technology within their production with the help of which grains can be imported in cheap price
maintaining Australia's biosecurity reputation. This will not only help in reducing feeding price
but will also help producers of poultry meat to import high quality of grains so that overall
quality of chicken meat can be maintained. Additionally, López-Andrés and et. al., (2018)
explains that, Adoption of advance technology can help producers to import required feeding
grains and process it at their end to that its high quality is maintained and it will further help
them in reducing overall cost associated with feeding. Both the opportunities will not only help
in reduction of feeding cost and increasing exportation, but it will also help Australian chicken
meat industry producers to develop and maintain their relationship with their customers at
international level.
However, according to the report in article Farmers face soaring feed costs as grain
stocks drain away, (2020), There are many kinds of constraints that can impact Australian
chicken meat industry. One of the main constraints is competition of chicken meat with other
meat sectors for grains. It is one of the main constraints because due to high demand of grains for
feeding for chicken meat and for other meat sector there is scarcity of grains at domestic level.
Due to drought situation production of grains at domestic level in Australia had been impacted
4

drastically. High demand and low production have resulted in increase in overall selling price of
grains. It is an important and bigger constraint which is faced by Australian chicken meat
industry because of which overall production of poultry meat has been impacted. Another
constraint faced by chicken meat producers is export opportunity. There is no doubt that export
opportunity of chicken meat helps producers in enhancing overall profitability but due to lower
production it becomes difficult for them to export chicken meat after fulfilling domestic
requirement of chicken meat. Increase in domestic demand of chicken meat has increased
pressure upon meat producers to focus upon enhancing their production so that they can fulfill
domestic requirement as well as can export outside Australia for generation of more profit. Due
to this increased demand and high competition with other sectors of meat it becomes important
for chicken meat producers to buy high price grains for high quality production of chicken meat.
Theme 3 Parameters that influence export ratio in Australian chicken meat
There are many kinds of parameters that influence export ration in Australian chicken
meat industry. As per the view of Selle and et. al., (2018) it is already known that Australian
chicken meat is heavily exported outside Australia. There are various parameters that affect or
impact export ration of chicken meat. One of the main parameters based on which export ration
is impacted is by domestic and foreign demand of chicken meat. In past years demand of chicken
meat as compared to red meat has increasing at domestic level in Australia. This increase in
domestic demand is basically because of hike in price of other meat products and in past few
years taste and preference of consumers as also changed. Demand of red meat and other meat
products has decreased drastically but demand of poultry meat had remained constant. These are
some of the main factors because of which domestic demand has increased due to which export
ration of Australian chicken meat has been impacted. This increasing domestic demand has
lowered focus of chicken meat producers towards foreign export of chicken meat. Another
parameter because of which export ratio is influenced is drought situation in Australia in past
few years. Drought situation has impacted overall quality of grains used for feeding chicken
because of which further overall quality of chicken meat has also been impacted. This
degradation in quality of meat has also result in lowering supply of Australian chicken meat.
Selle and et. al., (2018) elaborates that, drought situation and competition among other sectors
has increased feeding prices a result production of chicken meat has reduced. All the three
5

