Greg RennierGreg Rennier, Ph.D., is president of Rennier Associates Inc. To contact Rennier, email [email protected].From the AuthorPoultryPoultry Confidence Index shows continued optimism in poultry industryRespondents to the Poultry Confidence Index survey remained optimistic about lower grain prices, restrained production and higher beef prices, continuing the positive outlook from the previous quarter.HomeRepeal of Renewable Fuel Standard not expected, poll indicatesNearly half of the respondentsin a recent Poultry Confidence Index poll do not expect the Renewable FuelStandard to be repealed by the federal government within the next six months.In the same poll, slightly less than 25 percent of those surveyed believe theRenewable Fuel Standard’s repeal is likely.HomePoultry Confidence Index survey continues trend of optimismOptimism in the poultry industry was at a historic low less than one year ago. Since then, confidence has risen above normative levels as key factors have stabilized (for now).PoultryPoultry Confidence Index shows improvement, optimism in poultry industryThis was not the case three months ago when pessimism in the poultry industry was at an all-time high, fueled by ramifications from the 2012 drought. However, in the fourth quarter 2012 holiday version of the Poultry Confidence Index, the Big-3 indices all showed dramatic improvement.HomeDrought shrivels poultry industry confidenceIn the second quarter of 2012, US poultry industry confidence hit an all-time high, but with the grain crop hard hit by drought confidence is now near rock bottom. When coupled with rising energy costs – gasoline prices increased 27 cents per gallon during a single month – and the inability to pass on costs even though food prices were up 6 percent during July, poultry producers are forced into unprofitability.PoultryPoultry production cuts pay dividends for companiesThe Poultry Confidence Index, which had steadily risen throughout 2011 after hitting rock bottom a year ago, rose dramatically in this first quarter of 2012. The Overall Index now stands at 119.8 (1996 = 100 baseline), up from 94.3 the previous quarter. The Present Situation Index increased to 101.8 from 73.8, while the Expectations Index rose to 131.8 from 107.9 since the fourth quarter of 2011.Page 1 of 1
