TOP STORIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
28 July 2015
|Austfeed Vietnam to break ground for new feedmill|
[28 July 2015] Austfeed Vietnam Corporation, based in the northern province of Hung Yen in Vietnam, will start work on a new feedmill in the Nghe An province in the third quarter of this year. The feedmill, which will be commissioned in July 2016, will cost the company USD 15 million and will have a capacity of 300,000 tonnes a year, Dao Manh Luong, Austfeed’s CEO, told Asian Agribiz after signing an investment licence for the construction. The new plant will produce swine and poultry feeds, especially for its contract farms, and sow and grower-finisher farms in the area. “It will be our fourth feedmill. We hope to build a fifth mill in the Mekong region at the end of this year,” he said.
|India’s seafood exports cross USD 5.5 billion|
[28 July 2015] Seafood exports from India has crossed USD 5.5 billion in 2014-15 despite a sharp fall in shrimp prices in the last quarter (January-March 2015), Marine Products Export Development Authority (MPEDA) said. Leena Nair, Chairman of the seafood export promotion agency said that volume of exports crossed record one million tonnes for the first time during the 2014-15 fiscal year. “Compared to 2013-14, seafood exports recorded a growth of 6.86 % in volume and 10.05 % in value,” she said. Frozen shrimp continued to be the major export item in terms of quantity and value accounting for 34.01% in quantity and 67.19% in earnings, data from MPEDA revealed.
|Sierad Produce to build more commercial farms|
[28 July 2015] Indonesian poultry integrator Sierad Produce plans to expand its commercial broiler farms this year. FX Awi Tantra, Corporate Secretary and Finance Director, said the company will build more commercial farms in West Java with closed-house system. “The commercial farms will support our growing food business. With the modern farms we can control the quality of our food products,” he said. The company has invested around USD 2 million for this.
Sneak preview of Asian Poultry Magazine, August 2015
[28 July 2015]
Althea Farm tips the scale with good management
Raising broilers in the Philippines is regularly difficult, but raising poor quality chicks presents even more challenges. However, for one farm in Compostela Valley, good management turns what would have been rejects into marketable birds, reports ISA Q TAN.
Jadeed bids for larger share in DOC market
Jadeed Group of Companies in Pakistan started raising Ross GP from Aviagen in 2013. After introducing this DOC to local poultry operators, it clinched a good number of transactions. Thanks to good performance at its GP farm, the company’s Chief Executive Mian JM Javaid told NITSARA THONGRUNG that he believes his company will be able to grow its market share for DOC, PS & broilers
Menara’s win-win with quail breeding
By cooperating with groups of quail farmers, Mentari Nusantara (Menara) Feedmill successfully grew its feed business by 50% in the last two years. The company told ARIEF FACHRUDIN that it also ventured into quail breeding to provide farmers with quality DOQ in addition to quality feeds.
Growing potential for probiotics in poultry feed
Antibiotics, once a boon for the livestock industry, is now being seen as a blight even to producers. The search is on for viable alternatives. According to Principal Scientist and Director of Singapore-based Otemchi Biotechnologies Pte Ltd, Chia Tet Fatt, probiotics is the future but farmers must be able to look beyond costs and understand the benefits of using the product on their chicken, RACHAEL PHILIP writes
Comparing organic selenium sources
There is a growing interest in using selenium (Se) based products as an antioxidant, not only for breeding stock, but also for commercial animals. A wide range of products is available. The question is how to choose the most efficient one? Chemical analysis does not appear sufficient to appreciate the bioavailability of the large range of dietary sources of selenium available for animal feeding. Tissue Se deposition is a reliable criteria to evaluate the bio-efficacy of various Se sources write PIERRE-ANDRE GERAERT, MICKAËL BRIENS, YVES MERCIER and Y.G. LIU.
Recent advances in the production & management of ducks
In the first of a four-part article DAVID J FARRELL* reviews recommendations for the production and management of meat and egg hybrid domestic ducks kept mainly under intensive management systems.
Impact of heat stress on the amino acid needs of broilers – part 2
The nutritional strategies often considered to overcome the adverse effects of heat stress are to reduce dietary intact protein levels to minimize the metabolic heat production or to increase dietary amino acid levels to account for decreasing feed intake. Unfortunately, previous research does not clearly indicate which of these strategies is correct. In the second of this two-part article, GIRISH CHANNARAYAPATNA and ROB PAYNE* write that recent research indicates that the amino acid needs of broilers raised in heat-stress situations are likely higher than for those reared at thermal neutral temperatures.
Dietary fibre: pros and cons in poultry feeding and nutrition – part 1
In the first of this two-part article GONZALO MATEOS* writes that traditionally dietary fibre has been considered as a diluent and an anti-nutritional factor. Recent research, however, indicates that this may not be the case. The inclusion of moderate levels of insoluble fibre improves gastrointestinal function.
|Focused technical meetings for broiler and layer producers|
[27 July 2015] The Layer Feed Quality Conference is an off shoot of Asian Agribiz's Poultry Feed Quality Conference, a broiler focused technical meeting that has been growing in size and stature over the last six years and now attracts more than 300 nutritionists from throughout Asia. The 2015 Poultry Feed Quality Conference will be held in Bangkok from 3-4 September. Both conferences feature strong science-based technical programs with carefully selected papers containing relevant trial data and practical solutions for Asian broiler and layer producers. More details here and here or contact Omthong Tjoa or Sutasinee Lake (firstname.lastname@example.org).
|USDA's new H5N2 vaccine works well |
[27 July 2015] A vaccine that the US Department of Agriculture (USDA) developed for H5N2 avian influenza has tested "100% effective" in chickens and is now being tested in turkeys, according to the Associated Press (AP). If the vaccine also works well in turkeys, the USDA plans to license it for production, Agriculture Secretary Tom Vilsack told the House Agriculture Committee. The H5N2 virus led to the destruction of 48 million poultry during the spring and early summer, mostly in Iowa and Minnesota. No more outbreaks have been reported since mid-June, but experts are concerned that the virus may return in the fall, when migratory birds head south.
|Fairfax India acquires National Collateral in USD 126 million deal|
[27 July 2015] Fairfax India Holdings Corporation, an investment holding company traded on Canada’s Toronto Stock Exchange has agreed to acquire 74% of National Collateral Management Services Limited, a leading private sector agricultural commodities storage company in India for USD 126 million. According to a Fairfax India press release, the transaction is expected to be completed later in 2015. National Collateral has operated for over 10 years and is now preparing to expand to take advantage of the significant market potential in India’s underdeveloped agricultural storage industry. “National Collateral will continue to operate independently under the leadership of its present CEO Sanjay Kaul to build on its position as India’s largest private sector agricultural warehouse and grain collateral storage company,” Chairman of Fairfax India Prem Watsa said.
|Feed additives market in Vietnam forecast CAGR 4.7% |
[27 July 2015] The Vietnam animal feed additives market (antibiotics, vitamins, antioxidants, amino acids, enzymes and feed acidifiers, for poultry, pigs and cattle) was valued at USD 112.4 million in 2014 (up 4.1% in 2013), and is expected to reach USD 160.5 million by 2022 growing at a CAGR of 4.7% from 2015 to 2022, according to Grand View Research. Increasing per capita meat consumption is expected to be a major factor driving the market over the next seven years. Antibiotics emerged as the leading product segment and accounted for over 36% of the total market revenue in 2014.
|KFC partners with Indian Railways |
[27 July 2015] KFC has partnered with Indian Railways to offer meals on board to people travelling in trains under the e-catering service. The facility is now available on 12 trains passing through New Delhi railway station and will be expanded to Vishakhapatnam, Hyderabad and Bangalore railway stations over the next 10 days, KFC said in a statement. Consumers will have to visit Indian Railways website or call a toll-free number to place their order. “We think this initiative gives us a great opportunity to bring the taste and quality of KFC to our fans,” KFC India Chief Marketing Officer Dhruv Kaul said.
|Layers - how to build a sustainable flock|
[24 July 2015] The inaugural Layer Feed Quality Conference by Asian Agribiz will address the theme ‘Building a sustainable flock’. The intent is to make producers think about how they approach layer nutrition and management, and feed production. Leading layer industry experts will address topics such as opportunities for enriched eggs, nutrient retention and nutrient waste for layers, developments in gut health and novel split feeding systems. More details here or contact Omthong Tjoa or Sutasinee Lake (email@example.com).
|US raises dispute over Indonesia’s pork imports|
[24 July 2015] The US is raising a dispute with the World Trade Organisation (WTO) against Indonesia for violating agreements on pork imports. Although Indonesia is a predominantly Muslim country, there is significant potential demand for pork products in the Horeca industry, as well as among minority populations, said The US National Pork Producers Council (NPPC). In the NPPC’s view, Indonesia’s import permit system violates numerous provisions of the WTO Agreement on Import Licensing Procedures. Indonesia currently allows imports from only five US slaughter and processing plants, limiting the supply of US pork to the Indonesian market. According to the USDA Foreign Agricultural Service office in Jakarta, the Indonesian government is making “little effort” to approve additional plants.
|Sufi Group ventures into further processing|
[24 July 2015] Pakistan’s Sufi Group, a top producer of fast moving consumer goods in the country, has started to produce a variety of further processed poultry products under the ‘Simply Sufi’ brand. The focus of the group has now turned to the processing of broilers both as input for its further processing plant and to provide customers with the best possible natural products. Hamza Foods, a wholly owned Sufi company, has chosen Marel Stork Poultry Processing’s technology to enable high quality processing. The initial capacity of the new plant near Lahore will be 3000 birds/hour and this can be doubled.
|Vietnam's pig production up in first half|
[24 July 2015] According to the General Statistics Office, Vietnam currently has about 27.2 million pigs on farms (up 2.9% from last year). Production reached 2.05 million tonnes of pork in the first 6 months of 2015, an increase of 3.9% compared to the same period in 2014. The Ministry of Agriculture forecasts an increase in output this year of 2.4% to 3.37 million tonnes.
|SNC to invest in West Sumatera|
[24 July 2015] Indonesia has opened around 2000ha of agriculture land in West Pasaman, West Sumatera to attract more investors to the agro industry. The Ministry of Agriculture said Australia-based SNC has shown interest to invest in an integrated cattle operation starting from breeding to processing in the region. The investment is estimated to reach around USD 2.2 billion, as quoted by Investor Daily. Erinaldi, Head of the Animal Husbandry Agency in the province, said the local government has also improved infrastructure and transportation. Yusni Emilia Harahap from the Directorate General of Agro Processing and Marketing of the Ministry of Agriculture added that Japan has also shown interest to invest in integrated cattle operations in West Pasaman.
|Malaysia’s CAB Cakaran hopes for double digit growth|
[23 July 2015] CAB Cakaran Corp Bhd expects the financial performance of its nine-month period ended June 30 to improve by a double-digit percentage over the previous year’s corresponding period. Group Managing Director Chris Chuah said its Tong Huat Poultry Processing Factory in Singapore had started to contribute positively to the company’s bottom-line and revenue in the last four months, reported the StarBiz. He said the Singapore operations is expected to generate about 10% of the company’s revenue for this financial year ending in September. “The stability in poultry prices has also contributed to the performance of the group in the nine months, which has boosted sales,” Mr Chuah said. The company has also completed the acquisition of the 68ha broiler farm in Johor. It produces 1 million birds per month for the Singapore and Johor markets.
|Sojitz starts cold chain logistics business in Myanmar|
[23 July 2015] Sojitz Corp and Sojitz Logistics Corp have established a tie up with Premium Distribution Co, Ltd, a foods and consumer goods wholesaler. Called Premium Sojitz Logistics the deal will provide cold-chain logistics services from three temperature logistics warehouses to be built in Yangon City. Premium Distribution handles food wholesale for City Mart Group. The group has 20 supermarkets, seven hypermarkets, and 45 convenience stores in the country, as well as food and consumer goods wholesale businesses in major Myanmar cities. Sojitz Corp, in a press release, said demand for refrigerated and frozen food products in Myanmar is on the rise.
|Pioneerindo to expand with satellite CFC outlets|
[23 July 2015] To grow its business this year, Indonesia's Pioneerindo Gourmet International, the operator of California Fried Chicken, will establish satellite outlets that are smaller than its regular outlets. Kristanto Cendra, Finance Director, said with the new concept can save investment costs and be more productive. “The outlets will only sell ready-to-eat products. While the processing and cooking will be done in our central kitchen. Each satellite outlet will need two operators only,” he said, adding that the investment for one satellite outlet is only around USD 11,200. Mr Kristanto revealed that by end of this year the company plans to open 50 new satellite CFC outlets in Jabodetabek.
|Minh Phu primed for investment|
[23 July 2015] Minh Phu Seafood, Vietnam’s largest shrimp exporter, has reported its plan to the Ministry of Agriculture and Rural Development (MARD) for a USD467.3 million project to raise shrimp and African carp nationwide, according to Vietnam Breaking News. This project will be deployed in an integrated production chain, which involves the participation of millions of farmers. The project plans to produce 140,000 tonnes of shrimp and 50,000 tonnes of African carp by 2020, when the total revenue is projected to hit USD 2.5 billion USD, and 200,000 tonnes of shrimp and 100,000 tonnes of African carp by 2025, when the total revenue is expected to reach USD3.5 billion. The project will include the construction of sub-projects, including a research institute, a shrimp breeding centre, animal feed and medicine factories, aquatic product processing factories, a logistics and distribution company, and market expansion.
|Ban on poultry products from Kerala state lifted|
[23 July 2015] South Indian state of Tamil Nadu has lifted the ban on entry of poultry products from neighbouring Kerala state following a notification from the Central government. The ban was imposed in November 2014 after avian influenza was reported among ducks. Tamil Nadu State Animal Husbandry official Dr Vishnugurubaran told Asian Agribiz that the Central government has certified that Kerala had brought the disease under control. “However, importers of poultry products from Kerala must still produce a certificate from animal husbandry department certifying that the products are free of pathogenic influenza,” he added.
|Countries ban imports from the UK |
[23 July 2015] Singapore and Japan have imposed restrictions on the importation of poultry and poultry products from the UK after an outbreak of H7N7 Highly Pathogenic Avian Influenza (HPAI) was reported in a poultry farm in Lancashire. Singapore’s Agrifood and Veterinary Authority said heat processed poultry products, which meet the requirements for heat inactivation of AI virus, will not be affected. Hong Kong’s Centre for Food Safety (CFS), has also imposed a ban. A CFS spokesman said about 18,000 tonnes of chilled and frozen poultry meat and about 7.2 million poultry eggs were imported into Hong Kong from Britain last year.
