NFL Lockout Could Destroy Chicken Wing Industry

(Reuters) - An extended NFL lockout would be devastating to the chicken wing industry, which has already seen prices drop precipitously this year, the chief executive of Sanderson Farms Inc (SAFM.O) said.

"It would kill wings, it would be terrible on wings," Joe Sanderson said at the Reuters Global Food and Agriculture Summit on Monday.

Chicken wings are popular fare at sports bars, especially on fall and winter Sundays when the National Football League has most of its games.

After weeks of deliberations NFL team owners and players have not reached agreements on a number of labor issues, including pay and profit sharing. A federal court will hear an antitrust suit filed by NFL players on April 6.

Wholesale chicken wing prices generally run up in the weeks ahead of the league's Super Bowl each February. This year, however, prices have been pressured by too many chickens on the lots.

Wholesale prices for chicken wings in Georgia were $1.04 per pound just ahead of this year's big game, down from $1.74 per pound a year earlier. This week, wing prices plunged to 95 cents per pound, according to U.S. Department of Agriculture data.

Sanderson is the largest supplier of chicken wings to foodservice companies such as Sysco Corp (SYY.N) and U.S. Foodservice.

Last year, Sanderson saw such great demand for wings that it could not keep up. The company sells chicken wings as well as chicken tenders and pieces of breast meat, which are marketed as "boneless wings" at establishments such as Buffalo Wild Wings Inc (BWLD.O).

"This year we had more than plenty," Sanderson said.

If the NFL does not play later this year, "it would be very bad for chicken wings and I do not know to what extent it would be bad for other products they sell in those watering holes or sports bars. It would not be good, I'd tell you that," he said.

As a fan whose company has a box for New Orleans Saints games at the Louisiana Superdome, the lack of football would hurt Sanderson on another level.

"I'd die," Sanderson joked when asked about the impact of a lockout.

While the fate of the upcoming NFL season is up for debate, Sanderson appeared hopeful that an agreement will be reached.

"This thing will be resolved, it's going to be a great season and a great season for wings," he said. "Saints and wings."

(Reporting by Jessica Wohl and Michael Hirtzer)

Copyright 2011 Thomson Reuters. Click for Restrictions.

Comments

[crom14]

09:59 AM on 03/30/2011

I hope so.

[Tristian Armani]

04:50 PM on 03/24/2011

Ok, wait the only thing I got from this article is that chicken wings are 95 cents a pound...WHERE!!

[chimom3]

03:26 PM on 03/24/2011

It's so ironic and sad that people sit at bars consuming mass quantities of beer and fatty foods while they *watch* athletes. Might be a good thing to get over our spectator sports obsession.

[zest]

03:10 PM on 03/24/2011

I wonder if heart attacks will go down?

[No stinking fans]

01:03 PM on 03/24/2011

Buffalo wings come from chickens? Does Palin and Bachman know this?

[captainspirou]

12:34 PM on 03/24/2011

Wings are at an overinflated price. I was at Costco recently and they have legs and thighs for $1/lb while wings were $2/lb. It's great that people have found a way to sell something which was undesirable before but let's have a little perspective.

[ladyvader]

03:08 PM on 03/24/2011

There isn't enough meat on a wing for me to order just them. I prefer breast meat myself. Or a leg. Not big on the thigh.

[SFCity]

11:56 AM on 03/24/2011

I think we'll live through this horrible tragedy......

[FreedToChoose]

10:14 AM on 03/24/2011

The best news yet.

[CLSayles]

09:15 AM on 03/24/2011

What about the pork rind or pizza industry?? The aint crying about a strike. Man-up wing sellers!!!

[lj9283]

01:24 AM on 03/24/2011

Well at least we don't have to worry about the Pig's Wings business like they do in Great Britian:

".....17 per cent of adults think pigs can fly. Or rather, .....they believe pork wings exist as a cut of meat."

http://www.telegraph.co.uk/foodanddrink/8380848/British-consumers-think-pigs-have-wings.html

[BlueKansas]

09:47 PM on 03/23/2011

I've fed raw chicken wings to our dogs for ten years as part of their raw diet (and yes, raw bones are GOOD for them). When wings jumped from 69-cents a pound to $1.69, I had to cut back on buying them. It's crazy. They're all bone and skin, not worth nearly that, but the chicken-wing craze put them in high demand.

Don't know if I'd forego an entire football season to have the price come down, though.

[Peter Bury]

08:59 PM on 03/23/2011

I would be nice if wings can be cheaper than boneless, skinless chicken breasts again. I like making my own wings, but they shouldn't be more expensive to make than Chicken Fingers.

As for sauce, if it isn't Frank's RedHot(and maybe some melted margarine), it's not Buffalo Wings.

[ClaytonM]

11:19 AM on 03/24/2011

100% agree, it's ridiculous that what used to be the scraps are now selling for more than the prime cuts. Just like when I see veal shanks going for more than tenderloin. Not only do I need to have my Osso Buco sit overnight to really let the flavors sink in and the meat to tenderize, but now I have to pay through the nose?

By the way, man up, use melted butter :)

[socalrunner]

05:55 PM on 03/23/2011

In the week leading up to Superbowl Sunday, I experimented with chicken wing recipes, brands, and cooking techniques. Sanderson Farms turned out to be the best wings: plumb wings; no added hormones, salt, water, seaweed or other artificial ingredients. I found the Sanderson Farms wings to be better and cheaper than the “brand name” wings.

People at the Superbowl party I attended raved about the wings—the host asked for my recipe saying they were the best wings he’s ever eaten.

Best technique: steam 10 minutes; pat dry; place on a rack and refrigerator uncovered for at least a couple of hours, deep fry twice.

Then keep the sauce uber simple: 3 parts Franks RedHot Original Cayenne Pepper Sauce with 1 part melted butter.

[Peter Bury]

09:48 PM on 03/23/2011

I start with frozen wings that I buy fresh. That gives you the crispy outside and a still moist inside. 12 wings to a pound average. I might par-cook first them if I was cooking bigger wings. And yeah WTF is up with adding up to 15% water/saline to frozen wings???

[fourthestatepost]

04:09 PM on 03/23/2011

I can't believe that I am writing this in the food section, but, this is an incredibly idiotic article.