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|Feed conference tackles grower nutrition|
[12 December 2013] Grower nutrition is among the four topics that will be discussed at the Asian Agribiz 2014 Pig Feed Quality Conference to be held on March 13-14, 2014 at the Edsa Shangri-la Hotel in Manila, Philippines. The other three topics are feed ingredients, feed quality and feed processing. Click here to get more information on the Conference, as well as to receive a background paper on ‘Feeding growers to reduce the cost of production’ by Dr Bruce Mullan.
|Betagro Group adopts genomic selection in swine breeding|
[12 December 2013] Betagro Group has teamed up with Khon Kaen University, Chiang Mai University and the National Science and Technology Development Agency (NSTDA) to implement genomic selection in swine breeding. Using this genomic estimated breeding value (GEBV) tool in swine breeding will ensure more accurate yields and efficient prediction of estimated breeding values in pigs than other traditional breeding models. Angsana Horcharoen, Assistant Vice President of Swine Business said Betagro is the first in Southeast Asia to embrace this method which is spreading across the world. Compared with traditional breeding methods, genomic selection technology provides better selection accuracy and decreases overall production costs and thus helps Thailand to reduce dependence on imported breeder pigs while providing a competitive edge in livestock development.
|Expansion of Panama Canal to lower grain shipping cost |
[12 December 2013] The cost of shipping grain from the US to Asia will drop by about 12% upon completion of the expansion of the Panama Canal. In a new report, 'Panama Canal: Expanding the Gateway for US Grain to the East', Rabobank says the expansion of the Canal will accommodate vessels of 25% more capacity than before, resulting in a shift in US grain shipping routes. The bank said this will help ports along the US Gulf to regain export volume lost to ports in the Pacific Northwest over the last decade, and also benefit large grain traders and exporters with operations in the US Gulf region. Ocean freight accounts for 60% of total shipping cost, so increased shipping capacity has a material effect on cost savings.
|KFC confident of revenue hike next year|
[12 December 2013] Despite the gloomy outlook for the food industry, PT Fastfood Indonesia, the operator of KFC in Indonesia, is confident of double-digit growth next year. It expects to book at least USD 378.63 million in revenue next year, a 10% increase from 2013, Director Justinus D Juwono said. The company booked USD 314 million in total revenue in 2012. For 2014, the company has set USD 29 million for capital expenditure. Mr Justinus said the capital would be used to build 33 new KFC restaurants, most of which will be free-standing outlets. Besides establishing new outlets, he said that the company would also revamp its existing outlets. Fast Food Indonesia currently has 279 outlets, with 29 new outlets established this year.
|Typhoon renders immense damage to Philippine fisheries|
[12 December 2013] Although final assessments are still forthcoming, the damage to the Philippine fisheries sector by Typhoon Haiyan is likely to be immense, spanning the entire value chain from catch to market, says the Food and Agriculture Organisation (FAO) Acting Representative in the Philippines Rodrigue Vinet. The four worst-hit regions are all major producers of both aquaculture and fisheries. The FAO and the Philippine government are currently preparing a recovery and reconstruction plan, and the agency has called for an initial USD 5 million to help rebuild the livelihood of the affected communities and fisherfolk.
|Minerva Foods train eyes on Southeast Asian|
[12 December 2013] Southeast Asia will remain Minerva Foods’ important client. According to Chairman of the meat packing company Fernando Galetti de Queiroz, the leading markets for the company are developing countries, especially Muslim nations and Southeast Asia. “We are focused on emerging markets, especially places like China and Southeast Asia, one of the world’s thriving areas right now.” He said Muslims countries are highly relevant to the company “because we are becoming increasingly specialised in halal slaughter”.
|Vietnam's TH Milk to import 10,000 cows|
[11 December 2013] Vietnam's second biggest diary producer, TH Milk Group, is considering importing 10,000 cows from Canada to increase its production. "All the cows we have currently are from New Zealand, Australia and Canada," Le Van Cau of TH Milk factory in Nghe An province told Asian Agribiz. He said the company has a herd of 35,000 cows. In July, TH Group started operating its processing plant, the biggest milk plant in the Southeast Asia, costing USD 100 million. The company employs technology from top providers like Siemens, Danfoss and Grundfos; Afimilk, Israel's leading milk technology group, manages TH Milk production.
|Indonesia to invest USD41.8m in new feedmills |
[11 December 2013] Chairman of the Indonesian Feed Mills Association Sudirman FX said at least five companies plan to build animal feed plants next year, with a total combined investment of around USD 41.8 million. He said the companies included PT Jakson Niagatama and four other companies that he declined to identify. He also did not disclose the precise investment for each company. According to him, the future of the feed industry is promising, especially poultry. The feed industry accounts for around USD 4.2 billion a year, or less than 50% of the total output of USD 10 billion total earnings from the poultry industry. Animal feed consumption has increased in Indonesia, with this year’s consumption estimated to reach 14.3 million tonnes, up from last year’s 12.9 million tonnes. “The growth is expected to increase by 10% next year,” Mr Sudirman said.
|China commits to stable grain production|
[11 December 2013] To maintain stable grain production, China will guarantee that it has at least 106 million hectares of land for crops each year. The government also will increase incentives for farmers, intensify agro-technology extension services and step up natural disaster prevention and reduction measures, said Minister of Agriculture Han Changfu. He added that despite rising imports, China is committed to feeding its people on its own, though it will also take advantage of the global market. The country's grain output is expected to reach 601 million metric tons for 2013, a record high and the 10th bumper harvest year in a row.
|Indonesia seeks to suspend Australian cattle imports|
[11 December 2013] Indonesia’s government has requested cattle importers to temporarily halt imports of livestock from Australia pending moves to restore bilateral ties damaged by the recent spying allegations. Agriculture Minister Suswono said the government had a clear stance on Jakarta-Canberra bilateral issues. “When it comes to cattle and beef imports, the deals were made within a business-to-business framework. We can only appeal to importers to act in line with the government’s stance, until everything is completely normalised,” he said. He called on business players in the sector to make the necessary adjustments in accordance with the progress of bilateral relations. He also said the government is ready to reduce the volume of imported cattle from Australia. “If the President is not satisfied with Australia’s response to the recent diplomatic tension, then we will review the policy.”
|KFC China's new campaign may backfire|
[11 December 2013] KFC China's new slogan "Trust in every bite" and its new "I Commit" campaign intended to reassure customers in its largest market, is likely to backfire. Interviews with Chinese consumers suggest that rather than soothing concerns, the ads are reminding diners about the food safety scare, which could undermine Yum Brands' mission to revive sales at its fried chicken chain. A survey conducted last month found nearly 40% of respondents were still concerned about antibiotic use in KFC chickens. Yum Brands, which cut off some suppliers after the television report on antibiotics, initially predicted safety fears would quickly fade. But sales at its established restaurants have yet to turn around, and it has pushed back the recovery timeline.
|CP receives AVA nod for raw chicken exports to Singapore|
[10 December 2013] Agri-food and Veterinary Authority of Singapore (AVA) has granted approval to Thailand’s Charoen Pokphand Foods (CP Foods) for export of frozen raw chicken to Singapore. The company will be the first food manufacturer from Thailand to successfully export poultry to Singapore since the ban following the Avian Influenza outbreak in 2004. According to a press release made available to Asian Agribiz “CP Foods will supply halal-certified frozen raw chicken parts to Singapore’s retail market through NTUC FairPrice supermarkets from December 2013 (depending on shipment)”. Prior to lifting the ban AVA conducted an on-site verification of the disease control situation and evaluation of the effectiveness of sanitary controls in Thailand. “By diversifying our sources of food, Singapore is better buffered against potential supply disruptions,” said AVA CEO Tan Poh Hong.
|Japfa Vietnam plans to venture into dairy|
[10 December 2013] Japfa Comfeed Vietnam plans to venture into the dairy cattle industry. "We are trying to collaborate with some big groups in Vietnam who have dairy farming in Vietnam," Sanjeev Kumar, Managing Director told Asian Agribiz, adding that the company is providing dairy feed to TH Group, a major dairy producer experiencing fast growth in Vietnam. "We want to enter this segment by doing something new," he said.
|Thailand asks Philippines to increase chicken imports |
[10 December 2013] Thai Commerce Minister Niwatthamrong Boonsongpaisan has urged Philippine Trade and Industry Secretary Gregory L. Domingo to increase imports of Thai frozen raw chicken, at the recent World Trade Organization ministerial meeting in Jakarta. The Philippines reduced chicken imports from Thailand following the bird flu outbreak in 2004. Meanwhile, Thai Agriculture Minister Yukol Limlamthong will meet with The Philippines Agriculture Secretary Proceso Alcala in Bangkok on December 20, to further discuss the chicken import issue with his counterpart.
|Michael Goettl to head Bunge Asia|
[10 December 2013] Bunge Limited has announced the appointment of Michael Goettl to the position of CEO, Bunge Asia, effective January 1, succeeding Christopher White, who, after leading Bunge's Asian operations for ten years, will remain with Bunge as a senior advisor managing strategic initiatives for the company. “Mike is an outstanding operator, with a track record of delivering results in existing businesses and creating value from new investments," said Soren Schroder, CEO, Bunge Limited. He has been with Bunge since 2005 in a number of management roles.
|ADM seeks acquisitions in Asia|
[10 December 2013] With a keen eye on Asia, Archer Daniels Midland (ADM) remains on the lookout for deals overseas despite last week's failure of a key acquisition (Sydney-based GrainCorp Ltd) in Asia. Chief Financial Officer Ray Young said ADM is interested in acquisitions as well as other investments and joint ventures to help spread its business deeper into Asia. "The industry continues to consolidate around the world," he said. "There may not be that many global competitors left, but there are a lot of regional competitors." Australia put the brakes on ADM's agreed USD 2.7 billion takeover of GrainCorp, ruling that the deal would run against Australia's national interests. The move surprised industry experts and upended ADM's plans in Asia Pacific, where a growing Chinese middle class is seen desiring more grain and food products.
|Vietnam sees profits in swine and losses in eggs|
[10 December 2013] With imports from China surging, Vietnamese swine farmers are enjoying good profits. Prices of live pigs have risen to USD 2300/tonne against a production cost of around USD 1920/tonne. , farmers can make profit from the new prices. China imports 1,000 tonnes of live pigs from Vietnam daily. Meanwhile, poultry farmers are working in huge losses since an egg is offered at USD 0.07, below production cost of USD0.08/egg.
|Indonesia to import 100,000 broiler PS|
[09 December 2013] From January to November this year, Indonesia imported 81,153 broiler PS. Secretary General of the Indonesian Poultry Breeder Association Chandra Gunawan predicted that imports would escalate to 100,000 birds by the end of this year. “The figure actually may reach 300,000-500,000 birds, but the US and UK are experiencing supply shortage. Supplies from Australia, meanwhile, are not allowed by the government since there were outbreaks of Avian Influenza in the country,” he told Asian Agribiz. "The demand for commercial broiler DOC is increasing, so we need to meet the demand by importing broiler PS since local supply is limited. Broiler PS supply is a two year cycle. In 2010, Indonesia imported 80,600 birds. In 2011, imports reached 663,000 birds. Last year there were no imports so this year there was stock replenishment and increase.” This year, demand for broiler PS in Indonesia reached 21 million birds, and next year Mr Chandra said it could increase to 22 million birds.
|Japfa Vietnam runs modest processing operation|
[09 December 2013] Vietnam is still very much a warm meat market. Sanjeev Kumar, Managing Director of Japfa Comfeed Vietnam, told Asian Agribiz that the major percentage of its swine and poultry are sold live. In 2003, Japfa Vietnam built a poultry slaughterhouse and processing factory in Vinh Phuc province. "The investment was in line with the government's to encourage modern processing as a measure to fight bird flu. But the slaughterhouse has not been successful as the preference is still for warm meat," he said, adding that only 1-2% of the poultry that Japfa Vietnam produces is processed. Japfa Vietnam is the number one player in live poultry production in northern Vietnam. The company produce 3 million chicks a month, of which 2 million goes to it contracted farms.
|Thai chicken exports to rise after Singapore lifts ban|
[09 December 2013] Thailand expects to gain USD 248.22 million for chicken exports to Singapore once the island nation resumes imports of frozen raw chicken from Thailand after a nine-year ban said Surasak Riangkrul, Director-general of the Foreign Trade Department at the Commerce Ministry of Thailand. Although Singapore is not a major market for Thai chicken, reopening up of its market to Thai products would encourage other markets especially since Singapore employs high standard for poultry imports, Mr Surasak said. So far, countries including Hong Kong, Bahrain, Russia, South Africa, UAE and EU have lifted their bans on Thai frozen raw chicken, making Thai shipment of the products rise to 116,178 tonnes in 2012, from 51,270 tonnes in 2011.
|KSB Distribution moves into cooked products|
[09 December 2013] Singapore further processing company KSB Distribution Pte Ltd has moved into the manufacturing of cooked products with the opening of its Halal Smallgoods department that manufactures sausages, hams and other gourmet specialities. Within the first quarter of 2014 the company plans to roll out the SunnyGold brand of products which is already produced in Malaysia by Leong Hup Holdings and in Indonesia by Malindo. Leong Hup is a shareholder in both the Indonesian and Singaporean companies. “The Halal Smallgoods plant is an efficient plant designed by a German master butcher. In terms of flow, the plant observes all food safety rules,” said Chief Operating Officer Chew Keng Wah. The facility is equipped with a smokehouse, an intensive cooling facility and a thermoforming packaging machine.
|Second H7N9 human infection in Hong Kong|
[09 December 2013] Hong Kong health authorities have reported a second human case of the deadly H7N9 bird flu. An 80-year-old man has been infected and is hospitalised. The island has stepped up border health checks with extra health officials positioned to carry out random temperature checks prior to entrance into Hong Kong. Meanwhile, Xinhua news agency reported that a 30-year-old man in east China's Zhejiang Province has also been infected with the H7N9 bird flu virus.
|Berg + Schmidt's lecithin deoiled plant to be operational in December|
[06 December 2013] Southeast Asia’s first deoiled lecithin plant on Jurong Island, Singapore, will be operational before the year is out. Built by Hamburg lipids company Berg + Schmidt Asia Pte Ltd’s together with partner Carotino Biochem Pte Ltd, the fully automatic facility will produce 6000 tonnes/year of the highly concentrated phospholipid complex. “The deoiled product is more stable and concentrate, it blends easily with other products and the powder form makes it easier to transport,” Carotino Technical Director Yashodhan Bhawe told Asian Agribiz. The plant in Singapore is an expansion of the plant in India which is running at full capacity of 6000 tonnes/year. Mr Bhawe said that at the plant raw material right up to the finished product is not exposed to the outside atmosphere but is contained in a sterile system reducing the risk of bacteria contamination.
|Japfa Vietnam to focus on swine production|
[06 December 2013] Japfa Comfeed Vietnam has entered a new development stage with focus on consolidation and swine production. "In Vietnam 60-70% of the market is actually swine. If you want to be big, you must be big in swine," Sanjeev Kumar, Managing Director, told Asian Agribiz. Just four years after the company started its swine production Japfa Vietnam has become the second biggest swine producer in the country with 35,000 - 40,000 sows. "We want to be stronger in swine production and feed," he said. "From 2010 to 2012, we wanted to grow fast and expand aggressively. We did that. Now we are in a consolidation stage. We want to be strong and efficient," he said.
|Indon government urged to regulate broiler, egg prices|
[06 December 2013] More than 300 independent broiler and layer farmers from many regions in Indonesia lobbied the Ministry of Agriculture on December 3 to regulate broiler and egg prices. Coordinator of the demonstration Kadma Wijaya told Asian Agribiz: “Since three months ago, the prices of broiler and egg at farm gate ranged between USD 0.9-1.17/kg and USD 1.08-1.17/kg, respectively. The production costs, meanwhile, are about USD 1.45/kg and USD 1.36/kg, respectively.” He said the low price was due to oversupply as many integrators still sell their (live) broilers and eggs to traditional markets. “We want market segmentation between independent farmers and integrators. Integrators should focus on processed products.” Fauzi Luthan, Director of Animal Husbandry of Indonesia’s Ministry of Agriculture promised to bring independent farmers and integrators to the table to determine supply and demand and define the market segmentation models.
|Vietnam suffering shortage of beef|
[06 December 2013] Vietnam is suffering a severe shortage of beef. According to Head of Vietnam Animal Husbandry Association Nguyen Dang Vang the country does not have enough grass land to develop the cattle flock. "Vietnam produced only about 98,000 tonnes of beef in 2001. This increased to 300,000 tonnes last year and the country imported another 100,000 tonnes," he told Asian Agribiz. He added that Vietnam has about 5 million cows and 2,7 million buffalos. "We imported 180,000 live cattle mostly from Lao and Cambodia, last year. Meanwhile imports from Australia increased significantly in the last few months, and is expected to reach 55,000 live cattle this year," he said. Other limitations of the cattle industry include quality of breed, farming skills and cattle feed.
|Indonesia to increase processed fish exports|
[06 December 2013] Indonesia’s Ministry of Fisheries and Marine Affairs (KKP) is planning to reduce fish exports in the form of raw material. Director General of Processing and Marketing of KKP Saut Hutagalung said the ministry will coordinate with the Ministry of Industry and Trade. “We want to improve the development of the fish processing industry in the country as well as to increase exports of processed fish products.” Mr Saut believes exports of processed fish products will give added value to the local industry. “The price of tuna in the form of raw material is only USD 1000/tonne, but if we export it as a processed product, the price may reach USD 1600/tonne.”
|Singapore lifts ban on import of UK beef|
[06 December 2013] In a circular to meat traders Singapore’s AVA announced that it has lifted its ban on beef imports from the UK. This comes after the body made visits to the UK, inspected three plants and approved them for export. The ban was imposed in 1996 after UK authorities announced that presence of BSE in British cattle and confirmed a link with human variant Creutzfeldt Jakob Disease. The three plants are allowed to export deboned beef from cattle aged 30 months or less to Singapore immediately.
|N&N Agriculture biogas project a success|
[05 December 2013] Singapore’s N&N Agriculture Pte Ltd’s plans to power up its processing plant with a biogas project that creates methane gas. Chief Executive Officer Ma Chin Chew told Asian Agribiz eggs from the farm are cleaned and graded, and developed into boiled eggs, liquid eggs as well as pasteurised shell eggs at this plant. Methane gas is generated from dry spent grain such as wheat from the brewery industry and soybean from the soy milk and beancurd factories. These products are used as supplement feed ingredients for its layer feed. N&N has invested in five micro turbines which generate enough electricity to power up its six hen houses and two pullet houses. The company relies on the power grid for only 20% of its electricity supply and is working to shrink this further to 15-12% by year end.
|Oversupply in Vietnam's swine industry|
[05 December 2013] Pigmeat price in Vietnam has contracted due to oversupply. Nguyen Dang Vang, Head of Vietnam's Animal Husbandry Association told Asian Agribiz that high prices in 2011 encouraged investors from other industries. "The increase in production came when Vietnam encountered problems with its economy, forcing lower market demand," he said. In 2012, many farms reduced their flocks by up to one third, but that still didn't help solve the problem. A few months ago, Vietnam reported large number of pigs of over 100 kg, which is much higher than the normal slaughtering weigh of 70 - 80 kg, due to the inability to sell. "The situation has improved as live pigs export to China has resumed," he said. There are no official numbers available on pig exports to China, but some farmers say the country's swine industry is heavily dependent on China market.
|New Hope acquires stake in Aussie beef processor|
[05 December 2013] China's New Hope Investment, a major global player in the pork and chicken industries has taken a majority stake Australia's fourth biggest beef processor, Kilcoy Pastoral Company in Queensland. This coincides with an extraordinary increase in Australian beef exports to China over the past 12 months. Since January, exports have leapt more than 400% to 140,000 tonnes, making China, Australia's third biggest beef customer after Japan and the United States.
|Malindo inaugurates its first further processing plant|
[05 December 2013] PT Malindo Food Delight, a subsidiary of PT Malindo Feedmill, has inaugurated its first further processing plant. It entailed an investment of USD 12 million and is located in Cikarang. Lau Joo Hwa, Deputy CEO of Malindo Feedmill, said the plant has an installed capacity of 9000 tonnes/year and is equipped with advanced processing technology from Germany, the Netherland and Japan. The plant produces chicken nuggets, sausages, spicy wings and tempura. “We just started the operations two months ago and we will expand our market reach through several marketing promotions,” he said. “Indonesia offers good potential for further processed chicken products since the national consumption of chicken meat is still low, about 8 kg/capita, compared to developed countries which have reached about 38 kg/capita.”
|CP Indonesia allocates USD200m for new feedmills|
[05 December 2013] Charoen Pokphand Indonesia plans to allocate USD 200 million for capital expenditure in 2014. According to Director Ong Mei Sian, the capex will come mostly from internal cash. “We will use the capex to build two new feedmills, in Bali and West Sumatera.” CP Indonesia already has seven feedmills.
|China deal a sweetener for UK pig farmers|
[05 December 2013] UK pig farmers could earn up to USD 74 million from exports of semen to China under a new deal signed between the two countries, the British government said. Chinese pig producers have been boosting the quality of their stocks by importing genetics, and last year opened its market to imports of live pigs from the UK. Chinese biological safety rules currently prohibits pig semen imports from the UK but under the new deal, the UK government hopes to start exporting semen by the spring of 2014. In addition to semen, the UK is also seeking to ship pig trotters (feet) to China, where the product is considered a delicacy.
|Hong Kong on alert following human H7N9 infection|
[04 December 2013] Hong Kong is on high alert following the confirmation of the H7N9 bird flu in a domestic worker from Indonesia who recently travelled to Shenzhen about 60 miles north of Hong Kong. It is a sign that the virus may be spreading beyond mainland China, where most infections have been reported, and Taiwan. Dr Ko Wing-man, Hong Kong's food and health secretary, confirmed the case late on Monday. "She is now in critical condition at Queen Mary Hospital," he said, adding that four people in close contact with her were showing signs of flu-like symptoms. Hong Kong is now on public health alert and has suspended the import of live chickens from some farms across the border with the mainland.
|Calata Corp acquires meat supplier|
[04 December 2013] Calata Corp has acquired a controlling interest in the meat business of the Galicia Group, a supplier of meat products to large retail outlets in the Philippines. Galicia is currently a major supplier of pork, beef and chicken meat to the Puregold supermarket chain the country. In October Calata Corp Chairman Joseph Calata said the company is exploring the meats business and is looking at partnerships, as its business thrust is to complete the food cycle. The acquisition of Galicia’s meat business is seen to solidify the Calata’s position as an integrated and leading agribusiness player in the country.
|China rejects Syngenta's GM corn|
[04 December 2013] China recently rejected a 60,000 tonne shipment of US corn because it included unapproved genetically modified grain, the country's food-quality watchdog said. The shipment which was detained in Shenzhen, near Hong Kong, was found to contain a special insect-resistant variety of maize developed by Syngenta which is not on the Chinese government's short list of approved grains considered genetically modified organisms, or GMO. According to the Wall Street Journal, China has increasingly turned to GMO imports to help meet its growing food demand. Beijing approved permits for three varieties of GMO soybeans in June, including strains developed by US seed giant Monsanto and Germany's BASF.
|Cambodia a promising market for US meat|
[04 December 2013] Cambodia is emerging as a promising market for US meat according to Director of the Asean region, Sabrina Yin, who oversees marketing and regulatory activities for the US Meat Export Federation. She said a formal meat trade protocol established recently with the US will offer importers a simpler, smoother process and could help give them access to a wider range of US suppliers. In 2012, US beef exports to Cambodia totalled 130 metric tonnes valued at USD 1.12 million. Through September, this year’s exports had already reached 170 metric tonnes valued at USD 1.8 million. Although a much smaller market for imported pork, the US pork industry has posted direct pork exports to Cambodia for the first time this year.
|Dharma Samudera ventures into fish further processing|
[04 December 2013] PT Dharma Samudera Indonesia, a renowned fish exporter in Indonesia, plans to venture into further processed fish products in the near future. Director Herman Sutjiamidjaja said the company will process tuna and octopus into ready-to-eat seafood products. He said the company has secured a contract with a Japanese company to export 400 tonnes of ready-to-eat tuna products and 500 tonnes of ready-to-eat octopus every six months. Mr Herman believes the new business will contribute about 20% to the total revenue of the company.
|Significant growth in Vietnam shrimp exports to China|
[04 December 2013] Vietnam's seafood exports to China reached USD 462 million in the first ten months, an increase of 30% year-on-year. Export revenue stood at USD 310 million, accounting for 67% of the total seafood export revenue to China, of which only 4% came from processed seafood. Local seafood processors are concerned that Chinese traders are purchasing shrimp on Vietnamese farms at a higher price, creating a shortfall in raw materials for foreign players. "We are short of raw material and thousands of jobs at our company are being threatened," said Nguyen Trong Thuan, Director of Thong Thuan Cam Ranh seafood exporter in Khanh Hoa province. The company can produce 4,600 tonnes of processed seafood per year, valued at about USD 30 million. "We may not be able to meet our foreign orders," he added.
|Breeding company in Bangka to be sold to CP Indonesia |
[03 December 2013] PT Devi Trijaya Perkasa is the only broiler breeder in Bangka, the Province of Bangka Belitung Archipelago – Indonesia. Before this, all broiler DOC in the region was supplied from South Sumatera and Java. In operation since in the beginning of 2009, the company currently raises about 120,000 Cobb PS in its 18 closed houses in Merawang and has a hatchery with six multi-stage incubators from Jamesway. An executive of the company revealed to Asian Agribiz that the company will be sold to Charoen Pokphand Indonesia in the near future. He believes that CP Indonesia will help the company advance and this will help develop the poultry industry in the region.
|Indonesia’s broiler GP imports grow|
[03 December 2013] The Indonesian Poultry Breeder Association (GPPU) predicts that broiler GP imports next year will reach about 680,000 birds or a 4.62% increase over this year which is projected to reach 650,000 birds. According to GPPU data, from January to November this year, as many as 574,932 broiler GP have been imported by 13 companies. Secretary General of GPPU Chandra Gunawan estimated that national broiler DOC production this year would reach about 2.1 billion DOCs or up by 16.86% compared to last year. “Last year, the average broiler DOC production per week was about 35 million, while this year it has reached about 45 million DOCs.” According to Mr Chandra, the increase is driven by increased consumption of chicken meat. “Indonesia’s chicken meat consumption this year is about 8.08 kg/capita, up 15.9% from last year which was about 6.97 kg/capita.”
|Vietnam reports low egg price in southern provinces|
[03 December 2013] Poultry farmers in the southern provinces of Vietnam say egg prices have hit a record low, forcing many farmers to reduce their layer flocks. The price stands at USD 0.57 - 0.62 for ten eggs, down 20% compared to early November. "Our farm produced about 22,000 eggs/day, and in the last two weeks I am losing USD 189 - 236/day," said Huynh Kim Xuan, owner of a chicken farm in Dong Nai province. The price is expected to remain low until the lunar New Year. However, retail price of eggs remains at USD 1.04 - 1.18 for ten eggs.
|CPDO to resume DOC and egg supply in February|
[03 December 2013] India's Central Poultry Development Organisation and Training Institute (CPDO & TI) in Bangalore began fresh rearing in June this year following a bird flu outbreak earlier. It brought in eggs of different varieties and at present, CPDO has over 10,000 chicks, 2,000 ducks and gets around 600 eggs from these birds. Institute Deputy Director Mahesh P S said the supply of chicks and eggs to various states and farmers will begin only in February next year. "After the bird flu incident, there were various measures taken to streamline the procedures in the institute. Potassium permanganate dips have been made mandatory and shelters have been built to disinfect vehicles that enter the CPDO premises," he said. Visitor entry has also been limited while workers have to comply with biosecurity guidelines Dr Mahesh added. The institute which also reared turkeys and emus has now limited its fresh rearing to chicks and ducks.
|Meat processors must ensure proper stunning |
[03 December 2013] Every chicken has a different level of resistance towards electrical stunning because of the condition of the bird and the shackles they are in, Dr Paul Whittington from Animal Welfare Training Ltd, UK, told participants at a Scientific Conference, organised jointly by the Malaysian branches of WPSA and the World’s Veterinary Poultry Association, and the Department of Veterinary Services, Malaysia. He explained that birds arriving at the slaughterhouse wet because of rain or with dry and fluffy feathers will react differently to stunning. “The question must be asked - Is slaughter with stunning painful? Yes, if you get it wrong,” he said. Birds may appear to be unconscious but in reality they could be under tonic immobilisation, a paralysis-like state, where the birds are subject to the pain of stunning and slaughtering. He said high frequency electric shock can also lead to cardiac arrests of the birds before they are slaughtered. This may not render the product halal.
|Vietnamese miller to increase cattle feed export|
[03 December 2013] Viet Nong Lam Joint Stock Company in southern Dong Nai province will continue to export feed for dairy cows to Japan and South Korea next year. Ho Sau, Chairman of Viet Nong Lam said his company has signed contracts to export about 36,000 tonnes of feed to the two countries in the first six months of next year. He set up the company in 2008, producing feed for dairy cows. The company's feed is combined silage -- fermented, high-moisture stored corn, corncob, fodder, and peanut shells and cassavas skin. It exports about 2,500 - 3,000 tonnes of feed to Japan and Korea each month. Mr Sau said the company is investing in technology innovation to increase its capacity to 10,000 tonnes per month.
|Malaysian producers can reduce cost of feed|
[02 December 2013] Malaysia’s livestock industry imports USD 620 million in feedstuff annually making the industry not sustainable in the long-term, participants at a poultry conference were told. “Producers must be more efficient in farm management and consider feeding their birds for maximum profitability. There is room to reduce the cost of feed without affecting the performance of the birds,” Professor Dr Zulkifli Idrus, President of the World’s Poultry Science Association (WPSA), Malaysia Branch told Asian Agribiz.” We are overfeeding the birds with protein, vitamins and minerals. We can instead look at digestible amino acids. Not many feed millers are doing this.” Prof Zulkifli was chairing a session at the Scientific Conference 2013, organised jointly by the Malaysian branches of WPSA and the World’s Veterinary Poultry Association, and the Department of Veterinary Services, Malaysia held over the weekend.
|Thai shrimp exports to rise after disease recedes|
[02 December 2013] Thailand’s shrimp exports in 2013 is expected to reach 230,000-240,000 tonnes, higher than the earlier target of 200,000-210,000 tonnes following the disease situation, according to Fisheries Department Director-general Niwat Suteemechaikul. The Early Mortality Syndrome (EMS) which hit Thailand’s shrimp industry badly caused a drop in production this year by around 30%, resulting in a shrinking export supply. Mr Niwat said that the EMS epidemic rate has dropped to 2% from 30% earlier, thanks partly to rains in the south, the main shrimp farming area that reduced the salty condition in shrimp ponds. However, exports this year will still be lower than last year’s 310,000 tonnes.
|KFC to open 50 more outlets in Thailand |
[02 December 2013] Yum Restaurants International (Thailand), the operator of fast food chain KFC in Thailand plans to invest around USD 62.32 million to open an additional 50 KFC outlets in 2014, raising the number of KFC branches in Thailand to 550, Marketing Director Thunyachate Ekvetchavit said. After the increase in the number of KFC restaurants, the company targets to achieve a growth of 15% in sales next year. KFC generated a growth of around 10% in sales for the first 10 months, outdoing this year’s performance of the quick-service-restaurant sector in Thailand that will grow only 7% due to economic conditions. Yum Thailand has set aside USD 1.56 million for news menus to attract consumers and boost sales.
|DSM’s new enzyme increases value of processed meats|
[02 December 2013] DSM Food Specialities has come up with a solution which can increase the functionality, nutritional value and taste of processed meat products. Called Maxipro HSP, the cost-effective protease pulls protein from animal products such as blood. “Although blood is a traditional and nutritious ingredient in many cultures, its use as an ingredient in today’s food industry is limited due to its red colour and strong taste,” said Innovations Manager of Enzymes Cindy Gerhardt. “We estimate that this enzyme is able to triple the value of blood throughout the meat value chain because of its specific properties.” DSM’s enzyme won the Savoury/Meat Innovation category at the recent Food Ingredient Excellence Awards 2013.
|Processed meat market grows at CAGR of 14%|
[02 December 2013] The global market for processed meat was estimated to be worth around USD 362 billion in 2012 and is projected to reach USD 799 billion by 2018. During this time the market is estimated to grow at a compound annual growth rate of 14.3%, according to the report Processed Meat and Meat Processing Equipment Market Global Trends and Forecasts to 2018. The global market for meat processing equipment stood at USD 7.7 billion in 2012 and by 2018 it is projected to reach USD 11.5 billion, growing with a CAGR of 7.2% from 2013 to 2018. The report said that leading manufacturers are focusing on expansion of their respective businesses across regions and are setting up new manufacturing plants to ramp up production capacities and broaden overall product line. “Growth is particularly high in China, India, Japan, and New Zealand because of the growing awareness about processed meat.
|Malaysian poultry industry must re-orientate itself|
[02 December 2013] Dr Nazim Baluch from University Utara Malaysia told participants at a conference that Malaysia must re-orientate itself to face some pressing issues. Besides factors affecting production, producers should consider animal welfare as a means to raise the quality of poultry meat which directly affects the health of consumers. He was speaking at the inaugural conference themed Advancing Poultry Production for Food Security, organised jointly by the Malaysian branches of both the World’s Poultry Science Association and the World’s Veterinary Poultry Association, and the Department of Veterinary Services, Malaysia over the weekend.
