Watch interest rates, poultry demand and Ukraine in 2023

Shifting interest rates, falling chicken prices and the ongoing war in Ukraine color a darkening forecast for the U.S. poultry economy. At theDelmarva Chicken Association’s 57th National Meeting on Poultry Health, Processing, and Live Production, Mark Jordan, executive director of LEAP Market Analytics, shared his outlook on the end of 2022 and beginning of 2023.

Rising interest rates

To combat historic rates of inflation, in 2022 the Federal Reserve raised interest rates. Jordan said the falling interest rates combined with rising consumer debt will chill overall spending. This situation, along with the poultry industry’s spending on new infrastructure and acquisitions in the past decade, foreshadows less spending in the near future. For growers, higher interest rates will make it harder to finance new construction. Read more