Sysco Market Report_May 2025

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MARKET UPDATE

Dear Customers,

The protein market continues to face significant pressure, with rising costs and tight supply conditions across multiple categories. Ongoing disease outbreaks, production challenges, and strong consumer demand are contributing to pricing volatility and availability concerns.

Beef prices remain elevated due to reduced supply and movement restrictions in key markets.

Poultry markets are under strain from sustained inflation, bird flu outbreaks, and shortages in breeding stock. Turkey and egg supply chains continue to be disrupted by widespread disease impacts and increased regulatory controls, while retail demand remains high.

Although some market categories, like duck, are showing early signs of stability, the overall outlook remains cautious. Supply remains tight, and further cost increases are likely in the short term.

We remain committed to supporting our customers through these market challenges. Our team is here to help you navigate your options with a wide range of product alternatives and long-term value solutions.

Warm Regards, Sysco Ireland

Centre of Plate | Produce | Bakery & Dessert

Catering Supplies & Beverage

| Chicken | EU Turkey | Duck

YOUR SPECIALIST FOODSERVICE TEAM

The global food market can be unpredictable, but your supply doesn’t have to be. Our specialist team is here to help you stay stocked with quality options that fit your budget. Whether it’s discovering new products, exploring different price tiers, or finding the best value, we’ve got solutions for you. Talk to your ASM to arrange a meeting.

Centre of Plate

MICHAEL JOYCE

Mick has been in the industry for over 30 years. He is a qualified master butcher and provides his customers with expert information to add value to their business.

Centre of Plate

NEIL BRISLANE

Neil has been part of the Sysco team for over 20 years, with the last decade dedicated to Centre of Plate. His deep knowledge helps customers make informed decisions, adding real value to their business.

Centre of Plate

PHILL WARING

Phill joined the business in 2023 after 18 years working as a Chef. His roles were primarily in Fine Dining establishments throughout Northern Ireland, but he also spent time in Australia.

Produce

NOEL RYAN

Noel joined Sysco in 2022, however with 35 years in the produce business he brings a wealth of experience to his role. Noel’s belief in Sysco’s customer centric values plays an important role in how he does his job.

Produce

ALASDAIR MacINNES

Alasdair joined the business over 20 years ago, following 25 years as a chef working in busy restaurants. He began his career with Sysco in purchasing before moving to a produce specialist role.

Produce

RUTH POLLOCK

Ruth joined Sysco in 2024 and has over 20 years’ experience within fresh produce. Ruth enjoys working in partnership with her customers to come up with the best solution for their business.

Centre of Plate

KELAN McMICHAEL

Kelan has worked in the industry as a chef for over 25 years, in some of the finest kitchens in the UK and Ireland. He was honoured to be part of a team that cooked in the Hague, representing Ireland and Irish produce.

Produce

SIMON DOHERTY

Simon has over 35 years’ experience in the industry and is an expert in the produce category. Simon is always willing to go above and beyond to ensure the highest quality service.

Produce

ALISON KIDD

Since joining Sysco in 2022, Alison has cultivated strong relationships with many of our key customers. With a deep understanding of the fresh produce market, Alison provides solutions that drive growth and success for her customers.

Bakery & Dessert

ELAINE MEADE

Elaine joined the business in 2024 and brings over 15 years experience in the industry to her role. After training as a chef, Elaine worked in restaurants, hotels and cafes across Ireland and London, later opening her own café In Clare.

Bakery & Dessert

BRONAGH BEATTIE

Bronagh joined Sysco in 2023 and has over 20 years’ experience as a chef, working in fine dining restaurants, cafes and hotels worldwide. She enjoys supporting her customers with new ideas and innovation.

Produce

PATRICK KEOHANE

Patrick joined Sysco 6 years ago. He has a wide range of experience in the sector from growing potatoes on his family farm to the early days of his career prepping veg in a hotel and working as a kitchen porter. Patrick enjoys meeting new people as part of his role, supporting his customers to improve their business.

Catering Supplies & Beverage

JONATHAN O’SHEA

Jonathan joined Sysco in 2022 with over 18 years experience as a chef. Jonathan has vast knowledge and experience in the hospitality industry having worked in restaurants across all levels – from Gastro pubs to Michelin Star.

Catering Supplies & Beverage

DEBBIE BLACKBURN

Debbie joined Sysco in 2022 following 15 years in the coffee industry. She is passionate about customer service, always going the extra mile for her customers.

Bakery & Dessert

BRENDAN SEWELL

More than 32 years’ experience in the food industry in Ireland gives Brendan a deep understanding of the sector. Previously working as a Chef and a pastry chef in 5* Hotels, Brendan has a wealth of knowledge to share with his customers.

Catering Supplies & Beverage

JOANNE McCUSKER

Joanne joined Sysco in 2024 and brings over 30 years’ experience to her role. She began her career in the licensed trade and has owned two coffee shops before progressing into sales.

PROTEIN

BEEF

Beef prices remain on the rise, driven by tighter cattle supplies across Europe and movement restrictions in key trading markets due to the spread of bluetongue. Prices have increased 16% since March 1st. Sysco offers a broad selection of beef options and alternative cuts to help manage these rising costs. Contact your ASM for more information.

