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

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:
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 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.
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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
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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
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