Middle East conflict could ripple across Asia’s poultry trade

“Brazil is the most exposed exporter, with roughly 35% of its poultry export value…going to the region,” he added.

Mr Mulder noted that Brazil ships between 80,000 and 100,000 tons of poultry monthly to the Middle East. 

Other exporters include Turkey, Russia, Ukraine, the US, and the EU, with Russia and Ukraine highly dependent on Middle Eastern demand.

“Exporters facing difficulties shipping to the Middle East might be forced to export to other destinations at significant price discounts,” he said.

For Asian markets this may mean higher supply at discounted prices, though logistical and licensing hurdles could limit the benefit.

Feed and input pressures

Mr Mulder warned that ‘feed input supply…could significantly affect production” if disruptions through the Strait of Hormuz persist. 

He explained that many countries rely heavily on imported soy, corn, amino acids, vitamins, and minerals.

Such strains could ripple into Asia, where feed markets are already tight.

Mr Mulder also noted that “many countries depend on imported hatching eggs…Current travel disruption presents immediate challenges.”

Some Persian Gulf states have developed local grandparent production, but most still rely on imported hatching eggs from Europe. Asian producers sourcing from Europe may face similar delays, raising risks for production continuity.

Shifting trade dynamics in Asia

“Exporters facing difficulties shipping to the Middle East might be forced to export to other destinations at significant price discounts,” Mr Mulder observed.

Asia is one of those destinations, which could temporarily boost supply. However, redirected flows often come with price concessions, and competition among Asian markets could still push prices upward.

Outlook hinges on conflict duration

“The duration and escalation of the conflict will largely determine the magnitude of trade disruption and its impact on local availability and chicken prices,” stressed Mr Mulder.

Short-term interruptions may be absorbed by local stocks and redirected trade. Prolonged conflict, however, could reshape global poultry flows. 

For Asia, this may translate into both opportunities and vulnerabilities.

Mr Mulder also cautioned that animal feed might prove the most challenging input, while breeding stock could also present difficulties if the crisis persists.

For Asia, the message is urgent. Governments and companies must prepare for supply shortages, rising chicken prices, and logistical hurdles.

Mr Mulder urged proactive cooperation, noting that “governments and individual companies need to anticipate supply shortages and elevated chicken prices, and work together proactively to address emerging logistical and supply challenges.”