Global Animal Protein Outlook for 2022
Tony McDougal, All About Feed
Jan 12, 2022
Continued growth in animal protein is expected to take place this year, albeit at lower levels, with growth in pork, poultry and aquaculture markets across Brazil, North America, China and Southeast Asia.
Demand and prices will remain strong, but there will be ongoing challenges posed by higher labour, freight and energy prices, according to experts at Rabobank.
Justin Sherrard, global strategist animal protein, told a recent RaboResearch podcast there were 5 things that had categorised the animal protein market during 2021:
1. Food Service the importance of continuity in the light of the ongoing Covid-19 pandemic.
2. Biosecurity how African Swine Fever, avian influenza and atypical BSE across different parts of the globe had continued to impact production and trade.
3. Trade Disruptions with port closures due to Covid-19.
4. Sustainability the year saw the UN Food Systems Summit and COP-26 with a driving focus to reduce emissions by 2030 and the animal protein industry responding in a structured way, i.e., the establishment of the Global Roundtable on Sustainable Beef goals.
5. Price with a couple of exceptions, high prices had been seen during 2021.
Turning to this year, Sherrard said the most important thing was how to manage cost pressures across the supply chain with inflation in a couple of areas what and how could be passed on and what should be held back on in terms of input costs.
The 3 most important are:
1. Labour An ongoing structural issue.
2. Freight Cost pressures during 2021 were high and looking at 2022 will be really challenging.
3. Energy Energy prices across the globe are increasing.
Other issues included African Swine Fever very important in terms of production and consumption and sustainability. Sustainability will be an issue over a number of years rather than just 2022.
No strangers to challenge
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