Processed chicken industry grows 10%

Industrialists call for better infrastructure, govt incentives and trade agreements

LAHORE:

The processed chicken industry in Pakistan is steadily expanding its footprint across the country, driven by rising domestic demand, advancements in production technology, and a burgeoning export market.

Currently, several major companies are involved in the business of processed chicken and its by-products. Market experts believe that this trend is intensifying daily, creating new opportunities for these companies in both domestic and export markets.

Over the past decade, Pakistan's poultry sector has seen substantial development, with processed chicken products becoming increasingly popular among urban consumers. The convenience, hygiene, and variety offered by these products have led to a shift in consumer preferences from traditional wet markets to packaged, ready-to-cook, and ready-to-eat chicken products.

According to industry data, the domestic market for processed chicken is growing at an annual rate of approximately 8-10%. "This growth is driven by the rising middle class, increasing urbanisation, and changing lifestyles that favour quick and easy meal solutions," said an expert.

Major players like K&N's, Sabroso, and Menu have established themselves as household names, continually innovating to meet consumer demand. "On the other hand, Big Bird Foods, another processed chicken manufacturer, was recently listed on the Pakistan Stock Exchange. This will certainly boost the industry in the coming years," the expert added.

While the domestic scope and consumption of processed chicken are increasing, the sector still holds a negligible share of the overall poultry market in the country, where experts estimate it is still below 5%. However, the global demand for halal food products—particularly in the Middle East, Southeast Asia, and Europe—presents a lucrative export opportunity for Pakistani companies.

Industry experts believe that with the right investments in quality control, certification, and marketing, Pakistan could become a key player in the global processed chicken market. "The global halal food market is expected to reach over $3 trillion by 2026, and processed chicken is a major component of this market. Pakistan, with its large halal-certified poultry industry, has the potential to capture a significant share," said the chairman of a processed chicken company.

Despite the promising outlook, the industry faces several challenges that need to be addressed to fully realise its export potential. These include ensuring consistent quality, meeting international food safety standards, and overcoming logistical hurdles. Additionally, there is a need for better cold chain infrastructure and more robust government support in terms of export incentives and trade agreements.

Pakistan's geographical location gives it an edge in accessing major markets in the Middle East and beyond. Furthermore, the country's young and growing population provides a sustainable workforce to support the industry's expansion, according to industry experts.

However, they added that despite the bright future of this industry, realising its true potential will require concerted efforts from all stakeholders, including industry leaders, policymakers, and exporters. With the right strategies, Pakistan could not only meet the growing domestic demand but also emerge as a key exporter of processed chicken products on the global stage in the coming years.