Preview of Asian Agribiz 2015 Layer Feed Quality Conference
Jakarta, Indonesia, September 7, 2015
[22 July 2015]
Building on the success of the annual Poultry Feed Quality Conference, Asian Agribiz will launch the inaugural Layer Feed Quality Conference this September. With the theme “Building A Sustainable Flock” the Layer Feed Quality Conference will offer a dedicated focus on layer nutrition, management and feed production and will feature 11 presentations from regionally and internationally renowned speakers. More details and registration form can be viewed here or contact Omthong Tjoa or Sutasinee Lake (firstname.lastname@example.org). Early bird and group registrations close August 4.
From egg to plate – opportunities for enriched eggs
Han Zhaopeng, Vice Director r&d for Beijing DQY Agricultural Technology Co Ltd, China, the largest egg producer in Asia, will present the conference keynote paper and discuss marketing innovations in the Chinese egg industry.
Nutrient retention and nutrient waste for layers
Associate Professor Rosalina Angel, University of Maryland, will focus on improving nutrient retention and reducing nutrient waste in laying hens through the use of feed additives, feed nutrient changes, and proper selection of ingredients.
Fibre in layer diets – choosing the right source
The use of crude fibre in layer feed formulations is controversial. Breeding companies consider crude fibre an essential component in layer feed, while nutritionists often try to avoid the use of fibre, as most sources do not deliver energy for monogastrics. Ike Ng, JSR will present that insoluble, non-fermentable fibres should be the first choice fibre source for poultry as there are lots of positive effects on health and performance, such as an improved litter quality and reduced incidence of feather pecking as well as a bigger gizzard and better growth rate in pullets.
Split feeding systems for more sustainable egg production
The requirements of laying hens for amino acids, energy, calcium and phosphorous vary during the day, depending on the hen’s physiological needs for the formation of the albumen and shell components of the egg. Felipe Sanchez, Application & Solution Specialist Poultry Technology Transfer, Nutreco will consider how split feeding with morning and afternoon diets better meets the bird’s physiological requirements, improving egg shell quality, and is a more sustainable feeding system because nitrogen and phosphorous excretion are reduced.
Developments in gut health
Santiago Ramirez, Consultant, Fractal Farming will review practical strategies for improving gut health at farm level, using husbandry practices such as hygiene, ventilation and ammonia control. He will also consider feeding strategies such as enzymes, vitamins and mineral nutrition and other feed additives and will focus on the effects of gizzard development.
|Imported sausages threaten Indonesian meat processors|
[22 July 2015] Indonesian meat processors are worried about the import surge of Malaysian processed meat over the last three years. Ishana Mahisa, Chairman of the National Meat Processors Association, said that in the long run this condition could endanger the survival of the domestic industry. Mr Ishana said the average price of sausages imported from Malaysia is USD 2.29/kg while the price of locally made sausages of the same quality is around USD 4.50/kg. According to Indonesia’s Statistics Agency data, the import value of processed meat with the harmonised system code of 1601 (sausages and other processed meat) has increased by 18 times from 2012’s USD 305,612 to USD 5.6 million in 2014. By volume, meanwhile, the imports in 2012 were 244.63 tonnes, and then jumped to 2420 tonnes in 2014. Of the total volume in 2014, around 2000 tonnes were from Malaysia.
|China to boost global pork trade in 2H|
[22 July 2015] Things are looking up for the global pork industry in the second half of 2015, with growth in China’s pork imports expected to boost global trade towards the end of Q3 and into Q4, Rabobank said in its latest Pork Quarterly Report. China’s pork supply has been tight due to its current low sow inventory, but rising piglet and hog prices indicates that the supply/demand situation in the country is rapidly changing, “which supports rising imports into Q4” and possible into 2016. The report also noted that prices are on the rise in almost all major exporting and importing countries as the supply and demand balance improve across the globe. According to Rabobank animal protein analyst Albert Vernooij, “the main questions are when Chinese import growth will start, how much volume growth there will be and what the support for pork prices will be across the globe.”
|USDA projects higher poultry production in Asia |
[22 July 2015] Based on USDA’s 2015 long-term projections to 2024, poultry production in China is expected to increase to 16,925 kmt (‘000 tonnes) at a compound annual growth rate (CAGR) of 3.0%. Poultry production projections for 2024 and CAGRs for other Asian countries are; India 6,818 kmt (6.4%), Indonesia 1,961 kmt (2.1%), Japan 1,456 kmt (0.8%), Malaysia 1,772 kmt (2.2%), Pakistan 1,492 kmt (11.3%), Philippines 1,189 kmt (3.0%), South Korea 1,772 kmt (2.7%), Taiwan 468 kmt (-0.2%), Thailand 2,198 kmt (3.3%) and Vietnam 1,091 kmt (3.4%). Production for all countries and regions modelled is expected to increase to 125,363 kmt (2.3%) to 2024.
|QL Indonesia to double production by 2020|
[21 July 2015] QL Group Indonesia targets to double production by 2020 for all of its business lines to meet consumption increase of animal protein in the country. Cecep Muhammad Wahyudin, Director, told Asian Agribiz that of the double production, 80% is targeted for sale in modern markets. The company targets 80% of its broiler production to be absorbed for internal use for value added products. “To realise this we will implement an integrated business model and focus on quality improvement and branding,” said Mr Cecep. 'From 2010 until now QL has invested around USD 120 million in Indonesia. By 2020 our total investment could reach USD 300 million.” The group operates through two subsidiaries. QL Agrofood is involved in layer farming and feed production, while QL Trimitra operates an integrated broiler business.
|Philippines looks to Efta for food products|
[21 July 2015] The Philippines is seeking to export processed food and fishery products to member countries of the European Free Trade Association (Efta), said Philippine Agriculture Undersecretary Segfredo Serrano. He said the Philippines began free trade negotiations with Efta, which includes Iceland, Norway, Liechtenstein and Switzerland, in March this year and negotiations will continue in September and November, as they hope to finalise an agreement prior to the end of the current administration’s term in 2016.
|New challenges require livestock overhaul in Vietnam|
[21 July 2015] Vietnam’s livestock sector must restructure to produce competitive, high-quality products for the global market, said the Minister of Agriculture and Rural Development, Cao Duc Phat, at a meeting of Government officials and experts. Although meat production has increased by about 4% since 2013, many obstacles remain unresolved. The biggest are productivity and cost of meat which is higher than other countries reported Vietnamnews.vn. “We have the second largest number of farm ducks in the world and the fifth biggest number of pigs, yet productivity is nowhere close to the international average,” Minister Phat said. "When trade agreements take effect and tariffs are reduced imported meat will flood our market. The husbandry sector will have to be competitive in quality and price,” said Chairman of the Vietnam Animal Feed Association, Le Ba Lich added.
|Soybean meal export from India at historic low|
[21 July 2015] Soybean meal exports from India was at a historic low this June at just 2098 tonnes the Solvent Extractors' Association of India said in a member statement made available to Asian Agribiz. According to export data, soybean meal exports stood at 18,017 tonnes in April and 14,046 tonnes in May before sliding. “Adding to the woes of the industry, domestic demand for oilmeals has also reduced,” Dr BV Mehta, Executive Director of the association said in the statement. Overall export of oilmeals in June was reported at 137,571 tonnes or 34% lower than June 2014.
|Myanmar approves Brazilian poultry and beef|
[21 July 2015] The Myanmar government has approved imports of Brazilian poultry and beef, Brazil’s Minister for Agriculture, Livestock and Supply Katia Abreu announced recently. The industry expects poultry exports of 12,000-15,000 tonnes/year valued at USD 36-45 million. For cattle, the estimate is 10,000 tonnes/year, valued at USD 42 million. Brazil will be the first country to export beef to the Southeast Asian nation. When the new market has opened, companies interested in exporting to Myanmar may submit a request for qualification. “Myanmar government technicians were presented with our Agricultural Management Platform. They know the models of international certificates,” said Ms Abreu.
|India's aqua feed demand to reach 7mt|
[21 July 2015] India’s aquaculture feed demand is to touch 7 million tonnes by 2017-18 according to a report by Yes Bank. India has around 26 aqua feedmills with a total production capacity of 1.25 million tonnes. But in 2013-14 only about 43.4% was utilised. The feed demand only from shrimp and fresh water shrimp is around 1 million tonnes. India currently has 13 feedmills that can produce modern feed for the shrimp sector with a production capacity of 1.33 million tonnes. On fish feed, the current installed capacity is 1.55 million tonnes. The total feed production for shrimp and fish stands at 572,000 tonnes and 684,000 tonnes respectively, the report added.
|Science, trial data and solutions focus of conference|
[20 July 2015] The Poultry Feed Quality Conference organised annually by Asian Agribiz has ‘Science, trial data, solutions’ as its banner. The program for this year's event to be held in Bangkok, Thailand on September 3 and 4 is divided into four sessions - new thoughts on energy; utilising amino acids; producing chicken without AGPs; and harnessing feed technology. There will also be a hot trials session with short papers on the latest product-related research in Asia. More details here and here or contact Omthong Tjoa or Sutasinee Lake (email@example.com).
|Drought, low fish supply boost egg price |
[20 July 2015] Egg prices in Thailand have increased slightly boosted by the severe drought and growing consumption as consumers are switching to egg as a substitute amid tighter seafood supply, President of the Egg Farmers Association Annop Akaranithiyanont said. Demand for eggs has increased as many fishing boats are not able to go out due to a new regulation. Farm gate egg price has risen by THB 0.10 to THB 2.70 per egg [USD 0.08]. However, the price is still lower than production cost of THB 3/egg [USD 0.09]. “Farmers have been generating losses for 10 consecutive months already,” he said. The Department of Livestock at the Ministry of Agriculture and Cooperatives hopes to increase consumption from 200 eggs per person per year in 2012 to 300 by 2018.
|Jember government inaugurates new chicken processing plant|
[20 July 2015] The government of Indonesia’s Jember regency in East Java recently inaugurated a new 1000 birds/hour chicken processing plant. According to Sugiarto, Secretary of the regency government, the processing plant complex, which cost around USD 165,000, is equipped with a 2-tonne cold storage facility and waste treatment facility. Mahfud Afandi, Head of Livestock Agency in the regency, said the plant will be operated by a professional private party, and “the plant will support chicken producers in the region to have better quality and hygiene processing for their chickens.”
|KFC China reports lower Q2 sales|
[20 July 2015] KFC’s problems in China continued in the second quarter of 2015, with same-store restaurant sales down 12%, according to parent company Yum Brands. KFC sales have suffered in China since July 2014, when one of its former suppliers was accused of improper food handling practices. The company’s overall China Division sales, which include Pizza Hut and Little Sheep restaurants, were down only 4% due to added sales from newly opened units. The company said it was encouraged that operating margins remained relatively high at 14.6%, and that it still expected substantial same-store sales and profit growth in the second half of the year.
|Apfindo looks for local cattle|
[20 July 2015] With the limited cattle import quota (only 50,000 heads) for Q3 released by Indonesia’s Ministry of Trade, the Indonesian Feedlotters Association (Apfindo) is now looking for local cattle. Chairman Jhony Liano said: “At the moment our feedlot capacity is around 350,000 heads for around 2-3 months. It’s not easy to fulfil demand as supply of local cattle is also limited and scattered in many rural regions. So the cost to collect the cattle and then transport them to Jakarta is high.” Based on Apfindo’s calculations, this year Indonesia needs around 3.4 million cattle, and local supply can only meet around 2.4 million of the total. “We still have to import around 1 million cattle to fill the gap,” said Mr Johny.
