Cheap Oil Is One Culprit as American Chicken Exports Diminish
- Weaker currencies, lower restaurant demand also hurt market
- Brent crude oil has fallen by more than 40% this year
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American companies are shipping less chicken overseas, and cheap oil isn’t helping.
Profits from oil production in South American countries like Venezuela and Western African nations often translate into poultry purchases, said Russ Whitman, senior vice president at commodity researcher Urner Barry. Cuba, a major buyer of American chicken, will resell oil at a profit and buy poultry.