WEST LAFAYETTE, Ind. — Many Americans will stuff themselves on turkey in the coming month. But Indiana’s turkey production, which reached a record level this year, is increasing not so much from holiday demand as from year-round global trends.
Indiana moved up in U.S. turkey production rankings this year; it is now the third-highest state by weight and value of turkey produced. The growth came as a major processor expanded.
"Indiana’s capacity for turkey processing increased by 50 to 60 percent in the last year," said Paul Brennan, executive vice president, Indiana State Poultry Assoc.
Most of the expansion supplies the new Farbest Foods Inc. turkey processing plant, which opened last December in Vincennes.
Farbest, which also operates a plant in Huntingburg, is one of the country’s largest turkey processors, according to the company. Perdue Farms, one of the largest U.S. poultry firms, processes turkeys in Washington.
Indiana farms raised 19 million turkeys for the year ended Sept. 30. That is up from 17.5 million the previous year, according to USDA. Only Minnesota, North Carolina and Arkansas produce more turkeys; Indiana produces more turkey meat, by total weight and value, than Arkansas. "Most of what we produce in Indiana are large toms for further processing," Brennan said.
Indiana’s focus on larger toms fits international market growth. According to the USDA Economic Research Service, U.S. turkey use is down more than a pound per capita since 2008. But international markets are sourcing more U.S. turkey. "Mexico is very important," Brennan said. And the Mexican market is showing strong demand for products processed from toms, like those grown and processed in Indiana.
Turkey exports have increased more than 100 million pounds since 2011; the USDA forecasts 840 million pounds of turkey will be exported this year. More than 60 percent of that is shipped to Mexico, where demand is growing for mechanically separated chilled or frozen turkey used to prepare products such as deli meats. "Consumers appear to prefer some of these products, which are considered to be healthier and lower in fat content than other deli meats," stated the USDA’s Mexico City post in this year’s poultry report.
Turkey meat exports to Mexico have increased 25 percent over 2013, from January through September, to total $352.4 million. Turkey exports are also increasing to Panama, Honduras, Guatemala and Belize this year. Exports to the UK and Spain in Europe also increased through September, as did exports to New Zealand and the Marshall Islands.
Next to North America, East Asia is the second most important export market. Last year, the U.S. shipped more than $100 million in turkey there. Exports to East Asia this year are down due to lower volumes demanded from China; exports to Hong Kong are up slightly.