|McDonald opts for free-range eggs in New Zealand|
[20 July 2015] McDonalds has announced that its restaurants in New Zealand would switch to free-range eggs by the end of 2016, Quartz of New Zealand reported. The fast food giant serves around 13 million eggs per year in its menus including Egg McMuffins at 164 outlets in the country. Free-range egg in this case will be eggs from cage-free chicken and New Zealand producers can supply this to McDonalds.
|Manipulating prestarter and starter feed|
[16 July 2015] At Asian Agribiz's Poultry Feed Quality Conference in Bangkok this September, Bob Swick, Industry Professor of Poultry Nutrition at the University of New England, Australia, will challenge participants to rethink what can be done to manipulate prestarter/starter feed to make a difference at the end of the grow-out. This year, in addition to the main conference, Asian Agribiz will also stage a satellite, inaugural Layer Feed Quality Conference in Jakarta on 7 September 2015. Click here and here for more details on both conferences or contact Omthong Tjoa or Sutasinee Lake (firstname.lastname@example.org).
|Sneha Farms to commission two new feed plants by 2016|
[16 July 2015] Hyderabad based poultry major Sneha Farms Pvt Ltd in India will commission two new feedmills by 2016, D Varun Reddy, Director of Sneha Farms said. “We are developing two new Greenfield feed projects, one at Rajahmundry in Andhra Pradesh state and the other at Gangawati in Karnataka state, each attracting an investment of around USD 8 million,” he told Asian Agribiz. Both these plants will have an installed capacity of 400 tonnes per day with an option to double its output. According to him, they are yet to finalise the equipment for the new feedmill projects.
|Indonesia slashes cattle import quota to 50k in Q3|
[16 July 2015] Indonesia has issued permits to import 50,000 heads of cattle in the third quarter, a trade official said, less than one-fifth of what was allowed in the previous quarter. Lower purchases by Indonesia could hurt the cattle industry in Australia, the world’s third-largest beef exporter, whose farmers last year supplied around 40% of the beef consumed in Indonesia. “It is based on demand but we are also aware of our local farmers. If we need more, we will add (to the quota),” said Partogi Pangaribuan, Director of the Foreign Trade Ministry. Indonesia initially issued permits to import 250,000 cattle in the second quarter and later issued permits for an additional 29,000 head for the three-month period.
Asian Agribiz dairy update
[16 July 2015]
JD.com invests in Murray Goulburn
Chinese billionaire Richard Liu has invested about USD 15 million on a stake in Australia's Murray Goulburn's (MG) new unit trust or 4.6% of the dairy co-operative's trust, which was listed on the Australian stock exchange recently. This makes Mr Liu's e-commerce company, JD.com, the sixth-biggest holder in the trust behind Chinese food processing and purchasing company China Resources Ng Fung, which owns 4.9%. JD.com launched an online 'Australian Mall' this month. "Launching Australian Mall gave us a tremendous opportunity to engage with local brands and evaluate partnerships and investments," a JD.com spokesman said. The website sells Murray Goulburn's Devondale-branded products at a significant premium.
Sebi clears Prabhat Dairy’s IPO plans
Indian capital markets regulator Securities and Exchange Board of India (Sebi) gave the green light for Prabhat Dairy to raise at least USD 47 million through an initial public offer. The integrated milk and dairy products company plans to raise the amount by issuing fresh shares and offer for sale of up to 14 million equity scrips. Proceeds of the issue would be used for the payment of loans, to meet capital expenditure and for other general corporate purposes. The company had earlier filed a draft of its red herring prospectus with the regulator through its lead merchant banker Edelweiss Financial Services in March.
Friesland Campina opens diary zone
Friesland Campina Vietnam officially held the inauguration ceremony for their sustainable dairy zone in the northern province of Ha Nam on June 24, following nearly one year of construction. The 66 Ha dairy zone in Moc Bac commune, Duy Tien district, is projected to become a typical model dairy zone in Ha Nam province. As planned, eight more dairy farms will be established in this 66-hectare dairy zone through 2017. Each farm will include a dairy herd of 50 to 80 head and have at least 30 lactating cows. According to the scope of the project, it is expected that by December, 2018 the specialised dairy zone will be made up of 50 dairy farms and produce at least 7,000 tonnes of fresh milk per year.
Prabhat Dairy creates cheese, yoghurt production lines
India’s integrated milk and dairy products company Prabhat Dairy has set up new lines of production for value-added products such as cheese, cottage cheese and yogurt at its Shrirampur facility in Maharashtra. The plant is expected to commence commercial production of these products next year, according to a press release by the company. The dairy major has a processing capacity of 1.5 million litre/day. The new unit at Shrirampur has automated production facilities. “We intend to continue to invest in increasing our capacity for our existing dairy products and also develop manufacturing capabilities for new products,” Vivek Nirmal, Joint Managing Director of Prabhat Dairy said.
Mobile app for dairy farmers
The National Dairy Development Board in India has launched a mobile app named ‘Pashu Poshan’ that will recommend a balanced diet for cows and buffaloes. “This will help boost dairy farmers’ income by raising milk yield and cutting feed cost,” Union Agriculture Minister Radha Mohan Singh said after the launch. The application will be available on both web and android platforms. To use the application, farmers have to provide a complete animal profile such as breed, age, milk production, fat content in milk and current feeding pattern. “Farmers will then get information about balanced rations for their cows and buffaloes,” Mr Singh added.
Orissa dairy to collaborate with Amul
Orissa State Cooperative Milk Producers Federation (OMFED) in India has announced that it is planning to collaborate with Amul to scale up its operations. Bishnupada Sethi, Chairman and Managing Director of Omfed said that Amul has agreed to receive surplus milk from the federation at its plant in Kolkata. “Amul will also help us improve our quality standards and market our products,” he said. Apart from this, Amul will also help Omfed in doubling the ice cream manufacturing capacity at Bhubaneshwar dairy by sharing its expertise. Omfed’s milk procurement from farmers has touched 600,000 litres/day against the 2014-2015 average of 445,000 litres/day.
|QL Group’s new mill in Bekasi in operation|
[15 July 2015] QL Group Indonesia, through its subsidiary QL Agrofood, has put a new feedmill in Bekasi, West Java into operation. The plant has an installed capacity of 20,000 tonnes/month and is equipped with 10 silos with a total capacity of 36,000 tonnes to store corn. “In May we ran test production and field trials for the feed at our own farms. The results were satisfying,” Cecep Muhammad Wahyudin, QL Group Indonesia Director, told Asian Agribiz. “At the moment we still produce for our internal needs that reach around 8000 tonnes/month. But we plan to launch the feeds for commercial purpose in the third quarter of this year,” said Mr Cecep. Around 80% of the total corn required is sourced from farmers in Tasik, Garut and Majalengka in West Java.
|Suguna to grow retail through franchise|
[15 July 2015] South Indian poultry major Suguna Foods Private Limited is looking to expand its retail outlets Suguna Daily Fressh through the franchise model. GB Sundararajan, Managing Director of Suguna Foods said that they will take the store count to 500 in the next three years. Suguna Daily Fressh offers a range of fresh chilled chicken apart from ready to eat chicken products and value added eggs. “We are looking at individual entrepreneurs who are passionate about this business and can invest between USD 6,000-10,000 to start a Suguna Daily Fressh store,” he said.
|Taiwan battles H5N2 again|
[15 July 2015] Taiwan has had three more in a long series of highly pathogenic H5N2 outbreaks that began in January, authorities told the World Organization for Animal Health (OIE) on July 13.The outbreaks were identified at a chicken farm in Changhua county and a turkey farm in Yunlin county, both in the west-central part of the island, and a goose farm in the south-western city of Kaohsiung, the report said. The virus killed 5,527 of 25,640 birds on the three farms, and the rest have been culled to prevent any further spread. The farms have been cleaned and disinfected, and other farms within 3km will be under special surveillance for three months.
|Gorontalo exports 2000t of corn to Philippines|
[15 July 2015] Indonesia’s Gorontalo province has resumed corn exports, sending off a 2000-tonne shipment, this time to the Philippines. Mulyadi Mario, Gorontalo Agricultural Food Crops and Horticulture Office Head said the total export volume of corn has reached 95,967 tonnes as of July this year, or valued at about USD 426 million. “The volume excludes the total inter-island corn consignments worth about USD 32 million. In other words, around USD 73.5 million has been spent purchasing corn from farmers in Gorontalo,” said Mr Mulyadi. The Gorontalo Central Statistics Agency recorded an accumulated export value of 7.5 million tonnes of corn passing through the port in Gorontalo from January to April this year.
|Organic minerals the better option|
[15 July 2015] Studies have shown that over-fortification with inorganic trace minerals is wasteful and poses dangers to the environment, yet they remain the main option for mineral fortification in the animal production industry. At Alltech Philippines’ Rebelation held yesterday in Manila, Steven Elliot, Global Director of Alltech Mineral Management Division, told participants that organic minerals are the viable and better option because they not only lead to better performance at “significantly lower inclusion rates” but also to less heavy metal excretion, less pollution and less risks to the food chain. He enumerated three options that producers can apply organic minerals, including: adding “on top” of current program; partial “displacement”; and total replacement of inorganic trace minerals.
|MPEDA launches mobile app for global shrimp prices|
[15 July 2015] India's Marine Products Export Development Authority (MPEDA), a nodal agency for promotion of marine exports from India has launched a mobile app to help farmers get global prices on shrimp. Information on the global price of shrimp for different grades in major markets like Japan, US and EU will be provided by SMS on a missed call to +918590100800 or +918590200800. The prices are obtained from published data of Infofish (an intergovernmental organisation of the FAO). The agency has also introduced a new facility to provide Certificate of Registration online to seafood exporters.
|Japfa sets up new hatchery in Tangerang|
[14 July 2015] Japfa Comfeed Indonesia is expanding its hatchery network in Indonesia with a new facility in Tangerang, West Java. The new hatchery will be equipped with SmartPro single stage incubators from Pas Reform. A SmartCenter hatchery information system will monitor and record each incubation cycle. “Our adoption of modern technology, together with our focus on biosecurity and food safety, puts Japfa in an excellent position to deliver premium quality broilers that have had an excellent start, with high uniformity throughout the integration to achieve a superior retail product,” said Akhyar, Japfa Head of Hatchery West Area.
|Adhi Farm improves genetics, nutrition|
[14 July 2015] For Indonesia’s Adhi Farm based in Solo, Central Java, sustainable improvement in genetics and nutrition is key to its pig farming business. “We cannot control the market, but we can improve our genetics and nutrition for better production, efficiency and profit,” Alexander Kasim, owner, told Asian Agribiz. At the moment Adhi Farm, which has 200 sows, is running a breeding program to produce GGP of Landrace, Duroc and Yorkshire breeds with frozen semen imported from the US. On nutrition, raw material quality is monitored while knowledge on feed formulation is being upgraded. Every day Adhi Farm mixes around 5 tonnes of feed/day for its 2000 pigs.
|Sneha Farms expands capacity at existing feedmills|
[14 July 2015] Sneha Farms Pvt Ltd in India recently embarked on capacity expansion at two of its feedmills in Jadcherla in Telangana and Hanuman Junction in Andhra Pradesh. “We installed two 600 tonnes per day lines from Switzerland’s Buhler Group at these feedmills,” Mr Varun Reddy, Director of Sneha Farms told Asian Agribiz. Sneha Farms has six feedmills located across Telangana, Andhra Pradesh and Karnataka states in India with a total capacity of 4400 tonnes of poultry feed per day. The company also has dedicated lines at its Hanuman Junction facility to produce 350 tonnes per day of fish feed.
|Food Empire sells 40% stake in frozen seafood processor|
[14 July 2015] Singapore-based Food Empire said its wholly-owned subsidiary, Future Investment Holdings, has disposed of its entire stake in PT Marindo Makmur Usahajaya to PT Kelola Mina Laut and Mohammad Nadjikh, for USD 667,000. “The divestment is because the investment has not managed to fully deliver the value the group had hoped to reap,” the company said. The transaction is not expected to have any material impact on the consolidated net tangible assets and earnings per share of the group for the current financial year, its filing added.
|Japan calls on US to expand beef imports|
[14 July 2015] Japan wants the US to expand imports of Japanese beef under a low-tariff quota to 2000 tonnes from the current level of 200 tonnes annually, as part of the terms for the proposed Trans-Pacific Partnership (TPP), negotiation sources said. Japan exported a total of 1251 tonnes of beef in 2014, of which 153 tonnes was for the US. Tokyo plans to boost total beef exports to 4000 tonnes by 2020. If the TPP comes into being, Japan would incrementally cut its 38.5% tariff on imports of US beef to as low as 9% over 15 years. The higher export volume could help alleviate the negative impact on local farmers and allow them to gain global recognition for wagyu beef.
Preview of Asian Agribiz 2015 Poultry Feed Quality Conference
September 3-4, Bangkok, Thailand
[13 July 2015]
The annual Asian Agribiz Poultry Feed Quality Conference is one of Asia’s leading conferences and scientific forums for poultry and feed industry professionals to update their knowledge and network with industry peers. The two-day conference has a strong technical program, in which internationally renowned speakers from academia and industry will present new, innovative, and regionally relevant research and trial data to provide useable information, with practical results that turns science into solutions and profit. Four chaired discussion forums will offer opportunities for these experts to answer questions and engage in a lively discussion. More details and registration form can be viewed here. Early bird and group registrations close on August 4.
