Recent avian influenza outbreaks in Europe, the Middle East and Africa have caused dramatic swings in poultry consumption, increased trade bans and sharp price declines, the United Nation's Food and Agriculture Organization (FAO) reports.

Recent avian influenza outbreaks in Europe, the Middle East and Africa have caused dramatic swings in poultry consumption, increased trade bans and sharp price declines, the United Nation's Food and Agriculture Organization (FAO) reports. FAO expects poultry consumption shocks this year in many countries in Europe, the Middle East, and Africa that have been hit by avian influenza. As unfounded fears of disease transmission reduce consumption and imports, lower domestic prices are forecast to limit production growth.

"A steady erosion of previously expected gains in per capita poultry consumption will likely push down global poultry consumption in 2006, currently estimated at 81.8 million tons, nearly 3 million tons lower than the previous 2006 estimate of 84.6 million tons," said FAO commodity specialist Nancy Morgan.

One area that was particularly hard hit is Romania where flu outbreaks and concerns led to a 10 percent to 25 percent decrease in production numbers in the poultry and feed industries. Despite avian flu concerns, Transavia, one of the top poultry companies in Romania, will invest $12 million in a new project that aims to double its production and processing capacities.