parameters have influenced export rate as due to lower production it becomes difficult for
producers to fulfill both domestic and international demand of high- quality chicken meat.
According to the view of Truong, Liu and Selle, (2016) current situation of covid-19 is
another parameter because of which barrier to trade has increased due to which export rates has
been impacted directly. Most of the countries that are part of EU, United states have high tariff
rate quotas on importing meat from Australia. Due to erase in free trade agreement between
Australia and United States. This tariff rate quotas of EU and US has resulted in reduction of
tariff barriers as impacted export rate of Australian chicken meat positively. As chicken meat
from Australia can be imported at reduced tariff rates and reduction of over tariff quota to zero in
US has resulted in increase in chances of exporting chicken meat from Australia to other
countries. All the factors have simultaneously resulted in influencing export rates of Australian
chicken meat both positively and negatively. It is important for poultry meat producers to focus
upon all the factors so that production and profitability though chicken meat production can be
increased, and impact of high feeding cost price can be reduced.
Theme 4 Ways in which export data help in increasing the Australian chicken meat production
Export data can be used by Australian chicken meat producers for enhancement of
production of poultry meat in a positive manner. As per the view of Erian and Phillips, (2017)
export data can directly impact productivity level of products in a positive manner. Analysis of
export data can help producers to understand countries where chicken meat is consumption is
much more or countries here tariff rates are quite lower. This analysis will help the producers to
understand how much quantity of chicken meat they need to produce and how much quantity of
meat will be exported outside Australia to other countries. This data analysis will also help them
in analysing profit percentage that can be generated from exporting chicken meat to other
countries. Erian and Phillips, (2017) elaborates that, it is extremely important or poultry meat
producers to analyse and understand this data so that they can export their meat products
accordingly both domestically and internationally. According to the analysis of export data of
Australian chicken meat, it can be said that per capita consumption of chicken meat in countries
of South East Asia is quite high such as in countries like Malaysia, Philippines, Thailand and
many more. As per the per capita consumption it can be said that consumption of chicken meat is
high in South- East Asia countries. But if tariff rate quota of export of Australian chicken meat is
compared then it can be aid that due to free trade agreement tariff rate quota of countries of EU
6

and United states is quite lower, so exporting chicken meat to these countries can be quite
cheaper. This data can be used by chicken meat producers of Australia so that they can focus
upon production of meat accordingly and export it to other countries for generation of more
profit.
According to the view of Malek, Umberger and Rolfe, (2018) analysis of export data can
provide a brief view upon countries that import high quality chicken meat produced in Australia
in large quantity. Australia has already allowed exporting chicken meat in some countries; this
data can help producers of chicken meat to other countries for enhancement of production of
chicken meat accordingly. Not only this, analysis of tis export data can also help producers in
identifying level of competition in exporting chicken meat to other countries so that level of
export can be determined. Analysis of competition in exporting poultry meat can not only help
them in analysing export level but it can also help them in identifying quality level and product
price which is required to be maintained by them in order to increasing exporting level, gain
competitive advantage. This will further help them in increasing profit percentage and reduce
impact of increasing feeding cost. So, it can be said that there are variety of ways in which export
data can help in increasing chicken meat production.
RESEARCH METHODOLOGY
Research approach
It is a kind of procedure or plan for conducting a research. It helps in identifying ways in
which data can be collected, analysed and interpretated. There are three different types of
research approaches. First approach is inductive approach in which theories and observations are
proposed at the end of research process because of observations (Dodds and Hess, 2020). This
approach is adopted when there is requirement of generation of untested conclusions. In this data
collected is used for exploration of a phenomenon so that main research questions can be
identified. Second type of approach is deductive research approach in which hypothesis is
developed and tested or reaching to a conclusion. In this approach falsification or verification of
theories is done based on hypothesis developed and tested. The pre-existing theories are
describing the brief overview of research study, identifying the suitable information or data in
future expansion.
7

Last, type of research approach is abductive research approach. This approach is mostly
used for incomplete observations for generation of testable conclusion. All the three type of
research are used as per the need and requirement of the study. For this dissertation, inductive
research approach has been used because in this secondary data has been collected from previous
research conducted in this area. This approach is quite appropriate and can be used for answering
research question in a much appropriate manner.
Research Philosophy
It is a belief about a way in which data about a topic or phenomenon should be gathered,
analysed, and used. There are two main types of research philosophies. First type of research
philosophy is interpretivism research philosophy. In this philosophy, elements of a study are
interpretated and integrated as per human interest into the study. It is mostly used in qualitative
studies. Next is, positivism research philosophy (Holopainen and et. al., 2020). In this
philosophy, only factual knowledge gained through observations is considered. In this
researcher’s role is limited to data collection and interpretation. It is mostly used for both
qualitative and quantitative studies. Another type of research philosophy is pragmatism. This
philosophy says that a concept is relevant only if it is supported by action. It can also be used for
both qualitative and quantitative studies. It is important or researcher to select appropriate
research philosophy as it helps in providing a way in which research can be conducted. For this
research, researcher has focused upon using positivism research philosophy as this philosophy
can be used for analysing factual knowledge gained though secondary data collected from
various sources and from analysis of quantitative data collected from government websites and
from many other sources.
Research design
Research design is a set of methods and procedures that are used for collection and
analysis of variables that have been specified within a research. To conduct a research in a
proper and appropriate manner it is important to identify research design focused upon by the
researcher. There are three main types of research designs (Perna, 2020). First is exploratory
research design that focuses upon exploring specific aspects of research area. This design is used
for identifying final and conclusive answers to main research questions. It is also used for
exploring specific areas of research paper. Another is descriptive research design in which
specific elements, phenomenon or causes of research area are described in a proper and
8

