Broilers Production in U'A'E'

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Broilers Production in U.A.E.
The Road to Self Sufficient

• R. Dafalla Bvsc. PhD. FAAVCT
• EMPCo.

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Prelusion- Modern broilers production in U.A.E.
started as early as mid 1970. Although the
market was conventional and resisted the modern
poultry farming, the industry started to expand
in early 1980 till it reached a plateau in mid
1980 with maximum production of 12 millions. In
1990 the largest broiler operation was
established in Dubai, beafing the production of
poultry meat by 30 35.
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By mid 2000 two medium size operations in Sharjah
and Al Ain were fully producing. On the other
hand small poultry meat producing units
mushroomed all over the Emirates with seasonal
production trend. Currently, the total broiler
production capacity in U.A.E amounts to 46
million chickens per year.
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Broiler Production Project Capacity and
Distribution in U.A.E.
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Broiler Production Project Capacity and
Distribution in U.A.E.
continued
Total Capacity 46 million
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Broiler Production Project Capacity and
Distribution in U.A.E.
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Broiler Production Project Capacity and
Distribution in U.A.E.
continued
The actual production can be estimated to 43
million, if we considered average annual losses
of 7.
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• The poultry meat market in U.A.E-
• In U.A.E like many other countries in the world,
  there are three poultry meat markets.
• The local fresh broilers production
• The frozen imported broiler meat
• The spent hens market
• As mentioned before the local broiler
• production amounts to 43 millions
• chicken per year. The fresh broilers market is
  also fed with small imported amounts mainly from
  Sultanate of Oman and the Kingdom of Saudi
  Arabia.
• The imported frozen meat mostly comes from Brazil
  and is almost 4 times the local production in
  size.
• Spent hens are sold alive mainly to catering
  companies.

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• The gap between the local productions and the
  imported frozen poultry meat is big for the
  following reasons-
• Cost of production in Brazil is 1.5 1.6 US
  dollar. Almost 50 of the cost of production in
  U.A.E.

Local production Vs Imported poultry meat
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The high cost in U.A.E is mainly attributed to-

• Lack of protection to the local production.
• Non availability of poultry feed raw
• materials.
• Lack of any sort of subsidy.
• Harsh climatic limitation. (can not
• permit economical broilers parent stock
  raising)
• The high demand of imported frozen poultry meat
  by the catering industry, due to its low
  price and its availability
• all the year around.
• The low income consumers who constitute more than
  80 of the U.A.E market prefer the low priced
  frozen broilers. (for obvious economical reason)

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The gap between the local productions and the
imported frozen poultry meat is big for the
following reasons- continued
Due to the above mentioned reasons, two main
markets are created with big gap between them.
This gap can never be narrowed or bridged unless
the cost of the local fresh production is
brought down by some sort of subsidy and / or
protection, to the level that is attainable to
all market strata. If the gradient in prices
between the fresh and frozen remains so steep at
the ratio 12, self sufficiency will be a far
fetch.
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Conclusion- Fresh broilers meat reaches its
peak with a surplus capacity during the summer
months, due to the market down turn during
summer holidays. For the local production of
poultry meat to expand and progress towards
self sufficiency, generous subsidy and / or
protection has to be implemented, to ease the
huge price difference. The positive sign is
that, in spite of the unfair competition between
the imported dumped frozen poultry meat and the
fresh local production, the consumer nutritional
and health conscience is steadily improving,
paving the way for increased consumption of fresh
poultry meat.
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Conclusion-
continued
On the other hand prudent local authority
inspection as well as the quality management
control followed in most of the projects in U.A.E
is continuously strengthening the consumers
confidence and loyalty toward local
production. Local broilers producers should
target the catering sector and try to get a
substantial niche of the huge volume of poultry
meat consumed in hotels and fast food industry.
Stringent and rigorous control by the local
authority on the raw poultry meat used by fast
food might lure them to shift to the locally
produced broilers meat.
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Thank you