The production quota is issued by the national body Chicken Farmers of Canada, to the Newfoundland Chicken Marketing Board who are responsible for provincial quota allocations, production and general management of the chicken industry. The Newfoundland broiler industry is largely comprised of a single integrated company. This should allow for cooperative production and processing on a scale which should reduce costs in order to compete in regional and national markets. Newfoundland's chicken farmers now grow product that is very responsive to the customers' needs. Producer and processor are now one unit and market demands are responded to immediately.
Large customers require very fresh, correctly sized and priced product.
The fact that we are on an island is in the local growers' favor and creates an opportunity to supply fresher product than can be imported. In the next several years, production is expected to increase significantly thereby allowing the local industry to reduce costs by improving their scale of output. Challenges The high cost of feed ingredients and rations from mainland sources must continue to be addressed. There is vigorous competition from mainland poultry meat suppliers. Many of the competitors for the Newfoundland market are large, integrated, well organized.