The challenge of producing chickens with AGPs
To help Asian broiler producers address the evolving challenges of growing broilers without AGPs, specialists will share their experiences and offer insights on solutions to the production, disease, welfare and sustainability issues of managing AGP-free flocks. This session features experts - Walter van Hofstraeten, Senior Consultant Poultry Nutrition, Schothorst Feed Research, Netherlands, Heinrich Kleine Klausing, Head of Product Management & Production, EW Nutrition, Germany, Jan van Eys, Principal Global Animal Nutrition Solutions, USA and Pathawit Ngamchapoen, Poultry technical Adviser, Innovet Corporation Thailand
Emerging tools – epigenetics to improve feed nutrient use
The central concept behind the promising exciting new field of study of epigenetics is that environmental forces can affect gene behaviour, either turning genes on or off. Professor Roselina Angel, University of Maryland, will detail research on how neonatal conditioning, resulting in epigenetic changes, shows great promise in terms of improving phosphorus utilisation, with the goal of reducing environmental impact as well as improving production efficiency and costs of production. By applying a moderate phosphorus deficiency in young chicks, the bird is conditioned to utilise phosphorus more efficiently throughout its life. The timing of the conditioning is critical and requires a clear understanding of skeletal growth, the main driver of calcium and phosphorus requirements.
Energy sparing mode of action of ß-mannanase enzyme
Dr Sarah Cervantes-Pahm, Nutrition Adviser Asia Pacific region, Elanco Animal Health will show that by acting on feed, ß-mannanase helps reduce wasteful energy losses caused by the bird’s innate immune response to beta-mannans (ß-galactomannans) found in soybean meal and other feedstuffs. With fewer ß-mannans, there is a lower need for a feed-induced immune response, allowing the bird to direct more energy to growth and performance.
NIR and moisture management in feed
Ivan Ward, Agri-Torque 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.
Practical application of the latest in-line moisture system in determining feed quality
Yiannis Christodoulou, Agentis Innovations will present 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.
|Robby’s layer farm enjoys benefits of biosecurity|
[13 July 2015] Robby Susanto, a layer farmer in Solo, Central Java, Indonesia, is enjoying the results of good biosecurity. His farm was chosen as a pilot project farm for FAO’s layer biosecurity program. Mr Robby told Asian Agribiz that now the farm has better production, lower mortality rates, lower medication costs and better income. However, he said the main challenge of implementing the biosecurity program lies with labour. “Making it a habit for our farm operators is a challenge. We need to give examples, not just instructions and advice.” Mr Robby now raises around 100,000 birds of Lohmann Brown in open sided houses. Every day he sells around 4-5 tonnes of eggs to middlemen and directly to markets in the region. He also produces herbal eggs for a niche market.
|Vietnam surimi exports to Japan touch USD14m |
[13 July 2015] Some 12.4% of Vietnam’s total surimi output is exported to Japan, its third largest export market, after South Korea and Asean. In the first five months of the year Vietnamese companies earned USD 13.9 million from surimi exported to Japan, up 11.5% year-on-year, reported Vietnam Association of Seafood Exporters and Producers (Vasep). Vietnam has 7% of Japan’s market share. In this market, pollock surimi is higher priced than tropical surimi. However, as the exchange rate of the yen against the dollar fluctuates, pollock surimi will rise in price and Japan is likely to switch to tropical surimi, said Vasep.
|Corn project will boost Bisi International’s performance|
[13 July 2015] The new initiative from Indonesia’s government to boost corn production in 101 regions has is a blessing for Bisi International, a subsidiary of Charoen Pokphand Indonesia involved in seed production. It is predicted that the company may increase its corn seed sales by 30% this year. The company plans to distribute 10,000 tonnes of hybrid corn seed for the project. Jemmy Eka Putra, President Director, said the project has had a positive impact for the company. “We expect our income to reach USD 112 million this year,” he said.
|Conference to tackle feeding strategies that boost immunity|
[10 July 2015] Feeding strategies that can boost the immune system of a broiler will be the lead presentation by Jan van Eys, of US-based consultancy Global Animal Nutrition Solutions, at the 2015 Poultry Feed Quality Conference to be held in Bangkok from 3-4 September. The conference, staged by Asian Agribiz, aims to build industry capacity and update industry professionals on research based developments in the broiler feed sector. More details here or contact Omthong Tjoa or Sutasinee Lake (email@example.com).
|Low rubber prices affect FSI’s pig sales|
[10 July 2015] The low price of rubber in the West Kalimantan market and neighbouring regions has affected the sale of finisher pigs of Indonesia’s Fajar Semesta Indah (FSI). FSI is a subsidiary of integrated livestock company Sujaya Group based in Singkawang, West Kalimantan. Nawa Subianto, FSI Farm Manager, told Asian Agribiz that the live pigs market in the province is unique. “Since the majority of people here are rubber and oil palm farmers, the consumption of pork is heavily affected by the price of the two agri commodities.” According to Dr Nawa, the current (July 3) price of live pigs in the province is around USD 2.25/kg. With this price, the profit margin for the company and pig farmers in the region is small since most of feed raw materials such as corn, pollard and wheat brand have to be imported from other regions. “As a result, we control our sow population at 5000 heads since our main market is still in the province,” Dr Nawa said.
|Shrimp die en masse in Soc Trang|
[10 July 2015] Soc Trang Province in the Mekong Delta continues to be a hot spot for shrimp diseases. Until end June shrimp from nearly 5500ha have seen die offs. This accounts for 29% of the total shrimp breeding area in the province. Disease outbreaks could spread to many areas in the province, an official said. The effects of prolonged hot weather and changes in the environment have led to heavy losses. According to a report from a veterinary station, 70% of shrimp in farms were affected by liver disease and 20% by environmental changes, while the remaining died of other causes. The province will implement disease prevention measures, especially in localities that have been seriously affected.
|North Sulawesi ships tuna to the Netherland|
[10 July 2015] Indonesia’s North Sulawesi exported 8.9 tonnes of frozen & canned fish, mainly tuna, to the Netherlands in late June, according to T Hasudungan Siregar, Head of Foreign Trade Department of Industries in the province. The value was around USD 64,343. Mr Siregar said demand for frozen tuna from the Netherlands is quite high. Besides, the country is also interested to import frozen skipjack. “Looking at the export potential, we will support fish processors and exporters to develop their business and venture into value added products,” Mr Siregar added.
|Volac, Wilmar create global animal feed fats business|
[10 July 2015] Volac International Ltd and Wilmar International Ltd announced the creation of a joint venture group to develop their value-added animal feed fat business around the world. Volac Wilmar Feed Ingredients combines the nutritional reputation, global brand and sales network of Volac with the operational raw material logistics and scale of Wilmar, the companies said. The jv will market an expanded ‘Mega’ branded range of feed fat products that are responsibly sourced through a leading sustainability approach and by maximising operational efficiency. “Volac believes that responsibly-sourced feed fats will play a key role in sustainable livestock nutrition in the future. The jv with Wilmar will supply fat nutrition ingredients that will help improve the productivity of livestock production across world markets,” said David Neville, Managing Director of Volac Animal Nutrition.
|Philippine pork supply remains tight|
[09 July 2015] Despite claims by the Philippine Department of Agriculture that a robust local demand for pork is encouraging pig producers to increase production, local pork supply remains tight. However, Edwin Chen, President of the Pork Producers Federation of the Philippines told Asian Agribiz that demand is also down so prices have remained relatively stable over the past few months. However, he said there is an oversupply of imported pork meat in cold storages. As of end-June, National Meat Inspection records showed there are over 10,111 tonnes of pork meat in storage, 91% of which are imported.
|CP Indonesia to expand its pig station in Sulawesi|
[09 July 2015] Charoen Pokphand Indonesia this year plans to expand its pig station located in Manado, North Sulawesi, according to Phaithoon N Na Ayudhaya, Business Development Advisor. He told Asian Agribiz that the company plans to increase the number of sows at the pig station by 300 sows. This station raises Landrace, Yorkshire and Duroc breeds. However with the popularity of black pig breed in the country, Mr Phaithoon said the company will consider setting up a special station for black pig breed. “In addition, we also want to set up a pig station in Toraja, South Sulawesi to cater to the growing demand in the region.”
|Manhattan Fish Market opens first restaurant in India|
[09 July 2015] Malaysian seafood restaurant The Manhattan Fish Market has entered the Indian market with its first outlet in Chennai with the help of its master franchisee Jumbo Seafoods Pvt Ltd. Shafraz Anees, Managing Director of the seafood restaurant chain in Sri Lanka and India said that there is a large market in India to cover and they have plans to open at least 10 restaurants through sub franchising. “We want to position ourselves as an affordable seafood chain offering good quality seafood,” he said. The restaurant brand known for its American style seafood entered Sri Lanka in 2013 and has two outlets in the country.
|Vissan opens food processing plant |
[09 July 2015] Vietnam Meat Industries Limited Company (Vissan) recently inaugurated a food processing plant in Tien Son Industrial Zone in the northern province of Bac Ninh. The plant costing USD 3 million has a capacity of 20,000 tonnes of processed food per year. Van Duc Muoi, CEO of Vissan, said the North of Vietnam has a population of more than 32 million people, with the launching of its plant in Bac Ninh Province, Vissan will be able to produce various products that fit each locality’s palate. The plant is a part of Vissan’s development strategy for 2015-2020 in Vietnam in general and in the northern market in particular, aiming to improve its food supply capacity.
|Judge in Smithfield suit blocks “inflammatory” references to China |
[09 July 2015] A US judge has ruled that the plaintiffs in a lawsuit against a Smithfield Farms subsidiary may not mention the Chinese Communist Party, the Chinese army or the Chinese government. In a ruling last week in North Carolina, Judge W. Earl Britt said the references were 'inflammatory’, ‘highly prejudicial' and irrelevant to the lawsuit, which alleges that hog waste lagoons maintained by Murphy-Brown LLC, a Smithfield subsidiary, are affecting local health and property values. Lawyers for Smithfield had accused the plaintiffs of trying to rouse anti-Chinese prejudice among potential jurors. Judge Britt refused, however, to strike references to the fact that Smithfield is controlled by WH Group, a Chinese company, to Chinese pork demand, and to the potential for exports to China, since they "address a potential source of the alleged nuisance and provide potentially useful contextual information.”
|Huge potential for Australia’s breeder cattle |
[09 July 2015] The Indonesian government is looking to import 2 million head of breeder cattle by 2018 to increase the size of the domestic herd and improve the country's ability to be self-sufficient in beef. The government is providing financial support to its eastern provinces to import breeding stock from Australia. The East Kalimantan, provincial government plans to import an initial 11,000 head reported ABC Rural.
|Poultry feed conferences to tackle feeding strategies |
[08 July 2015] Asian Agribiz's Poultry Feed Quality Conference has been growing in size and stature over the last six years and now attracts more than 300 nutritionists from throughout Asia. This year, in addition to the main conference in Bangkok, Thailand from September 3-4, Asian Agribiz will also stage a satellite, inaugural Layer Feed Quality Conference in Jakarta, Indonesia on 7 September 2015.Both conferences feature strong science-based technical programs with carefully selected papers containing relevant trial data and practical solutions for Asian broiler and layer producers. More details and registration form can be viewed here and here.
India's vaccination challenges and developments
[08 July 2015]
As an emerging producer and consumer of animal protein, India is fast becoming a lucrative market for veterinary vaccines. In this special web report SM ARUN reviews the latest developments in the Indian animal vaccines industry and the contributions of local vaccine manufacturers.
Development of bird flu vaccine in progress
The National Institute of High Security Animal Diseases (NIHSAD) in Bhopal is developing a bird flu vaccine, which it targets to be more effective than the one developed in 2006. The externally funded project aims at development and evaluation of neuraminidase DIVA marker (Differentiating Infected from Vaccinated Animals) vaccines against highly pathogenic H5N1 avian influenza viruses in chickens. A spokesperson of NIHSAD told Asian Agribiz that the vaccine against highly pathogenic avian influenza, lab generated H5N2 is ready for validation.
AIV vaccine dropped by government
In 2006 when avian influenza first hit India, the country’s then High Security Animal Diseases Laboratory (HSADL) in Bhopal developed and tested an AIV vaccine. However, the Union Government later decided not to adopt vaccination policy in the country. According to the National Institute of Agricultural Sciences, the decision was taken as the indigenously developed vaccine was a homologous one. “Vaccines incorporating the homologous strain is not advisable as it does not differentiate whether the AIV antibodies are due to vaccination or due to infection,” a government policy paper noted.
IIL to set up USD 47 million vaccine plant
Hyderabad based vaccine manufacturer Indian Immunologicals Ltd (IIL), a subsidiary of National Dairy Development Board (NDDB) is setting up a new vaccine manufacturing facility in Pondicherry in south India with an investment of USD 47 million. “The facility is part of the Union Government’s strategy to meet the anticipated doubling of demand for veterinary vaccines,” NDDB Chairman T Nanda Kumar said. According to him, the demand for veterinary vaccines in India is estimated to reach 600 million doses over the next 3-4 years from around 300 million doses now. “Decision on whether to manufacture new vaccines or expand the existing portfolio is yet to be taken,” he added. Once set up, this will be the fourth facility for IIL.
