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27 March 2015
9th Asian Grain Transportation Conference in Singapore
Report by RACHAEL PHILIP
[27 March 2015]
Soybean consumption to increase 6.3% to 290m tonnes
Global soybean production is expected to hit 315 million tonnes for production year 2014/15, an 11% increase from last year’s 284 million tonnes, according to the US Department of Agriculture. Global consumption, meanwhile, is expected to increase to 289 million tonnes, up 6.3% from 272 million tonnes the year before. John Baize, President of John C Baize & Association, US, in a presentation on Global Grains and Oilseeds Overview said if this trend continues, “the world needs 80 million tonnes of additional soybeans in a decade”. China is expected to import 74 million tonnes of soybean in the 2014/15 marketing year. Its closest competitor is the European Union with 12.75 million tonnes. Japan and Taiwan are expected to import 2.90 million tonnes and 2.35 million tonnes respectively, while Indonesia and Thailand is forecast to import 2.35 million tonnes and 2.00 million tonnes respectively.
Global corn consumption up 3% to 970m tonnes
In the year 2014/15 global corn production remains at 990 million tonnes, the same as the year before while global consumption of corn increases 2.85% to 972 million tonnes from 945 million tonnes the year before. The US, said John Baize, President of John C Baize & Associates, US, in a presentation on Global Grains and Oilseeds Overview, which is expected to produce 302.1 million tonnes in marketing year 2014/15, up from 293.0 million tonnes the year before, is forecast to export 45.7 million tonnes compared to last year’s 48.7 million tonnes. He said, China, according to USDA estimates will produce 215.5 million tonnes of corn in 2014/15, down 1.37% from last year’s 218.5 million tonnes.
VPF Group to develop new range of pork in 2016
The VPF Group in Thailand has started work to develop a premium range of pork called Natural Product. The product is expected to be available in the market next year. Piyaporn Ratanavanichrojn, Chief Administration Officer, told Asian Agribiz that the pigs will be fed a healthy diet free from chemicals. “We have our own feedmill so we can develop a healthy diet for the pigs. We have started building the farm houses,” she said. At the conference she outlined her company’s efforts at promoting their Green Pork where the pigs are fed quality feed. This range sells for roughly 5% more than regular pork in the market. Ms Piyaporn said customers are happy to pay for premium meat because they can taste the difference and are assured of its quality.
SEA must still battle infrastructure issues after AEC
Trade barriers may begin to ease in Southeast Asia as the region moves towards the Asean Economic Cooperation (AEC) in December 2015 but issues such as infrastructure and logistics remain key challenges, said Pawan Kumar, Associate Director, Food and Agribusiness Research and Advisory, Rabobank, Singapore. “The AEC’s biggest boost is infrastructure development,” he said. Looking at the region as a whole Mr Kumar pointed out that Vietnam, centrally located in the region, has the potential to be developed into a feed distribution hub. He also said China has access crushing capacity which can be utilised to export meal to Southeast Asia.
Indonesia’s new food strategy will empower food producers
To drive growth, production and investment in Indonesia’s food sector the new government has initiated the Food Sovereignty strategy, a mid-term development plan for 2015-2019. According to Dr Bustanul Arifin, Professor of Agriculture Economics at UNILA, the strategy will encourage public-private partnership and allow stakeholders to manage national food issues. Among others, the plan will see maize production grow from 20 million tonnes per year in 2015 to 24.03 million tonnes per year in 2019. Soybean is expected to grow from 1.13 million tonnes per year in 2015 to 2.57 million tonnes per year in 2019. He said Indonesia is dependent on Java for food production and over the next five years “the government will not take the risk by shifting the base of strategic food production to outside Java".
|Prantalay appeals for its halal status|
[27 March 2015] Prantalay Marketing Public Co Ltd will appeal to the Central Islamic Council of Thailand to reinstate its halal status after the council withdrew the halal certification on 37 items produced by Prantalay and 69 items by Union Frozen, its parent company. The halal certification was revoked after porcine DNA was found in these products. Anurat Khokasai, Prantala’s Chief Marketing Officer, said pig DNA contamination was assumed to come from the container or foreign sources. He emphasised that the company’s products do not contain any pork. One of the products that was found to be contaminated with pig DNA is boiled rice with salmon, he added.
|Japan pork group agrees to halving tariffs for TPP agreement |
[27 March 2015] A producer group in Japan said that it can accept a 50% reduction in import tariffs to help pave the way for the nation to reach an agreement on the Trans-Pacific Partnership (TPP). The Japan Pork Producers Association said it could accept a cut in duties to as low as USD 2/kg from a maximum USD 4 at present, said Hisao Kuramoto, Managing Director of the Tokyo-based organisation. Japan imported 45% of its pork last fiscal year through March 2014, purchasing 744,000 tonnes from countries including TPP members of the US, Canada, Mexico and Chile, according to data from the agriculture ministry. “A tariff reduction exceeding the level would deal a fatal blow to Japanese pork producers, undermining the stability of supply to local consumers,” Mr Kuramoto said.
|NZ meat industry backs WTO complaint|
[27 March 2015] New Zealand's meat industry is backing its government move to take a complaint to the World Trade Organisation (WTO) over Indonesia's restrictions on beef imports. In January this year, beef exports to Indonesia fell by 95% because of new restrictions. The New Zealand government, along with the US, filed a request to the WTO this week for a formal dispute hearing. Tim Ritchie, Chief Executive of New Zealand Meat Industry Association, said the restrictions have had a severe impact on the trade. “We had steady growth in the first 10 years and then the restrictions came on as they sought to be self-sufficient, and then they found there were quite severe domestic consequences and had to relax the imports again to meet demand,” he said.
|Lower US prices will boost Smithfield synergies with China |
[27 March 2015] Lower US pork prices in 2015 will allow Smithfield Farms to export more pork to China and increase synergies with Smithfield’s Chinese owner, according to Smithfield CEO Larry Pope. Export potential was one rationale for WH Group’s acquisition of Smithfield in 2013, when US pork prices were much lower than Chinese prices. However, in 2014 unexpectedly high US pork prices due to PEDv and unexpectedly low Chinese pork prices due to slack demand limited those plans. “Lower pork prices should also allow us to leverage additional synergistic opportunities with WH Group and Shuanghui, our sister company in China," Mr Pope said. Despite the export woes Smithfield reported record net income of USD 556 million in 2014, up 361% from the year before, according to an earnings statement released by Smithfield on March 26.
|2015 Pig Feed Quality Conference - registration closes today|
[26 March 2015] Registrations for the 2015 Pig Feed Quality Conference will close today. As in the past, this year too the conference will present a strong technical program addressing themes that can enhance the performance and profitability of Asian pork producers. It will be held on 9-10 April at the New World Hotel in Ho Chi Minh City, Vietnam. More details and registration form can be found here.
|STP relocates Cirebon plant to Purwakarta|
[26 March 2015] Suri Tani Pemuka (STP), a subsidiary of Japfa Comfeed Indonesia involved in aqua feed production, plans to relocate its Cirebon aqua feed plant to Purwakarta in West Java this year. The company wants to be closer to the market in the region, said Aminto Nugroho, Head of Sales. “With the relocation, our feed distribution costs to farmers in and around Purwakarta may decrease by USD 0.005/kg. This, of course, will benefit the farmers. They will get fresh, quality feed at a cheaper price,” said Mr Aminto. To answer Minister of Fisheries and Marine Affairs’ challenge in providing cheaper fish feed, STP will soon launch a new fish feed that will be economical.
|Thai layer farmers call for dismissal of DLD head |
[26 March 2015] A group of layer farmers in central Thailand submitted a petition to Prime Minister Prayuth Chan-ocha urging the government to remove the Director-General of the Department of Livestock Development (DLD) Ayuth Harintharanon from his position as he has been unable to resolve the current low egg price problem. Chaiyaporn Seethan, head of the farmers, said if Dr Ayuth continues in his role for another one month, layers farmers would have to close their farms due to losses. Egg price in Thailand has been declining over the last eight months due to oversupply. Farm gate price of egg is now THB2.0 per egg while production cost is THB2.90 (1 USD = THB32).
|Middle Eastern countries lift ban on Pakistan poultry imports|
[26 March 2015] Countries in the Middle East have lifted their ban on poultry imports from Pakistan, said Pakistan's Federal Minister for National Food Security and Research, Sikandar Hayat Bosan. According to Pakistan Poultry Association former Chairman Abdul Basit, the ban was imposed after the bird flu outbreak in 2004. Pakistan sees the Middle East as a potential growth market for its halal meat, livestock and poultry products.
|Asia Pacific most dominant market for aqua feed|
[26 March 2015] The global market for aqua feed is expected to reach USD 133.1 billion by 2020, according to a new study by Grand View Research. Increasing use of aquafeed in carp and crustacean farming is expected to boost market demand over the forecast period. In 2013 the global aqua feed demand was 37.60 million tonnes and is expected to reach 77.93 million tonnes by 2020, growing at a CAGR of 11% from 2014 to 2020. Asia Pacific was the most dominant regional market accounting for 65% of global consumption in 2013. The vast aquaculture industry particularly in China is expected to enhance the demand for aqua feed in the region over the next six years.
|Higher fish and seafood prices in Philippines next week |
[26 March 2015] Philippine consumers can expect retailers to raise prices of fish and seafood with the ushering of the Holy Week next week, retailers said. In the predominantly Catholic country, demand for seafood and fish often goes up during this time, when the Catholic faithful tend to fast and abstain from meat.
|Thai corn farmers rapped for open burning |
[25 March 2015] Open burning at corn plantations in Northern Thailand has been linked to the haze problem in that region. Pollution has reached unsafe levels in Chiang Rai, Mae Hong Son and Chiang Mai. Chiang Mai Natural Resource and Environment Office Director Jongkhlai Worapongsathon said those who promote corn growing and companies buying corn must take responsibility and promote alternative approaches to corn husk clearance. Companies under Charoen Pokphand Foods, or CPF, namely Bangkok Produce and Charoen Pokphand Produce, the major corn buyers said they did not support clearing in this manner and would work with the Agricultural Land Reform Office to promote sustainable corn planting and after harvest management.
|Berdikari eyes 33.3% income growth|
[25 March 2015] Indonesia’s state owned company Berdikari that has an integrated beef cattle business expects its income this year to reach USD 69.3 million, a 33.3% increase from the previous year. Librato El Arif, President Director, said the company this year will focus more on processing. “We want to increase our frozen beef production. Last year we produced some 5000 tonnes from only our internal stock. This year we target to produce 6500 tonnes. To achieve this we will also buy cattle from farmers,” Mr Librato said. At the moment its breeding farm raises around 15,000 heads of Bali and Brahman cattle. To increase the breeding stock, it plans to import 2000 heads of Brahman cattle from Australia.
|Growth in agro-industrial segment boosts Pure Foods revenue|
[25 March 2015] Philippines' San Miguel Pure Foods Company Inc’s (SMPFCI) revenue topped USD 2.3 billion in 2014. This was 3% higher than 2013 on expansion of its exclusive franchise outlets including Magnolia Chicken Stations and Monterey Meat Shops. In a disclosure to the Philippine Stock Exchange, SMPFCI attributed its strong showing to higher volumes and better selling prices. Its operating income grew 17% to USD 145.3 million because of higher revenues, better efficiencies, and lower wheat costs. The company’s net income stood at USD 84.9 million while earnings before interest, taxes, depreciation and amortisation was USD 196.6 million.
Sneak peak at Asian Pork Magazine, April 2015
[25 March 2015]
Premium pork products rising
There was a time when pork was available to Southeast Asian consumers only in freshly slaughtered form, but the introduction of further processed pork changed all that. The ASIAN AGRIBIZ team writes that today, premium pork products make up one of the fastest growing segments in the processed pork industry, and from all indications, will keep rising.
KPS to popularise black pig meat in Indonesia
Karya Prospek Satwa (KPS) is currently developing the black pig breed and introducing the meat known as Kurobuta pork to markets in Jakarta and Bali. ARIEF FACHRUDIN learns that the company will involve pig farmers in Bali, Toraja and East Nusa Tenggara to raise the pigs.
McQuarry Farm builds on genetics
In pig production, having good genetics, management and nutrition play key roles to ensure a successful operation. ISA Q TAN reports that McQuarry Farm has taken these to heart as it builds both its breeder and its commercial operations.
Great Dragon Farm picks up on opportunity
China’s villages are slowly emptying as rural residents move to the cities, but this is also giving entrepreneurs the opportunity to build larger pig farming operations. At the same time, the expanding rural road system allows these entrepreneurs to ship their product to urban markets. RICH HERZFELDER writes that the Zhangs of New Victory Village in Inner Mongolia are making the most of the opportunity.
Breeding sows benefit from NSP-degrading enzymes
During the days before and after farrowing, sows show low appetite with reduced feed intake, which can impair the reproductive cycle. KEVIN LIU and PIERRE COZANNET discuss a meta-analysis of recent trials which revealed the addition of NSP-degrading enzymes increased voluntary feed intake, reduced weight loss of 3 kg on average or 20%, and back-fat loss by 24% during lactation.
Protecting and enhancing meat quality with vitamin E
Meat quality deterioration can occur due to a number of factors, including genetics, improper practices in handling, storage and cooking. However, lipid oxidation is probably the most substantive factor impacting commercially-crucial parameters such as colour, flavour and texture. The important role vitamin E can play in reducing meat deterioration and colour changes by combating the negative effects of oxidation is explained by GILBERTO LITTA.
Using feed more efficiently, naturally
Rising societal concerns about antibiotic resistance and residues from beta adrenergic agonists (ß-agonists) in products derived from animal production demands a new era of growth promoting substances. In particular, the ban of antibiotic growth promoters (AGPs) in the EU and other countries enforced the search for alternatives being able to replace the use of AGPs. CHRISTINE HUNGER explains that one potential successor is the group of phytogenic feed additives (PFAs).
Preview of Asian Agribiz 2015 Pig Feed Quality Conference
April 9-10, Ho Chi Minh City
[24 March 2015]
Widely recognised as one of Asia's premier scientific forums for industry professionals to update their knowledge on pig production, the Asian Agribiz 2015 Pig Feed Quality Conference brings the latest research and provides useful information for Asian pig and feed producers. REGISTER TODAY - registrations close Thursday 26 March 2015.
NIR and moisture management in feed
Ivan Ward will consider ways moisture is measured in feed and ingredients, challenges with moisture analysis and opportunities during feed manufacturing to monitoring moisture content. Monitoring the moisture levels of ingredients coming into the site is an important step in managing feed quality and limiting microbial growth. Water activity, not water content, determines the lower limit of available water for microbial growth. While temperature and pH can influence whether an organism will grow in a product and the rate of growth, water activity is the most important factor.
The role of creatine on growth performance and meat quality of pigs
Creatine is not thermostable thereby, it cannot withstand pelleting, however, an innovative form of guanidinoacetic acid (GAA) which a precursor of creatine can be a more suitable dietary source of creatine for pigs (and poultry). Dr Maria Eloisa Carpena will review results, including a 2014 Vietnam trial, which indicate that the dietary supplementation of creatine may contribute to the improvement of growth performance like weight gain and feed efficiency of pigs. Moreover, creatine supplementation may be used to improve meat quality parameters like drip loss, post mortem pH and visual colour.
Practical application of the latest in-line moisture system in determining feed quality
Jon Ratcliff will present the practical applications of the latest technology in-line moisture management based on microwave resonator technology which is both highly accurate and also can process up to 3,000 measurements per second, making it particularly well suited for measurements of fast flowing ingredients. The technology now provides the feed industry with a solution that allows for real time moisture measurement and automated process control of moisture for the benefit of feed quality, stock control and process efficiency.
Effective prevention and control of galactomannan, an immunogenic factor in soybean meal
Dietary mannans/galactomannans occurring widely in feedstuffs, including soybean meal, have structures with the potential to be recognised by immune cells. The energy cost of activating innate immune response is high, and a long-term and constant activation will cause damage to tissues, reducing carcass quality. Dr Humg-Yu Hsiao will discuss effective prevention and control using a beta-mannanase enzyme. After in-feed hydrolysis, the fragmented galactomannans lose their ability to activate immune response.
Improving the nutritional value of raw materials to increase sow’s feed intake
It is recommended to avoid a weight loss more than 5% of sow’s initial bodyweight to reduce adverse effects on subsequent reproduction. In practice, however, it remains a real challenge for nutritionists to increase energy intake, reduce losses of body weight and backfat and ensure maximal milk production. Increasing feed intake: is very difficult as sows undergo drastic physiological changes, limiting their feed intake potential. Dr Kevin Liu will review the use of NSP-degrading enzymes to alleviate the negative impact of sow feed intake on weight losses during lactation.
Role of proper steam conditioning to feed pelleting efficiency and feeding value
Steven Goh will examine how you need to approach steam conditioning for the best compromise between feed pellet quality, machine throughput efficiency, and feeding value of the processed pellet feeds. He will also review the various problems affecting feed pelleting.
More details and registration form can be found here.
|Thailand launches ‘strip test’ to detect beta agonists |
[24 March 2015] The Swine Raisers Association of Thailand has handed over the ‘Strip Test’ equipment to the Department of Livestock Development (DLD). It will be used to detect the use of prohibited lean meat promoters at farms, slaughterhouses, retail shops and meat vendors in fresh markets, President Surachai Sutthitham told Asian Agribiz. This is to reduce and eradicate the use of beta agonists in pig rearing, he said. Lerdchai Chintapitaksakul, Director of DLD’s Veterinary Research and Development Centre (Eastern Region) also told Asian Agribiz that this equipment can provide fast results, will reveal in just five minutes if the pig and pig meat is contaminated. DLD will launch the use of this test kit this year, starting with slaughterhouses under the supervision of DLD, Dr Lerdchai said.
|India begins buffalo meat export to Russia|
[24 March 2015] Two Indian companies, Fair Exports India Pvt. Ltd and Frigerio Conserva Allana Private Limited have started exporting buffalo meat to Russia. Russia’s Federal Service for Veterinary and Phytosanitary Surveillance (Rosselkhoznadzor) said that the first 16 containers arrived in Russia through the checkpoint in St Petersburg. In December last year, four Indian companies were approved to supply buffalo meat to Russia. With buffalo meat exports worth USD 3.22 billion in the April-November 2014 period, it is India’s top agri export item. Among the top export destinations are Vietnam, Malaysia, Egypt, Thailand and Saudi Arabia.
|Century Pacific exploring expansion|
[24 March 2015] Century Pacific Food Inc, the Philippines’ canned food company, is exploring “a wide range of opportunities to grow the business and expand into new markets,” the company said in a disclosure to the Philippine Stock Exchange (PSE). A report by ManilaStandardToday cited Giovanna Vera, Century Pacific’s Investor Relations Officer, as saying that the company is looking to expand through organic growth or via acquisitions, especially in the canned food sector and that the company is “set to sell shares to fund acquisitions.” However, Ms Vera clarified with the PSE that the company’s plans “remain under study and are preliminary at this stage.”
|Brookside gets 333 Hypor GGPs|
[23 March 2015] Brookside Breeding and Genetics Corp, in the Philippines received 333 Hypor GGPs last Saturday night. The animals, shipped via air cargo from France, included 263 heads of Large White (LW) GGP gilts, nine heads of LW GGP boars, 52 heads of Landrace GGP gilts and nine heads of Landrace GGP boars. Dr Sheryll Caguicla, who heads Brookside’s Swine Division, told Asian Agribiz that the animals will stock Brookside’s new and modern nucleus farm in Tarlac Province, Central Luzon. She said the animals will spend about 42 days in quarantine. Meanwhile, Dr Evaristo Macalino, Area Manager Asia for Hypor, said the new GGPs are meant to produce for the internal requirements of Brookside Farms.
|Indonesia biggest shrimp exporter to US|
[23 March 2015] According the Indonesian embassy in Washington DC, USA, Indonesia was the biggest shrimp exporter to the country with a value of USD 93.5 million and a market share of 22.7% in January this year. According Ni Made Ayu Marthini, Trade Attache from the embassy, the product exported was frozen peeled shrimp. “The potential of shrimp is promising. That’s why Indonesia has to increase production, prevent EMS disease, as well as ensure food safety and quality,” she said. India was in second position with an export value of USD 91.4 million and a market share of 22.19%, followed by Ecuador with an export value of 51.1 million and 12.41% of market share. Vietnam, Thailand and Malaysia had 10.7%, 8.3% and 3.49% of market shares respectively, with export values of USD 44.3 million, USD 34.2 million and USD 14.3 million.
|Buffalo meat export industry not affected|
[23 March 2015] Legislative changes by Maharashtra and Haryana state governments in India banning beef has not affected the buffalo meat export industry, according to the All India Meat & Livestock Exporters Association in a statement. “Buffalo is a separate species from bullocks and the ban has no effect on slaughtering buffaloes”, the press release said adding that the buffalo meat industry uses only spent and unproductive livestock. The buffalo meat industry in India generates foreign exchange in excess of USD 5 billion per annum.
|NZ, US press WTO for action against Indonesia|
[23 March 2015] New Zealand and the US have escalated a complaint against Indonesia to the World Trade Organisation on import restrictions that led to the collapse in New Zealand beef exports to Indonesia. The two countries have requested that a WTO dispute settlement panel look at the import barriers, kicking off a process that could lead to sanctions. Indonesia’s import restrictions cover animals and animal products as well as horticultural products. Tim Ritchie, New Zealand Meat Industry Association Chief Executive said that Indonesia subsequently tightened restrictions again and in January this year New Zealand beef exports to Indonesia slumped to only 28 tonnes, from 2,669 tonnes in January last year.
|Goodman Fielder to extend reach in Asia|
[23 March 2015] Wilmar International Ltd and First Pacific Company Ltd have acquired 100% of Australian food processor Goodman Fielder. The new owners want to turn the consumer foods giant into a leading food company in Asia. The first brand to start selling in Asian supermarkets and convenience stores will be New Zealand-made Goodman’s Meadow Fresh UHT milk. The company hopes to leverage on the extensive distribution footprints of Wilmar and First Pacific in China, Indonesia, the Philippines and Southeast Asia to export Goodman Fielder’s brands. Wilmar and First Pacific are also investigating opportunities to bring some of Indofoods’ brands to Australia.
|Pig producers urged to get ready for AEC|
[20 March 2015] The implementation of the Asean Economic Community is sure to challenge Philippine hog raisers, but there will also be opportunities, Eliseo Yu, Chairman of the Pork Producers Federation of the Philippines, said at the opening ceremonies of the 24th National Hog Convention and Exhibits yesterday. He called on fellow hog raisers to be “open and ready to tap all the opportunities that would come our way,” and be ready to compete not only with Asean neighbours but also with markets bigger and beyond Asean. The three-day convention will run until tomorrow, during which the 8th Backyard Hog Congress will also be held.
|Exporters await Q2 cattle permits for Indonesia|
[20 March 2015] Indonesia issued just 100,000 permits for Australian cattle for the first three months of this year, which proved easy to fill for Australia’s live cattle trade and resulted in prices easing because of the supply and demand imbalance. The second quarter starts in a couple of weeks and exporters are hoping Indonesia will issue more than 200,000 permits. The Indonesian Beef Cattle Feedlotters Association has been lobbying the government to issue 250,000 import permits in Q2 and to allocate the permits as soon as possible. According to Bernie Brosnan from Wellard Rural Exports, if supply is tight heading into Ramadan, Indonesia is likely to fill the gap with extra permits for chilled boxed beef.
|Arm & Hammer acquires Vi-COR, expands its team|
[20 March 2015] US Princeton based Arm & Hammer Animal Nutrition has announced the acquisition of Vi-COR, a manufacturer of fermented yeast based feed ingredients and Refined Functional Carbohydrates (RFC) earlier this year. This is followed by several new additions to its leadership, marketing and sales teams, as well as new roles for current team members. All Vi-COR products are now part of the Arm & Hammer family of brands. “In addition to adding to our product portfolio, we added significant resources to our sales, marketing, research & development and technology teams,” Scott Druker, Director of Arm & Hammer Animal Nutrition said.
Asian Agribiz regional dairy update
[20 March 2015]
Amul most trusted F&B brand in India, says report
Indian milk and milk products brand Amul has been ranked top in consumer confidence as reported in Brand Trust Report 2015. The home-grown food brand ranked first in the Food and Beverages category. R S Sodhi, Managing Director of Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF), which markets Amul said Brand Amul has become an integral part of the lives of the common man and is accepted as a true Indian brand. “Amul has always maintained its vision to provide quality products at affordable prices to consumers," Mr Sodhi added.
West Java to stop calf, heifer exports
In order to increase milk production in the province, the Animal Husbandry Agency in West Java plans to stop the export of female calves and heifers to other provinces in the country. Doddy Firman Nugraha, Head of the agency, said last years’ exports affected the production of milk in the province which stands at around 239,000 tonnes/year. “We will cooperate with milk cooperatives in West Java to prevent export so the number of cows can be increased.” In a month the province produces around 1000 female calves, half of which is produced in Lembang, Bandung regency.
Fonterra acquires 20% of China’s Beingmate Baby and Child Food Company
Fonterra Co-operative Group confirmed it will soon acquire 18.8% of leading Chinese infant formula manufacturer Beingmate Baby and Child Food Company Ltd. “Over the next few weeks, Fonterra and Beingmate will enter into the next phase of our partnership, which includes establishing a joint venture to purchase the Darnum plant in west Gippsland and finalising a distribution agreement making Beingmate Fonterra’s exclusive Anmum distributor in mainland China,” Lukas Paravicini, Fonterra’s CFO, said. The partnership will create a fully integrated global supply chain from farm gate direct to China’s consumers, using Fonterra’s milk pools and manufacturing sites in New Zealand, Australia, and Europe. The partnership is intended to increase the volume and value of Fonterra’s ingredients and branded products exported to China.
NZ sheep milk plant sold to HK company
New Zealand’s Blue River Dairy plant could see investments of up to USD 40 million following its sale to Blueriver (HK) Nutrition Co Ltd. Blue River, founded by Southland businessman Keith Neylon in 2003, converted three Southland sheep farms to dairying, generating about 1000 tonnes of sheep milk powder annually from 20,000 ewes. There are plans to expand to 100,000 ewes over the next few years, eventually producing more than 5000 tonnes of milk powder. Asia is the company’s main market. “We are now able to fully concentrate on milk production and let Blueriver Nutrition HK focus on the finished product,” Mr Neylon said.
Amul plans to market camel milk
Amul of India is planning to process and market camel milk. If the proposal is approved by the Food Safety and Standards Association of India (FSSAI), processing will begin at Amul’s Sarhad Dairy located in Gujarat state. Valamaji Humbal, Chairman of the Sarhad Dairy said that they are ready. “If the FSSAI approves it, one more production line will be added to the plant for processing camel milk,” he said. A similar initiative taken by Rajasthan Cooperative Dairy Federation (RCDF) was grounded in 2010 due to poor response from consumers. Considered to have several health benefits such as high insulin and vitamin content, camel milk is widely consumed in West Asia.
|Thai Egg Board agrees to price lifting measures|
[19 March 2015] Thailand’s Egg Board agreed yesterday that release of surplus eggs from the system and early removal of spent hens are two urgent measures to tackle the current low egg price problem. Deputy Secretary General of the Ministry of Agriculture and Cooperatives Wimol Jantrarotai said disposal of the egg surplus will be done via direct sale to consumers and exports and farmers will receive compensation of THB0.50 for each egg released. Farmers will receive compensation of THB 40 for early removal of each spent hen (1 USD = THB32.7). These measures are expected to reduce the oversupply by 1 million eggs per day. The Egg Board has to seek for approval from the national committee on farmer aid and policy regarding funding of the project prior to implementation.
|Indonesia’s corn imports expected to drop to 2.5mt|
[19 March 2015] Indonesia’s corn imports are expected to drop to around 2.5 million tonnes this year, from 3.5 million tonnes in 2014, as higher domestic output relieves overseas purchases, traders said. “The domestic market expects to see imports start falling from April,” a trader said. He added that Indonesia had already imported 600,000 tonnes over January and February, and arrivals by the end of March would hit 960,000 tonnes, or close to 1 million tonnes. The country is likely to harvest 9.7 million tonnes of corn in 2015, up from 9 million tonnes a year ago.
|Haryana government bans cow slaughter, beef sale|
[19 March 2015] Haryana government in India has passed a bill banning cow slaughter and sale of beef in the state. Anyone found guilty of cow slaughter or export of cows for the purpose of slaughter or sale of beef will face imprisonment of up to 10 years along with fines of up to USD 1600. The government will establish laboratories for differentiation of beef from meat of other animals. The new law will promote conservation and development of indigenous breeds of cows and establish institutions to keep, maintain and take care of the infirm, injured, stray and uneconomic cows.
|Taiwan to adopt closed farming to curb AI |
[19 March 2015] Taiwan’s Council of Agriculture has announced that it will be mandatory from September for poultry farms in Taiwan to raise birds in closed spaces in an effort to curb the spread of the Avian Influenza virus. Farms affected by the bird flu outbreak totals 860 across the country. The measure is being implemented to prevent poultry from coming into contact with migratory birds. The council will offer a six months grace period to farmers for them to comply; but a fine will be imposed after that. Soft loans at an interest rate of 1.5% will be given to farmers to support the construction of the enclosures.
|More countries to ban US poultry and eggs|
[19 March 2015] The US Poultry and Egg Export Council said it expects 30 to 40 countries to impose new trade restrictions on US poultry and eggs in the USD 5.7 billion export market. These include Mexico, the top US chicken importer, which already is blocking imports from Minnesota, Missouri and California due to bird flu. Previous cases of avian flu in other states triggered China and South Korea to impose bans, still in effect. Last year, they accounted for about USD 428.5 million in export sales of poultry meat and products, according to US Department of Agriculture data. Other countries have banned exports from only states or counties. Last week the government announced a case of bird flu in Arkansas, home of Tyson Foods Inc.
Singapore investor buys cattle station
[19 March 2015] Singaporean Bruce Cheung has bought Pilbara Cattle station in remote Western Australia for USD 10.31 million. The cattle station covers 198,000ha and includes 60km of coast between Port Hedland and Broome. It is stocked with about 6000 head of Santa Gertudis cattle, including 4776 breeders. Garland International’s John Garland, who handled the sale, said Mr Cheung wants to elevate the cattle stock to restaurant quality by infusing different breeds into the Santa Gertrudis cattle. Mr Garland said Western Australia was poised to capture the growing trade — noting free-trade agreements and negotiations with China, South Korea and Japan.
|NIR workshop limited to 20 participants|
[18 March 2015] A one-day workshop on Near Infrared Reflectance Spectroscopy (NIR) will be held in Ho Chi Minh City on Wednesday 8 April the day prior to the 2015 Pig Feed Quality Conference. This is to help pig feed producers utilise data to make decisions that can save money, and improve feed quality and animal performance. Presented by NIR expert, Ivan Ward (Agri-Torque Pty Ltd) it will be held in a modern computer lab and cover the challenges and opportunities of NIR. The workshop is limited to 20 participants. The cost of USD360 includes refreshments, lunch and workshop notes. Register your interest with Omthong Tjoa and Sutasinee Lake at email@example.com. Further information on Asian Agribiz's 2015 Pig Feed Quality Conference is available here.
|Broiler DOC surplus this year worse than last year|
[18 March 2015] Between February and March 16, the price of live birds in Indonesia has decreased to USD 1.02/kg while the production cost is around USD 1.32. Sigit Prabowo, Chairman of the National Poultry Farmers Association, said this indicates that the market is still experiencing an oversupply. He said broiler DOC production last week reached 64 million while the actual demand is only around 45-47 million. “The broiler DOC surplus this year is worse than last year. If the government is not serious about overcoming this problem, more independent farmers will have to exit the industry. In the beginning of last year there were around 120,000 independent farmers, but the number has dropped to 40,000,” he revealed.
|San Miguel Pure Foods boosts expansion overseas|
[18 March 2015] As it seeks expansion overseas, San Miguel Pure Foods Co Inc (SMPFCI), the Philippines’ leading food company, is looking to acquire food businesses including meat processing firms in neighbouring Southeast Asian countries. SMPFCI President Francisco Alejo III said the company is particularly looking at Indonesia and Vietnam, where it already has existing businesses. The company, which raised USD 338 million during its share sale last week, is eyeing about USD 180-225 million for its capital expenditure this year, part of which will be used for overseas acquisitions. Mr Alejo said they are hoping to finalise a deal in Vietnam within the year, although it may take a longer time for an Indonesian acquisition to materialise.
|Nebraska looks to Asia to sell beef|
[18 March 2015] Last year the US state of Nebraska exported more than USD 1 billion in beef. A recent trip to Southeast Asia by Greg Ibach, State Department of Agriculture Director, signals that the state is eyeing the region to grow its market. While Malaysia poses unique challenges such as strict guidelines on slaughtering and processing, Mr Ibach said the Philippines showed more opportunities. The market for Nebraska beef in the Philippines has exploded in the last five years, up from USD 1 million a year, to around USD 8 million. Mr Ibach said Japan, Hong Kong and South Korea have had significant beef import increases during the past six years and are countries where the state has conducted focused promotion activities. Besides muscle cuts, he noted export growth over the past six years for livers and tongues. “The sales increases for these products are important since there is not much value for them in the US,” he said.
|Price disagreement over buffalo meat exports to Russia|
[18 March 2015] Indian buffalo meat exports to Russia seem to be in a limbo as both parties cannot agree on prices, Russia’s Interfax news agency reported. Sergey Dankvert, Chief of Russia’s Federal Service for Veterinary and Phytosanitary Surveillance (Rosselkhoznadzor) was quoted as saying that there seems to be some internal disagreement over prices. “The prices quoted by India were higher than that of Brazil, although earlier they claimed that the price was the most attractive,” he had said. In December 2014, Rosselhoznadzor approved four Indian companies to supply buffalo meat to Russia. However, no deliveries to Russia have been made yet.
|AVA imposes import curbs on US poultry products|
[18 March 2015] Singapore’s Agri-Food and Veterinary Authority of Singapore (AVA) has suspended the import of ornamental birds, eggs, poultry and poultry products from Arkansas, California, Idaho, Minnesota, Missouri, Oregon and Washington due to bird flu outbreaks in these states. The AVA said only processed poultry products such as pasteurised eggs and canned chicken products, which have been heat treated to eliminate the bird flu virus, are excluded from the suspension. Before the suspension, imports from the US accounted for about 13% of Singapore’s total chicken supply.
|Thai layer farmers call for fair egg prices|
[17 March 2015] Thai layer farmers have urged the government to help with egg pricing as there is a wide gap between farm gate price and retail price. Mongkol Pipatsattayanuwong, President of the Association of Hen-Egg Farmers, Traders and Exporters, said this is putting pressure on farmers who are already suffering losses from low price due to declining consumption partly prompted by relatively higher retail price. “While farm gate price is between THB 1.8- 1.9 per egg, much lower than the production cost of THB 2.50, the retail price is still as high as THB 3/egg.” (1 USD=THB 32.6). Mr Monkol urged the government to set a fair retail price to improve consumption. Otherwise, he said, many layer farmers might not be able to maintain their business.
|Ban on beef expected to boost chicken sales in India|
[17 March 2015] With Maharashtra state in India banning beef and few other states set to toe the same line, chicken sales in some parts of India is set to pick up. Prasanna Pedgaonkar, Deputy General Manager of Venkateshwara Hatcheries said that since chicken is a direct alternative to beef, chicken consumption is set to increase in Maharashtra. It is expected that when other state governments in Haryana and Jharkhand ban beef in their respective states, it is set to result in an increase in chicken consumption at the national level.
|EQT mulls selling Classic Fine Foods|
[17 March 2015] European private-equity firm EQT is considering divesting Classic Fine Foods, a Singapore-based importer and distributor of luxury French cheeses and high-end meats. The deal valued at USD 300 million, joins a list of private-equity firms looking to exit investments in Asia in recent months. The Wall Street Journal reported that EQT acquired Classic Fine Foods in 2011 for an undisclosed sum. The private-equity firm has been approached by several parties interested in the company, people with knowledge of the process said. The company has yet to launch a formal sale process.
|Bird flu alert in Uttar Pradesh state|
[17 March 2015] India's Uttar Pradesh government has sounded a bird flu alert following the confirmation of an avian influenza outbreak in one of its districts. As many as 350 birds died recently in Chandgarh and Sare Ka Purwa in Amethi district. Laboratory tests confirmed the deaths were due to H5N1. Uttar Pradesh Chief Secretary Alok Ranjan has urged precautionary measures. The state is also battling swine flu.
