Page 14 - Meat & Poultry Edition 2026_No.87

How Thai Producers Can Compete
For fresh and frozen chicken, Thailand should avoid a direct price
war with China. Feed accounts for as much as 70% of production
costs , so reducing feed costs should be a priority. Producers can
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improve feed conversion ratios (FCR) and explore alternative protein
sources such as black soldier fly larvae to replace part of the imported
soybean meal. FTAs with trading partners, including China, should
also be used more effectively.
For chicken meat, producers should move away from standard
frozen products, where China has a strong cost advantage. Customized
cuts designed for specific customers, combined with standards such
as Halal certification, can help create higher-value products.
Offal could become another opportunity. Since chicken liver and
goose liver are among the products China wants to export to Thailand,
China’s Request to Open the Thai Market Thai producers should develop higher-value uses for these products,
While China is still suspending imports from 17 Thai plants, such as premium pet food ingredients, rather than leaving the market
it is also asking Thailand to open its market to Chinese poultry. open to cheaper imports.
GACC submitted the request through the Office of Agricultural As for processed chicken, Thailand, as a global leader in
Affairs in Beijing on 27 January 2026. The request covers processed chicken, should build on this strength by developing more
frozen chicken, cooked chicken and by-products such as value-added products. In the B2B segment, manufacturers can
chicken liver and goose liver. expand into ready-to-cook (RTC) and ready-to-use (RTU) products
Somchuan Ratanamangkhalanon, Director-General of to help food-service businesses reduce labor and preparation costs
Thailand’s Department of Livestock Development, stated and improve kitchen efficiency. Meanwhile, the B2C market should
that the country is currently conducting a scientific risk focus on healthy, high-protein ready-to-eat (RTE) products, as well as
assessment, and no imports have been approved yet. The premium products backed by strong food-safety standards.
remaining steps include assessing animal disease risks and
chemical residues, checking whether plants comply with
sanitary and phytosanitary (SPS) standards, and consulting The Road Ahead for Thailand’s Chicken Industry
While Thailand’s fresh, chilled and frozen chicken exports are expected
with farmers and industry groups.
The request for chicken by-products is also worth to decline in 2026, the broader chicken industry still has room to
watching. It suggests that China is looking beyond chicken grow. Krungsri Research expects Thai chicken exports to increase
meat and sees opportunities to create value from different by an average of 3.7–4.7% per year from 2026 to 2028, supported by
growing demand in the Middle East and ASEAN markets and continued
parts of the bird. This is an area Thai producers are also
beginning to focus on, as value-added by-products could confidence in Thai Halal standards and food safety.
However, stronger competition from China means Thai producers
provide new sources of revenue for the industry.
cannot rely on price alone. The industry needs to strengthen its
advantages in areas where Thailand can compete more effectively,
What If Chinese Chicken Enters Thailand? including product quality, food safety, production standards and value-
The impact would depend on several key factors. Price added processing.
would be the first concern. China’s huge domestic market This also means making the entire supply chain more transparent
and large-scale production help keep costs low. Cheaper and reliable. Digital traceability can help track raw materials and
Chinese chicken could put pressure on prices paid to Thai production processes from farm to finished product, giving buyers
farmers and on retail prices. greater confidence in the safety and quality of Thai chicken. At the same
Small farmers would be more vulnerable. Large time, expanding into new export markets can reduce dependence on
companies account for around 96% of domestic chicken any single market and make the industry more resilient to changes
production and operate across much of the supply chain. in trade conditions.
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They can also spread risks across export markets. Small China’s move into Thailand’s chicken market is clearly a challenge,
farmers account for around 4% of production and rely mainly but it can also be a catalyst for change. Thailand may not be able to
on the domestic market, giving them fewer options if prices compete with China on cost and scale, but it can compete on quality,
fall. food safety, value-added processing, and trusted standards. The goal
Standards could help protect fair competition. is not simply to defend Thailand’s market, but to build a stronger and
Imported chicken must meet requirements covering animal more competitive chicken industry for the future.
diseases, chemical residues and SPS standards. China
has applied strict checks to Thai plants, resulting in the
suspension of 17 facilities. Thailand can apply the same
standards to Chinese imports, helping ensure that both sides More Information Service Info C002
compete under the same rules.
The supply chain could also be affected. Frozen
chicken, cooked chicken and offal are important products for ข้้อมููลเพิ่่�มูเติ่มู / Additional Information
restaurants, food processors and food-service businesses. If ข้้อมููลสถานะการพิิจารณาคำำาข้อเปิิดตลาดในบทคำวามูน้�เปิ็นข้้อมููล ณ ช่่วงเดือน
Chinese products are significantly cheaper, these businesses กรกฎาคำมู-สิงหาคำมู พิ.ศ. 2569
may switch suppliers, which could reduce demand for Thai China’s market-opening request reflects information available as of
products over time. July–August 2026.

14 MEAT & POULTRY EDITION OCT 2026

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