India opposed to vaccination for valid reasons, FAO
Even though India is aware of the benefits of vaccination, they refrain from using it as part of their control and prevention strategy for a range of valid reasons, a report by the UN Food and Agricultural Organisation, FAO said. “The reasons include practical issues related to the administration of the vaccine and the nature of the poultry production sector,” the Animal Production and Health Paper titled ‘Approaches to controlling, preventing and eliminating H5N1 Highly Pathogenic Avian Influenza in endemic countries’ said. The report also added that technical and cost effectiveness issues have also influenced the decision not to vaccinate.
First pig vaccine for cysticercosis
Indian Immunologicals Limited (IIL) has partnered with Scotland-based GALVmed and the University of Melbourne to launch the world’s first pig vaccine for procine cysticercosis on an industrial scale by the end of 2015. Classified as a neglected tropical disease by WHO, cysticercosis is a parasitic infection that can cause brain disorders like epilepsy or seizures in humans. The disease spreads from pigs infected by tapeworms called Taenia solium to humans upon eating raw or undercooked pork and vice-versa to pigs in contact with human faeces. The vaccine works by eliminating the parasite’s ability to transmit. The vaccine will be based on antigen TSOL-18, which was identified and tested on pigs with the help of researchers at the University of Melbourne.
Goat plague vaccine to be produced in Kerala
Institute for Animal Health and Veterinary Biologicals is set to produce a vaccine against goat plague to combat the fast spreading virus that affects goats and sheep. A highly contagious viral disease, 'Peste des petits ruminants' (PPR) or goat plague carries a mortality rate of 50%. Director of the institute Dr NN Sasi said that initial production capacity will be 500,000 vials per year and could be scaled up according to demand. The dehydrated and freeze dried PPR vaccine has a shelf life of up to one year under refrigeration. “As many as 50 animals can be immunized using one vial of vaccine,” Dr Sasi added. According to FAO, goat plague impoverishes millions of small farmers across Africa and Asia but awareness to eradicate the disease has been low so far.
IIL is world’s largest producer of FMD vaccine
Hyderabad based Indian Immunologicals Limited (IIL) has emerged as the world’s largest manufacturer of foot and mouth disease (FMD) vaccine with a capacity to deliver 360 million doses per year. General Manager of IIL NSN Bhargav said that Merial of Brazil is the second largest producer of FMD vaccine with an installed capacity of 300 million doses a year. IIL recently opened a new, fully automated FMD vaccine manufacturing block, which conforms to stringent regulatory norms by developed countries. IIL currently meets the bulk of the requirement for the FMD Control programme in India besides exporting the vaccines to West Asia and CIS (Commonwealth of Independent States) countries.
|Myanmar delegation explores opportunities with Japfa Indonesia|
[07 July 2015] A delegation from Myanmar consisting of the government officials and livestock industry players recently visited the head office of Japfa Comfeed Indonesia in Jakarta to explore business opportunities and partnerships. In a press release made available to Asian Agribiz, A Harwanto, Executive Vice President – Head of Feed Division of Japfa, said the delegation has shown their interest to buy Japfa’s quality DOC. According to the release, most of the company’s breeding & commercial farms have been certified with avian influenza-free certification. Led by Myanmar’s Deputy Minister of Livestock, Fisheries and Rural Development, Aung Myat Oo, the delegation also got the opportunity to visit the vaccine producing plant of Japfa’s subsidiary Vaksindo in Bogor, West Java.
|Boost for India's crop production |
[07 July 2015] With the onset of southwest monsoon in India having recorded above normal monsoon rains this year, crop sowing has received a much needed boost and fears of deficient rainfall allayed. According to the India Meteorological Department (IMD), the country has received 28% above normal rainfall this monsoon. Oilseeds witnessed an over fivefold rise in coverage followed by an almost twofold rise in the area under pulses. In India, around 60% of the country’s farmland is rain fed and the above normal rainfall would not just boost prospects of the farm sector growth but is also expected to bring down food inflation.
|Bali farmers suffer losses due to oversupply|
[07 July 2015] Pig farmers in Bali, Indonesia are suffering losses due to the low price of live pigs due to oversupply. I Ketut Hari Suyasa, Chairman of the Bali Pig Farmers Association, told Asian Agribiz that as of July 2 the price of live pigs was around USD 1.65/kg. “Over the past six months we enjoyed a good price of around USD 2.62/kg,” he said, and this led farmers to increase their herds. “We feel that the output increase at contract farms affiliated with a big company is too high, while the output by our members who are mainly backyard and small-scale farmers has less impact on the market,” Mr Suyasa explained.
|Indian animal feed industry to double in five years|
[07 July 2015] The Indian animal feed industry, which is currently valued at USD 15 billion is poised to double and touch USD 30 billion in the next five years to cater to the growing protein requirements of the country, according to a report published by Yes Bank. The report stated that with changing income levels and more people eating fish, meat and chicken there will be a higher requirement of processed dairy, aqua and poultry products, which in turn will result in higher feed requirement.
|AACo wants to become Asia’s premium butcher|
[07 July 2015] Australia’s leading beef producer and exporter Australian Agricultural Company (AACo) is keen on becoming the world’s finest beef producer, according to Cye Travers, General Manager for Branded Beef. He said Australia doesn’t have the production capacity to become Asia’s food bowl, but could become its delicatessen and AACo its premium butcher. Asia’s growing middle class offers the Australian farm sector an unprecedented opportunity. AACo has rapidly lifted sales of premium boxed beef and is now the world’s biggest producer of Wagyu.
|CP Indonesia to develop pig business in East Nusa Tenggara|
[06 July 2015] Charoen Pokphand Indonesia this year plans to develop its pig business in East Nusa Tenggara, according to Phaithoon N Na Ayudhaya, Business Development Advisor. Mr Phaithoon told Asian Agribiz that the company already has a good business in Kupang, and now plans to develop business in Flores. “We are bullish about the potential in this region. Pork consumption is around 10 kg/capita. Meanwhile the average price of live pigs is around USD 3/kg and is relatively stable and not affected by prices in Jakarta, Solo or Bali,” said Mr Phaithoon. To develop its business in Flores, CP Indonesia will support pig breeders and farmers in the region with good quality feed, breeds and technical management. “We also plan to set up a pig station there with a population of 100 black sows,” said Mr Phaithoon.
|Indian poultry industry seeks imports of soy meal|
[06 July 2015] Against the backdrop of India losing the poultry ban case against the US, the Indian poultry industry is lobbying the government to allow import of US soy meal, which is cost effective compared to Indian soymeal. The poultry industry here believes this will help the industry to get cheaper raw material and reduce its cost of production so that it can compete with impending US chicken imports in India. Mr Amit Saraogi, Chairman of the Compound Feed Manufacturers Association of India said that while the cost of processed chicken in India is USD 3/kg, cost of imported chicken legs from the US will be just USD 1/kg.
|Dharma Samudera records positive Q1 growth|
[06 July 2015] Indonesia’s seafood processor and exporter Dharma Samudera Fishing Industry recorded good business growth in Q1 of this year. The company produced 1848 tonnes of fish valued at USD 10.2 million. In the same period last year it produced 1727 tonnes valued at USD 7.8 million. J Sarsito, President Director, said the company this year targets to produce 8200 tonnes of fish valued at USD 38.6 million, with 6450 tonnes targeted for export. To achieve the targets, Dharma Samudera will strengthen its partnership with fishermen in Java and Sulawesi to ensure continuous supply to its 25 tonnes/day fish processing plant. It also plans to extend its reach to Japan, Australia, the US and EU. At the moment, 41% of Dharma Samudera’s production is tuna, followed by fish fillet, octopus and king fish.
|Higher price of chicken in Malaysia|
[06 July 2015] The Agriculture and Agro-based Ministry is confident Malaysia will have sufficient chicken supply during the Eid festival this month. Minister Datuk Seri Ismail Sabri Yaakob said the country produces 125% and exports chicken. But poultry traders at supermarkets and wet markets are reportedly bracing themselves for rising broiler prices due to the higher cost of chicken feed as well as increased demand for chicken amid low supply, The Star reported. Perak poultry association Chairman Datuk Ding Thong Chow said chicken price had increased to USD 1.32/kg from USD 1.27/kg last month. Mr Ding said besides shortage broilers were also experiencing stunted growth. He blamed the poor quality of dried maize imported from Argentina.
|US Golden Chicken to enter Pakistan|
[06 July 2015] Golden Chick Restaurant, a Texas-based US fried chicken chain is all set to enter Pakistan, and will initially open three restaurants this year and aims to raise the number to 30 joints in subsequent years. The company signed a ‘letter of intent’ with Crescent Star Foods (Pvt) Limited (CSF), a wholly-owned subsidiary of the Crescent Star Insurance Limited this month. According to Dawn, a flagship restaurant would be set up in Lahore while two others would be set up in Karachi and a smaller town. Golden Chick would also introduce roasted chicken (charga), while other players that serve either grilled or fried chicken.
|Banks in Bangladesh to open agri credit divisions |
[06 July 2015] Bangladesh Bank, the central bank of Bangladesh, has asked the scheduled banks in the country to open agriculture credit divisions by July 7. According to a circular from the central bank, the move aims to put agriculture loan disbursement, realisation and other related activities under intensive monitoring. “At least one officer must be assigned to every branch to carry out the agriculture loan related activities,” it added. The circular has been sent to the chief executives of all 39 private and nine foreign banks operating in Bangladesh. The new division of each bank will conduct activities such as selection of clients, preparation and evaluation of loan proposals, approval, disbursement, supervision and collection of credit.
|Rains force early shrimp harvest in India|
[06 July 2015] Heavy rains in the state of Andhra Pradesh, the heart of India’s shrimp farming region, have forced farmers to harvest early, causing farm-gate prices for all sizes of whiteleg shrimp to drop, except for 90 and 100 count/kg whole shrimp reported Marine Shrimps. Indian processors are dropping export prices for customers in the US because Indonesian processors are offering lower prices. US buyers have been holding back on making big commitments and only buying to cover holes in their inventories.
|SKM Animal Feeds venture into chicken processing|
[03 July 2015] South Indian animal feeds manufacturer SKM Feeds and Foods (India) Private Limited has ventured into chicken processing with the acquisition of a 3000 birds/hour chicken processing unit in Tamil Nadu. Speaking to Asian Agribiz, Dr M Chandrasekar, Managing Director of the company said that they are now producing 1100 tonnes/month of processed chicken from their unit near Coimbatore. “We have launched the brand Porna chicken in South India,” he said and pointed out that once they reach full processing capacity of 1800 tonnes/month they will embark on expansion.
|China plans 10.5 million tonnes of new grain storage|
[03 July 2015] China is planning to build 10.5 million tonnes of new grain storage capacity in order to improve management of the country’s current grain surplus, according to a report by the official news agency Xinhua. High government subsidies have encouraged farmers to grow vast surpluses of corn, with stocks reaching almost 100 million tonnes by the end of the 2014 crop year. Officials for the state grain reserves said they are planning to build more storage facilities in the grain-rich northeast, as well as in other areas where grain is stored and sold, the Xinhua report said. Meanwhile other government officials are encouraging farmers to grow alternative crops, but there has as yet been no change in the subsidies that have raised domestic corn prices 30% above the world market price.
|GGP offers to buy rest of Sierad for USD29.64m|
[03 July 2015] Indonesia’s Great Giant Pineapple (GGP), a subsidiary of Gunung Sewu group, has offered to buy the remaining 49.49% of poultry firm Sierad Produce that it does not own for USD 29.64 million. GGP has offered to buy 464.79 million Sierad shares at IDR 850 each, according to a prospectus published in the Investor Daily newspaper. That is 1.8% above Sierad’s closing price on Monday. GGP said the Indonesian poultry sector offers strong potential and it is keen to expand the company’s product distribution network.
|KFC opens first outlet in Myanmar|
[03 July 2015] US chain KFC opened its first outlet in Yangon, Myanmar, on June 30, becoming the first major western fast food chain to establish a foothold in the country. “It has been our dream for a long time to have a KFC in Yangon,” said Micky Pant, CEO of KFC. KFC views the country with a total population of 50 million as an important emerging market, he said. The Southeast Asian country has seen an influx of foreign brands since the end of military rule in 2011, which prompted the lifting of many Western sanctions. KFC’s parent company, Yum! Brands, had signed a deal with Singapore-based Yoma Strategic Holdings as a local partner in Myanmar.
|OSI committed to China despite losses|
[03 July 2015] OSI Group remains committed to the China market despite losing close to USD 1 billion since a food safety scandal last summer, according to an OSI executive quoted by the official Chinese news agency Xinhua. Speaking to local reporters during a tour of a new OSI plant in the central province of Henan, OSI China Vice President Lü Yong said the firm had lost about USD 987 million since July 2014, when allegations surfaced that an OSI plant in Shanghai was using out-of-date meat, the Xinhua report said. “However, our faith in the Chinese market has not changed,” Mr Yong said, adding OSI has invested more than USD 500 million in China over the last five years.