Poultry India, Hyderabad
On-site reports by ARIEF FACHRUDIN
[29 November 2013]
Big Dutchman sees growth in automation
Training & Marketing Manager of Big Ducthman India Bernada Luers said the company’s business in India is growing. “More producers in India are adopting automation because they want more profits.” She believes that automation is the answer to the growth in demand for chicken meat and eggs in India. “With manual operations, producers can’t achieve high production.” However, she cautioned that producers who want to progress from manual operations should have trained personnel to operate the systems.
Good demand for Sanovo’s egg handling systems
Sanovo, a global leader in egg processing, took the opportunity at the show to promote its egg handling and processing systems. Area Sales Manager Nourredine El Maloka said the company has a good market share of egg handling systems such as egg grading and packing machines in India. “We just started to introduce the systems about three years ago with our local distributor Quality Systems and so far we have seen encouraging growth. We had many projects this year,” Mr Nourredine said. Although eggs in India are sold in kilos, some players are starting to use egg grading and packing machines to increase their productivity.
Japfa India expands feed, hatchery operations
In India, feed operations are the core business of Japfa Comfeed. It currently operates five feedmills located in west, south and east India with a total installed capacity of 30,000 tonnes/month. Ardi Budiono, Vice President – Head of Feed, told Asian Agribiz that it recently bought a 2500 tonnes/month feedmill in Bihar, east India. “We will do some renovations to upgrade to our quality standards and increase the production capacity. The feedmill is targeted to start operations by the end of next year.” He also said that at the beginning of next year Japfa will build a hatchery to expand its breeding operations in India.
SR Group to increase feed, DOC production
SR Group is one of the largest poultry producers in Andhra Pradesh. Currently it operates seven feedmills with a production capacity of 18,000-19,000 tonnes/month. About 80% of the feed is sold to its customers in Andhra Pradesh. It also operates Cobb 500 PS breeding farms in four locations in Hyderabad. Director of Technical Services Dr S Rawindar Reddy revealed to Asian Agribiz that in the coming years the company plans to increase its feed and DOC production capacity. “We will also be very active in r&d to improve the quality of our products in order to compete successfully in the market.”
Sneha Farm to focus on feed quality
Hyderabad based Sneha Farm is a leading broiler integrator and feedmillers in Andhra Pradesh. It produces feeds for broilers and layers under the brand Sneha Feed. It currently operates four feedmills in Hyderabad, Karimnagar and Vijayawada with a production capacity of 2400 tonnes/day. About 80% of the feeds are for internal use, while the rest are sold to its customers in the region. Head of Feed Production BS Vasu told Asian Agribiz that next month it will put its new 800 tonnes/day feedmill located about 80 km from Hyderabad into operation. Its first 100 tonnes/day premix plant was opened in Hyderabad recently. In the coming years, Mr Vasu revealed that the company will focus on feed quality.
|More than USD13m damage in livestock and poultry|
[29 November 2013] With final assessments still forthcoming, Cebu province in the Philippines, reported at least USD 13.2 million worth of damage to its poultry and livestock sector, with the northern part of the province being hardest hit by Typhoon Haiyan. Bantayan Islands, which is home to a significant layer population, suffered the most. Two towns reported losses of as least USD 11.4 million. At least 1.4 million chickens were lost during the typhoon. Art Despi, a layer farmer from Bantayan, told Asian Agribiz that he expects that within a month, production could go back to about 50-60% of total production prior to the typhoon. However, full recovery will take some time and that two years would be considered fast. Meanwhile, prices of eggs in the province have gone up by some 30%.
|Frisian Flag Indonesia launches ‘Milk Village’ project|
[29 November 2013] Frisian Flag Indonesia, a subsidiary of Holland based Royal Friesland Campina, has launched the pilot ‘Milk Village’ project in Lembang, West Java to support Indonesia’s milk self-sufficiency program. The project is being run together with the North Bandung Milk Cooperative (KPSBU) and a plantation state-owned company PT Perkebunan Nusantara VIII. CEO of Royal Friesland Campina Cees’t Hart said the project is part of the company’s sustainable dairy development program. “The project aims to improve the well-being of more than 10,000 dairy farmers in Pengalengan and Lembang, as well as to help increase national milk production,” he revealed.
|Vietnam reports foot and mouth disease outbreak|
[29 November 2013] Foot and mouth disease has struck farms in central Vietnam, affecting more than 1,300 animals, including cattle and pigs, said the Ministry of Agriculture and Rural Development (MARD). The region was recently affected by floods. 'Floods swept away dead animals that were infected with the virus and transmitted it to other livestock,' said Le Dinh Son, Deputy Chairman of Ha Tinh province, which was hit hardest by the disease. Reports say local health officials even tried not to report the outbreaks to higher authorities for fear of criticism. Animal health checkpoints have been set up to prevent transportation of sick animals. MARD also will send 200,000 doses of vaccine to the region.
|Indonesia targets 20% growth in shrimp production|
[28 November 2013] Shrimp Club Indonesia (SCI) is optimistic that the shrimp (vannamei) production of its members this year will increase by 20% compared to the 140,000 tonnes achieved in 2012. Chairman of SCI Iwan Sutanto said the selling price of shrimp in the second half of this year reached USD 8-9/kg at farm gate. “This has led shrimp farmers to initiate extension and to re-activate their idle ponds,” he told Asian Agribiz. Looking at the positive trend, he believes that SCI’s shrimp production in 2014 will continue to increase. “A 20% increase compared to 2013 is possible. And the skyrocketing demand for shrimp fry is an indication that shrimp production in 2014 will increase.”
|Indonesia still importing Australian cattle, beef|
[28 November 2013] Indonesia is reviewing its trade policies with Australia but imports of Australian cattle and beef have not been affected yet by diplomatic tensions after allegations of spying by Canberra, Indonesian government officials said. Indonesia, the world’s fourth most populous country, is Australia’s biggest market for cattle and beef. Jakarta relaxed regulations on those imports this year to help curb food inflation. Deputy Trade Minister Bayu Krisnamurthi said: “There is no policy change yet on beef and cattle imports from Australia.”
|USMEF actively promotes pork products in China ahead of holidays|
[28 November 2013] As the Chinese holiday season nears the US Meat Export Federation is pushing for its products to be more visible in China. Meat consumption in China increases from late October through end January and “USMEF’s efforts to raise the visibility of US pork and its quality, safety and value are moving into high gear”, said USMEF Senior Vice President (Asia-Pacific) Joel Haggard. US pork had a prominent position at Food and Hotel China exhibition in Shanghai recently where four US pork brands were prominently sampled and featured in front of thousands of industry visitors ranging from retailers and restaurant chains to wholesale distributors from third and fourth-tier cities. US pork items are also now available at major retail chains including Metro Cash & Carry, RT Mart, Sam’s Club and Auchan Supermarkets.
|San Miguel Pure Foods revenues up 3% in first nine months|
[28 November 2013] San Miguel Pure Foods Co Inc, the food arm of San Miguel Corp, reported consolidated revenues of USD 1.63 billion in the first nine months of this year, up 3% year-on-year. The growth was attributed to higher volumes and better selling prices in some of its major business segments. The higher revenues led to a 12% rise in gross profits. The company’s feeds business posted a 4% growth in revenues, despite the decline in the backyard hog market. The poultry and fresh meats business only managed a 2% increase in revenues due in part to lower broiler prices because of oversupply, as well as the recent typhoons and flooding that affected demand. Meanwhile, the company’s processed meat segment posted a 9% hike in revenues due to the strong performance of its core brands.
|China to check pollution with new husbandry ruling |
[28 November 2013] China plans to standardise the breeding and raising of poultry and livestock to curtail pollution problems generated by the livestock sector in the countryside. The regulation on preventing husbandry-generated pollution was passed at a State Council executive meeting last month and will take effect on January 1, reported the People’s Daily. The regulation will also help reshape the industry and prevent the spread of avian influenza. Among others, the regulation ordered incentives to encourage centralised and standardised husbandry, and vowed to support recycling and decontamination of waste, said a statement jointly released by the Legislative Affairs Office of the State Council, the Ministry of Environmental Protection and the Ministry of Agriculture. The regulation also asked local governments to roll out specific standards on farms in accordance with local environmental conditions.
|Spots available for Cured and Smoked Meats Course |
[27 November 2013] There are a few spots still available for Asian Agribiz's Cured and Smoked Meats Course that will be held in Singapore from December 9-11. The Advanced Sausage Course which will run from December 4-6 has been completely sold out. Among the topics that will be covered by Lynn Knipe, Associate Professor in Food Science and Technology and Extension Specialist at Ohio State University, USA, in this Cured and Smoked Meats Course are Raw material quality, Optimising use of non-meat ingredients and producing reduced sodium meat products. Click here for more information and registration.
|Thailand denies report on Russia’s ban of Thai poultry|
[27 November 2013] Thailand has denied a foreign media report that stated that Russia has imposed a complete ban on Thai poultry imports. "No such ban has been imposed,” Trisadee Chaosuancharoen, Director-General of Thailand’s Department of Livestock Development told Asian Agribiz . He added that Thai poultry products have never been found to contain excessive cadmium as stated in the report. Kukrit Arepagorn, Manager of the Broiler Processing Exporters Association also told Asian Agribiz that importers in Russia have confirmed that the report was incorrect. “Russia isn’t a big market though. We exported around 8,000 tonnes to Russia last year and the amount dropped to only 900 tonnes this year due to strong price competition.”
|CPF to spend USD 1.56 billion on expansion |
[27 November 2013] Thai agribusiness firm Charoen Pokphand Foods, or CPF, plans to invest around USD 1.56 billion in the next three years up to 2016 to expand its feed, farm and food operations. CPF’s President and CEO Adirek Sripratak said around 60% of the planned budget will be allocated for expanding businesses overseas and the balance will be for domestic operations. CPF expects to generate around USD 11.85 billion to USD 12.16 billion of sales revenue this year, lower than its original target due to the shrimp disease that crippled shrimp production. The company hopes to generate a growth of 15% in revenue in 2014.
|Poultry India offers valuable information, latest advances|
[27 November 2013] The 7th edition of Poultry India opens today at the Hyderabad International Trade Exposition (Hitex) Exhibition Complex and will run until November 29. More than 200 international and local exhibitors will bring in valuable information about the poultry industry and the latest advances in poultry research and science. The show is expected to draw over 25,000 attendees from over 40 countries. The organiser said the main aim of the show is to help Indian poultry players to keep abreast of the latest developments in poultry management, health, nutrition, breeding, and new techniques in feed manufacturing and poultry production.
|De Heus Vietnam to build cattle feedmill |
[27 November 2013] Vietnam's Vinh Long provincial People's Committee has approved plans for the construction of a USD 15 million cattle feed mill in Mang Thit District by Dutch animal feed manufacturer De Heus LLC. De Heus plans to build the feedmill on a 4.6 ha site. The company currently operates four feed production facilities in Vietnam, with animal feed factories in Binh Duong, Dong Nai and Hai Phong and a new aquafeed factory in Vinh Long which opened earlier this year.
|Japan looks to sell more halal products|
[27 November 2013] Japanese food and tourism businesses are starting to offer halal meals to cater to the needs of the growing number of Muslim tourist flocking to the country. The Halal Japan Business Association expects demand for halal food to expand to USD 1.18 billion in 2020, 4.5 times the value in 2011. Malaysia's Halal Corp, a consultancy firm in Tokyo, has been certifying halal restaurants in Japan since 2011. Japan's agriculture ministry has defined strategies to export agricultural produce to countries such as Indonesia, Malaysia and the Middle East. By 2020 the ministry plans to export five times as much beef as now, worth USD 247 million, to Muslim countries and elsewhere.
|Philippine pig industry suffers minimal damage|
[26 November 2013] Despite the devastation caused in the Philippines by Typhoon Haiyan, the country’s pig industry has for the most part been spared. Dan Javellana, President of the National Federation of Hog Farmers Inc, told Asian Agribiz that while some 3000 sows were affected in several farms in northern Cebu province, federation members report only structural damage like blown roofs to most farms in the regions hit by the typhoon. Pig production is biggest in Central and Southern Luzon, although backyard production is biggest in Western Visayas, which was also on the typhoon’s path. There are still no official estimates of how much damage the industry has suffered in the affected areas.
|Farm price of chicken down|
[26 November 2013] Oversupply has pulled down farm price of chicken in the Philippines from USD 2/kg to USD 1.71/kg, Gregorio San Diego, Chairman of the United Broiler Raisers Association, told Asian Agribiz. He added that dressed chicken is currently retailing at about USD 2.26/kg in supermarkets, with many offering a ‘buy-one-take-one’ promotion. At the current farm price, poultry producers are just barely breaking even, Mr San Diego noted. Meanwhile, there are still no official estimates as to how much damage the layer industry suffered in Bantayan Islands in Cebu Province. The islands, which were devastated by Typhoon Haiyan, make up the biggest egg production area in the Visayas. Earlier reports said that 95% of the layers farms have been damaged.
|Thai cane farmers to venture into soy planting|
[26 November 2013] Mitr Phol Sugar Corporation, Asia's largest sugar producer, has joined hands with Green Spot Co, Siam Kubota Corporation and the Soybean and Rice Bran Oil Processors Association to encourage cane farmers to grow soybeans for extra income and improved soil fertility. The pilot project is being undertaken in the central province of Suphan Buri and the north eastern province of Kalasin. It will generate extra income for farmers from soybean planting while reducing soybean imports. Siam Kubota is offering advice on planting and harvesting soybeans and the appropriate use of farm equipment to reduce costs and increase productivity. Green Spot, the maker of Vitamilk soy milk, and the association will buy all soybeans, an estimated 200 tonnes for the first crop, from farmers at a reasonable price.
|Egg price in Thailand continues to escalate|
[26 November 2013] Thailand's Office of Agricultural Economics (OAC) has revealed the average cost for eggs this year stands at THB 2.87/egg, an 11% increase compared to last year. The office attributed the hike to the weather, rising labour cost and animal feed prices. Vice Secretary and Spokesman of the OAC, Surasak Pannop said the changing weather which has affected health of hens. He added that the average cost of egg rose from THB 2.66/egg in the first quarter to THB 2.86/egg in the second quarter and THB 2.92/egg in the third quarter. It is likely to reach THB 3-3.02/egg in the last quarter.
|Danfoss India looks to cluster-based cold chain models|
[26 November 2013] Danfoss India, a subsidiary of Denmark-based Danfoss Group, is looking at cluster-based cold chain models in India to rejuvenate the refrigerated supply chain system. The company has chipped in to team up with state governments, beginning with Tamil Nadu where it has invested USD 100 million to set up its research and development and manufacturing facility at Oragadam, Chennai, which will be commissioned in mid-2014. “India is the biggest opportunity to drive our energy-efficient solutions in the cold-chain sector,” said Danfoss India President Ravichandran Purushothaman. “A cold chain can reduce wastage and increase farmer earnings. There is no doubt that the cluster-based approach to cold chain is key to India’s agriculture development. In fact, the cluster concept is connected to consumption,” he added.
|India’s food additive markets to reach USD900m in 2017|
[26 November 2013] India’s food additives markets, which cover flavours, colours, preservatives, emulsifiers, stabilisers and sweeteners, is expected to reach USD 897.7 million in 2017 from last year’s USD 484.2 million, said a new study from Frost & Sullivan. Among these segments, flavours, which account for almost half of the market, are expected to grow at 13.9%; sweeteners contribute the least. Synthetic colours are expected to grow at 7.4%, natural colours at 12%, preservatives at 15% and food emulsifiers at 10.1%. The study notes that the additives industry in India is veering towards natural emulsifiers and nature-derived colours. “This change in preferences emanates from increasing health consciousness among Indians.”
|Chinese traders scramble for Vietnam pigs|
[25 November 2013] Chinese traders are purchasing live pigs from Vietnamese farms in large numbers in preparation for the expected demand increase for the New Year Festival in China. Le Thi Nhat, a pig farmer in Hanoi said her Chinese customers prefers pigs of around 100kg which is higher than the normal slaughtering weight for the local markets. She added that foreign traders offer a good price, which can be up to 20% higher than local traders. Vietnam is the 4th largest producers of pork, behind China, US, and Brazil, according to Asian Agribiz’s Gira Asia Meat Club. The country produced more than 3 million tonnes of pork in 2013. The pork market in Vietnam is heavily dependent on exports to China, the world's biggest pork consumer.
|Drop in Japan's use of corn in feed|
[25 November 2013] Japan's use of corn in animal feed fell in September from a year earlier, as users turned to alternatives such as sorghum. The ratio of corn in animal feed production fell to 41.8% in September from 42.5% in the same month a year earlier, preliminary data from the Ministry of Agriculture, Forestry and Fisheries showed. In September, Japan imported 1.18 million tonnes of corn, up 5.2% from a year earlier. Corn from the US, traditionally the main supplier, accounted for 54.6% of imports in September, down from 73.3% last year. About 65-70% of Japan's corn imports go into animal feed.
|Vietnam reports record shrimp price|
[25 November 2013] Vietnam fisheries authority said the country's shrimp production farms affected by EMS have been reduced by 80% compared to the area affected last year. The country reported nearly 5700 hectares hit by EMS. Meanwhile, local shrimp prices have increased significantly, by 150% year-on-year in some provinces. In Long An, one of the main shrimp production hubs in Vietnam, white leg stands at USD 7.9 for 60-70 prawns/kilo and black tiger at USD 12.4 for 40-50 prawns per kilo. Vietnam's revenue from shrimp exports has reached about USD 2.4 billion so far this year, a 30% year-on-year increase. It is expected to exceed USD 2.8 billion in 2013.
|Kashmir to ban sale of spent hens for human consumption|
[25 November 2013] Hundreds of culled spent hens are being sold in the open market in Kashmir, India for human consumption. The Srinagar municipal corporation (SMC) has flagged the issue after fearing traces of salmonella, bacteria responsible for food poisoning, and is pushing for a blanket ban. "These spent hens were traditionally used as dog meat but since there is no legislation in the state banning its sale, these birds are being sold for human consumption," said Kashmir Animal Husbandry Director Shamsu-ud-Din Makhdoomi. These layer birds have very low nutritive value and are prone to disease. The complaints received by the SMC suggest that these birds have found their way to the city restaurants, which helps owners to make easy profits.
|Pakistan promotes safe milk|
[25 November 2013] Nestle Pakistan and Tetra Pak Pakistan launched the Pakistan Safe Milk Movement last week to educate the public on the importance of consuming milk that is safe. The movement also intends to give enough awareness about how milk could be unsafe and the subsequent adverse effects on health. Local philanthropist Syed Babar Ali highlighted the importance of consumer education about the packaged foods industry and underlined that the Pakistani consumer has always been smart enough to make the right decision, once given the right information. He also underlined how this movement will result in improving the overall quality of dairy farming and has the potential of making Pakistan a major exporter of milk in the global market.
|RNI suspends talks with Australia|
[22 November 2013] Indonesia's state owned trading company PT Rajawali Nusantara Indonesia (RNI) said it has suspended talks on the acquisition of a cow farm in Australia over the spying row between the two countries. "We are stopping business with Australia until there is settlement on the spying problem," RNI President Ismed Hasan Putro said yesterday. Mr Ismed said the acquisition plan was already in the process of selecting the livestock farm to be acquired in Northern Territory. RNI planned to raise up to 10,000 cows in the farm that occupies 25,000 hectares of land. He said the suspension of the negotiations would not halt RNI's expansion plan as a similar business opportunity is also open in New Zealand.
|Rising PS imports to impact Thai egg price in 2014|
[22 November 2013] Prices of hen egg in Thailand are starting to decline prompting fears about further reduction of prices during the year end as production escalates to a high of 41-42 million eggs from 39 million eggs earlier. Yukol Limlaemthong, Deputy Prime Minister and Minister of Agriculture said PS imports were up 13.3% during the Jan-Oct period and that will escalate egg production from later this year. Mr Yukol said he has assigned the Department of Livestock Development to conduct a production forecast of eggs entering the market in early 2014 and prepare for measures to tackle the expected lower price situation. Current egg prices are around THB 3-3.49/egg, while production cost is around THB3-3.10/egg.
|Vietnam meat imports to reach 90,000 tonnes|
[22 November 2013] Vietnam's meat imports are expected to reach 90,000 tonnes this year, including 152,000 heads of live cattle, according to the Ministry of Agriculture and Rural Development (MARD). So far this year the country has imported 81,000 tonnes, in which poultry accounted for about 70%. "Vietnam meat production meets most of the local demand, import is equal to only about 3-5% of the total consumed meat," said Tran Dinh Luan, Deputy Head of Animal Health Department at MARD. He emphasized the need to restructure the country's livestock industry to ensure sustainable growth and maintain high added value. "We need to develop local supply of materials for animal feed to better control and lower feed prices," he said.
|Vietnam shrimp exports to Korean increase|
[22 November 2013] Vietnam exported USD 125 million worth of shrimp to Korea in the first nine months of this year, a year-on-year increase of 7.2%, according to Vietnam Association of Seafood Exporters and Producers. In September alone, the revenue increased more than 86% from the same period last year. Korea is among the top five importers of Vietnam shrimp, accounting for about 8% of Vietnam's total shrimp revenue. The International Trade Centre said Vietnam also replaced China to become the top shrimp exporter to Korea with 6,700 tonnes, followed by China and Thailand, with 6,200 tonnes and 2,800 tonnes respectively.
|India to fast-track National Dairy Plan|
[22 November 2013] India plans to fast-track the National Dairy Plan (NDP) in the coming years to meet the fast-growing demand for milk in the country, according to Agriculture Minister Sharad Pawar. He said the country would need about 150 million tonnes (MT) of milk by 2017 and over 180 MT by 2022, and added that though the milk production has grown to more than 130MT, the productivity of milk cattle would need to be increased significantly to meet the growing demand. Elaborating the importance of the dairy sector and the strategies being adopted under the National Dairy Plan, Mr Pawar said, "The dairy sector in the country is one of the most vibrant sectors of the Indian economy. The value of milk production in the country is much higher than value of paddy and wheat production together. While world milk production grew at 2.2% in the last decade, our growth rate was 4.2%," he added.
|Uncertain political environment dampens Thai pork consumption |
[21 November 2013] Pork consumption in Thailand has contracted by around 10% as consumers are being more careful on spending amidst the political uncertainties in the country, said Kiddivong Sombuntham, secretary-general of the Swine Raisers Association of Thailand. The lower consumption however has not yet affected the price of pork and supply has decreased due to diseases and adverse weather conditions. “Most raisers have agreed to keep prices stable at current levels despite the coming holiday season as any price hike would be negative for farmers,” Mr Kiddivong said. Ex-farm live pig is priced at USD2-2.5/kg and dressed pork at USD 4.5-4.9/kg.
|India expects lower soy output|
[21 November 2013] India's soybean production is likely to fall short because of excessive rain in producing regions. Initial reports on the crop had suggested that production would be higher on account of more area coming under farming in key states, accompanied by good rainfall. In 2012-13, India produced 11.34 million tonnes (mt) of soybean, according to the Central Organization for Oil Industry & Trade. Madhya Pradesh and Maharashtra are the top soybean producers, accounting for over 85% of total output. “Initial reports said the new crop would be as high as 14 mt. But heavy rains in September have caused major yield losses. Our estimate is the crop would be shorter by 5.82% at 11.17 mt," Fayaz Hudani of Kotak commodities said. But some analysts still believe the crop would be higher on account of larger area under cultivation. “Even if production stays high or remains similar to the last crop, availability of quality bean will be lower" Mr Fayaz said.
|India opens world's first fully automatic dairy plant|
[21 November 2013] India's Amul dairy has launched its Virar plant, its sixth facility in the country. The plant, with an installed capacity of 1 million litres of milk processing/day, is the world's first fully automatic traffic management system for milk packing operations. The plant also features a 50,000 litre/hour integrated milk reception facility, energy conservation by utilisation of hot water generator and water conservation through the introduction of a rain water harvesting system. Amul Dairy, which pioneered the co-operative movement in the country, will procure milk from dairy farmers by setting up co-operative societies in Maharashtra. It has already set up four village level co-operative societies with a membership of 500 farmers.
|JPE opens office in Malaysia|
[21 November 2013] Jansen Poultry Equipment (JPE) of Holland, a prominent player in turnkey poultry solutions and equipment, has opened a new office in Malaysia to address its regional expansion. Jansen Asia is being led by Carmelo Ferlito as its new Sales Director. The opening of this new office in Asia is consistent with JPE's recent expansion as the company recently opened an office in Moscow.
|Australia should target Indonesia's food needs |
[21 November 2013] Indonesia is undergoing an economic transformation which will see it emerge as an economic and political powerhouse in Southeast Asia leading to an increase in demand for consumer goods especially food. Australian food and agricultural industries must unlock more value of this trade opportunity, said Rabobank Senior Analyst Michael Harvey in a report. Australia must develop new strategies and competencies around food quality and safety, tailor products to meet specific customer and consumer needs and provide technical service and expertise to the Indonesian agricultural sector. In recent years, Indonesia has emerged as Australia’s fourth-largest market for food exports on the back of trade flows in grains, beef, dairy and sugar.
|Vietnam to boost waterfowl sector|
[20 November 2013] Vietnam plans to increase the meat output of waterfowl by 8-10% a year in coming years, said the Animal Husbandry Department. The waterfowl sector, which breeds mostly ducks, also targets the volume of waterfowl bred by industrial farming to reach 50% by 2015 and 65% by 2020. The country produces 280,000 tonnes of ducks and more than 2 billion duck eggs a year. Nguyen Van Trong, Deputy Head of the department under the Ministry of Agriculture and Rural Development (MARD), said the selection and development of breed stocks would be improved. MARD now manages waterfowl purebred stocks and grandparent breed stocks, he said. These are bred at the Hanoi-based Dai Xuyen Duck Research Centre, the Binh Duong Province-based Ben Cat Duck Centre and the Hai Duong Province-based Cam Binh Duck Centre.
|Tianli returns to profitability|
[20 November 2013] China's Tianli Agritech has reported a 33% top-line growth its third quarter ended September 30, and its return to profitability after more than a year. The producer of breeder hogs, market hogs and black hogs attributed this to a gradual recovery of pork prices and strong growth momentum for its black hog program and retail operations. "As we continue to advance our black hog program and expand our retail presence, we believe better days lie ahead of us," said Hanying Li, Chairwoman and CEO. Tianli's revenue for the third quarter of 2013 increased by USD 2.15 million to USD 8.73 million for the same period of 2012. Revenue from breeder hog sales increased 16% during the period to USD 2.14 million with the number of breeder hogs sold increasing 19% percent to 7,605 hogs. Revenue from regular market hog sales increased 9% to $5.17 million as the number of regular market hogs sold grew 3 percent to 23,951 hogs and the average selling price of regular market hogs increased 6% to USD 216 per hog.
|Taiwan reports H6N1 human infection|
[20 November 2013] The first confirmed case of a person infected with a new H6N1 bird flu virus subtype has been reported by scientists in Taiwan. "As these viruses continue to evolve and accumulate changes, they increase the potential risk of human infection. Further investigations are needed to clarify the potential threat posed by this emerging virus," Ho-Sheng Wu, PhD, from the Centers for Disease Control in Taiwan, said in a statement. The patient was a 20-year-old woman from central Taiwan. Tests on throat-swab samples taken from the woman revealed that she was infected with a new H6N1 bird flu virus that closely resembled chicken H6N1 viruses that have been circulating in Taiwan since 1972. The source of the woman's infection is unknown. She worked in a delicatessen, had not been out of the country for three months before she was infected.
|Genus jv to upgrade India livestock genetics |
[20 November 2013] Livestock genetics group Genus has formed a joint venture in India with BG Chitale, Maharashtra's largest dairy processor. The tie-up "will enable us to build a pipeline of differentiated dairy genetics in India", Genus said, adding that it had made the first sale of semen from North American bulls imported into India as embryos. India is the world's biggest milk producer. Dairy consumption is also seeing growth prompting the government to budget USD 416 million to boost milk production to 150 million tonnes by 2017. This effort is increasing demand for good quality genetics to boost farm productivity.
|AEE adopts new algae harvesting technology|
[20 November 2013] Singapore-based algae producer Algae Enviro Engineering (AEE) has adopted OriginOil's Electro Water Separation harvesting technology for its algae production plant in Jurong. AEE is working on a model to develop economically sustainable integrated algae-aquaculture sites in Southeast Asia. "Our technical team feels that OriginOil had some game-changing technologies for carbon sequestration, algae production and aquaculture management,” said AEE Director Edwin Teo. “We are excited about the opportunity to work closely with OriginOil as a partner during our research, planning and commercial deployment stages." AEE is the only algae producer in Singapore. The company produces spirulina premixes to treat cow mastitis, enhance livestock immune systems, improve weight and growth rates in fish and increase egg production and overall growth rates in poultry.
|S. Khonkhaen reports higher sales in Q3 |
[19 November 2013] Thai pork processor and food producer S. Khonkaen reported sales of USD 15.92 million in Q3 2013, up 10% from the same period last year, while profit, has dropped slightly by USD 148,772 to total USD 677,397. The lower profit was attributed to increased raw material costs and higher expenses in sales and marketing via modern-trade stores, cited Chief Executive Officer Charoen Rujirasopon. The company expects better sale and profit in the fourth quarter as raw material prices have started to decline while the coming new year and holiday season is also forecast to help boost consumer’ demand. In addition, S. Khonkaen plans to open four more fast-food shops for boiled ham in sauce with rice, bringing the number of outlets to five.
|Farmers in southern Thailand call for feed price reduction|
[19 November 2013] Representatives of pig and poultry raisers in eight provinces in the Southern region of Thailand are demanding that feed millers lower prices of compound animal food prices given that the price of feed ingredients such as corn has decreased and stayed low for several months already. This group of southern farmers cited that the cost of feed should have declined in accordance with raw material prices and that chicken, egg and pork consumers will be affected if prices of feed remain at current high level. Earlier, the Thai Feed Mill Association argued that the Thai government’s price intervention program, that involved buying corn at above real market price despite decreasing trend in world market, has prevented feed millers from lowering feed price.
|Indian shrimp export grows on the back of global shortage|
[19 November 2013] Some 70% of India’s seafood export is made up of shrimp, an increase of more than 18 points from 52% last year. Six-month export figures show close to 40% increase in export earnings at USD 1.87 billion as the country capitalises on the increased demand resulting from the global shortage of farmed shrimp due to the spread of the Early Mortality Syndrome in farms in Southeast Asia, reported the Economic Times. The US is India’s largest buyer with a 32% share. If the current growth is sustained, said Economic Times, then Indian marine products export may surpass its target of USD 4.3 billion.
|Cambodia recognises US meat and safety certs|
[19 November 2013] Cambodian importers and retailers can confidently stock up on US meat and poultry products after the local government recognised US’ sanitary certificate and officially accepted US meat and poultry imports. Prior to this major importers and retailers were hesitant to stock and promote these US products. The move provides transparency for traders and the potential for increased export sales of US meat and poultry products, as well as greater US food promotion efforts, in the Cambodia market. Exports of US meat and poultry products to Cambodia are relatively small, but they show potential for substantial growth. Last year US exports of all meat and poultry products totalled USD 1.7 million, up from USD 700,000 in 2010. From January to August 2013, US meat and poultry exports to Cambodia reached USD 1.7 million, with beef and beef products leading with a 99% increase over the same period in 2012.
|Robust growth for Vietnam's agribusiness sector|
[19 November 2013] Vietnam's agribusiness sector is expected to experience robust growth, with output increasing more than 10% between 2013 and 2017. Promising segments include rice, poultry and pork, and the dairy industry. "The livestock sector is benefiting from ongoing industrialization in the feed industry," revealed the report from the Business Monitor. The Vietnamese government is calling for foreign investment in agriculture, which currently counts for about 1-3% of the country's FDI.
|India declares itself free from bird flu|
[19 November 2013] The Indian government declared the country free from the H5N1 bird flu virus last week. It has notified OIE, the World Organisation for Animal Health, said an official statement. After the outbreak in early August Indian authorities stamped out the entire poultry population including eggs, feed, litters and other infected materials in the radius of 1km around the outbreak location. Authorities also restricted the movement of poultry and organised disinfection and cleaning up of the infected premises. The statement added that India will continue with regular surveillance throughout the country, especially in vulnerable areas bordering infected countries and in areas visited by migratory birds.
