Record-high prices for U.S. beef burgers and pork chops are helping to make 2014 the most profitable year ever for chicken producers.
Americans are buying more chicken as a cheaper alternative just as fast-food restaurants including Yum! Brands (YUM) Inc. and McDonald’s (MCD) Corp. add new menu items from wings to club sandwiches. The sales surge has sent wholesale prices to an all-time high, boosted profit for processors including Tyson Foods Inc. (TSN), and left Ozark Mountain Poultry unable to keep up.
“We’re sold out,” said Ed Fryar, the chief executive officer of Rogers, Arkansas-based Ozark, which processes 3 million pounds (1,361 metric tons) a week. “Last fall, when I looked at 2014, I didn’t anticipate demand being as strong as it is. This is going to be a really good year for the industry.”
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