|Valid data crucial to stabilise supply & demand|
[03 July 2015] In order to control the supply and demand of poultry, Indonesia’s Ministry of Agriculture is now trying to get valid industry data. Muladno, Director General of Livestock and Animal Health, said the ministry is looking for a professional survey agency to do data verification. “This week we will also ask all poultry breeding companies to send their production and supply data. In addition, we plan to call poultry genetics companies to explain about production cycle and the right method to calculate potential production of DOC,” Dr Muladno said. From the three actions, Dr Muladno said the ministry will then launch e-poultry or an online data-base application on the real supply of DOC.
|Agri firms unhappy over FTA with South Korea|
[03 July 2015] Agri businesses in Vietnam fear the free trade agreement (FTA) with South Korea will bring them more losses than gains, reported Thanh Nien News. Signed in May, the FTA is expected to boost Vietnam’s exports to Korea and more than double bilateral trade over the next five years. Next year South Korea will remove tariffs on shrimp from Vietnam, currently at 10-15%, raising hopes of expanding exports. South Korea is Vietnam’s fifth biggest shrimp importer. Last year Vietnam surpassed China to become the biggest exporter to Korea. However, Le Van Quang, General Director of seafood producer Minh Phu, said it is not easy for local seafood enterprises to increase exports because there is a quota for Vietnamese shrimp of only 10,000 tonnes enjoying zero tax. The quota will be increased by 10% every year until it reaches 15,000 tonnes.
|NIRS workshops – making the most of feed|
[02 July 2015] Feed producers are constantly under pressure to produce consistently high quality feed, while maintaining profitability and production targets. Consistent feed quality begins with having full knowledge of your incoming ingredients. Asian Agribiz Skills Development will be holding one day NIRS workshops, presented by Ivan Ward of Agri-Torque Pty. Ltd. Mr Ward has extensive practical experience implementing NIR systems, in particular with Australia’s largest feedmiller. Introductory Workshops will be held in Bangkok (September 1 and Jakarta September 5) and an Advanced Workshop for people with more than two years NIR experience will be in Bangkok (2 September). Please register your interest today with Omthong Tjoa or Sutasinee Lake at firstname.lastname@example.org
|Sats to evolve into regional food company |
[02 July 2015] Singapore’s Sats Ltd’s joint venture with Brazil’s BRF GmbH to manufacture food products will eventually evolve into an integrated branded food company with a physical presence in other Southeast Asian markets. “After configuring a distribution presence in these new markets we will look at the value added servuces such as cutting and marinating, and later finished products such as ready-to-eat meals,” CEO Alex Hungate said recently. “Asean is an attractive and high potential meat market,” he said, adding that the urbanisation has seen rapid growth in the middle and affluent class. “This category will want to consume higher quality and safe food. The jv is targeted at this trend especially with meat."
|Cargill’s latest animal nutrition centre opens in China|
[02 July 2015] Cargill in China has opened its 12th Technology Application Centre (TAC) in Bazhou, Hebei. The centre has 120 lactating dairy cows and 280 sows, and focuses on technology applications to improve animal performance, lower diet costs, reduced nitrogen and phosphorus excretion and enhanced animal health. “Our TAC is designed to evaluate and test the application of Cargill technology under local conditions. This TAC allows us to deliver new products and services that are customised to meet requirements of our customers in China,” said Scott Ainslie, Global Strategic Marketing and Technology Director for Cargill’s Animal Nutrition Business. “The new TAC allows our Chinese customers to tap into best possible solutions from around the world,” said Jason Shelton, Global Technology Application Director.
|CP Indonesia reduces capex|
[02 July 2015] Indonesia’s largest poultry integrator Charoen Pokphand Indonesia this year will spend only around half of its total capital expenditure of last year, which amounted to more than USD 225.3 million, according to Director Ong Mei Sian. The company will spend a smaller amount of capex this year because it carried out fewer expansion projects in line with around a 20-30% reduction of its DOC output, which resulted from a regulation requiring large companies to reduce their DOC production. Ms Ong said the company could not yet predict its revenue this year, but she expects that it would be at least the same as last year’s.
|Chinese officials seize ‘zombie’ chicken paws|
[02 July 2015] Chinese health officials in Chongqing seized pickled chicken paws and pig’s trotters that may have been as much as 40 years old, according to the Xinhua news agency. The meat, which the report referred to as ‘zombie flesh’, had been chemically processed and then sold to midnight snack stalls and restaurants. “The meat was older than some of the men who were eating it,” said the report, which did not specify whether the meat was a domestic product or had been imported or smuggled into China.
|Water-injected beef found in Surakarta|
[02 July 2015] Indonesia’s Surakarta municipal administration in Central Java has called on local residents to lookout for water-injected (beef) meat in traditional markets throughout Ramadhan. The warning was made after the city’s Agriculture Agency last week confiscated 40kg of water-injected meat from two vendors during a raid on the Nusukan traditional market. The agency’s Veterinary Public Health Section Head, Bagus Sarwoko, said this indicated that unsafe products have started to flood the city in the midst of growing demand during Ramadhan. Mr Bagus added that the local administration has been cooperating with authorities in six neighbouring cities to intercept the influx of water-injected meat from and to their respective regions.
|Disease threat among pigs in India’s Mizoram|
[02 July 2015] Disease threat has surfaced in parts of northeast India after samples of pigs that died in Aizwal and the surrounding areas in Mizoram state in India tested positive for classical swine fever and Porcine Reproductive and Respiratory Syndrome (PRRS). Confirming this, State Animal Husbandry and Veterinary Director Dr L B Sailo said the samples were tested at the laboratory in Veterinary Science College in Selesih. According to him, the outbreak of classical swine fever has been a yearly affair during the pre-monsoon season. “This is due to the changes in weather and the situation would soon normalise,” he added.
|Pure Pig Genetics acquire ACMC assets|
[01 July 2015] Pure Pig Genetics Ltd, a new company owned by Matthew Curtis, former Managing Director of ACMC, has taken over major assets owned by ACMC, which went into administration in April. Included in the acquisition are ACMC’s nucleus herd and Gene Bank Stud. Pure Pig has also taken over ACMC’s worldwide franchise contracts as well as its high health multiplication contracts in the UK and purchased all breed genetic rights worldwide, all the brand names and intellectual property, PigCom herd management system and the Genetic Evaluation Program. Mr Curtis said that “after a considerable period of uncertainty,” ACMC customers no longer need to worry as they can now acquire ACMC products through Pure Pig. Meanwhile, Dr Danny Silbor, Country Manager of ACMC Philippines told Asian Agribiz that they will continue operating in the country. “The Philippines remains one of the most successful ACMC franchises outside of the UK and this year will be good for our two nucleus farms.”
|STM Group to venture into chicken processing|
[01 July 2015] Indonesia’s Sinar Terang Madani (STM) Group based in Makassar, South Sulawesi plans to venture into chicken processing. Audy Joinaldy, President Commissioner, told Asian Agribiz that the company recently set up a chicken trading division for the plan. “We are still analysing the market potential and channels. But for the first stage we plan to have a 1500 bird/day chicken processing plant in South Sulawesi,” he informed. Mr Audy said South Sulawesi with a population of 8 million people is a fast growing province in Indonesia. Although marine fish is the number one animal protein source in the province, the consumption of chicken continues to increase.
|Chinese vaccine production centre fitting out|
[01 July 2015] Luoyang Huizhong Biotechnology Co Ltd in China is building a USD 25 million animal vaccine production centre that will include six vaccine production lines, according to the Luoyang Daily News. The project, which has entered the equipment procurement stage, will manufacture vaccines against Newcastle disease, avian influenza, infectious bronchitis and other poultry diseases. Luoyang is located in the central province of Henan, one of China’s most important animal protein production centres. The Chinese animal vaccine market is growing at a 15% annual pace, with sales expected to reach more than USD 3 billion by 2017.
|Pakistan plans to produce 3.8m tonnes of meat in 2015-16|
[01 July 2015] The Pakistan government has set a target to produce 3.8 million tonnes of meat in 2015-16 to fulfil local requirements as well as exports. According to the Ministry of National Food Security and Research, beef production target has been set to 2 million tonnes, mutton production targets was fixed at 686,000 tonnes and fish production targets at 788,000 tonnes in 2015-16. Apart from this, the government has also scaled up its target of milk and egg production in the country for the said period. To meet this target, the government is developing its veterinary infrastructure, standardisation of feed and development of skilled manpower, a statement from the ministry added.
|China report new H5N1 outbreaks |
[01 July 2015] China reported more outbreaks of H5N1 avian flu, affecting about 15,000 domestic birds, according to reports posted by the World Organisation for Animal Health (OIE). The virus hit a flock of 2349 ornamental birds on a farm in Jiangsu province in the east and a 12,554-bird chicken farm in Guizhou province in the south, health ministry officials reported in a June 19 OIE report. The small flock had 2149 cases and 1858 deaths, while the larger farm reported 4615 cases and 3800 deaths. The remainder of the flock was culled to prevent disease spread.
2015 7th International Symposium on Emerging and Re-Emerging Pig Diseases
Reports from CRAIGE ALLAN
[01 July 2015]
Why ileitis remains a problem
Dr George Aretis, Apac Regional Swine Consultant, Elanco Animal Health, said ileitis is “the most underestimated problem in the swine industry.” About 96% of farms globally are infected. Based on the level of management, sometimes subclinical or even chronic cases of ileitis can be underdiagnosed. Pigs recover in 3-4 weeks after the clinical phase, however, the adverse effect on average daily gain cannot be compensated. Mr Aretis described ileitis as “a disease that stays on the farm”. This is because pigs with subclinical infections can excrete 10 million lawsonia bacteria per gram of faeces, and it takes just 1 million lawsonia to cause an infection. The bacteria can also survive for 14 days in the faeces at 15 degrees Celcius.
Transmission of PEDV through feed
Scott Dee from Pipestone Applied Research presented the results of a study on the risk of feed and feed ingredients as vehicles for porcine epidemic diarrhoea virus or PEDV transmission. Initial reports indicate the ability of PEDV to survive in dry feed for seven days and in wet feed for 28 days when stored at room temperature. In studies the use of a swine bioassay demonstrated infection in naïve pigs following ingestion of contaminated feed. Mr Dee concluded that as the global swine industry prepares itself for the spread of the virus a biosecurity program designed to reduce the risk of feed along with plans for reducing transport and aerosol risk becomes essential.
Infection chain and prevention chain
In Boehringer Ingelheim Vetmedica’s ‘Chain thinking in disease prevention’ satellite meeting, Dr Eduardo Fano presented “Infection Chain/Prevention Management” which aims to connect epidemiological events, or infection chain, between the different production phases, or production chain. He gave an example of the gilt acclimation initiative ‘50-350’, which aims to reduce vertical transmission for Mycoplasma hyopneumoniae from gilts to piglets. Gilts are exposed to M hyopneumoniae at 50-80 days of age, targeting complete population infection at 100 days with validation by diagnostics. Recovery and shedding stops at 300-320 days before the first farrowing at 350 days.
Producers accede to demands for antibiotic-free products
[30 June 2015]
Antibiotic use in animals is expected to surge by two-thirds globally between 2010 and 2030, while doubling in emerging giants like China, Brazil, India and Russia, said a study by the International Livestock Research Institute. By 2030 Myanmar and Vietnam are projected to be two of the top five countries with the largest increases in antibiotics use – 205% for Myanmar and 157% for Vietnam. However, Asian lawmakers, feedmillers, poultry and livestock producers are taking charge of the situation. A survey by the ASIAN AGRIBIZ team showed that consumers and retailers are driving the move for antibiotic-free meat products, and for producers to be more ethical in their use of drugs.
Indian government urges industry to stop using AGP
Fearing the threat of antibiotic resistance, India’s Drug Controller General of India (DGCI) and Union Agriculture Ministry have directed state governments to stop the use of antibiotics and hormones in animal feed. However, there is no regulatory provision regarding the use of antibiotics in livestock and hence there is no immediate ban. “The idea is to cut the misuse of antibiotics by phasing out these practices completely but it would be done while sensitising farmers about the risk it poses to health of people,” a DGCI spokesperson told Asian Agribiz.
Indonesia targets antibiotic-free production
The Indonesian government and poultry stakeholders have put a timeline on antibiotic-free poultry production in its poultry industry roadmap. Desianto Budi Utomo, General Secretary of the Indonesian Feed Millers Association and President of the Indonesian Poultry Science Society, told Asian Agribiz that the country plans to achieve it in the next 10-15 years. “It takes time because industry players and infrastructure are not ready for a total ban. We learnt from a case in a Scandinavian country where a total ban of AGP without a transition process caused the use of antibiotics for therapeutic reasons to increase. So it is important for Indonesia to use the 10-15 years as a transition period and also to educate farmers,” said Dr Desianto.
Full ban could lead to bacterial infections
Even though the Indian Government has asked industry players to stop the use of antibiotics and hormones in feed, there is no blanket ban on its use. Dr Sujit Kulkarni, Managing Director of Biomin India, told Asian Agribiz that if there is a blanket ban it would lead to more incidences of dysbiosis or other bacterial enteritis, which can open the door for more bacterial infections. Despite the risk of price escalation, he said considering the health hazard of antibiotic residues in chicken meat, people are ready to pay a premium for AGP-free chicken.