China Foodtech 2013, Beijing
Onsite reports from RICH HERZFELDER
[18 November 2013]
Multivac offers better packaging
Multivac showed off its R105 Thermoformer skin pack machine in China for the first time. The R105 packs meat, fish and other products with no blood or bruising, and creates a package that can be hung vertically to achieve better customer recognition. According to Jens Richter, Multivac’s Managing Director for China, Hong Kong and Mongolia, the Chinese market is beginning to graduate from simple flexible transparent packaging to more sophisticated technologies like skin pack and MAP (Modified Atmosphere Packages). Multivac has also developed the MC8000 specifically to deal with the numerous small vacuum packs for items like dried beef, popular in the China food market.
Frey offers solutions for softer products
The Chinese market for meat machinery is still growing, but there is also a growing demand for machines which can handle softer items like cheese, fish cake, shrimp cake and vegetarian products, according to Heinrich Frey of Frey Maschinenbau GmbH. “It’s a little more difficult and delicate to handle,” says Frey, but with its DMFB line, Frey is making the adjustment for the new market.
Holac promotes multi-purpose dicer
Gathering market information is an important part of the exhibiting game, according to Ronald Ralf Ambrassat of Holac Maschinenbau GmbH. “If we don’t have information from the market, we can’t react fast or properly,” said Mr Ambrassat. Holac promoted its Cubixx-series multi-purpose dicers at the Beijing event. In addition to sales, the information Holac gathers “allows us to bring our technology to Chinese products that we don’t even know about.”
China keen on new flavours
Almi Ges.m.b.H is enjoying success introducing its flavours, compounds and mixes in the Chinese market to create added value and unique taste, according to Johan Kwaaitaal, Almi’s area sales manager. Where in the past Chinese companies were mainly interested in functional ingredients such as binders and brine mixes, there is now more emphasis on flavour, consumer attraction and safety.
Seydelmann introduces mixers with cooling system
Maschinenfabrik Seydelmann KG is introducing its mixers with cooling systems to the Chinese market, as well as a combi-grinder that can handle both fresh meat and frozen blocks at -25C. Using frozen blocks is new in the Chinese market, and demonstrates the growth and increased reliability of Chinese cold chain logistics, says sales manager Steffen Kromer.
Vemag launches subsidiary
Vemag Maschinenbau GmbH has expanded its commitment to China with a wholly-owned subsidiary in Shanghai, Vemag Sales and Service China. Vemag China is also representing three other companies, K+G Wetter GmbH, Vemag Anlagenbau GmbH and Variovac PS SystemPack GmbH. The companies make complementary machinery and the agreement allows Vemag China to offer a complete processing chain, according to General Manager Matthias Becker. Wetter’s Managing Director, Andreas Wetter, said the agreement gives his company access to a larger market. “In the past we only had agents for the smaller machines, but now we can offer machines for the bigger factories.” He is particularly proud of Wetter’s WMK knife system, which allows easy one-nut, one-screw removal for cleaning, sharpening or replacement with a different type of knife.
|Thai Egg Board to review production plan |
[18 November 2013] Thailand’s Egg Board plans to review the country strategy for egg and egg products in an effort to balance egg production, consumption and PS imports to stabilise prices. The board will take into account the forecast demand after the effectiveness of Asian Economic Community, or AEC, in 2015. Deputy Prime Minister and Agriculture Minister Yukol Limlaemthong said after chairing the latest meeting of the Egg Board that egg consumption in Thailand is forecast to escalate following AEC to 200 eggs/person/year at present to 270 eggs/person/year in 2017, so the national production plan should be managed accordingly and the current egg strategy plan from 2014-2017, should be extended to cover 10 years for long term price stability management. PS imports totalled 484,274 birds from January to October this year, up 13.30% from the same period a year ago.
|Vietnam's meat imports increase|
[18 November 2013] Vietnam's frozen meat imports in the first 10 months of this year increased four folds compared to the same period in 2012, according to government sources. In Ho Chi Minh alone, the city's animal health authority inspected about 2,000 tonnes of imported meat every week in the period, in which poultry accounted for 50%. Cattle offal registered a record increase of 431% year-on-year; swine offal came next at 72%, poultry at more than 10%. Vietnam resumed in September its imports of 'white offal,' such as cattle stomach and intestines, differentiating from 'red offal' like heart or liver. The country had banned imports for years over food safety concerns. However, Vietnam yielded to complains of some WTO countries regarding trade barriers.
|OBE Organic offers halal meat|
[18 November 2013] With more than 250,000 Muslims living in Hong Kong, halal food is starting to become a necessity, not an option. Australian grass-fed beef producer OBE Organic is now offering meat that has been certified halal. “Given the heavy reliance on pork for local cuisine, finding halal food can be challenging,” said Dalene Wray, OBE Organic's General Manager. “We are making that easier for Muslims, locals and expats alike.”
|Malaysian farmers receive USD 750m in subsidies|
[18 November 2013] The Malaysian government, in its latest budget, has provided an allocation of USD 750 million in subsidy for fertilisers and seeds and numerous other incentives for farmers, livestock breeders and fishermen in the country. As such livestock breeders and fishermen have been told to be more innovative and progressive to boost income and their standard of living. Prime Minister Datuk Seri Najib Tun Razak said through innovation, these farmers would be able to produce cheaper products by making optimum use of resources, other than providing better products and services. “By exploring a wider market, up to the global level, a quantum leap will take place, if we want to make agriculture more attractive,” he said.
|Milk production on the upswing in Kerala|
[18 November 2013] Milk production in Kerala is on the upswing. There is an increase of 130,000 litres/day in the milk procured by the Kerala Cooperative Milk Marketing Federation Limited (Milma) across the state. Production is set to go up further, according to Milma. A top official of Milma said the three regions of Milma have registered a rise of about 300,000 litres/day within the past three years. In October 2013, procurement was 946,000 litres/day. The main reason behind the increased volume is the incentive offered to milk farmers. The extra money offered to farmers has led to improved cattle management practices, including better feed for the cattle.
China Foodtech 2013, Beijing
Onsite reports from RICH HERZFELDER
[15 November 2013]
Handtmann promotes quality and longevity
Handtmann Maschinenfabrik is promoting the quality and longevity of its vacuum fillers and portioning systems. “We had a customer come in and tell us that one of the first machines we sold in China, an FA20 sausage filler, is still working after more than 20 years,” said Uwe Kessler, Handtmann’s Sales Director. The company is now offering a 20-year spare parts supply guarantee, “although in fact we give them 23, 24 years,” said Mr Kessler.
Trief encourages starting small
The electronic version of Treif Mashinenbau GmbH’s flat infeed Lion bacon portion cutter is ideally suited for Chinese supermarkets, while the non-electronic version is good for food service operations, according to Hartmut Dengel, Treif’s sales partner manager. Meanwhile, the Divider 660+ system is the heart of a modular system that allows a small company to gradually build capacity. “A small company can start with a stand-alone version, then add modules until they have a full line,” said Mr Dengel. “It’s a best-seller.”
Zaltech drawn to China
The Chinese meat industry’s rapid development has attracted one of Europe’s leading meat spice mix and blend companies into the market. Zaltech GmbH International has been selling its products in China for the last six months. “The meat companies here are ready to make a standard product with a standard mix,” said Managing Director Robert Schmidt. “People now understand the importance of making a consistent, quality product.”
Laska helps Chinese producers automate
Maschinenfabrik Laska GmbH’s has developed a medium-sized version of its Laska Emulsifier, also known as the Nanocutter, which is now being introduced to the Asian market. “It’s more suitable for the Asian market,” said Joachim “Joe” Preidl, Laska’s Sales Manager, 'as companies prefer the flexibility of medium-sized equipment.' He believes automated production lines are the future in China, where labor costs are beginning to grow.
|USD84m Malaysian JV to produce 27m broilers/year|
[15 November 2013] A USD 84 million joint venture between Malaysian firm Terramark Sdn Bhd and the Perlis state government could create a sizeable new player in the northern poultry scene. The jv hopes to create a poultry project incorporating a breeder farm, feedmill and broiler farms. According to CEO Akbar Ahmad, the integrated green technology project will be built in stages starting with a breeder farm with an annual production capacity of 500,000 birds in Chuping. Stage two will see the construction of a feedmill in Padang Besar. “To come up with the raw material, we are working with a Malaysian party that will plant corn in Cambodia,” he told Asian Agribiz. The broiler farms will have a capacity of 27 million birds/year. Construction will start early next year, with the first harvest expected in early 2015.
|Significant lift in GFPT’s profits |
[15 November 2013] Executives of Thailand’s GFPT expect the company to achieve strong performance in 2014, thanks to lower raw material costs and the possibility of Japan lifting the ban on Thai raw chicken imports in the first quarter of next year, Tanachat Security stated in a report, citing GFPT executives’ presentations at an analyst meeting this week. GFPT generated a profit of USD 19.19 million for its operations in the third quarter of this year, up sharply from USD 56,593 in the same period last year, due mainly to increased export volume to Europe in the wake of Saha Farms’ difficulties, lower price of feed ingredients and larger profit gained from a subsidiary GFPT Nichirei (Thailand).
|San Miguel opens grains terminal|
[15 November 2013] San Miguel Pure Foods Co Inc (SMPFCI) has formally opened Golden Bay Grain Terminal (GBGT), a new commercial grains terminal in the town of Mabini, Batangas province. The USD 57-million facility, seen to be San Miguel’s central unloading area for all of its grain imports, is expected to help reduce production costs and boost margins. The terminal has a dock that can accommodate a 300m long Panamax vessel and as much as 80,000 dead weight tonnage. It can handle about two million tonnes of grain annually. It is equipped with eight silos and two flat-storage warehouses with capacity of 100,000 tonnes each. Operations began in October, and is expected to achieve full utilisation as soon as 2014. According to Florentino Policarpio, President of GBGT, the facility is also intended for use by other companies.
|Tax cuts Tamil Nadu broiler production|
[15 November 2013] Kerala’s recent introduction of entry tax for broiler has adversely affected poultry traders in Tamil Nadu. The situation is that the farmers and major broiler breeders in the western districts have reduced production of chicken owing to Kerala’s entry tax and high input costs. According to Madras Veterinary College (MVC) sources, tough time continues for the Tamil Nadu farmers dealing with livestock and poultry. Farmers along the delta districts are battling the outbreak of foot and mouth disease in dairy cattle in Thanjavur and Nagapattinam districts and the situation was turning worse for poultry farmers in Erode, Coimbatore and Namakkal districts, MVC sources said. “Besides inflation and fuel price, the new strategy by the Kerala government has come as a disaster for our farmers,” said Prof R Prabhakaran, Former Vice-Chancellor, Tamil Nadu Veterinary and Animal Sciences University.
|China opens market to Danish Crown companies|
[15 November 2013] Chinese authorities announced that two Danish Crown companies would be given permission to export processed meat products to China. This week, Vice-Chairman of Danish Crown’s Board of Directors Asger Krogsgaard is visiting China together with Karen Haekkerup, Minister for Food, Agriculture and Fisheries of Denmark. The two companies in question are Tulip in Svenstrup and Danish Crown in Faaborg. “It is an important day for Danish Crown because we have once again shown that we possess special competencies. The next step is to start exporting processed products to China. Also, we are hoping to have several more facilities approved for exports to China in the near future,” Mr Krogsgaard said.
|Philippines imposes freeze on price of food commodities|
[14 November 2013] Following the declaration of a state of national calamity, the Philippine government has put a nationwide price freeze on basic food commodities, which include among others, fresh pork, beef, and poultry meat, fresh eggs, fresh and processed milk, rice, corn, bread, fresh, dried and canned fish, and other marine products. Meanwhile, food manufacturers in the country have vowed to increase the production of basic food items, as well as bring the food to the affected areas as soon as possible.
|EMS dampens CPF's operating performance |
[14 November 2013] Charoen Pokphand Foods (CPF) reported a turnover of USD 9.04 billion in the first nine months of 2013, with a net profit of USD 167.9 million. The sales and profit gained, however, were below the company’s target, said President and Chief Executive Officer Adirek Sripratak. This was attributed to the Early Mortality Syndrome or EMS that affected the company’s shrimp business which declined by around 50% and rising cost of shrimp processing. In the third quarter, CPF generated sale of USD 3.33 billion, with a net profit at USD 83.75 million, up 8% and 10%, respectively from the same period a year ago. CPF expects its income to improve in the last quarter of this year and in 2014.
|Malaysia’s QSR eyes 8% revenue growth in 2014|
[14 November 2013] QSR Brands (M) Holding Sdn Bhd, the operator of KFC chain of restaurants, aims to achieve more than 8% growth in revenue next year to be generated from new stores and product launches. Managing director Datuk Ahmad Zaki Zahid said the company aims to rake in USD 1.2 billion in revenue this year compared with USD 1.1 billion in 2012. It plans to open nine new outlets by year-end, bringing the total number of outlets that also offer KFC Delivery services to 50. In 2014, the company targets to open another 40 stores that offer delivery services. QSR Brands operates over 680 KFC restaurants in Malaysia, Singapore, Brunei, India and Cambodia. It also operates more than 300 Pizza Hut restaurants in Malaysia and 50 outlets in Singapore.
|Thailand on bird flu alert|
[14 November 2013] Thailand’s Ministry of Public Health has directed all provinces in Thailand to be on alter for bird flu monitoring and surveillance with the onset of cooler weather and reports of the virus in some neighbouring countries. Transportation of birds along the border will be closely monitored alongside that of people travelling from risky countries. Any doubtful sickness or death of birds must be reported to the ministry.
|Myanmar to become key shrimp producer|
[14 November 2013] Although Myanmar faces considerable challenges in infrastructure, the country has big potential to develop a shrimp production industry, said experts at the annual Global Aquaculture Alliance held recently in Paris. "I think in five to ten years Myanmar will become a serious player in the market, considering that the reforms continue, investments are coming in and there are no natural disasters in that period." said Willem van der Piji, an expert in seafood market and supply chain in the Netherlands. He said some foreign companies have already started pouring in the money, including plans to build hatchery to produce post larva, set up feed mills, and build new farms. "Its coastline is almost as large as the coastline of Vietnam, which is one of the largest producers in the world," he said.
|China's policy Statement vague on rural reform |
[14 November 2013] China's top leaders issued a broad policy statement that calls for a "decisive" role for markets in the country's future, but the communique that followed the Communist Party Central Committee's Third Plenum that ended on Tuesday was vague on specifics. On rural and agricultural policy, the statement called for giving farmers greater property rights and equal access to public services, but failed to endorse giving farmers title and transfer rights to land they farm, which is now collectively owned. Many analysts believe clarifying land rights and transfers would make farm production more efficient. The communique outlined broad goals for the new administration of President Xi Jinping and Prime Minister Li Keqiang, but some analysts said the lack of specifics suggested that the party had not been able to reach consensus on pushing reform.
|FAO mobilises aid to Philippines typhoon victims|
[13 November 2013] Although there are no official estimates yet of the damage to agriculture and fisheries sector due to Typhoon Haiyan, the Food and Agricultural Organisation (FAO) has called for USD 24 million for immediate interventions in fisheries and agriculture as part of the UN-coordinated humanitarian Flash Appeal launched yesterday. “Although there is not a clear picture yet of the impact on the agriculture sector, it is evident that the damage is extensive,” said Dominique Burgeon, Director of FAO's Emergency and Rehabilitation Division. In Negros Occidental province in Western Visayas, damage to the livestock and poultry industry was pegged at USD 1.04 million. Meanwhile in Cebu Province’s Bantayan Island, which is the biggest egg production area in the Visayas region, reports say that 95% of the layer farms have been damaged, while at least two commercial pig farms have been totally damaged. A more accurate assessment of the damages is not yet possible as many areas in the region remain inaccessible.
|CP Malaysia to sell RTE products at convenience stores, petrol station|
[13 November 2013] CP Malaysia plans to adopt a similar retail strategy as parent company Charoen Pokphand Foods in Thailand by selling its ready-to-eat products at convenience stores and petrol stations in Malaysia. CP Holdings (M) Sdn Bhd President Pratan Jongpun told The Star: “Ready-cooked meals will give us more value. With the strong distribution network including Giant, Aeon and Tesco, CP Malaysia is targeting to expand its ready-to-eat products to convenience stores and petrol stations.” He did not disclose when its products will be available at these locations. The company plans to have three more CP Fresh Marts, 200 community freezers, 1,000 kiosks and products in 1,700 convenience stores in 2014. Mr Pratan also said CP Malaysia spent USD 31 million expanding its boiler farm in Desaru, Johor. The company has also rented a feedmill in the state. CP Malaysia targets a 12% revenue growth in 2014.
|Vietnam to increase control over aquaculture feed quality|
[13 November 2013] Vietnam will step up measures to control feed quality in aquaculture production, said Nguyen Thi Xuan Thu, Deputy Minister of Agriculture and Rural Development. The country has 240 aquaculture feed millers producing about 3.7 million tonnes per year. According to the ministry, about 20% of the feed has lower nutrition quality than claimed. For example, low quality feed does not reach protein or lipid standards listed for the feed. Vietnam is among the top seafood exporters in the world. The country exported about USD 6 billion of seafood in 2012. Revenue this year is expected to reach USD 6.5 billion.
|Sri Lanka progresses with egg self-sufficiency|
[13 November 2013] Sri Lanka’s plan to make it self-sufficient in eggs by 2014 is on the right track, said Minister of Economic Development Basil Rajapaksa. The program, called Divi Neguma National Program, hopes to aid the government in stopping chicken egg imports by the end of next year. Under the program each poultry farmer is given 10 one-month-old chickens. Veterinary surgeons also provide farmers with free technical advice. So far some 1.1 million chickens have been distributed to farmers. The program has contributed nearly USD 33 million to the national economy. According to the ministry the project is most successful in the Nuwara Eliya and Kurunegala Districts.
|Cargill India to set up feedmill in Punjab|
[13 November 2013] Cargill India has announced that it will set up a feedmill in the Malwa region in Punjab. Country Head of Cargill India Siraj Chaudary said the company requires land in the Malwa region for the feedmill which is expected to have a capacity of 75,000 tonnes/month and will entail an investment of USD 15.8 million. Mr Chaudhary said the plant will generate feeds specifically for the dairy industry in Punjab and Rajasthan.
|PY Maju Trading to build catfish feedmill|
[13 November 2013] Malaysian company PY Maju Trading plans to invest USD 60,000 to construct a feedmill for the production of catfish feed. The project aims to meet domestic demand with the production of the mill and help stabilise the price of feed in the country. Manager Zakaria Harun said the project will have a production capacity of 2 tonnes/day, equivalent to 10 sacks of pellets. The company’s catfish operation comprises of 100 ponds covering a total of 12ha and producing 7 tonnes of catfish/month. Catfish is sold frozen and dried.
|Belmart produces good results|
[12 November 2013] Sierad Produce’s convenience meat shop Belmart has produced promising results this year. Jonathan Tek, Assistant to COO of Sierad Produce Food Division, told Asian Agribiz that so far sales of Belmart outlets are quite good. “Per day, the average sales of each outlet can reach about USD 1000 and touched USD 2000 during Ramadhan and the Eid festivals,” he said. Currently Belmart has 15 outlets in Jakarta, Bogor, Depok, Tangerang and Bekasi. “Next year we want to focus on educating consumers about the importance of cold chain system, food hygiene and safety, as well as quality. Belmart can offer all these to them.” The education program will include visits to its processing facilities.
|Cargill plans USD750m expansion in Indonesia |
[12 November 2013] Global food and agriculture company Cargill has set aside USD 750 million to finance its business expansion in Indonesia, particularly in food processing. Bram Klaeijsen, President and Regional Director for Asia Pacific, said the funds would be spent from the beginning of next year and over the next four to five years. “We’re planning to build a food processing complex. We will make sweeteners, oil and fats and animal food. So it’s all food related,” Mr Klaeijsen said. The complex will be in the Serang area of Banten. He added that Cargill would try to distribute products manufactured here in the domestic market.
|Another bird flu victim in Cambodia|
[12 November 2013] A 10-year-old Cambodian boy died on Saturday, making this the 13th fatality this year. Cambodia's Health Ministry and the World Health Organization said in a joint statement that the boy died from the H5N1 bird flu virus after suffering from fever, cough, a sore throat and breathing difficulty. Cambodia's 13 bird flu fatalities and 24 confirmed cases are the country's highest annual total since the virus surfaced in 2003, and also the highest for any country this year for the H5N1 variant.
|Malaysian fishermen protest against new ruling|
[12 November 2013] Malaysian fishermen are predicting tough times ahead as a new ruling requires them to change their 25mm mesh nets to those that use a larger 38mm mesh with a maximum net width of 3m. “Using the nets we have now, we can catch smaller fish which are about the right size for processing into fish balls. We also catch shrimp using our nets,” said Cheah Swee Teck, who spoke on behalf of some 40 trawler operators who rallied in front of Parliament recently. “We expect to lose around 60-70% of our haul,” he claimed. Agriculture and Agro-based Industry Minister Datuk Seri Ismail Sabri Yaakob said that nets using smaller meshes were hauling in a lot of fry, directly affecting the country’s future marine fish supply. The fry end up being used as fertiliser, he said.
|Indonesia depending more on milk imports|
[12 November 2013] The Indonesian Milk Board (DPN) has revealed that the country still depends on imports to fulfil demands for milk and the processing industry. Chairman of DPN Teguh Boediyana said previously Indonesia imported 6.75 million tonnes of milk from New Zealand and Australia, or 75% of the total demand. “However, this year the percentage is likely to increase to 80%.” He added that local production is likely to reach 1.8 million tonnes, a 5% increase compared to last year. He mentioned that increased feed prices and low milk prices have hampered the growth of local milk production.
|FAO to study bird flu outbreak in Nepal|
[12 November 2013] The UN Food and Agriculture Organisation plans to carry out a diagnostic study on the recent bird flu outbreak in Nepal. The country recently saw the culling of over 1.5 million chickens, mostly in the Kathmandu Valley and Kavre district. In a letter to Nepal’s Ministry of Agriculture Development, FAO said it proposes to conduct a situation assessment “in order to provide additional assistance in response to the current situation". Funded by USAID, the study will try to find out how the highly pathogenic avian influenza spread through supply chains and markets and find ways to mitigate its effect on producers, vendors and consumers in the future. This study will continue till December and a strategy on control of the spread will be developed in January by referring to the findings of the study.
Courses to lead growth in meat sector
[11 November 2013] “Rapid growth in the further processing sector in Asia has raised the demand for competent individuals to drive this progress. Recognising this, we established Asian Agribiz Skills Development in 2012 to raise the standards of production and products in this area, with a series of courses specific to the meat production sector,” said Asian Agribiz Managing Director, Rex Holyoake.
Between November 2012 and October 2013, Asian Agribiz ran four courses on Sausage and Meat Production at Singapore’s Food Innovation and Research Centre. It drew a total of 80 participants (only 20 per session) from throughout Asia.
From December 2013 to March 2014, Asian Agribiz will run another four courses namely Advanced Sausage Course [Dec 4-6], Cured and Smoked Meats Course [Dec 9-11]; and next year, Introduction to Processed Meats Course [March 19-21] and Cooked Meat Products Course [March 24-26].
All courses are led by Dr Lynn Knipe, Associate Professor in Food Science and Technology and Extension Specialist at Ohio State University, USA.
These short courses are limited to 20 per session to allow dedicated teaching and learning. Details of the content of each course and registration forms are available here.
|Vietnam reports increase in live cattle imports|
[11 November 2013] Vietnam imported more than 32,000 live cows from Australia in the first nine months of this year, a tenfold increase from 2,801 heads last year. “We see a big increase in demand for Aussie beef and it is still increasing,” Truong Thi Dong, Chairwoman of a trading company in southern Vietnam told Asian Agribiz. In October, the company’s shipment of 1,500 live cows worth of USD 1.5 million arrived in Vietnam ready for slaughter. According to free trade agreements between Asean and Australia and New Zealand which took effect in 2010, the tariff on live cattle is 5%, while that on processed meat ranges from 14-30%. Local consumers said Aussie beef is about 10-20% higher than local beef, but they prefer the foreign product for higher quality and food safety.
|Ceva launches IBird vaccine in the Philippines|
[11 November 2013] With infectious bronchitis (IB) continuing to be a major concern for poultry raisers, Ceva has introduced Cevac IBird, a new vaccine for the disease. Launched last Friday in the Philippines, the first country in Asia where it is available, IBird, when administered in the hatchery in combination with a Mass strain, can induce protection for a large number of IB viruses. The new vaccine can be applied through an entirely new automated spray cabinet, which will simplify handling. The use of IBird can lead to lower mortality, improved FCR, and better weight gain. At the launch, Ceva also presented the result of its cross sectional study of IB variants in the Philippines, which showed that the variants present in the country include Qx-like, Malaysian variants and Taiwanese variant Group 1.
|China approves Brazilian corn imports |
[11 November 2013] China has agreed to allow imports of Brazilian corn, providing a key market for surging production that has left a surplus of the grain in the Latin American farming giant. China mostly imports corn from the US but allowed its first major shipment from Argentine in August. Brazil had been working to address China's phytosanitary concerns and prove that there is no risk of bugs or fungi to its local crop. Although China is the world's number two corn producer after the US and should produce 210 million tonnes this season, it is expected to expand its imports. In the 2012/13 season, China imported three million tonnes of corn, an amount that should rise to seven million in the 2013/14 season, according to the US Agriculture Department.
|US replaces Japan as biggest Vietnam shrimp importer|
[11 November 2013] After five years, the US has replaced Japan to become Vietnam’s biggest shrimp importer, according to Vietnam Association of Seafood Exporters and Producers. Vietnam exported USD 543 million of shrimp to the US in the first nine months of this year, increasing 63% from the same period last year. The increase is attributed to higher global shrimp price and the removal in September of the anti-dumping taxes that were imposed on Vietnamese exporters in 2012. The US consumed about 600,000 tonnes of shrimp last year, of which 35.7% was imported mainly from Thailand, Indonesia and India.
|Quiznos to expand into Indonesia|
[11 November 2013] US Denver-based QSR Quiznos said it plans to expand into Indonesia and open 100 stores there in the next 10 years. The Indonesia expansion will be led by Tan Po Lian, who heads PT Quiznosindo. “The partnership in Indonesia is the latest in a series of Quiznos developments in Asia, including expansion into South Korea, Singapore and the Philippines. Quiznos’ expansion into Asia is prompted by the region's recent spike in income growth and rise in consumer demand,” the company said. Quiznos South Korea has seen a system-wide 12% sales increase. Quiznos South Korea currently owns and operates 31 locations. In North America, Quiznos is the second largest submarine sandwich chain.
|Meat courses set to raise competency of sector|
[08 November 2013] Raw material quality, optimising use of non-meat ingredients and post-packaging pasteurisation are among the topics that will be covered in the Cured and Smoked Meats Course that will run from December 9-11 in Singapore. Organised by Asian Agribiz Skills Development, it is aimed at raising the level of expertise and knowledge among professionals in the meat sector in Asia. Complete details and registration form here.
|Positive growth in duck sector|
[08 November 2013] World duck production has more than doubled in the last 25 years. Figures at the 5th World Waterfowl Conference showed that although poultry meat production slowed down from a growth of 3.9% in the last ten years to about 1.9%, duck production has been on an upward trend. “It’s obviously increasing, particularly in Asia, so every company is looking toward Asia for expansion,” Genetic Technical Manager of Maple Leaf Farms, Wanda Jean Akbar told Asian Agribiz. Established in 1958, Maple Leaf now dominates America’s duck market and has interests in Europe and Australia as well. “We now have partner companies in China and we are looking at other Asian countries,” she said.
