Lucas Delgado
The US chicken industry is a significant part of the country's agriculture sector, with a market size of $57.8 billion in 2023. Americans consume over 8 billion chickens per year, and the US is one of the top global producers of chicken meat. The largest chicken producer in the US is Tyson Foods, Inc., with sales of over $42 billion and a 25% market share. Other major chicken producers in the US include Pilgrim's Pride Corporation, Sanderson Farms, Inc., Perdue Farms, Foster Farms, Koch Foods, and Cargill Meat Solutions. These companies supply chicken products to consumers, restaurants, and food suppliers across the country.
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What You'll Learn
Alabama is the largest chicken-producing state
Alabama is one of the top chicken-producing states in the US. The state has a long history of poultry production, which began with small-scale, farm-based operations that primarily supplied eggs to the family or local markets. Alabama's poultry production has since evolved into a multibillion-dollar corporate enterprise and the major agricultural business in the state.
Chickens have been the predominant poultry species in Alabama for centuries. Europeans and European Americans brought their own breeds of chickens to Alabama from the sixteenth century onwards. These chickens were initially kept for eggs, but also provided meat when hens became too old to produce eggs. Over time, Alabama's poultry industry shifted towards meat production, and the state is now a leading producer of broiler chickens, which are raised specifically for their meat.
Alabama's poultry industry has been supported by various state and federal initiatives over the years. The federal Morrill Agricultural Land Grant College Act of 1862 and the 1887 Hatch Act enabled the establishment of extension and research facilities and programs at Alabama Polytechnic Institute (now Auburn University) to support the emerging poultry industry. Tuskegee Institute also offered vocational training in poultry husbandry for both men and women.
Today, Alabama is one of the top chicken-producing states in the US, alongside other leading states such as Georgia, Arkansas, North Carolina, and Mississippi. These states have favorable climate conditions, expansive agricultural land, and well-established poultry industries, allowing them to supply chicken for both domestic consumption and export.
While Alabama is a top chicken-producing state, the largest poultry company in the US is Cargill Meat Solutions, with $165 billion in sales and a market share of 22%. Other major poultry producers in the US include Pilgrim's Pride Corporation, Sanderson Farms, Inc., and Perdue Farms. These companies supply chicken and other poultry products to consumers, restaurants, and food suppliers across the country.
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Tyson Foods is the biggest chicken producer
Tyson Foods, Inc. is the biggest chicken producer in the US, with a market share of 25%. The company manufactures a wide range of poultry products, including chicken, duck, and turkey. With sales of over $42 billion, Tyson Foods dominates the chicken market in the United States. Fresh and processed chicken meat are the company's largest product categories.
The US chicken industry is primarily focused on broiler chickens, which are raised for their meat. Broiler chicken production in the US was worth $23.2 billion in 2023, with the country producing 23 million tons of poultry that year. The US is one of the top global producers of chicken meat, alongside countries like China, Brazil, and Russia.
The poultry industry in the US plays a significant role in providing consumers with high-quality chicken products. There are over 450 chicken meat suppliers in the country, with 15,300+ active chicken export shipments. The industry is also a major employer, with over 590,000 people working in poultry and egg production in 2019.
Tyson Foods is at the forefront of this industry, with its large-scale production and sales of chicken and other poultry items. The company's success and dominance in the market can be attributed to its efficient production systems, advanced genetics, ample feed resources, and strong consumer demand.
While Tyson Foods leads the way in chicken production, other notable players in the US poultry industry include Pilgrim's Pride Corporation, Sanderson Farms, Inc., Perdue Farms, and Foster Farms. These companies have significant market shares and contribute to the overall growth and competitiveness of the industry.
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Pilgrim's Pride is the second-largest producer
The US chicken industry is a significant part of the country's agriculture sector, with a market size of $57.8 billion in 2023. Americans consume over 8 billion chickens per year, and the US is one of the top global producers of chicken meat. Pilgrim's Pride Corporation, with revenues of $900 million, is the second-largest chicken producer in the US. It holds over 20% of the US chicken market, and its poultry products are sold directly to consumers, restaurants, and food suppliers. Pilgrim's Pride also owns labels such as Just BARE Chicken, Gold’n Plump, Pierce Chicken, and Savoro. Their famous buyers include Costco, KFC, Walmart, Publix, and Wendy's. They employ over 35,000 people across their factories and divisions.