Consumers drive demand for antibiotics-free food in Vietnam
In Vietnam the move towards antimicrobial-free products stems from food producers and retailers. “Broiler farmers are being asked by the slaughterhouses to remove antibiotics from feeds in the last phases. The slaughterhouses are instructed by fast food retailers like KFC, Jollibee and Lotteria, food caterers and big hotels,” Gabor Fluit, General Director De Heus Vietnam, told Asian Agribiz. The dairy sector is more advanced. Vinamilk, Friesland Campina and TH are serious about zero antibiotics contamination in processed milk products. In the pig sector, he said, both feedmillers and farmers are starting to feel the pressure from consumers. In export-driven products like pangasius and shrimp, feedmillers, farmers and processors work closely and monitor the whole chain to prevent antibiotic contamination in end-products. “Producers do not want to risk losing important export markets, so there is a natural drive to improve and perform,” he said. “In general we see a clear trend,” Mr Gabor said.
Use of AGP in feed declines
With the Central Government directing the industry to stop antibiotics in feed, Biomin India observed that poultry integrators have reduced the use of antibiotic growth promoters in feed in the last few years. “Poultry industry players seriously observe the withdrawal period. They ban the use of AGP in feed in the final 8-10 days of production to eliminate antibiotic residue in chicken meat,” Sujit Kulkarni, Managing Director of Biomin India, told Asian Agribiz. According to him, these farmers have managed to maintain good husbandry practices by using alternatives such as phytogenics, probiotics, prebiotics and organic acid in combination or by itself.
Philippine producers not ready for blanket ban
Despite decisions by McDonald’s, Tyson and Walmart in the US to phase out antibiotics in meat products, this could take a longer time in the Philippines. “We can only implement this if our farmers are already mature enough to observe proper biosecurity, strict feed quality and good animal husbandry,” Dr Roland Cruz, a veterinarian consultant in the Philippines told Asian Agribiz. He noted that regulators are still unable to overcome the use of banned beta-agonists as meat enhancer. He said highly integrated operations like San Miguel Foods, Bounty Fresh and Robina Farms could supply meat that is antibiotic free, but many others cannot. Besides, despite food safety awareness, most consumers are still price-sensitive and this could affect how producers raise their animals. Nevertheless, many producers are anticipating shifts in consumer preferences and are slowly making changes.
Indonesia to reduce use of AGP on farms
In order to achieve antibiotic-free poultry production in the next 10-15 years, Indonesia’s government is planning to reduce the number of AGP from 30 to six items. This will be gradually reduced to zero. Desianto Budi Utomo, General Secretary of the Indonesian Feed Millers Association and President of the Indonesian Poultry Science Society, told Asian Agribiz that besides reducing the products, its usage will also be limited based on feed phase. “Considering the withdrawal time before harvest, the use of AGP in (broiler) finisher feed will be prohibited.” As a result of this, Dr Desianto said, farmers have to improve their biosecurity and farm management.
Awareness levels high in Malaysia
Stakeholders in Malaysia’s livestock and poultry industry have been talking about the misuse of antimicrobials as growth promoters for some time now. “Awareness levels are high among feedmillers, and livestock and poultry producers. The Department of Veterinary Services has been pushing for this for a long time,” Dr C Paul Suppiah, Veterinary Association Malaysia President, told Asian Agribiz. Many producers have established good biosecurity on their farms to keep their animals safe. Meat producers, on the other hand, demand for meat that is free from antibiotics residue. Malaysia also exports poultry, pork and eggs to Singapore where the country’s Agri-Food and Veterinary Services maintains high food safety standards that Malaysian exporters comply to. However, Dr Paul does not foresee Malaysia issuing a nationwide-ban on the use of drugs as growth promoters. “There are many farms that are still open house facilities.”
CP Indonesia initiates change with higher biosecurity
Major poultry integrator Charoen Pokphand Indonesia has done much to reduce the use of antibiotics in its operations and improve traceability. Desianto Budi Utomo, Vice President of Government and Academic Liaison, told Asian Agribiz the company gradually transformed its internal commercial broiler farms from open house to closed house. “We raised the biosecurity level of our commercial broiler farms. We place much attention on the withdrawal time of antibiotics since this relates to traceability,” Dr Desianto said, adding that since the company plans to export its further processed chicken products to Japan, a team of auditors has surveyed its production facilities. “They found that we can meet their food safety standards and can guarantee compartmentalisation and traceability.”
De Heus can work out alternative solutions for feed
De Heus Vietnam installed its first antibiotic-free production line for dairy cattle feed back in 2011. “Back then we saw the biggest risks in the dairy market,” Gabor Fluit, General Director, told Asian Agribiz. Today the company’s aqua feeds are antibiotic-free as well. “That is the reason why we have two fully-dedicated aqua production locations in Vinh Long and in Vinh Phuc. For pig and poultry feeds we are reducing the risks of contamination by producing high-risk feeds on dedicated production lines like the piglet feed, and frequently cleaning the lines,” he said. He expects costs could go up in the short term for producers. “There could be an upward price impact on some products as antibiotics are not only used for disease tackling, but also as growth promoters. Alternatives are available in the market, but these alternatives are in some cases more expensive,” he said. Long term, however, Mr Gabor believes that Vietnam will be able to adapt to a changing environment.
|CP Prima launches shrimp feed to overcome disease|
[29 June 2015] Responding the spread of white faeces disease in shrimp ponds in Lampung and East Java, Indonesia’s largest aqua feed producer Central Proteinaprima (CP Prima) recently launched a special shrimp feed to overcome the problem. Irwan Tirtariyadi, President Director, said several trials of the special feed have been done in East Java and the results showed that after treatment with the feed, infected shrimps could grow again. Mr Irwan informed that the feed will be produced at its feedmills in East Java, Lampung and North Sumatera.
|Poultry and livestock production to grow in the Philippines|
[29 June 2015] The Philippines’ poultry production in 2015 could increase by 9% year-on-year, while livestock output could increase by as much as 5% this year on the back of good weather and the absence of diseases, according to the Department of Agriculture. Robust domestic demand for chicken and pork is encouraging hog raisers and poultry growers to increase their output.
|Austrex signs end-to-end meat processing deal|
[29 June 2015] Austrex, one of Australia's largest exporters of live cattle has signed a deal, reported to be worth about USD7.7 million, with two Indonesian businesses Pramana Agri Resources and Rumpinary Agro Industry to form an end-to-end meat processing company based in South Sulawesi. The deal will allow the joint venture to have control of the cattle supply from Australia through to the sale of boxed beef. The business model will be integrated, from the animal feed supply to the fattening, up to the meat cutting and the beef box processing," Pramana Agri Resources director Robert Erizo Kusnadi told the Jakarta Globe. In the first phase, we would have a feedlot capacity in the range of 10 [thousand] to 15,000 cattle," he said. Operations for the joint venture were expected to begin in the second quarter of 2017.
|McDonald’s to sell Taiwan stores|
[29 June 2015] McDonald’s Corp said it is aiming to sell all of its 413 Taiwan-based stores to a franchise operator, as the US fast food chain looks to cut costs globally and turn around its flagging China business. The move could help comfort investors who were sceptical and wanted specific details after McDonald’s new CEO Steve Easterbrook announced a revamp plan in May that included reorganising business units and selling outlets to franchisees, reported Reuters. “McDonald’s has decided to search for suitable candidates to become its developmental licensee in Taiwan,” the company said. It added the model would enable “faster local decision-making, quicker learning, and restaurant growth”.
|China continues to dominate aqua market|
[29 June 2015] China will increasingly influence global fish markets, says a World Bank report titled Fish to 2030. It says that by 2030, China will account for 37% of total fish production (17% of capture production and 57% of aquaculture production), and account for 38% of the global consumption of fish.
|Russia limits buffalo meat imports from India|
[29 June 2015] Russia is imposing restrictions on the supply of buffalo meat from India over disease concerns as incidents of foot-and-mouth disease have been recorded in India, Sputnik News reported. “The restrictions will apply to companies of the Uttar Pradesh state in India, where cases of foot-and-mouth disease have been recorded,” a spokesperson for Russia’s agriculture watchdog Rosselkhoznadzor said. Of the four Indian companies exporting buffalo meat to Russia, three are from Uttar Pradesh.
|USD 480m worth of meat seized in month-long ‘grey channel’ crackdown|
[26 June 2015] China Customs officials broke up 14 smuggling gangs and seized more than 100,000 tonnes of frozen meat worth up to USD 483 million in a month-long crackdown on ‘grey channel’ imports, according to Chinese media reports. The seizures came as part of a continuing food safety and anti-corruption campaign that began late last year. Grey channel imports are not properly inspected either when they enter China or when they pass through Hong Kong or Vietnam, according to Yang Bo, an official at the Changsha bureau of Customs, where 800 tonnes of meat up to four years old was seized during the crackdown.
|BAI opens new duck slaughterhouse|
[26 June 2015] The Philippine Bureau of Animal Industry (BAI) opened the first government-owned duck slaughterhouse and packing plant last week, a report by BusinessMirror said. The new plant, which can process 150 head per hour, is located in BAI’s Animal Products Development Center in Valenzuela City in northern Metro Manila. BAI Director Dr Rubina Cresencio said the facility is part of the government’s efforts to develop the country’s duck meat industry. She said this will encourage increased production to help meet increasing demand in both the local and overseas market. Last year, the Philippines started the commercial shipment of duck meat to Japan.
|Novel H5N9 virus described as hybrid of H5N1, H7N9|
[26 June 2015] Chinese researchers who analysed influenza viruses from poultry in live-bird markets said they have discovered a novel H5N9 virus that represents a hybrid of the highly pathogenic H5N1 avian flu virus and a human H7N9 virus, along with other elements. The researchers took samples in 2013 at two live-bird markets in Hangzhou, a city in Zhejiang province, where human H7N9 cases had occurred, according to their June 17 report in the Journal of Virology. The report does not indicate that any of the birds were sick. The team isolated 13 viruses from the samples: 1 H5N1, 2 H5N9, 4 H9N2, and 6 H7N9. They determined that the novel H5N9 virus prefers avian-type cell receptors, known as alpha2,3 sialic acid, rather than the human-type receptor, called alpha2,6. “This newly isolated H5N9 virus is a highly pathogenic reassortant virus originating from H5N1, H7N9, and H9N2 subtypes,” the researchers wrote. “Live bird markets represent a potential transmission risk to public health and the poultry industry.”
|Kimchi-based probiotics study in Malaysia shows good results|
[26 June 2015] A group of Universiti Sains Malaysia researchers used an extract from kimchi to develop probiotics as an additional nutrient for poultry and an alternative to antibiotics. The study, conducted at the TerokaJaya Farm in collaboration with several industrial partners, including Probionic Corp from South Korea, showed good results. Adviser to the program Prof Madya Dr Liong Min Tze said changes in the health and growth of the birds can be seen in day 42. “The probiotics act against harmful bacteria in the intestines and help birds maintain good health,” he said. “Most importantly, livestock productivity can be improved as the probiotics are capable of reducing animal death rate,” he added.
|Ramadan spikes cattle demand in Indonesia |
[26 June 2015] A good supply of Australian cattle has been exported to Indonesia’s feedlots in time for Ramadan and following festivals, reported ABC Rural. Preparation for Ramadan is also one of the busiest times of the year for livestock exporters as it is the peak period for consumption of meat and beef in Indonesia. Scot Braithwaite, COO for Wellard Rural Exports in Asia, said timing of this year’s Ramadan has worked well for the industry. “Ramadan, has arrived just in time for the first part of the second quarter permits for those cattle available.”
|FTAs to put Vietnam livestock sector to the test|
[26 June 2015] Vietnam’s animal husbandry industry is expected to face serious challenges under new and future free trade agreements (FTA) because of low productivity, high production costs and small scale of production. Speaking at a conference held in Ho Chi Minh City, Doan Xuan Truc, Deputy Chairman and General Secretary of the Animal Husbandry Association, said that FTA would adversely affect the industry. But he noted that FTAs would also help the industry access new technology, products, and animal breeds as well as production methods. “If the sector does not lower production costs, cheaper imported meat will enter the market,” he said.
|STM Group to double DOC production |
[25 June 2015] Indonesia’s Sinar Terang Madani (STM) Group, based in Makassar, South Sulawesi, plans to increase its broiler DOC production by 6 million hatching eggs per year. Audy Joinaldy, President Commissioner told Asian Agribiz that currently the company produces around 3 million hatching eggs per year. “We recently finished the construction of our second PS breeding farm in South Sulawesi, and are now setting up the third and fourth farms also in the province,” he said, adding that the company raises Cobb strain. To expand its market reach, STM Group also plans to set up a breeding farm in South Kalimantan and North Sulawesi. Currently its DOC production is only for internal use and contract farming.
|Another big grey channel bust in China|
[25 June 2015] Customs officials in southern China have busted two smuggling gangs, made 20 arrests and seized 800 tonnes of meat worth about USD 1.7 million, the official Xinhua news service reported. The meat, much of it in packaging with foreign language labels, was being smuggled through the Red Star Wholesale Frozen Market in Changsha, the capital of Hunan Province, and would have been distributed to cities across southern China. The busts were part of a continuing crackdown on the Hong Kong ‘grey channel’. Some of the meat was three to four years old, and one official said poor handling and uncertain cold chain in the grey channel caused serious sanitary issues for such aged product. China Customs estimated that one-third of the Red Star Market’s annual 800,000-tonne throughput came from unknown overseas origins.
|VVV is Grupo CEM’s agent in the Philippines|
[25 June 2015] Argentina’s Grupo CEM, a group of companies that produces, sells and exports different agricultural products and commodities, has named Veritas Vetnutrition Ventures Inc (VVV) as its sole agent in the Philippines. With this partnership, “poultry and livestock producers can now purchase commodities and products like soybean meal direct from an Argentinean producers,” Dr Nervy Santiago, President and CEO of VVV told Asian Agribiz, during the contract signing ceremony recently. Meanwhile, Nico Bolzico, General Manager of LM10 Corp, a local company with Argentine capital that was instrumental in developing the partnership, told Asian Agribiz, the tie up will introduce “premixes with sorghum, corn, wheat and sunflower among others that will allow local producers to achieve a more cost efficient ratio conversion of vegetable to animal proteins”.