Strong growth expected in Indonesian poultry sector
[8 November 2013] Per capita consumption of chicken is expected to grow from 8.08 kg in 2013 to 15.15 kg by 2018 claimed Ir Syukur Iwantoro, Director General of Livestock and Animal Health with the Indonesian Ministry of Agriculture in a presentation given on his behalf at the Ross Asia Association meeting being held in Bali this week. Over the same bird weight is expected to increase from 1.55 kg to 1.8 kg. Ir Iwantoro said the government was strongly promoting the use of local feed ingredients in an effort to reduce reliance on foreign material.
|BEC celebrates opening of Indonesia office|
[08 November 2013] Australian based BEC Feed Solutions celebrated the soft opening of its Indonesia branch, PT BEC Feed Solutions Indonesia, on November 6. The event was attended by business partners and potential customers. In his welcoming speech, COO of BEC Ton Hovers said the grand opening of BEC Indonesia would be celebrated during Indo Livestock 2014. Managing Director of BEC Brett Antonio told Asian Agribiz that the company is aiming for long term partnerships in Indonesia. "We can provide solutions for nutrition and health and would like to develop long term partnerships with feedmills and farmers in Indonesia, as well as support them with good products, services and technical advice through our international connections and competent veterinarians.”
|Calata Corp launches Golden Bean Feeds|
[08 November 2013] After announcing its partnership with New Hope Group, Calata Corp has launched its new line of animal feeds to be sold under the brand ‘Golden Bean.’ In a disclosure, the company said its Board has approved an aggressive marketing and sales approach for its feed products, and once underway, it is expected to propel Golden Bean Feeds as the leading feed brand in the country “in a short span of time.” The launch was attended by existing and prospective dealers of Calata products from all over the country.
|Shuanghui's listing size, assets still uncertain|
[08 November 2013] Shuanghui International Holdings Ltd is planning a blockbuster listing on the Hong Kong Stock Exchange in 2014, but it is not clear yet how much money the deal will raise or what assets the company is planning to list. Shuanghui recently acquired Smithfield Foods Inc for USD 4.7 billion, and also took on USD 2.4 billion in Smithfield debt, meaning Shuanghui valued Smithfield at about USD 7.1 billion. Estimates of the IPO’s size run from USD 3 billion to USD 6 billion, less than the valuation of Smithfield by itself. Chinese companies frequently list a subsidiary rather than a whole group. The IPO would allow Shuanghui to pay off some of the debt used to acquire Smithfield, but the ultimate size of the listing may depend on how many private equity investors want to cash out.
|Toong Yeuan to distribute lactoferrin to China|
[08 November 2013] Taiwanese marketing and distribution firm Toong Yeuan Enterprise Co Ltd has signed a three-year sales agreement worth USD 23 million with Australia's oldest dairy company Warrnambool Cheese and Butter. The agreement allows Toong Yeuan sole distribution rights to market lactoferrin, an important ingredient in infant milk formula, in China, Hong Kong and Taiwan. This is Warrnambool’s first deal to supply lactoferrin in Asia. Lactoferrin, a nutraceutical, fetches USD 952/kg because of the vast quantities of milk used to make it. The global market for nutraceuticals is expected to grow to USD 195 billion by 2017 from USD 135 billion in 2011. The Asia-Pacific region is expected to account for 39% of the global market by 2017.
|Infinite Capacity to develop breeder business |
[07 November 2013] Malaysia’s Hua Huat Group, which currently buys DOCs from other companies, is building eight breeder units, each with two double-deck houses. The breeder farms, to be operated by subsidiary Infinite Capacity, will be built in phases in four areas, roughly 500m away. The first house will be stocked with Ross birds by end of the year while the whole project will be completed by end 2014. Each floor, 2.6m in height, can accommodate 9000 females and 900 males. “We do not have large tracks of land instead our land is scattered. This is why we decided to build double-storey houses. Our investment is slightly higher compared to single-storey units because we are paying more for the foundation of the houses,” Infinite Capacity Deputy General Manager Tan Siong Teck told Asian Agribiz. Hua Huat is also planning to have six additional broiler farms, two of which will be new farms, by end 2014.
|Global duck production to exceed 4 million tonnes|
[07 November 2013] The 5th World Waterfowl Conference opened in Hanoi, Vietnam yesterday. “Sustainable waterfowl production assumes a positive role in relation to food security in several parts of the world,” Roel Mulder of Spelderholt Poultry of the Netherlands told Asian Agribiz at the two-day event. It accounts mainly for the production of ducks and geese, with duck accounting for more than 75%. The world will produce about 4.4 million tonnes of duck this year, and China is the biggest producer, accounting for about 70%. Vietnam meanwhile produces about 80 million ducks annually. Dr Mulder added that duck breast has higher red muscle fibre content compared to chicken and therefore it is considered red meat. “It has the taste of poultry and the quality of steak,” Dr Mulder said.
|Lower earnings estimate for Thai companies|
[07 November 2013] Asia Plus Securities (ASP) has lowered its 2013 and 2014 earnings estimates for some Thai listed companies affected by decreased purchasing power and high competition. According to The Nation, the brokerage house expects Charoen Pokphand Foods (CPF) and Thai Union Frozen Products (TUF) to continue to be affected by problems related to their shrimp and tuna operations, while CP All continues to do better than others in the retail group. An ASP analyst said it would lower its forecasts for CPF's and TUF's net profit for the third quarter, and its estimates for full-year 2013 and 2014. Although CPF's third-quarter net profit improved from the previous quarter, it has not returned to a normal situation, the analyst said. GFPT is expected to post slower performance in the current quarter due to slower chicken exports and a drop in the chicken price.
|Shuanghui plans for IPO|
[07 November 2013] Shuanghui International Holdings, which recently bought US pork producer Smithfield Foods Inc, has hired banks for a Hong Kong IPO, seeking to raise up to USD 6 billion. This is expected to be the region’s largest stock offering in four years. According to Reuters the potential size of the deal is subject to change. An IPO would allow Shuanghui to pay down debt borrowed for the USD 4.7 billion Smithfield purchase and provide an exit for investors such as CDH, one of China’s biggest and oldest private equity firms which has long aimed to sell its stake in the company.
|South Korea buys feed wheat for January |
[07 November 2013] South Korea's major feedmill group has bought a 55,000-tonne cargo of optional-origin feed wheat from Quadra Commodities at USD 299.49/tonne, for arrival by 15 January 2014. This takes total South Korean corn, wheat and oil meal purchases since October 29 to 13 cargoes totalling more than 710,000 tonnes. On October 29, South Korea's largest animal feed manufacturer, Nonghyup Feed Inc. bought a 65,000-tonne cargo of optional-origin feed wheat at around the same price for arrival by 10 February 2014 from Glencore.
|Japan lifts ban on poultry products from Wisconsin |
[07 November 2013] Japan has lifted a ban on poultry products from Wisconsin, USA. The ban was instituted about four months ago after birds in Jefferson County showed signs of exposure to avian flu. But Wisconsin State Veterinarian Dr Paul McGraw said follow-up tests showed no signs of the virus and there was never a threat to public health. The Wisconsin Department of Trade, Agriculture and Consumer Protection (DATCP) said Japan ended its ban on October 30 and will accept soups, broth and other poultry products made from birds killed after that date. DATCP spokeswoman Raechelle Cline said the lifting of Japan's ban is important because it could help convince other nations, such as China, to reopen their borders.
|Growing demand boosts egg prices |
[06 November 2013] The price of egg in Thailand has risen slightly following growing demand, said Annop Akaranithiyanont, President of the Layer Farmers Association. Ex-farm price of mixed-grade egg is now at THB 3.20, higher than the production cost of around THB 3 and the price is expected to move up further to THB 3.40 at the end of the year. “At this level, layer farmers can continue their business profitably, so we would ask the Ministry of Commerce (as a core government body overseeing prices of consumer products) to not step in to control the price and let the market mechanism works” Mr Annop said.
|Indonesia to import 400,000t beef in 2014|
[06 November 2013] Indonesia’s Trade Minister Gita Wirjawan has predicted that beef imports in 2014 will still be high since local supply cannot meet demand. “We have predicted that demand for beef would be as much as 800,000 tonnes in 2014, a half of which is likely to be imported,” he said. He added that beef consumption in Indonesia currently is about 3 kg/person and in the last three years, consumption recorded an average growth of 15%.
|Pakistan State Bank launches livestock insurance |
[06 November 2013] The State Bank of Pakistan (SBP) has launched a livestock insurance scheme to protect the interests of livestock farmers, who borrow from banks, in case of loss of animals due to disease, accident, flood, heavy rains or storm. The decision was long due as the livestock sector accounts for 55% of the agriculture industry and contributes 11.4% to the overall GDP. It has been growing much faster than other segments of agriculture. SBP has launched this scheme in collaboration with the Securities and Exchange Commission of Pakistan (SECP), banks, insurance companies and provincial livestock and dairy departments. The scheme will provide an essential risk mitigating tool to encourage banks to enhance flow of credit to the sector. Under the scheme, banks will obtain insurance of all livestock loans of up to USD 46,827 for purchase of animals.
|Thai feedmills support sustainable fishing|
[06 November 2013] The Thai Feed Mill Association has signed an MOU with seven related associations on the development of a sustainable fishery industry. Pornsil Patchrintanakul, President of the Thai Feed Mill Association said the main objectives of the MOU is to promote fishing with legal instruments, protecting the environment, using legitimate labour and to attain food safety. Measures to be implemented to achieve the objectives include that feedmills, fishmeal factories and fish processing manufacturers reject small size fish as raw material and support fishermen in using larger trawlers and legal labour.
|Philippines milk production up, but imports to dominate|
[06 November 2013] Philippine milk production is seen to reach 19,000 tonnes this year, up about 2.9% from 2012, a report by the US Department of Agriculture said. Nevertheless, this is only just one per cent of the country’s dairy requirement for the year of about 1.82 million tonnes, thus the country would continue to be a major importer of dairy products, especially milk powder. In its Global Agricultural Information Network situation on the Philippines dairy industry, the agency said the country will likely import just below two million tonnes this year, about the same as in 2012. New Zealand is the leading supplier of milk to the Philippines, accounting for 46% of total imports, followed by the US at 29%, and Australia at 8%.
|China’s UHT milk demand soaring|
[06 November 2013] China’s soaring demand for ultra-high temperature pasteurized milk offers an export opportunity for US suppliers, and the US Dairy Export Council (USDEC) is ready to help processors capture that market. Called UHT milk, it has a shelf life of six to nine months. Consumption of UHT milk in China jumped from nearly 18 million pounds in 2010 to 331 million pounds forecast for this year. Demand scenarios suggest China’s appetite for imported UHT milk could grow fourfold to more than 1.3 billion pounds by 2020, according to a new USDEC study. The Chinese UHT import market was worth USD 76 million in 2012. In just the first six months of 2013, that value topped USD 85 million. China is the largest packaged fluid milk importer in the world, and it is growing, the study found.
|Registrations open for Cured and Smoked Meats Course|
[05 November 2013] With participation in the Cured and Smoked Meats Course limited to just 20 persons, places are fast running out. The course to be held at Singapore's Food Innovation and Research Centre (FIRC) will run from December 9-11 from 0900-1730 hours and will be led by Lynn Knipe, Extension Processed Meats Specialist and Professor in Food Science and Technology at Ohio State University. The course would be the fourth in a series of meat courses this year, organised by Asian Agribiz Skills Development. Details and registration form here.
|Minh Phu sells shares to Mitsui Asia Pacific|
[05 November 2013] Vietnam’s biggest seafood exporter, Minh Phu Seafood Corporation, has sold 27 million of its shares in Minh Phu – Hau Giang seafood processing company to Mitsui & Co (Asia Pacific) in a deal worth more than USD 12 million. The Singapore-based Mitsui & Co (Asia Pacific) is a subsidiary of Japan's Mitsui Corporation. Japan is Minh Phu’s second largest market after North America. Minh Phu exported more than 32,000 tonnes of seafood last year, registering nearly USD 370 million in revenue.
|Demand for PRRS vaccines grows in China|
[05 November 2013] Demand for PRRS vaccines in China has been growing in tandem with the growing demand for pork and the modernisation of the farming sector. Currently, more than 20 enterprises are qualified to produce PRRS vaccines in China. For a long time, only Boehringer was approved to enter the Chinese market with its PRRS vaccines. In August this year, Zoetis entered in a big way with its live attenuated HP-PRRS vaccines (Ruilan’an) produced in China. With rising incomes and demand, pigmeat output in 2012 was 53.35 million tonnes, an increase of 5.6% from the year before. Imports totalled 522,000 tonnes, up 11.7% YOY.
|Philippines to build halal laboratory|
[05 November 2013] The Philippine Department of Science and Technology (DOST) plans to put up a national laboratory capable of testing food products for halal compliance. In a report by BusinessMirror, DOST Undersecretary Carol Yorobe said the laboratory is one of the agency’s urgent products as it wants to help local producers take advantage of the global market for halal products. Meanwhile, DOST Regional Director Haja Zenaida said that although there are many food products that claim to be halal, the country’s halal industry is “largely unregulated and there is no existing official body in the country that can really certify food as halal.” She said they have requested that the laboratory be put up in Koronadal City in Mindanao so that Filipino Muslims can be tapped to ensure the quality of halal foods.
|Nepal struggles to rebuild poultry industry|
[05 November 2013] Chitwan in Nepal has been struck by an acute shortage of broiler chickens as poultry farmers have not been bringing in DOC for fear of fresh outbreaks of bird flu. According to the Nepal Poultry Markets Management Association, chicken production has plunged 50%. The association said broiler output presently amounts to 200,000 daily. After avian influenza spread through poultry farms in the Kathmandu valley and a few other districts, farmers in Chitwan stopped raising new chicks leading to the present shortage in the district, which is celebrated as the centre of the poultry industry in the country. "The shortage is being made up by bringing 150,000 birds daily from Dang, Kohalpur, Itahari and Jhapa," said Shankar Prasad Kandel, President of the association. "We are scrambling to fulfill the requirement of the market."
|Vietnam's seafood exports to reach USD6.5b|
[05 November 2013] Vietnam seafood export revenue is expected reach USD 6.5 billion this year, a 5% year-on-year increase, according to VASEP (Vietnam Association of Seafood Exporters and Producers). The growth is due to higher demand from the US, EU and Japan. In the first 10 months of this year, shrimp exports generated about USD 2.4 billion in revenue, up 23% from last year. EMS (early mortality syndrome) in Asia’s shrimp industry, particularly in Thailand, Malaysia and China, pushed world prices to record high. This has benefited producers like India, Indonesia, Vietnam, and Ecuador. The US currently remains the biggest importer of Vietnam shrimp, accounting for about 26.3% of the country seafood export.
|Suppliers urge Saha Farms to speed up debt payment|
[04 November 2013] Creditors of Thailand’s Saha Farms, including corn producers, are trying to accelerate negotiations for debt payment as the poultry integrator is stalling payment to creditors. “A sub-committee on the debt problem resolution has been set up by the Parliament to facilitate and speed up the negotiation on the debt issue. All parties involved were invited to discuss this in the last two weeks, but it was inconclusive. We have agreed to meet again on November 13 to continue the negotiations,” Sakchai Lappornsirikul, head of a group of corn producer in Petchabun Province, a creditor told Asian Agribiz. Mr Sakchai said he hopes Dr Panya Chotitawan, the ower of Saha Farms will be present at the meeting and that debt repayment be agreed upon. Saha Farms owes corn producers in Petchabun around USD 8.9 million, out of more than USD 64.1 million to other suppliers. Mr Sakchai said Saha Farm is now operating its poultry farm and slaughterhouse on a much smaller scale.
|Soybean imports set to boost domestic supply in Indonesia |
[04 November 2013] In a bid to boost domestic supply and eventually lower prices, the government has allowed the National Logistics Agency (Bulog) to import 22,000 tonnes of soybeans from Brazil and the US, in November. The import follows a government regulation issued on August 28, which stipulates that soybean imports could only be conducted by Bulog, state-owned companies, cooperative and/or private entities that participate in the government-sponsored Soybean Price Stabilization Program. Rito Angky Pratomo, Bulog’s Director for Business Development and Planning said the agency’s swift action was made to meet high domestic demand. He said the low soybean production, as well as high demand, had caused the price of the commodity to surge from USD 0.74 to USD 1/kg in September, the highest in 2013.
|Wendy’s aims for 100 stores by 2016|
[04 November 2013] Wenphil Corp, the Philippine franchise holder of Wendy’s fast-food chain, will launch an aggressive expansion program that will bring its store network in the country to 100 by 2016. Wenphil Chairperson Elizabeth Pardo-Orbeta said the company will boost its franchising effort next year. Last year, The Wendy’s Co allowed Wenphil to sub-franchise, the first of its franchisees to be allowed to do so. Wenphil is currently renovating its existing stores in the country, after which it will start inviting new franchisees. The company targets to have 40 stores by the end of the year.
|Philippine corn farmers urged to up production|
[04 November 2013] Philippine corn farmers needs to increase production while reducing production cost to become globally competitive, said the Philippine Department of Agriculture Secretary Proceso Alcala. This can be done by planting high-yielding, pest-resistant seeds, and using modern machinery and post-harvest facilities. He said the Philippines is set to post a record harvest this year of 8.2 million tonnes, about 5.73 million tonnes of which is yellow corn. Mr Alcala said by proper cooperation and coordination, the government together with stakeholders from the corn sector and its allied industries will further boost the corn industry.
|Japanese scientists develop rapid test for H7N9|
[04 November 2013] Scientists in Japan are said to have developed a new rapid diagnostic technology to detect the highly pathogenic avian influenza H7N9 virus. The new technology determines the binding reaction between the virus in a humoral sample from a bird and a human glyco-chain produced artificially in the diagnostic kit. The test which is likely to be available in three years is able to give a result within 30 minutes.
|South Korea to lift ban on Zilmax|
[04 November 2013] While Seoul suspended imports of beef from a JBS USA plant in early October as it contained the drug zilpaterol, the country is now set to lift the ban on the drug next year. Director of South Korea’s livestock products standard division, Son Seong-wan said a government risk assessment found that the feed additive, known by Merck brand name Zilmax, is safe at certain levels. Apart from further promoting imports of US beef, this would also permit domestic sale of Zilmax in South Korea.
|IB Group ventures into GP operations|
[01 November 2013] India's IB Group is moving upstream in a big way following the signing of a strategic business partnership with Aviagen International to establish a GP operation. The signing between Bahadur Ali, Managing Director and Bob Dobbie, President, Aviagen International was held in the presence of Chief Minister, Chhattisgarh, Raman Singh, last week. IB Group President R.K. Jaiswal told Asian Agribiz that the GP farm is already under construction and will raise Aviagen's Ross-308 breed. The first batch of GP is expected at the end of January 2014.
|Thailand wants Singapore to relax rules|
[01 November 2013] Although Singapore has agreed to resume imports of frozen raw chicken from Thailand it only wants birds reared under compartment system and not those grown by contract farmers, Trisadee Chaosuancharoen, Director-General of the Department of Livestock Development said. Only Charoen Pokphand Foods (CPF) and Saha Farms can export raw chicken to Singapore, but Saha Farms is currently limited by its financial difficulties. Mr Trisadee said Thailand is now negotiating for Singapore to relax its rules and allow chicken from contract farmers as well.
|Flooding damages China’s soy harvest|
[01 November 2013] Flooding in the north-eastern province of Heilongjiang has damaged China’s soybean crop, giving added impulse to soaring soybean imports. China’s soybean harvest will now fall short of 12 million tonnes, while 2012 imports are likely to reach nearly 60 million tonnes. Import forecasts for the 2012-13 crop year were already at the 65-67 million tonnes-level, based on China’s ever-increasing demand for sources of animal protein. With the flood damage to the 2012 crop, imports have the potential to reach 70 million tonnes. The government has also been selling stock from its soybean reserve, but market observers say the relatively low quality of the stored soybeans has limited those sales.
|CP upgrades its fishmeal manufacturing traceability |
[01 November 2013] Charoen Pokphand Group has adopted the IFFO Standard (International Fishmeal and Fish Oil Organisation) for responsible sourcing and production in an effort to upgrade its fishmeal manufacturing to ensure sustainable development of the business, according to Paisan Krueawongwanich, an executive overseeing the feed ingredients business of CP Group. By complying with the IFFO standard for fishmeal and fish oil producers around the world, CP expects fishmeal manufacturers, fishermen and fish suppliers, to adopt similar traceability procedures and guidelines. CP targets to commence compliance within this year.
|Indonesia to develop halal food region|
[01 November 2013] Indonesia’s government plans to develop a halal industry region for the food industry. Deddy Mulyadi, Director General of Industry Region Development of the Ministry of Industry, said food producers in the region will not need halal certification for all its products as this will be undertaken by the authority of the region. “This will help producers save costs and boost their business performance in local and international market,” Mr Mulyadi said. He added that the standardization draft will be completed in the next six month, and construction will begin in 2015.
|Thai chicken production up|
[31 October 2013] While Thailand’s Manufacturing Production Index (MPI) contracted 3.6% in the third quarter, production in the food sector has appreciated 4.6% in the period. Somchai Harnhirun, Director-General of the Office of Industrial Economics said the main supporter of MPI for food is frozen and processed chicken. Production has increased significantly by 32.6% due to growing demand from overseas markets. Thailand produces around 1.4 million tonnes of chicken annually, around 500,000 tonnes of which are exported.
|Vietnam's feed raw materials imports up 38%|
[31 October 2013] Vietnam’s imports of animal feed and raw material for animal feed production are estimated to touch USD 2.73 billion in the first 10 months of this year, soaring 38.5% from a year ago, according to the Ministry of Agriculture and Rural Development (MARD). In October alone, imports of these products reached USD 357 million, mainly from Argentina, India and the United States. MARD added that imports of these products have accelerated in recent years on the back of growing demand and growth in the domestic livestock industry.
|Indonesia issues new cattle import permits|
[31 October 2013] Indonesia has started releasing import permits for an additional 100,000 feeder and slaughter cattle, setting the scene for two months of intense competition for available supplies in northern Australia. The release of the new permits, valid until the end of 2013, began on October 25. It follows almost two months of negotiations between Australia and Indonesia over the rules that will underpin live cattle imports in future. The mix of feeder cattle and slaughter cattle in the new permit allocation has not yet been announced. The Ministry of Trade wants to ensure there will be enough slaughter cattle included in the new import allocations to get more beef into wet markets and supermarkets as quickly as possible to support lower beef prices.
|South Korea's purchase pushes corn futures up|
[31 October 2013] Corn futures gained 0.2% early this week after South Korea said it bought 368,000 metric tonnes of corn for delivery in March and April from US inventories. Meanwhile, soybeans rose as rain this week in the US Midwest will delay harvest completion.
|Coimbatore steps up hygienic disposal of waste|
[31 October 2013] In a bid to heighten the level of hygiene among processors, the Coimbatore Corporation in the Indian state of Tamil Nadu has warned poultry shop owners to obtain a license and then operate their business according to stipulated procedures. The Corporation said that shop owners should dispose of the waste in a safe manner and not dump the same in the open. The waste should only be disposed in the vehicles the corporation had earmarked for the purpose.
|Thailand plans for corn zoning |
[30 October 2013] Thailand is working on setting up a zoning program for corn to tackle the low price problem in the longer term. Yanyong Phuangrach, Deputy Commerce Minister said the corn zoning scheme will define appropriate growing areas to realise supply that balances with demand. The ministry expects to prepare all details for the corn zoning scheme by early next year and prior to cultivation of the new crop. For short term measures in dealing with current low price, the ministry is accelerating the export of corn to Asean countries like the Philippines and Malaysia and is also targeting Indonesia as an additional export destination.
|Birdsteel gets USD2m loan for expansion|
[30 October 2013] The Development Bank of the Philippines has granted a USD 2.32 million term loan to Birdsteel Poultry Farm in Balamban, Cebu Province to finance the construction of its fourth poultry building that has a capacity of 200,000 broilers. All the farm’s buildings are modern, automated and environment controlled, allowing the farm to achieve a recovery rate of no less than 95% per grow at lower FCR. The new building will increase the farm’s capacity to 550,000 birds per grow, and would make Birdsteel Farm the second largest contract grower in Cebu.
|Bearish outlook for soy|
[30 October 2013] Soybean prices are expected to remain bearish amidst adverse weather in Argentina but better yields in the US and an anticipated 88 million tonnes from Brazil's harvest. China which purchased 29 million tonnes from Brazil and 22 million tonnes from the US in 2012/13 continues to project strong demand. China's soy imports are estimated to grow by 9-13% this year.
|Indonesia and Malaysia step up beef imports|
[30 October 2013] Australia's beef export to Indonesia and Malaysia in September jumped 35% and 47% respectively compared to the year before. Indonesia imported 2223 tonnes swt of beef in September while Malaysia imported 1511 tonnes swt. Mutton exports in September were assisted by the second highest monthly mutton shipments to Malaysia on record, at 1165 tonnes swt, with mutton carcass (443 tonnes swt) and manufacturing (329 tonnes swt) accounting for 66% of total exports. Meanwhile exports to the Philippines declined for the third consecutive month, with the September volumes falling 18% year-on-year. Shipments to Singapore contracted 18% year-on-year, at 1000 tonnes swt, exports to Hong Kong were also down 2%, at 544 tonnes swt.
|Miratorg increases pork exports to Hong Kong |
[30 October 2013] Russian meat processor Miratorg will export a total of 3838 tonnes of pork to Hong Kong this year, some 2.5 times more than last year. The company first supplied pork to Asia at the end of 2011 and is currently one of the largest Russian pork exporters to this region. It hopes to export 2885 tonnes in the second half-year period of 2013. The company is also eyeing other Asian markets such as Vietnam, China, South Korea, Japan and Malaysia. A press release from the company revealed that it sees good demand for pork products in these countries.
|Integrated approach to boost seed performance|
[30 October 2013] Seeds play a crucial role in increasing productivity in global agriculture. But, the seed industry needs to shift from increasing the genetic potential of seeds towards improving the overall performance of crops. This requires the industry to identify best practice methods by taking account of available fertilisers, pesticides, environmental conditions, planting techniques, and a myriad of other economic and technological factors, in a concerted drive to increase yields. “Seed companies have ample proprietary data from test fields,” Rabobank Analyst Harry Smit said. “In addition they have a good understanding of which input mixes work best with new seed varieties.”
|China to rebuild corn reserves as price weakens|
[29 October 2013] Higher yield expectations and sharply increased corn condition ratings are likely to have an impact on pricing. Despite the bearish pressure, Rabobank said that Chinese buying will likely drive temporary price rallies. The bank said that China will import 7-8 million tonnes from the 2013/14 crop and when prices weaken will likely begin to start rebuilding its strategic reserves.
|Calata eyes meat processing business|
[29 October 2013] Calata Corporation, which earlier this month announced it will foray into feed production, is exploring the possibility of investing in meat processing and distribution business, its Chairman, Joseph Calata said. The company is currently looking for partners and Mr Calata said he expects to have a deal announced before the end of the year. Calata is a distributor and retailer of feeds and other farm supplies, and it also operates a breeding farm for San Miguel Foods Inc.
|Lotteria Indonesia plans for 100 new outlets|
[29 October 2013] Lotteria, a QSR from South Korea is growing in Indonesia's Jadebotabek [Jakarta, Depok, Bogor, Tangerang and Bekasi] area. It has 26 outlets in Jadebotabek and targets to establish another 48 outlets in the region by the end of this year. CEO of PT Lotteria Indonesia Lee Hae Kwan said the company plans to have 100 new outlets by 2015 in Indonesia. “To realise this ambition, we will develop a strategic & priority partnership concept with revenue sharing.” He added that next year the company will start to build outlets outside of Jadebotabek such as Bandung, Sukabumi, Cianjur, Cirebon, Tegal, and Purwakarta. Lotteria offers fried chicken and burger meals. In Asia, it currently operates 110 outlets in Vietnam, 200 in Japan, 50 in Myanmar and 50 in China.
|Positive outlook for Vietnam's whiteleg shrimp exports|
[29 October 2013] Vietnam’s whiteleg shrimp production and exports in 2013 are set to grow on the back of high demand for cheap and small shrimp and a decline in shrimp output from Thailand. Through September 2013, whiteleg shrimp exports registered USD 875.4 million, jumping across earnings of USD 868.3 million from black tiger shrimp. This is the first time Vietnam's revenue from whiteleg shrimp has exceeded black tiger shrimp, VASEP (Vietnam Association of Seafood Exporters and Producers) reported. In 2012, on 38,000 ha, Vietnam harvested 190,000 tonnes of whiteleg shrimp, accounting for 38% of the country’s total shrimp output.
|Aussie red meat exports to South Asia hits 16,000 tonnes|
[29 October 2013] Australian Red meat exports to South Asia in September hit record volumes for September. Meat and Livestock Australia reported that total red meat exports, comprising beef and veal, lamb and mutton, hit a total of 15,769 tonnes shipped weight. That volume included 1858 tonnes swt of lamb exported, the highest September volume on record, and 3165 tonnes swt of mutton. Contributing to the slight year-on-year rise in monthly shipments was the larger volumes of frozen beef exported, at 9289 tonnes swt, up 3% year-on-year), which offset a 13% decrease in chilled beef exports, at 1457 tonnes swt.
|Yum opens 40,000th restaurant in Goa|
[29 October 2013] Yum Brands announced the opening of its 40,000th restaurant in Goa, India. The announcement highlights Yum’s focus on emerging markets, a driving force behind its growth. By 2015 India is expected to have USD 1 billion in system sales and over 1000 KFCs, Pizza Huts and Taco Bells in more than 100 cities in India. Yum Restaurants India President Niren Chaudhary attributed the growth in the country to a successful brand building strategy, localised menu offerings and a skilled and diverse workforce. India is estimated to have the largest consuming class in the world by 2030.
|Thailand to export surplus corn|
[28 October 2013] Thailand is accelerating corn exports in an attempt to contain the domestic oversupply and shore up prices. Somchai Soithong, Director-General of the Department of Internal Trade, said around 2000 tonnes of corn are awaiting shipment to Malaysia while another 6300 tonnes will be exported to the Philippines. The grain to be exported is from the local intervention program in which corn is bought from farmers at prices higher than market levels. Thailand targets to export around 500,000 tonnes of corn this year.
|Sojitz invests in Brazilian grain company|
[28 October 2013] Japan's Sojitz Corp will invest in a Brazilian grain production and collection company and begin exporting soybeans and other produce to Asia. Sojitz has reached an agreement with Cantagalo General Grains SA to take a stake in the Brazilian firm and a subsidiary. It will hold an interest of just over 40% in the subsidiary and an undisclosed stake in the parent, with the total investment estimated at USD 164.2 million. Through the move, Sojitz will gain a foothold in Brazil, which grows some 40% of the world's soybean exports. The Japanese firm currently handles 4.5 million tonnes of grain globally a year, about a tenth the amount handled by industry leader Marubeni Corp. Using the proceeds from Sojitz's CGG will boost its arable land to 200,000 hectares in 2018.
|China develops vaccine for H7N9 virus|
[28 October 2013] Chinese researchers have developed the first influenza vaccine for the deadly H7N9 bird flu virus which killed over 45 people in China this year. Shu Yuelong, director of the Chinese National Influenza Centre and director of the WHO Collaborating Centre for Reference and Research on Influenza said the vaccine offers important technical support to the global battle of the new flu strain. Li Lanjuan, leading researcher from the Chinese Academy of Engineering, said the team applied plasmid reverse genetics and genetic reassortment, which was widely adopted by the world, to develop the vaccine seeds, which were later proved to be safe with the embryonated chicken eggs. She said the vaccine has passed the test on ferrets.
|H5N1 remains serious threat to Cambodia|
[28 October 2013] The avian influenza H5N1 virus remains a serious threat to Cambodia, said the country’s Minister of Health HE Dr Mam Bunheng. The Ministry of Health together with the World Health Organisation reported its 21st case this year affecting an eight-year-old girl from Kampong Thom province. The girl, in stable condition now, was tested positive for the disease on October 11. Cambodia is suffering from the worst outbreak of the virus this year since it was first identified in 2004. With 21 cases this year and 10 survivors, Cambodia has seen its highest number of cases in a year, but also the highest number of survivors, according to the WHO.
|FMD hits cattle in India|
[28 October 2013] Foot-and-mouth disease (FMD) has claimed more than 3000 heads of cattle in India's Karnataka state while another 23,500 animals have been infected with the virus. The disease, which so far had South Karnataka under its grip, now appears to have spread to several other districts, including those in the north of the state such as Bidar, Bellary and Belgaum. Deputy Director of the Animal Husbandry Department Sriram Reddy, however, said the disease was ‘under control’ and that the department was continuing its ‘ring vaccination’ of cattle within a specified radius of affected villages. While officials assumed that the disease would abate once the monsoon retreated by the end of September, the weather has remained cloudy and wet and therefore, conducive for the spread of the disease.
|Poultry farmers in Nepal turn down compensation|
[28 October 2013] Poultry in Kathmandu, Nepal who were hit by the recent outbreak of bird flu have refused the compensation offered by the government. “The compensation that the government has offered is very little. It holds no meaning to receive just USD 1.3/culled bird,” Poultry Entrepreneur's Committee Coordinator Ganesh Kunwar said. Although the committee called for 80% compensation of the loss, the government announced only USD 1.3/culled bird, he said.
|PED virus in the US traced to China|
[25 October 2013] The porcine epidemic diarrhoea virus (PEDv) that has hit many US pig farms likely originated in China’s Anhui province and may have evolved from a virus seen in bats, a report by Reuters said. Researchers at the Virginia-Maryland Regional College of Veterinary Medicine at Virginia Tech led by Dr X.J. Meng compared the genetic codes of strains of PEDv virus from infected animals in Minnesota to PEDv samples isolated in China's Anhui province from an outbreak that began in late 2010, and results showed that these are most closely related. They said however that pinpointing the exact source is difficult at this point. As of the first week of October, there have been 768 confirmed cases of PEDv in 18 states.
|Philippine corn production to exceed target|
[25 October 2013] Despite several typhoons that hit major corn producing areas in the country, Philippine corn production is expected to reach 8.13 tonnes this year, exceeding the government’s 7.37 million tonne target. Agriculture Secretary Proceso Alcala said the country’s corn sufficiency level has gone “from 83% to 98% in 2012, and we expect to hit 105% sufficiency by year end.” The expected record harvest would translate to a corn surplus of about 150,000-200,000 tonnes this year, boosting hopes that local corn farmers might finally get government approval to export corn. More than a year after the Philippine Maize Federation requested to be allowed to export corn, the organisation is still waiting for the go-ahead from the Department of Agriculture.