Aquaculture outlook seminar in Jakarta, Indonesia
Reports by ARIEF FACHRUDIN
[17 March 2015]
Producing more but sustainably
Indonesia’s Minister of Fisheries and Marine Affairs, Susi Pudjiastuti, in her welcoming speech said that Indonesia has to be a dominant player in the world fisheries industry. “We plan to decrease capture fish by 10% each year, and increase aquaculture by the same figure each year,” Mrs Susi revealed, adding that more efforts are extended to fighting illegal fishing that is limiting fish supply to the local processing industry. Mrs Susi reminded stakeholders to consider sustainability. “I think we should re-evaluate the concept of monoculture or intensification. We have to learn from the case of shrimp intensification and early mortality syndrome (EMS) disease in Thailand and other countries. Polyculture is a solution for sustainable production.”
Fish export value of USD5.86b is achievable
Indonesia’s Ministry of Fisheries and Marine Affairs targets to export fish, including shrimp, worth USD 5.86 billion this year. The export value last year reached USD 4.63 billion with the US, EU, Canada and China being the main destinations. According to Thomas Darmawan, Chairman of the Fish Processors and Exporters Association (AP5I), the target is achievable since China, Thailand and Vietnam currently need shrimp for its processing industries, while their local production is still challenged by EMS. “However, the government has to actively help shrimp farmers to reactivate idle farms, especially in Lampung. This should be supported with good quality fry, adequate power supply and infrastructure,” said Mr Thomas.
Indonesia to benefit from shrimp supply shortage
Indonesia’s Shrimp Club (SCI) predicts that world shrimp supply this year will decrease by 20% as producing countries in Asia are still battling EMS. “This will cause the world shrimp price to escalate,” said Iwan Sutanto, SCI Chairman. Mr Iwan explained that Indonesia produced about 250,000 tonnes of shrimp last year (from semi intensive, intensive and integration farms). “This year we expect production to reach 315,000 tonnes,” said Mr Iwan. Shrimp fry production last year, meanwhile, reached 2 billion fries/month, and this year is expected to increase by 2.3 billion. “To leverage on this opportunity, farmers have to strengthen biosecurity, and use good quality fry and feed.”
Processed fish products gaining ground
Indonesia’s processed fish product export volume reached 5.2 million tonnes last year. This year the government targets to increase the volume by 5.6 million tonnes. AP5I Chairman Thomas Darmawan said demand for processed fish products for export and local markets is increasing. Sushi, tempura, breaded shrimp, nugget and surimi are in great demand. “Their success is due to innovative products and packaging,” said Mr Thomas. “The number of players in this segment is growing and they are investing in new cold storage facilities and product innovation."
Aqua feed consumption to reach 1.7 mt
Total aqua feed consumption in Indonesia last year reached 1.48 million tonnes, according to the Feed Millers Association (GPMT). Denny Indrajaya, GPMT Chairman for Aquaculture Division, said fish and shrimp feed consumption was 1.1 million and 390,000 tonnes respectively. Compared with 2013, fish feed consumption in 2014 was stagnant, while shrimp feed consumption increased by 30% due to an increase in demand for shrimp from international market. “This year we expect consumption of fish and shrimp feeds to reach 1.25 million and 468,000 tonnes respectively,” revealed Mr Denny. He added that the industry this year will still face currency depreciation and raw material price increases especially for fishmeal. To keep the price of fish and shrimp feeds reasonable, industry players should substitute fishmeal with meat bone meal, poultry meat meal, soybean meal and local fishmeal.
|The role of feed additives in pig production|
[16 March 2015] Maximising the value of feed ingredients is crucial to producing quality pig feeds and save on cost. One way to maximise the value of these ingredients, as well as improve the health, welfare and performance of pigs and positively impact product quality and the environment, is to use feed additives. At the Pig Feed Quality Conference (PigFQC) organised by Asian Agribiz, a session on feed additives will tackle topics including the use of creatine in pig production; porcine bone health and the incidence of osteochondrosis; the future of copper as a growth promoter in pigs; reproductive function of breeding gilts exposed to zearalenone and a mycotoxin deactivator; and feeding of egg immunoglobulins to supporting the immune system of piglets during the first weeks of life. The PigFQC is scheduled for April 9-10, at the New World Saigon Hotel in Ho Chi Minh City, Vietnam. More information and registration details are available here.
|Indonesia’s beef self-sufficiency push will drive up price|
[16 March 2015] Plans by Indonesia’s new President to make the nation self-sufficient in beef are showing signs of backfiring, with a major industry group warning that prices could soar by 50% in the next few months. “The government is obsessed about self-sufficiency,” said Thomas Sembiring, Executive Director of the Indonesian Meat Importers Association (Aspidi). Beef imports is around 12,000 tonnes so far in Q1, versus 170,000 tonnes for the whole of 2014. The live cattle quota for the same period is just 100,000 head compared with a total of 720,000 last year. “The live trade is not a switch on or off industry,” said Alison Penfold, Chief Executive at the Australian Livestock Exporters Council. “The uncertainty coupled with an increasing shortfall in cattle in Indonesia to meet domestic demand will no doubt impact consumers, particularly during Ramadan.”
|Haryana and Jharkhand set to ban sale of beef|
[16 March 2015] Close on the heels of Maharashtra in India banning beef recently, Haryana and Jharkhand states are set to ban the sale of beef. Animal Husbandry Minister of Haryana, O P Dhankar announced recently in Chandigarh that the state government will impose a complete ban on the sale of beef. “The law will be more stringent with a 10-year imprisonment for those found guilty of cow slaughter,” he said. In a similar development, Jharkhand Chief Minister Raghubar Das hinted that his government plans to follow Maharashtra in banning the sale of beef.
|McDonald’s to raise the bar with antimicrobial ban|
[16 March 2015] In the Global Vision for Antimicrobial Stewardship in Food Animals document, McDonald’s said it will ban antimicrobial drugs defined as ‘critically important’ to human medicine in its supply chain. The policy will be rolled out to its US suppliers over the next two years. Among the drugs are lipopeptides, oxazolidinones, glycopeptides, carbapenems, third or newer generation tetracyclines and fifth or newer generation cephalosporins. For classes of antimicrobial drugs identified as critically important to human medicine and approved for food animal use, its use in animal health care is “contingent on local regulations and veterinary authorisation” said the document. McDonald's however, encouraged producers to rely on husbandry practices, instead of antimicrobials to prevent disease in food animals.
|Indonesia to set up 58 fish cold storage units|
[16 March 2015] The Ministry of Fisheries and Marine Affairs plans to set up 58 fish cold storage units located close to fishing centres this year. Saut P Hutagalung, Director General of Fish Processing and Marketing, said the units will be set up in 34 regencies including North Maluku. “The cold storage units will be followed with the setting up of 38 ice plants and the procurement of 10 reefer trucks. This will cost around USD 18 million,” he said. Between 2009 and 2014, the ministry set up 70 cold storage units with different capacities starting from 100 to 1500 tonnes in different regions. Yugi Prayanto, Vice Chairman of the Indonesian Industry and Trade Chamber for Fisheries and Aquaculture, commented that the ministry’s initiative will attract local and foreign investments. “To complete the initiative, the government should also ensure the supply of power.”
|Smithfield asks judge to bar reference to Chinese ownership|
[16 March 2015] Smithfield Farms, which is fighting lawsuits over hog waste in the US, has asked a federal judge to forbid the plaintiffs to mention that Smithfield is owned by a Chinese company, WH Group. The suits, filed on behalf of several hundred residents of North Carolina, allege that the company’s hog waste lagoons are affecting health and property values. The plaintiffs also said Smithfield is owned by a Chinese company and controlled by a high-ranking Communist Party member, and is planning to expand operations to ship more pork to China. In their filing, Smithfield’s lawyers said the farms have been in production for many years and the fact that the company is now Chinese-owned is irrelevant to the nuisance dispute. Smithfield’s lawyers say the plaintiffs are only emphasising the China angle in order to “inflame nationalist prejudices” among potential jurors in the case. The Smithfield request was filed in January, and the Centre for Investigative Reporting posted a story on its website last week.
VIV Asia 2015, Bangkok Thailand, March 11-13
Onsite reports by the ASIAN AGRIBIZ team
[13 March 2015]
MeatTech 2015 shows participants the potential in automation
Food processing plants today are more than stainless steel machines and conveyor belts. Participants at the two-hour MeatTech Asia 2015, organised by Asian Agribiz at VIV Asia in Bangkok, were shown the latest in processing and packaging technology to increase yield, promote food safety and reduce labour. Presenter Berry Klerks from MPS Red Meat Slaughtering introduced robotic arms to accomplish labour intensive, precision and repetitive tasks such as cutting open pig carcasses. Marco Kreienborg from Poly-clip System said the company wants to work with producers to find solutions in the packaging line. Silva Kumar from Provisur Technologies Inc said food producers in the region are adopting automated processes because of the shrinking pool of human and natural resources. Hugo Dissing from Linco Food Systems showed participants how carbon dioxide stunning saves time, reduces bruising, damage and miss-cuts. Jeroen Bohm from Meyn Food Processing said automation at plants are modular systems allowing processors to basic and simple designs that can develop with the growth of a company.
Danish Farm Concept brings pig production success to Asian producers
Danish producers are known globally for good pig production, averaging 30 pigs per sow per year. This success is based on a production model that includes modern farm design, efficient pig farm technology, Danish genetics, nutrition program, sustainable solution and training and management. A group of Danish companies working together launched at VIV Asia 2015 the Danish Farm Concept, a company and brand name that represents the entire Danish pig production model. These companies include Hamlet Protein, Danbred International, Vissing Agro, Danish Farm Design and Dalum Landbrugsskole. Working together with Skov A/S, a leading producer of climate control, these companies now market the Danish Farm Concept throughout the world.
FPT-installed warehousing system to be ready in June
Food Process Technology Co Ltd’s (FPT) second installation of a fully automatic warehouse logistics system in Thailand will be ready in June this year. The system, built similar to European standards for a large sausage maker in the country, will feature radio-frequency identification, or RFID, that stores data in microchips to identify and track fresh and frozen meat from the time it is received at the processing plant right up to when the products are sent out to retailers, Axel Arras, Managing Director, told Asian Agribiz. Data is keyed into the RFID tags on the blue boxes holding the raw materials. “The system will be the most advanced warehouse system for food processing in the region. It is fast and promotes food safety,” he said adding that FPT has also installed a similar system for a food processor in China.
Biomin unveils fifth generation of Mycofix
International feed additives company Biomin unveiled Mycofix 5.0, a fully reformulated, all-in-one mycotoxin risk management solution for livestock. The fifth evolution of Mycofix product line uses three modes of action namely biotransformation, adsorption and bioprotection to deliver absolute protection against mycotoxins. In addition, the company yesterday staged the second edition of its ‘Mycotoxins in Focus: Trends, Facts, and Effects’ conference. Dr Shu Guan, Technical Manager for Mycotoxin Management, said serious strategies are needed to counteract multiple mycotoxins that are commonly found in individual material. “Mycotoxin profile varies among regions and its contamination level fluctuates and it is hard to predict,” he said.
Petersime introduces two new incubators
Belgium-based Petersime introduced two new incubators to meet the demand for high density and fertility restoration. BioStreamer HD is a single-stage incubator that was designed to reduce the investment cost of a hatchery project and is engineered for higher capacity. Rudy Verhelst, Marketing Manager, explained that the honeycomb structured setter tray of the incubator allows setting 12% more eggs on the same surface while keeping the airflow between the eggs optimal. BioStreamer Re-Store, meanwhile, is a dedicated incubator for fertility restoration of stored eggs. This incubator warms up the eggs for short periods of time during storage, restoring a significant part of the hatch decrease.
Kohshin launches slat cleaner
Japan-based livestock equipment supplier Kohshin Engineering launched a semi-automatic slat cleaner for poultry cages. Kotone Asano from the Overseas Section of the Sales Division, said the slat cleaner is compact and portable and is designed for time and cost savings. Its weight is only 180kg and has a conveyor with a speed range of 30-100 mm/sec. Ms Asano added that the company took the opportunity at the show to promote its composters and robot washer that are gaining ground in Asia.
Kemin builds ruminant portfolio
Kemin Industries in Asia is building a dedicated team to service the ruminant sector in Asia and with a view to be a partner in its progress. Its new feed technology unit focuses on quality, efficiency and safety of feed with a target to improve milk production and the quality and yield of meat in ruminants.
Orvia to market Pekin duck variety in Asia
France based Orvia specialising in genetic selection of ducks has planned to aggressively market its Pekin duck variety in Asia. Vincent Baumier, Export Sales Director of Orvia told Asian Agribiz that the Pekin duck variety is more suitable for Asian countries because it is economic and efficient. “Our focus is to develop and sell GGP and GP of this variety in Asia particularly in South East Asian countries,” he said. According to him, they are already a major player in Europe with around 75-80% market share and is hopeful of extending their reach in Asia.
Pericoli promotes complete ventilation system
Pericoli showcased its new products at VIV Asia. “Our presence in the Asia Pacific region is important,” Director Enrico Viscardi told Asian Agribiz. New fans including ACF26 that increases air flow by 10% and consume 5% less energy and the premium EWD 37 exhaust fan for multiple applications with innovative shutter opening mechanism were among the highlights. “We distribute not only the components but complete systems that help livestock operators improve farming efficiency,” Mr Viscardi said.
Pancosma introduces TakTik
Pancosma has been promoting TakTik, an innovative synergistic solution for young animals. It has multiple actions on gut health and efficiency and promotes glucose absorption, increases gut defences and acts on the animal’s epithelial structure by stimulating intestinal development. Together this results in better feed intake, improved gut defence, good weight gain and lower FCR.
Symaga to expand into Indonesia and Thailand
Symaga which manufactures steel silos is looking to expand its market to Indonesia and Thailand. Raul Perez, Area Sales Manager of the silos division told Asian Agribiz that there is huge potential for feed storage in Indonesia and rice storage in Thailand. “We are looking to tap this and expand considerably in these markets in the next five years,” he said. Silos manufactured by Symaga are widely used in the poultry and swine industry. According to him, Symaga offers customised silos and guarantees that it can handle any project.
VIV Asia 2015, Bangkok Thailand, March 11-13
Onsite reports by the ASIAN AGRIBIZ team
[12 March 2015]
MeatTech Asia 2015 - Automation Rules
At MeatTech Asia 2015 this morning, organised by Asian Agribiz, a group of processing equipment manufacturers will discuss how their systems and products are helping slaughterhouse operators and meat processors improve quality, efficiency, to speed up processing, manage food safety and reduce costs in terms of manpower, floor space and energy.
Presentations will include:
• 'Advances in automation to further increase profitability in poultry deboning' by Jeroen Bohm, Product Manager Deboning Solutions, Meyn Food Processing BV, Netherlands
• 'Automating the Food Industry since 1919' by Hugo Dissing, International Sales Director, Linco Food Systems A/S (Member of the Baader Group), Denmark
• 'Adapting automated processes are a must' by Silva Kumar, Engineered Systems and Service Manager, Provisur Technologies Inc, Bangkok, Thailand
• ‘RMS Slaughtering automation’ by Berry Klerks, Area Sales Manager, MPS Red Meat Slaughtering BV, Netherlands
• 'State of the art and most efficient handling, packaging, and clipping of fresh poultry products' by Mr Marco Kreienborg, Product Manager - Packaging, Clipping, and Automation Poultry Division, Poly-clip System GmbH & Co KG, Germany
• 'Latest and most advanced fully automatic fresh meat/poultry warehouse systems, further meat preparation, and sausage production' by Mr Axel Arras, Managing Director, FPT Food Process Technology Co Ltd, Thailand
• 'An introduction to Active & Intelligent Packaging Solutions for Meat, Fish & Poultry' by Andrew Manly, Communication Director AIPIA, Thailand
Join us at Room 222 from 11am – 1pm. Admission is free.
XVET introduces fatty acid product
German-based XVET introduced its short and medium chain fatty acids product NovoVital at the show. The product is effective against certain enteric bacteria, some stages of protozoa, fungi and some fat-enveloped viruses that are common in animal production. The product also supports intestinal integrity and increases feed efficiency. Katerina Todoroska from the sales and marketing Department said that the product is stable and non-corrosive. It is available in liquid and dry form for use in poultry, ruminants and swine. In addition, the company also introduced its two botanical products namely GarVit Pro and OregoPlus as alternatives to antibiotics.
Norel promotes five key product lines
Spain-based feed additives company Norel promoted its five key product lines namely probiotic, sodium butyrate, flavour, rumen enhancer and organic minerals. Juan José Mallo, Technical and Commercial Director, said that the five product lines are classified into non-medicated feed additives. The company focuses more on these kinds of products since it believes that sooner or later the use of antibiotics in Asia will be prohibited. “And our company is concerned about food safety and traceability,” Mr Mallo added. The five product lines are sold under the brands of Ecobiol, Gustor, Fluidarom, Rumalato and Biomet and Glymet, respectively.
Darling promotes specialty products
Darling Ingredients that was established by the largest American and European rendering companies took the opportunity at the show to introduce its company and products. Geert van der Velden, Sales Manager of Sonac, part of Darling Ingredients group, said: “At this show we are promoting our specialty products which consist of spray-dried products, hydrolised products, and products with special benefits like to increase palatability and gut health and to reduce antibiotics use. In addition, we are also promoting an alternative source of cholesterol and plasma proteins.” According to Mr van der Velden, the Asian poultry, pig and aqua feed markets are growing significantly, “so it’s important to intensively promote our specialty products besides supplying commodities like MBM and fats to the markets.”
Enzymes to reduce dependence on feed antibiotics
Consumers in Asia are concerned about the use of antibiotics in food animals. Countries such as South Korea have banned the substance. “The use of antibiotics on farms will not go away even after AGPs are removed however feed additives such as enzymes based on their role in improving gut environment can be used to reduce dependence on feed antibiotics,” said Dr Ajay Awati, Global Product Manager for Enzymes at the animal nutrition division of DuPont Industrial Biosciences. Dr Awati in a presentation said enzymes such as carbohydrases can help reduce microflora overgrowth and activity in the small intestines and help better microbial fermentation in the large intestines. Enzyme combinations such as xylanase, amylase and protease, when used in combination with other additives such as essential oils and probiotics can produce a synergistic performance response and improve gut microbial environment. These effects of enzyme applications will play a vital role in transition towards reduced AGP use in animal production.
Sanovo innovates for small players
Small layer farms in Asia are growing in capacity. The younger generation wants to take the family business one step further by grading eggs. Sanovo Technology Group has the right solution. At VIV Asia 2015 the company is promoting its 4-grade Staalkat Farmgrader 80, a compact machine that is easy to clean, and not noisy. “Because it is compact it can even be placed in the hen house,” said Chew Yee Fat, Group Technical Support Manager. “It is ideal for farms that supply directly to food chains where only a certain weight is required. Weight classes are programmable with a touch screen,” he said. The machine can process 80 trays or up to 28,000 eggs per hour. Mr Chew said the new concept was originally used in the hatchery. Sanovo also showcased a newly-designed egg breaker for the Asian market, capable of processing 21,800 eggs per hour.
Impex Barneveld automates flushing drinking lines
Clean water is essential for healthy poultry but flushing the drinking line is tedious work and farmers do not flush them as often as they should. Impex Barneveld’s new flushing control, called the I-Control, makes the task an easy one. A computer setting can determine how many times the drinking line should be flushed, the amount of water used, and at what temperature. “The I-Control has standard programs to flush broiler and layer houses,” said Olaf van Steenis, Area Manager. “An additional feature is the option to flush and fill all the drinking lines at once. This is ideal for adding vitamins, medicines and vaccinations to the drinking water as the first and the last nipple of the drinking line will maintain the same amount of concentration,” he said.
Anitox trains eyes on Asia with new appointments
US-based Anitox is focused on microbes control in animal feed and promoting feedmilling efficiency. Besides these areas the company also looks into raising pet food standards and has a foot in the biofuel industry. “In a world where drug resistance is a major concern, our role is to reduce dependency on antibiotics,” said Richard Chong, Commercial Director for Asia Pacific. He said the company is expanding its team in Asia. By mid-2015 its new Indonesian office will be opened. The company recently introduced Rika Dachni Riantika as its Indonesian Country Manager, Ratchai Leethochawalit as its Regional Technical Sales Manager for Indochina, Daru Mukarta as Account Service and Installations Manager, and Gino Lorenzoni as Technical Services Director. According to Dr Chong, Asia has been placed as a key area of focus for the group after its restructuring in January 2014.
Roxell launches CoMeo
Roxell launched CoMeo, a new feeder for broilers at VIV Asia 2015. CoMeo is a new solution that gives birds’ easier access to feed from day 1 to harvest. Ben Dehaeck, Roxell’s Product Manager-Broilers, explained to Asian Agribiz that among CoMeo’s advantages is its shape that prevents birds from staying inside the pan, giving all birds full access to the feed at all times and maximising feed intake. Because the birds do not stay in the pan, do not scratch and spill the feed so feed wastage is minimised. The CoMeo, which can be used on both slatted floors or in broiler cages, is also easy to clean and maintain.
Delacon introduces Biostrong Forte in Asia
Delacon introduced Biostrong Forte to its Asian customers at VIV Asia 2015 in Bangkok yesterday. Delacon CEO Markus Dedl told Asian Agribiz that Biostrong Forte combines the beneficial effects of its phytogenic product with short and medium chain fatty acids. Biostrong Forte not only increase nutrient digestibility, improves feed efficiency and reduces noxious gas emission, but also controls and reduces common critical intestinal health challenge periods in the bird’s life. This leads to improved intestinal health, lower mortality and overall better performance of the birds.
Grimaud Freres genetic trial shows promising results
Grimaud Freres Selection promoted its broiler STAR 53 duck at VIV Asia and revealed a new scientific test that evaluates the best genetic expression of the breed. The test, in collaboration with Thailand’s Kasetsart University and one of Grimaud's client's Duck King Co, with a different kind of feed formulated with DSM nutritional products, was been completed at the beginning of 2015 and offered positive results, Yann Le Pottier told Asian Agribiz. The test shows positive rearing performance, with live weight at 3.54 kg at 45 days of age, average body weight gain of 77.53g/day and FCR improvement of up to 1.82. “This better performance makes duck a more competitive meat,” Mr Le Pottier said.
Nuscience Group to focus on marketing Aromabiotic products
Belgium based Nuscience Group will focus on marketing its Aromabiotic range of products in Asia. Katrien Deschepper, Chief Operating Officer of Nuscience Group told Asian Agribiz that the Aromabiotic range of products is available separately for poultry and pigs. “This is a carefully balanced mixture of medium chain fatty acids (MCFA) with unique antimicrobial, physiological and immunological properties,” she said. According to her, industry players in Asia have started showing interest in reducing antibiotics.
Innovad to expand its research team
Animal feed additives manufacturer Innovad is expanding its research team at its headquarters in Belgium. “Our Escent and Escent L products are extremely popular in Asia and we are planning to bring in more technologies to our existing market,” Ben Letor, Director, Innovad told Asian Agribiz. Adding that the Escent range of products supports the liver and kidneys of the animals, he said that they are among only a few feed additives manufacturer to provide feed additives in liquid as well as dry form. “Our market penetration in Malaysia is good and we plan to make inroads into other markets in Asia,” Mr Ben Letor added.
Importance of feed enzymes, selenium and methionine
The technical seminar ‘Shaping nutrition for tomorrow’ organised by Adisseo discussed the importance of feed enzymes, selenium and methionine. Dr Pierre-Andre Geraert, Director, Innovation Marketing for Adisseo explained about the function of feed enzymes. “Feed enzymes reduce gut inflammation in poultry and has a significant effect on gut function,” he said. According to him, quality evaluation of raw materials will help to better value enzymes in feed formulation. Dr Kevin Liu, Vice President of Adisseo Acia Pacific did a presentation on new research about methionine and its impact.
VIV Asia 2015, Bangkok Thailand, March 11-13
Onsite reports by the ASIAN AGRIBIZ team
[11 March 2015]
VIV Asia 2015 opens in Bangkok
VIV Asia 2015 opens in Bangkok, Thailand today and will end on March 13. The show at BITEC features an additional temporary structure next to the permanent halls at the showground to accommodate more exhibitors. The show traditionally known for promoting the production and processing of poultry, pork, meat and eggs also has additional components like Aquatic Asia and DairyTech conferences and pavilion areas arranged for the aquaculture and milk businesses. The show will open each day from 10am to 6pm.
Asian Agribiz hosts MeatTech Asia 2015
The growing demand for animal protein has registered affirmatively for equipment suppliers. Their systems are helping slaughterhouse operators and meat processors improve efficiency, to speed up processing, manage food safety and reduce costs in terms of manpower, floor space and energy. Asian Agribiz and its partners in the meat processing industry will offer information and insights into how modern processors can comply with and improve food safety standards with the use of modern processing systems at MeatTech Asia 2015 on March 12 from 11am – 1pm at Room 222, BITEC.
Utilising farm optimally means good management of pigs
For many pig producers, productivity is measured by the number of pigs produced per sow per year, but Niels Thing, Production Manager at Engholm/Krogsgaard, a 1200 sow herd in Denmark producing 42,000 piglets annually, said that this does not necessarily mean that the farm facility is being utilised optimally. At the ‘State of the Art in Swine Production’ Summit organised by Ceva Animal Health Asia in Bangkok yesterday, Mr Thing said the aim is to control and improve numbers and quality of pigs produced in every batch and to have a good production flow. One way this can be done is by using Altresyn, which suppresses oestrus and allows farm managers to schedule reproduction. This leads to optimised productivity and improved pig flow and better performance. He reiterated however that Altresyn is only a valuable tool only if it is used properly.
Ceva layer summit discusses ventilation, respiratory disease management
Ceva Animal Health Asia's ‘State of the Art in Layer Production Summit’ held in Bangkok yesterday ahead of VIV Asia 2015, addressed ventilation techniques that leads to the uniformity of the layer flock. Proper insulation and a proper air inlet system are recommended. Guidance on the technique was presented by Michael Czarick III from the University of Georgia. “With proper ventilation, moisture in the layer house can be controlled and that will promote a uniform environment which in turn will result in a uniform flock,” he said. Dr Marcelo Paniago of Ceva also addressed vaccination strategies as part of respiratory disease management.
Asia an important region for DSM
Asia is an important region for the growth of DSM Nutritional Products’ business. “We see Asia as an important market. We look forward to our growth in the region as the population, livestock industry and demand for animal protein continues to increase,” Mark Stock, President for Animal Nutrition & Health, told Asian Agribiz. To support the growth, the company recently opened a representative office in Bangladesh and has plans for more representative offices across Asia. “The representative offices will draw us closer to our customers, support their needs and offer solutions,” Mr Stock said. DSM recently opened an animal nutrition centre in China and plans to expand its work with universities. It also has plans for additional lines at its existing premix plants such as in the Philippines and to set up new plants in emerging Asian markets.
DSM discusses broiler performance, uniformity
Performance and uniformity are important challenges in broiler production. This topic was discussed yesterday at the DSM Nutritional Products technical forum in Bangkok, Thailand. Prof John Brake from the Prestage Department of Poultry Science, NS State University of the US, addressed an integrated management approach to improve broiler performance. He said that a study demonstrated that maintaining feed increases and body weight gain of broiler breeder males increases fertility and broiler performance. Dr Pim Langhout, DSM Director of Nutrition ANH Europe, said first week performance is important in modern fast growing broilers, so early access to feed is key. Fernando Cisneros, DSM Global Category Manager – Carotenoids, meanwhile spoke about benefits of Carophyll in strengthening vitelline membrane, increasing hatchability, fertility and egg production, and reducing early embryonic mortality. Two DSM Regional Technical Managers, Dr Rider Perez and Dr Salim Bootwalla, spoke about how to maximise amino acid from feed ingredients in broiler diets and effect of Ronozyme ProAct on amino acid digestibility in regional feed ingredients in broilers, respectively.
Victam Asia to return to Bangkok in 2016
Victam Asia will return to Bangkok, Thailand from March 29-31, 2016 at BITEC. Henk van de Bunt, Victam International BV General Manager, said yesterday during a press conference in Bangkok that the show will exhibit equipment, technology and ancillary systems required for the safe and effective production of feeds for livestock and aqua species, dry pet food and biomass pellet production. The show is co-located with Grapas Asia 2016 (a trade show for grain processing and storage) and FIAAP Asia 2016 (a trade show for feed ingredients, additives and formulation). Pornsil Patchrintanakul, President of the Thai Feed Mills Association, said that the association fully supports the shows since it will help improve the feed industry in the region with new advanced technology and solutions.
VIV Asia 2015, Bangkok Thailand, March 11-13
[10 March 2015]
Ag companies pitch technology to media
Twenty-eight companies and agricultural organisations pitched their latest technologies and products at VIV Asia 2015’s Meet the Press event in Bangkok yesterday. The companies made short pitches to reporters and photographers representing both local and international media, including Asian Agribiz. Companies in the feed, animal husbandry and processing sectors all took part in the presentations, which were followed by round-robin interviews with the assembled members of the press. The event took place at the Fahrenheit restaurant at the Bangkok International Trade and Exhibition Centre (BITEC), where the three-day VIV Asia 2015 trade fair kicks off on Wednesday.
IEC addresses egg branding and layer management at forum in Bangkok
More than 80 egg industry participants gathered at the two-day ‘IEC Asia leadership Forum’ which started yesterday in Bangkok. Organised by the International Egg Commission to discuss driving growth in egg consumption and improvement in layer management, ‘branding’ was the topic addressed with Han Zhaopeng from DQY, a market leader in China. He shared their experience with marketing eggs in China through branding. Andrew Joret from Noble Foods (UK) presented a case study. “Branding is not just labelling…you have to distinguish for consumers to buy your products,” said Mr Joret. Jan Dirk van der Klis from Delacon spoke about heat stress and the effect on layer performance while Dr Dough Grieve from Hy-Line addressed maximising productivity.
• Ceva Animal Health – Broiler, Layer and Swine seminars at Centara Grand Hotel at Central World, World Ballroom, starting at 0900 hrs.
• DSM Nutritional Products – Seminar titled ‘Broiler performance & uniformity’ at JW Marriot Hotel @ 1500hrs.
