Chicken fashion show: a drop in poultry meat production was recorded in Russia
The Russian poultry industry is facing a decline in chicken production, Izvestia has learned. Enterprises are reducing output due to a sharp drop in profitability amid rising costs for feed, logistics, fuel and expensive loans, according to the industry. At the same time, the Ministry of Agriculture noted that the volume of poultry meat production still makes it possible to fully meet domestic needs. Izvestia investigated how the poultry meat market is changing and whether the situation affects prices.
Why has the production of poultry meat decreased
Poultry meat production in Russia has declined for the first time in several years, while in previous years statistics showed its growth. According to Rosstat, in January–May 2026, farmers released 2.76 million tons of poultry for slaughter in live weight, which is 2.1% less than in the same period of 2025. In May, the decline accelerated to 4% in annual terms. Sergey Yushin, head of the National Meat Association (NMA), also notes a 2-3% decrease in production volumes.
This is an atypical situation for the industry, said Artem Suvorov, Project Manager of the Consumer Sector and Agroindustrial Complex practice at Strategy Partners. Indirectly, the reduction in supply is also indicated by the results of Cherkizovo Group, the largest poultry meat producer (according to the National Union of Poultry Farmers). In its reporting for the first quarter of 2026, the company noted that revenue growth in the segment was driven by a more favorable pricing environment. According to her, chicken prices in the domestic market increased by about 6% year-on-year. Cherkizovo's representative declined to comment.
The reason for the reduction in poultry production was a decrease in profitability, said Artyom Suvorov. The costs of transport and logistics, "individual production resources" and "costs related to changes in regulatory requirements" have increased, said a representative of GAP Resurs (the second largest manufacturer in the Russian Federation, the Blagoyar and Nasha Ptitochka brands). The increase in costs was also influenced by more expensive feed, an increase in the tax burden and increased expenses for motor fuel, added Ekaterina Kosareva, managing partner of the VMT Consult agency. By the end of 2025, the profitability of poultry companies decreased 1.5 times, Sergey Yushin drew attention. According to him, in terms of expensive loans, the working capital of enterprises has decreased. This forced some factories to reduce production and reconsider further plans for its development, he said.
Veterinary and epizootic factors also had an impact, Artyom Suvorov noted. At the beginning of the year, the Rosselkhoznadzor recorded outbreaks of highly pathogenic avian influenza in the Krasnodar Territory and the Rostov region, which is why part of the livestock was destroyed.
A representative of Miratorg declined to comment.
The Ministry of Agriculture told Izvestia that the volume of poultry meat production in Russia makes it possible to fully supply the domestic market.
How have wholesale prices for poultry meat changed?
The ministry added that as of June 24, selling prices for chicken meat have decreased by 1% since the beginning of 2026. In general, over the year, chicken meat rose in price by 2.3% among producers, and by 3.8% in retail, which is significantly lower than inflation, the ministry noted. They added that some seasonal fluctuations in wholesale prices for certain types of poultry products may be related to market conditions, supply and demand factors, as well as changes in the consumption structure of individual parts of the carcass.
Judging by the weekly monitoring of the analytical agency AD Libitum (they receive data from market participants), the cost of chicken fillet for the week from June 22 to 28 increased by 10% compared to the week before, and in annual terms — by 35%, to 395 rubles per 1 kg. Ham rose in price to 175 rubles per 1 kg (+3% per week and +9% year—on-year), thigh - to 162 rubles (+3% and +25%, respectively). According to the results of the 26th week, the wholesale price of a broiler carcass increased by 9% compared to the previous week and by 20% year-on—year, reaching 218 rubles per 1 kg, the maximum level since at least the beginning of 2024. Although wholesale prices have high volatility and do not always mean growth in retail, Sergey Yushin clarified.
Additional support for prices is provided by seasonal demand, as consumption of poultry meat products traditionally increases in summer, said a representative of GAP Resurs. From June 1 to June 28, the number of shish kebab purchases in retail increased by 3% compared to the same period in 2025, and the average purchase price for the same period increased by 9%, to 839 rubles, according to analysts at the Check Index company OFD Platform. In Lenta, natural sales of pork and chicken kebabs increased by 13.5% year-on-year in June, its representative said. According to him, pork neck in lingonberry marinade and chicken breast shish kebab are in the greatest demand.
The rising cost of chicken meat is already affecting related segments of the meat market. According to AD Libitum, the cost of a live commercial pig increased by 4% in a week, to 121 rubles per 1 kg. Processors began to actively use pork as an alternative raw material, which supported the demand for this type of meat, said a top manager of a large meat processing company. The ham used in processing rose in price by 3% in a week (up to 232 rubles per 1 kg), carbonade — by 2% (up to 260 rubles), brisket — by 3% (185 rubles). Although prices for these cuts have fallen by 17-26% year-on-year, according to AD Libitum data.
Chicken market prospects
In the second half of 2026, experts expect a gradual stabilization of production. The rise in wholesale prices is already improving the financial situation of poultry farms and may stimulate the recovery of output, said Artem Suvorov from Strategy Partners. However, the industry will not be able to increase volumes quickly: despite the relatively short production cycle, enterprises still depend on the cost of feed, the veterinary situation and the high cost of financing, he explained.
Despite the current difficulties, manufacturers continue to invest in capacity expansion. In particular, Cherkizovo, in its quarterly report, announced the completion of several projects to modernize poultry assets, which should increase production this year.
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