|S. Khonkaen prepares for AEC|
[25 October 2013] S. Khonkaen Food Industry Plc, a leading pork processing producer in Thailand, is making inroads into neighboring countries ahead of the Asean Economic Community (AEC) in 2015. Aiming to become the Asean kitchen, the company has appointed in the third quarter, distributors in Cambodia and Laos to promote its products in those markets, said Chief Executive Officer Charoen Rujirasopon. S.Khonkaen will soon appoint a distributor in Myanmar as well to promote its products such as Chinese sausage, Vietnamese-style sausage and dried sliced sheet pork as well as crispy pork snack.
|Chicken with fake halal logo seized at border|
[25 October 2013] Malaysian authorities halted a consignment of poultry heading by truck across the border into Thailand after suspicions were confirmed that the poultry was not slaughtered according to the halal practice. The consignment, consisting of 146 boxes of slaughtered chicken, 253 boxes chicken liver in and 40 sacks of ducks was held up in the Malaysian border town of Padang Besar. Officials confirmed that the poultry had only a pierced mark at the neck of the chickens and duck.
|Japan to import 50k tonnes feed wheat |
[25 October 2013] Japan's Ministry of Agriculture said it would import 49,830 tonnes of feed-quality wheat via a simultaneous buy-and-sell (SBS) auction. It received no bids for barley for livestock use. The ministry had sought 180,000 tonnes of feed wheat and 200,000 tonnes of feed barley in the tender that is usually conducted weekly. It is seeking the same amounts for each grain in a similar tender to be held on October 30. Japan buys a small portion of feed wheat and barley via so-called SBS auctions, in which end users and importers specify the origin, price and quantity of grain, allowing millers to meet their varied needs for feed grain.
|New feed plant in Manipur|
[25 October 2013] Agocon’s Agro Products inaugurated its new poultry and cattle feed plant located in Manipur, India. The plant is expected to address the poultry and cattle feeds shortage in Manipur. With rising meat consumption, the number of smaller farmers has also grown said Social Welfare Minister AK Mirabai Devi. She said the new plant would boost the state's economy and help modernise the livestock sector.
|Nampa welcomes Keystone's investment in Indonesia|
[24 October 2013] Pennsylvania-based Keystone Foods will build its first processing facility in Indonesia in 2014. Richard Wong, Executive Vice President for Asia Pacific, Middle East and Africa (APMEA), said the facility costing USD 6 million will have an operating capacity of up to 10,000 tonnes/year and should begin operating within next year. “This facility will focus mainly on poultry, with some beef processing. We're near an agreement with a joint venture partner, one of the top two poultry processors in Indonesia,” Mr Wong revealed. “Its 45 million middle class consumers will triple by 2030. With the largest Muslim population in the world and a per capita consumption rate for poultry that's low it offers long-term growth potential,” he said. Commenting on the news, Haniwar Sarif, Executive Director of the National Meat Processors Association (Nampa) told Asian Agribiz that: “we are pleased with new investments in Indonesia because it will create jobs and allow for the transfer of technology. The investment also proves that this industry has a good future.”
|Sierad to offer Belfoods’ shares|
[24 October 2013] One of the largest Indonesian poultry integrator PT Sierad Produce is offering the shares of PT Belfoods Indonesia, to a strategic partner. PT Belfoods focuses on producing and marketing processed poultry products. Sierad is eyeing investors from Taiwan, South Korea, Japan and the US. Currently, 66.99% of the shares are controlled by Sierad, while the rest is controlled by the previous owner of Belfoods, PT Cipta Kreasi Windriya Usaha. Vice President Director of Sierad, Eko Putro Sandjojo said Sierad and Cipta Kreasi have agreed to invite a strategic partner. “In addition to funding, the partner is expected to transfer technology and expertise to develop Belfoods.”
|Reliance to challenge KFC in India |
[24 October 2013] Mukesh Ambani’s Reliance Industries, through its subsidiary Reliance Retail, has picked up a 45% stake in 2 Sisters Food India, a subsidiary of UK-based 2 Sisters Food Group Ltd. The company plans to open a QSR chain in India called 'Chicken came First'. It will sell only chicken products. 2 Sisters Food India will initially introduce Chicken came First through Reliance Retail which will start selling chilled and frozen foods under this brand. Chicken came First will step up the competition in the USD 1.14 billion organised food services market in India and directly compete with Kentucky Fried Chicken (KFC).
|Pork prices to stay high|
[24 October 2013] Pork prices for the rest of the year will remain high due to demand from the Chinese festival season, said Rabobank’s Global Pork Industry Outlook for Q4 2013. The bank's five-nation hog price index continued its upward trend resulting in a peak of 162% in August, just below the last peak of 165% in August 2008. The index declined at the end of Q3 due to the recovery of supply after the summer heat. Until December global prices are forecast to remain elevated. Despite the good feed prices prospects, Rabobank expects farmers to hold off expanding production and first regain part of the lost margins of the last few years. Come 2014 declining feed costs will continue to support slow herd rebuilding. Combined with productivity increases, that will result in higher supply and, likely, lower prices.
|Mother Dairy hikes milk prices in Delhi|
[24 October 2013] Mother Dairy, the largest milk supplier in Delhi, India, has increased milk price by USD 0.03/liter with effect from October 23 due to rise in input cost. The price of full cream milk has been raised to USD 0.72/litre from USD 0.69 a litre, while that of toned milk to USD 0.55/litre from USD 0.52/litre. The company said that the rise in input costs has forced it to raise the consumer prices to ensure remunerative prices to farmers and sustained availability of milk. “Cattle feed and fodder contributes the bulk (almost 75%) of the total cost of production of milk. Significant increase in the cattle feed & fodder and labour has led to the rise in overall cost of production,” it explained.
|Singapore to resume Thai raw chicken imports|
[23 October 2013] Thailand’s Commerce Ministry Niwatthamrong Boonsongpaisan revealed that Singapore will resume raw chilled and frozen chicken imports from Thailand after a suspension for nine years. This decision came after the recent meeting of the Singapore-Thailand Enhanced Economic Relationship (Steer) in Singapore, where Mr Niwatthamrong met with Singapore Minister for Trade and Industry Lim Hng Kiang. “This is good news for Thailand as Singapore imports chilled and frozen chicken worth around USD 250 million annually,” Mr Niwatthamrong said. Apart from poultry, Thailand also asked Singapore to start importing chilled and frozen pork from Thailand and to invest in pig farming here for export to Singapore.
|Landyork thrives on high standards |
[23 October 2013] Malaysia's Landyork Farming clinched the Outstanding Farm 2013 award for the swine category at Livestock Asia Expo and Forum 2013. The farm has a standing pig population of 6000, including 600 sows. Eddy Ng, Group Managing Director of Ng Beng Tee Group, the company that runs Landyork Farming, said perseverance in maintaining high standards has helped the company lead. This includes a cold chain delivery system. His Sanbanto brand of meat is sold at specialised shops that maintain a high level of safety and freshness while the farm-to-table concept, which is becoming more popular in Malaysia, has worked well for the company. “People used to say doing business this way was not sustainable but it has paid off. Our customers have come to associate our brand name with quality meat,” Mr Ng told Asian Agribiz.
|Rise in Vietnam's egg production and consumption|
[23 October 2013] Vietnam’s egg output has risen by an average of 11.6% annually since 2010, said the General Statistics Office. In 2012, the country produced nearly 7.3 billion eggs. Per capita consumption was 82.2 eggs in 2012, an increase of 14.48 eggs from 2010. This year, production is expected to reach 8.1 billion eggs, over 9.15 billion in 2014, and 10.53 billion in 2015. Consumption is expected to rise to 111.48 in 2015. Vietnam is the 12th largest Asian producer of eggs and the 5th biggest producer of eggs in Asean.
|Mitsui to participate in Vietnam shrimp processing company|
[23 October 2013] Mitsui & Co Ltd. has gone into an agreement with Minh Phu Seafood Joint Stock Company to participate in the management of Minh Phu Hau Giang Limited Liability Company, an affiliate that is engaged in shrimp processing and exporting. Mitsui will take a 31% stake in Minh Phu Hau Giang. Minh Phu is the largest vertically-integrated Vietnamese shrimp processing company and exporter, with operations across the full aquaculture process from post-larvae rearing, shrimp farming, to processing and sale & export. Their total export volume is about 15% of Vietnam's total. Minh Phu exports their products to US, Europe, Japan, Korea, Canada and Australia.
|Omani team visits farms in India for certification|
[23 October 2013] Omani officials visited India to check methods of slaughter and processing of poultry to certify them for exports to Oman. In a decision in May this year, Oman’s Ministry of Agriculture and Fisheries lifted the import ban on poultry and its products from India but with certain clauses. The certificate to export to Oman is subject to field inspection by a technical team from the sultanate to ensure companies honour the conditions stipulated. Dr P V Senthil, Secretary of the Indian Livestock and Agri Farmers Trade Association said that process laid down by Oman is proactive, and if it is adopted by other countries, it will be a win-win situation for all.
|Indian dairy industry set to touch USD140b by 2020|
[23 October 2013] The size of India's dairy industry in both organised and unorganised sectors is expected to double to USD 140 billion by 2020, on the back of growing demand and rising disposable income said a report by Investor Relations Society. The report stated that while the dairy industry is growing at a compounded annual growth rate of 15-17%, the value-added products alone are growing way beyond 24%. Milk is the country's biggest agricultural produce, contributing 22% to agricultural GDP. “The industry, which had been a national heritage, is now re-emerging and catching the eye of investors due to its growth potential,” the report said.
|Limited spaces for Advanced Sausage Course|
[22 October 2013] The Advanced Sausage Course from December 4-6 organised by Asian Agribiz Skills Development will be held at the Food Innovation and Research Centre (FIRC) in Singapore. The three-day course will be led by Dr Lynn Knipe of Ohio State University and will include among others topics on raw meat quality, optimising the use of non-meat ingredients, spreadable products and stabilising fat. Participation is limited to 20 students. Complete details and registration available here.
|CP Indonesia secures USD500m syndicated loan|
[22 October 2013] The largest poultry integrator in Indonesia PT Charoen Pokphand Indonesia has secured a syndicated loan worth USD 500 million from 20 foreign and local banks, to refinance debt and for expansion, Director Ong Mei Sian said. Corporate Secretary Hadijanto Kartika said the realization of the syndicated loan facility is in line with the projection of the poultry industry which reflects significant growth opportunities. “To support our business growth, we will increase the production capacity of all our operations such as animal feeds, DOC and processed chicken products. Currently our market shares for animal feeds, DOC and processed chicken products are 37%, 35% and 55%, respectively.”
|Egg price in Thailand declines |
[22 October 2013] Floods in several provinces in Thailand have affected some layer farms, with many of them having to evacuate. However, the situation has not affected egg supply with the amount entering the market sufficient for local consumption, Mr Somchat Soithong, Director-General of the Department of Internal Trade, confirmed. The recent vegetarian festival coupled with the school semester closure has dented egg consumption while cooler weather conditions have spurred laying, boosting availability in the market. All this has led to a price decline in Thailand by THB 0.10 per egg to around THB 3.40-3.70/egg depending on the size.
|Thai researchers find new way to tackles EMS |
[22 October 2013] A research team at Thailand’s Kasetsart University has succeeded in tackling the Early Mortality Syndrome (EMS) that caused vast damage to shrimp farms in Thailand earlier this year. The researchers found that extracts of Polyphenol substance from some plants can kill Vibrio harveyi and Vibrio parahemolyticus, two bacteria that cause EMS. The trials with this polyphenol substance proved positive up to catching at 65 days of rearing, although the growth rate was slightly slower than normal conditions and shrimp sizes were around 60-80 heads/kg.
|China packaged food market grows 66% |
[22 October 2013] The Chinese market for packaged processed food like ready-meals, snacks and drinks will surpass the US in terms of volume by 2015. By then China is forecast to consume as much as 107 million tonnes of packaged food compared to 102 million tonnes in the US. In terms of value the American bill will still be worth more, USD 369 billion versus USD 238 billion in China, but consumption of these foods in China will have grown 66% from five years ago, said a Euromonitor International report entitled Strategic Analysis of the Global Food and Beverage Processing Support Market. The report noted that Asia Pacific is a key emerging engine for market growth. Producers can ensure their products stand out by creating brand recognition. Smaller companies are learning that they must create brand awareness to survive in this highly competitive market.
|Taisugar denies involvement in pig farming in China|
[22 October 2013] Taiwan Sugar Corporation (Taisugar) denied rumors that the company is involved in pig farming in China, saying that it complies with domestic laws banning such practices. The Tainan-based state-run enterprise supplies 350,000 pigs every year in Taiwan and is a leading pig breeding company. Liu Tsung-hsien, Head of Taisugar's Public Relations Department, said the government still bars Taiwanese enterprises from entering the pig farming business in China either through investment or technology cooperation. The spokesperson acknowledged, however, that incentives to invest in the sector in China exist because pigs fetch good prices in the Chinese market, unlike in Taiwan.
|Processors welcome slaughter ban in markets|
[21 October 2013] Malaysian poultry integrators welcomed the announcement by the National Council for Local Government to ban the slaughter of poultry in traditional markets. According to Federation of Livestock Farmers Association Malaysia Secretary General Jeffrey Ng it is a step in the right direction for a country aiming for better standards where food production is concerned. Mr Ng said some 30% of broilers produced in Malaysia make their way to modern processing plants approved by Department of Veterinary Services. The remaining 70%, however, are slaughtered in wet markets with no proper set up and with no certification. “The facilities also do not have a veterinarian on site to classify the chicken safe for consumption,” Mr Ng told Asian Agribiz. PTS Group of Companies Poultry Integrator Planner Dr Khaw Eng Sun said traders can form a consortium to process chicken. “Traders can do their processing here for a fee. Consumers do not have to worry about the quality of the chicken as it will be hygienically slaughtered and kept chilled,” he said.
|First ever bulk shipment of US sorghum unloads in China|
[21 October 2013] The first ever bulk shipment of US sorghum to China arrived and began unloading at the Guangzhou Port Facility on Friday, the US Grains Council announced. The shipment of 60,000 tonnes will be used for animal feed. “The Council believes US sorghum has significant potential to become a regular feed ingredient in China,” said USGC Country Director in China Bryan Lohmar, adding that sorghum imports “can help keep food prices low and improve China’s overall food security.” Some 1.1-1.2 million tonnes of sorghum are also being shipped to China this month, said Alvaro Cordero, USGC Manager for global trade, and it is estimated that the US could register sales of at least 1.6 million tonnes of sorghum for the 2013-14 crop year.
|Poultry exports to Japan, South Korea, UAE under negotiations|
[21 October 2013] The Philippines is under final negotiations to export Peking ducks to Japan, Philippine Department of Agriculture (DA) Secretary Proceso Alcala revealed at the Multi-Sector Agricultural Summit held last week. However he did not specify when exports might start. Mr Alcala also said that the country is finalising its negotiations with South Korea and the United Arab Emirates to export chicken to these countries, which recently opened their markets to Philippine poultry. South Korea has given the Philippines a checklist and the DA is revisiting the processing facilities that South Korean officials visited earlier. Meanwhile, the government is also fine-tuning its export plans to the UAE and is ensuring that the country’s halal requirements are met.
|Jollibee expands business to Indonesia|
[21 October 2013] Jollibee Foods Corporation from the Philippines will expand to Indonesia. CEO Ernesto Tanmantiong said in Denpasar, Bali that the company hopes to open outlets in Indonesia next year. “To realize this, we are now looking for a partner for a joint-venture,” he revealed. Mr Tanmantiong believes people in Indonesia will love Jollibee’s fried chicken. “We are now developing chili sauce that suits the taste of people in Indonesia.”
|CP Prima looking for new shrimp markets|
[21 October 2013] The US has said it will not impose countervailing duty on imports of shrimp from India, China, Ecuador, Malaysia and Vietnam. Mahar Sembiring, President Director of CP Prima, the largest vannamei shrimp producer and exporter in Indonesia, said the decision will impact Indonesian shrimp exports to the US. “Those five countries can also reduce the competitiveness of Indonesia in the US shrimp market as well as can impact CP Prima’s export growth in the market,” he said. According to him, India and Ecuador can export big volumes since both are free from Early Mortality Syndrome (EMS). Mr Sembiring predicted CP Prima’s shrimp exports to the US this year would be around 19,000-20,000 tonnes, similar to the previous year. “To improve our business performance, we are now looking for new markets.”
|Indonesia exports cattle semen to four countries|
[21 October 2013] Indonesia recently exported 4000 straws of cattle semen to Myanmar, Cambodia, Timor Leste and Afghanistan. “This is under the umbrella of South-South partnership,” Director General of Animal Husbandry & Health, Syukur Iwantoro said. “Besides those four countries, Kazakhstan and Kyrgyztan have expressed interest to import cattle semen from Indonesia,” he added. Mr Iwantoro said the semen was produced at artificial insemination agencies in Singosari, Lembang and Cipelang. Last year the country produced as much as 3.7 million straws of exotic Simmental, Limousin and Brahman bull semen, and 1.26 million straws of local bull semen. Local needs for frozen cattle semen is about 4.2 million/year.
|Construction of abattoir on hold|
[18 October 2013] The planned construction of a world-class abattoir in the Philippines has been put on hold because of funding problems. The USD 3.5 million Triple A slaughterhouse was supposed to be built in Bulacan province, one of the biggest pig production areas in the country, however the local government is facing funding problems, and has withdrawn its offer to host the abattoir. However, Rosendo So of the Swine Development Council told Asian Agribiz during the Multi-Sector Agricultural Summit this week that the town of Villasis, Pangasinan in Northern Luzon has offered to host the slaughterhouse. He also said that it is important that the slaughterhouse have a regular supply of pigs, so they have been consolidating backyard raisers as well as commercial raisers to agree to have pigs processed at the abattoir.
|OSI to inaugurate facilities in China tomorrow|
[18 October 2013] The OSI Group is scheduled to celebrate the grand opening of its ninth and tenth processing plants in China tomorrow. These include a multi-protein further processing (FP) facility and an adjacent, integrated poultry operation in Xihua, Henan Province. In keeping with OSI’s commitment to sustainability, the further processing facility is LEED (Leadership in Energy & Environmental Design) certified - one of the first such plants in China. The FP plant will process poultry and beef products for chain account customers in China and also ship to select export markets.
|Indonesia allocates budget for self-sufficiency|
[18 October 2013] For 2014, Indonesia’s Ministry of Agriculture has allocated as much as USD 823 million for agriculture self-sufficiency programs. Agriculture Minister Suswono revealed that the allocations for corn, soybean and beef self-sufficiency programs are USD 40 million, USD 87 million and USD 149 million, respectively.
|QSRs propel growth of Malaysian broiler sector|
[18 October 2013] Quick-service restaurants such as Kentucky Fried Chicken, McDonald’s, A&W, Kenny Rogers and Nando’s Chickenland have propelled the growth of chicken consumption and the poultry industry in Malaysia. According to the local Department of Veterinary Services despite issues such as increment in importation of chicken cuts and products, and continuous increase of chicken prices the industry is “regarded as the most successful segment of the livestock sector and has the highest output value per worker in the agriculture sector”. In its annual report the department added that “Malaysia has one of the highest per capita consumption of chicken in the world. Per capita consumption of chicken/duck meat is about 38kg.” Since supply is at 128% of self-sufficiency level, the department suggested that the poultry industry has to “innovate and explore export markets especially among Asean members."
|Producers need to achieve economies of scale |
[18 October 2013] Philippine agricultural producers, including pork and chicken producers, need to integrate and achieve economies of scale if they are to become competitive once the free flow of goods and services in the region begin with the Asean Economic Community, Philippine Agriculture Secretary Proceso Alcala told delegates to the Multi-Sector Agricultural Summit held yesterday. Producers must also begin thinking beyond competition in the local market and look at foreign competitors. He also called on producers to participate in the crafting and review of commodity roadmaps that are aimed at helping various sectors improve efficiencies and competitiveness.
|Bird flu detected in NSW|
[18 October 2013] Bird flu has been confirmed in a flock of 400,000 layer hens near Young, in New South Wales (NSW), Australia. However, NSW Chief Veterinary Officer Ian Roth said it is not the highly pathogenic H5N1 strain. "The property has been quarantined and the remaining birds on the property will be culled. Control restrictions are now in place within a 10km radius of the quarantined egg farm and extensive surveillance and tracing is now underway to ensure the virus does not spread,” he said.
|Calamities affect price, supply and demand of chicken and pork|
[17 October 2013] Natural calamities that struck the Philippines this weekend and on Tuesday are likely to affect supply and demand of chicken and pork in the country, leaders of the sectors told Asian Agribiz. On the sidelines of the Multi-Sector Agricultural Summit held yesterday, United Broiler Raisers Association Chairman Gregorio San Diego said that initial reports from their members say many farms were damaged in Central Luzon, a major production poultry and livestock production area that was badly hit by Typhoon Nari over the weekend. In these areas, raisers are selling what birds can be saved at lower prices, and this is expected to pull down the farm price of chicken again. Meanwhile, National Federation of Hog Farmers Inc Chairman Daniel Javellana said that the earthquake that hit Central Philippines on Tuesday will affect demand as consumers there would be spending more on recovery and rehabilitation. At the same time, producers that sell their pigs in the Vis-Min would likely bring their products to Manila and this could bring up supply and lower farm price in Luzon.
|Sierad optimistic of DOC production target|
[17 October 2013] One of the largest Indonesian poultry integrators Sierad Produce is optimistic that its DOC production target of 120 million DOCs can be achieved. “Our breeding houses are running in full capacity now. Besides, our two new breeding houses have been put into operation, so the production increase will occur at the end of the year,” Vice President Director of Sierad Produce Eko Putro Sandjojo said. “For broiler DOC, in December the production will increase to 2.5 million DOCs/week. Previously we only produced 1.8-2 million DOCs/week.”
|Philippines resume white shrimp exports|
[17 October 2013] The Philippines is once again exporting white shrimp to the US, China and Korea, Bureau of Fisheries and Aquatic Resources Director Asis Perez said, adding that shipment began three months ago. In September, the country exported about 50 40-foot containers of shrimp, each containing 26 tonnes of shrimp. Mr Perez said exports will continue each month, valued at around USD 7.5 million monthly. Despite the resumption of exports, he said the supply in the domestic market remains stable. The Philippines, which used to be one of biggest exporters of tiger prawns in the world, is hoping to take advantage of its EMS-free status to increase exports in the global market.
|Thai food exports to expand 5-7% |
[17 October 2013] Thailand’s exports of food in 2014 is expected to grow between 5-7%, outdoing this year’s performance of around 5%, thanks to continued demand following global economic recovery, Isara Wongkusolkij, Chairman of the Thai Chamber of Commerce said. However, shrimp exports are not likely to return to normal next year following the EMS disease outbreak this year that resulted in a sharp drop in supply. “Shrimp will remain in short of production for exports,” he said. This year, shrimp production in Thailand is expected to fall below the 500,000 tonnes produced in normal conditions.
|Santori buys Australian cattle station|
[17 October 2013] Japfa Foods’ beef division Santori , the largest importer of Australian live cattle and Asia’s biggest beef cattle breeder, has acquired two cattle stations – Riveren and Inverway. The two properties, which cover more than 550,000ha of pastoral lease land and come complete with a breeding herd of 40,000 cattle, are believed to have been sold for more than USD 33 million, reported The Australian. The sale happened days after Australian Prime Minister Tony Abbott concluded talks in Jakarta with his Indonesian counterpart, President Susilo Bambang Yudhoyono. Immediately after the talks concluded Indonesia increased its orders of Australian cattle this year by 53,000 head.
|Thai government urged to promote turkey farming |
[17 October 2013] Farmers in the northeast of Thailand are urging the government to promote turkey rearing and farming in the region, where demand and interest in turkey farming is growing. They are asking that turkey farming be raised as a national agenda. Chetta Kanyaphong, a leader of a group of turkey raiser in the upper-northeastern region said turkey farming in the area is still at early stage but holds high potential for development so it needs government support to drive growth. "We need technical and financial support from the Department of Livestock Development to promote both local consumption and export,” Mr Chetta said. He said farmers in his group have agreed to establish standard stock farms prior to commercialising the poultry and hopes to be able to export the meat in two years.
|Pefindo raises Japfa’s rating |
[16 October 2013] PT Pemeringkat Efek Indonesia (Pefindo) raised the rating for PT Japfa Comfeed Indonesia to idA+ from idA. The outlook of the corporate rating is stable. The rating upgrade is driven by Japfa's strong revenue growth in the past few years which has allowed it to maintain its strong market position in the prospective poultry business. The rating reflects Japfa's strong market position in the poultry industry, well integrated operations and diversified production facilities, and relatively strong cash flow protection measures and liquidity. The rating, however, is constrained by the company's moderate capital structure and exposure to the price volatility of raw materials and currency fluctuations.
|Puregold opens 200th store, to continue expansion|
[16 October 2013] Puregold Price Club Inc (PPI), the second leading supermarket chain in the Philippines, which has opened its 200th store, will continue its nationwide expansion, PPI Chairman Lucio Co said. The company has been aggressively expanding over the last couple of years but there is still more opportunities to be tapped, said PPI President Leonardo Dayao. Many of the PPI stores are in Metro Manila and adjacent provinces, with a few in the Visayas and Mindanao. However, Mr Dayao said the company’s expansion will now largely target Northern Luzon and the Visayas and Mindanao.
|NZ considers Indonesia, India for meat exports|
[16 October 2013] New Zealand’s Meat Industry Association Chief Executive Tim Ritchie has warned the country's meat companies against becoming too reliant on the booming Chinese export market. China is now New Zealand's largest single market for sheep meat by volume and value, but the industry has to try to have a balance of trade outside of China, he said. He feared a repeat of New Zealand's dependence on meat exports to Iran in the 1980s. Mr Ritchie sees huge potential in the Indonesian market for meat exports and demand from this market could provide useful tension with China in the future. “Indonesia is opening up again and there is a real need for protein for dietary requirements and beef naturally fits in with their cuisine.” The Indian market could also provide competition with China for New Zealand sheep meat exports as it develops, he added.
|Vietnam's feed input imports up 36%|
[16 October 2013] Vietnam spent over USD 2.37 billion on import of animal feed and materials in the first nine months of this year, a surge of 36.6% from the same period last year, said the General Department of Customs. In the second half of September, the country imported animal feed and materials worth USD 302.64 million, down 0.5% from the same period last month.
|China's dairy imports to continue to grow |
[16 October 2013] "Milk production in China is struggling to grow as a result of small-scale farmers exiting the industry and large-scale farms still being under development," said Rabobank analyst Hayley Moynihan in a report titled 'China's Raw Milk Supply -Still Dreaming of a White River'. "It is likely to be at least two to three years before the pace of large-scale dairy farm expansion in China outweighs the current contraction in 'backyard' sources and leads to a reduction in import growth." As a result, dairy imports will continue to grow for at least the next two years. Its dairy imports have been growing by between 20-30% per annum in the past two years.
|Low farm price hits Philippine poultry producers |
[16 October 2013] Commercial broiler producers in the Philippines have suffered losses after the farm price of live chicken took a dive three weeks ago. United Broiler Raisers Association Chairman Gregorio San Diego said that farm price dropped to USD 1.04/kg against a production cost of USD 1.62/kg, leading to losses particularly for smaller poultry players. Nevertheless, retail price of dressed chicken has remained at around USD 3.02/kg. Poultry players have called on the government in the past to address the discrepancy in farm price and retail price of chicken. Last week, Agriculture Secretary Proceso Alcala said that the retail price of chicken should be lower because of an oversupply and urged retailers and traders to bring down prices.
|Thailand hopes to export raw chicken to Japan in 2014|
[14 October 2013] Thailand expects to resume exports of raw chicken to Japan in 2014, commented Kukrit Areepakorn, Manager of the Thai Broiler Processing Exporters Association. Mr Kukrit cited that Japan is considering reopening its market for Thai raw chicken exports and if there are no concerns with the bird flu in Thailand, the importer would target next year. At present, only heat-treat chicken from Thailand can enter the Japanese market. Meanwhile, Mr Kukrit said that South Africa’s increase in import tariff on whole birds to 82% from 27% earlier has not had a significant impact on Thai poultry exports as Thailand exports a negligible amount of chicken there due partly to its limited purchasing power.
|Vinamilk and Tetra Pak launch advanced liquid dairy plant|
[14 October 2013] Tetra Pak has inaugurated the world’s most advanced liquid dairy plant in automation and integration in Vietnam with Vinamilk, at a cost of USD 110 million. Located in Binh Duong Province, it has an annual capacity of 400 million litres of milk in the first phase and features the industry’s most advanced technologies including the state-of-the-art Tetra PlantMaster system, which enables Vinamilk to have entire control of the plant from incoming raw materials to the processed, packaged and palletized products. "With this system, all the individual machines work together ‘as one’ to deliver optimal performance, with factory-wide integration ensuring high levels of efficiency and uncompromising food safety,” said Bert Jan Post, Managing Director of Tetra Pak Vietnam. Madam Mai Kiều Liên, Vinamilk’s Chairwoman and General Director said: “This new plant has a laid solid foundation for Vinamilk to achieve our goals to become one of the world’s top 50 dairies with over USD 3 billion in revenue by 2017”.
|Thailand to accelerate corn exports |
[14 October 2013] Thailand hopes to raise its corn exports this year to total as much as 0.5 to 1 million tonnes in an attempt to shore up prices of the commodity in the domestic market. Deputy Commerce Minister Yanyong Phuangrach said he expects the government to accumulate 1.8 million tonnes of corn from farmers by the end of the year via the price intervention program and will ship around 500,000 to 1 million tonnes of the purchased commodity to overseas destinations to relax the pressure on local prices. The Thai government recently approved USD 137 million for the corn price intervention program which involves buying of corn from registered farmers at favorable prices of a USD 0.22-0.29/kg while the price on the ground is USD 0.16/tonne. The purchasing and export measures are expected to help the domestic corn market return to a supply-demand balance position by the end of the year and price back on track after a drop in consumption following Saha Farms temporary exit.
|Filipinos assured of pork, chicken supply for Christmas|
[14 October 2013] Philippine Agriculture Secretary Proceso Alcala assured Filipinos that there will be enough supply of pork and chicken during the coming Christmas holidays, adding that there will be no need to import. Pork, particularly ham, and chicken are traditional Christmas fares in the country, and are traditionally in high demand during this period. Meanwhile, Pork Producers Federation of the Philippines President Edwin Chen said that there will be sufficient supply of pork as well as processed meats like ham, during the holidays. He said that traditionally, pork demand is down in the third quarter and this causes inventories to build up both in farms and the cold storage during the period. Mr Chen also said that pork demand is seen to go up later this month as the barangay elections is expected to boost consumption.
|Dairy companies must invest to keep up with demand|
[14 October 2013] Developing countries will see a big increase in the demand for high quality dairy products. To keep up with this growth dairy companies must increase their production efficiency. According to Rabobank Head of Food and Agribusiness Research and Advisory in the US, Bill Cordingley, companies should “invest in and improve sectors like manufacturing to increase production and ensure the product meets international regulations and standards. Speaking at the Alltech Global 500 event, he stressed the importance of a proper supply chain that is whole, traceable, trusted, designed especially for the product, and safe. In terms of beef he said the industry is much more mature than dairy and currently moving from being product-driven to market-driven – the consumer has to have a good experience with a product to guarantee that they will come back. “So how do you create that premium position? Increasingly it’s about competitiveness and it’s about grain. Consumer issues and demands aside, cost is a major issue. The industry is based on what it costs to grow an animal.”
|Indian corn seen up as rains delay supply|
[14 October 2013] Indian corn futures are expected to trade firm due to a delay in arrival of the new crop as rains hit harvesting operations, while concerns about the quality of the crop are also seen aiding sentiment. Rains in the leading cultivation regions have hit the harvesting operations, pushing back supplies from the new season crop, traders said. Supplies from the winter-sown crop have declined in the local markets and fresh produce which ideally starts rolling in by September-end or in October could get delayed by around 10 days. “Arrivals from the new season crop are getting delayed because of rains at the time of harvesting. There could be some damage to the quality of the crop also,” said Punamchand Gupta, a trader from Nizamabad, Andhra Pradesh.