• Elanco – the ‘New Elanco’ launch party @ The Okura Prestige Bangkok starting at 1730hrs
• FIAAP, VICTAM & GRAPAS Asia 2016 – Press Conference @ JW Marriot Hotel @ 1500 hrs
• Progressus, Kasetsart University, Agentis Innovations and AgJobs Asia - Dinner @ Royal Dragon Restaurant @ 1800 hrs.
|CPF feed labs receive global standard certification|
[10 March 2015] Three feed laboratories of Charoen Pokphand Foods Pcl (CPF) in Ratchaburi,Hat Yai and Phitsanulok have received the ISO/IEC 17025 certification from the Ministry of Science and Technology of Thailand. Patthanee Leksrisompong, CPF’s Executive Vice President said the certification confirms the competence of the labs to carry out tests and calibrations, including sampling using Near Infrared Spectrometers (NIR) that analyses the quality of raw material and completed products as well as support research and development of CPF’s feed quality. “Modern, high quality and high accuracy labs allow us to produce high quality and safe feeds," she said.
|India to start exporting buffalo meat to Russia in May|
[10 March 2015] India’s buffalo meat exports to Russia is likely to start in 6-8 weeks, Santosh Sarangi, Chairman, Agricultural and Processed Food Products Export Development Authority said. Three months after formal approval to import buffalo meat, Russia’s veterinary and phytosanitary service Rosselkhoznadzor has appointed an inspector for India. The inspector will visit buffalo meat processing plants, packing houses and other stakeholders involved in meat exports. Until recently, Russia was among a number of countries which had banned import of meat and poultry products from India, due to an earlier foot and mouth disease outbreak.
|Brazil delays WTO filing on exports to Indonesia|
[10 March 2015] Brazil has delayed lodging its complaint to the WTO on the chicken export ban by Indonesia. Syukur Iwantoro, Director General of Livestock and Animal Health of Indonesia’s Ministry of Agriculture said: “Still we must remain prepared. Indonesia is in a strong position to ban the import of chicken carcasses and portioned cuts from Brazil. And we are sure to win if Brazil files a complaint.” According to him, Brazil has not been able to comply with the halal provisions required by the Indonesian Ulema Body, overall review and individual slaughter. Commenting on the same issue, Anton J Supit, Chairman of the Indonesian Poultry Companies Association said that this news will encourage farmers. “If Brazilian chicken is allowed into the Indonesian market, the price of local chicken will be disrupted.”
VIV Asia 2015, Bangkok Thailand, March 11-13
Asian Agribiz’s recommendations
[09 March 2015]
In conjunction with VIV Asia 2015, a number of events, conferences and seminars will take place in Bangkok, Thailand. On today are the International Egg Commission Conference at the Shangri-la Hotel and later in the day, the VIV Meet the Press event at Fahrenheit Restaurant, BITEC @ 1430 hrs.
On March 10:
• Ceva Animal Health – Broiler, Layer and Swine seminars at Centara Grand Hotel at Central World, World Ballroom, starting at 0900 hrs.
• DSM Nutritional Products – Seminar titled ‘Broiler performance & uniformity’ at JW Marriot Hotel @ 1500hrs.
• Elanco – the ‘New Elanco’ launch party @ The Okura Prestige Bangkok starting at 1730hrs
• FIAAP, VICTAM & GRAPAS Asia 2016 – Press Conference @ JW Marriot Hotel @ 1500 hrs
• Progressus, Kasetsart University, Agentis Innovations and AgJobs Asia - Dinner @ Royal Dragon Restaurant @ 1800 hrs.
|Pangasius exports make slow recovery|
[10 March 2015] Pangasius exports from Vietnam made USD 1.76 billion in profits last year, representing a slight year-on-year increase of 0.4%. The category also represented 22% of total seafood sales abroad, compared to 26% last year. According to statistics from the Vietnam Association of Seafood Exporters and Producers, exports to the European Union and the US, the two largest importers of pangasius, decreased from 22% in 2013 to 19% for each market. The decline in exports to the EU was due to lower import demand, stricter inspection on chemicals and antibiotics, and abundant supply of white meat fish like cod. In the case of the US, the decrease in pangasius exports was the result of the antidumping imposed on frozen pangasius fillet imported from Vietnam, which was double the preliminary result.
|CPF to buy CP Cambodia's business|
[09 March 2015] The board of Thai food giant Charoen Pokphand Foods (CPF) has approved plans to buy the poultry business of CP Cambodia (CPC). CPF, which wants to expand its business overseas, is looking to take its stake in CPC from 25% to 100%. The acquisition of the rest of the business will cost USD 87.88 million. Adirek Sripratak, President and CEO, said CPC is “a leading player in the Cambodian agro-industrial business”. CPC’s total revenue was approximately USD 256 million in 2014, with a net profit of USD 22.94 million. Most of CPC’s revenues were derived from its swine and poultry business, the Thai group noted. In a statement, Charoen Pokphand Foods said, “The acquisition of CPC will enhance CPF’s position as a leading agro-industrial business operator in Indochina market which has strong growth potential."
|Staving off heat stress|
[09 March 2015] Countries in Southeast Asia can expect dry weather and rising temperatures until April due to the equinox at the end of March. Farmers are encouraged to keep their poultry and livestock comfortable to avoid heat stress which can cause sudden death. Dr Lim Hang Chern, Techno Commercial Manager of RhoneMa Malaysia, said when it's hot, birds reduce their feed intake and this can lead to slower growth. He advised farmers to increase the fat content in feed. “In this way the digestion process will not generate too much heat compared to energy sourced from starch and protein,” he told Asian Agribiz. Dr Lim said the normal temperature range for poultry is between 40.6 - 43 degrees.
|Indonesia targets to produce 785,900t of shrimp|
[09 March 2015] Indonesia is aiming to be the largest shrimp producer in Asia. The Ministry of Fisheries and Marine Affairs has said that the production of shrimp (vannamei and black tiger) this year is targeted to reach 785,900 tonnes. Minister of Fisheries and Marine Affairs, Susi Pudjiastuti said to achieve the target the ministry will encourage farmers to reactivate idle farms and increase productivity at existing farms through the adoption of more advanced technology.
|US panel gives the thumbs up for eggs |
[09 March 2015] The US Dietary Guidelines Advisory Committee recently removed warnings about dietary cholesterol, saying there is no link to dangerous levels of blood cholesterol that cause disease. “I’m glad they published this news,” Tan Leng Yee, General Manager of Malaysia's Liang Kee Farming Sdn Bhd told Asian Agribiz. Although not many Malaysians are aware of the decision, and it could take some time to create awareness, he said the news will nevertheless help the company in promoting egg consumption. After reviewing scores of studies that showed no correlation between dietary cholesterol and serum cholesterol, or ‘bad’ cholesterol present in the blood, the committee said that cholesterol was not ‘a nutrient of concern for overconsumption’, it wrote in a report.
|Fast Food Indonesia eyes 16% growth |
[09 March 2015] Fast Food Indonesia, the operator of KFC, is targeting an income of USD 383 million this year, an increase of 16% from the previous year. For the first quarter the company expects a 7-10% increase, over last year's USD 74.6 million. To achieve this, it will launch new menus. Early this year it launched Red Hot chicken that helped increase its January and February sales by 5%. Director Justinus Dalimin Juwono revealed that KFC will launch a new menu again this March. The other strategy is to setup new outlets. “We are planning for 10-13 new outlets in Q1, in Jakarta, Bandung, Surabaya and other cities in East Java. Each outlet will cost us around USD 308,000,” Mr Justinus said. By the end of this year, the company targets to open 45 new outlets and 20 KFC Box (smaller outlets).
|Assessing quality of feed ingredients and finished feeds|
[06 March 2015] Using quality raw materials and having quality finished feeds are essential to ensure profitable and sustainable pig production. At Asian Agribiz's Pig Feed Quality Conference (PigFQC), a session on feed manufacturing will look at practical possibilities to assess the quality of feed ingredients and feed, and improved efficiencies to ensure pigs receive optimum nutrition to give the desired performance. Jon Ratcliff of Food & Agriculture Consultancy Services UK will talk about the latest in-line moisture system & SCADA technology. Steven Goh of Delst Asia will discuss the role of steam conditioning to feed pellet efficiency and feeding value. Ivan Ward of Agri-Torque Pty Ltd will present about the role of NIRS in moisture management in feed, while Marnix De Schryver of Aveve Veevoeding will discuss NIRS as a tool for quality management in feed production. The PigFQC, annually organised by Asian Agribiz, will be held from April 9-10 in Ho Chi Minh City, Vietnam. For further details and to register, click here.
|High inventory of frozen pork affecting local demand|
[06 March 2015] Frozen imported pork is making its way into wet markets around the Philippines again, bringing down demand for local pork. Edwin Chen, President of the Pork Producers Federation of the Philippines told Asian Agribiz that the inventory of frozen imported pork has gone up following the release of the meat that was held back when the country was experiencing port congestion problems in the latter part of 2014. With the current slow demand, some meat traders are selling the released frozen pork at cheaper prices. However, Mr Chen said handling of these products has been unsanitary, since most wet markets are not equipped to handle frozen meat. Pork producers are calling on the National Meat Inspection Service and administrators of local markets to enforce frozen meat handling rules strictly to ensure that consumers get safe meat.
|S khonkaen eyes 15% growth in sales |
[06 March 2015] Thailand's S Khonkaen targets to achieve a sale growth of 15% in 2015 after generating a sales expansion of 11% in 2014. It achieved USD 69.02 million in sales in 2014, with a net profit of 3.43 million, or 21% higher than in 2013. Chief Executive Officer Charoen Rujirasopon revealed that the company will continue to focus on adding value to its processed pork products and promote its fast food chains Zabb Express and Yunnan Pork Leg restaurants. The company will expand its Yunnan Pork Leg outlet to 35 branches in Thailand from 22 at present. It also has two Yunnan Pork Leg outlets in Vientiane, Laos. S. Khonkaen has also start selling packed frozen Yunnan pork leg in supermarkets.
|Consumers unhappy over beef ban|
[06 March 2015] Consumers in Mumbai city, India have voiced their displeasure over the beef ban. Sidharath Sundar, a college professor from Mumbai told Asian Agribiz that the State has no right to intervene in the food habits of the people. “The government cannot dictate what we should eat, it is something personal,” he said. Social activists like M Krishnan also came down heavily against the beef ban saying that it is baseless to declare the sale and consumption of beef as a non-bailable offence. According to him, the beef ban has also shown the Maharashtra government in poor light among the international community.
|McDonald’s Indonesia to promote breakfast menu|
[06 March 2015] McDonald’s Indonesia plans to host a National Breakfast Day on March 9, from 6 am to 6 pm. At this event the company will distribute for free, 150,000 Egg McMuffin at its 148 outlets throughout Indonesia, except in Bali and Lombok. Through this event, the company aims to introduce its breakfast menu. Michael Hartono, Marketing & Communication Director, said: “The breakfast menu is a significant profit maker for our business. We have conducted similar events in previous years, and the response from our customers was positive.”
|Opposition party in Maharashtra welcomes beef ban|
[06 March 2015] The beef ban imposed in Maharashtra state in India is highly unlikely to be made into a political issue as the main opposition party has welcomed the move. Leader of the opposition Radhakrishna Vikhe Patil said the Indian National Congress welcomes the beef ban. “The bill has been pending for long,” he said. According to him, implementation of this law needs to be totally transparent and the ruling party should not use it as a political tool to gather support.
Global Food Safety Conference, Kuala Lumpur, Malaysia
Food Safety: a Shared Responsibility
Onsite reports by RACHAEL PHILIP & CONNY PEREIRA
[05 March 2015]
Over 900 delegates from 50 countries converged at Kuala Lumpur Convention Centre in Malaysia for GFSI’s Global Food Safety Conference, held for the first time in Asia. The three day event which started on March 3, is set to provide safer food to 7 billion consumers around the world. Under the theme “Food Safety: a Shared Responsibility”, this year’s Program addresses hot topics in the food industry from both global and regional (APAC) angles.
GSFI aims to grow in Asia
The Global Food Safety Initiative (GSFI) wants to expand its work beyond the US, Europe, China and Japan. “It’s a strategic move on our part to bring the event to Kuala Lumpur. Asia is a big market,” Véronique Discours-Buhot, GFSI Director told Asian Agribiz. The GFSI provides leadership and guidance on food safety management systems along the value chain. She said food safety is important even for small and medium-sized food companies in Asia that do not yet have plans to grow internationally. “It is important to let them know how they can build and improve on safety.” GFSI’s Guidance Document, launched in 2001 and available on its website, mygsfi.com, will be releasing its latest version by mid-2015.
Food safety, a shared responsibility
The many demands placed on both producers and retailers have fast changed food chains into food webs, said Cenk Gurol, Vice President AEON Co Ltd of Japan. “With longer value chains from farm to fork, we also see a wider threat of contamination. This drives the need for ‘shared responsibility’ in this growing arena of food safety,” he said.
Cargill pleased with the way it handled blue plastic crisis
Looking back at the blue plastic crisis which unfolded in January Michael Robach, Cargill’s Vice President of Corporate Food Safety, Quality and Regulatory, said he was pleased with the way the company performed. “Our response was appropriate. We were transparent. We conducted analysis at third party labs and cooperated with McDonald’s and the government,” he told Asian Agribiz. Despite announcing within one week that the material did not originate from its plant, he said the crisis offered Cargill the opportunity to improve on crisis communication and its production process.
Megatrends in food safety
Measuring demographic and consumption pattern changes will draw industry players to conclude that it is all happening in Asia. By 2050, per capita food consumption in Asia will grow by 128% said Craige Armitage, Global food safety and Quality Service Leader, PwC, New Zealand. “Seven of the 10 fastest growing economies are in Asia and by 2050, we will see a 72% increase in urban populations that will drive the demand for safe food,” he added.
Asean working towards harmonisation of standards
The 10-member Asean community has until now achieved tariff reductions and is now working towards harmonisation of food safety standards. This will take some time because of the wide gaps in levels of economic maturity of the member nations, commented HE Puspanathan Sundram, Managing Director of EAS Singapore. He added non-tariff barriers are also a concern and this is being addressed in the run-up to the Asean Economic Community at the end of 2015.
Proper farm management key to antibiotics-free fish farms
Confusing regulatory landscape is one reason for the misuse of antibiotics in farming, said Lisa Goche, Vice President, Best Aquaculture Practices Division of the Global Aquaculture Alliance. “Aquaculture is projected to increase by 62% by 2030,” she said adding that a concerted effort is needed to ensure that farmers are trained on the judicious use of antibiotics. Proper farm management and best manufacturing practices are key ways farmers can reduce their dependence on antibiotics. Strict biosecurity controls, proper feeding, close monitoring of water quality and zero or minimal water exchange are some steps farmers take for better farm management.
|Beef traders plan to seek legal recourse|
[05 March 2015] Aggrieved over the beef ban imposed in Maharashtra, beef traders in the state plan to seek legal recourse. “The beef ban will affect about 70% of our business and thousands of people connected with the trade will lose their livelihood,” Mohammed Akhtar, a beef trader in Mumbai told Asian Agribiz. According to him, the Mumbai Suburban Beef Traders' Association is likely to approach the court seeking legal recourse as the beef ban is unjustified. Mr Mohammed Akhtar said that the beef ban will severely affect rural economy and prices of other meat will sharply increase.
|Effects of beef ban felt in Goa|
[05 March 2015] Two days after the Maharashtra state government in India banned the slaughter of bovine animals except water buffaloes and the sale and consumption of beef, the meat is now in short supply in neighbouring Goa state. Goa Meat Sellers Association spokesperson Anwar Bepari said that this has come at a time when the only slaughter house in Goa is non-operational due to renovation. “Beef ban in Maharashtra state will only make things worse. Beef sellers across the state are expected to meet to discuss the shortage issue.
|Thailand’s Egg Board to meet on low price issue |
[05 March 2015] Thailand’s National Egg Board will meet on March 10 to consider measures to tackle the current low price issue. Farm gate price of mixed grade hen egg is at around THB 2.20 per egg (USD 0.068) at present, lower than production cost of THB 2.90/egg (USD 0.090). Many small farms even offer lower price than the average as to clear their supply. AT an earlier meeting with the Department of Livestock Development, layer farmer representatives agreed on proposed solutions such as reduction of PS to not exceed 500,000 birds from around 699,000 in 2014, exports of surplus by large egg producers by 3 million eggs per month, earlier removal of spent hens (at age 70 weeks), exports of extra PS and stocking of surplus eggs in cold store. All the proposed measures are expected to be carefully considered at the upcoming Egg Board meeting.
|Indonesia still the biggest Australian cattle importer|
[05 March 2015] Indonesia is still the biggest importer of live cattle from Australia, with a 63% increase in imports recorded in 2014. According to Meat and Livestock Australia export data, Indonesia had in 2014 imported 730,257 live cattle from Australia. The strong demand has become the main driver of growth for Australia’s live cattle exports, which has increased by 33% in 2014, amounting to 1.29 million live cattle exported. Meanwhile in 2014, Indonesia’s position as the biggest importer is far above Vietnam, the second biggest importer of live cattle from Australia. In 2014, Vietnam imported 181,542 live cattle from Australia.
|Costs bear upon smaller feedmillers |
[04 March 2015] Rising costs of and difficult access to raw materials are working against small and medium-scale commercial feedmillers as well as home-mixers in the Philippines. Miriam Alberto-Tempra, Vice-President of the Philippine Association of Animal Nutritionists, told Asian Agribiz that there is a growing number of commercial feed manufacturers in the country, many of whom are big operations. She said that while costs of some ingredients like soy and amino acids have softened, many smaller feed manufacturers, producing between 5000-20,000 bags/month, are still feeling the pinch and finding it difficult to compete with bigger commercial feedmillers. “The bigger feedmills can import raw materials tariff-free, so they are able to sell their feed cheaper,” commented Dr Tempra.
|GSI to open office, plant, warehouse in Indonesia|
[04 March 2015] GSI Asia, a subsidiary of AGCO Corp providing grain systems and structure, poultry and swine solutions, plans to set up an office, assembling plant and warehouse in Tangerang, Indonesia. Khenddro Low, Marketing Manager, told Asian Agribiz that the facilities are targeted for operation at the end of this year. The existence of the plant will make the prices of GSI’s products more competitive. The plant will assemble products like feeding, watering and nesting systems and also plastic slats. The warehouse, meanwhile, will strengthen the company’s services to customers in the country. “Our business in Indonesia continues to grow positively. This year we expect our business in Indonesia to grow at least 7-8%,” Mr Low said.
|Beef trade come to a halt in Maharashtra|
[04 March 2015] Indian President Pranab Mukherjee has signed the Maharashtra Animal Preservation (Amendment) Bill, 1995 which ban the slaughter of bulls as well as bullocks. The slaughter of cows was previously prohibited in the state under the Maharashtra Animal Preservation Act of 1976, reported the Indian Express. Beef traders claim the move will not only render thousands jobless, but will also drive up the cost of other meats in the state. Anyone found to be selling beef or in possession of it can be jailed for five years and fined USD 160.
|H9N2 infection in pigs and farmers in China|
[04 March 2015] Low rates of antibodies to H9N2 avian flu were found in pigs and workers at pig farms in Shandong province in eastern China. Chinese researchers were said to have collected 2,176 pig samples from 50 swine farms on which pigs had contact with wild birds, and they also collected blood samples from 287 workers on the farms and from 100 healthy controls in the province. Antibody titers of 40 or higher were considered seropositive for H7N9.By hemagglutination inhibition (HI) assay, 4.9% of the pigs were seropositive, compared with 3.9% by microneutralization (MN) assay. In the farm workers, 2.1% were positive via HI assay and 1.4% by MN assay. No H9N2 cases in the pigs and workers were detected, which indicates that asymptomatic infections likely exist, the authors noted.
|Beef prices in Indonesia skyrocketing |
[04 March 2015] The reduction of import permits for live cattle and the ban on importing secondary beef cuts and offal could prove disastrous. The price of beef across Indonesia’s traditional and modern markets is on the rise, surging to USD 11.54/kg in many regions. The Indonesian Beef Cattle Feedlotters Association is lobbying the government to issue 250,000 import permits for Australian cattle in Q2 and to allocate the permits as soon as possible, so cattle can get into the feedlotting system and be ready for Ramadhan, which starts on June 18. Thomas Sembiring, Chairman of the Indonesian Meat Importers Association, said the price of beef could reach beyond USD 11.54/kg, if nothing is done. “The government has calculated that most of the secondary cuts of beef could be supplied locally, but I doubt it. It’s still debatable if there’ll be enough beef for Ramadhan.”
|Brahim’s shareholders squash decision to buy Burger King|
[04 March 2015] Brahim’s Holdings Bhd has aborted plans to acquire the Burger King business in Malaysia and Singapore after its shareholders voted against the decision at an EGM. “The deal was rejected by more than 90% of shareholders by a show of hands,” said Brahim’s Executive Chairman Datuk Ibrahim Ahmad Badawi after the meeting. Shareholders were concerned that the Burger King business was loss-making but he added that Brahim’s had plans to turn it around in two years. Last November, Brahim’s announced its plan to acquire Burger King for USD 26.34 million and was to jointly carry out the purchase with businessman Datuk Ahmad Zaki Zahid in an 80:20 joint venture. An industry source said there was scepticism about the company's ability to raise funds for the acquisition.
|Lay Hong reports 500% increase in earnings for 3Q|
[03 March 2015] Lay Hong Bhd, the Malaysian poultry company that was a takeover target by QL Resources Bhd last year, reported a 500% increase in its earnings for the third quarter ended December 31, 2014. The company’s net profit rose 500% to USD 1.75 million, a sharp improvement from USD 0.29 million a year ago. Its revenue increased 21.3% to USD 49.10 million. Its integrated livestock farming segment revenue increased 24.12% on higher productivity and poultry product prices. “Chicken and egg prices have remained stable for the past nine months and is projected to remain at this level for the remaining three months of the financial year. Raw material prices are expected to remain stable due to adequate supply of corn and soybean. Given this outlook, the group will continue to perform satisfactorily in the remaining quarter,” it said in a filing to Bursa Malaysia.
|Call for Vietnam to step up beef cattle farming|
[03 March 2015] Vietnam should convert ineffective rice cultivation areas into grass fields for raising beef cattle, Le Ba Lich, Vietnam Animal Feed Association Chairman said. He said Vietnam imports about 200,000 head of cattle every year. There are only 45,000 ha of grass across the nation at present which is only able to feed 45,000 cattle, he added. Nguyen Dang Vang, Animal Livestock Association Chairman, said about 70 million tonnes of agricultural by-products like straw, bagasse, and corn stalk, which can be turned into animal feed, are produced annually. If each kg of beef needs 6-7 kg of fodder, the country can produce one million tonnes of beef using only 20 million tonnes of by-products.
|Pig processing unit starts operation in Nepal|
[03 March 2015] A pig processing unit, promoted by Fresh Hygienic Food Agro and Animal Farming has started operations in Banke district, Nepal. The USD 100,885 processing plant will supply 400kg meat/day to Kathmandu valley. “We have signed an agreement to purchase pigs from around 300 farmers of mid and far western regions,” Dipendra Kumar Joshi, Managing Director of the company said. According to him, the processing unit purchases pigs at around USD 2/kg and since a competitive price is offered, farmers need not search for other markets.
Sneak peek at Asian Poultry Magazine, March 2015
[03 March 2015]
Asia strengthens effort on disease control and food safety
The spread of several avian influenza virus strains in many Asian countries has put pressure on the poultry industry. The AI outbreaks have encouraged increased biosecurity while other diseases and food safety issues continue to pose challenges to the poultry sector in this region. NITSARA THONGRUNG and the ASIAN AGRIBIZ team offer an update and review resolutions as well as recommendations to sustain growth.
Kaona Poultry invests in technology
Kaona Poultry Co Ltd in Thailand is investing in technology, primarily to ensure the quality of its products. NITSARA THONGRUNG writes this will also improve work efficiency and offer a higher degree of traceability.
Aviagen India sees potential for export
Ever since Aviagen established its presence in South India in 2007, the company has grown and is now able to service the central and northern regions as well with its products. Paul Gittins tells S M ARUN that the potential for export is good and how important India is to Aviagen’s global strategic plan.
Strong foundation helps Phi Long progress
Getting the basics right -- such as quality feed, clean water and keeping the birds comfortable – has helped Vietnamese farmer Phi Long grow gradually and reap success from his farm. After opening a primary processing plant in December 2013, he now wants to open a further processing plant, RACHAEL PHILIP learns.
Biocatalysis – improves nutrient digestion
Clays are well-recognised for their layered structure and surface properties, making them able to bind polar mycotoxins. However, VIRGIL MEALLET explains that a unique combination of clay and seaweeds boosts enzyme activity through the action of biocatalysis, improving feed efficiency.
Mycotoxins – impact on infectious diseases
The incidence of mycotoxin contamination of feed is likely to increase with the increasing use of DDGS, which are particularly susceptible to this problem writes RADKA BORUTOVA. Mycotoxins can cause immunosuppression, increasing the risk of infectious diseases and reducing the effectiveness of vaccination programs.
The use of probiotics to reduce reproductive tract pathologies in free-range laying hens
Manipulation of bacterial communities by administration of probiotics can reduce the occurrence of reproductive tract pathologies and improve the health and performance of free-range chickens reports WAEL ABDELRAHMAN.
|Making the most of feed ingredients|
[02 March 2015] With feed accounting for the bulk of cost in pig production, pig producers have turned to alternative ingredients to meet nutritional requirements while reducing cost. At the Asian Agribiz Pig Feed Quality Conference to be held from April 9-10 at the New World Saigon Hotel in Ho Chi Minh City, Timothy Low, Regional Director (SE Asia) of the US Soybean Export Council will give participants an update on feed commodities. Dr Nattawut Rattanawanichroj, Assistant Professor, Faculty of Veterinary Medicine of Kasetsart University will discuss the use local ingredients. Dr Megan Edwards of A.C.E Livestock Consulting Pty Ltd will also give an overview on and the potential uses of legumes and canola in pig nutrition. The conference is widely recognised as one of Asia’s premier scientific forums for industry professionals to update their knowledge on pig nutrition. More details and register here.
|Beef traders to go on nationwide strike if harassment continues|
[02 March 2015] Beef traders in Mumbai, India have decided to launch a nationwide strike if harassment by Hindu religious outfits continues in the state, said President of the Bombay Suburban Beef Dealers Association Mohammed Ali Qureshi. Beef processing has resumed at many facilities in Mumbai and the situation has eased now. Ashakir Akbar, a beef trader in Mumbai said that the beef traders’ strike in Mumbai last week had affected prices of almost all meat items. “If we call a nationwide strike the impact will be huge and even the export business will be affected,” Mr Ashakir Akbar told Asian Agribiz.
|MPEDA set to achieve USD6b export revenue|
[02 March 2015] The Marine Products Export Development Authority (MPEDA) in India is confident of achieving USD 6 billion in export revenue during the 2014-15 financial year. Exports by the Central Government owned agency has already crossed USD 5 billion by January this year. N Ramesh, Director (Marketing) of MPEDA said recently that seafood exports were registering close to 20% rise annually. Major customers of MPEDA that import shrimp, fish and squid are USA, Southeast Asia, European Union and Japan.
Reports from the Indonesian Poultry Club, Jakarta
by ARIEF FACHRUDIN
[02 March 2015]
Indonesian poultry needs grand design
The oversupply of broiler DOC and live birds in 2014 which had generated losses of more than USD 544 million in the industry and last year’s chicken consumption that did not meet the target resulted from the absence of a grand design, according to Professor Muladno from the Faculty of Animal Science, Bogor Agricultural University. “The idea to create a grand design has been discussed many times, but no real action was taken.” The grand design of Indonesian poultry industry for the next 25 years has to be formulated as soon as possible. “And then who will do what, what are the targets and when are the deadlines should be clear,” he added.
Chicken will be basic commodity
Indonesia’s Ministry of Trade has prepared a regulation about chicken trade which will soon be discussed at the government level. Robert James Bintaryo, Director for Basic Commodities and Strategic Goods, said that in the regulation the government will make chicken one of the basic commodities in the country. In addition, there will be floor and ceiling prices for live birds, chicken and DOC. According to Mr Robert, this effort was taken to stabilise the price and prevent oversupply.
GPPU to check incubator capacity
The Indonesian Poultry Breeders Association (GPPU) plans to check the capacity at all hatchery facilities of its members this year. This follows the oversupply situation of broiler DOC in 2014 that led to severe losses. Krissantono, GPPU Chairman, said the checks are aimed at getting more valid data regarding the production numbers of broiler DOC. “With more valid data, over estimation of production can be prevented,” he said.
Exporting countries have to follow Indonesia’s halal rules
Responding efforts by Brazil and the US to export chicken to Indonesia, poultry associations in Indonesia realise that this is the consequence of free trade. An industry player told Asian Agribiz: “We are open to imports but the exporters have to follow rules in Indonesia.” Most important is that the products should be halal as 90% of Indonesia’s population is Muslim. He explained that the halal concept in Indonesia is different from countries in the UEA. He said that the slaughter procedure, the facility and the production processes should be certified by the Indonesian Ulama Council.
|Beef trade disrupted in Mumbai|
[27 February 2015] India's beef trade has been disrupted in Mumbai city as members of some Hindu religious outfits resorted to violence by confiscating the animals meant for slaughter from the beef traders. “We are into beef trading only after obtaining appropriate licences and permission but yet we are harassed by Hindu religious outfits as they are against this trade,” Ismail Ravuthar, a beef trader in Mumbai told Asian Agribiz. Following complaints from beef traders, Chief Minister of Maharashtra state Devendra Fadnavis has assured protection to beef traders in Mumbai who have been on strike for the past few days.
|Asean a strategic region for food safety|
[27 February 2015] The Global Food Safety Initiative (GFSI) will stage its flagship food safety event in Kuala Lumpur, Malaysia from March 3-5, after 13 successful editions in Europe and North America. Asean is a strategic region for food safety and GFSI hopes to communicate its objectives to a wider audience and engage them in its work through this event, which enables delegates to take the GFSI approach home with them and translate it into improved food safety in their business. Asian Agribiz is a media sponsor of the event.
|Rivals threaten Vietnam’s top pangasius exporter spot |
[27 February 2015] Vietnam could lose its pangasius export market share to other Asian nations, the VietNamNet Bridge reported. Competition from the Philippines and Indonesia is an emerging threat to Vietnam’s pangasius export industry, which has already been having to lower export prices to attract customers even as it faces unhealthy competition locally. Vietnam already competes with India, Thailand, Cambodia and Laos. Jamaica has also begun developing pangasius aquaculture, and Puerto Rico is considering the same. Future rivals could threaten Vietnam’s eminence as the globe’s biggest pangasius exporter unless the nation develops an effective development strategy, said Le Thanh Thuan, Chairman of Sao Mai Seafood Group, the news outlet reported.
Sneak peek into Asian Pork Magazine, March 2015
[27 February 2015]
Expansion, upgrades in store for industry
In the run up to the Asean Economic Community (AEC), pork industries in the region continue to prepare themselves for new opportunities and intense competition. Meanwhile, opportunities abound in China, where local supply is likely to fall below the market requirements. The ASIAN-AGRIBIZ team looks at the developments in these areas and what can be expected this year.
Bioceleng Farm eyes niche premium market
With a good quality ration and farming management that follows animal welfare practices, Bioceleng Farm is trying to produce quality pork for the premium market segment, writes ARIEF FACHRUDIN.
Hok Hieng stands out on cost effective farming
Thai-made western-style sausages are taking over supermarket shelves in Cambodia. They are known for their good price and quality products. Cambodian swine producer Hok Hieng too wants to focus on making good sausages. It starts on his farm with cost effective farming, General Manager Chan Sothea tells RACHAEL PHILIP.
Urinary Tract Infections in sows
Urinary Tract Infections (UTIs) are common bacterial infections in gestating sows, however, they are often underestimated, as with the majority of UTIs clinical signs are absent. AMICIE de QUATREBARBES and TEE CHIOU YAN report the results of a three farm survey in Malaysia that assessed the prevalence of UTIs, determined the causative agents and possible impacts on health status and performance.
Revisiting methionine in pig production
YVES MERCIER discusses the impact of better management of methionine supply, both level and source at specific growth stages for pigs.