Pilgrim's Pride is part of a broader poultry industry that includes other large producers. Tyson Foods, Inc. is the largest chicken producer in the US, with revenues of $1.12 billion and a 25% market share. Sanderson Farms, Inc. is the third-largest producer, with revenues of $360 million and an 8% market share. The company primarily produces chicken products but also offers other poultry items. Perdue Farms is the fourth-largest producer, with revenues of $315 million and a 7% market share. They produce a wide range of poultry products, including chicken, turkey, and duck.
Foster Farms, Koch Foods, Wayne Farms LLC, Mountaire Farms, House of Raeford Farms, Inc., and Bell & Evans are also notable chicken producers in the US, with market shares ranging from 4% to 1%. These companies contribute significantly to the US chicken industry, ensuring a consistent supply of chicken products for domestic consumption and export.
The US chicken industry focuses primarily on broiler chickens, which are raised for their meat. This sector accounted for an average of 67% of total poultry sales from 2013 to 2022. Chicken eggs constituted approximately 22% of sales, while turkeys made up the remaining 11%. The US poultry industry is a major employer, with over 590,000 people working in the poultry and egg sector in 2019.
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Avian influenza hurt chicken demand
The largest poultry company in the US is Cargill Meat Solutions, with $165 billion in sales and a market share of 22%. The US poultry industry was worth $57.8 billion in 2023, with Americans consuming over 8 billion chickens per year. The global poultry industry is projected to grow.
However, the avian influenza outbreak has hurt chicken demand in the US. The current strain of bird flu, H5N1, reached the United States in 2022, and over 148 million birds have been euthanized since. The outbreak has resulted in a lack of chicken and egg supply, leading to shortages and soaring egg prices. Taxpayers will bear the cost of the lost birds, with a USDA program paying producers for the eggs and poultry they cull.
The Biden administration and the Department of Agriculture directed the mass killing of more than 100 million chickens to contain the spread of the virus. This action has led to a shortage of chicken and egg supply in the country. The previous Trump administration followed a similar policy. However, some propose a vaccine program as the only solution, despite it being currently forbidden due to its potential impact on poultry exports.
The avian influenza outbreak has also impacted turkey production, causing a decrease in supply and prices, ultimately hurting demand. The outbreak has contributed to a five-year streak of consecutive decreases in turkey production, with producers still recovering from the 2022 outbreaks. While US turkey production increased in 2023, breaking the streak, the industry continues to face the challenge of ongoing avian influenza cases.
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Cargill Meat Solutions is the largest poultry company
Cargill Meat Solutions is a subsidiary of Cargill, an American multinational food corporation founded in 1865 by William Wallace Cargill. Cargill is the largest privately held company in the US in terms of revenue and has operations in 70 countries. The company works with small family farms and global shipping lanes to bring food, ingredients, agricultural solutions, and industrial products to its customers. Cargill also has a large financial services arm that manages financial risks in the commodity markets for the company.
In 2020, the US produced 23 million tons of poultry, and Americans eat over 8 billion chickens per year. The global poultry industry is projected to continue growing, with demand for poultry products increasing. Cargill is a major player in this market, supplying chicken and other poultry products to consumers and businesses.
Cargill has faced challenges in recent years, including COVID-19 outbreaks at its meatpacking facilities and criticism for its handling of employees during the pandemic. In 2020, the company stopped publishing its quarterly results. Despite these issues, Cargill Meat Solutions remains the largest poultry company in the US, with a significant market share and extensive operations.
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Frequently asked questions
The biggest chicken producer in the US is Tyson Foods, Inc., with sales of over $42 billion and a 25% market share.
Pilgrim's Pride Corporation is the second-largest chicken producer in the US, with a market share of over 20%.
Sanderson Farms, Inc. is the third-largest chicken producer in the US, with an 8% market share.