|Freshmart offers quality products in West Kalimantan|
[11 October 2013] West Kalimantan in Indonesia is the production base of PT Adilmart, a subsidiary of Malaysia's CCK Group. In the region, it already has a chicken slaughterhouse and a further processing plant producing sausages, meatballs and burgers from chicken meat and beef under the ‘Jofrans’ brand. It also operates five retail outlets called Freshmart. Store Manager of Freshmart, Bong Cin Min told Asian Agribiz that the company plans to add more outlets in the near future. "We focus on fresh and frozen products such as whole birds and processed products. What makes our outlets different is that the dressed birds and processed products are produced at our own facilities so we can control the quality, safety and hygiene across the value chain,” Mr Min explained.
|Jollibee to set up in Indonesia and Canada|
[11 October 2013] Jollibee Foods Corp (JFC) plans to bring its flagship brand to Indonesia next year and to Canada in 2015, as it seeks to become Asia’s largest home-grown quick service restaurant. JFC Chief Operating Officer Ernesto Tanmantiong said it is looking for a potential joint venture partner in Indonesia, where the company’s Chicken Joy product is expected to be accepted. Meanwhile, another US branch opened in Houston, Texas last month. Another branch is expected to open in Chicago next year, and in Toronto the year after. In August, the company announced that it would spend USD 139.1 million for its expansion next year, with a target to open at least 220 stores worldwide.
|Da Bei Nong to build four feedmills |
[11 October 2013] Da Bei Nong Group of China has announced four investment plans totaling USD 157 million. The first project is the construction of a feedmill with an annual production capacity of 300,000 tonnes of feed in Jiangshan, Zhejiang province. On the 40 acre site, the company also plans to build an r&d centre, production workshops, warehouses, staff quarters, canteens and laboratories. The second is the construction of a 240,000 tonnes/year feedmill in Bengbu, Anhui. The third project, is a total mixed rations (TMR) plant with an annual output of 180,000 tonnes in Xiping, Henan while the fourth involves the building of a feedmill in Meizhou, Guangdong. This feedmill will have an annual output of 240,000 tonnes of mainly pig feeds.
|Ministry to probe food poisoning claim|
[11 October 2013] Malaysia’s Agriculture and Agro-based Industry Ministry will investigate claims that chicken imported from Thailand caused a food poisoning episode that killed four guests at a wedding in Kedah, about 400km north of Kuala Lumpur. Its Minister Datuk Seri Ismail Sabri Yaakob said he had not received any report on this claim but will carry out investigations to determine if the chicken contained life-threatening virus. The chicken dish was said to be contaminated with salmonella. Meanwhile broiler farmers in Malaysia have told Asian Agribiz the food poisoning scare was a regrettable and isolated incidence. There was a small dip in chicken consumption but this could be attributed to an annual nine-day-long vegetarian observance by Hindus and Buddhists.
|Aussie MOU can lead to live cattle exports to China|
[11 October 2013] An agreement signed between Western Australia and China’s Zhejiang state could lead to live cattle exports to China. According to abc.net the MOU pledges “mutual support for discussions” between the two state governments, their national governments and local companies, to establish new trade protocols, including for live cattle. Premier Colin Barnett said it’s only the beginning of the process, but he’s optimistic the agreement will lead to support from China’s national government. “The proposal is that the cattle would be transported live from Western Australia, a new modern abattoir would be built in Zhejiang, and then the meat distributed from there,” he said. “This would be a market as big, if not bigger than the Indonesian market.”
|Kerala Feeds building new cattle feedmill |
[11 October 2013] India's Kerala Feeds, a Kerala Government company, has begun construction of a new cattle feedmill that will have a capacity of 300 tonnes/day, expandable to 500 tonnes/day in the future. Construction of the feedmill will be done by the company Shriram EPC, with the feedmill expected to be finished and operational by September 2014. It will employ state of the art imported feed machinery to guarantee large-scale production of high quality feed. The new feedmill is expected to benefit a large number of dairy farmers in the Malabar region. Though the factory is located in Thiruvangur, the products will be available through sub-dealers across the state. Goat feed too will be available for the farmers once full-fledged operations begin.
|West Kalimantan eyes pork market in Singapore|
[10 October 2013] West Kalimantan is a growing pig production centre in Indonesia. According to Abdul Manaf Mustafa, Head of Animal Husbandry & Health of West Kalimantan, the population of pigs in the region in 2012 reached more than 400,000 heads. “In 1996, the population was more than one million heads, but then it decreased drastically because of hog cholera. The disease now is under control and the population of pigs has been growing steadily,” he told Asian Agribiz. So far, pigs produced in the region are marketed locally. “I hope we can market live pigs to Singapore as we did in 1993, because we have the capacity to do that now. If Singapore needs carcasses and portioned cuts, we will invite investors to build slaughterhouses and processing facilities as well as help them to fulfill quality standards,” Mr Manaf said.
|Calata Corp beefs up partnership with New Hope |
[10 October 2013] Calata Corporation, a distributor of farm inputs in the Philippines, has beefed up its partnership with China’s New Hope Group (NHG) to pursue and promote agribusiness in the Philippines. In a disclosure, Calata said the move is expected to “dramatically increase additional corporate revenue streams in agribusiness” as well as continue the company’s growth. It is already distributing NHG’s Golden Bean Feeds, but in an interview with BusinessWorld, Calata Corporate Information Officer Jose Marie Fabella said that the two companies are exploring possible ventures, starting with feed manufacturing. “We intend to have our own brand of feeds that will be distributed in the Philippines,” he said.
|South Korea halts US beef imports |
[10 October 2013] South Korea's food ministry has halted beef imports from a work site at Swift Beef Co, a unit of JBS USA Holdings Inc, after cattle feed additive zilpaterol was detected in a shipment of 22 tonnes of meat. The ministry said it had strengthened scrutiny of US beef since Taiwan had also detected zilpaterol in US beef last month. The ministry has asked US authorities to investigate how the controversial animal growth enhancer has entered the global supply chain. There is a ban in much of Asia and Europe on feed additives such as zilpaterol due to concerns about the side effects of these drugs, which are used to add muscle weight to animals.
|Thailand gears up semen production |
[10 October 2013] Thailand’s Pon Yang Kham Livestock Cooperatives in Sakhon Nakhon province, a producer of Thai-French beef well-recognized at home as Pon Yang Kham beef, is looking at accelerating production of Pon Yang Kham cattle semen to tap into growing demand expected from the larger Asean Economic Community or AEC. Sakhon Nakhon Governor Boonsong Techamaneesathit said the cooperative should target to become a regional hub for beef cattle semen as artificial insemination is a growing trend in both local and overseas markets and that Pon Yang Kham breeders are popular among local and foreign producers. At present around 8,000 Pon Yak Kham cattle are slaughtered per year in Thailand, out of total 250,000 fattening cattle farmed locally.
|Yum's earnings plunge 68% in Q3|
[10 October 2013] Yum Brands reported a 68% drop in its third quarter earnings causing the company to lower its annual outlook as it continues to be hit by challenges in China. Same-store sales in China, which account for more than half of its revenues, declined for seven consecutive months. The company said it was no longer likely that China sales would turn positive in the following quarter. Yum’s recorded a net income of USD 152 million for the three months to September 7, down from USD 471 million during the same period last year. Revenues dropped 3% on year to USD 3.47 billion, lower than the USD 3.53 billion forecasted. CEO David Novak said the company expected a high single-to-low double-digit drop in full-year earnings this year compared to last. The company expects to achieve 20% year-on-year earnings growth in 2014.
|Baroda Dairy launches online service for milk societies|
[10 October 2013] The Baroda Dairy in Vadodara, India has launched an online service portal to connect the cooperative with around 1,400 village-level member societies to improve various services. It has become the first dairy to launch such a service. With the new service, presidents of the local-level milk societies can send SMS’ to avail various services offered by the cooperative, including veterinary service and procurement of cattle feed, among others, which will be entirely automated using data fed in the portal. “This will reduce paperwork and cut service time,” Vice President of Baroda Dairy, GB Solanki said.
|CPF to open more pig farms in the Philippines|
[09 October 2013] Charoen Pokphand Foods (CPF) plans to expand its operations in the Philippines and will open two more pig farm this October, adding to an existing breeding farm that has just started producing breeders. According to Annop Jianprasert, Senior Executive Vice President, CP Foods Philippines Corp (CPFP), the three pig farms cost USD 22.29 million and are expected to help increase sales of fattening pigs in the Philippines to 20,200 heads from 5,200 at present. CPFP also plans to set up a slaughter house in 2018 as an effort to extend its pig processing business.
|TUF sees shrimp business recovering|
[09 October 2013] Thai Union Frozen Products (TUF) expects its shrimp processing business to recover in 2014 after experiencing difficulties with the EMS disease. At an exclusive lunch held recently by Tanachart Securities, TUF’s executives revealed that its shrimp business and its subsidiary Pack Food showed profits in August, following new sale contracts with clients that allowed TUF to increase its selling price in line with higher raw material cost. However, it needs more time for the shrimp business to get back on track. Meanwhile, in the first quarter of 2014, TUF will move its shrimp processing from the current rented factory to Pack Food's facility.
|CRE may sell HK meat division|
[09 October 2013] China Resources Enterprise (CRE), the state-backed retail and beer conglomerate, is considering selling its meat distribution unit, Ng Fung Hong, in Hong Kong. Proceeds from the sale could fund a potential bid for the ParknShop supermarket chain which was put up for sale in August. CRE Chief Financial Officer Frank Lai Ni-hium said CRE would consider raising debt and disposing of non-core assets to fund the purchase of Hong Kong’s biggest supermarket chain. Analyst also pointed out that selling CRE’s meat distribution business may be advantageous for the company given the backdrop of the potential opening of the beef supply market in the city. The Hong Kong government said in May that it was considering requests to open the import market to competition, citing concerns that ‘frequent’ price increases by Ng Fung Hong was hurting demand for fresh beef. Ng Fung Hong handles all imports of live cattle from the mainland.
|Sunjin revises vision for the future |
[09 October 2013] South Korean meat and feed producer Sunjin celebrated its 40th anniversary and unveiled a revised “Future Vision 2020” plan, which calls for changes in the currency and livestock industry. The company's goal is now to expand to USD 2 billion in sales by 2020. This sales figure is three times that of last year. Internationally, Sunjin has been manufacturing feeds in China, Philippines, Vietnam, Myanmar and Indonesia. The company will next month begin construction of a feedmill in Cambodia. After seven years the company aims to have 17 feed production sites, to help it reach USD 2 billion in sales.
|Indian soymeal threatened by late rains|
[09 October 2013] Indian soymeal prices are likely to rise as excessive rains threaten the crop. Indian soymeal was quoted at around USD 515/tonne this week, down from last week's USD 538/tonne. India's soybean output could be up 2.4% from last year, at 12.98 million tonnes, according to the Soybean Processors Association of India. Indian farmers planted soybeans over 14.3% more land this year and experts feel this should translate into higher output, although others feel heavy late rains have hit the crop yield.
|Philippines bans Taiwan poultry|
[09 October 2013] Further to its efforts to keep the avian influenza virus at bay, the Philippines has imposed a temporary ban on imports of poultry from Taiwan following the report of a low pathogenic avian influenza (H5N3) outbreak in a meat-type duck farm there. In line with the ban, all processing and evaluation of the application for and issuance of veterinary quarantine clearance on the importation of poultry products from Taiwan have been suspended. The ban also calls for the confiscation of all shipments of poultry and poultry products, with the exception of heat treated products, from Taiwan.
|CPF takes major stake in Russian pork entity|
[08 October 2013] Thailand's Charoen Pokphand Foods (CPF) will pay USD 104.2 million for an 83% stake in Russia Baltic Pork Invest (RBPI), a large-scale grain and pork producer in European Russia. The deal is part of CPF’s food expansion plans. In Russia, CPF already operates a feed mill and integrated swine businesses. The investment aims to help meet the huge demand for meat in the country, at 2.75 million tonnes a year, while local production capacity remains low, leading to imports of some 750,000 tonnes of pork every year. The company projects that its new capacities in Russia will help it to improve operational performance. CPF projects sales this year to increase by 10-15%.
|Higher prices of meat and fish push up Philippines CPI|
[08 October 2013] Higher prices of key food items, including meat and fish, has pushed the Philippines’ inflation rate to 2.7% in September, the highest in three months, the country’s National Statistics Office said. The hike in prices was attributed in part to disruptions from a series of strong typhoons that hit the country in the past couple of months. September’s inflation rate was higher than August’s 2.1%, which was the lowest recorded by the country since 2009. Average inflation to date is pegged at 2.8%, still lower than the government’s target of 3%.
|Supply of corn and substitutes enough for 7 months|
[08 October 2013] There is enough corn and corn substitutes for the Philippine feedmilling industry for the next seven months, a report by BusinessMirror said. Information from the National Corn Program of the Department of Agriculture said that the supply of yellow corn, cassava and imports of feed wheat by the end of the year would reach 8.2 million tonnes. Of the total, feed wheat brought in from Ukraine and Australia accounts for 720,000 tonnes. It also includes 22,000 tonnes of imported yellow corn.
|Viet farmers boost livestock production|
[08 October 2013] Vietnam’s livestock industry is recovering as local farmers boost their production to meet the rising demand for meat in the Lunar New Year festival or Tet, said the Ministry of Agriculture and Rural Development. Prices of meat and animal products have bounced back since mid-August and are now equivalent to production costs, said Nguyen Viet Chien, Director of the ministry’s Center for Information and Statistics. As of September 24, no new blue ear and bird flu outbreaks were recorded.
|KMF to set up seven production units|
[08 October 2013] The Karnataka Cooperative Milk Producers' Federation (KMF) in Southwest India plans to set up seven production units with an estimated combined investment of USD 69 million. Three powder plants are due to be constructed on the outskirts of Bangalore at a total cost of USD 43 million, said Representative of KMF, AS Premanath. “An investment of USD 14 million is needed to set up each plant,” he said. Mr Premanath said KMF also had to raise USD 25.6 million for four 'flexi plants' that will provide milk to school-children.
Onsite reports from Ildex Indonesia, Jakarta
by ARIEF FACHRUDIN
[07 October 2013]
Evonik launches probiotic
PT Evonik Indonesia launched its probiotic product Gallipro to the Indonesian market. The product was recently registered in Indonesia. Dr Robert Payne, Director Nutrition & Technical Sales explained that Gallipro is a probiotic for animal feed that improves weight gain and feed efficiency in poultry. Gallipro is compatible with antibiotics, coccidiostats, enzymes and organic acids. “It can be used in premixtures and complete feed and the heat stable spore formers survive pelletisation,” he added.
Kemin introduces chromium propionate
Kemin Indonesia introduced its chromium propionate product KemTrace for beef cattle. Country Manager Chutaemil Marom said KemTrace provides energy at the cellular level by promoting glucose uptake. “The product allows cattle to utilize energy more efficiently. The primary role of chromium is to potentiate the action of insulin. Increased insulin activity promotes intracellular glucose uptake, providing more efficient energy utilization,” he explained.
CJ Indonesia promotes Super Chicken
CJ Indonesia used the outdoor area of the show to introduce its broiler carcass called Super Chicken. “The show is a good opportunity for us for branding and direct promotion,” said Joanna Asterlita Kristanti, Chicken Slaughterhouse Staff of PT Super Unggas Jaya, a subsidiary of CJ Indonesia. She told Asian Agribiz that since last year the company has been operating its 2000 birds/hour chicken slaughterhouse in Serang, Banten and recently put its 1000 birds/hour chicken slaughterhouse into operation. The birds are supplied by the Commercial Farming Division of PT Super Unggas Jaya. “Currently we slaughter as many as 8000-10,000 birds/day. We sell whole birds, portioned cuts and boneless meat mainly to restaurants, hotels, retails and caterers in Jadebotabek [Jakarta, Depok, Bogor, Tangerang and Bekasi], but we also sell some to Batam island,” she said.
InVivo Indonesia markets ruminant feeds
A subsidiary of InVivo Animal Nutrition & Health PT Wirifa Sakti introduced pellet feeds for ruminants. Marketing Manager Priastoetie said PT Wirifa Sakti is the first company that is serious in promoting ruminant feeds. The company has been actively promoting the feeds since last year. “We have pellet feeds for goat, sheep, calves, and beef and dairy cattle. These feeds are produced in our feedmill in East Java and marketed mainly in East Java and Central Java,” she said. She added the feeds can increase production of the animals.
Indonesia good market for Moba
For Moba, Indonesia is a good market for their egg handling machines. The company already has some customers in North Sumatera, an egg production centre in Indonesia. “Layer farmers in the region have started adopting automation and we have sold some egg collectors and graders,” Area Sales Manager, Teddy Wong Wei Suei said. “We have no customers in Java, but during the show we met big players from Java who are interested in our machines.
BASF re-launches Novasil Plus
BASF re-launched its mycotoxins binder Novasil Plus at the show. According to Dr Hsin-Yi Chen, Technical Product Manager of BASF, Novasil Plus is a natural clay rich in calcium montmorillonite. The product specifically binds aflatoxins and some fumonisins, thus preventing their uptake in the gastrointestinal tract. She claimed that the product is the most studied and proven mycotoxin binder. “More than 60 peer-reviewed in vitro and in vivo studies have been published.”
Quality Indonesia to market marinated Peking duck
PT Quality Indonesia, a subsidiary of Malindo Feedmill which focuses on Peking duck integration, took the opportunity at the show to promote its duck products. The company is a major supplier of Peking duck in Indonesia. Senior Marketing Manager, Ferry Oroh revealed to Asian Agribiz that the company plans to produce and sell marinated Peking duck in the near future. We will produce several different flavours, packed in good quality packaging.
Van Aarsen to transfer technology
Van Aarsen was part of the FoodTech Indonesia pavilion at the show. Director of Sales, Hans van der Weijden said the company aims to support the Indonesian poultry industry by transferring technology. He added that the company wants to focus on the Indonesian market because there are a lot of opportunities for high quality standard feed milling machines. “During the show, we met producers who are looking for good quality European standard machines.”
|Vietnam pushes for local feed inputs|
[07 October 2013] Vietnam needs to develop local sources for animal-feed inputs to reduce its heavy reliance on imports and keep the market stable, analysts have said. Le Ba Lich, Chairman of the Vietnam Feed Association, said the country spent more than USD 2.5 billion to import eight million tonnes of raw materials for animal feed last year. The reliance on imports has been causing a great deal of volatility in animal feed prices in recent years. Mr Lich said to grow the crops required for the feed industry, the agricultural sector must have long-term plans. "Vietnam currently has more than one million hectares under maize with an average yield of four tonnes each. We must strive to increase the area to 1.7 million hectares and use new seeds to raise productivity to seven tonnes per hectare, the norm in other countries," he added. The sector must also invest more in harvesting and processing technologies to improve maize quality, and the Government should offer incentives to encourage investment in processing, he added.
|Global beef price recovers|
[07 October 2013] After two-and-a-half years of decline, beef prices in most countries around the world increased slightly in August this year compared with last year. Rabobank’s Q3 report attributes this increase to limited supply growth, mainly due to declining feed-price, induced herd retention and continuing strong Asian import demand. Rabobank expects the global beef market to remain positive for the remainder of the year and into 2014. Demand is expected to remain strong as a result of the global economy’s slow recovery and buoyant markets in Asia, especially China. In the coming months, Chinese imports may surge due to the Chinese New Year in February. This development could change traditional trade patterns, with Australian exporters moving product to these rapidly growing nearby markets instead of the US market, where supply will remain tight,” said Rabobank analyst Albert Vernooij.
|India sees poultry demand weak after high onion prices|
[07 October 2013] Onion and ginger are essential ingredients in the preparation of chicken dishes in India. If the prices of these ingredients continue to remain high analysts are expecting demand for poultry to continue to drop. So far poultry demand has fallen by almost 15% in the last three months when onion prices more than tripled. According to the Consumer Affairs Ministry the retail price of onions soared to USD 1.13/kg in New Delhi late September from USD 0.32 three months earlier. In the past five years, the wholesale price has oscillated between USD 0.40 and USD 0.73/kg. Onion traders predict prices to remain high until Diwali, in early November, when it is estimated new crops will enter the market and push prices down.
Onsite reports from Ildex Indonesia, Jakarta
by ARIEF FACHRUDIN
[04 October 2013]
Japfa helps to increase animal protein consumption
By showing all its poultry, feed, aquaculture and consumer products at Ildex Indonesia 2013, Japfa group aimS to help raise awareness of the benefits of animal protein consumption. A Harwanto, Executive Vice President – Head of Feed Division of Japfa Comfeed Indonesia said with growing awareness, the livestock industry as well as Japfa’s business will continue to grow positively. Mr Harwanto told Asian Agribiz that next year Japfa plans to increase its DOC and feed production. “We are now studying which areas are feasible for expansion.” He added that at the beginning of this year, the company put its new 15,000 tonnes/month feedmill in Semarang, Central Java into operation.
CP Indonesia introduces new trial results, products
Charoen Pokphand Indonesia used the show to showcase its new trial results and products. Desianto Budi Utomo, Vice President of Government and Academic Liaison of CP Indonesia said the company re-introduced the importance of pre-starter poultry feeds. “From our trials although the use of pre-starter feeds was only for one week during the rearing period, it improved production performance and immunity to diseases.” The company’s animal health division introduced new poultry vaccines such as avian influenza vaccines, while the breeding division introduced new layer strain, Hy-Line Brown. “Our seed division, Bisi International, introduces hybrid corn seeds to help increase corn production in Indonesia,” he said. Mr Utomo revealed to Asian Agribiz that the company hopes to put its new 100,000 tonnes/month feedmill in Cirebon into operation at the end of this year. He added that this year the company plans to increase its DOC production by 15%.
Astino launches double-storey house
Astino launched its new double-storey poultry housing system. “This is in response to the limitation of land for poultry production. With this innovation, farmers will have more space for production,” General Manager of Astino Edvent Chin said. He said the new system has achieved good responses from customers in Malaysia, Indonesia and the Philippines. “In Indonesia, we are now building six double-storey houses in Tangerang and 10 in Central Java,” he revealed.
Olmix appoints new key account manager
Olmix has appointed Yuana Saputra as new Key Account Manager for Indonesia. Area Manager of Olmix Guy Jaeckel said Mr Saputra is well acquainted with the livestock industry in Indonesia. “I hope he will be successful in developing our sales as well as supporting marketing and technical activities.” Mr Saputra told to Asian Agribiz that he is happy to be a part of Olmix. He believes that eco-concept products developed by Olmix will be successful in Indonesia since food safety will be a major issue in the near future.
ISA Indonesia introduces breeding mission
ISA Indonesia used the show to introduce its mission of breeding for 500 eggs. Joel Penduff, Area Sales Manager Asia & Oceania said: “our mission is to breed and sell layers that are capable of laying 500 top quality eggs per hen housed, without compromising on egg quality. This will be achieved through continuous improvement of the lay persistence for a prolonged production cycle.” Mr Penduff added that their layers, ISA Brown and Hisex Brown, are not only good in number of eggs produced, but also in efficiency and adaptability to the environment.
VDL introduces Matrix
VDL Agrotech introduced its feeding system Matrix to the Indonesian poultry market. Area Manager Asia Sunny Sidhu said Matrix is a feedtrough which is exclusively designed for males. “All males can eat simultaneously because when feeding time starts the feedtrough controlled by an automatic winch is winched down to feeding position,” he said. Besides, the system offers better control and selection possibilities during feeding and centrally adjustable feed dosage.
Impex showcases water detection sensor
Impex showcased its dirty water detection sensor at the show. Area Manager of Impex Olaf van Steenis explained that dirty water has a negative impact on bird intestinal health and my result in retarded growth and poor feed conversion. “To provide information on drinking water quality, Impex designed a dirty water detection sensor which continuously monitors drinking water quality. It sends a warning when the water quality is below the required quality level,” he said.
Jamesway introduces new incubator
Jamesway introduced its new incubator, Platinum 2.0. Sales Manager Asia of Jamesway Lee Cheam Peng said the Platinum 2.0 is a modified model of the previous incubator, Platinum 1.0. Platinum 2.0 features new ThinkWise technology, large 10 inch water-proof touch screen, tighter cabinets, top air intake, optional viewing windows and energy savings. Mr Lee believes Platinum 2.0 will be well accepted by poultry breeders in Indonesia. He revealed that CP Indonesia has bought the new incubator and the installation will be done in December.
|GFPT seen to achieve major turnaround this year|
[04 October 2013] Thailand’s integrated further livestock and chicken producer GFPT is expected to make an obvious turnaround this year and generate a net profit of around USD 32 million for its 2013 operation, a great leap from last year’s USD 1.3 million, according to DBS Group Research in Thailand. Factors supporting the sharp rise of earnings include an increase in exports of processed chicken, larger margin from feed sales, better local chicken price as demand and supply balance off after suspension of Saha Farms. Although Saha Farms is expected to resume production, it will start at a much slower pace of around 150,000-200,000 birds per day, from 600,000-500,000 birds/day in 2012. The research group estimates GFPT’s profit to grow 25% in 2014.
|CPF chicken exports to grow 20% |
[04 October 2013] Thailand’s leading integrator Charoen Pokphand Foods Plc (CPF) expects to export cooked and frozen chicken at 100,000 tonnes combined, up 20% from last year’s exports of 80,000 tonnes (60,000 of processed cooked chicken and 20,000 of frozen chicken). Exports value in Thai Baht will also increase by around 10% and net profit will also grow. Last year it was around USD 322.6 million, said CPF Executive Vice President, Teerasak Urunanon. CPF expects the business will continue to grow in 2014 so the company may expand production capacity by 5%.
|Grain prices soften|
[04 October 2013] Corn prices on the global market are facing an increasingly bearish outlook on higher than expected old crop stocks as well as new harvest pressure. Rabobank's Agri Commodity Markets report stated that in September the USDA revealed an estimated 824 million bushels available. Positive harvest reports point to 2013 being a strong stock building year. Soybean futures prices meanwhile also declined last month on technical selling after reaching a contract high and improved prospect for US soy yields. The USDA's estimates for old crop stocks stood at 141 million bushels, 12% higher than expected, causing November prices to decline by 2.5%.
|San Miguel inaugurates new poultry plant in Tarlac |
[03 October 2013] 557 Feather Meal Corp and San Miguel Pure Foods Company Inc (SMPFC) yesterday inaugurated a new integrated poultry processing plant in Tarlac. The plant, touted to be the most modern in the Philippines to date, has a basic dressing capacity of 60,000 heads. It will manufacture a wide range of products in various formats, most of which will be customised products. Dr Leo Obviar, General Manager for the Poultry and Meats Business, told Asian Agribiz that the new plant “is an excellent example of SMPFC’s model of partnering with entrepreneurs for the expansion of its poultry and livestock production and value-adding operations.” This facility is strategically located because of its proximity to the main production areas for SMPFC’s broilers, the growing domestic market and port of embarkation for exports which is Manila.
|Trouw Nutrition launches Toxo series in Indonesia|
[03 October 2013] Trouw Nutrition Indonesia yesterday launched mycotoxin control products Toxo-MX and Toxo-XL. Toxo-MX has a high ability to bind Aflatoxins and Ergot alkaloid, while Toxo-XL offers a total solution against a broad spectrum of toxins produced by moulds such as Fumonisin, T2, Ochratoxin, DON and ZEA. Product Manager Mycotoxin Control of Selko BV, Pierre van Zon said Toxo helps livestock producers to cope with moulded and mycotoxin contaminated feeds and raw materials. “Toxo is available in different product varieties, with multiple mechanisms and level of protection.” President Asia Pacific of Nutreco Animal Nutrition Haiko Zuidhoff added that Nutreco is committed to zero mycotoxins in Indonesia. “We offer a holistic solution in mycotoxin control mycotoxins. We sell products and also provide laboratory and technical services,” he told Asian Agribiz.
|Tesco addresses China market through JV|
[03 October 2013] Tesco has sealed a joint venture with China Resources Enterprise for USD 560.1 million. The cooperation will see state-controlled China Resources merge Tesco’s 134 stores and 11 “Lifespace” shopping malls into its nearly 3,000-strong group of Vanguard supermarkets and convenience stores, which operate in China and Hong Kong. China Resources will own 80% of the joint venture while Tesco will get 20% and two seats, out of up to 10, on the venture’s board. Philip Clarke, chief executive, said the deal would boost Tesco’s earnings from China, though the group gave no details on when it would see a return from its investment. Tesco saw its annual sales in China grow 9% per cent to USD 2.76 billion in the year to February 2013, but its pre-tax losses almost doubled from USD 203 million to USD 360.4 million in the same period.
|Ildex Indonesia displays technology for growth|
[03 October 2013] Ildex Indonesia 2013 opens today at the Jakarta International Expo Kemayoran (JI Expo) and will run until October 5. More than 100 local and international exhibitors will bring in the latest technologies, products and supplies for the feed, livestock production and meat industry. This will help develop the livestock industry as well as educate people in the country. The organizer, VNU Exhibition Asia Pacific and the Indonesian Poultry Society Federation (FMPI) expect more than 5000 visitors. The show will also feature the 3rd Festival of Chicken Meat and Egg.
|China’s dairy supply crunch supports world prices|
[03 October 2013] A dairy supply crisis in China has had the world’s largest importer of dairy products mopping up huge quantities of product from the international market and squeezing out other buyers, according to a Rabobank report. The effects of China’s robust purchasing and the early spring drought in New Zealand kept international prices strong in Q3. Rabobank analysts expect these strong prices to continue into Q1 2014. International prices have been supported by the decline in milk production in exporting regions through the first quarter of 2013, leading to product volumes falling in the second quarter. But tightness in the market became extreme with China’s supply crunch, the analysts reported. China’s supply crisis fueled a 27% increase in its dairy imports in Q2 of 2013 over the 12 months previous.
|India expects better food grain production|
[03 October 2013] Early estimates for India’s food grain production in the summer season this year is expected to increase marginally to 129.32 million tonnes after more than 50% of the country received regular monsoon rainfalls. “Total food grain production in summer of the 2013-14 crop year is expected to be higher than last year’s level of 128.2 million tonnes,” said Agriculture Minister Sharad Pawar. The figure is significantly higher than the last five-year average production of 116.78 million tonnes. India’s Associated Chambers of Commerce and Industry believes a strong trade policy, geared toward balancing exports and domestic food requirements will augment India’s growth.
|Grain supplies higher than expected|
[02 October 2013] Corn prices slumped to the lowest in three years after US government surveyors counted bigger grain piles than expected, signaling the end of critically low supplies. Corn stored in commercial silos and farm bins stood at 823.6m bushels, the lowest since September 1996 but still 21% more than consensus estimates. Soybean stocks were 140.6m bushels, the lowest since 1999 but 13% more than thought.
|Indonesian company to develop cattle business in Australia|
[02 October 2013] State-owned agribusiness company PT Rajawali Nusantara Indonesia (RNI) is assessing five Australian firms to help expand its cattle-breeding business in Australia. RNI President Director Ismed Hasan Putro said the firm had been carrying out the assessments for the past few months and is expected to finalize them by the end of this year so that business could begin next January. “We plan to acquire a cattle-breeding firm in Australia that has between 50,000 and 500,000 head of cattle to help meet demand for beef and live cattle in Indonesia,” he said. RNI has allocated USD 30.45 million for the planned investment, with 70% of the money coming from loans from state lenders. “We hope to send up to 10,000 head of live cattle every month to Indonesia when the business starts up,” said Mr Putro.
|Biomin launches second premix plant in Vietnam|
[02 October 2013] Biomin will launch its second premix plant in Vietnam this morning. The impressive 4.7 ha facility in Binh Duong in the south, has been fitted with a micro dosing system and houses a laboratory with several cutting-edge technologies, including a liquid chromatography-tandem mass spectrometry (LC-MS/MS) system. “This will enable us to provide the highest possible level of nutritional and mycotoxin analytical services for our customers while strengthening our Mycotoxin Survey Program," said Jan Vanbrabant, CEO Asia Pacific, Biomin.
