Data Centers Create New Challenges for Poultry Growers Nationwide

Growing energy and water demand from data centers could affect utility costs for poultry operations.

indoor chicken farm chickeen feed_Photo by davit85 via AdobeStock_476807288.png

Photo by davit85 via AdobeStock

NASHVILLE, Tenn. (RFD News) — Data centers are becoming an unexpected factor in poultry production as growing demand for electricity, water, and natural gas creates new cost pressures for contract growers. Dennis Brothers, an agricultural economist at Auburn University, says expanding digital infrastructure brings both opportunities and challenges for modern poultry operations.

On the positive side, poultry farms increasingly rely on internet-connected environmental controls that allow growers to monitor ventilation, temperature, and bird conditions remotely. Faster, more reliable data networks and future artificial intelligence tools could improve management decisions, bird welfare, and production efficiency.

The larger concern is resource competition. Data centers require significant amounts of electricity and water, often in the same rural regions where poultry production is concentrated. Higher demand could increase utility costs while placing additional pressure on local water supplies during periods of peak summer use.

Utilities are also expanding natural gas-fired power generation to meet rising electricity demand. That could influence fuel costs for poultry growers who rely on natural gas or propane to heat broiler houses during cooler weather.

Farm-Level Takeaway: Data centers may improve farm technology, but growers should also prepare for changing energy and water costs as rural infrastructure evolves.
Tony St. James, RFD News Markets Specialist

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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