appropriate manner. Next is casual research design which is used within a research paper for
studying main cause and effect relationship in a paper manner. This design is used for any kind
of study but more specifically for analysis of primary quantitative data. For this study,
exploratory research design has been used as it is one of the most appropriate design that can be
used for exploring specific elements of research area. Another reason because of which
exploratory research deign has been used is because it is one of the most suitable design that can
be used for analysis of secondary data collected by the researcher for answering main research
questions in a proper and appropriate manner.
Data collection
Data collection is one of the most important part of any study that helps in answering
main research questions and achieving main aim of the study. It is a process though which
important information can be collected from different sources for answering research problem
(Stoycheva and Favero, 2020). There are two main types of data and each of them have different
methods though which data can be collected. First type of data is primary data which is collected
by the researcher for the first time. There are many kinds of methods though which primary data
can be collected such as interview, survey, observations, focus groups etc. Another type of data
is secondary data. It is a kind of data that has already been published. This type of data can be
collected from different sources such as books, Journals, articles, government official websites,
magazines. For this this study, researcher has focused upon collection of secondary data from
different sources. Secondary data can be collected and analysed for any kind of research paper. It
is basically used for building a base for research and for increasing validity and reliability of the
paper. For this dissertation, secondary data has been collected by the researcher in which past
research papers from online databases have been collected. other than this for quantitative
analysis data from government websites like Australian chicken meat federation has been
collected for comparison of export data of chicken meat and for identification of opportunities
and ways in which market of chicken meat can be expanded can also be identified.
Literature review strategy
For conducting a secondary research, it is important for researcher in development of
literature search strategy. Literature search strategy for this secondary research was done in
following steps:
9

 First, identification of main key words that can be used for searching previous research
papers related to min research topic were identified (Al-Ababneh, 2020). Main key words
used for searching already published research paper are- Australian poultry producers,
Australian chicken meat, high feeding price, export data, opportunities, constraints.
 Then identification of offline and online databases though which secondary was required to
be collected was identified. For this research paper, only online databases like google scholar
was used for searching relevant already published research papers were focused upon. Other
than this, data from online government websites were also used for comparison of numerical
data.
 After searching for secondary data, as per the inclusion ad exclusion criteria, selection of
research studies was done. Studies that did not fulfill inclusion criteria were excluded from
the study.
 Lastly data collected were excluded as per their publishing date and sources from which they
were collected. For example, data collected from Australian Chicken Meat Federation
website was included as this data was from authentic source. Research papers published more
than 5 years ago were excluded from the study.
Inclusion and exclusion criteria
For any secondary study it is extremely important to identify inclusion and exclusion
criteria based on which secondary data is collected for analysis and interpretation. Selection of
data based on inclusion and exclusion criteria helps in increasing reliability and validity of the
data (Khairuldin and et. al., 2020). Inclusion and exclusion criteria for selection of secondary
data for this dissertation are:
Inclusion: All the research papers that consist of two or more than two key words were selected
for the study. Research papers that were published within past five years were only selected. All
the research papers that were published in English language were only used. Data available or
collected from government websites were only used like from Australian Chicken Meat
Federation website.
Exclusion: All the research papers published before 2016 were excluded. Other than this, papers
published in languages other than English were also excluded from the study. Data available on
websites that were not authentic or were not authorized by the government were also excluded
from the study.
10

