Summer 2026 POULTRY UK POULTRY SECTOR UPDATE The global poultry market is experiencing growth, driven by strong demand for affordable, lean protein. In the UK, sector revenue is forecast to grow by 1.4% annually, reaching approximately £5.8 billion by 2026. However, we remain vigilant regarding ongoing challenges, such as the impact of highly pathogenic avian influenza (HPAI) outbreaks, which disrupt supply chains, alongside rising feed costs and increasingly stringent environmental regulations. Additionally, there is a clear shift in customer expectations towards higher welfare standards and antibiotic-free products. Market overview Market Dynamics: Poultry remains a staple protein, with rising consumption fuelled by urbanisation and population growth. Key Trends: Increasing focus on sustainability, automation, and AI-driven efficiency to improve productivity and meet food safety standards. Economic Outlook: Despite volatility, the market is recovering from major outbreaks, with significant production growth projected, including a 6.8% profit increase for the UK sector in 2025–26. Industry Focus: A shift towards healthier options and improved welfare standards (e.g. the Broiler Directive). Major challenges Disease Outbreaks: Since the start of 2024, millions of chickens and other farmed birds have died or been culled across the UK and the EU due to highly pathogenic avian influenza (HPAI) H5N1. While exact figures for chickens alone are not isolated, the vast majority of culled birds in commercial settings are layers and broilers. Feed Costs & Sustainability: Feed represents the largest operational expense; price volatility makes profitability challenging, pushing producers toward better feed efficiency. Environmental Regulations: Stringent rules regarding waste management and carbon footprint require investment in green technologies. Labour & Welfare: Shortages of skilled labour and increasing pressure to adopt welfare-friendly farming methods (e.g., eliminating cages). Consumer Demand: Increasing demand for alternatives to conventional meat, such as organic and antibiotic-free products, requires changes to production systems. FUTURE OUTLOOK The industry must focus on enhancing biosecurity and investing in new, efficient technologies to remain prof- itable and sustainable amid rising costs and stringent regulations. IN CONCLUSION. As demand for fresh chicken rises, operators should be prepared for upward movement in prices. When demand regularly exceeds available supply, costs inevitably increase. As fresh chicken is a mainstay on menus, any uptick in demand can swiftly stretch the supply chain.
Download PDF file