Chicken meat and offal market in Sri Lanka

Earlier Report Observations

The Sri Lankan chicken meat and offal market demonstrated initial growth, with its volume rising from 214.4 thousand tons in 2018 to 220.5 thousand tons in 2019. This expansion was supported by the activity of major integrated producers like the Nelna Group, which broadened its operations into ready-to-eat processed chicken products, and by the poultry sector's overall condition of meeting sufficient consumer demand.

Market volume subsequently experienced fluctuations, decreasing to 214.5 thousand tons in 2020, recovering strongly to 236.0 thousand tons in 2021, and then declining again to 227.8 thousand tons in 2022.

In 2023, production increased by 8 thousand tons to reach 236.1 thousand tons, contributing to a market volume of 234.5 thousand tons. This growth occurred alongside significant industry challenges, including a shortage of foreign exchange for feed imports and reduced local maize production, which drove up production costs and retail prices. Throughout the period, the state's Department of Animal Production and Health (DAPH) provided technical leadership and regulatory support to the sector.

Production chicken meat and offal in Sri Lanka

In kind, 2017-2020, K t

Top producers of chicken meat and offal, 2017-2020

World map of production of chicken meat and offal, 2017-2020

After rising for two consecutive years, chicken meat and offal production in Sri Lanka experienced a decline. In 2020, production reached 216.2 thousand tonnes, marking a 3.5% decrease compared to the previous year. Over the period from 2017 to 2020, overall production increased by 7.6%, with a compound annual growth rate of 2.5%. The highest production level was recorded in 2019 at 224.0 thousand tonnes, while the largest annual increase occurred in 2018 at 6.6%.

Annual dynamics of production in Sri Lanka in kind, 2017-2020, K t

Exports chicken meat and offal from Sri Lanka

Exports in kind, t

The export market for chicken meat and offal from Sri Lanka showed significant volatility during this period. The minimum export volume was recorded in 2018 at 39 tonnes, while the maximum reached 3 675 tonnes in 2019, representing a 95-fold difference between these two years. In 2020, exports stood at 1 736 tonnes, which was a 52.8% decline from the previous year. The largest decrease occurred in 2018 at 98.1%, while the most substantial increase was recorded in 2019 at 9 365.9%.

Annual dynamics of product's exports from Sri Lanka in kind, 2017-2020, t

From 2017 to 2020, Vietnam was the dominant destination for Sri Lanka's chicken meat and offal exports in volume terms, accounting for 70.4% of total shipments. The remaining exports were distributed among various other trading partners.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Sri Lanka in kind, 2017-2020

Exports in value, K $ US

Export values for chicken meat and offal from Sri Lanka exhibited considerable fluctuations during this period. The lowest value was recorded in 2018 at 235 thousand US dollars, while the peak occurred in 2019 at 2 617 thousand US dollars, creating an 11.2-fold gap between these years. In 2020, exports amounted to 1 959 thousand US dollars, representing a 25.2% year-over-year decrease. The most significant decline took place in 2018 at 72.8%, while the largest increase was observed in 2019 at 1 015.2%.

Annual dynamics of product's exports from Sri Lanka in value, 2017-2020, K $ US

During the 2017-2020 period, Vietnam and the Maldives formed the dominant markets for Sri Lanka's chicken meat and offal exports in value terms, jointly accounting for 84.4% of total export revenue. Other countries represented the remaining share of exports.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Sri Lanka in value, 2017-2020

Imports chicken meat and offal to Sri Lanka

Imports in kind, t

Sri Lanka's imports of chicken meat and offal declined for the third consecutive year. In 2020, imports totaled 91 tonnes, representing a substantial 35.6% decrease from 2019. Over the entire 2017-2020 period, imports decreased by 55.4%, with a compound annual decline rate of 23.6%.

Annual dynamics of product's imports to Sri Lanka in kind, 2017-2020, t

Between 2017 and 2020, Thailand and Brazil consistently dominated Sri Lanka's chicken meat and offal imports in volume terms, jointly accounting for 93.4% of total imports. This indicates a highly concentrated import market with numerous smaller suppliers making up the remainder.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Sri Lanka in kind, 2017-2020

Imports in value, K $ US

Sri Lanka's imports of chicken meat and offal declined for the third year in a row. In 2020, import value reached approximately 133 thousand US dollars, marking a 41.9% decrease from the previous year. Between 2017 and 2020, imports decreased by 78.5%, which translates to an annualized decline rate of 40.1%.

Annual dynamics of product's imports to Sri Lanka in value, 2017-2020, K $ US

Throughout the 2017-2020 period, Thailand and Brazil clearly dominated Sri Lanka's chicken meat and offal imports in value terms, jointly accounting for 91.6% of total import expenditure. Other countries held significantly smaller shares of the import market.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Sri Lanka in value, 2017-2020