Data Analysis
Data analysis can be defined as a process though which cleaning and transforming of data
for discovering useful and important information for answering main research questions or
reaching to the conclusion is done (Khairuldin and et. al., 2020). It is another important aspect of
a research paper. There are two main types of data analysis methods: thematic data analysis
method and statistical data analysis method. Thematic data analysis method is a kind of method
in which common themes that come up repeatedly from data collected is identified. This method
can be used for both primary and secondary data. Whereas statistical data analysis method is a
kind of method in which statistical methods are used for analysis of numerical data. For this
dissertation, thematic data analysis method has been used for analysis of secondary data.
The investigator is mainly focused on the existing theories in previous studies, which always
helps for gathering relevant information. For purpose data analysis, focused on the theories about
the Australian Chicken meat industry, feeding price for Australian poultry producers is high,
Constraints faced by producers of Australian Chicken Meat. All these information are collecting
on the basis of existing theories.
11

ANALYSIS AND RESULTS
Overview of Australian Chicken meat industry
According to the literature review Australia is well known for its agriculture. Chicken
meat of Australia is exported globally to various countries. Some of the countries have even
certification agreement for allowing export of chicken meat from Australia to their countries.
There are various countries like South Africa, Korea, japan etc. import chicken meat from
Australia (International trade of Australian chicken meat, 2020). But in past few years Australian
poultry meat production has been impacted in many ways as a result amount of chicken meat
exported to other countries has also been influenced. One of the main reasons identified from
literature review analysis is increase in feeding price. Increase in feeding price has impacted
production of chicken meat production in Australia. Due to increasing competition in production
of poultry meat and other variety of meat production, and shortage of grains price of grains used
for feeding has increased drastically. From the literature review analysis, it has also been
identified that due to drought situation in Australia, production of grains has been impacted.
Increasing competition between chicken meat and other variety of meat production has increased
demand of grains for feeding has also increased which has further resulted in increasing feeding
price. It has also been identified that in past few years demand of chicken meat as compared to
other variety of meat has also increased as it is much cheaper as compared to other variety of
meat. As a result, in past few years domestic demand of chicken meat has increased due to which
pressure upon chicken meat producers has increased. This situation has increased challenge for
poultry meat producers as increasing feeding cost has reduce profit margin.
12

Figure 1 retail price of chicken as compared to price of other variety of meat
(Source: Australian Chicken meat industry facts and figures, 2020)
The Australian chicken industry has been committed towards working condition of business in
order to deliver the research and development outcome. The various partners with focused on the
advisory panel to consider research priorities and make investment decision every years in
business. The program has founded by statutory levies paid by chicken meat industry
participants. Thus, the revenue is matched by Australia at up to 0.5%. on the other hand,
Australia is one of essential part in term of poultry business and always conduct the chicken meal
program or event. Afterwards, there are large participate establish collaboration with different
rural as well as development corporation.
Reason because of which feeding price for Australian poultry producers is high
The Australian poultry meat sector has been rapidly describing in detailed manner.
Hence, only changes and current situation that will be discussed in the briefly manner. The
Poultry meat refer to the various meat of chicken, fowl, duck, turkey and other poultry. It is one
of the most predominant component, making up to 90% of total poultry meat (Scott, Hernandez-
Jover and Toribio, 2020). For this reason and also because detailed information that help for
identifying the poultry meats, emphasis in the chicken meat.
The poultry production is based on the defensive industry, it could be considered one of
safe environment so as increase demand in marketplace. On the other hand, it directly affecting
on the chicken meat that would be unlikely soften in decline economy condition. The Australian
and New Zealand poultry production has become high barrier to entry. At some point, it operate
13

in the strict quarantine regime, which has restrict to import of meat because of harmful foreign
pathogen into Australian marketplace.
The Feeding price for Australian poultry producers is high, projected to expand by nearly
2%- 3% of 302 million metric. The primary reason is to grow demand of meat production, which
for first time in history exceeded approximately 100 million. Sometimes, it can be reached to the
record 10 million in 2011. There will much growth come from developing nation such as
Australia, while developing the countries may identify the lower output. The global poultry
production is expected to high 1.7% by end of 2012.
In below graph it is cleat that in past few years consumption of chicken meat in Australia has
been increasing continuously. So, it one of the main opportunities that can be focused upon by
Australian chicken meat producers.
Australia nchicken meat producers can also focus upon exporting chicken meat because value of
chicken meat in international market is quite high ascompared to its olume i.e. people readily pay
high price for low volume of chicken meat internationally. Itcan be clearly explained in the
below graph.
14

