An outbreak of bird flu in Georgia, the largest chicken-producing state in the U.S., is anticipated to trigger trade restrictions from major meat importers, according to an industry group. This situation poses a financial risk to farmers and processors.
Key Highlights:
Outbreak Details:
A flock of 45,500 breeder chickens tested positive for bird flu last week in Elbert County, Georgia, near the South Carolina border. This marks the first confirmed case in a commercial poultry operation in the state, as reported by the U.S. Department of Agriculture (USDA).
Trade Implications:
The outbreak is expected to lead to trade restrictions on poultry products from the affected county or state. Such restrictions could significantly impact producers and processors, including companies like Pilgrim’s Pride (PPC.O).
Initial export losses are projected to be around $34 million, according to the USA Poultry & Egg Export Council.
Affected Markets:
Mexico, the largest importer of U.S. poultry products, is likely to halt purchases from Georgia for two to four weeks while it revises its ban to include the affected county.
Taiwan, the third-largest importer, is expected to block poultry imports from Georgia for six to eight months.
South Korea may impose a ban on Georgia’s poultry, which would be lifted 28 days after the virus is eradicated—an estimated process of three to four months.
Broader Context:
The outbreak occurs amidst concerns that President Donald Trump’s threats to impose tariffs on goods from trading partners, such as China and Mexico, could lead to retaliatory measures affecting U.S. agricultural exports.
Since 2022, over 138 million U.S. chickens, turkeys, and other birds have died from bird flu or been culled to contain the disease. Additionally, about 930 dairy herds and 67 individuals, primarily farmworkers, have tested positive since 2024.
Official Statements:
Georgia Agriculture Commissioner Tyler Harper emphasized the seriousness of the situation, stating, “This is a serious threat to Georgia’s No. 1 industry.”
The USDA has not provided immediate comments regarding potential trade restrictions.
Previous Trade Blocks:
China has blocked poultry imports from Georgia since 2023 following a positive test in a commercial flock of waterfowl, as per USDA records.