· Event impact
Animal diseases destroy 20% of global protein production.
Transmission path
Significant animal disease outbreaks are tightening global protein supply, leading to higher prices for poultry and potentially other proteins, while increasing input costs for producers and contributing to food inflation.
Market mechanism
Significant animal disease outbreaks are tightening global protein supply, leading to higher prices for poultry and potentially other proteins, while increasing input costs for producers and contributing to food inflation.
Extended read
Animal disease outbreaks are severely impacting global protein supply chains, currently destroying an estimated 20% of worldwide animal protein production. This has resulted in the culling of approximately 140 million poultry as part of outbreak response efforts. Despite the significant economic and supply impact, animal health expenditures remain low, accounting for only 0.6% of total health spending. This constraint on supply is expected to drive up prices for poultry and potentially other substitutable proteins like pork and eggs in affected regions. Producers face elevated biosecurity and disease management costs, which will likely be passed through to consumers, contributing to food inflation. The report highlights a growing investment gap in animal health infrastructure, suggesting future volatility for protein producers and increased demand for veterinary pharmaceuticals, vaccines, and biosecurity technologies.
Exposed assets
ADM · TSN · BG
Continuous event tracking, options routing, and portfolio overlap for this event and the assumptions it moves live inside Market Ontology. Start a trial →