Opportunities for Australian Chicken Meat Industry
The Australian chicken meat industry is one of the most efficient into global world. It
always targeted the high impact RD&E project. The agriculture chicken meat program will
support for targeting the large number of consumers. In this way, it gained more benefit,
advantage to maintain the position in marketplace. The various components of chicken meat
program is rapidly increasing both production and sales. In order to deliver safe food and good
animal welfare result or outcome. Another way, it is continuously increasing great opportunities
for poultry industry in term of growth and development. The Australian chicken meat industry is
worth $2.78 billion of production in 2019-2020 (Habib, Coles and Goodchild, 2020). Sometimes,
it compared to 2.72 billion in 2018- 2019. The growth opportunities are in production and
demand for free range chicken meat, which has been particularly strong over past five years.
The industry has become established the strong presence in both regional as well as rural
communities. It accounts for 0.46% of employment across Australia and also directly employing
about 58,000 people. The chicken meat industry has purchased around 5% of all grain growth in
Australia. In this way, it can be identified that industry gain many opportunities to capitalise on
the chicken meat and further reduce its current environment impacts, emission.
Constraints faced by producers of Australian Chicken Meat
The producer of Australian chicken meat has continued the faced the constraint regarding
profitability, quality assurance and sustainable resources. These are considered the most
important contribution of Australian check meat industry.
15

The constraint regarding paster-based production which has apparently greater ability of
Australia to capture the advantage, benefits of new technologies. These will help for reducing
price/cost and generate accurate result or outcome (HEWSON, LIU and Et.al., 2020). On the
other hand, Australian based chicken meat industry also faced the constraint in maintaining
access to natural resources that mainly used in production.
The producer of Australian chicken meat industry which has main concerned about food
contamination by pathogen. Supplying this demand for safe food item which require to maintain
commitment and transparency by all different parties involved in the production. Nowadays,
potential consumers are demanding in context of price, quality and competition in global
marketplace. in this way, it is very difficult for producer to maintain the better quality of
services. Various exporters must consistently supply high quality items so that they can easily
satisfied the potential client.
Profitability is the most challenge confronting the producer in Australia during 20th
century. There are only 27% of Australian producer recorded as business profit in 1999
respectively (Lascelles, 2019). In this way, there are large number of variation identified in term
of profitability in regards of business size. 25% of Australian chicken meat industry have been
generated the greater return but reduced actual unit costs/price of production. It has remained in
business as aspects of trade, they have completely declined.
Actual reason for the low export ratio in Australian chicken meat, Export data over year
The reason for low export ratio in Australian chicken meat production because of
increasing the pressure to quantify and improve their current environment performance over
time. It has continuously increasing the production to meet the expectation level of potential
consumers (Habib, Coles and Goodchild, 2020). In Australia, Feed production was considered
the largest contributor to impact on different categories, also representing the variation between
regions. At some point of view, it will lower the ratio of export into another countries. While the
ratio of export was lower in South Australia.
The projected growth in the chicken meat production over next 5years is largely in
response to increase as per domestic demand but compared with other countries. It can be
exported the low ratio and retail price of chicken meat remain below price of alternative meats.
The domestic market is projected to continue account for 95% of check meat production. Export
will comprise low value for which there is limited domestic demand in marketplace.
16

