The month of October has been more of a trick than a treat for the chicken industry, according to Urner Barry analyst Terrence Wells. Tenders are currently valued at $1.43/lb., which is about 23.5% below where they were a month ago. Jumbo breast meat is listed at $1.08/lb., about 20.5% lower than prices in September.
He said cutting stock without giblets has stabilized, but plenty of damage was done over the past several months. “Market values are trending higher right now; however, they’re still under where they were a month ago,” Wells said.
While leg quarters are facing some downward pressure, Wells said Urner Barry’s listed quotation is just slightly below last month’s level. Jumbo wings are priced a few pennies higher than where they were in mid-September, he added.
“While some sources are concerned with the volume of product that’s currently in cold storage, spot offerings are still commanding market-related values," Wells said. "The complex, as a whole, is being tested right now as demand cannot keep up with the increases in supply, particularly when beef and pork are added to the mix.”