|Philippine chicken production up 5% in first half|
[02 October 2013] Philippine chicken output in the first six months of the year reached 758,680 tonnes, up more than 5% from the same period in 2012, a report by the Bureau of Agricultural Statistics showed. Production value was pegged at USD 1.47 billion for the period, up more than 7% year-on-year, as average farm price of chicken also grew 4% to USD 1.80/kg. Chicken production consisted of broiler meat, meat of native and improved breed of native chicken, meat of culled layers and breeders, and meat of culled game fowls. Of the total output for the period, broilers accounted for about 75%.
|China bans chilled beef imports|
[02 October 2013] China has banned imports of chilled Australian beef citing concerns over food safety, but the measure is being viewed by producers as a non-tariff barrier designed to protect the local industry. The ban was issued on August 26 and is shaping up as an early test of how the Abbott government handles the sometimes fraught relationship with Australia's biggest trading partner. Chilled Australian beef shipments to China have surged 873% over the last year, due to a crackdown on smuggling and a series of food scandals involving local producers. Chilled cuts, which are usually sold to high-end restaurants and five-star hotels, accounted for 18% of Australian beef exports to China in terms of value, over the first seven months of the year. The total trade is expected to reach USD 600 million this year, making China the third-biggest export market behind Japan and the United States.
|Pakistan focuses on cross breeding|
[02 October 2013] Cross breeding is being focused to overcome a challenge of low productivity of livestock animals in Pakistan. Breed improvement farms have been established for the purpose, a senior official of the Punjab Livestock and Dairy Development said. According to him, Pakistan is the fourth largest milk producer in the world with the fourth largest population of cattle-heads. However, the milk production remained the lowest when compared with developed countries, including the US and Australia. He added that data of 750,000 farmers had been collected to update them on the latest farming techniques, safety measures and possible outbreak of diseases.
|Chinese beef consumption continues to grow |
[01 October 2013] Chinese beef consumption is expected to continue to grow at a faster pace than domestic production increasing the reliance on imports to satisfy demand, a Rabobank report has revealed. Rabobank senior animal proteins analyst, Sarah Sivyer said beef exporters across the globe are now looking to China in an attempt to understand whether this demand surge will plateau or if the need for beef imports will continue to grow. More than 60% of beef consumption in China occurs outside the home, a stark contrast to the consumption channels of both pork and poultry. “Even though beef represents a small percentage of meat consumption, the growth in absolute volume is expected to increase by 25% in the next 10 years, sparked by the introduction of Western-style food and QSRs such as McDonalds,” Ms Sivyer said.
|Philippine hog production up in first half|
[01 October 2013] Philippine hog production was up nearly 2.4% in the first half of 2013, data from the Bureau of Agricultural Statistics showed. From January to June this year, total hog output was 956,250 tonnes live weight from 934,190 tonnes during the same period last year. Meanwhile, total swine inventory for the review period was 11.88 million heads, down slightly from 11.96 million last year. About 64% of the total inventory was raised by backyard farms, but stocks in these farms are down Also during the period, average farm price of hogs in the country stood at USD 2.21/kg, up about 10% from USD 2.00/kg the year before.
|Philippine poultry vets join WPVA|
[01 October 2013] The Philippine College of Poultry Practitioners (PCPP) has achieved a milestone after receiving its official accreditation from the World Veterinary Poultry Association (WPVA) at the WPVA Congress held in France in August 2013. This is the first time that an organisation of Filipino poultry practitioners has been inducted into the WPVA, which is a global association of poultry veterinarians and other avian health professionals. The Philippines is among four countries that were inducted at the WPVA Congress this year, the other three being South Korea, Malaysia and Pakistan.
|Meat production in Gujarat up 60%|
[01 October 2013] The Associated Chambers of Commerce and Industry in India (ASSOCHAM) has revealed that the overall official meat production in Gujarat in 2012 totalled 35,286 tonnes, an increase of 62% over 2011's production of 21,723 tonnes. The report said it had excluded unregistered slaughterhouses from this calculation. There are approximately 380 slaughterhouses in Gujarat of which 90% are unregistered, the remaining 38 are registered and spread across Gujarat. The report said the total production of meat from buffaloes, goats, sheep and pigs is calculated at 3895 tonnes, an increase of 7.39% over the previous year. The demand for poultry meat, compared to other forms of meat, like mutton, pork, beef and fish, is fast growing. With a growing preference for fast food, the estimated broiler production was 24.8 million birds compared to 15.35 million in 2010-11, an increase of 61%.
|GSI acquires JSI |
[01 October 2013] GSI's acquisition of JSI has offered the company new growth opportunities and enhances the company's position as a single source for meeting all of the grain storage and material handling system needs of its customers. JSI is an industry leader in manufacturing steel towers, catwalks and support structures, and its products connect and support GSI’s product offerings. The company revealed that its addition of JSI is the latest in a series of strategic acquisitions, which have also included Hired Hand, Thevco, FFI, Inc., and A T Newell, to name a few.
|AACo raises funds to boost Asian expansion strategy |
[01 October 2013] Australian Agricultural Company Ltd (AACo) has launched a USD 280 million capital raising exercise to fund an aggressive Asian expansion strategy. According to The Australian the company will use part of the proceeds from the exercise to fund the development of a USD 85 million abattoir near Darwin, quashing rumours that it plans to split its farm operations from its beef production business. AACo said the capital raising is needed to overcome high debt levels and the cyclical nature of cattle production that has stemmed its ability to capitalise on growing demand for high-protein diets in Asia. “It is quite clear to us that AACo can no longer continue to be just a primary producer,” Chairman Donald McGauchie said. “The focus of the board is to improve the returns, and return on capital is paramount.”
|New feedmills in Indonesia|
[30 September 2013] Secretary General of the Indonesian Feed Mill Association Desianto Budi Utomo said there are two companies that are setting up new feedmills namely PT Cibadak Indah Sari Farm and PT Satwa Boga Sempurna. The feedmills are located in West Java and East Java, respectively. “The capacity of each plant is approximately 20,000 tonnes/month and it will begin operations in the fourth quarter of this year,” Mr Utomo said. “PT Satwa Boga Sempurna is a new comer to the industry,” he added.
|Indian River delivers on its promises|
[30 September 2013] Using new technologies including genomics, Indian River has been able to deliver the genetic gains it has promised for its breeders and broilers. This is what Fred Kao, Indian River (IR) Business Manager, told participants at the Bounty Fresh Food Inc-Indian River Technical Program held in Makati City, Philippines last Friday. Mr Kao noted that such technologies will likely increase the rate of genetic improvement over the years. In the next five years, he said improvement in live performance will increase, with particular pressure on chick output and carcass/leg yield. Also at the seminar, Bounty Fresh Food Inc (BFFI) Managing Director Kenneth Cheng and VP Arnold Alcaraz gave the participants a look at how the company has evolved over the years and its current operations. BFFI is IR’s first GP customer in the Philippines.
|Pakistan can triple halal food exports|
[30 September 2013] Pakistan has the potential to triple its halal food exports to capture a portion of the global halal meat trade by enhancing production and improving quality, participants of the Halal Food Exporters Conference in Lahore, Pakistan, heard. Halal meat contributes around 16% of total world trade. Pakistan has a 100% halal production base and has direct access to 470 million consumers in Central Asia, Middle East and Europe. The Lahore Chamber of Commerce and Industry President Farooq Iftikhar said demand for halal products had increased manifold because of the growing Muslim population and the government should encourage exports.
LIVESTOCK ASIA EXHIBITION, KUALA LUMPUR
Reports by RACHAEL PHILIP
[30 September 2013]
Capacitive sensors cut feed wastage on farms
While a high number of poultry farms in Malaysia are equipped with automated feeding systems, many have yet to update the mechanics at the feeding trays. They prefer to maintain the level switch system instead of installing a sensor device to indicate the tray is filled and automatically turn off the distribution of feed into the pans. One reason could be cost. “The level switch is cheap but unreliable. Feed can clog the mechanical parts and the switch may not turn off the feed distribution. This can cause a lot of wastage,” dol-sensors Regional Sales Manager Sayan Kaewin said. Skov develops, produces and markets a range of sensors under the dol-sensors trademark. Mr Sayan said producers can replace this system, which is popular in Thailand and China, with an easy-to-install capacitive sensor at the beginning and at the end of the line. Skov also develops climate sensors together with its ventilation and production systems.
Pas Reform takes on new engineer
Pas Reform is expanding its group of service engineers. It recently took on another engineer, based in Malaysia, to serve the Asia Pacific region. “As business in the region grows it needs regular engineering support,” said Sales Director Dr Tan Ee Seng. He said Asian layer producers are buying more machines and adding automation to tasks such as counting, sorting, candling and washing. This requires technical support for trouble shooting, servicing as well as installation. Dr Tan explained that Pas Reform plans to introduce its newer machines to the growing market in China soon.
Astino completes its first double deck house
Manufacturer of modern poultry houses Astino Agro-House Multi System Sdn Bhd recently handed the keys of a new two-storey housing project to a parent stock breeder in Penang, Malaysia. The project consisted of two blocks of double deck housing capable of holding a total of 36,000 hens. Each floor can hold 9000 hens. The concrete structure, including the concrete first floor, and solid walls with insulation, is a better option for farms where hygiene and biosecurity is concerned. “This is an excellent option for poultry producers who find it tough to secure large tracks of land for their operation,” said Operations Manager Asia Pacific Edvent Chin. Astino is in the midst of completing a similar project in Indonesia.
Moba introduces egg breakers at KL show
Moba, known widely for its egg grading machines, took the opportunity to showcase its egg breaking machine at Livestock Asia. “As farms grow in size they will have to seriously consider dealing with cracked eggs or eggs which they can’t sell because of the size. This machine is efficient at breaking eggs, collecting the liquid and separating the white from the yolk,” said Moba Asia Sdn Bhd Sales Director Christoffer Ernst. Moba Egg Breakers come in a range of capacities - 10,000 eggs/hour, 21, 600 eggs/hour and 43, 200 eggs/hour.
|Indonesia’s feed industry supports corn-belt program|
[27 September 2013] Chairman of the Indonesian Feed Mill Association Sudirman FX said the association will support the government’s plan to develop a corn-belt in order to achieve self-sufficiency in corn. “North Sumatera, South Sumatera, Java, South Sulawesi, Kalimantan and Nusa Tenggara are suitable regions for the plan,” he told Asian Agribiz. However, he said the government should improve the connectivity of the regions. “Connectivity means efficiency. If the regions are not connected properly to feedmills and ports, the freight costs will be expensive.” He added explaining that the infrastructure should be improved. Road conditions from corn production centers to feedmill or ports should be better. Port capacity should also be bigger so that ships with bigger capacity can enter.
|Environmental awareness to govern global food business|
[27 September 2013] Environmental awareness will be a big theme that will govern the global food business in this century, as countries around the globe are imposing stricter requirements, according CP Group's Vice President for Trade Rules, Piyanuch Malakul Na Ayuthya. The food industry is moving towards a more environment-friendly direction, she said. “To thrive in this fiercely competitive industry, local food manufacturers must adjust and find partners that can adjust quickly to the changing situation.” Sombat Thiratrakoolchai, an Executive of CP Foods, said that to turn Thailand into a true kitchen of the world, the government would need to heighten food-safety standards and apply them to all suppliers.
|US to resume poultry exports to China|
[27 September 2013] China has to meet with World Trade Organization (WTO) obligations in its poultry trade with the US. A WTO dispute resolution panel declared on Wednesday that China violated numerous global trade rules when it imposed anti-dumping duties against US broiler chicken products. The dispute began in September 2009 when China alleged that US chicken unfairly benefited from low corn prices and used average cost accounting to document that chicken leg quarters were sold to China at prices below the cost of producing a whole carcass chicken. WTO has previously ruled that average cost accounting is not an acceptable methodology to determining whether a particular part of chicken or similar animal was 'dumped' into an export market.
|SE Asia imports more DDGS|
[27 September 2013] Exports of US distiller's dried grains with solubles (DDGS) has seen strong export growth in Southeast Asia. In 1H 2013, exports grew 9%, with major gains in Thailand (up 53%) and Indonesia (up 42%) more than offsetting declines in Malaysia and the Philippines. Overall, exports to the region were up 605,000 metric tonnes. "In Southeast Asia, DDGS are a beachhead export commodity for the US," said Adel Yusupov, US Grains Council Regional Director in Southeast Asia. "While India and South America are our major regional competitors in coarse grains, DDGS is a key product where the US commands a significant advantage due to its unique mix of quality feed protein and energy benefits for poultry and swine. Southeast Asia's commercial feed production, currently at 60 million metric tons, is about one-third of China's and growing at 5-8% per year, driven by consumers' preference for higher value calories. We are working to tap into these markets and build demand for DDGS across all animal sectors."
|Slow progress in rebuilding beef trade between Australia and Indonesia|
[27 September 2013] It is more than two years since Australia imposed a temporary ban on live cattle exports, following revelations of extreme cruelty in Indonesia. Although trade has been progressing over the last 20 months, it has never really recovered. David Foote, Chairman of the Joint Industry Market Access Task Force on Indonesia, said future trade will be a combination of boxed beef and live cattle. He sees no problems if the Indonesians want to buy land in northern Australia and produce their own cattle, as they have done it before.
|Syngenta committed to solving global food security issues |
[27 September 2013] Syngenta has announced a six-point plan to overcome global food security issues. The Good Growth Plan is a comprehensive, ambitious plan to achieve global food security by 2020 through measurable targets. “We are aware that our businesses can continue to grow and develop if we make sure that agricultural processes are carried out sustainably. We will continue to strive to increase this awareness through our focus on land, technology and community,” Syngenta Chief Executive Officer Mike Mack said. The Good Growth Plan reflects Syngenta’s belief that agricultural productivity needs to be increased so that it could fulfill food needs of the world’s population that grows by 200,000 per day in the midst of ongoing water and agricultural land depletion.
LIVESTOCK ASIA EXHIBITION, KUALA LUMPUR
Reports by RACHAEL PHILIP & CONNY PEREIRA
[26 September 2013]
CAB’s Hennies brand debuts at Livestock Asia
Ready-to-eat premium brand Hennies was officially launched at the ongoing Livestock Asia Expo and Forum. According to Melvin Saw Marketing Manager of Likes Marketing Sdn Bhd, a subsidiary of CAB Cakaran Corporation Bhd, the brand will cater to the needs of the food services industry before being made available at retail outlets. “The food service industry such as hotels and restaurants want food which is easy and quick to prepare. Instead of hiring a chef to prepare a dish from scratch, the trend now is for restaurants to source fully cooked items, such as our turkey drumstick which is sealed in a nylon pack and sold frozen to them. They can place it in the oven or pan fry it for eight minutes before it is ready to be served.”
Leong Hup to roll out Sunny Gold next year
Premium brand Sunny Gold food products will be launched in Malaysia early next year. James Ng, Group Marketing Manager of Ayam A1 Food Corporation Sdn Bhd, a subsidiary of Leong Hup Holdings Bhd, told Asian Agribiz that Sunny Gold was successfully launched in Indonesia mid-2013 and is doing very well in the country. “There is a huge market for premium products in the region. Price is not the number one factor anymore but quality. We’re an integrator and we have no problems in getting quality raw materials for further processing,” he said. The company will first roll out breakfast sausages and the tulip wing, before introducing other products later in the year.
Evonik establishes office in Malaysia
Evonik Industries has established a office in Malaysia to both extend its market reach as well as stamp its commitment to the local market. Among the highlights of Evonik's particpation in Livestock Asia was the presentation of a paper titled 'Bacillus-based probiotic for efficient poultry production' by Dr Girish Channarayapatna, Technical Sales Manager. He described the significance of gut health, the probiotic concept and how it works to enhance gut integrity.
Merial launches Vaxxitek
Vaxxitek HVT+IBD, a vector vaccine by Merial that protects chickens against Marek's disease and infectious bursal disease has been registered in Malaysia and is now available locally. According to Dr Michael Lee, Technical Manager Asia, the greatest advantage of Vaxxitek is that a single shot administered in the sterile hatchery environment offers good immune integrity.
Vi-Cor’s A-Max is now available in soluble concentrate form
To the A-Max range of yeast culture products, which include the standard, the concentrate and liquid formula, Vi-Cor has recently added the soluble concentrate powder. This dry yeast culture is manufactured without a grain carrier making it a pure concentrate and allowing farmers to mix smaller quantities of the product for equally good results. This helps them save on logistics and transportation costs. Product Development and Research Coordinator Sangita Jalukar said the product is micro-machine compatible and delivers high levels of metabolites, vitamin B and amino acids, while improving feed efficiency and weight gain in poultry and swine. “A-Max also helps animals maintain performance during heat stress by stimulating the animal to eat,” said Asia Business Manager Maggie Chuang.
Biomin introduces Fumzyme in Malaysia
Livestock producers are reporting increasing levels of the mycotoxin fumonisin in raw materials. According to Biomin Regional Director Edward Manchester this could be due to climatic conditions. “Mycotoxin surveys show that the fumonisin risk has been higher in the last three years. You can bind it but to completely eliminate it we need an enzyme that can deactivate it.” Biomin introduced its solution, the purified enzyme Fumzyme, at the ongoing Livestock Asia in Kuala Lumpur. The product, known to successfully manage the mycotoxin fumonisin, was launched in Bangkok early this year. “It is incorporated into the Mycofix product line and the uptake has been good.”
|Godrej Agrovet keen to expand feed business|
[26 September 2013] Godrej Agrovet Ltd is looking to expand its animal feed business after seeing strong growth in the current year and a healthy forecast for the following year. “We will not hesitate to borrow or to raise capital in case there is an exciting M&A opportunity,” Managing Director Balram Yadav said. Godrej Agrovet has managed to achieve a compound annual growth rate of 25% for the last three years, and “maintaining this growth rate is challenging with no M&A,” he added. Godrej Agrovet has four business segments – animal feed, oil palm plantations, agri-inputs and poultry. Its June quarter sales grew 27% year-on-year, driven mainly by good performance from its animal feed and other agrobusiness. Godrej Industries’ animal feed business accounted for 33% of its revenues as of 30 June.
|Vietnam imports 41% more grains year-on-year|
[26 September 2013] Until August this year Vietnam has imported 41.1% more of raw materials for animal feed production, totaling USD 2.09 billion, compared to the first eight months of last year. According to Purchasing Director of Japfa Comfeed Viet Nam Ltd Co Mai Van Chung the firm, which needs at least 16,000-17,000 tonnes of corn every month, the company has signed a contract to import 80,000 tonnes of corn by March 2014. It imported a bigger volume recently to take advantage of the cheaper prices of corn on the South American market. Imported corn prices from Argentina and Brazil were about USD 310-320/tonne in June but the price has now dropped to USD 245-250/tonne, lower than the local price of USD 295/tonne. Vice Chairman of the Vietnam Animal Feed Association Nguyen Duc Binh said manufacturers were still processing the pricier imported grains. However, he expects prices of local animal feed to fall in October, by about 5% against the current price.
LIVESTOCK ASIA EXHIBITION, KUALA LUMPUR
Reports by RACHAEL PHILIP & CONNY PEREIRA
[25 September 2013]
CAB Cakaran wins premier regional award
Asian Agribiz and UBM Malaysia were proud to present Malaysia's CAB Cakaran Behad with the prestigious Asian Livestock Industry Award 2013 at the opening of the show. The award honours a prominent a livestock producer that has adopted industry respected standards and growth domestically and in the region, every two years. India's IB Group won the Emerging Poultry Integrator Award 2013. This supplementary award is presented to a future industry leader who the judges recognise as introducing technology, lifting health and safety standards, and introducing innovative marketing. CAB Cakaran also bagged the Industry Achievement Award - Organisation at the event.
Nabel launches new egg packer
Japan's Nabel Corporation took the opportunity at the show to launch its new Farm Packer FFP 4000, a significant improvement from its previous model. The system packs up to 40,000 eggs/hour compared to 30,000 previously and also sports a 50% smaller footprint. According to Managing Director Lee Hock Hwa, the machine which is made entirely of stainless steel is easy to clean and durable.
TPL Meat Shop to expand retail outlets in Malaysia
TPL Meat Shop hopes to more than double its chain of outlets to 15 from seven by end of the year. “There is potential for this retail format in Malaysia. Customers want quality products at affordable prices and in a good ambiance,” said TPL Fresh Meats Sdn Bhd CEO Raghu Loganathan Pillay. The shops, which sell fresh lamb and goat meat, both homegrown halal products, fresh chicken, locally sourced and marine products, slaughter’s more than 6000 sheep and goat per week for the Malaysian market in government abattoirs, and transports them to the retail outlets keeping the cold chain intact. The retail outlets also offer lamb and goat sausages and burgers made on request as well as marinated meats. The company also has plans to launch five pilot outlets in south India by the end of the year and is looking to venture into Singapore. The company won the Outstanding Ruminant Entrepreneurship Award at Livestock Asia.
Muyang opens new branch office
After more than 20 years of business in Malaysia, Muyang opened a new office in Melaka, south of Kuala Lumpur, and shut down its office in the port town of Klang. To date the company has 48 branch offices around the world. Over the years the company has completed 15 turnkey projects building feedmills in Malaysia. It also constructs biomass facilities, silos, rice mills, farms and steel structures. “The company is also looking at boosting its operations in Indonesia,” Muyang Asia Pacific Vice General Manager Ludi Qu told Asian Agribiz. He said the move to open branch offices is in line with the company’s global growth plans. This year alone Muyang opened offices in Indonesia, Korea and Japan.
CP Tom Yum clinches product innovation award
PK Agro-Industrial Products (M) Sdn Bhd’s CP Chicken Tom Yum with Rice clinched the gold award from the Malaysian Institute of Food Technology in the category of Product Innovation last month. The ready-to-eat product, is made at its plant in Senawang, Negeri Sembilan. “Tom yum is popular in Malaysia but is a complicated dish to make from scratch because it requires a blend of many spices and herbs,” said Assistant Manager Marketing Chris Law. According to Mr Law the soup is a Malaysian version of the Thai dish. “After conducting an extensive survey we found that Malaysians prefer this version of the recipe which is different from the clear soup served in Thailand. The product is selling well.”
Big Dutchman builds new division
Big Dutchman is building up a team for a newly launched division called the Climate Division which specialises in ventilation and control systems for the Asia Pacific market. “We have found out that here is where our customers need the most help. They want training and seminars in climate control,” said Manager Climate Systems Asia Jens Koldehoff. The team currently comprises two Malaysians, a Thai, a Chinese and an Australian. He also noted that its customers in Asia Pacific are looking to invest in climate control systems that are more advanced and promote energy saving. “While energy is getting more stable in this part of the world it is also getting more expensive.” The company’s smart Minimum Ventilation System can adjust power consumption according to the needs of the bird at different stages in its life.
Termotecnica Pericoli launches Malaysian plant
Italian company Termotecnica Pericoli hopes to boost its sales presence in the region with its new manufacturing facility which opened early this week in Malaysia. This is its first plant outside Italy. “Asia is a growing dynamic market and we had to come here,” said second generation Pericoli Director Mauro Pericoli. “A facility in Asia will reduce lead time. This is crucial for our customers in the region.” The company hopes the Malaysian plant, which produces mainly exhaust fans for poultry and swine houses, will produce 40% of what is produced at its two plants in Italy. “The plant in Malaysia has a capacity to produce 50 fans/day.”
6TH ASIAN PIG VETERINARY SOCIETY CONGRESS, VIETNAM
Reports by ISA Q TAN
[25 September 2013]
APVS 2013 exceeds expectations
More than 1200 delegates took part in the 6th Asian Pig Veterinary Society (APVS) Congress that will conclude today in Ho Chi Minh City. Dr Che Minh Tung of the APVS 2013 Program Planning Committee told Asian Agribiz that they only expected around 800 participants for this year’s event, however they have been pleasantly surprised with the much larger turnout. Of the total, about 800 are foreign delegates. This iS the first time that the biennial event is held in Vietnam, and Dr Che said that it has been good for local swine practitioners to be able to network with and learn from swine experts from around the world, and will help the local pig industry’s development towards modernisation. This year’s Congress had more than 60 oral presentations and 200 poster presentations.
AcuShot Needle Free injector introduced at APVS
A new needle free injector was introduced to participants of the APVS. Using high pressure to inject vaccines or medication into the animal, the AcuShot Needle Free injector doES away with issues related to needles, including multiple injections with one needle and instances of broken and damaged needles. It is also less stressful for both the animals and the farm worker. The easy to use AcuShot is battery-operated and can perform up to 1000 injections per battery charge. It can also accurately inject doses from 0.2ml to 2.5ml with increments of 0.1ml. The AcuShot Needle Free system is exclusively distributed by Ceva in Thailand, Vietnam and the Philippines.
|Smithfield sale approved|
[25 September 2013] Smithfield Foods Inc. shareholders have approved the US pork giant’s USD 7.1 billion takeover by China’s Shuanghui International Holdings Inc. The takeover will unite two of the world’s largest meat companies and become the largest acquisition of a US company by a Chinese company so far. Some shareholders had initially opposed the deal, saying Smithfield would be more valuable if split up and sold in parts, but they were never able to mount a rival bid and the sale was ultimately approved by 96% of votes cast. Shareholders will receive USD 34 per share, for a total of USD 4.7 billion; Shuanghui also takes over USD 2.4 billion in Smithfield debt. The deal had sparked criticism because of China’s food safety problems, as well as the US meat supply and national security. With the purchase, Shuanghui (also known as Shineway) secures access to a major pork supply for the Chinese market, as well as access to the latest breeding, growing and processing technology. Shuanghui is also hoping that the deal will boost its reputation for safety, which has been battered by recent problems in the Chinese market.
|Japfa’s corn partnership running well|
[25 September 2013] Last year Japfa signed an MoU with the Governor of Central Sulawesi and regents in Central Sulawesi to increase corn production. Yahya Djanggola, Senior Vice President, Head of Broiler Division of PT Ciomas Adisatwa (a subsidiary of Japfa) told Asian Agribiz that this partnership has been running well and is quite successful. The company expects the partnership to progress with the building of a feedmill in the region in 2014. “We will build a feedmill in Palu with an installed capacity of 5000-6000 tonnes/month,” Mr Djanggola revealed. He added that the company is planning for similar partnerships in South Kalimantan and West Sumatera. “The district government of Berau in South Kalimantan has expressed their interest to cooperate. They own land that can produce 30,000 tonnes of corn.”
|Cargill inaugurates new plant in China|
[25 September 2013] Cargill has inaugurated a USD 250 million, fully-integrated chicken production operation in Lai’an County, north of the Yangtze River in China’s Anhui Province. The project integrates the entire poultry supply chain, from feed production, breeding, hatching and raising through slaughtering and processing. US Ambassador Gary Locke hailed the investment as “a shining example” of US-China agricultural cooperation in a ceremony on Monday. The complex, which is eventually projected to cover 44 sites in Lai’an County, began operations in April and will reach full capacity at the end of 2014, slaughtering 65 million chickens and producing 176,000 tonnes of poultry products per year.
|China turns to Ukraine for crops and pigs|
[25 September 2013] China’s long-range effort to guarantee the food supply for its 1.3 billion people has reached deep into the Ukraine. Ukraine will provide China with 100,000 hectares of land for raising crops and pigs, according to a report in the South China Morning Post. The 50-year agreement between China’s government owned Xinjiang Production and Construction Corps and Ukraine’s KSG Agro was signed in June, and may eventually expand to 3,000,000 hectares. China has one-fifth of the world’s population, but less than 10% of its arable land, and the country’s rising prosperity has put severe pressure on domestic resources, leading to booming Chinese investment in numerous countries abroad.
|Livestock Asia showcases opportunities to upgrade sector|
[24 September 2013] Livestock Asia 2013 Expo & Forum, opens today at the Kuala Lumpur Convention Centre (KLCC), Malaysia, and will run until September 26. Over 300 exhibitors from 30 countries will showcase products, technology and supplies for the feed and livestock industry, with a view to help raise standards within this fast developing sector in Asia. The organiser, UBM Malaysia, has put up a strong seminar program and one to look forward is the overview of Myanmar’s livestock industry and opportunities for investment. Watch this space for onsite reports.
|India's broiler meat output to reach 6 million tonnes|
[24 September 2013] Broiler meat production in India is likely to touch about six million tonnes in the next two years, an industry body has said. At present, broiler meat production is over 3.5 million tonnes and it is growing at a compounded annual growth rate of about 10%, the Associated Chambers of Commerce and Industry of India said. The industry body added that the demand for broilers is growing at over 15% on the back of rising population, expanding middle class with rising affordability owing to soaring per capita income and changing food habits. Tamil Nadu, Haryana, Maharashtra, Odisha, Punjab and West Bengal are other leading states in both broiler meat production and consumption. Bangladesh, Oman, Saudi Arabia and United Arab Emirates are the major markets for India’s poultry products.
|CPF refutes plan to acquire Saha Farm|
[24 September 2013] Charoen Pokphand Foods (CPF) has denied plans to takeover Saha Farms. President and CEO of CPF Adirek Sripratak said the company has no intent to acquire cash-strapped companies. Mr Adirek said CPF is still exploring opportunities to acquire companies with the potential to assist its main businesses. “CPF has a strong policy to manage integrated businesses focusing on feed, farm, food and retail operations. The policy has been drawn up to ensure the company achieves quality control throughout the supply chain manufacturing process,” he said.
|US drops antidumping tax for Viet exporters|
[24 September 2013] The US Department of Commerce (DOC) has determined that 33 Vietnamese frozen shrimp exporters did not sell their products below normal value to the US market so they will not have to pay anti-dumping duty. The announcement was made last week by the DOC. The exemption was welcomed by the Vietnam Association of Seafood Exporters & Producers, who felt their all-out efforts to pursue the case has paid off. The US is the main consumer of Vietnamese shrimp after Japan. From January to July 2013, Vietnam exported frozen shrimp to the US valued at USD 337.6 million, representing 24% of the total value of Vietnamese exports.
|Thailand to import more soymeal in 2013|
[24 September 2013] Thailand’s soymeal imports are likely to rise by 10% to 2.2 million tonnes in 2013 on good demand from the poultry industry, an industry official told Reuters. Last year, Thailand’s soymeal imports were 2 million tonnes, said Naris Sirirux, a member of The Feedstock Users Promotion Association. “There is a very good demand for poultry products from the European Union. That is why our soymeal imports will go up,” he said.
|Drop in Japan's beef imports |
[24 September 2013] Australian beef exports to Japan have declined by 6% this year on the back of growing competition from the US, a struggling Japanese economy and demand from emerging markets, according to Meat and Livestock Australia's Chief Economist Tim McRae. Last month, Australian beef shipments to Japan were down 13% year-on-year to 24,761 tonnes, the lowest level since 2003. Comparably, shipments of US beef to Japan have increased from 9240 tonnes in March to 28,056 tonnes in July. Mr McRae said since the change in age restrictions in March on US beef into Japan, the US has been focusing on recapturing market share.
|CP opens new feedmill in China|
[23 September 2013] Thai conglomerate Charoen Pokphand Group, known as the Chia Tai Group in China, recently put into operation its new feedmill located in Jingchuan. The feedmill to be operated by its Lanzhou Branch has an operating capacity of 300,000 tonnes. It features a large production workshop, using a domestically procured fully automated production line. It will make use of Chia Tai Group's scientific nutritional formula, computer-controlled production process, strict testing throughout quality control, for the processing and production of high quality feed that can meet a variety of different growth stages of aquatic animal nutritional needs. The total project saw an investment of USD 24.5 million.
|Amul Dairy prepares to enter US market|
[23 September 2013] India's largest dairy producer Amul dairy is preparing to enter the US market, seeking to build a global powerhouse from a company that counts on villages to stay competitive. Relying little on industrialised dairy farms, India produced more than 34 billion gallons of milk in 2012, about 62% more than the US. And the country's output is poised to continue to increase by nearly 50% in the next seven years, Managing Director of Amul Dairy Rahul Kumar said. The secret lies in unleashing the power of village cooperatives pioneered by Amul's founders in the Indian state of Gujarat, Mr Kumar said. Amul Dairy is owned by the Gujarat Cooperative Milk Marketing Federation and until two years ago sourced all its milk from Gujarat. Last year Amul's revenues topped USD 3 billion, and its target now is to address the US and Europe markets.