Figure 2 Chicken meat consumption
(Source: Meat consumption in selected countries. 2020)
The export account for less than 4-5% as compare with australian chicken meat production.
There are 90% of export comprise with their offal and frozen cut such as liver, feet and kidneys.
In this way, these are attract a higher price in export market than australia. As per evidence, The
exports has forecast to increase by 16% in 2013- 2014 (Habib, Coles and Goodchild, 2020). The
overall forecast growth in domestic production will be increasing in supply of frozen cuts. The
demand of chicken items are expected to increase in other countries such as South Asia.
In additional, the reason for the low export ratio in Australian chicken meat, when feeding price
of chicken meat are becoming higher. That’s why, it directly impacts on the overall ratio in term
of exportation. At temporary level, it has becoming higher processing distribution. As a result in
lower production for other countries such as US, Canada. Meanwhile, depressed the domestic
chicken meat and lower prices in Australian but it causes of lower export ratio in other nations.
In 2020, the production is remain higher in last years. The demand will be comparatively lower
among potential consumers due to face of economic recession or downturn.
Parameters that might influence high feeding price
Domestic and foreign meat demand, exchange large rate of fluctuations which may
increase the global trade barriers. In this way, it would be increasing the high feeding price/cost.
Sometimes, it directly affecting the Australian chicken meat industry. According to government,
poultry industry have concerned about the export but there are specific range of parameter
influence towards high feeding price.
17

At certain level, these include the seasonal conditions, exchange rate, welfare issue and barrier to
other trade. In this way, it directly influenced the feed price. The poor seasonal conditions are
generally lead to reduce the pasture availability and their prices. This parameter influence
producers decision about the mating, purchases, stocking rates.
Despite seasonal parameter such as demand reduction and sudden drops in chicken meat
price/cost due to case of economic crises. Hence, it directly affecting the chicken meat prices
such as feeding prices. Afterwards, chicken meat prices in Australia that are influenced rapidly
from the seasonal variations, instability in market. In this way, it is important for identifying the
certain impacts into global marketplace.
Parameters that influence export ratio of Australian chicken meat
In Australia, it has been rapidly increasing the demand for poultry chicken meat and shift
away from consumption of meat. This is partly because of changes in the price/cost. The
export ratio of Australian chicken meat to north Asian markets, increasing the discovery in
other countries. In 2007-08, exports of Australian chicken, which comprise large majority of
export to commonwealth of independent states (Habib, Coles and Goodchild, 2020).
Furthermore, it has been rapidly increased the demand of Australian chicken in which
reflects declining domestic meat production. The strong economic growth and higher price
have improved the current position of Australian chicken market.
The quality assurance parameter influence the poultry processing industry in marketplace. It
always support for increasing the production level and export large amount of products from
different countries. It has been consistently increasing 4% a year and also influence export
ratio of Australian chicken meat. The demand has been rapidly increasing because of
effective chicken meat quality.
The Australian chicken meat industry have a large contribution to the exports and focused
on its success story. While export have increased due to quality assurance parameter. It
always influenced the business to improve quality of product and service. In this way, it can
be identified the overall business performance which become impressive nominal in ratio of
export. At certain point, producer should be considered the different drivers outside the
control of Australian chicken industry. It has significantly contributed to recent export ratio
and its overall performance.
Export data can be used for enhancing overall production of Australian chicken meat
18

Overall the medium, Australia’s chicken meat exports are projected to remain at 3%-4%
in term of production. According to export data, increasing the 47,000 tonnes by 2019-2020. The
various type of frozen cut and offal are likely to make up most efficient Australian chicken meat
exports over past decade. Generally, The Australian imports are considered as fresh, chilled and
frozen chicken meat. It automatically increasing the demand or production of Australian chicken
meat business.
In 2015-2016, Australia exported $46.9 billion of chicken meat in which leading the production
in 2015. The most of production in different large countries such as china 15%, European Union
12% and Brazil 14%. The most of production can be consumped by domestically. Australia is
one of smallest net exporter of chicken meat. In 2015, it has been exported at least 32,800 tonnes
of chicken meat, representing 2.9% of domestic production in different areas (Habib, Coles and
Goodchild, 2020). There is no specific information about importing the chicken meat apart from
high valuable items.
In additional, there are very little australian chicken meat exported. It is mainly focused
on the local demand in order to fullfill their specifci need or requirement for potential consumers.
Over the five years, poultry production become average in australia approximately 80000tonnes
year. The exported a relatively small amount of sgare within production to more than 50 nations.
In recently, around 3% of australian chicken meat was exported with accounting 30% of exports
by its volume (Habib, Coles and Goodchild, 2020). In this way, it can easier for identifying
actual export data where how increasing the bulk of chicken meat exports have been made up
frozen cuts. It is one of the most suitable way to consume the different parts by human being.
19

