Corn prices are also expected to rise for the remainder of the decade. Agricultural growth will slow down from the previous ten years.
Poultry prices are expected to average up to 30% higher over the 2011 to 2020 period, while corn prices will increase up to 20% in the same time period, according to a joint report published by the Organisation of Economic Co-operation and Development and the Food and Agriculture Organization of the United Nations.
Short-term agricultural production, according to the report, is expected to increase with normal weather, as a result of a supply response to current high prices. In the long term, however, global agricultural production is slowing down when set against the last decade, with growth projected at 1.7% annually through 2020, compared to 2.6% in the previous ten years. Trade will also slow, to 2% per year, with modest production increases by traditional exporters and higher domestic production by importers. The fastest growth is expected in Eastern Europe, Central Asia and Latin America.