The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

AN Abaco-based poultry producer said yesterday that August could be its "worst month in years" with sales down 40 percent compared to July's figures.

Lance Pinder, Abaco Big Bird Poultry Farm's operations manager, told Tribune Business that while August sales have typically been sluggish due to the seasonal nature of the island's second home/ tourist market "it's never been this bad".

"Everything is quieting down now as the tourist season comes to an end here," he explained. "I would say it's been an average year for us. Our sales so far this August have been horrendous. I don't know really what it is, but our August sales are down 40 percent compared to last month and it looks like it's going to be by far the worst month we've had in years.

"We still have a week left, and I could get a big order right before the end of the month. Things always slow down in August and September because some of the restaurants close down, but it's never been this bad."

Mr Pinder added that Abaco Big Bird has been affected by several external factors. "I know the paper and aluminium prices have been hit hard. I know the feed costs, like the corn and especially the soybean, has been all over the place," he said. "The soybean prices have been higher the last three or four months than they have been the last three or four years."

Both corn and soybean are key poultry feeds. Mr Pinder said the fluctuating prices for these products was likely caused by the escalating trade war between the US and China, with each of the world's two major trading partners imposing tariffs on each other's imports.

"It's been pretty stable the past few years, but I think this trade war has caused a lot of volatility in those commodities," said Mr Pinder.

There are fears that the increased trade barriers, and problems accessing the Chinese market, are leading to a huge build-up of meat product inventory in the US. This will result in producers/suppliers seeking other market outlets, creating concerns that the Bahamas and other Caribbean nations could be flooded with cheap meat 'dumped' on them from the US.