A novel solution to tackle zearalenone
Mycotoxins are important contributors to economic losses in pig production, especially zearalenone as it has a negative impact on sow reproductive performance. The use of so-called mycotoxin binders has become a routine practice, as they prevent intestinal absorption of the toxins. This has led to the introduction of many different products on the market. However, they are not all equally effective and efficacy of many of them has not or inadequately been proven. Elke Schoeters and Koh Thong Jin describe a new and proven innovation in mycotoxin binders.
|Beef prices in Indonesia skyrocketing after import ban|
[26 February 2015] Indonesia’s ban on imports of secondary (beef) meat and offal has caused the price of beef in traditional and modern markets to rise. Thomas Sembiring, Chairman of the Indonesian Meat Importers Association, said the price of beef has escalated to USD 7.86/kg, and could go up to USD 11.79/kg. “This confirms that the government’s calculation on local beef supply is not accurate. Local beef supply is limited and cannot meet the increasing demand,” he said, adding that the government should lift the ban immediately. Syukur Iwantoro, Director General of Livestock and Animal Health of the Ministry of Agriculture, however pointed out that the problem is because the meat importers don’t want to buy local beef. “We have asked the Minister of Trade to issue a regulation that requires meat importers to buy local beef.”
|Vietnam exports USD 115m worth of pangasius to Mexico|
[26 February 2015] Vietnam’s export of pangasius to Mexico increased 17% last year to reach a value of USD 115.24 million, said the Vietnam Association of Seafood Exporters and Producers. The country is the fifth top importing market for Vietnamese pangasius. Frozen fillet exports to Mexico reported positive growth. Although averaging around USD 2.10/kg, prices were not higher than in 2013. Of frozen whitefish fillets, pangasius was the most imported item, followed by tilapia and Alaska pollock. The price of pangasius was relatively lower than tilapia. In terms of value, the EU held a 19.5% share of Vietnam’s pangasius exporting market, followed by the US (19%), Asean (7.7%) and Brazil (7%).
|Worsening Brazil-Indon ties may affect meat sector|
[26 February 2015] Brazilian President Dilma Rousseff has refused to accept the Indonesian ambassador-designate to Brazil Toto Riyanto’s credentials in apparent anger at the execution of a Brazilian drug convict in Central Java last month. This situation will aggravate the bilateral ties between the two countries. For Brazil, Indonesia is an important meat importer and Brazil is trying to export meat, especially chicken, to Indonesia. A poultry industry player told Asian Agribiz that if the diplomatic relations between the two countries worsens, this will affect trade relations, “even the joint venture between Brazil’s BRF and Indonesia’s Indofood may be reviewed.”
|China scraps Irish BSE-related ban|
[26 February 2015] Irish beef has been approved for export to China once again following the withdrawal of its BSE-related ban. The access will cover boneless beef from animals under 30 months of age. Simon Coveney, Irish Minister for Agriculture, Food and the Marine, welcomed the move. He said the overall Chinese beef opportunity was currently estimated at approximately six million tonnes and was expected to grow by a further one million tonnes over the next five years, driven by increasing affluence and the popularity of Western-style diets. “There is potential not only for beef offal, but increasingly for high-quality steak cuts and for traceable manufacturing beef for the expanding fast food sector,” he said.
|Taiwan relaxes by-product ban from US, Canada|
[26 February 2015] Taiwan is easing its 11-year-old import ban on offal and by-product sources from US and Canada-reared cattle over bovine spongiform encephalopathy concerns by re-classifying six types of beef by-products as ‘non-internal organs’. This clears the way for their import. The Taiwan Food and Drug Administration’s (TFDA) clarified that bone marrow, blood vessels, head meat, cheek meat, weasand and tallow were not banned. “This is a clarification only and not a lifting of our restrictions against US beef,” Pan Jhy-quan, Director of the TFDA Food Safety Division, told GlobalMeatNews. “The BSE-related ban against internal organs will continue and we are now simply pointing out that these six types may be imported,” he added.
|Global sheep meat production rising|
[26 February 2015] Global sheep meat production has been rising over the last three to four years having seen a gradual slide since 2007. Almost half of global production is found in Asia, Stuart Ashworth, Quality Meat Scotland’s head of economic services told the Agriculture and Horticulture Development Board Outlook 2015 conference in London recently. Meanwhile Ben Thomas, Meat and Livestock Australia’s Manager of Market Information, said Australia’s domestic lamb supply may remain stretched due to growing demand from China, Japan and Southeast Asia. Increasing wealth in developing markets and improved market access, particularly in China may cause local lamb supply to come under pressure, he said.
|Apfindo proposes import of 250,000 cattle for Q2|
[25 February 2015] Indonesia’s Beef Cattle Feedlotters Association (Apfindo) has proposed a feeder cattle import permit of 250,000 heads for this year’s second quarter to the government. Johny Liano, Apfindo Executive Director, said current stocks will not meet demand until July. “We have asked the government to give the permit as soon as possible, at the latest in mid-March, since the lot feeding process takes about 2-3 months.” In the first quarter, the government released an import permit for 100,000 heads of feeder cattle. This could only meet demand in Jabodetabek and North Sumatera. Demand in other regions, was met by local supply.
|No let-up in China's H7N9 cases |
[25 February 2015] Seven more human H7N9 avian influenza cases were reported in mainland China and Hong Kong on February 22 according to updates from Hong Kong's Centre for Health Protection (CHP) and media reports. A CHP press release as well as an article in the South China Morning Post said some experts are concerned that H3N2, the seasonal flu virus now circulating in China, could mix with the H7N9 virus and mutate. "The worst outcome could lead to human-to human transmission," said Dr Ho Pak-leung, a microbiologist at the University of Hong Kong.
|Indonesia’s GGL to integrate its cattle business|
[25 February 2015] Great Giant Livestock (GGL), a subsidiary of Indonesia's Gunung Sewu Group plans to integrate its business. Last year the company set up a cattle breeding farm in Lampung with a capacity of 1000 heads. The breeding stock consists of local and Brahman cross breeds. Last year also, the company bought a cattle station in the Northern Territory of Australia. At the moment its feedlot in Lampung has a capacity of 100,000 heads. This feedlot utilise pineapple and tapioca waste derived from other Gunung Sewu’s subsidiaries. Dayu Ariasintawati, Director of GGL, revealed to Asian Agribiz that in the next two or three years the company plans to set up a cattle slaughterhouse in Lampung with a capacity of 50-200 heads/day.
|Itoham aims to up stake in ANZCO Foods |
[25 February 2015] Japanese food company Itoham Foods Inc said it will increase its stake in ANZCO Foods Limited from 48.3% to 65% if its purchase offer is accepted by other leading shareholders and is approved by the Overseas Investment Office. Itoham, with Mitsubishi Corp as its largest shareholder, revealed plans to grow its business outside Japan by becoming “the most trusted manufacturer of processed meat in Asia”. Mitsubishi Corp has one of the world’s most extensive business networks with more than 200 offices in 90 countries. Food sales fall under the umbrella of Mitsubishi Corp’s Living Essentials Group, with over 28,000 employees and a strong focus on emerging markets, particularly in Asia, and especially China, Indonesia and India.
|Poultry industry urges tax-free imports of machinery|
[25 February 2015] Pakistan’s poultry industry has called for tax-free imports of machinery and loans, similar to that extended to the textile industry by the government. In a statement, former Chairman of Pakistan Poultry Association Abdul Basit said if the poultry industry is accorded this, it could target a major share of USD 3 trillion halal food trade globally. He added that the government should allow loans at a 2% mark-up for the poultry industry to enable it to produce more for export.
|Animal feed testing market to reach USD1354m |
[25 February 2015] The global market for animal feed testing is expected to grow at a CAGR of 6.8% from USD 845.4 million in 2013 to USD 1354.1 million by 2020. Mycotoxin testing comprises the largest share in the market, followed by microbiology analysis, vitamin and heavy metal analysis, amino acids and pigment analysis. The Asia Pacific market for animal feed testing is expected to grow owing to its high demand for quality and sustainable animal nutrition products.
|Aussie retailer eyes Asian meat market |
[25 February 2015] Brett Blundy, a leading Australian retailer, is eyeing the Asian meat market after diversifying into beef cattle breeding in 2010. He is targeting Asia’s growing economies such as China, Indonesia and Vietnam, leveraging Australia’s proximity to the region. In a strategic move, Mr Blundy has been buying stakes in many Northern Territory cattle stations. Sounding upbeat on the new diversification into beef exports, Mr Blundy said: “I think the world and Australia is waking up to the value of having Asia so close to us and that’s a huge advantage. That will drive the north to much greater heights, so I think it’s a good place to be.”
|Menara inaugurates new feedmill|
[24 February 2015] Indonesia’s Menara Feedmill began operations at its new feedmill in Tulungagung, East Java early this year. This new plant has one extruder and one pelletiser to produce fish and quail and commercial broiler feeds. However, in the near future this plant will also produce commercial layer feed to cater to local demand. Costing around USD 2.3 million, the new plant has increased the company’s installed capacity by 10,000 tonnes/month. The company expects this to increase its business growth this year by 30%. “We expect this new plant to run at full capacity within the next two years,” Director Henry Haryono told Asian Agribiz. Along with the new plant, the company also set up a new warehouse to store main raw materials like soybean, soybean meal, corn and rice bran.
|Myanmar receives first batch of beef, pork from US |
[24 February 2015] Myanmar received its first consignment of beef and pork from US Agri Beef Co, based in Boise, Idaho. The company recently airfreighted roughly 230kg of ribeye, strip loin, tenderloin, beef cheek meat, pork loin and bacon. “With our established presence in Southeast Asia, we continue to see consumer demand for quality beef and pork products increase throughout that region,” said Jay Theiler, Agri Beef’s Executive Director of Marketing. Agri Beef's relationship with Myanmar developed from an April 2014 meeting with a distributor attending a trade show in Singapore. The growing middle class in Myanmar is driving demand for high-quality meat products. The Organisation for Economic Co-operation and Development noted the middle-class purchasing power in Asia is projected to increase by USD 25 trillion by 2030.
|Tohpati Poultry re-enters chicken processing business|
[24 February 2015] Indonesia’s Tohpati Poultry, one of the oldest and largest poultry companies in Bali, plans to re-enter the chicken slaughterhouse business this year, and after that venture into further processing. The company is currently involved in commercial broiler farming, broiler contract farming and as a poultry production inputs agent. “We want to have an integrated poultry business from upstream to downstream again,” Komang Tangkas Perwira Negara, Chief Accounting Officer, told Asian Agribiz. “We will start the reintegration process starting from chicken slaughterhouse,” said Mr Komang, adding that the company will reactivate its stalled 5000 bird/day slaughterhouse. The target markets are the Horeca industry, including QSR chains, and supermarkets.
|Research advocates pork revolution in India|
[24 February 2015] A research done by Eknath Chakurkar, Principal Scientist of the Indian Council for Agricultural Research (ICAR) has advocated the need for a pork revolution in India as it could be a one-shot solution for protein needs and to generate revenue and foreign exchange in India. According to Dr Eknath Chakurkar, eating pork could be a cheap protein fix for Indians and cultivation of rapidly multiplying pigs will boost income for rural farmers as well as increase exports. “Adopting scientific and modern techniques for pig-rearing will help supplement the income of rural Indian farmers, who are now using old and traditional methods," he concluded in his research.
Asian Agribiz Regional Dairy Update
[24 February 2015]
Amul to set up processing plant in West Bengal
Indian dairy products giant Amul will set up dairy processing unit in West Bengal state in India. R S Sodhi, Managing Director of Gujarat Cooperative Milk Marketing Federation, the makers of Amul dairy products said recently in Kolkata that they will be investing USD 40 million to set up the new processing plant. “Once operational it will be the biggest dairy processing plant in West Bengal and the plant will serve Kolkata and its vicinity with fresh milk produce,” Mr Sodhi said. The plant will have the capacity to process one million litres of milk per day, expandable up to 1.5 million litres per day and other dairy products.
Online sales of imported milk in China growing
Imported milk products are rapidly increasing their share in the Chinese market due to their low prices, posing a threat to domestic middle and high-end milk products, Shanghai’s China Business News reported. E-commerce has become a major distribution channel for imported milk products. The latest data published end January revealed that approximately two-thirds of milk products sold through the e-commerce channel was imported. In 2014, 310,000 tonnes of milk sold online, a 72% increase compared with 180,000 tonnes in 2013. Online milk sales, however, are only a small portion of total milk sales of 10 million tonnes.
Australian delegation explores collaboration in India
A 25-member dairy delegation, which is part of the Australian business delegation that visited the Dudhsagar Dairy in Gujarat, India. The delegation was looking for opportunities for tie-ups in the Indian dairy sector, especially in areas of dairy breeds, genetics and better productivity. Mark Morley, Trade Commissioner and leader of the delegation said that a similar delegation comprising officials and farmers from India would also visit Australia.
Leading China beef, feed producers in dairy JV
One of China’s largest beef and mutton producers has joined one of its largest feed companies to create a new dairy development, marketing and sales company. Fortune Ng Fung, the beef company, will hold 35% of the new venture, with New Hope holding 40% and a management team holding the remaining 25%. The new company will operate in the booming urban triangle made up of Beijing, Tianjin and Hebei Province, which surrounds both cities. Fortune Ng Fung has recently restructured its dairy operation in Hebei Province, while New Hope has previously invested in a big dairy operation in Sichuan Province, in south-western China.
China imports first batch of heifers from Chile
China has received more than 7000 heifers from Chile. The focus of this initial China bound shipment of livestock has been on dairy cattle but there has also been “interest in exporting beef cattle to China,” said Andres Duval, Regional Head of Agricultural and Livestock Service. According to GlobalMeatNews, the animals are expected to be the first batch out of a total of 20,000 head of cattle which will make the trip over the next year as authorities in Beijing seek to boost its beef and milk production capacity. China’s decision to certify Chile as one of a handful of countries from which it can import live cattle reflects the efforts made to improve genetic quality of the country’s herds and sanitary standards in the farming sector, said Mr Duval.
Amul to hike milk prices if feed prices rise
Indian dairy products giant Amul is expected to increase milk prices if the price of feed increases. Speaking at the All India Management Association meeting in New Delhi, Managing Director R S Sodhi said they would review the price situation during the monsoon season depending on feed and other costs. “The price increase is not required currently as cost of milk production is under control in view of stable feed prices and lower energy and transportation costs,” he said. Mr Sodhi also pointed out that the last price increase happened in May 2014 and added that whenever Amul increased prices it was minimal.
|Indonesia’s GGL to promote chilled beef|
[23 February 2015] Great Giant Livestock (GGL), a subsidiary of Indonesia’s Gunung Sewu Group, has launched beef products under the brand Bonanza Beef. Dayu Ariasintawati, Director of GGL, told Asian Agribiz that the beef market in Indonesia is dominated by fresh beef sold in traditional markets. While imported frozen beef is sold in supermarkets and the Horeca sector. “We see that there is market potential for chilled beef. Response from the market, especially from the Horeca segment, has been good. They find chilled beef is of good quality and there is no need for thawing,” Ms Dayu explained.
|Thai KFC denies hunting down fried chicken copycats |
[23 February 2015] The owners of the KFC franchise in Thailand has denied that it had dispatched representatives to arrest fried chicken street vendors in Rayong. Yum Restaurants International (Thailand) told Manager Online that it had nothing to do with the arrests. On February 13, about 100 vendors from a market rallied at the Rayong provincial hall, saying that a group of men who claimed to be police and representatives of Yum arrested vendors alleging that they violated the KFC copyright although they did not have any signs related to KFC. Yum Restaurants has ordered its legal division to take proper actions and will also issue a press statement to clarify the incident to the public, the source said.
|CP Prima allocates USD31m for new plants|
[23 February 2015] Central Proteinaprima or more popularly known as CP Prima has allocated USD 31 million for this year’s capital expenditure to set up a new aqua feedmill and a further processing plant in East Java, Indonesia. George Basuki, Corporate Communications Head, said the new aqua feed plant will have an annual capacity of 40,000 tonnes and is targeted for operations by the end of this year. On the further processing plant, Mr George said the project is still under study, “but we are certain of producing further processed shrimp products." According to Indo Premier Securities Analyst, Robby Has, with the new feedmill, the company's market share will continue to increase from its current 50%. He added that shrimp-based processed food is has a profit margin of around 25%.”
|Thai shrimp packers join Vietnam in looking to India |
[23 February 2015] Shrimp raw material prices in Thailand are rising amid short supply causing at least one large packer to turn to India for products, sources told Undercurrent News. This adds to the trend of Vietnamese packers buying from India, as both Thailand and Vietnam look to recover their own production after the spread of early mortality syndrome. Unlike Vietnam, the Thai government has a lengthy inspection process for imported shrimp. Last year, Thailand’s production dived to 200,000 tonnes, having been as high as 650,000 tonnes in the past. Although production is expected to pick up this year, it is currently the off season for farmers and prices were high, making imports viable.
|China receives first shipment of pork from Hungary|
[23 February 2015] Hungary has become the latest country with import access to China’s meat market. China received its first shipment of 25.68 tonnes of frozen pork knuckles at the Tianjin port recently. This comes after Hungarian Minister for Agriculture Sandor Fazekas signed a protocol with Zzhi Shuping, head of the General Administration of Quality, Supervision, Inspection and Quarantine, which licences imports. According to GlobalMeatNews, Hungary is also keen to ship beef and milk to China. The imports from Hungary may be timely given China has stopped pork imports from its main Eastern European pork suppliers.
|SS Group to set up poultry feed project|
[23 February 2015] Pakistan's SS Group in collaboration with Muyang Holdings of China will establish a fully automated poultry feed production unit, the group announced recently. The plant, will be the first automated plant of its kind in Pakistan. Chief Executive Officer of SS Group Shahzad Ali Khan said the project will be established on a turnkey basis with an initial cost of around USD 5 million in the first phase. “This is an equity-based project and is in line with the prime minister’s tax exemption scheme for 100% equity-based projects,” he said. Once completed the project is expected to help support and develop the rural economy.
|AsiaPac is the largest animal feed vitamins market|
[23 February 2015] The global vitamin market is estimated to cross USD 1 billion by 2020 growing at a CAGR of 1.8%. Vitamins is the fastest growing segment, and vitamin E and B are the most consumed types. Asia Pacific is the largest market for animal feed vitamins market owing to the heavy livestock population and poultry feed is the largest segment for the vitamin market. It is also the fastest growing region in the market mainly due to increased demand for quality meat and increased mass production of meat.
Preview of Asian Agribiz 2015 Pig Feed Quality Conference
April 9-10, Ho Chi Minh City
[18 February 2015]
Widely recognised as one of Asia's premier scientific forums for industry professionals to update their knowledge on pig production, the Asian Agribiz 2015 Pig Feed Quality Conference brings the latest research and provides useful information for Asian pig and feed producers.
Porcine bone health
Dr Thau Kiong Chung, DSM will discuss the results of trials in several countries show that supplementing the diets of growing gilts with 25-hydroxy-cholecalciferol leads to a higher proportion of females being selected as breeding replacements. This is because more gilts meet body conformation selection standards, resulting from improved conformation and locomotive characteristics likely attributed to lowered osteochondrosis development. Moreover, this increases the number of replacements available so that herd genetic potential is continually improved.
Breeding sows benefit from NSP-degrading enzymes
During the days before and after farrowing, sows show low appetite with reduced feed intake, which can impair the reproductive cycle. Dr Kevin Liu, Adisseo will present a meta-analysis of six recent trials which showed that the addition of NSP-degrading enzymes increased voluntary feed intake, significantly reduced weight loss of 3 kg on average or 20%, and back-fat loss by 24% during lactation.
ß-galactomannan - effective prevention and control
Dietary mannans/galactomannans occurring in widely used feedstuffs have the structures with the potential to be recognised by immune cells when these ingested molecules penetrate the epithelial layer of the intestinal barrier to trigger excessive immune responses. Dr Humg-Yu Hsiao, BioSolutions International will summarise five trials which provide good support that ß-galactomannan in legume seeds is an immunogen and supplementing ß-mannanase in ß-galactomannan containing feed can effectively reverse its negative impacts on animal production.
Role of creatine on growth performance and meat quality of pigs
Dr Eloisa Carpena, Evonik will present that dietary supplementation of creatine may contribute to the improvement of growth performance, like weight gain and feed efficiency of pigs. Moreover, creatine supplementation may be used to improve meat quality parameters like drip loss, post mortem pH and visual colour. However, creatine as a feed additive has some downsides because it is expensive and it is not thermostable, therefore it cannot withstand feed manufacturing process such as pelleting. An innovative form of guanidinoacetic acid (GAA) which is the only precursor of creatine can be a more suitable dietary source of creatine for pigs and poultry.
For more information and to register click here
|Indonesia’s GGL promotes beef products|
[18 February 2015] Great Giant Livestock (GGL), a subsidiary of Indonesia’s Gunung Sewu Group, is promoting beef products under the brand Bonanza Beef. Speaking to Asian Agribiz at the Jakarta Food Security Summit 2015, Dayu Ariasintawati, Director of GGL, said that previously the company only sold finisher beef cattle to slaughter men. “This year we want to add value to our production chain which is in line with our group’s vision for sustainable businesses from green synergies and zero waste.” Ms Dayu said Bonanza Beef is unique since the cattle are fed with pineapple waste and this makes the meat tender. “The cattle are slaughtered at an Elders’ slaughterhouse that maintains good food safety, hygiene and animal welfare standards.”
|More H7N9 infections in China|
[18 February 2015] Health officials in China's Guangdong province have reported another H7N9 infection, which struck a 45-year-old man from Meizhou. Though several Chinese provinces have reported H7N9 cases this winter, Guangdong has been especially hard hit. The province has reported 50 cases so far, the Xinhua newspaper reported. It said 12 deaths have been reported and thousands of chickens have been culled and live-poultry trade has been curbed in several cities. Meanwhile, the highly pathogenic H5N1 avian flu virus recently infected eight tigers at a zoo in southern China, killing two of them, according to the Food and Agriculture Organization.
|Chick Hous opens first outlet in Jakarta|
[18 February 2015] Indonesia’s Chick Hous has inaugurated its first convenience poultry meat outlet in Pluit, Jakarta. The outlet sells different kinds of poultry meat like broiler, native chicken and duck meat in fresh chilled and frozen forms. The outlet also provides ready meals like roasted, kietna, kalasan and ungkep (local delicacies) chicken and duck. Owner Eddy Hioe said the concept of the outlet is to provide convenience for consumers to get quality poultry meat and ready meals. “We ventured into this segment because we know people love poultry meat. In addition, there are not so many competitors,” Mr Eddy said.
|South Korea bans Canadian beef|
[18 February 2015] South Korea has banned imports of Canadian beef after a case of bovine spongiform encephalopathy (BSE), or ‘mad cow disease’ was found on a northern Alberta farm last week. According to the Canadian Food Inspection Agency (CFIA) the ban will remain in place "pending further information on the confirmed BSE finding.” CFIA will need to reassure the BSE case does not “pose a health hazard to the Korean people,” John Masswohl, Director of government and international relations for the Canadian Cattlemen’s Association said in an email. South Korea accounts for only 1.25% of Canada’s beef exports.
|Indon pork demand, price to rise over lunar New Year|
[17 February 2015] Pig farmers in Indonesia expect the demand and price of pork to appreciate over the lunar new year at the end of this week. Phaithoon N Na Ayudhaya, Swine Specialist of Charoen Pokphand Indonesia, told Asian Agribiz in previous years, there was a 20% increase, especially in Jakarta and Surabaya."However farmers, especially in Solo, Central Java, cannot distribute their finisher pigs to Jakarta due to the flooding in the city since last week. “The situation is getting worst since Kapuk where the government’s pig slaughterhouse is located is also affected by the floods,” said Mr Phaithoon, adding that this situation will affect the price of live pigs since farmers in Solo rely heavily on the Jakarta market.
|Betagro invests USD30.7m in new feedmill|
[17 February 2015] Betagro Group has kicked off the construction of its USD 30.7 million feedmill in Thailand, expecting to address domestic demand for quality animal feed. The plant is slated for completion late this year and commercial operation early next year. Chayanon Kittayachaweng from Betagro said that Thailand now needs at least 14,800 tonnes a month of animal feed and the demand is rising. The 7.36ha new plant will have a 4000 tonnes/month capacity in the first phase, to produce products for farms, pet shops, vet clinics and modern trade outlets for local and export markets. “This is in response to market demand for higher quality feed and food,” he said.
|Gunung Sewu to add animal protein to its portfolio|
[17 February 2015] Indonesia’s Gunung Sewu Group, owned by the Angkosubroto family, was reported to be interested in taking over 63% of the shares of Sierad Produce. Dayu Ariasintawati, Director of the group’s subsidiary Great Giant Livestock, confirmed this and said that the group wants to be active in the animal protein business in Indonesia. “We want to venture into this sector but it’s easier if we buy an existing company rather than start from the scratch,” she said. Ms Dayu also revealed to Asian Agribiz that the group plans to venture into the dairy industry by setting up an integrated dairy cattle farm and milk processing plant.
|Vietnam seafood exports to hit USD8b in 2015|
[17 February 2015] The Vietnam Association of Seafood Exporters and Producers forecast that seafood exports will exceed USD 8 billion in 2015. The organisation said the country exported aquatic products to 166 markets around the world last year, earning USD 7.84 billion, this is an increase of 16.5% from 2013. Nearly all key seafood products experienced stable growth over the year, especially shrimp exports with a 27% surge due to increased global demand. The country’s total shrimp export revenue last year reached USD 3.95 billion. White-leg shrimp exports hit USD 2.3 billion, while black tiger shrimp netting USD 1.4 billion, up 46% and 4% over the previous year, respectively.
|Japan’s pork producers fight for status quo in TPP talks|
[17 February 2015] Japan’s pork industry remains opposed to its government bringing down tariffs on the proposed Trans-Pacific Partnership (TPP) free trade deal, warning that revising the existing system will ‘destroy’ the local industry. A spokesman for the Japan Pork Producers’ Association confirmed that the industry would continue to lobby the government to retain the protective tariffs that local pork enjoys at present. “We strongly disagree with the government entering into the agreement… if it goes ahead the Japanese pork industry would be destroyed,” Hisao Kuramoto, Managing Director of the association, was quoted by GlobalMeatNews. Reports have emerged, however, that Japanese negotiators have put forward a proposal that would see the current tariffs of USD 4.10/kg of imported US pork slashed to just USD 0.43/kg over 10 years.
|Vietnam, HK buy more poultry from Russia|
[17 February 2015] According to a study by the Russian Institute for Agricultural Market Studies, Russia’s shipments to Hong Kong and Vietnam was up by 45% and 201% respectively in 2014 compared to the year before. The study said that it expects Russia’s poultry exports to grow further this year. Daniel Khotko, Senior Expert, attributed this to the devaluation of the ruble against the dollar making the average price of broiler production lower than in the US and the EU. “We see great export potential in Africa for the supply of by-products and carcasses of laying hens, in the Middle East for halal products, as well as in Vietnam, Hong Kong and China.”
Acceptance and concerns with GM corn in Asia
[16 February 2015]
In this special web report the Asian Agribiz team takes a look at the issues and concerns related to genetically modified (GM) corn. The Philippines was the first in Asean to adopt GM corn. Vietnam and Indonesia will follow this year. In South Asia meanwhile, India, Pakistan and Sri Lanka prohibit the use of GM corn. Responses from feed industry players has been positive, but some parties still doubt the technology because of its possible adverse effects to the biodiversity of local corn varieties and human health.
China corn import quotas not issued despite GM approvals
The Chinese government has not yet issued 2015 corn import quotas despite the recent approval of Syngenta’s GM corn for import. High domestic production in 2013 and 2014 resulted in a massive surplus, and the government has been trying to block cheap imports. China blocked more than a million tonnes of US and other corn shipments last year because they included Syngenta’s MIR162 GM corn, which had not at that time been approved. Many feed companies and domestic food manufacturers prefer imported corn because it’s both cheaper and higher quality. Earlier this year the government made another effort to reduce its surplus, requiring companies applying for 2015 import quotas to first buy surplus grain from overstuffed government storehouses. The purchases have been completed, but little of the grain has been delivered and the Tariff Rate Quotas or TRQs have not been issued.
Indonesia may adopt GM corn seed this year
Indonesia is expected to adopt GM corn this year. Bambang Purwantara, a member of the Commission of Genetically Engineered Products Biosafety, said that there are two GM corn seeds that are under assessments. “Both of the seeds have received the approvals for feed and food safety, but haven’t received the approval for environment safety. If the approvals are secured, the government then can legalise the seeds for commercial purpose,” Mr Bambang explained. Dr Desianto Budi Utomo, Secretary General of the Indonesian Feed Millers Association, told Asian Agribiz that the association would welcome the government’s approval, since it will increase national corn production. Corn imported by Indonesia from Latin America and the US are also GM.
Vietnam set to grow GM crops
Cultivation of new GM strains in Vietnam are expected to start this year. By 2020 the country is looking at an area under cultivation of between 30% and 50% of the total farmland, VietNamNet Bridge reported. Pham Van Toan, Head of the Vietnam Academy of Agricultural Sciences under the Ministry of Agriculture and Rural Development (MARD), said the move is to increase the yield of grains for animal feed. Last August MARD approved the use of four strains of GM corn. The Ministry of Natural Resources and Environment issued the Certificate of Biosafety for GM corn variety MON 89034 of Dekalb Vietnam Co Ltd, a subsidiary of US-based Monsanto. The certificate is an important for the commercialisation and formal application of GM corn, allowing for mass production this year.
Farmers need more productive corn seed
Farmers in East Java and North Sumatera hope the Indonesian government will legalise the use of GM corn seeds. Winarto Tohir, Head of the Farmers and Fishermen Group (KTNA) for East Java region, said farmers are currently using hybrid corn seeds, “but the seeds are not resistant to pests and diseases.” He believes that if farmers are allowed to use GM corn seeds, local demand for animal feed use can be met. Last year Indonesia imported 3 million tonnes of corn valued at USD 1 billion. Tata Habib Nasution, Head of KTNA for North Sumatera region, said corn production in the Philippines increased by 10 tonnes/ha after using GM corn seed. “In Indonesia, the average productivity of hybrid corn seed is around 5-6 tonnes/ha.”
Monsanto’s NK603 GM corn tests ongoing in Thailand
In 2007 Thailand lifted the ban on GM testing, issuing guidelines that required GM testing to be done only on government land and in collaboration with a government body. Monsanto in 2013 cooperated with Naresuan University in Phitsanulok to begin testing on NK603 GM corn. Tests are now ongoing. Thailand’s largest agribusiness company, Charoen Pokphand (CP), has long been a driver of the corporate seed monopoly agenda in Southeast Asia. CP is the principle foreign licensee of Monsanto’s DeKalb Genetics, where it has developed its own hybrid seeds and distributed them for free to farmers throughout the region.
Hurdles ahead for GM corn in India
Commercial cultivation of GM corn remains a distant dream in India as GM corn is still only at field trial stage. “It is the policy of the federal government to follow assessments of GM crops and commercialisation happens only when it was found to be safe,” officials at the Union Ministry of Environment told Asian Agribiz. Meanwhile, the governments of Bihar, Madhya Pradesh, Kerala, Uttarakhand and Karnataka states have prohibited GM crops in their states. Apart from this, citizens, especially the farming community are concerned about the implications on health, economy and ecology.
Monsanto waiting for Indonesia’s decision
Monsanto Indonesia is still waiting for environment safety approval for its GM corn seeds that are now under registration and assessments by the Commission for Genetically Engineered Products Biosafety. “We hope to receive the approval this year,” said Herry Kristanto, Corporate Affairs Lead. “Once we receive the approval, we will conduct several tests for one growing season.” Mr Herry said the company’s GM corn seeds are targeted for local and international markets. Mr Herry added that if GM corn seed are introduced productivity can be increased by more than 7 tonnes/ha.
Not a magic wand for Vietnam
Vietnamese scientists argue that while the approved GM corn seeds can resist flies and herbicides, bigger problems are drought, and the lack of equipment. Dr Tran Hong Uy, former head of the Maize Research Institute, an arm of MARD, said the average yield of GM corn varieties is not higher than that of Vietnamese varieties. “Developing GM crops will make Vietnamese farmers more dependent on foreign seed suppliers,” he said. “GM crops will not reduce cultivation costs, and will spoil the ecological environment and biodiversity in addition to harming people’s health.” Dr Tran Dinh Long, Chairman of the Vietnam Plant Seed Association, believes that it would be better to develop the existing Vietnamese hybrid corn seed that can yield 8-10 tonnes/ha. Dr Uy agrees. He said the local varieties are reasonably priced and adapt easily to different land areas and can be stored for a long time.
Naresuan University tests GM corn
Thailand’s Naresuan University has done their first field tests with a variety of GM corn, according to Crop Biotech Update. Suchin Chinayon, Naresuan University Rector said the project took approximately seven months in 2013 and the Faculty of Agriculture tested the GM glyphosate resistant corn NK603. Initial tests were conducted in a small-contained plot at the agricultural research station in Phitsanulok. Mr Chinayon said: “Thailand must develop new corn varieties to improve and protect crops against pests and disease. At the same time, the country should begin to be aware of their position in the agricultural sector as the Asean Economic Community comes into force in 2015.”
Use of GM corn widespread in the Philippines
Industry observers note that the majority, if not all, of the yellow corn grown in the Philippines are already GM. The Department of Agriculture in 2014 declared the country self-sufficient in corn. Figures from the Philippine Statistics Authority said that last year, total corn production in the country reached 7.8 million tonnes valued at over USD 2.29 billion. The GM corn has not been without opposition, with groups like Greenpeace and local NGO Masipag protesting their cultivation due to possible adverse effects to the environment and health. However, Mercy Buyoc, an animal nutrition consultant, told Asian Agribiz that: “No genetic aberrations have manifested in animals that consume feed with GM corn. In addition, Jose Elias Inciong, President of the United Broiler Raisers Association, noted the discussion on the safety of GM corn is irrelevant as meat products imported from the US and other sources are from animals fed with GM corn.
Indonesia should adopt GM seed technology
Budi Tangendjaja, US Grain Council Technical Director said corn farmers in the Philippines have seen better productivity and lower production costs with the use of GM corn seed. Dr Budi added that it’s reported that the content of mycotoxins in GM corn tends to be lower because the corn ears are not or less damaged by pests so fungus development is decreased.
Scientists, stakeholders push for GM crops
While the GM crop debate is on in India, leading scientists and other stakeholders stress the need for GM crops to ensure food security. In the recently concluded 102nd Indian Science Congress, eminent scientists like Rajendra Singh and Deepak Pental called for removal of policy hurdles to facilitate use of GM crop technology. Scientists in India are pushing for the approval of GM crops to ensure food security. “I personally believe that GM corn will ensure adequate availability of corn in India and this in turn will fulfil the feed requirements for the poultry industry,” K G Anand, General Manager of Venkateshwara Hatcheries, told Asian Agribiz.
Malaysia maintains an ‘open minded’ stance
Malaysia produces about 5 million tonnes of compound feeds annually. The poultry and swine industries are dependent on imported feed ingredients such as corn and soy. “Malaysia is open-minded and does not see any reason to block GM raw materials,” said a scientist. “As crops they are more efficient, use less pesticides and produce higher yield. It is one way to improve productivity especially with a growing population,” he said, adding that the products must be well tested. He, however, said there should be clear guidelines “like the FDA has for drugs”. Some senior feed nutritionists and sales and marketing managers, when asked when GM raw materials were introduced in Malaysia, said “as long as they could remember”.
Sri Lanka keeps GM corn at bay
Some 50% of corn demand for animal feed in Sri Lanka are sourced locally, while the remaining is imported from India. M Imtiaz, Chairman of Crysbro Group of Companies, told Asian Agribiz: “We cannot use corn from Latin America since the government does not allow the use of GM corn for feed and food.” Poultry and feed associations in the country have lobbied the government to allow the use of GM corn since this move will help poultry producers in the country to be more competitive in terms of production cost.
Pakistan says ‘no’ to GM corn
In March 2014 the Pakistan High Court prohibited the government from issuing licenses for the import of GM corn seeds without proper analysis. Dr Abdullah Ahmad Tahir, Animal Nutritionist and Production Manager of Al-Meezan Poultry Feeds and Allied Products, said feed millers have little information about GM corn seeds. “They just apply strict measures to quality such as results of proximate analysis and mycotoxins level,” he said. According to him, growing GM corn seeds should be allowed if close observations and assessments have been done and the seeds are safe for livestock and human health.