RECOMMENDATIONS TO AUSTRALIAN CHICKEN MEAT
FEDERATION
Here are few recommendations that can be used by Australian chicken meat federation
for overcoming all kinds of challenges faced by them in production of chicken meat.
 Chicken meat producers should start working with government for development of feeding
mills for feeding chicken. These feeding mills can use renewable energy for producing feeing
grains for chicken. Working with government will help them in easy access to advance
technology though which feeding mills can be produced. These mills will not only help in
production of lower cost feeding grins but will also help in maintaining overall quality of
grains so that final quality of chicken meat is not impacted.
 From the above research discussion and analysis, it has been observed that Australian
chicken meat is exported to different countries because of its high quality and lower cost. For
this Australian chicken meat federation can focus upon development of processing plants
Where processing of final chicken meat will be done. This will also help the producers to
maintain high quality of chicken meat so that it can be kept fresh and can be exported to
other countries for enhancing overall profitability and generate more revenue.
 Australian chicken meat federation can develop their own chicken feed manufacturing
process in which ingredients that are required for manufacturing high quality feed can be
used, grinded and mixed according to the nutritional value required in feed. This will not
only help in overcoming high pricing of feed raining constraint but will also help in
maintaining overall quality of feed so that required quality can be maintained and can be
transported to other countries.
 ACMF can adopt using analytical system where all the export data country wise can be
stored and analysed. This analytical system will help them in analysis of export data so that
they can identify quantity and quality which is required be exported for generation of high
revenue and profitability.
CONCLUSION
From the above dissertation it has been concluded that there are various kinds of
problems that are being faced by Australian chicken meat industry in terms of production. One of
the main problems which is working as a constraint is increasing feeding price. Increasing
feeding price has impacted production of poultry meat drastically. This is majorly because from
20

past few years Australia is facing drought situation because of which rice of grains and other
ingredients used for feeding has increased. In addition to this, due to increasing competition in
chicken meat and other variety of meat feeding cost as increased drastically. This increase in
feed cost has forced chicken meat producers to lower their overall production. This is majorly
because due to increase in competition demand for feeding grains has also increased. Lower
production and high demand of feed has increased price of grains used for feeding. In addition to
this current situation of COVID-19 has also increased transportation and trading barriers.
Transportation cost has increased. This situation has also increased barriers for trading especially
in terms of exporting chicken meat to other countries. It has also been concluded that increasing
feeding price has lowered overall production of chicken meat which has directly impacted
quantity of chicken meat which is exported. As compared to other varieties of meat, chicken
meat is quite cheap and healthy, as a result its demand at domestic level is also increasing year
by year. Due to this increasing domestic demand it is becoming difficult for Australian chicken
meat producers to meet both domestic and international demand of high- quality chicken meat at
lower cost.
It has also been summarized that there are various kinds of opportunities that can help
chicken meat producers to enhance their overall production and profitability. Poultry meat
producers can focus upon adopting advance technology within chicken meat production system.
Adoption of advance technology can help them in reducing overall cost associated with feeding,
not only this it will also help them in continuously monitor and maintain overall quality of
feeding grains so that final quality chicken is not compromised. Adoption of advance system can
also help chicken meat producers in analysing export data so that they can identify quantity and
quality of chicken meat which is exported internationally. It will also help them in identifying
countries where exportation of chicken meat will be profitable and will help them in generating
more revenue.
21

