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With poultry remaining in short supply, the cost of chicken continues to be impacted nationwide. With the shortage initially affecting supplier level only, it’s continued to trickle down to the food and hospitality industry and consumers.
Exacerbated by a number of key factors, the leading cause is due to unexpected stock shortages encountered by Australia’s largest poultry producer. Responsible for 60% of the country’s poultry, the producer has been experiencing significantly higher morality rates. The unforeseen reduction in chickens has resulted in the inability to sustain nationwide supply.
This, culminated with the aftermath of the pandemic and the flow on effects of the Ukraine War has created the perfect storm. The country’s labour shortages and petrol price increases which subsequently triggered wheat shortages has forced chicken suppliers to pass on price and market fluctuations.
Historically prices go up and then they come back down, but as they continue to increase, poultry suppliers are no longer able to absorb the costs alone. As a result, chicken prices will continue to remain high for the food and hospitality industry and consumers.
We are continuing to work with our major poultry suppliers to manage price fluctuations and are committed to passing on immediate reductions as soon as there is relief in the marketplace.
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