Some producers in Singapore avoid GM ingredients
Singapore allows the import of agricultural biotech products such as GM corn and soy for use in foods and feeds. The official regulatory agency for GM foods is the Agri-Food and Veterinary Authority (AVA) while the non-regulatory advisory committee, the Genetic Modification Advisory Committee, works closely with the AVA to ensure GM food safety. Despite this, not all poultry producers use GM raw materials as feed ingredients. Chew Chee Bin, Chew’s Group Limited Chairman, told Asian Agribiz the company avoids GM raw material and instead uses corn and soy from India and Myanmar. It also uses a lot of food grade material such as biscuits and bread that are no longer on the shelves, as well as barley, wheat and soy from food producers.
Philippines could turn to alternatives should DDGS prices rise
China’s approval of Syngenta’s MIR 162 corn could lead to substantial orders for US corn and DDGS. This may mean a significant increase in the price of DDGS. Ameer Pahm, President of the Philippine Society of Animal Nutritionists told Asian Agribiz that the use of DDGS in the Philippines has been increasing over the last five years. He added though that the removal of residual oil by many ethanol plants over the last three years has lowered its energy value while the price today has been limiting its use. Dr Pahm said that local rice bran, corn bran, copra meal and wheat by-products are still the main substitute for DDGS particularly for growing and breeding hogs.
ARIEF FACHRUDIN reports from PPUN & Pinsar seminar, Indonesia
[13 February 2015]
Poultry farmers worry about DOC oversupply
Indonesian poultry farmers have asked the government to regulate the import quota of broiler GP & PS as well as to control the supply and demand of live birds. Sigit Prabowo, Chairman of the National Poultry Farmers Association (PPUN), told Asian Agribiz that last year many of its members lost severely due to oversupply and low live bird prices. “Losses were around USD 584 million. And every week we saw a broiler DOC supply exceed by around 4-7 million,” said Mr Sigit. Based on calculations, broiler DOC production this year may reach 64 million/week because in 2013 Indonesia imported around 660,000 broiler GP. The demand, meanwhile, is only 47 million/week. “We will see an excess of around 17 million/week, far higher than last year. The government should initiate early PS culling to prevent another bad year,” he said.
Government sets strategies to prevent oversupply
Based on recent data from Indonesia’s Ministry of Agriculture, chicken meat contributes 66% of the total meat consumption, of this 50% is from broiler meat. The ministry has also predicted that broiler production this year to reach 3.3 billion birds. Director of Livestock Breeding, Abubakar, told Asian Agribiz that the demand was estimated at only 2.44 billion birds. So there will be an excess supply of 890 million birds. To prevent this, he said that the ministry has set some strategies including early PS early culling and regulation of GP imports. “There are 14 GP importers & breeders who distribute their PS to 80 PS breeders. If these 80 PS breeders refuse to give data of their production and capacity, we will freeze the GP import permit. We want transparency and need valid data to calculate supply and demand,” Mr Abubakar explained.
Integrators asked to focus on processed products market
Many farmers in Indonesia complain of unfair competition in the industry. An official of Pinsar Indonesia (the Indonesian Poultry Farmers Association and Information Centre) for South Sulawesi region told Asian Agribiz that the problem is that integrators also sell live birds to traditional markets. "These big companies who have technology, slaughterhouses and further processing plants, should focus on processed products market and leave the traditional market to us.” Rudi, a broiler farmer from South Kalimantan, concurred and said that the situation is the same in his region. He hopes the government can differentiate the market for farmers and integrators.
|Thai Ag Ministry to launch safe meat campaign|
[13 February 2015] Thailand’s Ministry of Agriculture and Cooperatives will be launching a safe meat campaign at Yingcharoen Market in Bangkok today to enhance public awareness of the importance of safe meat consumption. The campaign is scheduled to kick off before the Chinese New Year to ensure that meat sellers supply quality products to buyers, as the demand for pork, poultry and eggs usually surges during this period. The Livestock Development Department that supervises the activity will educate consumers on how to choose safe and quality meat and eggs. There are currently 9000 farms, 1874 slaughterhouses and 4000 meat markets whose hygienic standards have been certified by the department across the country.
|Avian flu continues to rage in Taiwan|
[13 February 2015] Animal health officials in Taiwan have reported 35 more poultry sites hit by H5N8 avian influenza, with the H5N3 virus striking three more locations and another 72 H5N2 outbreaks. The H5N8 outbreaks affected 34 farms and one slaughterhouse in five different counties as well as in the cities of Tainan and Kaohsiung. The H5N2 virus was also found on three farms. Most of the farms housed geese, but a few were raising ducks, chickens, and turkeys. H5N3 outbreaks were in Yunlin and Pingtung while the H5N2 outbreaks were identified in Taoyuan, Tainan, Kaohsiung, and Taichung, affecting geese, chickens, ducks, and turkeys.
|Vietnam is largest shrimp exporter to South Korea|
[13 February 2015] Vietnam was the largest shrimp exporter to South Korea in 2014 in terms of both volume and value, the Vietnam Association of Seafood Exporters and Producers said on its website. Vietnamese shrimp accounted for nearly half of South Korea’s imports last year, with 27,791 tonnes, ahead of China at 13,936 tonnes. Vietnam’s shrimp export volume to the republic increased by 36% last year compared to 2013, while export value reached USD 290.2 million, up 60%, said the association.
|Bird flu outbreaks to boost Thai chicken exports|
[12 February 2015] Thailand is expected to export more chicken this year following outbreaks of bird flu in several countries since late last year, according to a report issued by Kasikorn Research Centre. The deadly disease has been found in a number of countries including China, Japan, the Netherlands, the US, Canada, Egypt and Nigeria. Several countries have imposed import bans on chicken from producing countries, the report said. The ban may help push Thailand’s exports of chicken and its products this year, while confidence in Thai chicken would be further boosted. Kasikorn Research Centre forecasts that Thailand would earn about USD 2.4 billion from exporting frozen and processed chicken in 2015, up 4.5% from last year.
|CJ CheilJedang records USD6.6b revenue |
[12 February 2015] CJ CheilJedang recently announced its annual results in 2014 showing total revenue minus CJ Korea Express, at USD 6.6 billion, up 2.2% from the previous year. “We pushed ahead with aggressive restructuring at all the units including food business. Along with this, the recovery in the international price of lysine improved our profitability despite the prolonged depression in domestic demand,” said the company. Its food business recorded annual sales of USD 3.5 billion last year, up 1.9%. Its biological resource department achieved USD 1.4 billion, up 4.4% since sales of feed in its major overseas markets such as Indonesia and Vietnam increased year on year despite shrinking demand caused animal diseases like porcine epidemic diarrhea.
|Indonesia to develop cattle embryo transfer centres|
[12 February 2015] In order to achieve beef self-sufficiency, Indonesia’s Ministry of Agriculture this year will develop cattle embryo transfer centres in several regions. Agriculture Minister Amran Sulaiman said the ministry plans to allocate USD 395,000 to develop nine cattle embryo transfer centres in West Sumatera, South Sumatera, West Nusa Tenggara and East Nusa Tenggara. “Through this program we expect to increase the birth rate of twin calves by 500,000 heads per year,” he said. In addition, the ministry this year will also intensify artificial insemination with a target to inseminate 2 million cows.
|Pakistan’s meat industry to focus on feedlot fattening|
[12 February 2015] Pakistan’s meat industry is set to focus on raising the weight of calves and buffaloes through feedlot fattening with a protein-rich diet. Stakeholders in the meat industry achieved consensus in this regard at a seminar hosted by US Agency for International Development (USAID) with Punjab Halal Development Agency (PHDA) recently. Saeed Ahamed, Deputy Governor of the Islamic Banking Department at the State Bank of Pakistan said commercial banks will help farmers purchase calves to raise on high quality feed. Pakistan’s meat industry is valued at USD 115 million and is said to be underutilised due to poor feeding and low quality production of beef.
|Branding China’s agri industry|
[12 February 2015] China released its 2015 rural policy, or the ‘number one document’ recently, highlighting modernising agriculture and food safety as key priorities. Some agri firms think that high quality products, modern production and food safety are achievable if agribusinesses create brands. “Agribusiness players should be pioneers in modernisation. You can't just rely on expanding production. Only with a brand can modern agriculture go further,” Yu Xubo, President of China’s largest food company, Cofco Corporation, said. Integrating the whole industrial chain is one way to cross the food safety scandals plaguing the country. To enhance quality and safety supervision, Cofco set up a mechanism to monitor the entire food production process.
|FAO & SIB cooperate to combat viral infections|
[12 February 2015] The UN Food and Agriculture Organisation (FAO) has chosen the Swiss Institute of Bioinformatics (SIB) as a designated reference centre to expand its access to state-of the-art technology in combating dangerous viral infections, including avian influenza and foot-and-mouth disease, in farm animals and wildlife. The SIB is equipped with high performance computers, software, databases and a knowledgebase used for screening and monitoring zoonotic diseases. Working closely with FAO, SIB experts have developed tools to improve early detection and fast alert systems to prevent and respond to trans boundary disease emergencies in poultry or livestock. "The new technology helps us understand biological threats in order to help countries better prevent, respond and ultimately protect the health of humans, animals and the environment," said FAO's Chief Veterinary Officer, Juan Lubroth.
|De Heus to start building boar station next month|
[11 February 2015] In a move to raise farming standards in Vietnam, feed producer De Heus LLC (Vietnam) will start construction of a boar station in Binh Duong, in March. The first phase of the project will produce 120 boars and available semen for its customers, Gabor Fluit, General Director, told Asian Agribiz. Phase two will see the company supply gilts. “In the swine sector in Vietnam there is a large supply of semen available but quality is the issue. The average farm here can produce 20-22 piglets/sow/year. The Netherlands, Denmark and Germany produce 28-30 piglets/sow/year. This is a huge gap and we want to help improve the genetics in Vietnam,” he said.
|South Korea lifts ban on Thai chicken imports|
[11 February 2015] South Korea has finally resumed imports of frozen chicken from Thailand after an 11-year ban, Agriculture and Cooperatives Minister, Petipong Pungbun Na Ayudhya announced. He said the lifting of the ban has prompted a 6-7% growth in Thai exports of frozen chicken, to 600,000 tonnes in 2015, valued at around USD 2.5 billion. The first exports from Thailand are expected to in June. According to Mr Petipong, the renewed arrangement would mean South Korea will be Thailand’s top importer.
|Pig farmers gain from communication technology|
[11 February 2015] Social media and messaging applications have benefited pig farmers in Indonesia. Phaithoon N Na Ayudhaya, Swine Specialist of Charoen Pokphand Indonesia, told Asian Agribiz that it has helped mainly in communicating live pig prices. “If we don’t communicate and share information, we can be cheated by middlemen,” he said. To prevent price manipulation, Karya Prospek Satwa, a partner of CP Indonesia uses social media like Facebook to communicate and share information with pig farmers from different regions. “We have a Blackberry Messenger (BBM) group with farmers in Java and North Sumatera. Every day we share information on live pig prices in their region,” said Mr Phaithoon. “We recently set up a BBM group with farmers in North Sulawesi. The community has gained from this communication technology.”
|Yum confident of KFC’s growth in China|
[11 February 2015] US QSR giant Yum Brands revealed that KFC’s China stores reported a 16% decline in Q4 business due to a scandal at OSI Group’s Shanghai subsidiary, which supplied some products to KFC. Yum Chairman Greg Creed expressed optimism that business would gain momentum in 2015. Mr Creed noted Yum’s China Division had opened 737 new units during the 2014 fiscal year, including 376 KFC stores, and planned to open another 700 units in 2015.
|Drastic measures needed to revive Vietnam’s pangasius industry|
[11 February 2015] Vietnam’s tra fish industry has contracted in the last five years. About 80% of businesses are in difficulty. Breeders and processing plants have not invested in growth. Le Vinh Tan, Deputy Head of the Central Economic Committee, said local authorities should work closely with Vietnam Pangasius Association and relevant agencies to help restructure the industry. Secretary General of the Vietnam Pangasius Association Vo Hung Dung said the restructuring project should aim to improve quality, rebuild the image, increase access to capital and widen distribution and export markets.
|MPEDA keen on producing shrimp seed locally|
[11 February 2015] The Marine Products Export Development Authority (MPEDA) in India is keen on producing shrimp seed locally and to promote finer quality shrimp seed. Presently, shrimp seed is produced by MPEDA in association with the Oceanic Institute in Hawaii, USA. Speaking at an aqua farmers meeting organised by Andhra Pradesh State Fisheries Department, S Kandan, Deputy Director (Aquaculture) of MPEDA said they are awaiting the Union government’s approval for the project. “We are ready to produce disease-free shrimp locally at a reduced cost,” he said.
|MPI to commission two new processing plants |
[10 February 2015] Meat Products of India (MPI) based in the southern state of Kerala, expects to commission its new meat processing plants by the end of this year. “The plant in Mundayar will be a chicken processing plant with a 4,000 birds/day capacity,” M P John, Managing Director of MPI told Asian Agribiz. According to him, the other processing plant at Chalakkudy will be for processing around 200 pigs and 200 large animals per day. With the demand for pork and other meat from MPI witnessing a steady increase in Kerala among general consumers as well as the Horeca sector, Mr John said the new plants will help meet the growing demand.
|Indonesia’s poultry industry to continue to grow|
[10 February 2015] Indonesia’s poultry industry this year forecasts continued growth with demand for broiler and eggs. Broiler demand this year is estimated to reach 2.7-2.8 million tonnes, according to Don P Utoyo, President of the Indonesian Poultry Society Federation. The industry, meanwhile, is able to produce around 3.5-3.6 million tonnes of dressed birds. Chicken egg demand this year is estimated at around 2.7-2.9 million tonnes, and the industry is able to supply around 3.2-3.3 million tonnes. Mr Don added that the total assets of the broiler and layer industries will be around USD 4.7 billion and USD 3.2 billion, respectively. While the total turnover is expected to reach USD 25.2 billion for broiler and USD 10.3 billion for layer.
|Yum takes hit as Little Sheep purchase crashes|
[10 February 2015] US QSR giant Yum Brands reported a USD 86 million Q4 loss worldwide due to a USD 361 million write-down on its investment in Little Sheep, a hotpot restaurant chain in China. Yum bought the chain for USD 587 million in 2012 and had to invest heavily to bring it up to standard. It lost business when rumours spread that the chain had bought fake sheep meat. It was the second write-down for Little Sheep, since Yum took a charge of USD 258 million on the investment in 2013. The total write-down now exceeds the initial investment, but Yum said it still values Little Sheep at about USD 100 million.
|McDonald's sales dogged by Asian woes|
[10 February 2015] McDonald's posted a worse-than-projected decline in global sales for January, dragged down by a slump at its Asian restaurants. The world's biggest QSR, McDonald's has suffered a series of setbacks, including the rationing of French fries in Japan and a scandal involving its meat supplier, Shanghai Husi Food Co.in China. In Japan the company lost USD 186 million in 2014 while its sales plunged 39% in January, marking the 12th straight month of declines.
|Indonesia aims to achieve corn self-sufficiency|
[10 February 2015] Indonesia’s President Joko Widodo has targeted to achieve corn self-sufficiency in the next three year. For this, the Ministry of Agriculture has allocated around USD 197 million, to open new land of about 1 million ha for corn production. Of the fund, some USD 59 million will be used for hybrid corn seed allocation, while the remainder for infrastructure and other related facilities to support the program. The Indonesian Feed Millers Association (GPMT) has predicted that this year Indonesia may import around 3 million tonnes of corn for animal feed. GPMT Chairman, Sudirman FX said that for Q1, the association has asked the government to allow corn imports of up to 1 million tonnes. Last year Indonesia’s corn demand for animal feed reached 7.5 million tonnes and of this, 3.2 million tonnes were imported.
|JBS closer to owning Australia’s Primo|
[10 February 2015] Brazilian meat giant JBS has cleared one of the two main regulatory hurdles in its USD 1.13 billion takeover of big smallgoods company Primo. However, the Australian Competition and Consumer Commission has flagged its wariness about a consolidating abattoir industry trend. Primo is set to be sold to the meat processing and export giant in a strategic value-adding move set to aid JBS’ Asian market growth. The Group owns the Primo, Hans and Beehive brands and key processing operations in five locations. It has been majority owned by Singaporean-based equity fund manager Affinity Equity Partners for the past three years.
|De Heus Vietnam to launch new plants|
[09 February 2015] As part of its efforts to bring quality nutrition to Vietnamese livestock raisers, De Heus will launch two new plants in the first quarter of this year. Its plant in Binh Dinh, with a capacity of 60,000 to 80,000 tonnes/year, is scheduled for an opening ceremony in mid-March, while the Vinh Phuc plant, with a capacity of 200,000 tonnes/year, will open end-March, Gabor Fluit, General Director, told Asian Agribiz. “In Q1 our six factories will produce 850,000 tonnes of feed,” he said. Both these facilities feature high-end technology and automation, requiring only 50% of the workforce compared to the older plants.
|KPS involves farmers to produce black pigs|
[09 February 2015] Karya Prospek Satwa (KPS), a partner of Charoen Pokphand Indonesia involved in pig contract farming in Bali, plans to involve pig farmers in producing commercial black pigs. “Initially, we will provide 100 sows to our contract farmers,” Phaithoon N Na Ayudhaya, CP Indonesia Swine Specialist, told Asian Agribiz. “This will help maintain the stability of our black pig meat supply to Jakarta, as well as for promotion to the Horeca industry in Bali.” KPS also plans to develop its black pigs in Toraja, South Sulawesi by setting up a parent stock station with 100 sows. “We will cooperate with a CP feed agent who has a good network with farmers in the region,” said Mr Phaithoon. Once the programs in Bali and Toraja are developed, KPS will develop its black pigs in East Nusa Tenggara.
|Thai chicken exports to grow by 6-7%|
[09 February 2015] The Thai Broiler Processing Exporters Association foresees a bright future for the Thai poultry industry, believing it will enjoy an export jump this year. Export volume is expected to reach 600,000 tonnes, a 6-7% growth over last year. Apart from strict compliance with international hygienic standards, the export growth is attributed to the Thailand-South Korea trade deal which is due to come into effect in the middle of this year.
|Local supply to meet secondary meat, offal demand|
[09 February 2015] Early this year Indonesia ruled that imports of secondary (beef) meat and offal will not be allowed. Minister of Agriculture, Amran Sulaiman said that local supply can fulfil demand. “We have checked that there are 261,000 heads of beef cattle at feed lotters in West Java and they should be able to meet demand for secondary meat and offal for the following nine months,” he said, adding that the ministry will monitor beef cattle stock in the country to prevent supply scarcity of both products. “If the local supply cannot meet demand, then we will urge the Ministry of Trade to allow imports,” said Mr Amran.
|New bird flu infections and outbreak in China|
[09 February 2015] The Guangdong and Zhejiang provinces in China reported seven more H7N9 avian flu infections on Friday, one of them fatal. This raises the global number of H7N9 cases to 553, according to FluTrackers' case list. With no recent updates from national officials in China on what appears to be a third wave of infections that roughly began in September, it's unclear exactly how many cases have been detected over the past few months. In the meantime, China's Ministry of Agriculture confirmed one large outbreak of highly pathogenic H5N6 avian flu on a farm in Hunan province. The outbreak began Feb 2 and agricultural officials reported 3,400 cases of H5N6 and 2,600 deaths within the flock of over 7000 birds.
|GAA inks MoU with Vietnam pangasius group|
[09 February 2015] The Global Aquaculture Alliance (GAA) and Vietnam Pangasius Association will work together to advance responsible practices in the farming of pangasius and towards Best Aquaculture Practices (BAP) certification, said Carson Roper, International Business Development Manager for GAA’s BAP Division. Mr Roper hopes to strengthen market ties for BAP-certified pangasius. Through the deal VNPA will identify and enrol processing plants, farms, feedmills and hatcheries in the BAP third-party certification program to increase the number of BAP-certified facilities in Vietnam. GAA, meanwhile, will identify market endorsers to promote responsibly produced pangasius products globally and to offer training and seminars to help producers apply VietGAP and the BAP standards to improve their practices.
Localising QSR fare gains approval, while Asian brands go abroad
[06 February 2015]
Fastfood restaurants are driving production and import of frozen meat in the region. Quick-service restaurants (QSR) are staples in major cities in Asia, and are now trickling into second and third-tier cities to extend its reach. They are adapting to changing lifestyles by launching innovative services and menus. Many brands have drive-through options, offer home delivery and allow online orders. Some are working on mobile apps to target mobile-savvy customers. Perhaps most interesting are efforts at localising the Western burger and fried chicken, serving spicy and sour meals, rice and porridge, and even catering to vegetarians to reach a broader target audience. Meanwhile Asian home-grown brands like Jollibee from the Philippines, Malaysia’s Marrybrown and South Korea’s Lotteria are going international, taking their combo meals to other Asian countries, the Middle East and the US.
First KFC in Myanmar in 2015
Yum! Brands has teamed up with Singapore-listed Yoma Strategic Holdings to bring the KFC franchise to Myanmar. Yoma Strategic’s communications personnel told Asian Agribiz that the first outlet will open mid this year. With 50 million people and a growing middle class with disposable incomes, Myanmar offers significant opportunity for Yoma Strategic. “The macro potential is good. The consumer class is forecast to grow from 2.5 million today to 19 million in 2030, potentially tripling consumer spending by more than threefold,” said Serge Pun, Executive Chairman of Yoma Strategic. Micky Pant, CEO of the KFC division of Yum! Brands said the announcement of the first KFC coming to Myanmar reflects the company’s ongoing strategy of global expansion in emerging markets.
Jollibee looks beyond traditional market
Philippines’ brand Jollibee Food Corporation (JFC) is looking beyond its traditional market of overseas Filipinos as it seeks to make further headway in big markets like the US and China. The company is looking for an equity partner as it plans to spend USD 1 billion to acquire an established restaurant chain in the US. In a report by BusinessMirror, JFC Chairman Tony Tan Caktiong said the company is seeking a strong regional brand. “We don’t want a brand that’s already big.” This echoes a statement made last year by CEO Ernesto Tanmantiong, who said acquiring a bigger chain will help the company become a major player in the US at a faster rate. As of end October 2014 JFC already has 80 stores of its home-grown brand in the US comprising 31 of its flagship Jollibee stores, 30 Red Ribbon stores and 19 Chowking outlets. It opened its first Jollibee store in the San Francisco area in 1998.
Korea’s Lotteria to be among top 3 in Indonesia
In 2012 South Korean retailer Lotte Group’s subsidiary Lotteria Co Ltd entered the fast food market in Indonesia. Working with PT Mondial Risjad Fastana, Lotteria said it is ready to spend USD 20 million on the chain, and expects to open 50 retail outlets by later this year. Last year the company opened 31 outlets in Jabodetabek and Karawang, and five outlets in Bandung. Handi Irawan, President Director of Mondial, said the K-Pop culture has helped boost the popularity of Lotteria outlets, which serve meals from organic food. “We expect Lotteria to be among the top three QSR chains in Indonesia by 2020,” he said. “The main challenge in Indonesia is to identify strategic locations for the outlets and to maintain quality service.”
Malaysia’s Marry Brown expands in India
Malaysia’s home-grown fast-food chain Marrybrown has ventured into India eyeing mainly tier two and three cities in the southern states. The chain currently has 48 outlets, of which 44 are in Tamil Nadu and two each in Bangalore, Karnataka and Kochi. “By the end of this fiscal year we would like to increase the number of outlets to 75,” said Ajith, Director of MGM Entertainments Pvt Ltd, the master franchisee for Marrybrown in India. Following local trends the chain will also offer rice and biryani as well as vegetarian dishes to cater to the local palate. Marrybrown has outlets also in China, Indonesia, Sri Lanka, Maldives, Africa, the Middle East and Myanmar.
BonChon focuses on quality, healthy products
Marrying the K-Pop culture and Indonesia’s love for fried chicken, Michelindo Food International introduced Korean chain BonChon Chicken to the Indonesian fast-food market in 2012. Michelle E Surjaputra, President Director, said the company operates 17 outlets across Jabodetabek, Bandung, Surabaya, Bali and Banjarmasin. “At the moment we are focusing on branding. We will add to the number of our outlets through franchising,” she said. Ms Michelle said BonChon pays attention to quality and healthy products. “We weigh each chicken and we reject the fat ones. Our sauce comes from fruit extract. And we wash our chicken with specially filtered water.”
Vietnam displays appetite for fast-food
Rising living standards, higher disposable incomes, increasingly busy lifestyles and the ongoing Westernisation of Vietnamese culture will support strong growth of KFC, Lotteria and McDonald’s in the next few years. KFC Vietnam was the leading fast-food operator in 2013, with a 17% market share. Long-term establishment, high quality, a good reputation, diversified menus and good services are the company’s competitive advantages. In 2013, the company not only increased its number of outlets but also introduced new products such as Pokkits – a new sandwich product. These helped it record a healthy growth of 23% in 2013.
Binalot goes to the Middle East
Philippine chain Binalot (the Filipino word for wrapped), which offers local rice meals with adobo, bistek (Filipino-style beefsteak), tapa, tocino, sisig and longganisa, and even salted eggs with tomato, with the meals wrapped in banana leaves, is setting up an outlet in the UAE after it awarded a single country franchise to UAE-based retail company Al Ahli Holding Group. Binalot founder Rommel Juan said with overseas Filipino workers making up some 20% of Dubai’s population, Binalot has a lot of potential to grow in the UAE, and Al Ahli is the right partner. Al Ahli hopes to open its first outlet in the Dubai Outlet Mall by late next month. It targets 20 outlets by 2020.
McDonald’s Thailand grows
McThai Co, the Thai operator of McDonald’s QSR, plans to double the number of its stores to more than 400 by 2020, and to become one of the top three operators of McDonald’s restaurants in Asean in terms of store count. The company will budget more than USD 31 million annually for its restaurant expansion over the next five years, said Hester Chew, Chairman of the Executive Committee and CEO of McThai. McThai operates 208 McDonald’s restaurants in Thailand. “We opened 20 new McDonald’s restaurants last year, of which more than 50% are drive-through outlets,” Mr Chew said. The drive-through outlets contribute 20-30% more revenue than traditional restaurants.
KFC Indonesia rides the Korean wave
Responding to signals on the popularity of the K-pop culture in Indonesia, Western iconic fast-food brand KFC Indonesia is looking East with its latest menu featuring KFC Chicken Bulgogi, a recipe from Korea. Korean sells in Indonesia because of the popularity of the K-Pop culture and Korean drama series aired in the country. Taglined ‘Feel the Korean sensation without having to go to Korea’, the promotion serves crispy fried chicken with sesame and Bulgogi sauce, rice, a drink and pudding for USD 2.10.
Jollibee plans to have outlet in Indonesia in 2016
Jollibee Food Corporation (JFC) from the Philippines plans to open outlets in Indonesia next year. JFC CFO Ysmael Baysa said the company has been looking for franchise partners similar to its expansion strategy in the Middle East. The company tried to enter the Indonesian market in the mid-1990s but did not push through with plans due to the Asian financial crisis in 1997. With Indonesia’s population of 250 million, Mr Baysa said there are only 130 McDonald’s outlets, and this presents an opportunity for Jollibee. He said, in the Philippines, JFC is ‘three years ahead’ of McDonalds.
Burger King Malaysia to have new owner
Burger King in Malaysia and Singapore may soon have a new owner. Malaysian in-flight caterer Brahim’s Holdings Bhd, looking to diversify its business, and Quantum Angel Sdn Bhd announced a USD 26 million deal to buy the franchise from Ekuinas Nasional Bhd, a government-linked private equity fund management company. Datuk Seri Ibrahim Ahmad, Brahim’s Executive Chairman, said the Burger King franchise in Malaysia and Singapore is “a strong brand and the trend of increasing fast-food consumption by Malaysian and Singaporean consumers provides us with significant growth potential”.
KFC increases its vegetarian offering
Chicken may be its core product but KFC in India has increased its vegetarian offerings recently as it finds that relying too much on chicken might not be sufficient for growth. “We saw an opportunity to deliver a significant vegetarian range and reach a broader target audience,” said Dhruv Kaul, KFC Director of Marketing. The Paneer Zinger in the burger category is a good example. Although relatively new, this product has already captured 30% of KFC’s sales of vegetarian products. Other popular products such as twisters and strips have all helped increase KFC’s rate of growth on the vegetarian side.
|Japfa buys 15% of Myanmar business|
[05 February 2015] Agri-food company Japfa Ltd has acquired the remaining 15% of Japfa Comfeed Myanmar for USD 5.7 million, making it a wholly-owned subsidiary of the group. The acquisition was made via a conditional share purchase agreement (SPA) between Japfa’s wholly-owned subsidiary Japfa Myanmar JV - which currently holds 85% of Japfa Comfeed Myanmar - and Best Livestock Limited, an unrelated third party, for the remaining 15% of the issued share capital of Japfa Comfeed. “A change in the Myanmar regulations has created an opportunity for the group to fully own its Myanmar operations and reap the full benefits of this fast-growing poultry market. By replicating our Indonesian poultry business model, we now enjoy a first-mover advantage and hold a leading market position for poultry in Myanmar," said Tan Yong Nang, Chief Executive Officer of Japfa.
|Puspa Agro develops corn farming in East Java|
[05 February 2015] Indonesia’s agribusiness company Puspa Agro has allocated USD 1.6 million for capital expenditure this year. Director Abdullah Muchibuddin said the company will use the capex to develop corn farming through cooperation with farmers in Bojonegoro and Gresik in East Java. “We have prepared 1000ha for a pilot project and target to produce 800 tonnes per harvest season,” he said. He added that a feedmill of France-based animal feed producer PT Invivo Indonesia in East Java will acquire the entire crops.
|Chinese policy document pushes land rights reforms|
[05 February 2015] China will step up rural land reforms and agricultural modernisation in order to assure a stable food supply, improve food safety and raise farm incomes, according to a key policy document. The No. 1 Document, so designated to emphasise the importance of agriculture to China, is the first major policy document issued every year by the Communist Party Central Committee and the government’s State Council. This year’s document outlines five key aspects of reform: modernising agriculture, raising farm income, improving infrastructure, deepening land reforms, and strengthening the agricultural and rural legal system to deal with issues such as protection of property rights and market regulation. Among other points, the document said the government would expand an experiment that allows farmers to trade their land to create bigger and more efficient farms.
|Indonesia to set up 400 fish processing units by 2019|
[05 February 2015] Indonesia’s Chamber of Trade and Industry (Kadin) plans to set up 400 fish processing units in fish production centres in Indonesia by 2019 to improve the national fish processing industry with value added fish products. Yugi Prayanto, Kadin Vice Chairman for Fishery and Marine Affairs, said if this plan is realised, in 2019 Indonesia will have as many as 1000 fish processing units. Of the targeted 400 fish processing units, 100 will be large capacity units and 300 will be small capacity units. Investment for large capacity units that is equipped with modern technology is around USD 39.4 million, while for small capacity units it is around USD 2.4 million. “So to set up all the units, the total investment is around USD 4.7 billion,” said Mr Yugi.
|Pakistan seeking a niche in halal market|
[05 February 2015] Even though Pakistan’s halal sector is still underperforming, the country is set to become one of the active players in the global meat trade, especially in the Middle East and Southeast Asia. According to Dubai Chamber of Commerce, the highly competitive global meat market could be worth up to USD 1.6 trillion by 2018. Reports suggest that the halal sector in Pakistan is striving to create a niche for itself in this highly competitive global market. Statistics from the Bureau of Statistics reveal the country’s halal meat exports rose to USD 230.2 million during 2013-14, a 9% increase over 2012-13. This is due to promotions by the government and the ban on export of live animals.