KEY POINTS

Demand

Remains strong, due to low supplies in key markets for the year ahead. Demand continues to exceed supply levels. Retail demand in Ireland continues to grow, with volume increasing by 1.2% for 2023 vs 2024, and will grow further in 2025. Retail demand in the UK also continues to grow, with volume increasing by 2.2% for 2023 vs 2024, and will grow further in 2025.

Production

Bord Bia forecasts Irish production to be back 5% overall, with prime cattle accounting for 73% of the reduction.

Live exports

These are up 21% year on year so far.

CHICKEN

The fresh poultry market continues to face significant inflation. Livestock prices are now nearing levels last seen in May 2022, during the early months of the Russia-Ukraine conflict, which saw 25–30% inflation from March to May 2022. Since mid-February 2025, European fresh poultry prices have risen by approximately 15–20%. With ongoing market uncertainty due to inflation, further price increases are expected, potentially surpassing inflation levels recorded during the same period in 2022.

KEY POINTS

Supply Challenges

Bird Flu continues to rise across Europe, and Newcastle Disease outbreaks are still a threat. The EU commission has announced fresh measures to combat the spread of the Avian Influenza (AI) virus. These will come into effect in Poland from the 21st April, 2025, and will involve:

• Extended restriction zones 10km - 15km

• 60 day quarantine periods

• Extension of time between flocks in cycles

• Possible adjustment to stocking densities.

Market Factors

There are still major market shortages for eggs and day-old chicks, while significant market shortages and inflation for other proteins are pushing demand into more affordable proteins such as chicken.

Seasonal Opportunities

The arrival of BBQ season in early May heralds peak demand

for chicken.

Input Poultry Pricing

EU Fresh Chicken Market Outlook May 2025

Source: Eurostat

Poland is by far the biggest producer in the EU, and exports substantial volumes to NL and UK. When production in Poland falls, a shortage is created throughout Europe, including NL, IE & UK.

EUROPEAN TURKEY

As in March, global turkey meat production continues to decline amid rising avian flu outbreaks, while chicken meat production continues to grow. In the current reporting year 2024/25 (01.07 – 30.06), 420 outbreaks have been reported. A total of 27 million animals have been affected, of which 1.9 million were turkeys.

Price Outlook

The largest losses of turkeys by country are as follows:

Poland

660,000 turkeys

Italy

582,000 turkeys

England

261,000 turkeys

Hungary 177,000 turkeys

Germany 146,000 turkeys

These outbreaks are influencing the availability of fresh and frozen stocks and costs are now back to the same level experienced during the Christmas period 2024. They are expected to rise a further 7% in May 2025.

Gross own production [in Tt SG; CAGR in %]

DUCK

Duck continues to see stabilisation in the market coming into Q2 2025.

DAIRY

EGGS

Following confirmed Bird Flu cases in the North, the Minister for Agriculture, Food and the Marine, Martin Heydon announced a “housing order” across the island of Ireland for poultry flocks and captive birds, effective February 17th, 2025. According to the order, poultry and captive birds must be housed in order to reduce the opportunity for contact with infected wild animals. Birds or poultry that cannot be housed must be confined in such a manner that they do not come into contact with other poultry, captive birds or wild birds.

To date, more than 112,000 birds have been culled in Northern Ireland after suspected cases. The outbreak does not pose a risk to humans, but humans can spread the virus.

KEY POINTS

Supply Outlook

The AI outbreak has not yet affected our suppliers but we are seeing limited stock available in the market due to natural cycles of hens and conversions from cage to barn.

Although we are speaking daily to suppliers to secure stocks, there could be potential increases in coming weeks. Limited availability of liquid egg is also expected.

Egg suppliers are having to invest in new production facilities to allow them to increase demand.

Overseas Factors

Our partners in Great Britain and France are in similar situations. As with the previous outbreak, we will see British retailers, with little to no availability in the market, coming to Ireland looking for eggs.

Market Outlook

2025 is proving to be a more challenging year for the egg industry than anyone had predicted.

Avian Flu outbreaks in Europe and the UK since Q4 2024 have resulted in 2 million birds being culled

To date increases for April

in the UK, along with more than 1 million in Italy, and 20% of the stock in Poland. Many other EU countries have also suffered large losses.

In the USA, more than 160 million birds were lost to Avian Flu in 2024 and 27 million in the first 8 weeks of 2025.

In response, over 700 sea containers of shell eggs from Turkey will be sent to the USA until June, putting further strain on EU supply.

Additional Pressures

This will be the first year of farm permit reductions in Europe, meaning less hens are available. EU and UK retailers converted to Caged Free from January 1st, 2025, putting extra pressure on an already stretched situation.

Consumer Demand

The affordability of egg as a protein source compared to other protein options means that retail shell egg remains strong across the UK and EU.

The EU shell egg market saw continued upward price momentum throughout March as a result. However, supply levels are consistently rated as ‘barely adequate’.

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