Scottish poultry sector: Strong, attractive for farmers.

Robert Thompson, chair of the NFUS poutlry group (Image: Paul Watt Photography)

Can you outline the poultry sector?

Everybody thinks we just cover egg production but we actual support, through NFUS, both eggs and poultry meat including seasonal turkey production.

The layer market currently sits at about 5.5 million birds and the broiler production sits at 800.000 per week.

The number of layers has not changed much, but in the 70s and 80s Scotland led the way in poultry meat producing 4.5 million birds a week. A significant drop.

We are one of the many unsupported sectors, so the market dictates the scale of the Scottish industry.

How strong is the poultry sector currently?

Currently the egg sector has been very strong. The previous four years was exceedingly poor with very high input costs and no movement in the retail price making it extremely difficult for the producers and the packers to make the job work.

We have our challenges such as Avian Influenza which has been devastating to so many. Confidence was lost and sheds were left empty or with reduced numbers.

We, as union, said to the retailers if they did not improve returns, birds numbers in the whole of the UK were dropping and eggs were going to be scarce. They ignored it all and as a result empty shelves were seen. They did respond in some ways too late, but packers seem to have arrangements to ensure that does not happen again, so the market is strong and demand immense.

The poultry meat sector is a totally different picture. Again, high costs and the demands for food devaluation by the retailers has meant very thin return for all. We are, in Scotland, too far away from the main market, so our costs are too high. Chicken used to be a luxury 40 years ago, now it is an everyday food. That needs to change. The few producers left do a great job. The results lead the way in the UK league for animal health and welfare along with a combination of good stockmanship and clean air.

Food service and further processed products are dominated by imported products. NFUS has been campaigning for much better, clearer labelling given the true source of the meat but little response from Government has been received.

This is something we fully support. Use of our products in public procurement is a must and buying imported products from Scottish companies on price is just wrong. Much more support in this sector must be obtained.

What challenges does the sector face?

We have, over the past few years, seen Avian Influenza hit our industry hard. This issue has quietened down, Poultry farms are now very bio-secure and must operate at the highest level to maintain that status. We now have the introduction of the Poultry Register in September which should allow many of the issues to be addressed around an outbreak being completed quicker.

What are the benefits of joining the sector?

The egg market is strong and demand for eggs has probably never been higher. The costs of a dozen eggs can feed a family easily and with tight income has made them ever more popular. Quality is currently outstanding. If they have the ground, the financial backing and good contracts are available. The appeal in this is the regular income and in some cases the use of home-grown cereals being used to feed the birds. A ready supply of manure helps other parts of the farm. With the likelihood of the SG stopping colony production at some point that market is there to supply. We have an opportunity to take that on rather than just giving the customer base to the world to supply.

Demand for poultry meat remains ever popular, and consumers just need to look for Scottish or UK. Often this hidden behind brands which in turn is imported produce.

If we can get a new processing plant up and running, the poultry meat market is also open as it gives fast throughput ,again giving regular income. In the past it has boomed so we just need to get the pieces of the jigsaw to fit. Only having three main processor in the UK does not help.

How does the NFUS poultry working group work?

The poultry working group has representatives from all regions across Scotland and myself as chair. We also have branch monitors reporting on poultry issues in most parts of Scotland. We have invitees join the working group covering vet and feed advice. And representatives from all the main packers and processors giving an in-depth input.

We are there to lobby on the members behalf on issues that arise such as regulations, consultation, issues we don’t agree with etc.

The group has always been there but, our link to the board was with pigs representing the intensive sector so we did not really have a voice that was heard.

Martin Kennedy, when elected as president, changed that and both sectors are now on the board.

Martin felt the industry put so much in to Scottish agriculture we should play our part which in turn has given us a voice not seen before. This has given us full access to all the NFUS team so that is why we have a far bigger voice and presence these days.

What help and guidance is available?

The main four egg packers have assistance in all parts of the process, from within their own business and supply sectors. Lots of good advice and help is available. We are a dynamic friendly sector. It is open to all.

Currently we have our issues as all do, such as a reliable labour source. Education in poultry’ labelling. High energy costs, grants for reinvestment in such things as robotics and upgrading machinery to process products, and the regulation and assurance scheme burden which never seems to end but to what advantage. Very little.

We need to continually get the message across to support Scottish and UK produce.