H5N1 behind turkey deaths in Kerala
[05 February 2015] The High Security Animal Diseases Laboratory in Bhopal has confirmed that H5N1 was the cause of death of turkeys at a Government Turkey Farm in Kerala, India. “Of the more than 8000 turkeys raised at the farm, 6000 were culled while the rest had died from the disease,” Dr B Aravind, Assistant Director of Animal Husbandry Department said. The farm will closed for three months. According to Dr Aravind, chicken and ducks within a 1km radius were culled as per standard protocol.
|Maximising genetic potential through nutrition|
[04 February 2015] Genetic improvements have resulted in sows with a larger mature body size that are capable of producing larger litter sizes and greater milk production. The right nutrition is critical for modern sows to realise their genetic potential to support large litters and produce healthy pigs. At the 2015 Pig Feed Quality Conference (PigFQC) organised by Asian Agribiz, the latest developments in sow nutrition will be a focus topic. Other topics to be covered by regional and international speakers include the role of nutrition in maximising reproduction and productivity of the modern sow, how to increase the sows’ voluntary feed intake using NSP degrading enzymes, and how bio-emulsifiers can improve energy utilisation. The PigFQC will run on April 9-10 in Ho Chi Minh City, Vietnam. Click here for more information about this two-day conference.
|Broiler to see fastest production development in Asia|
[04 February 2015] Towards 2020, in the race of production gains in Asia, the broiler chicken will emerge as the winner over all other meats, experiencing the fastest production development in nearly all countries in the region. Rupert Claxton, senior Gira consultant told Asian Agribiz that the faster rate of growth will be possible due to its lower cost of production, including better feed conversion ratio and faster production cycle, making for a cheaper end product, with more appeal to the consumer. He said technology gains will help reduce the industries’ drain on natural resources. “The key will be for Asian producers to adopt suitable technologies for their environment and systems, which are not necessarily the best available, and then adapt and learn from mistakes already made in their application elsewhere,” he said.
|CAB Cakaran to spend USD5m to expand breeder farms|
[04 February 2015] CAB Cakaran Corp has said it will spend around USD 4.13-5.51 million this year to expand its breeder farms in the northern Malaysian state of Kedah. It will also continue to be on the lookout to acquire more breeder and broiler farms. “Our goal is to produce 5 million birds/month from our broiler business by next year. This is achievable as we are already at some 3.3-3.6 million birds/month. Tong Huat will increase the broiler numbers by another 550,000-600,000 birds,” said Christopher Chuah, Managing Director. Tong Huat Poultry Processing Factory Pte Ltd is its new Singapore-based subsidiary. He adds that CAB Cakaran’s poultry margins would improve closer to 5% from its current 3.6%, as it achieves economies of scale. Currently, CAB has 10 breeder farms and 117 broiler farms throughout Malaysia. For the fourth quarter ended September 30, 2014 its net profit was down 36.3% to USD 1.85 million on the back of a 5.09% increase in revenue to USD 49.38 million. For the full year, net profit dropped 6.44% to USD 3.08 million while revenue was up 10.4% to USD 185.26.
|Chinese policy document gives GM technology short shrift|
[04 February 2015] The Chinese government gives scant encouragement to boosters of GM corn technology in its 2015 document on agricultural policy. The annual policy paper, called the No. 1 Document to emphasise the importance of agriculture, is issued jointly by the Communist Party’s Central Committee and the government’s State Council. The document calls for agricultural modernisation on many fronts, but devotes only a single phrase to GM organisms: “(China will) strengthen research into GM technology while ensuring the safety and scientific distribution of the technology.” While many Chinese scientists support introducing GM corn seed, saying it will increase yields and reduce reliance on imports, the public is sceptical about the safety of GM crops. The government has approved several varieties of corn, soybeans and other GM crops for import.
|Russia interested in Philippine pork|
[04 February 2015] Russia is interested in importing pork from the Philippines and is now in talks with Philippine authorities to clarify trade regulations, a report by BusinessMirror said. Citing National Meat Inspection Service Director Dr Minda Manantan, it said Russia still has to inspect Philippine facilities before deciding whether to import pork. The Philippines is an FMD-free country but it has yet to ship pork to overseas markets. In October 2014, Russia approved the import of crocodile meat from the Philippines.
|Perikanan Nusantara to increase fish production|
[04 February 2015] Indonesia’s government this year plans to allocate some USD 15.7 million to PT Perikanan Nusantara, a state-owned company involved in fish processing and frozen fish export. Abdussalam Konstituanto, President Director, said the fund will be used for capital expenditure. “With this our production is targeted to reach 50,000 tonnes,” he said. The company plans to buy two new 500 GT fishing vessels to improve catches. At the moment the company only has six 40 GT vessels. “We will also cooperate with more than 10,000 fishermen to secure raw material for our processing facilities,” said Mr Abdussalam. He added that the company will also set up new cold storage facilities. Perikanan Nusantara produces frozen tuna and skipjack for export. It also produces other processed products like fishballs, sausages and fish sticks, as well as canned fish and fishmeal for local and export markets.
|Minh Phu courts foreign investors to expand|
[03 February 2015] Minh Phu Seafood Corp, Vietnam’s largest seafood exporter by value will seek to sell half of itself to foreign strategic investors to help fund overseas expansion and become a global shrimp company by 2020. The company aims to complete the sale this year after it gets approval to delist from the Ho Chi Minh City Stock Exchange this quarter. Minh Phu’s net income is forecast to jump 55% to USD 66 million this year, with sales reaching USD 1 billion, mainly from exports. The company plans to build shrimp processing companies and distribution units in India, Indonesia and the Philippines in the next five years. It also plans to build a 40,000-tonne shrimp processing plant in Ca Mau province this year and another with the same capacity in Hau Giang province in the next three years.
|Indonesian feed prices stay due to weak rupiah |
[03 February 2015] Analyst s have predicted that Indonesia’s poultry companies this year will enjoy a more favourable business environment with lower commodity prices. US soybeans declined 7.3% in two weeks, the biggest since July, while corn shed more than 4% over the same period. Despite this, Dr Desianto Budi Utomo, Secretary General of the Indonesian Feed Millers Association (GPMT), told Asian Agribiz: “We don’t enjoy lower prices as our currency is still weak and we are not able to lower the price of feed.” Dr Desianto said GPMT has predicted corn imports this year may reach some 3 million tonnes, the same as last year. Animal feed production this year is estimated to grow 10% to 17 million tonnes from 15.5 million tonnes in the previous year.
|Taiwan troubled by different subtypes of AI|
[03 February 2015] Taiwan reported on January 28 more than 100 avian flu outbreaks of three different subtypes. In a report to the World Organisation for Animal Health, OIE, Taiwan officials said 108 waterfowl farms were struck by HPAI H5N8. The farms are in Changhua, Yunlin, Chiayi, and Pingtung counties and the cities of Tainan, Kaohsiung, and Taichung. Officials said 52 of the farms were also affected by HPAI H5N2 while HPAI H5N3 was reported at three goose farms in Pingtung County. Two of these were also affected by H5N2 outbreaks. Movement restrictions have been imposed at the affected farms, which will be cleaned and disinfected after culling is completed. Farms within 3km of the outbreak sites will be under surveillance for three months.
|Frozen chicken seized at Malaysia-Thai border|
[03 February 2015] Malaysian Customs officers seized 1250 boxes of frozen chicken weighing 15 tonnes, worth USD 28,000 at the Customs, Immigration and Quarantine (CIQ) complex at the Thai-Malaysia border in January. State Customs Director Abdul Latif Abdul Kadir said officers from the Import and Export Division confiscated the chicken from Thailand after finding that documents submitted was false. “The document which expired on January 2 was modified to January 22 to enable the goods to be brought into Malaysia. “The high quality frozen chicken with halal certification was headed for Kuala Lumpur,” he told reporters at the Kedah state Customs Headquarters.
|Pakistan can double broiler production in five years|
[03 February 2015] The Pakistan poultry industry has the capacity to double broiler production from 1.5 to 3 billion birds in five years, provided the government ensures an enabling business environment, said Pakistan Poultry Association Chairman, Dr Mustafa Kamal. Poultry farmers want the government to ensure 24/7 power supply to farms, most of which are located in rural areas where the load shedding duration is very long. He said this would substantially reduce the cost of electricity, as farmers are now forced to produce high cost power from diesel generators.
|Indian farmers consider return to black tiger shrimp|
[03 February 2015] India’s production of vannamei shrimp is likely to drop in 2015, as farmers face disease issues and are considering a shift to producing black tiger instead, reports Undercurrent News. Running mortality syndrome (RMS) is a problem currently faced by producers across Tamil Nadu and Andhra Pradesh – regions that represent 20% and 60% of the country’s shrimp production respectively. Mortality rates from RMS have reached 70% in most cases, with no cure at the moment. As a result, farmers are considering a reverse in the trend with a switch to black tiger farming.
|SFP launches aquaculture projects in Indonesia, China, Thailand|
[03 February 2015] The Sustainable Fisheries Partnership (SFP), with funding from the Walmart Foundation, is launching aquaculture improvement projects in Indonesia, China and Thailand. Shrimp farmers in Indonesia and Thailand and tilapia farmers in China will receive training and knowledge to help them improve their livelihood and increase collaboration to manage and improve water quality and reduce incidences of disease outbreaks. “We are proud to support SFP on this project, which combines environmental sustainability with preserving and sustaining important food sources,” said Kathleen McLaughlin, President, Walmart Foundation.
Promising developments in Indonesian meat protein
[02 February 2015]
Meat processing may record 15% growth
Despite a number of challenges, Ishana Mahisa, Chairman of Indonesia’s National Meat Processors Association (Nampa), is optimistic that the meat processing industry this year could grow at least 15% over the previous year. “Over the past three years, this industry has been growing ahead of the average growth rate of the food industry of about 10%,” he told Asian Agribiz. However, beef products will not grow significantly this year due to the secondary meat import ban. Chicken products however are predicted to grow more than 20%. “This industry can grow significantly as long as meat availability is assured,” he stressed. Nampa predicted that the total output of processed meat products in 2014 may reach some 180,000 tonnes. With a predicted growth of 15%, this year the total output may reach 200,000-215,000 tonnes.
First shipments to Japan expected in Q1
Indonesia’s poultry companies will enjoy a more favourable business environment this year with the lifting of Japan’s ban on processed-chicken imports from Indonesia. Syukur Iwantoro, Director General of Livestock and Animal Health, said the ban lasted around 10 years. The Japanese authorities have approved exports by Charoen Pokphand Indonesia, Japfa Comfeed Indonesia and Malindo Feedmill. Dr Desianto Budi Utomo, Vice President for Government Liaison of Charoen Pokphand Indonesia, told Asian Agribiz that the company is targeting for the first shipment to leave by mid-February. “This could lead to exports to other foreign countries, especially the Middle East.” Rewin Hanrahan, Malindo Feedmill Director, told Asian Agribiz that the company expects its initial exports in Q1 2015 and hopes to grab a market of 800-1200 tonnes a year with a value of USD 5 million.
2014 golden year for pig farmers
Last year was a golden year for pig farmers in Indonesia Phaithoon N Na Ayudhaya, Business Development Advisor & Swine Specialist of Charoen Pokphand Indonesia, told Asian Agribiz. “The price of live pigs reached USD 2.74 per kg for some months. With production cost around USD 2-2.1, farmers got a good profit. Farmers in Central Java gained most due to the availability of local feed ingredients like corn and rice bran and its proximity to the market in Jakarta,” he said. The high price was led by an oversupply in the two years prior which led many farmers to exit the industry. Higher demand from Jakarta, especially from the Horeca sector (hotel, restaurant, catering) helped raise prices, Mr Phaitoon added.
Pig population predicted to reach 7 million heads
Indonesia’s pig population was expected to grow by 20% in 2014 due to the high price of live pigs. Mr Phaithoon N Na Ayudhaya, Business Development Advisor & Swine Specialist of Charoen Pokphand Indonesia, told Asian Agribiz that the figure would be the same as in 2012 after which it declined 30% in 2013 due to low prices. “The standing population of pigs in Indonesia in 2014 will reach around 6-7 million heads,” he estimated. But this will only happen in production centres beyond Java as permits for expansion and is hard to obtain. Even in Bandung, West Java, pig farms are banned for social and religious reasons.”
Meat processors need 20,800t beef
Indonesia’s National Meat Processors Association (Nampa) has estimated that this year the meat processing industry will need some 20,600-20,800 tonnes of beef. Nampa Chairman Ishana Mahisa told Asian Agribiz, of this, around 2500-2700 tonnes are secondary meat like knuckle and brisket that are mainly processed into smoked beef and beef bacon. The remainder 18,100 tonnes are manufacturing meat (65-95% chemical lean) for meatballs and sausages. Early this year the Ministry of Trade issued a regulation that bans imports of secondary meat. “The ban will make meat processors and end consumers compete to get the meat and this will trigger price increases as local supply is limited,” said Mr Ishana.
Meat processors face electricity, labour problems
Fluctuating power tariffs are limiting the growth of meat processors. State-owned electricity company PLN claimed that the tariff increase is adjusted according to exchange rates and energy prices. “The tariff increase affect our total production cost. It will also limit the growth of the cold chain in Indonesia,” Ishana Mahisa, Chairman of the National Meat Processors Association, told Asian Agribiz. Labour cost is also increasing, he added. “Due to this many Nampa members this year will automate their production for better efficiency. Packaging will be their main focus as this currently entails a lot of labour.”
Indonesia targets USD5.86m revenue from fish exports
Indonesia’s Ministry of Fisheries and Maritime Affairs expects seafood exports this year to reach USD 5.86 billion or an increase of 27% from the previous year. Fish production this year is targeted to reach 24.12 million tonnes, where 6.29 million tonnes will be from capture fishery and 17.83 million from aquaculture. “Our exports are still behind other countries like Thailand and Vietnam,” said Susi Pudjiastuti, Minister of Fisheries and Maritime Affairs. According to Indroyono Susilo, Coordinating Maritime Affairs Minister, from 2015 to 2019 shrimp, tilapia and catfish will be the focus of the aquaculture program. The ministry will develop 100 integrated aquaculture centres in different regions as brood stock and feed production centres as well as for training and education. To comply with international standards, the ministry will continue to certify fish & shrimp farms and hatcheries. At the moment, there are 8200 fish & shrimp farms and 465 hatcheries that have received Good Aquaculture Practices certification.
|SMPF confirms buy out Hormel in Vietnam venture|
[30 January 2014] San Miguel Pure Foods Co Inc (SMPFCI), the food manufacturing division of Philippine conglomerate San Miguel Corp (SMC), has confirmed that it will buy out its Hormel Netherlands BV from their joint venture in Vietnam. SMPFCI said its wholly-owned unit San Miguel Purefoods International Ltd signed an agreement to acquire Hormel’s 49% stake in San Miguel Pure Foods Investment (BVI) Ltd, which is the sole investor in San Miguel Hormel (Vn) Co Ltd, which is engaged in live hog farming and the production of feeds as well as fresh and processed meats. Earlier this month, SMPFCI President Francisco Alejo III said that the company is planning to expand in Asean, with new facilities in Indonesia and Vietnam, where it already has a presence, as well as venture into new markets like Malaysia and Thailand.
|China reports more H7N9 cases |
[30 January 2014] Two new cases of H7N9 human infections in China has brought the total number of cases reported by Hong Kong's Centre for Health Protection (CHP) up to 499 so far. Both new cases are in Guangdong province, continuing the spate of cases reported from there recently. The CHP said that a number of surveillance measures have been implemented in response to the continuing cases, such as temperature checks for inbound travellers, and the public has been warned to avoid visiting poultry markets and farms, avoid crowds, wear a mask if respiratory symptoms develop, and practice careful hand washing.
|Lower oil prices to contribute to lower food prices |
[30 January 2014] The recent oil price drop will have implications for the global food supply chain, said Rabobank. “The size of the drop in oil prices combined with the already significantly lowered agri-commodities will place substantial downward pressure on global food prices, possibly reaching multi-year lows,” said Rabobank’s Clara van der Elst. The price declines of both oil and agri commodities will contribute to lower costs for food production, and in the current global macro-economic climate, Rabobank expects this will eventually lead to lower consumer food prices, with some sectors and regions benefitting from lower costs for longer, depending on the competitive settings.
|India challenges WTO panel ruling in poultry imports case|
[30 January 2014] India has challenged the World Trade Organization's (WTO) panel’s order issued on October 14 in 2014 ruling that the country’s ban on US poultry product imports was inconsistent with global norms. The appeal has been filed at the Dispute Settlement Board of the WTO. The WTO Secretariat has confirmed receipt of the notice by India announcing its decision to appeal. India banned imports of poultry products from the US in 2007 as a precautionary measure against outbreaks of avian influenza.
|Pork in South Korea is now full traceable|
[30 January 2014] Pork in South Korea is now fully traceable across the entire supply chain, according to the country’s Ministry of Agriculture, Food and Rural Affairs. Problems with an earlier pilot project, in operation since October 2012, have been addressed and all pork, from breeding to butchering, packaging and sales have been fully traceable since last December. The ministry said the reason for the focus on pork was to identify the causes of any potential issues regarding the protein and “to provide prompt measures to collect and discharge the problematic meat if and when necessary by recording information of trade stages from breeding to sales”. Consumers are now able to access information such as the location of pig breeders, the date of butchery, butchery inspection results and profiles of the packaging companies.
|HKScan to export pork to China from its Forssa plant|
[30 January 2014] China will soon receive meat from Finland’s HKScan Group. The company recently announced that its Forssa pork slaughtering plant received the thumbs up from Chinese food authorities following successful inspections last August. The company awaits export certification from China. HKScan said Russia was formerly a major export destination, so the opening of a new market in China was important in the wake of the bans imposed by Russia last January. According to the firm approximately 60% of the pork exported from Finland comes from its Forssa facility. The company is keen to export other meat products suited to local culinary preferences including poultry meat, processed meats and convenience foods.
|Gunung Sewu takes over Sierad Produce|
[29 January 2014] Indonesia’s Gunung Sewu Group, which is controlled by the Angkosubroto family, through its subsidiary Great Giant Pineapple will take over 63% of the shares of Sierad Produce, one of the largest poultry companies in Indonesia. Sierad will publish as many as 2.1 billion new shares with a total rights issue value of USD 87.2 million. Sierad's management said the three previous investors who have a stake of 41.23% namely Jade Field Assets Ltd, Harvest Agents Ltd and Kingdom Industrial Ltd will not take part in this. In agribusiness, Gunung Sewu has businesses in the field of pineapple plantation and processing, cattle feedlots, banana plantations and tapioca production.
|GFSI to promote food safety in Asean|
[29 January 2014] For the first time, the flagship food safety event of the Global Food Safety Initiative (GFSI) will be held in Asia in 2015 after 13 successful editions in Europe and North America. With many companies increasing their operations in the Asean region, the GFSI Board has decided to communicate its objectives to a wider audience in Kuala Lumpur, Malaysia from March 3-5. Under the theme “Food Safety: a Shared Responsibility”, this year’s program addresses hot topics from both global and regional (APAC) angles. More details available here.
|Challenges for India's pig industry|
[29 January 2014] Pork accounts for only 5% of India's animal protein sources mainly due to religious sentiments and cultural perceptions. A report by the International Livestock Research Institute (ILRI) said over a quarter of India’s pigs are in the North Eastern Region (NER), which is dominated by marginal backyard farmers. Sujit Kumar, country representative for Hypor in India told Asian Agribiz that the meat is sold as fresh warm meat from wet markets. Pigs are also reared in backyard and unorganised sectors in Kerala state. There are also a few organised but scattered farms in the states of West Bengal, Bihar, Karnataka, Haryana and Punjab, according to industry sources. Basic Animal Husbandry & Fisheries Statistics revealed that in 2011-2012, an estimated 11.83 million pigs were slaughtered in India, and the yield was only 39 kg/pig.
|Philippine pig producers say no need for more imports|
[29 January 2014] Reacting to a statement by the Danish Ministry of Foreign Affairs that Denmark is looking to sell its pork-based products to Southeast Asia, particularly the Philippines and Vietnam, Philippine hog raisers said they have the capability to supply the country’s requirements without having to resort to additional meat imports, a report by BusinessMirror said. The report cited Rosendo So, head of Sinag, a multisectoral group that includes hog farmers, saying additional imports and smuggling “have hurt the local meat industry.” He reiterated calls for the government to address the technical smuggling of pork, saying some unscrupulous importers either misdeclare their shipments as pork offal to pay lower tariffs. He also called on the government to provide more support to the industry to make it more competitive in the export market.
|India’s soymeal exports set to hit 26-year low|
[29 January 2014] India's soymeal exports are set to hit a 26-year low in the 2014-15 year ending March as easing of sanctions against Iran has allowed the key buyer to opt for cheaper South American supplies, industry officials said. According to the country's biggest soybean processor Ruchi Soya Industries Ltd, India's 2014-15 soymeal exports could drop to 800,000 tonnes, which is the lowest since 1988-89. Since Soymeal from India costs 5-10% more than supplies from Argentina and Brazil, top buyers of Indian soymeal such as Iran and Japan are turning away. India exported 140,400 tonnes of soymeal to Iran over April to December last year, against record shipments of 1.23 million tonnes in 2013-14.
|Nissui sells its Indonesia shrimp farms|
[29 January 2014] Japan’s Nippon Suisan Kaisha (Nissui) has sold all shares of its Indonesia shrimp farms to Trawl Fleet Preobrazhenskaya Base OAO, a Russia-based pollock catcher. The decision was made at a Nissui’s board meeting on January 22. According to the company’s announcement, Nissui will forgive all debts from PT Nippon Suisan Indonesia, a subsidiary engaged in shrimp farming that stopped operations in 2012. Trawl Fleet Preobrazhenskaya, headquartered in Primorye, has paid USD 142,000 for a total of 69.5 million shares, Nissui said.
|Positive Q1 expected for China's pig sector|
[28 January 2014] Turbulence is expected to remain with uncertainty in the global pig market in 2015 due to the possible reemergence of PEDv, the developments regarding African swine fever (ASF), the Russian ban and exchange rate developments across the globe, said Rabobank in its Pork Quarterly Q1 report. Driven by production growth after PEDv, Rabobank expects a further cooling down of markets and resulting price pressure in Q1 2015," said Albert Vernooij, Animal Protein analyst, Rabobank. China however, alongside Brazil is expected to experience a positive Q1. In China, the declining sow herd will only be partly compensated by increasing sow productivity, resulting in pressured production which will support prices.
|India to curb antibiotic use in poultry, animal feed|
[28 January 2014] The Food Safety and Standards Authority of India (FSSAI), the apex government body handling food related issues in India has issued a draft notification prohibiting the use of antibiotics as growth promoters in the poultry and animal husbandry sectors. “We have directed provincial governments to stop use of hormones as growth promoters in poultry and meat as there are known adverse effects on human and animal life,” according to an official in FSSAI. The food regulator has invited comments from stakeholders in this regard and a final notification or order will be passed accordingly.
|Big Dutchman’s buys Proline|
[28 January 2014] The Big Dutchman Group from Germany has acquired a controlling interest in Canada-based Proline Group to strengthen its position in Asia. With about 50 employees globally, Proline is a leading supplier of production technologies for the pig, poultry, and grain handling industries in Asia and Oceania. Its brands are PigPro, ChickPro and GrainPro. Proline has been present in Asia since 1991. Its regional focus, among others, lies in countries such as the Philippines, Vietnam, Australia and China.
Asian Pork Magazine, February 2014 – a sneak peek
[28 January 2014]
Thai pig industry opts for quality meat and exports
Thai pig producers realise the potential and opportunities for the sector, especially now that Russia has opened its market for Thai pork. However, challenges especially on safety issues linger. NITSARA THONGRUNG spoke with the Thai Swine Raisers Association and the Swine Producers and Processors for Exporting Association about the current situation in the Thai pig industry, its issues and concerns and the long term goal.
GreenFeed promotes good swine genetics
Stiff competition in Vietnam’s feedmilling sector has caused feedmillers to take on a broader strategy in their businesses. Foreign and local feedmillers, like GreenFeed Vietnam Corporation, have picked out genetics as the weakest link in the value chain and are ready to offer solutions, RACHAEL PHILIP writes.
Yurun boards the e-commerce train
Retail e-commerce is exploding in China. More and more people are shopping online, buying a bigger variety of products. Now young, urban, internet-savvy, social media-wired consumers are even demanding perishable food like pork meat and other meat products delivered to their doorsteps. RICH HERZFELDER writes one Chinese company is blazing the trail.
FeedPro boosts backyard pig raising
Backyard pig farmers remain the backbone of the Philippine pig industry, but many have been forced out of the business due to high production costs and inefficiencies. ISA Q TAN writes that one company is on a mission to help backyard raisers remain afloat and profitable even with the threat of a more competitive market.
Feed processing – unlocking the nutrient potential – part 2
There still exists a considerable gap between the gross-nutrient content of feedstuffs and that which can be captured by the pig writes TONY EDWARDS. In this last of a two-part series he examines the impact of particle size.
Using biomarkers to detect mycotoxin exposure in swine
For more than 30 years, scientists have worked on the development of so-called ‘biomarkers’ to link health effects and exposure to mycotoxin contamination by measuring one crucial parameter in the blood, gall or other physiological samples. CHRISTINA SCHWAB discusses what are the potentials and pitfalls for mycotoxin biomarkers.
|Indonesia bans live GGP, GP imports |
[27 January 2014] with the rise in avian influenza cases, specifically H5N8 in the US, the Netherland, Germany and Australia, Indonesia’s Ministry of Agriculture has banned the import of live GGP and GP from those countries. However imports in the form of hatching eggs are still allowed. “The measure is to prevent AI virus transfer through live DOC importation,” said Syukur Iwantoro, Director General of Livestock and Animal Health. Mr Syukur said at the moment only two GGP/GP exporting countries are still free from H5N8 namely France and New Zealand. However, he believes that the ban will not affect the number of GGP/GP imports from the US that accounts for 92% of the country’s total GGP/GP import since the bird strains are different.
|Four-day ban on slaughter in Taiwan|
[27 January 2014] With 414 farms confirmed infected with various strains of avian flu, including the new H5N2, as well as H5N8 and H5N3, Taiwan began a four-day ban on the killing of chickens, ducks and geese at slaughterhouses across the island, last Saturday until Wednesday . The agriculture council said that a total of 605,308 birds have been culled at 276 affected farms. Chen Bao-ji, head of the agriculture council, said the ban will last until Wednesday noon, during which slaughterhouses will be cleaned and disinfected.
|Brazil’s WTO move raises fears in Indonesia |
[27 January 2014] Brazil is ramping up efforts at the World Trade Organisation (WTO) to resolve a long-standing dispute with Indonesia, which has placed restrictions on the South American country’s chicken exports. Commenting on the news, Don P Utoyo, President of the Indonesian Poultry Society Federation, said the news has raised fears among industry players. “If imports of Brazilian chicken are allowed, the Indonesian poultry industry, from the upstream to the downstream, will suffer losses,” said Mr Don. He calculated that the total losses – from breeding, commercial farming, feed milling, veterinary drugs and processing – can potentially reach USD 30 billion.
|Burger King introduces double pork burger to Beijing|
[27 January 2014] Pork makes up almost two-thirds of the Chinese meat diet, but Western QSRs have not had much success putting the most popular meat onto their menus. Now Burger King is making a new effort to crack the code with its double pork burger, two grilled pork patties on a hamburger bun. The item is part of Burger King’s ‘King Value’ menu, introduced to Beijing outlets late last year. With China’s beef price at an all-time high, the pork burger also provides a lower price point for customers. Burger King’s Beijing outlets recently raised the price of its basic all-beef Whopper to USD 3.60, but for the same price you can get a set meal of double pork burger, fries and a Pepsi. A standalone pork burger is just USD 1.57.
|Vietnam seafood exports up in 2014 |
[27 January 2014] Vietnam’s seafood exports surged in 2014 with an export turnover of USD 7.9 billion, the highest in three years. This exceeded the target of the Vietnam Association of Seafood Exporters and Producers (Vasep) by USD 920 million and was an 18.4% increase on 2013. According to Asia Briefing Ltd, by end 2014, orders to its key markets slowed down, however, an increase in exports to Asean nations and China made up the shortfall. “It is worthwhile to note that the main reasons for growth were external rather than because of quality. This could prevent growth from continuing in 2015,” said the report. For 2015, Vasep has set a target of USD8 billion. “The biggest challenges will be due to the new safety standards that are expected to be implemented later this year,” said the report.
|Brunei’s Golden Corp to boost shrimp output by 2017|
[27 January 2014] Brunei-based seafood processing firm Golden Corp processes more than 60 tonnes of shrimp per month and exports them to China, Hong Kong, Taiwan, South Korea, Japan and the US. The company said it has acquired 2 million sq km of land in the Tutong district to breed organic blue shrimps and plans to increase its annual production from 1000 tonnes to 5000 tonnes by 2017. Golden Corp’s MD Richard Chuang Hsi Shan said: “There are four zones at the shrimp farm and we are hoping to get Zone A fully operational by early 2015.”
|Kambing Burja to improve pedigree recording |
[26 January 2014] With helps from the Animal Husbandry Agency of East Java province, Indonesia, Kambing Burja Farm located in Malang plans to improve its pedigree-recording program. M Alexander, owner of the Boer goat farm, told Asian Agribiz: “This is in response to demand from Malaysia. They need a supply of Boer goats for breeding, but they require a good pedigree recording to determine the quality of the bucks and does.” At the moment Mr Alexander raises more than 500 heads of Boer goat with parent stock imported from Australia. Every month he mixes around 32 tonnes of feed that consist of forage, concentrates, and premixes & feed additives from Trouw Nutrition.
|CPF shrimp unit’s recovery slower than expected|
[26 January 2014] Thai agribusiness giant Charoen Pokphand Foods (CPF) is set to report reduced losses for its shrimp unit in Q4 2014, but still above the level expected by analysts. The unit will post a USD 27.6 million operating loss for Q4 2014, shallower by 22% year-on-year, but seasonally deeper by 99% quarter-on-quarter, according to a report from brokerage Bualuang Securities. “The unit's recovery is proving weaker than we had earlier anticipated,” the brokerage noted. Bualuang Securities expects stronger numbers for the unit, from Q2 2015 through H2 2015. CPF’s shrimp operating loss should ease to USD 30.7 million for 2015, an improvement on USD 107.4 million for 2014. Bualuang Securities is basing this recovery on a greater industry-wide shrimp output of 280,000-300,000 tonnes, compared with 200,000-220,000 tonnes in 2014.
|Promising future for Indonesian poultry firms|
[26 January 2014] Indonesian poultry companies will enjoy a more favourable business environment this year with lower commodity prices and the lifting of Japan’s ban on processed chicken imports from Indonesia, according to analysts. Michael W. Setjoadi, Bahana Securities Analyst, said that lower corn and soybean prices would help offset the adverse impact of rupiah depreciation. US soybeans declined 7.3% in two weeks, the highest since July 2014, while corn shed more than 4% over the same period. In addition to the drop in commodity prices, the country’s poultry industry would likely also benefit from stabilised prices of DOC and broilers, according to UOB Kay Hian Analyst Franky Kumendong. The DOC price currently stands at around USD 0.24/chick, far better than the price in October 2014 of around USD 0.08-0.12. The average broiler price has also surged to around USD 1.36/kg from around USD 1/kg in October 2014.
Asian Agribiz Dairy update
[26 January 2015]
Amul to invest USD 814 million in processing plants
Indian dairy products giant Amul is planning to invest USD 814 million to set up around 10 milk processing plants in the next financial year in order to achieve a revenue target of about USD 8 billion by 2020. Revealing this at the India Food Forum 2015, Managing Director of Amul R S Sodhi said this includes two plants in Delhi, three in Uttar Pradesh, one each in Kolkata and Maharashtra and the rest in Gujarat. “Amul is on track to achieve annual revenue of USD 3 billion this year,” Mr Sodhi said. Amul, the dairy cooperative based in Anand district of Gujarat, formed in 1946, is a brand managed by Gujarat Co-operative Milk Marketing Federation.
Malaysia’s F&N to invest USD 9.12m in Thailand
Fraser & Neave Holdings Bhd (F&N) has set aside USD 9.12 million in capital expenditure to support the double-digit revenue growth of its Thai dairy division. Lim Yew Hoe, Chief Executive Officer, said the amount would be used to expand the company’s production capacity in Thailand by adding one tall can packaging line for evaporated milk. “We want to take advantage of the growth in the evaporated milk segment in Thailand. The expansion will support our double-digit growth from Thailand,” he told reporters after the company’s annual general meeting (AGM) in Kuala Lumpur. The capex is in addition to the USD 13.88 million allocated for maintenance of all its other operations in Malaysia and Thailand.
ITC to venture into dairy, fruit juices sectors
Indian Tobacco Company Limited (ITC) is gearing up to venture into the branded dairy and fruit juice sectors over the next few months. The company is setting up its first dairy plant in Munger district in Bihar state to manufacture value-added milk products. Chitranjan Dar, CEO of ITC Foods, said the company is developing a back-end structure to ensure an increase in milk yields and milk-processing capacity. ITC plans to invest USD 142 million in 2015, and plans to position the dairy products and fruit beverages on the health platform.
|Monsanto, Cargill to develop corn farming in Indonesia|
[23 January 2014] Under the umbrella of PISAgro, a cooperation platform between the government and private sector in Indonesia on food security, Monsanto Indonesia, Cargill Indonesia and Bank Rakyat Indonesia (BRI) have established a pilot corn farming project in Mojokerto, East Java. The project involves 50 corn farmers and a land area of 100ha. PISAgro’s role is to select eligible corn farmers, while Monsanto provides hybrid corn seeds and technical assistance. BRI offers working capital at a rate of 5.5% and Cargill will buy the harvest. Arief Susanto, Cargill Corporate Affairs Director, said the project is a good model and will help grow farmers’ skills and well-being. From the first crop in November last year, corn productivity per ha was 14% higher than the average 7 tonnes in the region. With the good result, PISAgro plans to replicate the project in other regions.
|India tightens rules for US chicken leg imports|
[23 January 2014] In an effort to protect its domestic poultry industry from cheap chicken leg imports from the US, India plans to tighten the rules. The Indian government has proposed to ban frozen chicken older than six months and poultry with hormones or fed genetically modified feed. It is expected that this new standards could offer some protection to the growing domestic poultry industry from competitively priced American chicken legs. India is preparing to contest a WTO ruling to lift the ban on US poultry imports to India and the appeal is expected to be filed within two days.
|Danish food exports to expand to Southeast Asia|
[23 January 2014] Denmark is making a push to sell its pork-based food and other products in new Southeast Asian markets to offset the negative impact of the Russian food boycott and low European food prices, its Ministry of Foreign Affairs said in a press release. “The Russian import ban hurts,” said Mogens Jensen, Minister of Trade and Development. “But we are helping to open new markets for Danish export companies particularly in Vietnam and the Philippines, which have high growth rates of 6-7% and a great demand for pork.”
Asian Feed Magazine, February/March 2014 – a sneak peek
[23 January 2014]
De Heus packs in automation in new plant
Assured of their growth in Vietnam, De Heus’ latest feedmill is a prototype of the kind of mills the company will be building in the country. Featuring high-end technology and robot arms, the Dong Nai plant requires only 50% of the workforce compared to its older plants, RACHAEL PHILIP writes.
Maharashtra Feeds races ahead with its seventh mill
India’s Maharashtra Feeds Pvt Ltd has been launching about one new mill every year since 2006. Growing demand and confidence in its products have placed the company one up above its competitors. Innovation such as toasted guar korma to be used as a replacement ingredient for soybean meal has also placed the company in good stead among its customers, RACHAEL PHILIP writes.
New developments in the precise application of enzymes post-pelleting
Post-pelleting liquid application (PPLA) of enzymes and other heat-sensitive feed additives reduces the risk associated with heat damage during the conditioning/pelleting process. HANS CHRISTOPH WAGNER reviews the advantages of using simple to install Controlled Droplet Applicator (CDA) technology for the precise and accurate application of enzymes in the post-pelleting process.