|Ceva launches Fertipig in the Philippines|
[23 September 2013] Ceva has introduced to Philippine pig producers Fertipig, a gonadotropin product aimed at reducing the sow’s non-productive days and help breeding herds to meet breeding targets. During the launch, Dr Nicholas Guerra, Ceva’s Corporate Range Manager said the proper use of Fertipig induces high quality oestrus by preventing anoestrus and silent heat as well as reduces weaning oestrus interval, thus improving performance. Furthermore, unlike other gonadotropin products currently available which has to be used as soon as it is reconstituted, Fertipig’s unique formulation allows it to remain stable for up to 28 days after reconstitution, which allows easy planning and use and better drugs inventory management. Fertipig is one of four products in the Ceva Repro Range.
|Sierad increases feed prices |
[23 September 2013] Indonesian based poultry integrator Sierad Produce has raised feed prices by as much as 15% in response to recent currency depreciation, said Assistant Corporate Secretary of Sierad Produce Hudaya Indah Panggita. The feed prices were raised early this month. “We are reacting to the fall in the rupiah against the dollar in recent months,” she said, going on to explain that the company sourced 70% of its raw materials from the US, Brazil, Argentina and India. The rupiah has so far dropped by 18% against the US dollar, making imports more expensive.
|Shuanghui close to securing approval|
[23 September 2013] Shuanghui International is close to securing shareholder approval for its USD 4.7 billion offer for Smithfield Foods Inc. According to sources familiar with the deal, the Chinese company is well on its way to crossing the threshold with votes that have already come in. The company remains optimistic it will be able to close the deal by September 26. The deal needs just over 50% of Smithfield shareholders by a special meeting scheduled for September 24. Shuanghui has been making progress in trying to close the deal, getting endorsement this month from proxy advisory firm ISS as well as security clearance from the US Committee on Foreign Investment.
|Yum! to leverage on synergies of sister brands in India|
[23 September 2013] Yum! Restaurants is planning to leverage off the synergies between its three brands – KFC, Pizza Hut and Taco Bell – to overcome slowing consumer spending and weak sentiment in India, reported the India Times. According to Managing Director of Yum! Restaurants India Niren Chaudhary, same store sales have been more or less the same as last year. “The reality of the economy is that we will have to constantly focus on value and manage costs,” he said. There are huge synergies between the three brands and “whenever there’s an overlap we are leveraging the same supplier. We are using the same warehouse and distribution capabilities.” Other shared resources include functions in HR, finance, quality assurance, innovation and research.
|Small groups for meat courses|
[20 September 2013] Enrolment to the four specific meat industry training courses to be held in Singapore between October and December 2013 is restricted to 20 candidates. "This will offer participants the opportunity to pose questions direct to the course instructors and staff of the Food Innovation & Resource Centre at Singapore Polytechnic where the course will be held," said Rex Holyoake, CEO of Asian Agribiz, the organise of the courses. Complete details and registration available here.
|DSM inaugurates premix plant in the Philippines|
[20 September 2013] DSM Nutritional Products Philippines officially inaugurated its state-of-the-art nutritional premix plant in Calamba City, Laguna Province early this week. The new facility, which has a designed capacity of 2.5 tonnes/hour, has a total area of 4000m2, Plant Manager Noli Abelarde told Asian Agribiz. Building on DSM’s commitment to safety, quality, traceability and reliability, measures are in place at every step of the manufacturing process so that customers are assured of the highest quality products. Mr Abelarde said the new plant has brought DSM products closer to its customers, allowing it to bring its products faster to them. Meanwhile, Regional Technical Manager Dr Benito Olivares said that although the plant is new, it is backed by DSM’s experience and expertise from more than 40 premix plants all over the world.
|Sierad sees 15% revenue growth |
[20 September 2013] Indonesian poultry integrator Sierad Produce expects its revenue to reach USD 436.87 million in 2013, up 15% from a year earlier, said Assistant Corporate Secretary of Sierad Produce Hudaya Indah Panggita. The company booked revenues of USD 188 million in the first half, up 5% from USD 178 million in the same period last year. It also plans to spend USD 31 million on capital expenditure this year to develop five commercial farms and one feedmill.
|Fast Food Indonesia to open 16 new KFC outlets|
[20 September 2013] PT Fast Food Indonesia, the operator of Kentucky Fried Chicken (KFC) in Indonesia, plans to open 16 new outlets in several regions such as Java, Sulawesi and Maluku in the second half of this year. “The weakening rupiah will not affect our expansion plans,” said Director Justinus D Juwono. The company has allocated USD 27 million for capital expenditure this year. Most of it will be used for outlet expansion, while the remaining will go towards renovation of existing outlets and investment in new production machines.
|Thai Egg Board fixes price |
[20 September 2013] The Thai Ministry of Commerce’s egg policy committee has resolved to continue to cap the farm-front price of eggs at USD 0.11 although it expects the egg price to drop this week. Commerce Minister Yukhol Limlaemthong chaired a meeting of the committee, dubbed the ‘Egg Board’, and disclosed afterwards that the decision to maintain the farm-front egg price was because the cost of production of eggs, at USD 0.09/egg, was still high. According to Mr Yukhol, the Egg Board could not heed the proposal by the Department of Internal Trade to lower the fixed price further. The proposal was aimed at helping reduce the living costs for the public. He revealed that the Ministry of Commerce may soon hold ‘blue flag’ sales of eggs at farm gate prices, which would help the public gain access to cheaper eggs and also facilitate egg sales by farmers. Layer farmers have been asked to cap the price for three weeks.
|Rupee volatility hits shrimp industry|
[20 September 2013] The volatility of the Indian currency against the dollar is affecting the local shrimp export industry. As the rupee slides against the dollar, Indian seafood exporters are forced to face a loss of around USD 1.57/kg of shrimp exported. The rupee slipped 6.89% between September 4 and 11, from 67.73 to 63.37 to the dollar. Short supply has caused raw material prices to also escalate, causing additional concerns to seafood exporters.
|Pork supply safe as strike ends |
[19 September 2013] Concerns over pork supply to Singapore have eased for now with the end of a six-day strike at an Indonesian pig farm Indo Tirta Suaka, a subsidiary of the Salim Group, which operates a 1500-hectare pig farm on Pulau Bulan, 2.5km south-west of Batam. The farm is the only supplier of live pigs from Indonesia to Singapore, exporting 6,000/week. Some 175 workers, or more than half of the farm's workforce, will go back to work after the farm's operator on Monday agreed to reopen talks to resolve a pay dispute. “This is a positive step,” said Duma Sitanggang, a labour union leader.
|Warehousing in India to grow at 5-6%|
[19 September 2013] 'The demand for grain warehousing in India is expected to grow at a 5-6% compound annual growth rate in the next five years' said Rabobank analyst Vaishali Chopra. 'This growth will be driven by a range of factors including the government's focus on food security, storage space deficit and the recently announced National Food Security Bill.' He added that currently, the majority of storage facilities are government owned and increased participation from the private sector will be needed to make up the difference. Storage construction requires significant, often upfront, investment which is better suited for large corporate players.
|Thailand remains top shrimp exporter to US|
[19 September 2013] Thailand still dominates the market for shrimp imports in the US at 18% although this year’s volume has decreased by over 190,000 tonnes compared to the same period last year. Director General of the Department of Foreign Trade Pranee Siriphan said the US imported over 410,000 tonnes, valued at USD 362 million in the first half of 2013. Thailand’s overall shrimp export situation did not change much after the US imposed Countervailing Duties (CVDs) at the beginning of this year. The US reportedly imported more shrimp from Indonesia, Ecuador and India whose share in the US shrimp import market rose significantly in 2012, Ms Siripan said.
|China Huishan Dairy to move downstream |
[19 September 2013] China Huishan Dairy Holdings, the largest milk provider in northeastern China, aims to further develop downstream products and to expand sales to more regions in the country, Chairman and CEO of the company Yang Kai said. The Liaoning-based Huishan Dairy is the only firm in China that covers the entire value chain in the dairy industry, described as 'from grass to glass'. “Dairy safety scandals in China occur frequently because the industry is too fragmented, so different participants in the value chain are playing around to gain more economic benefits. Huishan Dairy's vertically integrated model should be the best way to solve the safety problem,” he said.
|Relief for Nepal's poultry farmers|
[19 September 2013] Bird-flu embattled poultry farmers will get much needed relief as financial institutions have planned to go soft on poultry loans. “Though giving financial relief or subsidising the interest or principal is not Nepal Rastra Bank's (NRB) domain, we have asked them to consider restructuring poultry loans this time,” said spokesperson for NRB Bhaskar Mani Gyanwali. Poultry farmers including representatives of Nepal Poultry Federation, Nepal Hatchery Enterprises Association and Nepal Poultry Traders Association have called on the NRB Governor and President of Nepal Bankers’ Association to consider lowering the interest rates for their loans.
|Indonesia should apply sustainable food practices|
[19 September 2013] The Indonesian Chamber of Commerce and Industry (Kadin) said the government should support long-term sustainable, environment friendly practices to meet domestic food demand. “An increase in production would improve farmers’ welfare, but a sustainable strategy has to start with a change of the consumer food consumption paradigm and better implementation of sustainable production practices by the business sector,” Kadin’s Deputy Chairwoman for Environmental, Climate Change and Sustainable Development Affairs Shinta W Kamdani said. “From Kadin, our job is to increase farmers’ productivity and the entire food production value chain by pushing for innovations in the national food security program,” she added.
|Police seize pork disguised as beef in China|
[18 September 2013] China is facing yet another food scandal this time in Xi'an, Shaanxi province, which is home to a large Muslim population. Police seized over 20,000 kg of fake beef made from pork and treated with chemicals, according to the Shanghaiist.com and WantChinaTimes.com website. The pork was said to be treated with chemicals, including paraffin wax and industrial salts, to make it look like beef. Six workshops producing the 'beef' have been shut down and the meat seized as evidence, the reports said.
|India to ensure safe, hygienic meat production|
[18 September 2013] In a move which may bring cheers to meat eaters in India, municipal boards across India will move to provide facilities for safe and hygienic production of meat. They will also address the problem of availability of suitable land for modernisation of slaughterhouses. The decision was taken by the municipal boards collectively during a conference organised by the National Meat and Poultry Processing Board. The decision assumes significance in the light of the Supreme Court's order to this effect last year.
|Philippine tuna exports to grow 64% in 2014|
[18 September 2013] Philippine canned tuna exports to the EU could go up by some 64% by 2014 once the country gets duty free access to the region under the Generalized Scheme of Preferences (GSP) program, said Francisco Buencamino, Executive Director of the Tuna Canners Association of the Philippines. He said this would mean an additional two million cases of canned tuna based on 2012’s total shipments of over 3.2 million cases, which generated earnings of USD 123.3 million despite a 24% tariff. Mr Buencamino noted that with the GSP, export price of Philippine canned tuna could be more competitive, which makes it imperative that the country get into the program. The EU is currently the country’s biggest market for its canned tuna exports.
|Indonesia eyes South American soybean|
[18 September 2013] As it aims to diversify its soybean import sources, Indonesia is looking to South American countries as an alternative to the US, which is currently its main import source. Trade Minister Gita Wirjawan said Indonesia was considering boosting imports from key soybean producing countries in South America, such as Argentina, Brazil, Paraguay and Uruguay. “We still don’t have a policy directive for this, but we have asked our importers to explore the possibility,” he said adding that: “Our objective is to obtain soybean imports at the lowest price and the best quality.” Mr Wirjawan further said the government would study the option of buying soybeans from alternative import sources, while ensuring infrastructure, such as logistics and trade financing were compatible. Boosting imports from South American countries may happen as soon as next year, according to him.
|Pork price highest in Bangkok’s Ladprao district|
[18 September 2013] A survey has revealed that the price of pork in Ladprao district, Bangkok is higher than that set by the Department of Internal Trade, selling at USD 4.3-4.4/kg. However, the price is accepted by consumers given the pork is specially cut and of high quality. According to the Department of Internal Trade, pork price for September 13th-18th, 2013 has been set at USD 3.9/kg, with an additional USD 0.3/kg if it is specially trimmed. However, sellers in Ladprao district have reportedly been selling at a higher price as they meet consumers’ demand in terms of cuts and preferences.
|Government bans poultry from Taiwan, the Netherlands|
[18 September 2013] The Philippines has temporarily banned poultry products from Taiwan and the town of Tzum in Friesland, the Netherlands, following confirmation of outbreaks of low pathogenic avian influenza in these areas. Philippine Agriculture Secretary Proceso Alcala said the LPAI was confirmed in a duck farm in Taiwan, while in Tzum, the virus was detected in domestic birds. Even though both areas are not major poultry sources for the Philippines, Mr Alcala said there is a need to impose a ban to ensure that the country, which is AI-free, remains virus free.
|Premier venue for meat courses|
[17 September 2013] Four specific meat industry training courses will be held between October - December 2013. These three-day courses organised by Asian Agribiz Skills Development will be conducted by Dr Lynn Knipe at the Food Innovation & Resource Centre’s modern meat laboratory facilities at Singapore Polytechnic. Facilities here include a pilot plant, test kitchen, application laboratories and sensory suite, which together offer access to the latest technologies. More details and registration form here.
|Revenue chief backs scrapping of CPF Phils’ tax perks|
[17 September 2013] Philippine hog and poultry raisers received support in their battle against tax incentives awarded to CPF Phils from the Bureau of Internal Revenues (BIR). BIR Commissioner Kim Henares said such incentives should be awarded only to export-oriented enterprises and pioneer investors, and not to agro-industrial businesses like CPF Phils. She said that the Philippines already have domestic poultry and livestock industry so CPF Phils should not enjoy pioneer status. The Department of Finance is now seeking Congress’ approval for the rationalisation of fiscal incentives bill that aims to remove of tax and duty-free privileges that are deemed “redundant.” Atty Elias Jose Inciong, President of the United Broiler Raisers Association told Asian Agribiz that they support the rationalisation program, not just against CPF Phils, but other big established firms. He said incentives support only big players with big capital, but not small ones, while in other countries, subsidies are given to support smaller players.
|Indonesia to build cattle ranch in Australia|
[17 September 2013] Indonesia will purchase one hectare of land in Australia to be used as a beef cattle ranch. “The ranch will be specifically used to breed calves. After a few months, the calves will be brought to Indonesia,” State-Owned Enterprises Minister Dahlan Iskan said. He said that breeding calves in Australia would be much cheaper than in Indonesia. “We hope this measure will go some way in resolving the issue of beef availability in Indonesia.”
|Alliance Select unit to increase capital|
[17 September 2013] Big Glory Bay Salmon & Seafood Co Inc (BGB), a subsidiary of Alliance Select Foods International Inc (ASFI) is seeking to increase its paid up capital to USD 4.58 million from USD 2.15 million, the company said in a disclosure. BGB’s Board also passed a resolution to convert a portion of its advances into equity. BGB’s two shareholders Prime Foods New Zealand Ltd, also a subsidiary of ASFI, and ASFI will convert USD 257,000 in advances into equity. BGB will submit the proposed changes to its shareholders for approval after which the changes will be submitted to the Securities and Exchange Commission for its consideration and approval.
|FAO cautions against reemergence of bird flu|
[17 September 2013] The UN Food and Agriculture Organisation (FAO) has issued a new warning to the international community that the H7N9 and H5N1 avian influenza viruses continue to pose serious threats to human and animal health, especially in view of the upcoming flu season. "Although the world is more prepared than ever before to respond to bird flu viruses constant vigilance is required,” said FAO Chief Veterinary Officer Juan Lubroth. The FAO has committed USD 2 million of emergency funding supplemented by over USD 5 million from USAID to kick-start H7N9 response efforts. “Several at-risk countries previously unable to pick up the virus can now accurately detect H7N9,” explained Mr Lubroth. “Identifying the virus with consistency is critical to targeting control efforts and reducing spread.”
Asian Agribiz Poultry Feed Quality Conference, Bangkok
Reports by ARIEF FACHRUDIN
[16 September 2013]
Successful Poultry Feed Quality Conference 2013
The annual Poultry Feed Quality Conference organised by Asian Agribiz which concluded in Bangkok on September 13, drew close to 300 participants from throughout Asia. It saw 20 renowned speakers present close to 30 technical papers while more than 120 questions were addressed during the discussion sessions. Program Director Dr Tim Walker said: “Now more than ever, profitable poultry production depends on a clear understanding of the nutrient requirements of the bird, quality raw materials and precise feed manufacture.” The conference had four themes – broiler breeders, feed quality, layer nutrition and protein meals – and a ‘hot topic’ session including topics on strontium, betaine, moisture detection, eubiotic and secondary plant compounds.
Quality feed produces safe, quality eggs
Quality feed will produce safe and quality eggs, Technical Manager of Hy-Line International Dr Aidan Leek said. “Since feed is at the start of the food chain, feed safety is critical to consumer safety.” He said key concerns regarding safe eggs are bacteria, dioxins, heavy metals, pesticides, mycotoxins, drugs and coccidiostats. He added that producing safe eggs starts from raw material supply, feed processing, feed storage and delivery, and feed additives.
Strategies for longer egg production cycle
Long production cycles are emerging as a strong trend in layer farming, according to ISA Nutritionist Fabien Galea. To achieve it, Mr Galea recommended that producers allow birds to ingest enough amino acids to ensure egg production and control the bird's energy balance. “Besides, we should adapt feed for liver protection, maintain good feathering, use feed adapted in mineral and adapt feeding techniques,” he added.
Extending laying cycle without molting
Poultry Director Cluster Asia of Provimi Singapore Dr Hermann Klein-Hessling said today’s layers are very efficient in converting feed into eggs. He noted that nowadays, special attention is being focused on extending the laying cycle in commercial stocks for up to 100 weeks of age without molting. “Significantly it means that more time and effort has to be paid to the rearing period of the replacement pullets.” He added that layers at all levels including commercial stocks may benefit from applying some of the specialised management techniques traditionally applied in broiler breeders.
Low protein diet optimises layer performance
Increase in egg production has put great pressure on the available resources, said Technical Sales Manager (Asia South) of Evonik, Kiran Doranalli. “As a result, the challenge remains for nutritionists to maintain feed quality, performance and production of laying hens while minimising diet costs.” Mr Doranalli said feeding low protein amino acids balanced diet would benefit layer producers in optimising the performance of laying hens and can yield significant economic advantage with regards to total feed cost and income over feed cost.
Thailand boosts egg industry
Lecturer in mono-gastric animal nutrition at Kasetsart University, Thailand Dr Yuwares Ruangpanit explained that problems and challenges of the Thai egg industry remain as high production cost, high variation in egg production and egg sale price, high environmental temperature affecting egg production and quality, and low egg consumption and export. To overcome the problems, she said the Thai government has proposed some strategies to boost the sustainability of the egg industry and improve egg production systems and quality standards. The government is also encouraging higher exports and egg consumption through educational programs and ready-to-cook and value added egg products.
Vitamin D enriched eggs benefit human health
A major role of vitamin D is to control calcium and phosphorus homeostasis in the body of vertebrates, PhD candidate of Poultry Research Foundation at University of Sydney, Australia Linda Browning said. In her research, she calculated that cost of vitamin D enrichment of layer feeds is only one cent (USD) per dozen eggs. “For just one cent/dozen, one egg could supply the daily vitamin D needs of an adult without any detrimental effects on production parameters,” she said.
Best tool to assess quality MBM
Pepsin digestibility is best used as a quality control tool to identify acceptable versus poor quality meat and bone meal (MBM), according to Regional Technical Manager of Novus International Stuart Court. The test has been in use since the 1950’s, he said. “The analysis is based upon incubating the sample with a single proteolytic digestive enzyme, where undigested protein is separated from released amino acids and peptides.”
Canola meal may become second protein meal
Canola is fast becoming popular in the Asia Pacific region due to its increasing global production, affordability, biofuel efficiency, livestock compatibility and oil of high quality content, said Technical Manager Asia Pacific of DSM Nutritional Products Asia Pacific Dr Rider Perez. He said that most commonly known anti-nutritional factors found in canola meal include fibre, condensed tannins, sinapine and phytic acid which affect nutrient availability. “The understanding of canola meal energy value, amino acid content and digestibility characteristics and how to improve on most common anti-nutritional factors will result in a useful raw material for least-cost poultry diets.”
Enzyme treated soy for pre-starter feeds
Enzyme treated soy (ETS) looks very promising in reducing anti-nutritional factors in broiler pre-starter feeds, Nutritionist & Technical Sales Manager of Hamlet Protein Corne van der Eijk said. “It’s because ETS has excellent digestibility, is high in energy, requires just 5% dosage in pre-starter, supports animal performance up to slaughter and offers attractive return on investment.” He revealed that based on a trial in Ghent University, Belgium on broilers, the ileal crude protein and amino acids digestibility of ETS was much higher than the value of soy bean meal at the same age.
Asian Agribiz Poultry Feed Quality Conference, Bangkok
Reports by ARIEF FACHRUDIN
[13 September 2013]
Critical factors in feeding broiler breeder hens
Aviagen’s Global Head of Nutrition Services John Halley pointed out that energy is the first limiting ‘nutrient’ for restricted fed broiler breeders. “It is essential that we make adjustments for temperature differences and ensure diet consistency and quality. We also need to make sure that we give the birds the energy they need. We also need to remove the feed in a more balanced way.” By understanding the amino acids composition of tissue, egg and feather proteins, Dr Halley said production goals of broiler breeders during life cycle can be met. The amino acids in the diet must be established in keeping with a correct ratio to energy since these nutrients will be provided according to the energy level of the feed.
Environmental conditions on top of breeder management
The main focus to improve egg production and chick quality should be on managing breeder flocks according to the environmental conditions, said Director of Nutrition of Cobb-Vantress Dr Chet Wiemusz. “It’s because we can’t treat every breeder flock the same although they require similar wellbeing signals.” He said modeling will allow the company to make breeder recommendations based on the environment, housing and management conditions and produce the best progeny, as well as provide a greater understanding of how the breeder hen functions. He also reminded the participants that one breeder program will not fit the world and what works for one customer will not necessarily work for another.
Production, feed problems hamper productivity of breeders in Asia
Although Asia has a large population of breeder flocks, the productivity of the flocks is still hampered by low hatchability, poor peak production and variability in feed quality, Poultry Director Cluster Asia of Provimi Singapore Dr Hermann Klein-Hessling revealed. “Hot and humid weather, occasional endemic diseases and problems with raw material quality create a unique complexity in the region.” He said that those problems can be managed by implementing stringent breeder farm operating and quality control procedures. Good biosecurity combined with feed and water hygiene will aid the birds to better express their genetic potential, he added.
Good pellet durability improves broiler performance
Feeding pellets to broilers will improve its performance. However, according to Technical Application Manager of Borregaard Tom Winowiski, the benefit of feeding pellets to broilers may be lost if pellet durability is low. “Broilers should receive 60-80% pellets at the feeder,” he said. Pellet durability starts from selecting ingredients, to conditioning and cooling. “Selecting ingredients that are good for pellet quality rather than using a thicker die will save energy and be less destructive towards nutrients.” Mr Winowiski recommended that conditioning temperature should be about 80 degrees and then pellets should be cooled to near ambient temperature and not contain more than 12% moisture.
Optimal pelleting affects nutritional value of broiler feed
Dr Reza Abdollahi, Postdoctoral Research Fellow in Poultry Nutrition at Massey University, New Zealand said optimal pellet processing is required to maximise the nutritional value of feed for broilers. “The major aim of feed technology, from the nutritional point of view, is to mould a balanced mash diet to high physical quality pellets that are highly digestible.” He continued that although physical pellet quality is a critical factor in determining broiler performance, nutrient availability is equally important. “That’s why the balance between nutrient availability and physical quality of pellets is critical in determining the actual performance of broilers.”
Adifo’s software for data collection, transformation
Consultant of Adifo Software Arpad Zsok explained that its software called LIMS (Laboratory and Information Management System) can be used in both the feed and food industry. Mr Zsok said LIMS is a platform for collecting quality data and tools for transforming the data into value. This system offers some key features such as workflow and data tracking support, flexible architecture, smart data exchange interface, statistic and evaluation, and reporting and certificates. “LIMS can guarantee the end product quality, increase efficiency of data management, save time and can be integrated with the formulation system, ERP and NIRS,” he said.
Important factors affect feed uniformity
Optimal choice of micro ingredients and design of the dosing and mixing process will have a positive impact on feed uniformity, said Head of Supply Chain & Handling Solutions of Evonik Industries Detlef Bunzel. According to him, there are four important factors affecting feed uniformity such as particle size distribution, physical properties of micro ingredients, mix time and mixer filling rate, in addition to sequence and segmentation of mix cycle time.
Strontium may become standard micro nutrient in industry
Linda Browning, Phd candidate of the Poultry Research Foundation at University of Sydney, Australia spoke about strontium, a naturally occurring mineral element which has very similar chemical characteristics to calcium. From her research, she found that strontium supplementation improved the FCR of broiler and significantly increased phosphorus retention. She also found that there was a significant interaction between strontium and vitamin D with FCR.
Latest on betaine research
Technical Service Manager SEA/ANZ of Danisco Animal Nutrition Dr Alex Peron spoke about the latest on betaine research. He said that research results suggest that natural betaine is able to maintain cellular metabolism and homeostasis compared to synthetic betaine-HCl. In terms of solubility, natural betaine is approximately three times more soluble than synthetic betaine-HCl. Although some results showed that natural betaine is better than the synthetic, Dr Peron said that additional research is required to fully understand the differences in the modes of action between the two products at the cellular level.
Moisture impacts operations, nutrition and economics
Moisture is important, Product Manager Animal Nutrition & Health of Kemin Asia Pacific Dr Dexter Abrigo said. “At the right content, moisture can impact operations, nutrition and economics. Overall, it can impact feed quality and mill performance.” He said moisture is generally lost in production through grinding and cooling. “For a mill producing 100,000 tonnes a year, 1% loss is equal to 1000 tonnes or USD 400,000/year.”
RACHAEL PHILIP reports on ILDEX Myanmar
[13 September 2013]
Top Products Supply to open office in Myanmar
Top Products Supply aims to have a firm presence when farmers want to upgrade their farms. The Thai manufacturer of cooling systems, automatic feeding and drinking systems and other plastic products for the broiler, layer and breeder industry, hopes to open an office in Yangon later this year. “Some Myanmar producers are already looking for temperature systems. It’s a lot of investment for them but they know that it will help them reduce their costs and produce better yields,” said Pichai Tammavetee of Top Products Supply, an exhibitor at the ongoing Ildex Myanmar 2013 exhibition in Tatmadaw Exhibition Hall, Yangon Myanmar.
Further processed plants keen to invest
Food coatings and flavourings company R&B Food Supply cater to the emerging further processing industry of the country. “We supply the ingredients to our customers who produce value-added products such as chicken nuggets, popcorn and other breaded products mainly for the export market,” said General Manager Teerapat Yanatornkul. The company, which just opened a representative office in Myanmar in June this year, also produces soaking and water binding agents for the shrimp industry. He thinks the further processed industry will move in a big way in about 5-6 years when the local workers currently working in Thai factories return home. They will bring with them the skill required for the industry and this will encourage local producers to invest in their plants and produce more value-added products. He said only 5-6 plants in Myanmar produce value-added products In Myanmar and 80% of these plants are manually operated but the producers are keen to invest.
Farmers keen to upgrade farms
Despite the big investment required to improve their farms in terms of automation and closed house technology Myanmar farmers are keen to upgrade. But the country is lacking in proper infrastructure. One main hurdle is irregular power supply. But farms are growing in size. “Today a layer farm in Yangon stocks anything between 5000-15000 birds. A small broiler farm holds about 3000 to as many as 15000 birds per farm,” said Dr Myoe Win of Shwe Htut Khaung Co Ltd, the distributor of Thai-based ASP Animal Supplement & Pharmaceutical Co Ltd. “About 80% of farmers buy commercial feed while another 20% mixed their own feed,” he added. Dr Win was a veterinary surgeon in government before moving into marketing.
Government encouraging growth in feed, food industry
Dutch Agri Ingredient BV deals in commodities, technical fats and feed additives – most of the products are produced in the Netherlands. “We are offering farmers the chance to generate better yields,” said Diederik Wolff of Agri Ingredient. “The local market is ready – not in the normal scale but with a population of 60 million – it’s a market which will grow so it’s important to be here in a professional way. The booth today is for the future market. We want to get a good foothold here.” He also added that foreign companies are encouraged to visit the country because the government is doing a lot to help the feed and food market develop.
|CP All to refinance short term debt|
[12 September 2013] CP All, the retail flagship of Thailand's Charoen Pokphand Group, plans to refinance nearly USD 6.2 billion short term debt into long term debt to control rising financial costs and boost margins, Financial Chief of the company Kriengchai Boonpoapichart said. The USD 6.6 billion acquisition of cash-and-carry wholesaler Siam Makro Pcl has turned cash-rich and debt-free CP All into a retailer which has the highest net debt in Southeast Asia. “The challenge for us is costs,” Mr Boonpoapichart said. “We have higher interest expenses, reversing from interest income previously, while there will be an impact from the volatility of unrealized gain or loss from foreign exchange given all loans is in dollar terms,” he said. As part of an attempt to cut debt, CP All is considering an option to dilute its 98% holding in Siam Makro. “We do not need to hold 98%. But it's too early to say how we can do that. If we do, it will automatically boost free float and reduce debt.”
|China feed mills turn to US sorghum |
[12 September 2013] China's big private feed mills are turning to sorghum from the US after using up their annual import allocations for preferred animal feed grain corn. Rising Chinese imports are expected to boost sorghum prices over the next few months in the US, the world's largest producer, which is forecast to reap a bumper crop this year. US sorghum prices are about USD 20/tonne higher than US corn prices, partly due to China's buying, traders said. Private mills in China have used up their allocated 2.88 million tonnes of corn import quotas this year and are not expected to ship in more corn until the end of the year when Beijing issues quotas for 2014. Domestic corn is not a viable option as it is more expensive. As an alternative, the mills have already bought about 800,000 tonnes of US sorghum for shipment in the 2013/14 year starting in September and total orders are likely to top 1 million tonnes, with prices still attractive, traders said.
|PPA urges government to restore ‘zero rating’ status|
[12 September 2013] Pakistan Poultry Association (PPA) has appealed to the government to restore the ‘zero rating’ status for value added, processed, frozen, and packed poultry products in the best interest of both the sector and masses. In a letter sent to Finance Minister Ishaq Dar, Chairman of PPA Khalil Sattar said after the withdrawal of zero rating status to the sector the cost of production of processed value-added chicken products has gone up by USD 0.2 to USD 0.4/kg. Prior to the budget 2013-14, value added milk and chicken products were zero rated. In the budget 2013-14, the zero rating was withdrawn from both the products. However, subsequently, zero rating on packed and all value added milk products has been restored but zero rating on packed value added chicken products has not been restored.
|Egg prices in Thailand to stabilise|
[12 September 2013] Egg prices in Thailand are expected to drop to their normal rate within 2 weeks. According to Director General of the Department of Internal Trade Vibunluck Ruamrak, the current high egg price situation is the direct result of seasonal weather change. At present, the average wholesale price of eggs is as high as USD 0.11/egg, climbing up from the recent rate of USD 0.1. Mrs Ruamrak claimed that the weather change has caused the overall egg production to drop to 34 million eggs daily, compared to 37 million previously. Coincidentally, the demand for eggs in the domestic market is also 34 million per day. She brushed off speculation that the price surge was caused by a shortage of feed and hens. She warned food vendors not to take the opportunity to unfairly readjust prices of ready-to-eat meals.
|Greenpeace urges Philippines towards sustainable fishing|
[12 September 2013] Rather than continually seeking exemptions from conservation methods, the Philippine government should work closer with other countries in the Pacific region to put in place measures that would prevent overfishing, Mark Dia, Regional Oceans Campaigner for Greenpeace Southeast Asia said at the 15th Tuna Congress held in General Santos City, Philippines. The declining tuna catch in traditional fishing areas has already hurt tuna fishers and processors, and unless the government and industry players take drastic measures to halt the decline of world tuna stocks and pursue sustainable methods of catching tuna, the Philippines may find its multibillion peso tuna industry without a future, he said.