REREFENCES
Books and Journals
Ahiwe, E.U., and et. al., 2018. Managing Dietary Energy Intake by Broiler Chickens to Reduce
Production Costs and Improve Product Quality. Animal Husbandry and Nutrition. 2018.
pp.115-145.
Al-Ababneh, M.M., 2020. Linking ontology, epistemology and research methodology. Science &
Philosophy, 8(1), pp.75-91.
Dodds, S. and Hess, A.C., 2020. Adapting research methodology during COVID-19: lessons for
transformative service research. Journal of Service Management.
Erian, I. and Phillips, C.J., 2017. Public understanding and attitudes towards meat chicken
production and relations to consumption. Animals. 7(3). p.20.
Habib, I., Coles, J. and Goodchild, S., 2020. Human campylobacteriosis related to cross-
contamination during handling of raw chicken meat: Application of quantitative risk
assessment to guide intervention scenarios analysis in the Australian
context. International Journal of Food Microbiology. 332. p.108775.
HEWSON, K., LIU, S. and et.al.,2020 AGRIFUTURES AUSTRALIA CHICKEN MEAT–
NUTRITION PROGRAM OF RESEARCH. In 31st ANNUAL AUSTRALIAN
POULTRY SCIENCE SYMPOSIUM (p. 58).
Holopainen, J., and et. al., 2020. Applying design science research methodology in the
development of virtual reality forest management services. Forest Policy and
Economics, 116, p.102190.
Kanakri, K., and et. al., 2017. A reduced cost strategy for enriching chicken meat with omega-3
long chain polyunsaturated fatty acids using dietary flaxseed oil. British Poultry
Science. 58(3). pp.283-289.
Khairuldin, W.M.K.F.W., and et. al., 2020. Al-Takyif Al-Fiqhi and its application in Islamic
research methodology. Journal of Critical Reviews, 7(7), pp.462-467.
King, T., Osmond-McLeod, M.J. and Duffy, L.L., 2018. Nanotechnology in the food sector and
potential applications for the poultry industry. Trends in Food Science &
Technology. 72. pp.62-73.
Lascelles, R., 2019. The Oxymoron of Caged Animal Welfare: A Case Study in The Australian
Caged Rabbit Meat Industry. In dA Derecho Animal: Forum of Animal Law
Studies (Vol. 10, No. 2, pp. 0107-208).
López-Andrés, J.J., and et. al., 2018. Environmental impact assessment of chicken meat
production via an integrated methodology based on LCA, simulation and genetic
algorithms. Journal of Cleaner Production. 174. pp.477-491.
Malek, L., Umberger, W.J. and Rolfe, J., 2018. Segmentation of Australian meat consumers on
the basis of attitudes regarding farm animal welfare and the environmental impact of
meat production. Animal Production Science. 58(3). pp.424-434.
Mazimpaka, E., and et. al., 2018. Poultry production and constraints in Eastern Province of
Rwanda: case study of Rukomo sector, Nyagatare district. Tropical animal health and
production. 50(4). pp.753-759.
Perna, L.W., 2020. Higher Education: Handbook of Theory and Research. Volume 35. Springer.
233 Spring Street, New York, NY 10013.
Scott, A., Hernandez-Jover, M. and Toribio, J.A., 2020. An overview of avian influenza in the
context of the Australian commercial poultry industry. One Health. p.100139.
22

Selle, P.H., and et. al., 2018. Outlook: sorghum as a feed grain for Australian chicken-meat
production. Animal Nutrition. 4(1). pp.17-30.
Stoycheva, S. and Favero, G., 2020. Research methodology for ethnostatistics in organization
studies: towards a historical ethnostatistics. Journal of Organizational Ethnography.
Truong, H.H., Liu, S.Y. and Selle, P.H., 2016. Starch utilisation in chicken-meat production: the
foremost influential factors. Animal Production Science. 56(5). pp.797-814.
Wong, J.T., and et. al., 2017. Small-scale poultry and food security in resource-poor settings: A
review. Global Food Security. 15. pp.43-52.
Online
Australian Chicken meat industry facts and figures. 2020. [Online]. Available though: <
https://www.chicken.org.au/facts-and-figures/>
Chicken meat consumption. 2020. [Online] Available through: <
https://5mpublishing.sirv.com/poultry/legacy/files/articles/14-03-11ABARES2.jpg >
Farmers face soaring feed costs as grain stocks drain away. 2020. [Online]. Available though:<
https://www.afr.com/companies/farmers-face-soaring-feed-costs-as-grain-stocks-drain-
away-20180607-h113yp >
International trade of Australian chicken meat. 2020. [Online]. Available though: <
https://www.chicken.org.au/local-international-trade/>
23