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Chicken economic findings show effects of COVID-19 headwinds

by | Feb 26, 2021

GEORGETOWN, Del. — Delmarva’s chicken community raised 570 million chickens with a wholesale value of $3.4 billion in 2020, according to newly released economic data from the Delmarva Chicken Association.
The DCA report, available at www.dcachicken.com, shows chicken production on Delmarva dipped about 5 percent in 2020 compared to the prior year because of economic contractions and supply chain disruptions felt most acutely at the beginning of the COVID-19 pandemic.
Several metrics that measure year-to-year growth of the Delmarva chicken industry — including pounds of chickens processed, number of farms, chicken company payroll and wholesale value — all shrank in 2020.
Still, chicken companies paid contract growers $280 million in 2020, a 0.2 percent increase from 2019.
And the chicken community’s important role as a major customer of grain farmers for feed ingredients was preserved, with more than $1 billion spent on crops such as corn, soybeans and wheat — much of it purchased locally.
The chicken community’s long-term investments in Delmarva’s economy and its environment did not falter in 2020, the report shows.
The five chicken companies — Amick Farms, Allen Harim, Mountaire Farms, Perdue Farms and Tyson — spent $115 million on capital improvements to processing plants, hatcheries and wastewater treatment systems.
With the help of DCA’s vegetative environmental buffers program, chicken growers and allied businesses planted more than 6,000 new trees and living buffer elements during the year — green features that will improve neighbor relations and protect water quality for generations to come.
“This year’s economic snapshot captures the impact on our chicken community from COVID-19, from the chicken processing companies to the growers and everyone in between,” said DCA Executive Director Holly Porter, before adding, “But it also speaks to the resiliency and strength of this economic driver on Delmarva and the commitment our members live up to by not only powering our Delmarva economy, but also feeding each and every one of us even during a pandemic.”

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