NIR: Practical applications for feedmills
IVAN WARD writes that a validated near infrared (NIR) spectroscopy platform and continual monitoring can provide reliable data to make correct decisions that can save money and ensure that feed is within specifications.
|Malindo ready to export to Japan|
[22 January 2015] Malindo Food Delight, a subsidiary of Indonesia’s Malindo Feedmill, has received the approval from the Japanese government and is now ready to export its processed chicken products like nuggets and karaage to Japan. Director Rewin Hanrahan said the approval reflects the quality of our products since we can meet the strict food standards of the Japanese market. Malindo views this as a stepping-stone to enter other foreign markets. “We are also targeting the Singapore and Middle East markets,” said Mr Rewin. With this opportunity, Malindo plans to increase the capacity utilisation of its 7000 tonnes/year further processing plant which now stands at 30%.
|Ba Huan opens processing plant in Long An|
[22 January 2015] Vietnamese poultry company Ba Huan Co Ltd has commissioned the first phase of a processing plant covering 7ha in Duc Hoa District in the southern province of Long An, costing over USD 2.8 million. Pham Thi Huan, Director, said the facility consists of a 1500-2500 bird/hour slaughterhouse and a 5-10 tonnes/day further processing line. Mr Huan said the plant will produce dressed chicken, chicken sausages, eggs, flans and other ready-to-eat chicken products for the domestic market. The plant is part of the company’s strategy to develop a closed system from farming to processing poultry to ensure food safety and hygiene.
|Industry in Bangladesh suffer losses due to blockade|
[22 January 2015] The poultry industry in Bangladesh has been badly hit by the shutdown and blockade called by Bangladesh National Party (BNP) leader Khaleda Zia. According to Chairman of the Bangladesh Poultry Industries Coordination Committee (BPICC), Moshiur Rahman, the poultry sector is facing very difficult times and has suffered losses to the tune of USD 33 million over the last two weeks due to the nonstop blockade. “We have no other option than to destroy the DOCs and eggs as we cannot ship these items on the same day,” he said adding that the farms lack storage and preservation facilities.
|Saliman Group inaugurates first further processing plant|
[22 January 2015] Saliman Group, an Indonesian poultry integrator based in Jogjakarta, recently inaugurated its first further processing plant in Sleman, Jogjakarta. Operated by its subsidiary Sera Food Indonesia, the new plant produces chicken nuggets, meatballs, spicy wings and sausages under the ‘Hato’ and ‘Ooye’ brands. Atie Raharjo, Sera Food Director, said the plant has an installed capacity of 650 tonnes/month and has halal, ISO 22000 and GMP certifications. Raw material for the plant is sourced from the group’s chicken slaughterhouse that receives supplies of live birds from its own broiler farms. Ms Atie said: “The further processing plant is our effort to integrate our business, as well as to prepare for the Asean Economic Community.”
|Poultry prices to come down by January-end in Pakistan|
[22 January 2015] The recent hike in prices of poultry products is temporary and the rates will gradually come down by the end of January, according to Dr Hassan Sarosh, Chairman of Pakistan Poultry Association (PPA). “Prices will soften as the demand-supply gap narrows due to favourable weather conditions,” he said. "The increase in price is due to the closure of poultry farms as farmers faced losses due to over-production. But now that the situation has eased farmers have come back to the industry,” Dr Hassan added.
|Philippines bans poultry from Vietnam, Italy and Holland|
[22 January 2015] The Philippines has imposed a temporary ban on imports of live poultry and poultry meat from some areas in Vietnam, Italy and the Netherlands following reports of high pathogenic avian influenza (H5 serotype) in these countries. The areas covered by the ban are Vinh Long and Tra Vinh, Vietnam; Veneto, Italy, Ter Arra, Zuid-Holland, and Kamperveen and Utrecht City, the Netherlands. Although these countries are not among the Philippines’ traditional sources of poultry meat, Agriculture Secretary Proceso Alcala noted that the bans must be in place “to prevent the entry of HPAI to protect the health of the public and the local poultry population.” The ban however, does not cover heat-treated poultry products.
|Indonesia lowers broiler GP import quota |
[21 January 2015] Indonesia’s Ministry of Agriculture has set this year’s import quota of broiler GP at 665,000 birds, compared to 720,000 birds in the previous year. Syukur Iwantoro, Director General of Livestock and Animal Health, said the quota was set after reviewing the supply and demand in 2014. “The quota was calculated based on the real demand of broiler DOC last year. Last year the production of broiler DOC reached 48 million/week, while demand was only 40 million,” explained Mr Syukur. “The decline in broiler GP import quota this year is aimed to prevent oversupply and maintain the stability of the selling price of live birds.”
|CP, Itochu to buy 20% of Citic Ltd|
[21 January 2015] Thailand’s Charoen Pokphand Group has joined hands with Japans’ Itochu Corp and agreed to pay about USD 10.4 billion for 20% of Citic Ltd, a major Chinese state-owned conglomerate. The agreement jibes with a new Chinese government policy of expanding outside investment in state firms in hopes of making them more productive and efficient. It also follows a thaw in Sino-Japanese political tensions after the Beijing APEC summit in November last year. While CP has extensive feed industry investments in China and Itochu is a major grain trader, Citic is not known for the agricultural component of its diversified investments, and the overall effect on the meat sector is likely to be small.
|Smuggled eggs from Thailand upset Myanmar market|
[21 January 2015] Poultry breeders in Myanmar fear the collapse of poultry market and the outbreak of bird flu with the continued influx of duck and chicken eggs smuggled from Thailand. More than 50,000 duck and chicken eggs were seized on December 14. In addition, the authorities seized more than 40,000 eggs in November 2014. “We are afraid of bird flu spreading through these smuggled eggs. The breeders in Thanphyuzayat faced losses as chickens from all poultry farms were culled after the last bird flu outbreak. It is difficult for a breeder to re-establish a poultry farm after the collapse,” said Nyo, a local breeder in Mawlamyine. “Chicken eggs from Thailand costs USD 0.05 in Mawlamyine. Local eggs cannot compete as the original cost is USD 0.07. The local poultry industry may face collapse in the long-run,” he said.
|No change in prices with lower fuel costs|
[21 January 2015] Following the collapse of fuel costs, Thailand’s Internal Trade Department said the prices of agricultural products may not change much. For example, pork will only see a price cut of 0.08%, eggs of 0.14% and chicken of 0.17%. The department will continue to discuss with producers and retailers about revising down some of their prices if it finds that their cost of production has dropped due to lower fuel prices. As a measure to protect consumers from unfair quotes, the department will dispatch teams of officials every week to the field to inspect prices and tags. It will also set up community markets in some areas to sell cheap products for consumers as part of the government's plans to help ease the cost of living.
|HCM City ensures meat supply for Tet |
[21 January 2015] Businesses in Ho Chi Minh City, Vietnam have completed plans to prepare goods for the Tet holiday, which falls on February 19. Van Duc Muoi, General Director of Vissan Limited Co, which processes and trades fresh and frozen meat and meat-related foods, told Vietnam News the company had prepared 46,000 pigs, 2000 cows and 4000 tonnes of processed food to serve customers, 10% more than the previous Tet. “There will be no price shock during Tet,” he said, adding that “we will slash prices sharply on days near Tet to stimulate consumption.” Many poultry and egg providers such as Ba Huan Co Ltd and Vinh Thanh Dat plan to increase supply by 10-15% for Tet.
|Fish processing plants in Sulawesi stop operations |
[21 January 2015] Eight fish processing plants in Bitung, North Sulawesi, Indonesia recently stopped their operations due to limited raw material supply resulting from the government’s ban on transhipment. Bahmi Said, Chairman of the Bitung Fish Processing Units Association, said they tried to get raw material from other regions like Kendari, Kotabaru and Muara Baru. However, the regions are also facing the same situation. “Because of this, we plan to import fresh fish from Maldives, China and India,” Mr Bahmi said. Normally fish processing plants in Bitung process around 1400 tonnes of fish per day, but due to the transhipment regulation, the production decreased by 20%.
|Nominations open for DSM Nutritional Sciences Award 2015|
[20 January 2015] Royal DSM is inviting nominations for the DSM Nutritional Sciences Award 2015 for research in the field of “Swine Nutrition“. The award, which carries a cash prize of EUR 50,000 forms part of DSM’s Bright Science Awards Program and recognises and rewards excellence in innovative research in the nutritional sciences. The theme for the Nutritional Sciences Award 2015 is ‘Optimum Swine Nutrition for Sustainable Food Production’. More information on the DSM Nutritional Sciences awards can be found at www.dsm.com/awards. The closing date for submissions is February 15, 2015.
|CAB Cakaran eyes 20% revenue growth in FY15|
[20 January 2015] Malaysia's CAB Cakaran Corporation Bhd expects to achieve more than 20% revenue growth for its financial year ending September 30, 2015 riding on its business expansion in Singapore. Christopher Chuah, Group Managing Director, said the acquisition of a 51% stake in Tong Huat Poultry Processing Factory Pte Ltd would allow the group to expand its broiler business to Singapore. “The company raked in sales of about USD 188 million last year and we expect close to USD 253 million in sales for FY15 with the Singapore business before hitting USD 281 million by FY16,” he said after the group's annual general meeting. He said the strategic acquisition had also enabled the group to expand its broiler farming activities to Johor Baharu, about 400km south from Kuala Lumpur, where it acquired a few pieces of land on which it can raise 2.2 million chickens.
|South Korea approves purchase of Thai chicken|
[20 January 2015] Thai exporters will soon have a new customer as South Korea has agreed in principle to buy Thai frozen chicken. According to Thailand’s Department of International Trade Promotion, South Korea has issued a letter to the Thai Embassy in Seoul detailing the import plan. The announcement is the fifth step out of the required 8-step procedure prior to the purchase of Thai chicken. South Korea’s decision to import Thai frozen poultry follows its ban on poultry imports from the US that was imposed in December 2014 due to the bird flu outbreak. Seoul now mainly imports poultry from Brazil.
|Indonesia reduces cattle import permit for Q1 |
[20 January 2015] After a long and anxious wait, the Indonesian Government has finally released permits for the importation of Australian cattle. Indonesia has issued 100,000 permits for the first quarter of 2015. This is about 33,000 less than in Q1 2014 and appears to have caught exporters by surprise. Ashley James, from Frontier International, said exporters were hoping for more. “It’s not as good as we hoped,” he said. “We were hoping for 150,000 to 160,000 permits because there’s been good demand from Indonesia.”
|SMEDA to prepare guidelines for meat exports|
[20 January 2015] Pakistan's Small and Medium Enterprises Development Authority (SMEDA) is preparing compliance guidelines for exporters of red meat, Chief Executive Officer of SMEDA Alamgir Chaudhry said recently at a program in Lahore. According to him, SMEDA's initiatives are aimed at promoting Pakistan's red meat industry globally. Pakistan has only a 0.44% share in the global red meat market with exports worth USD 200 million a year. “The volume can be enhanced by transforming the red meat resources of Pakistan into value-added products. But first, the industry has to meet international compliance standards,” Mr Chaudhry said.
|Indonesia to set up food estate in Kalimantan|
[20 January 2015] Indonesia’s Ministry of Agriculture is planning to build a food estate in Kalimantan. Minister of Agriculture, Andi Amran Sulaiman said the project will be started in 2016 on 500,000ha and around 50,000ha will be set aside for Bogor Agricultural University for research and development. Mr Andi added that there are plans to raise 500,000 heads of beef cattle to produce around 52,000 heads for slaughter per year, here.
Bird flu, FMD raise concerns in China, Taiwan
[19 January 2015]
Fujian poultry industry in turmoil as H7N9 kills two; Cases top 500
Poultry prices are tumbling in China’s Fujian Province following the deaths of two people from H7N9 avian flu, according to media reports. Fujian has suffered 15 confirmed human cases of the disease so far this year, according to the Xinhua News Agency, bringing China’s total to more than 500 cases and 170 deaths since 2013. China Daily reported live poultry sales have dropped more than 50% in the major port city of Xiamen, where one of the victims died, and prices are tumbling as wet markets close, restaurants stop serving and consumers avoid chicken.
More farms in Taiwan hit by H5N3 strain
Taiwan’s Council of Agriculture on January 17 announced the latest inspection results of the widening avian influenza outbreaks that hit the nation’s poultry farming sector last week. The latest statistics showed that 142 poultry farms across the nation were hit by the highly pathogenic strains consisting of the H5 subtype, of which 57 had been culled. The virus has affected a total of 222,896 birds, of which 89,806 were exterminated while the rest died from the disease, Bureau of Animal and Plant Health and Inspection Director-General, Chang Su-san said. Authorities said the new strain, H5N3, infected geese on farms in southern Taiwan. H5N8 and two versions of the H5N2 strains were identified earlier in January.
Hong Kong bans poultry imports from Japan
Hong Kong has banned the import of poultry meat and products from Okayama prefecture, Japan, in view of an outbreak of H5 avian influenza announced by the Japanese authorities, the city’s Centre for Food Safety (CFS) said on January 17. The CFS has contacted the Japanese authorities over the issue and will closely monitor information issued by the OIE on the avian influenza outbreak in the country, according to a CFS spokesman. More than 5000 tonnes of frozen and chilled poultry meat and 20 million poultry eggs were imported from Japan into Hong Kong from January to November 2014, said the spokesman.
Widespread reports of FMD in China
Porcine FMD has broken out in seven provinces covering a wide area of China, according to Chinese media reports. The disease has been reported on pig farms in Henan, Anhui, Jiangxi, Hubei, Hunan, Tianjin and Liaoning provinces. The disease is spreading due to winter weather, farmers skimping on disease control, and crowded and unsanitary conditions on some farms, according to Chinese analysts. Despite the outbreaks and the approach of Chinese New Year, wholesale pork prices have fallen in the last month, suggesting a market in oversupply.
|Buffalo meat is now India’s top agri export item|
[19 January 2015] Buffalo meat exports have overtaken those of basmati rice for the first time. According to Commerce Ministry data, India exported buffalo meat worth USD 3.22 billion in the April to November 2014 period, up over 16% from the corresponding period in 2013. Buffalo meat exports saw a phenomenal growth of 31% in quantity and 36% in value in 2014. Among the top export destinations were Vietnam, Malaysia, Egypt, Thailand and Saudi Arabia. Russia recently opened up its market for Indian buffalo meat.
|Suri Tani Pemuka ready to export pomfret to S. Korea|
[19 January 2015] Suri Tani Pemuka, a subsidiary of Japfa Indonesia involved in aquaculture, is ready to export pomfret fish to South Korea this year. Arie Prabawa from the marketing division said the company has received orders to supply the marine fish to markets in South Korea. “Per month we can supply around 25 tonnes,” he said. Suri Tani Pemuka has hatcheries for pomfret and production units with floating net cages in Bali and Banyuwangi (East Java). Mr Arie said that for export, the fish that is also known in Japan as Marukoban, is priced around USD 3.2-4.8/kg.
|Asean largest importer of Thai food, ag products|
[19 January 2015] The cross-border trade of agricultural commodities and foods between Thailand and its four neighbouring countries has grown in both value and volume thanks to the on-going regional collaboration in reducing trade barriers. According to Pisan Pongsapitch, Deputy Secretary-General of Thailand’s National Bureau of Agricultural Commodity and Food Standards, major Thai exports to Myanmar, Laos, Cambodia and Malaysia are vegetables, sugar, chicken and pork meat. Vice versa, Thailand has imported beans, corn for animal feed and shrimp from its neighbours. The combined value of bilateral trade between Thailand and those countries is worth around USD 3 billion and is expected to increase in the future.
|South Korea orders lockdown to fight FMD, bird flu|
[16 January 2015] South Korea has announced a 36-hour lockdown over this weekend on poultry and livestock farms across the country to curb the spread of two highly contagious animal diseases namely foot and mouth (FMD) and bird flu. The Agriculture Ministry said the movement of animals, people and vehicles at thousands of farms would be banned from 6am on January 17, 2015 for disinfection. A series of outbreaks of FMD in recent months have resulted in the slaughter of around 25,000 pigs, and concern has grown as cases have spread to farms close to the capital Seoul. The battle to contain FMD has coincided with outbreaks of avian flu in poultry farms that have resulted in the culling of more than 500,000 birds in the past four months.
|Chicken blood banned for use in food|
[16 January 2015] Thailand’s Livestock Development Department (LDD) has banned the use of chicken blood as an ingredient pending a probe into which food-processing plant is responsible for many cases of Vibrio parahaemolyticus infections. This bacteria causes food poisoning and is believed to have come from chicken blood. “Infections reported in Chiang Mai province have been traced to a plant in Nakhon Ratchasima province, but we have to determine which one exactly,” LDD Deputy Director General Soravit Taneeto said. He is confident that given the standards used by Thai-based plants, relevant authorities will be able to trace the origin of the bacterium. All shops selling khao man kai (chicken and oily, flavourful rice) are also encouraged to leave chicken blood out of their recipes.
|Broiler farmers urged to build slaughterhouses|
[16 January 2015] The average price of live birds in Indonesia in 2014 was only USD 1.1/kg, while the production cost ranged between USD 1.2-1.3/kg. Chairman of the Indonesian Poultry Slaughterhouses Association, Achmad Dawami said: “It’s time to change. Farmers should move from selling live birds to dressed birds.” Mr Achmad urged farmers with broiler production capacity of more than 500,000 birds/month to set up slaughterhouses and cold storage facilities. “The price of dressed birds is more stable than that of live birds. Besides, by selling dressed birds, sales of fresh warm chicken can be reduced in the interest of food safety.”
|Barramundi Asia launches fish delivery service|
[16 January 2015] Singapore-based Barramundi Asia launched its barramundi fish delivery service via its website. The model does fillet processing with an unbroken cold chain. According to the company the fish are harvested to order directly from the 7.5ha ocean farm located at the south of Singapore. After harvest, the fish are kept submerged in ice and, within hours, are filleted in a cold room and vacuum-packed. The fillets are then packed in insulated containers before reaching the consumers’ doorsteps. Currently, Barramundi Asia is offering an introductory price of about USD 37/kg, which is inclusive of delivery. Single portions are also available at USD 7.50 for 200g fillets.
|China bans all US poultry imports over AI|
[16 January 2015] China has banned all US poultry imports following reports of Avian Influenza (AI) in the US Pacific Northwest. US industry representatives immediately protested, saying the HPAI was found in wild birds hundreds and even thousands of miles from major production areas. Exporters said international guidelines call for regional bans in such cases. China has imposed regional bans in the past, but this time the Ministry of Agriculture has banned all US imports. South Korea and Thailand have also banned all US poultry imports, but most other nations have imposed only regional bans. The US was the second largest exporter of poultry products to China in the first half of 2014, just behind Brazil, shipping more than 220,000 tonnes. Analysts noted that Hong Kong has imposed only a regional ban and shipments may continue to move by the Grey channel.
Bird sanctuary shut after 40 birds found dead
[16 January 2015] The Sultanpur National Park in Gurgaon near New Delhi, India has been shut down after nearly 40 birds were found dead recently triggering fears of bird flu. “Even though the Animal Husbandry team has not found any indication of bird flu, samples have been sent to a laboratory in Bhopal to rule out the virus,” District Forest Officer K S Khatkar said. According to him, most birds that died were seed-eating birds and probably fed on seeds sprayed with pesticides. Meanwhile, around 100 poultry farms located in the vicinity have been put on alert by the Animal Husbandry Department.
|Plastic in nugget not from Cargill facilities|
[15 January 2015] Cargill announced yesterday that after an exhaustive investigation, they are confident the blue, plastic foreign material found in a McDonalds Chicken Nugget in Japan did not originate from its production facilities. The investigation included physical analysis, chemical analysis, microscopic third-party lab analysis and a step-by-step search across Cargill’s entire production facility. Chemical and physical analysis revealed that the type of plastic found in the nugget does not exist in the Cargill production plants in Thailand. “We are very confident that the plastic film in the nugget occurred outside of our production plant,” stated Chuck Warta, President, Cargill Meats Thailand.
|Nampa supports investments in intermediary industry|
[15 January 2015] Indonesia’s National Meat Processors Association (Nampa) observes that products from intermediary industry like ingredients for the meat processing industry such as sausage casings and enzymes, as well as meat processing machines in Indonesia are imported. Nampa Chairman Ishana Mahisa hopes the government could offer incentives to encourage investments in Indonesia. “Many players in the industry prefer to invest in Singapore, Malaysia and Thailand. We are ready to help and support if they want to invest here since the investments will help the meat processing industry grow faster,” Mr Ishana told Asian Agribiz.
|Trouw Nutrition opens regional hub in Bangkok |
[15 January 2015] Trouw Nutrition, a Nutreco company, officially opened its Asia Pacific regional office in Bangkok yesterday. “With the opening of this office, we will be able to provide better support to the whole region,” said Haiko Zuidhoff, General Manager Asia Pacific. The Bangkok office will offer technical support to customers in the Asia Pacific including South Asia, Southeast Asia, Japan, Australia and New Zealand. “We are global company that acts locally. We work to address specific need of customers to make sure feed and food is safe and to reduce the use of antibiotics (in feed and livestock production),” Martiin Adorf, Managing Director Feed Additives of Nutreco said. Trouw Nutrition has nine plants in the region including those in China, Indonesia and Vietnam. The company plans to officially open its new plant in Surabaya, Indonesia in July or August and the plant in Vietnam in March.
|Incentives to help processors be more competitive|
[15 January 2015] Logistics and infrastructure are key weaknesses in Indonesia’s meat processing industry said an official of the Ministry of Industry. Haris Munandar, Head of Industrial Policy Assessment, said to help players in the meat processing industry improve their competitiveness within Asean, the ministry plans to offer incentives like tax holidays or lower taxes. “We will also harmonise regulations that currently prevent players from developing their businesses.”
|Pakistan to play bigger role in meat trade|
[15 January 2015] Pakistan is on the verge of becoming an active players in the global meat trade particularly in the Middle East and Southeast Asia. According to Pakistan Bureau of Statistics, the country’s halal meat exports rose to USD 230.2 million in the 2014 financial year, an increase of 9% over 2013. About 80% of Pakistan’s meat exports go to the Middle East and Gulf countries. Pakistan ranks 22nd in the world in the export of halal meat, more than half of which is beef.
Andhra Pradesh to be marine processing hub
[15 January 2015] The Indian state of Andhra Pradesh is seeking collaboration with Australia in the aquaculture and food processing sectors. Plans are afoot to turn the state into a marine processing hub with Australia's help. Andhra Pradesh tops in brackish and fresh water shrimp production and is second in fresh water fish production and fourth in marine fish production in the country. The state government is keen on establishing fishing harbours through public-private partnerships, cold chain infrastructure, pre-processing facilities and value-added production facilities.
|Cold chain network could offer competitive edge |
[14 January 2015] Although logistics and infrastructure is one of Indonesia's weaknesses in the face of the Asean Economic Communities, meat processors believe that the industry can compete with other Asean member countries. Cimory CEO, Bambang Sutanti told Asian Agribiz that an established cold chain distribution network would offer a competitive edge. “It’s not easy for other countries to export processed meat products to Indonesia since they need to have a cold chain distribution network here. It will take time for them to develop the network, not to mention that Indonesia is an archipelagic country,” said Mr Bambang.
|San Miguel Purefoods to expand in Asean|
[14 January 2015] San Miguel Pure Foods Co Inc (SMPFCI) is taking advantage of the opportunities in the regional market by expanding in Asean. The company is set to spend between USD 178-223 million annually in the next few years to fund its expansion locally and overseas. SMPFCI President Francisco Alejo III said that the company will build new facilities in Indonesia and Vietnam, where it already has a presence, as well as venture into new markets like Malaysia and Thailand. He said SMPFCI is already exploring overseas companies for possible acquisitions and is also in talks with potential partners. In the local market, Mr Alejo said plans to put up 10 new facilities in the Philippines this year to expand its feed and further processing capacity. The expansion will help the company “take advantage of the opportunities when the market improves,” he said.
|NZ mutton exports soften|
[14 January 2015] New Zealand mutton export volumes fell 4.4% to 17,200 tonnes shipped weight in the last quarter of 2014 compared to a year earlier as demand from North Asia softened. North Asia accounted for 68% of total mutton shipments, down from 77% during the same period in 2013. As a result, New Zealand mutton export destinations were more diversified than in 2013-14, with a surge in exports to South Asia, North America and the European Union. The average per tonne value of mutton exports increased by 3.5% to USD 4194/tonne.
|Nampa seeks fair competition|
[14 January 2015] Haniwar Syarief, Executive Director of Indonesia's National Meat Processors Association has urged officials of the Ministry of Industry to help the meat processing industry with supportive regulations. “We want the government to ensure a level playing field with other Asean countries. Governments in other countries allow their processors to import and use Indian beef. Our government should also do this. We can’t compete if we use Australian beef worth USD 5.5/kg, while Indian beef is only USD 3.2/kg,” he explained.
|More H5N2 outbreaks in Taiwan|
[14 January 2015] Taiwanese authorities have reported five H5N2 avian flu outbreaks to the World Organization for Animal Health (OIE). Four involved goose farms in Yunlin County on the west coast of Taiwan, and one was at a duck farm in Pingtung County in the south. The goose flocks ranged in size from 2,640 to 7,600 birds while the duck farm houses 7,000 layer ducks. Previous media reports described an outbreak involving 120,000 chickens in Pingtung County.
|India likely to appeal against WTO ruling |
[14 January 2015] The deadline for India's appeal against the World Trade Organisation's (WTO) ruling that India’s ban on poultry imports from US is ‘inconsistent’ is drawing close. Authorities are in a delicate position as the deadline coincides with US President Barack Obama’s visit to India on the same date (January 26), to celebrate India’s Republic Day. Analysts say that an appeal is imminent as allowing US poultry imports will pose a serious threat to the domestic industry.
|Importers, feedlotters welcome Brazilian cattle|
[13 January 2015] Indonesia's revision of cattle and beef imports from country-based to zone-based rules has received positive response from importers and feedlotters in the country. Juan Permata Adoe, President Director of Bina Mentari Tunggal that is involved in cattle imports, feedlots and beef processing, told Asian Agribiz that Brazil is ready to supply feeder cattle to Indonesia. “Cattle from Brazil will help rationalise cattle supply and price in the country. So far feeder cattle are only supplied by Australia,” said Mr Juan. Besides, Indonesia has to compete with China and Vietnam for feeder cattle from Australia.
|Pig farming area will solve pollution problems|
[13 January 2015] Farmers will have much to benefit from the proposed pig farming area in Selangor, Malaysia. According to consultant Dr Chin Vei Ching, the modern farming area will solve the severe pollution problems in the Tanjung Sepat area. “With the integrated facility farmers can update their breeds and operate modern facilities, which can help them realise better productivity,” Dr Chin told Asian Agribiz. He said a dialogue with farmers proved that they are supportive of the move. He added that “the government too is eager to solve the pollution problems facing the state”. Dr Chin, a government retiree, was project director between 2004 and 2013 for the country’s first PFA in Sarawak. He said if all goes as planned the project can be completed in five years.
|Indonesia’s Ag Ministry bans secondary meat imports|
[13 January 2015] Raw material, especially beef, will still be a problem for meat processors in Indonesia this year. The Ministry of Agriculture recently issued a regulation that bans imports of secondary meat like skirt, chuck, flank, brisket and blade saying supply can be met locally. Import of primary, manufacturing and varied meat, meanwhile, is still allowed. Ishana Mahisa, Chairman of the National Meat Processors Association, told Asian Agribiz that the new regulation would hamper the growth of the meat processing and Horeca industries. “We hope the government can review the regulation since it will also affect the competitiveness of this industry in the face of the Asean Economic Community.”
|Philippines imposes more import bans|
[13 January 2015] The Philippines has imposed temporary bans on imports of FMD-susceptible animals, their products and by-products from South Korea, China and Namibia after reports of the disease in these countries. The Department of Agriculture said the ban was necessary because the country is working to maintain its FMD-free status and cannot afford to take chances. Agriculture Secretary Proceso Alcala said the country needs to ensure it remains free from the disease as this will be an “advantage for the country once the ASEAN Economic Community integrates and opens a free regional market this year.”
|Chinese bust network selling pork from dead pigs|
[13 January 2015] Chinese authorities have busted 11 gangs and arrested 110 people suspected of selling pork from pigs that died of disease, the Ministry of Public Security announced. The ministry said a criminal network had been buying dead pigs from farms at low prices and selling the meat to markets in 11 provinces, including Henan, Hunan and Guangxi. The investigation began in late 2013, and more than 1000 tonnes of suspect meat and 48 tonnes of waste oil have been seized. Regulatory personnel who issued blank safety certificates to gang members and insurance company representatives who participated in the scam are also being prosecuted, the statement said.
|Taiwan hit by H5N2 outbreak |
[13 January 2015] Taiwan has confirmed a H5N2 outbreak in chickens on a farm in Pingtung County's Xinpi Township, according to the Taiwan Central News Agency (CNA). The Pingtung Agriculture Department is culling all 120,000 chickens at the affected farm of Dawushan Livestock Products Co. Dawushan is one of the leading chicken farms in Taiwan, and eggs from the farm have been shipped and may still be available to consumers.
|PigFQC 2015 to tackle performance and profitability|
[12 January 2015] This year’s Pig Feed Quality Conference (PigFQC) by Asian Agribiz will tackle four fundamental themes which can enhance the performance and profitability of pig and feed production. The two-day conference is scheduled for April 9-10 at the New World Hotel Saigon in Ho Chi Minh City, Vietnam. Widely recognised as one of Asia’s premier scientific forums for industry professionals, the 2015 PigFQC, organised annually by Asian Pork Magazine and Asian Feed Magazine, will update participants on the latest research and provide real solutions to complex issues facing Asian pig producers. Topics will focus on four fundamentals: sow nutrition, ingredients, additives and feed manufacturing. The detailed program for this year’s conference will be available on February 1 at www.asian-agribiz.com.
|Meat processors hail Indofood-BRF JV |
[12 January 2015] The majority of meat processors in Indonesia have responded positively to the news about the joint-venture agreement between Indonesia’s largest food company Indofood and Brazilian poultry company BRF. Ishana Mahisa, Chairman of the National Meat Processors Association, said the JV could offer technology transfer and job opportunities. Juan Permata Adoe, President Director of Bina Mentari Tunggal and Vice Chairman of the Indonesian Chamber of Commerce and Industry, meanwhile said that for about 30 years the poultry industry has been ‘protected’ by the government. “The JV will trigger industry players to move on and become more efficient. And this is good for the industry,” he told Asian Agribiz.
|FMD kills 314 pigs on Chinese Farm|
[12 January 2015] Foot and mouth disease (FMD) has killed 314 pigs on a farm in central China, according to a report by The Pig Site. The report said FMD had been diagnosed in 556 animals on a farm in Ci Hu, Henan Province. Apart from the 314 that had died, a further 612 had to be destroyed. The report gave no further details. As Asian Agribiz reported in December, industry sources are saying FMD has broken out in several Chinese provinces and caused high mortalities on some farms.
|Indonesian meat processors need cheaper MDM|
[12 January 2015] Besides beef, meat processors in Indonesia are faced with the poor supply of chicken MDM (mechanically deboned meat) at a competitive price as imports are banned. Ishana Mahisa, Chairman of the National Meat Processors Association, said that the problem would weaken the competitiveness of this industry in the face of the Asean Economic Community. “Malaysia in 2012 imported around 5 million tonnes of MDM from 1.7 million tonnes in the previous year. While the Philippines reduced its Indian beef import and substituted it with MDM. The competition will not be fair if we have to compete with meat processors from other Asean member countries who use imported MDM. At the moment the price of imported MDM is around USD 0.8-1 per kg, while local MDM is around USD 1.1-1.5,” he added.
|Chinese feed companies required to buy government grain|
[12 January 2015] The Chinese government is requiring feed companies that want to import grain in 2015 to first buy grain from government reserves, according to a notice posted on industry websites in China. Chinese agricultural authorities have found themselves forced to buy local grain due to bumper crops in China. Chinese companies often prefer to buy imported wheat and corn that meets higher quality standards, can fill specialty niches and is currently 24-30% cheaper than Chinese grain on world markets. The new rule requires companies that want to import grain at the most favourable tariff rates in 2015 to buy an equivalent amount of old Chinese grain before receiving permission to import, according to a posting on oils.net.cn. An analyst at the Dim Sums blog said about half the stored wheat is poor quality and dates from 2013, and that nearly all of the corn has been stored in the open for up to three years.
|India’s oilmeal exports face steady decline|
[12 January 2015] India’s oilmeal exports have been witnessing steady decline over the last three years. After a record 5.60 million tonnes of oilmeal exports in 2011-12, its shipment fell to 4.85 million tonnes in 2012-13 and 4.33 million tonnes in 2013-14. But, 2014-15 has been the slowest in many years with overall exports at 1.42 million tonnes between April-November 2014 against 2.6 million tonnes in the corresponding period in2013. Against this backdrop, oilmeal exporters have urged the government to incentivise exports. “The government should consider higher incentives under the existing scheme on export of oilmeal,” Pravin Lunkad, President of the Solvent Extractors’ Association of India said.
|Papal visit could boost meat demand|
[09 January 2015] Philippine poultry and livestock producers are hopeful that the visit of Pope Francis to the Philippines from January 15-19, will boost demand in what is traditionally a slow period. Philippine Agriculture Undersecretary Jose Reaño had earlier said that demand for pork and chicken meat traditionally goes down during the first quarter of the year. This was confirmed to Asian Agribiz by both United Broiler Raisers Association Chairman Elias Jose Inciong and Pork Producers Federation of the Philippines President Edwin Chen. However, Mr Chen said that they are hopeful that the Pope’s visit, which is expected to bring in millions to Metro Manila will help boost demand for meat in the country’s biggest market on what is typically a “lean season”.
