In Liu of the Situation
An official of China’s National Poultry Industry Association told Reuters that the recent strain of bird flu that emerged two weeks ago, has caused the industry more than 10 billion yuan in losses, which is around $1.6 billion. Efforts by authorities to contain the H7N9 virus include slaughtering thousands of birds and the closing of live bird markets in Shanghai and Beijing. Despite efforts, new cases of infection are reported daily, with 14 reported deaths and 63 infections.
According to Liu Yonghao of New Hope Group, the country’s largest producer of animal feed, most of these cases are situated in eastern China and consumption levels of chicken have fallen down to below half the original. “Chicken prices are falling which will lead to losses for breeders,” New Hope’s Liu said last week. “There are more than 100 million farmers raising chickens who will need to be supported.” China is the world’s second largest poultry market after the United States, but the string of recent outbreaks have caused consumer confidence to drop with prices of high quality chicken dropping to a fourth of previous prices.
Written by Kevin Zhang
Patton, Dominique. “China Poultry Sector Losses Exceed $1.6 Billion on Bird Flu Scare.”Reuters. Thomson Reuters, 16 Apr. 2013. Web. 17 Apr. 2013. <http://www.reuters.com/article/2013/04/16/us-china-birdflu-poultry-idUSBRE93F06Z20130416>.