Growth, innovation, and policy for chicken in Latin America 1961–2019

Gregory Scott and Enrique Vigo

Development Policy Review, 2023, vol. 41, issue 1

Abstract: Motivation Latin America has witnessed massive increases in production and consumption of chicken meat over the last 60 years and well beyond its share of the developing world's population. Chicken is now a major source of livestock protein in regional diets; leads livestock production in 25 out of the region's 33 countries; production, slaughtering, and sales provide millions of jobs. Purpose To analyse growth rates for chicken meat in Latin America, why they have differed, how the role of innovation and development policies contributed to bringing about this growth, in turn leading to the patterns of governance of these activities today. Methods and approach This study used a modified value chain framework along with FAO statistics, national data, published and unpublished studies to analyse macro‐level developments and their linkages to shifts in the organization of activities in the value chain for chicken from pre‐production through to consumption and trade from past to present. Findings Different natural resource endowments, demographics, and dietary preferences combined with frequent innovations and an array of policy measures led to a spectacular surge in output and productivity, lower costs, and facilitated a steady rise in consumption. As part of that growth, these activities became increasingly concentrated in Brazil, Mexico, and Peru and within those countries in a few very large firms. Their operations expanded in the value chain beyond the farm gate, across the region, and in some cases around the world. Policy implications This paper has implications for greater transparency in grower contracts, better working conditions for slaughterhouse workers and bird catchers, more environmentally and bird‐friendly chicken production, accelerated adoption of practices as per Principles for Responsible Investment in Agriculture and Food Systems in the value chain for broilers in Latin America and the Caribbean, and improved enforcement of laws and regulations governing the technical and financial operations of value chains for chicken, along with renewed collaboration among government authorities to that effect.

Date: 2023
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