|Luheng Marketing to house more hens|
[09 January 2015] Luheng Marketing Sdn Bhd, a Malaysian company developing herbal-based supplements, wants to build six hen houses by end 2015 for a total of 15,000 hens. The company has been rearing 2800 regular and native spent hens, bought from local integrators, at its show farm opened last September. “When the birds arrived some had health issues, most had poor production level of about 40%. We only achieved between 300-400 eggs/day then. By mid-December we were achieving up to 1500 eggs per day,” Chow Khay Hoong, Director, told Asian Agribiz. The company is currently about to launch its brand 'Telur Kampung Free Range', or Free Range Native Chicken Eggs, and will sell them via small distributors at a premium, promoting them as antibiotic-free products, without colour additives.
|Indonesia to build fishmeal processing plants|
[09 January 2015] Indonesia’s Ministry of Fisheries and Marine Affairs this year plans to set up 10 fishmeal processing plants in fish production centres in an effort to reduce the import of fishmeal. Saut P Hutagalung, Director General of Fish Processing and Marketing, said that fishermen and aquaculture farmers would be grouped and educated to be able to run the small-scale processing plants. “With this we hope that fishmeal imports this year will reduce by 15%,” Mr Saut said.
|Soymeal exports drop by 79%|
[09 January 2015] India's soymeal exports in the first nine months of the 2014-15 fiscal has declined by 79% to 0.4 million tonnes tonnes as compared to 2 million tonnes in the same period last year, according to Soybean Processors Association of India (SOPA). Dr Davish Jain, Chairman of SOPA said that the export in December 2014 was around 0.2 million tonnes as compared to 0.47 million tonnes in the same period in the previous year. “Indian soybean meal continues to be out-priced because of higher global production in 2014 and lack of sufficient incentives to offset the higher transaction cost in India," he said. Iran, France, Indonesia and Belgium were the major importers in the April-December period.
|Pakistan’s halal meat exports appreciate|
[09 January 2015] Pakistan’s halal meat exports have grown by 9.5% to reach USD230 million in fiscal 2014, according to data released by Pakistan Bureau of Statistics. Beef constitutes more than half of Pakistan's meat exports, the rest being goat and sheep. Saudi Arabia and the United Arab Emirates are two big importers of meat from Pakistan. While nearly 88% of Pakistan's meat exports go to Gulf countries, the remaining are exported to Vietnam and Iran. Pakistan has the eighth largest cattle stock in the world and is among the world's top 10 countries for goat and sheep rearing.
|Cargill steps out of Nutreco bid|
[09 January 2015] US agribusiness giant Cargill Inc has pulled out of plans to buy Nutreco NV saying the deal is no longer attractive. In a statement issued last December Cargill said it has abandoned its plans after considering “all relevant facts including the attractiveness of Nutreco relative to alternative potential investments”. Cargill’s decision to walk away from Nutreco came after SHV, Nutreco’s largest shareholder, said that it would declare its offer unconditional if it obtained a minimum of 67% of Nutreco shares, compared with a previous target of 95%. The move was viewed by analysts as an attempt to deter Cargill from making a new bid. SHV said it already owns more than 15% of Nutreco shares.
|Producers want government to ban imports from the US|
[08 January 2015] Philippine poultry producers said the government should impose at least a selective ban on imports from the US following the confirmation of a highly pathogenic H5 strain of avian influenza in a backyard poultry flock in Washington State. United Broiler Raisers Association Chairman Elias Jose Inciong told Asian Agribiz that this is a cause of concern for the local industry, as the US is a major source of imported chicken for the Philippines. The Philippines has remained free of AI even as its neighbouring countries have had outbreaks, due to strict border control and surveillance. However the Department of Agriculture has not yet commented on whether or not it will impose a ban on US poultry.
|Indonesian farmers demand control on broiler DOC production|
[08 January 2015] Pinsar Indonesia, the Indonesian poultry farmers association, has predicted that broiler DOC production in the country might reach 64 million per week, while demand will only be around 47 million DOC, said Chairman Singgih Januratmoko. “This means that there will be a production surplus of around 17 million.” Mr Singgih noted that in 2014 the broiler industry experienced oversupply with losses of around USD 552 million. In that year broiler DOC production was 49 million/week, while demand was only 42 million. Mr Singgih said the association has raised the issue with the Minister of Agriculture. “The government should regulate broiler GPS imports to prevent production surplus to prevent another bad year,” he said.
|McDonald’s Japan investigates nuggets from Thailand|
[08 January 2015] McDonald’s Corp’s Japan business and Cargill Inc. are investigating complaints that objects were found in chicken nuggets made by a Cargill unit in Thailand, Bloomberg reported. The nuggets supplied by Cargill Meats Thailand, were sold at two outlets in Japan, including one in Tokyo. Cargill will work closely with McDonald’s as its investigation progresses. McDonald Japan is seeking new nugget suppliers including in Brazil, and doesn’t plan to halt production and sale of the food items. This case is the restaurant chain’s second food-safety crisis in six months after McDonald’s Japan had switched sources of chicken nuggets to three Thai factories, including two of Cargill’s, after a food safety scandal involving the OSI Group in China.
|Two GM soybean varieties approved|
[08 January 2015] In an encouraging sign for GMO seed developers, Chinese officials have approved two genetically-modified soybean varieties for import. DuPont Pioneer received approval for a product that produces healthier oil while controlling weeds, while Bayer received approval for its own GMO soybean variety. China also recently approved Syngenta’s MIR162 corn, which had become a major trade issue when China started turning back US corn shipments last year. Bayer’s application had been pending for seven years, and Syngenta’s for more than four.
|Naduk, Simuang identified as quarantine islands|
[08 January 2015] Indonesia’s Ministry of Agriculture plans to utilise Naduk Island in the province of Bangka Belitung archipelago and Simuang Island in Central Sulawesi province as quarantine islands for imported cattle. Banun Harpini, Head of the Agriculture Quarantine Agency, said that the presence of quarantine islands is important to prevent the possible spread of dangerous animal diseases. “Both islands have met the technical and economic aspects. Historically, there are no contagious animal diseases in both islands. In addition, feed and water sources are available in sufficient quantities,” said Mrs Banun.
|China reports another H7N9 case |
[08 January 2015] China reported its second H7N9 avian flu case this year, with both cases in Guangdong province near Hong Kong. According to Xinhua, the country's state-run news agency, the new case is in a 36-year-old man in the city of Dongguan, the same site of an H7N9 infection reported a day earlier in a 6-year-old girl. Officials in Guangdong and Hong Kong last week culled thousands of chickens after exports to Hong Kong were found to be infected with H7N9, the story said.
|Build goodwill to succeed in China: Rabobank Analyst|
[07 January 2015] Western companies hoping for success in China’s booming protein sector should pay more attention to understanding local culture and building political goodwill, according to a new report from Rabobank’s food research unit. The report, “Bulls in a China Shop, How Western Companies Can Navigate China’s Animal Protein Market,” says the protein sector has been difficult for Western companies to crack because it of its low margins and fragmented traditional supply chains, but those factors are changing as the protein industry modernises. A key for Western players is finding good local managers who can build relationships and establish trust, according to analyst Pan Chenjun. “It is better to acquire good management than to just acquire assets,” Ms Pan said in an interview with Asian Agribiz.
|Government urged to build more pig slaughterhouses|
[07 January 2015] Slaughterhouses can help produce safe and quality pork for the Indonesian market. Phaithoon N Na Ayudhaya, Business Development Advisor and Swine Specialist of Charoen Pokphand Indonesia, said standard slaughterhouses would help pig farmers in Indonesia to stay competitive in the wake of the Asean Economic Community. Therefore, Mr Phaithoon hoped the Indonesian government would build more pig slaughterhouses for the traditional slaughtermen in the country. “If the slaughtermen are gathered, the government can easily control and educate them on quality, cold chain and food safety standards.” Mr Phaithoon is encouraging investors to build standard pig slaughterhouses in Bali. “We, through PT Karya Prospek Satwa, are ready to support with finisher pigs supply and market information. We also want to produce frozen products with big cities outside Bali and eastern Indonesia as our market,” he told Asian Agribiz.
|PPA demands price control mechanism for poultry products|
[07 January 2015] Islamabad-based Pakistan Poultry Association (PPA) has stressed the need for determining the price control mechanism for poultry products in order to control any undue hike in its rates. According to Dr Hassan Sarosh, its Chairman, at present a few wholesalers in the market determine the poultry prices on their own in Islamabad and Rawalpindi. “It is against consumer rights and new price control mechanism is needed,” he said. Adding that the recent hike in poultry products is temporary, he said that the prices would soften by mid-January.
|Poultry entrepreneurs in Nepal seek friendly policy|
[07 January 2015] Poultry entrepreneurs in Nepal have urged the government to introduce policies and programs to lower production cost. In a program held in Bharatpur recently, producers said that though Nepal is self-sufficient in poultry products they cannot compete with neighbouring markets in India in terms of price as they are dependent on India for pellet feed. "The government imposes different taxes on pellet feed and this increases our production cost," Til Chandra Bhattarai, immediate past president of Nepal Chicken Entrepreneurs´ Forum said. He also urged the government to encourage farmers to cultivate maize and soybean to help reduce production cost.
|Denmark pledges support for Vietnam swine sector|
[07 January 2015] John Nielsen, the Danish Ambassador to Vietnam, said at a conference recently that Denmark would continue to support Vietnam in developing high quality pig breeding. He said Vietnam’s pig breeding sector improved significantly in recent years, but production and quality could not meet the demand, while Denmark’s enterprises could assist Vietnam with different pig varieties and equipment. Results on livestock imported from Denmark to Binh Thang and Thuy Phuong Livestock Breeding Centres showed a high genetic potential in terms of reproductive performance and growth. However, the centres also said not all the species could adapt to breeding conditions in Vietnam.
|Oman bans poultry imports from Kerala |
[07 January 2015] Oman's Minister of Agriculture and Fisheries, Dr Fuad bin Ja'far Al Sagwani has issued a ban on import of live birds, their products, their derivatives and offal from the state of Kerala, India. Apart from this, the ministry has also banned import of poultry and poultry products from the UK, the Netherlands, South Korea, North Korea and Germany. The decision was based on the recommendation of the veterinary authority due to disease issues.
Asia strengthens biosecurity against spread of avian flu
[06 January 2015]
Avian influenza (AI) remains a big hurdle in Asia. The new outbreaks and new strains in Asia and other parts of the world raised concerns in 2014 and continue to pressure the industry in 2015. The Rabobank Poultry Quarterly Q4 2014 report stated that several avian flu strains are already endemic in several parts of Asia and the region will continue to suffer from economic due to lost markets and lower local prices. In the longer term, industries need to prepare for on-going disease pressure, especially in times of bird migration and this will require higher levels of biosecurity and reconsideration of existing business models.
FAO, OIE suggest increased biosecurity
Outbreaks of the new highly pathogenic avian influenza virus H5N8 was reported in poultry in China, Japan and South Korea earlier in 2014 while countries in Europe namely Germany, the Netherlands and the United Kingdom also confirmed H5N8 on poultry farms. FAO and OIE experts said that evidence suggest that wild birds may have played a role in spreading the virus. At-risk countries are urged to step-up prevention efforts through increased biosecurity, early detection, strengthen rapid response capacities and by minimizing contact between domestic poultry and wild birds.
Thailand on alert
Thailand’s Department of Livestock Development (DLD) issued an alert to local farmers after reports of H5N8 in Europe and Japan and others strains in neighbouring countries. The OIE confirmed outbreaks of H1N1 in Cambodia and Vietnam while Laos reported a case of H5N6 in Xayaburi. H5N6 has also been confirmed in several provinces in Vietnam.
AI cases in Indonesia decline
Indonesia’s Ministry of Agriculture has said that AI in the country is showing a decreasing trend. Animal Health Director, Dr Pudjiatmoko told Asian Agribiz that from January to November 2014, there were only 326 AI cases (H5 subtype) found in native chicken, commercial layer, duck and quail. These were mainly in West Java, Central Java and Lampung. “The number of AI cases in 2014 decreased significantly compared to 470 cases in 2013 and 546 cases in 2012,” Dr Pudjiatmoko said. He added that the Participatory Disease Surveillance and Response (PDSR) team collected the cases through SMS (short message service) gateway and surveillance run by veterinary agencies. To control the virus, the ministry has released several regulations and advised farmers and industry players to strengthen biosecurity and vaccination.
H7N9 confirmed in imports from China
A handful of Chinese provinces have reported recent human H7N9 infections, and most of the patients had been exposed to poultry markets or live poultry. Hong Kong officials detected H7N9 in poultry imported from the mainland in previous waves of infection. The latest follow-up tests by Hong Kong's agriculture department on a shipment of live chickens from China's mainland revealed that the birds are infected with the H7N9 virus. After the findings, over 19,000 birds at the wholesale poultry market where the birds were kept were culled and a 21-day closure of the wholesale market was announced as well as temporary suspension of live poultry imports from the mainland. Biosecurity measures are in place before the farm that raised the infected birds is allowed to resume supplying birds to Hong Kong, and all 29 registered farms in Hong Kong will be inspected to make sure their flocks are not infected with H7N9.
Thailand kicks off preventive measures
As a preventive measure, Thailand’s DLD introduces the first integrated surveillance campaign for this year that will be implemented nationwide during from January 1-31. “This kind campaign has unremittingly been implemented twice a year but additional efforts will be carried out when there are outbreaks in neighbouring countries,” Acting Director-General of the Livestock Department Thanit Anekwit said. “Activities include searching for poultry that died of unknown causes and collecting samples of poultry in risky areas such as live poultry markets,” he said.
Several AI strains in China
Apart from H7N9, China has also faced outbreaks of several serotypes of AI. China reported outbreaks of H5N1 in Guizhou, Hubei and Yunnan; H5N2 in several provinces such as Ningxia, Hubei and Shandong; H5N3 in Hunan; H5N6 in many provinces including Sichuan, Heilongjiang, Zhejiang, Hunan, Hubei, Guangdong and Anhui; H5N8 in Liaoning. Measures applied to tackle the epidemic included stamping out, movement control inside the country, screening, and zoning, disinfection of infected premises or establishments dipping / spraying and for some case vaccination in response to the outbreaks.
Philippines remain free of AI
Since the AI virus re-emerged in 2003, the Philippines has managed to keep its poultry industry AI-free through strong coordination and collaboration between government, non-government and private groups, Dr Magdalena Cruz of the Bureau of Industry’s Philippine Animal Health Centre told Asian Agribiz. Together these groups launched a massive information drive as well as strict monitoring system that helped keep the industry updated and free of the virus. Dr Cruz also said “the infusion of funds to strengthen the government’s laboratory capacities made the difference,” noting that the country’s AI laboratory is one of the best in the Asean region. She added that the government continues to train both its lab and field personnel to keep them up to date on the disease. Meanwhile, industry players have lauded the government’s strict border control and surveillance, which has led to bans on poultry imports from AI-infected countries.
H5N1 clade 2.3 dominates AI cases in Indonesia
Although the case of AI in Indonesia is relatively under controlled since farmers conduct vaccination regularly and have strengthened biosecurity, sporadic cases of AI still happen, according to Dr Arini Nurhandayani, Sanbio Laboratories GM for Veterinary Biological Products. Her team found that H5N1 clade 2.3 dominated in many cases. The Medion team also confirmed this. Medion Technical Support, Dr Christina Lilis said the clinical signs are changing. “In the past, we found respiratory problems, but now we also find soft follicles and severe bleeding in the ovaries. In layers, the clinical sign resembles the Newcastle disease. This can lead to errors in diagnosis, so it is very important to run laboratory tests,” Dr Christina explained.
Avian influenza contained in India
The recent outbreak of AI in the southern state of Kerala has been contained with the consistent and coordinated efforts of the government. Around 17,000 ducks died in Kerala and laboratory tests revealed that the highly pathogenic H5N1 virus was the cause. As per standard protocol, about 200,000 ducks in the affected areas was culled. Duck meat is popular among the people in central districts of Kerala. Officials pointed out that though it is difficult to identify the source of virus, migratory birds might have acted as carriers. The government recently lifted the ban on transportation and consumption of poultry products including ducks after the affected areas were declared virus free.
No H7N9 AI virus in Indonesia
In order to prevent the spread of the H7N9 AI virus from China and other infected countries to Indonesia, the Ministry of Agriculture has analysed 864 samples taken from wet markets in Jabodetabek (Jakarta, Bogor, Depok, Tangerang, Bekasi), North Sumatera and East Java. The results showed that 33.7% of the samples were positive for influenza matrix A, and 100% of the samples were negative for H7N9 virus.
Poultry market remains stable in India
The Southern Regional Disease Diagnostic Laboratory (SRDDL) has also notified that the outbreak of avian flu in Kerala is under control and is not likely to spread to any other states. Apart from the outbreak in Kerala, another outbreak of H5N1 was confirmed at Sukhna Lake, a popular tourist area in Chandigarh state, where 20 ducks died of H5N1. Health authorities culled all the 110 ducks in the lake and the entire area was sanitised. “Chicken and chicken products are safe and there has been no decline in consumption,” Ricky Thaper, Executive Committee Member of Poultry Federation of India told Asian Agribiz. While ducks in Kerala state are raised for commercial purposes, the ducks in Sukhna Lake are only for ornamental purpose.
|Jakarta to ban live poultry, pigs in the city|
[05 January 2015] For a better environment and the health status of the people living in Jakarta, Indonesia, the authorities have imposed a ban on the entry of live poultry into the city. Only fresh chilled and frozen chicken meat are allowed. Soon, the local government plans to also ban live pigs and ruminants from entry into the city “This will encourage the setting up of more pig slaughterhouses in pig production centres in Indonesia,” Alexander Kasim, General Secretary of the Indonesian Monogastric Association told Asian Agribiz. Mr Alexander, who is also owner of Adhi Farm, one of the largest pig farms in Central Java, hopes the government of Central Java responds to the news by helping pig farmers in the region set up slaughterhouses to produce frozen pork.
|China buying US grain again following GM corn approval|
[05 January 2015] Chinese buyers are ordering large shipments of US distillers’ dried grains (DDGs) following government approval of Syngenta’s MIR162 genetically modified corn, according to a Reuters report. China rejected more than one million tonnes of US corn and DDGs in 2014 because they contained MIR162 corn, which had not been approved by the government. On December 22, Syngenta announced that the variety, which farmers like because it protects against pests, had finally been approved. However, the news agency also reported that US exporters were demanding large down payments from buyers to protect themselves against possible unexpected problems with Chinese import regulations.
|Vietnam’s local authorities intensify influenza surveillance|
[05 January 2015] Vietnam’s Ministry of Health has urged all provinces and cities in the country to intensify measures against the spread of influenza viruses and diseases following reports of avian flu outbreaks in some localities, reported Vietnamplus. Earlier, the Ministry of Agriculture and Rural Development’s Animal Health Department said H5N1 was recorded in flocks in three communes of the Mekong Delta provinces of Tra Vinh and Vinh Long. Meanwhile, virus A/H5N6 affected quails in Tinh Ha commune and Son Tinh district, in the central province of Quang Ngai. The Ministry of Health urged local health departments to tighten supervision at communities and border gates and gear up for flu prevention and patient treatment.
|Malaysian farmers brace for low prices|
[05 January 2015] Chicken farmers in Malaysia are being forced to sell poultry below the controlled price of USD 1.31/kg due to a drastic drop in demand caused by the floods in the east coast. Jeffrey Ng, Federation of Livestock Farmers Association of Malaysia Secretary General, said about 3000 poultry farms nationwide were struggling to clear their ‘excess stock’ of birds. “Restaurants and eateries are essential markets for our members and since the floods, kitchens cannot operate, and the demand for poultry is very low,” he said. Yap Chau Hen, Selangor and Federal Territory Chicken and Duck Traders Association Vice-President, said some traders were selling birds for as low as USD 1.00/kg.
|Oman lifts poultry import ban from Vietnam, Nepal|
[05 January 2015] The Ministry of Agriculture and Fisheries in Oman has decided to lift the ban on importing poultry from Vietnam and Nepal. Minister of Agriculture and Fisheries Dr Fuad bin Ja'far Al Sagwani said a ministerial decision has been taken to lift the ban on importing live poultry, non-processed meat and chicken eggs from Vietnam. “Apart from this, we are also lifting the ban on importing live birds, their products, and their derivatives and offal from the Republic of Nepal,” he said. The decision to lift the ban was based on the recommendation of the veterinary authority.
|Hong Kong suspends live chicken sales|
[02 January 2015] Hong Kong has closed its live chicken wholesale market for 21 days and ordered the destruction of 15,000 birds following the discovery of chickens infected with the H7N9 bird flu virus. The virus was detected in birds imported from China, and the farm that supplied them will be banned pending results of an investigation. Only one-third of Hong Kong’s live chicken is imported, but the closure means all live sales are suspended since Hong Kong requires all live birds be sold through the wholesale market.
|MPEDA banks on genetically-improved tilapia|
[05 January 2015] Marine Products Export Development Authority (MPEDA) in India has set a target to produce around 1.2 million tonnes of genetically-improved farm tilapia fish, valued at about USD 1.2 billion in the next five years in Andhra Pradesh state. Chairman of MPEDA Leena Nair said that MPEDA is planning to organise more meetings on tilapia fish farming to enlighten farmers and said that increased production of tilapia can boost marine exports. According to her, China is the largest producer followed by Egypt and Indonesia. Production of this genetically-improved fish was 4.3 million tonnes in 2012 and is expected to reach 7.3 million tonnes by 2030.
|FLFAM extends aid to affected member farms|
[02 January 2015] Torrential rains has caused flooding in what has been called the worst floods in four decades in Malaysia. Jeffry Beh Secretary General of the Federation of Livestock Farmers Association of Malaysia (FLFAM) said it is too soon to give an assessment of the situation and to say how many farms were affected. “Right now the association is doing all it can for our members and to give them whatever assistance we can,” he said. “But demand is dropping. Today (31 December) prices at farm gate is USD 1/kg,” he said. Despite the year end festivities, consumers are eating simple food and are unable to go out and buy chicken because of the rains.
|Fast food outlets asked to ensure import of halal meat|
[02 January 2015] Punjab Food Authority in India has directed all franchised fast food outlets to ensure the use of halal meat, The Express Tribune said. “The directions were issued after the authority received several complaints that meat being imported by the food outlets was obtained through stunning,” a PFA official said. “The authority held a meeting under the supervision of its chairperson Aamer Raza Khan to discuss the issue. It was recommended that import and use of meat of stunned chicken, goat and cattle be banned.
|Poultry farmers in Japan fear avian flu pandemic|
[02 January 2015] The highly pathogenic strain of the avian influenza virus was confirmed at a poultry farm in Nagato, Yamaguchi Prefecture, following detection in Nobeoka and Miyazaki, both in Miyazaki Prefecture. The latest outbreak is the third this season, defined as October to May, and it is feared that it may develop into the first nationwide pandemic since 2010, when the virus brought about a massive plague among birds. “We have been reinforcing our sense of urgency much more than the usual year as the flu was spreading in South Korea. And now the fear is getting real,” said an official. “We’re now in a situation where a nationwide pandemic can be expected,” said Chief Cabinet Secretary Yoshihide Suga at a recent meeting among Cabinet members held at the Prime Minister's Office. He suggested the relevant bodies take all measures to deal with the situation.
|Vietnam increases efficiency and quality of dairy sector|
[02 January 2015] Vietnam’s Dairy Demonstration and Experimental Farm was officially launched in August 2013 as part of a memorandum of understanding on cooperating between Israel and Vietnam in the dairy sector. So far it has succeeded in increasing local milking efficiency and quality. Farms in Vietnam produce an average of 12l of milk per day, or 3500l/year, as opposed to the Israeli average of 13,000l/ per year. Although many dairy farmers in the Ho Chi Minh City region have been receptive to adapting changes, the process is slow and difficult, said Tran Thi Bich Nguyen, the Vice Director of the demonstration farm. It hopes to see the area’s farmers achieve 8000l per year for their milking cows.
|Avian flu surfaces in Taiwan, South Korea, Japan|
[31 December 2014] Various strains of both highly pathogenic avian influenza (HPAI) and low-pathogenicity H5 avian flu have been reported in birds in Taiwan, South Korea, Japan and Russia in recent days. The Taiwan outbreak, reported by OIE Dec 26, involves subclinical low-pathogenicity H5 avian flu in 20 ducks on a breeder farm housing 2,600 birds. In South Korea the case of avian flu is of an unspecified type and is the first case in the Seoul area this winter. In Japan, 42,000 chickens have been slaughtered on a farm in Miyazaki after confirmation of H5N8 avian flu there. It is the second outbreak of HPAI this year in Japan.
|Philippines’ inclusion in EU’s GSP+ list to benefit local tuna industry|
[31 December 2014] The Philippine tuna industry, an export winner, is expected to get a boost from the country’s inclusion in the EU’s Generalised System of Preferences Plus (GSP+) list, a report by the Philippine News Agency said. Richie Rivera, Executive Vice President of RD Group of Companies, a leading exporter, said that GSP+ would allow zero tariff entry of Philippine tuna to member states. However, he reiterated that only processed and canned tuna products caught by 100% Philippine-registered vessels would be eligible for GSP+ coverage. Industry sources said the inclusion of the Philippines in the EU GSP+ will mean an additional USD 15 million in revenue for local tuna exporters.
|Government licence ruling for meat shops, slaughterhouses|
[31 December 2014] The Food Safety and Standards Authority of India (FSSAI), under the Union Health Ministry, has announced that all meat shops and slaughterhouses should secure mandatory licences from the government to continue operations. In a notice to all food safety commissioners and secretaries of urban local bodies across the country, FSSAI said that licences from the civic bodies alone is insufficient.
|More H7N9 cases in China|
[31 December 2014] China has reported four more H7N9 avian influenza infections in the past week, three in Zhejiang province and one in a Hong Kong resident that had recently traveled to Guangdong province. Two of the Zhejiang province cases are a 57-year-old man who has been isolated and hospitalized and a 75-year-old who died from his infection. The third is a 20-year-old woman who had visited a farmers market a week before she got sick and is hospitalized in critical condition. The four new cases lift the global H7N9 total to 474 cases, according to a case list kept by FluTrackers.
|Agri dept assures enough pork, chicken supply|
[31 December 2014] Local production is enough to assure pork and chicken supply through the first quarter of 2015, Philippine Department of Agriculture Undersecretary Jose Reaño assured Filipino consumers. He noted that most retailers are selling these products at suggested retail prices (SRP), with some even selling at lower prices. He did say that price of pork belly has gone up beyond the SRP of USD 4.13/kg due in part to higher institutional demand that was affected by the port congestion and transport problems. However, supply is expected to grow and this will eventually bring down prices.
|Chinese officials dismissed due to tainted pork scandal|
[31 December 2014] China has dismissed eight officials after pork from pigs infected with a ‘highly contagious virus’ was found to have entered the market, the state media said. The country’s latest food scandal was revealed in an investigation by state broadcaster China Central Television which said the annual revenue of the tainted pork was more than USD 3.2 million. The meat had come from slaughterhouses in the city of Gaoan in central Jiangxi province and had entered at least seven provinces in total, said the report. “Some of the pigs had a highly contagious virus,” added the report, which contained grisly images inside slaughterhouses of scattered pig carcasses, many with their bellies cut.
|Processors continue reliance on imported meat |
[30 December 2014] Philippine meat processors continue to import meat as local livestock raisers prefer to sell their produce whole and live, a report by BusinessMirror said. Citing Dr Minda Manantan, National Meat Inspection Service Executive Director, the report said European countries supply most of the raw material. The Bureau of Animal Industry reported that in the first eight months of 2014, the country imported 342,470 tonnes, with pork accounting for about 157,336 tonnes. Jess Cham, President of the Meat Importers and Traders Association of the Philippines told Asian Agribiz that “local meat processors have offered to issue blanket purchase orders to local hog raisers, but nobody takes them up on it.” With the meat processing sector steadily growing, Dr Manantan said the government and local animal producers should align their production to meet the needs of local processors.
|Fast Food Indonesia to open 65 new KFC outlets |
[30 December 2014] Fast Food Indonesia, franchise holder for the KFC brand in Indonesia, plans to open 65 new outlets within and outside Java to tap into the country’s growing food retail market. Gandhi Lie, Business Development Manager, said the company would spend USD 16 million to open 45 new standalone outlets and USD 3.2 million to set up 20 KFC Box outlets. Mario B Ledres, Finance and Administration Manager, estimated that the growth would help the company reach between 10-14% sales growth in 2015, outperforming the industry growth. Fast Food Indonesia currently operates 476 outlets across the country, over 400 of which are wholly owned.
|Egg price drops with cold weather, oversupply|
[30 December 2014] Egg price in Thailand has dropped as supply has risen. Boonyarit Kalayanamit, Director-General of the Department of Internal Trade (DIT), said egg price is now at its lowest, with farmgate price of wholesale egg at USD 0.07, down from USD 0.94 earlier in the year, and it is expected to fall further. Cold weather is among the factors encouraging better output while demand for eggs has declined with the holiday season. Sources said some farms even sell their eggs at USD 0.058.
|Jakarta to invest in cattle breeding in East Nusa Tenggara|
[30 December 2014] The city administration of Jakarta, Indonesia has signed an MoU with the East Nusa Tenggara (ENT) administration to invest in cattle breeding to meet Jakarta’s demand of 150 tonnes of beef per day. According to Darjamuni, Jakarta’s Maritime Affairs and Agriculture Agency Head, the city will provide cattle for ENT farmers and develop quarantine facilities and slaughterhouses. Mr Darjamuni explained that the calves produced would be owned equally by the city administration and the cattle breeders. Mr Darjamuni said the city administration would also cooperate with city-owned firms Dharma Jaya and Pasar Jaya. “Dharma Jaya will operate the slaughterhouses while Pasar Jaya will be responsible for the distribution of the meat in Jakarta,” he said, adding that the investment could range from USD 800,000 to USD 1.6 million.
|Thai food exports forecast to reach USD33b in 2015|
[30 December 2014] Thailand’s National Food Institute (NFI) forecast that the country’s food exports would reach around USD 33 billion next year, thanks to growing economies in Asia including China and Asean countries, said President of the NFI Petch Chinabutr. For 2014, NFI estimates food exports to reach a record high of USD 30.7 billion, up 15.4% from last year and above the earlier target of USD 29.8 billion. Chicken, rice, tapioca, canned pineapple and seasoning are among export products with high growth.
|Herbal supplement helps spent hens produce quality eggs|
[29 December 2014] Luheng Marketing Sdn Bhd, a Malaysian company developing herbal-based supplements for the agriculture industry, said it is able to reverse the egg size and quality of spent hens. According to its Director Chow Khay Hoong, hens aged 70 weeks and above often produce large eggs. “But we are able to bring down the size,” he told Asian Agribiz. Luheng opened its show farm using spent hens bought from local integrator. Besides better quality eggs, the farm is also able to save about 10g in feed consumption. The herbal concoction makes the birds healthier and they tend to consume less feed, said Mr Chow.
|Vietnam exports USD 4 billion worth of shrimp in 2014|
[29 December 2014] Vietnam’s Ministry of Agriculture and Rural Development reported that its agriculture sector earned USD 30.86 billion from exports this year, a year-year increase of 11.2%. Shrimp made the largest contribution at USD 4 billion, a 28% growth over the previous year, the highest value so far. The US remains the biggest importer of Vietnamese shrimp. Meanwhile, tra fish contributed around USD 1.8 billion to the country’s total export value, a rise of 5.8% against a year earlier. It makes up 21.8% of total seafood exports. The EU and the US are leading importers of the product.
|Angel investors back food delivery service |
[29 December 2014] Angel investors have contributed USD 1.6 million to a WeChat-based food delivery start-up in China called Call a Chicken. The food delivery service based in Chengdu offers chicken-based dishes prepared by renowned chefs and cooked with fresh meat, for home delivery. According to Sina Tech, investors are buying into Call a Chicken because they believe in the business model, but they have also chosen this specific start-up to support because of China’s culinary tastes. Spicy Sichuan food – which the start-up specialises in – is a popular cuisine all over the nation, and investors believe the potential market is massive.
|Brazil may challenge Indonesian rulings|
[29 December 2014] Brazil may step up its fight at the World Trade Organisation against Indonesia’s poultry import rules after a recent consultation failed to provide a definitive answer, a trade official said. Indonesian Trade Ministry’s Director General for International Trade Cooperation, Bachrul Chairi, said Brazil might formally request the establishment of a dispute settlement panel under the remit of the global trade governing body to address its complaint. Indonesia’s rulings include requiring importers to register, granting special import licenses and tightening up examinations of inbound animal shipments.
Coming up in Asian Meat Magazines, January 2015
[29 December 2014]
Imported meat gains acceptance in varied sectors
With the rise of globalisation and freer trade, many countries in Asia have seen a spike in frozen meat imports. While a small albeit growing portion makes it onto home dining tables, the Horeca (hotels, restaurants and catering) sector takes a choice portion for its restaurants and cafes, while the further processing sector takes a large chunk for its sausages and deli products, ISA Q TAN and the ASIAN AGRIBIZ report.
Japfa parks USD 10m for Holstein feedlots in China
Demand for safe dairy products has exploded in China, and so has demand for a safe, consistent beef supply. Indonesia’s Japfa group has been a pioneer in the dairy industry, with its AustAsia subsidiary one of the first to develop large-scale Holstein dairy farms in China. Now it is leveraging its dairy operation to become a leader in beef production, too, writes RICHARD HERZFELDER.
MeatLovers keep it fresh online
Buying meat online in Singapore is no longer a novel thing. With the click of a button meat can be ordered, paid for and delivered to homes. More and more companies are offering this service via butcher shops or direct from processing plants dedicated to this type of business - meatlovers.com.sg, is one such e-commerce business offering on-time delivery, fresh products and an informative, easy-to-navigate website, RACHAEL PHILIP writes
FRESHmart sets trend with safe meat retail
A pioneer in chicken meat retail in West Kalimantan, FRESHmart is a one-stop retail outlet offering hygienically-slaughtered chicken meat in a clean and comfortable atmosphere, writes ARIEF FACHRUDIN.