Onsite reports by ISA Q TAN
[25 June 2015]
The third edition of Livestock Philippines began yesterday and will run until tomorrow. Today, President Benigno Aquino III will be the guest of honour at the show’s official opening ceremony. With more than 200 brands coming from 18 countries, the three-day event with the theme Farm to Shelf, serves as a platform for global stakeholders in the livestock, animal health and feed industries to share the latest developments in the animal protein production.
Producers must improve farms
Philippine livestock and poultry producers should realise that there are plenty of opportunities for growth both locally and globally, but they must also look at things that they need to improve on, Dr Eugene Mende, President of the Philippine Veterinary Drugs Association, told Asian Agribiz at Livestock Philippines. He added that the global meat market, particularly in Asia, has been bullish and will continue to be so. To take advantage of these opportunities, he said producers must achieve efficiency in production costs and management, be updated on the latest trends and industry technology, and invest in research and development.
Philippines develops diagnostic test kit for PED
The Philippines now has a rapid diagnostic test kit for porcine epidemic diarrhoea (PED). Dr Clarissa Yvonne Domingo of the College of Veterinary Science and Medicine of Central Luzon State University, who developed the Andali PED RT-Lamp based diagnostic test kit, told Asian Agribiz the portable and easy-to-use kit can produce fast and efficient results in less than an hour. It is also affordable. The university has not commercialised the test kit, but Dr Domingo said there are several business plans they are exploring. At this time, the researchers are still doing molecular characterisation of the virus, in order to identify where the strain of the virus present in the country originated.
Yemmak ventures into the Philippines
Yemmak, a producer of feedmill equipment from Turkey, is bringing its products into the Philippines and later to other Southeast Asian countries. Selcuk Erdem, Yemmak Marketing Manager, told Asian Agribiz the company has been in the equipment business for 50 years and has decided to expand its business into Southeast Asia. “According to our market research, to start in the Philippines is the best way, and then we will be moving into Malaysia, Indonesia and Vietnam. We see good potential in these markets.” Yemmak equipment is being represented in the Philippines by EVP Trading.
|OIE declares Philippines FMD free without vaccination|
[24 June 2015] The Philippines received its official recognition as an FMD-free without vaccination country during the 83rd General Session of the World Organisation for Animal Health (OIE) in May. “It’s a nationwide recognition with emphasis on ‘without vaccination’,” said Dr Rubina Cresencio, Bureau of Animal Industry Director and Chief Veterinary Officer, adding that previous declarations were done on per zone basis, beginning with Mindanao in 2001, Visayas in 2002 and finally Luzon in 2010. The OIE also recognised the Philippines as free of Peste des Petits Ruminants, a highly contagious disease affecting small ruminants. With these declarations, the Philippines is aiming to become a strong player in the global market.
|STM Group to set up bigger feedmill|
[24 June 2015] Indonesia’s Sinar Terang Madani (STM) Group, based in Makassar, South Sulawesi, has recorded significant growth in its feed business in the last three years. Audy Joinaldy, President Commissioner, told Asian Agribiz the company, which was founded in 2011, has seen its feed sales grow from 500 tonnes/month to 2000 tonnes/month. “Our 2000 tonnes/month feedmill in Barru is now running at full capacity. We need a new feedmill to increase production capacity and meet increasing demand for our broiler and layer feed,” he said. STM Group plans to set up a new 8000 tonnes/month feedmill which is targeted for operations in early 2017. STM Group sells its poultry feed under the Perkasa Feed brand to regions in eastern Indonesia, mainly in Sulawesi. Of its total production 50% is for internal use and the remainder is for its customers.
|US rejects shrimp with traces of antibiotics|
[24 June 2015] The US Food and Drug Administration (FDA) has refused entry to certain consignments of shrimp exported from India, Malaysia and Vietnam as traces of banned antibiotics were found. A report from USFDA stated that the refusals involved six different companies from these three countries. The main reason cited by the US regulator was related to nitrofuran or other veterinary drug residues found in the shrimp. Edwin Samuel, a seafood exporter from India, told Asian Agribiz that educating exporters against the continued use of antibiotics in shrimp aquaculture is a continued process. While the USFDA refused entry to 208 shrimp entry lines for banned antibiotics in 2014, the figure has already touched 203 in between January and May this year.
|Egg prices soar in Hyderabad|
[24 June 2015] With the layer farm industry in India’s Hyderabad reeling with a shortage of birds due to severe heat wave, egg prices in the city have increased to INR 5 per egg (USD 0.08). Sanjeev Chintawar, Business Manager of the National Egg Coordination Committee, said since more than 5 million chickens across Telangana state were killed due to the heat wave there is a drastic drop in egg production. “Daily egg production in the region has come down from 30 million to 27 million per day due to this and hence the increase in price,” he commented.
|Vietnam breaded shrimp exports to US up 50% in Q1|
[24 June 2015] First quarter US imports of Vietnam's frozen breaded shrimp rose, with tonnage up 50% year-on-year and value up 42%. During the quarter, the US imported 1491 tonnes of frozen breaded shrimp worth USD 11.9 million. Total shrimp imports fell 23% year-on-year to 12,341 tonnes, the Vietnam Association of Seafood Exporters and Producers said. Meanwhile tra fish exports continue to fall. Its turnover this year would be USS 1.7 billion, a 4% year-on-year drop due to difficulties in importing markets and tighter regulations. The association said export turnover to China surged 46%, and Canada went up 12.5% over last year, while exports to the US increased slightly by 8.8%. However, the export value of tra fish to the EU saw a sharp decrease of 16%, to Mexico of 21% and Colombia of 8%. In the US the export value of tra fish represented a strong reduction of 23% in January due to anti-dumping operations by the US Department of Commerce.
|Nepal needs USD 20 million to kick start agri sector|
[24 June 2015] About USD 20 million is needed to support farmers in earthquake-hit Nepal so that they can resume agricultural activities and stave off the threat of prolonged food insecurity, the Food and Agriculture Organisation (FAO) said. The recent tragedy heavily disrupted agri activities in the country. “To date only 13% has been received of the USD 23.4 million in emergency agricultural assistance, which FAO estimated is required, as part of the revised UN Flash Appeal for Nepal,” FAO said. The repair and functioning of irrigation systems will be crucial for the winter cropping season while livestock urgently require shelter, feed, water, medicine and vaccinations. About 15% of cattle and 36% of poultry were lost in the disaster with detrimental effects on rural household consumption and income.
2015 7th International Symposium on Emerging and Re-Emerging Pig Diseases, Kyoto, Japan
Onsite report by CRAIGE ALLAN
[23 June 2015]
Recognising the increased importance of Asia in controlling emerging and re-emerging infectious diseases globally, the 7th ISERPD is for the first time being held in Asia with the theme ‘Global Collaboration in controlling emerging and re-emerging pig diseases: From Asia to the World’.
The emergence and re-emergence of pig diseases: What next?
In the opening lecture, Joaquim Sengalés, IRTA Centre dé Recerca en Saitat Animal (CReSA), said 42% of emerging swine pathogen species are zoonotic. Most emerging virus species are variants from RNA viruses. Moreover, most swine RNA viruses are multi-host compared to emerging DNA viruses, which are all swine specific. It is hard to predict what will come next in pig diseases but the advent of PPRS by the late 80s and beginning of the 90s, PCVDs by the late 90s, the pandemic A/H1N1 by 2009 and PED in North America and Europe by 2013/14, implies that new diseases emerge every seven to eight years.
International framework for addressing emerging and re-emerging diseases
Bernad Vallat, Director General of the OIE, said key elements of efficient veterinary services such as early detection and rapid response to animal disease emergencies that could pose a risk to human health are essential. Alliances are key and it is the responsibility of governments to ensure these alliances are there and working well with the capacity to implement biosecurity measures. He also said antimicrobial resistance is a growing global concern. Veterinarians are not the problem. Instead they are the solution to minimise antimicrobial selection.
Swine industry in China
Pig production and pork processing are still two essentially different and unrelated businesses in China, according to Zhichun Yan, New Hope Liuhe Group, China. He believes there are less than 40 million sows in China, and that less than 10% of all pigs sold come from backyard production that carry 20 or less sows. These farms, however, are disappearing quickly.
Healthy r&d pipeline
According to Narciso Bento, MSD Global Swine Business Unit Manager, Asia is where the future will be, with projections that more than half of the increase in animal protein consumption by 2021 will be in Asia. “We want to work not only as a science-based company, but aim to provide solutions that increase the return on investments of our partners. R&d ensures not only MSD’s future but that of our customers too. With multiple late stage swine product development projects, which may become commercial products in the next five years, this shows the robustness of our r&d program to bring these new solutions,” he said.
PRRS in Asia – from the lab to the field
Several studies have indicated that PRRSv can cause immunosuppression, and interleukin 10 (IL-10) plays a major role in causing weak innate immune responses, said Professor Roongroje Thanawonguwech, Faculty of Veterinary Medicine, Chulalongkorn University, Thailand. The timing of vaccination is key. Prof Thanawonguwech recommended that vaccination needs to be done at least 3-4 weeks prior to field virus exposure for optimum development of protective immunity.
Experience with PCV2 control under field conditions
Professor Mathias Ritzmann, Clinic for Swine, Ludwig Maximilans-University Munich, said the diagnosis of PCV2 is not easy as clinical manifestations vary and can result in distinct diseases. In Europe, vaccination of piglets starting at three weeks of age has been shown to reduce viral shedding. It protected the animals successfully and is a valuable tool against PCV2. However, elimination of PCV2 under field conditions is not possible.
Innovation in vaccination
Vaccination is the preferred method to control PRRSv and PCV2, said Dr Rika Jolie, MSD Global Technical Director for Swine. Traditional vaccines are administered by intramuscular injection. However, MSDs IDAL offers intradermal and needle-free vaccination for registered vaccines, with benefits including fast immune response, less pain and stress for pigs, improved welfare, no tissue damage and no transmission of disease.
US strains of PED outside North America
Veterinary consultant Dr John Carr discussed his experience of a 2014 clinical outbreak of PED in a 5000-sow unit in Ukraine which practiced extremely good biosecurity measures. The outbreak resulted in a loss of six pigs per sow and took 20 weeks to resolve. Initial control measures on Day 1 included euthanasia of all piglets less than 10 days old and weaning of all piglets more than 10 days old.
|Singapore launches world’s first biochip diagnostic tool|
[22 June 2015] Singapore’s Agri-Food and Veterinary Authority (AVA) and supplier of diagnostic tools Veredus Laboratories Pte Ltd launched VereVet, a biochip that can identify nine major poultry diseases, including Newcastle disease virus, salmonella pullorum, salmonella enteritis, campylobacter and avian influenza, in one sample. Emphasising the significance of the breakthrough, Tan Poh Hong, CEO of AVA, said, “The new Lab-on-Chip will enable authorities to take appropriate action. This will, in turn, strengthen animal and public health for the region.” Veredus is a Singapore-based majority-owned subsidiary of Accuron Technologies Limited, a precision engineering and technology group wholly-owned by Temasek Holdings.
|Indonesia’s shrimp ponds infected by white faeces disease|
[22 June 2015] Shrimp farmers in Indonesia’s East Java and Lampung recently learnt that their ponds are infected with white faeces disease, reported Bisnis Indonesia. According to Slamet Soebjakto, Director General of Aquaculture of the Ministry of Fisheries and Marine Affairs, lab test results have shown that the dead shrimp samples collected from the regions were negative of early mortality syndrome but positive of white faeces disease. Mr Slamet added that technical teams from the ministry have been deployed to control the disease and educate farmers in the infected regions of remedial measures.
|Philippines adds to areas with import bans|
[22 June 2015] The Philippines has added Turkey and the state of Nebraska in the US on the list of areas for which it has a temporary ban on poultry imports. Both Turkey and Nebraska have reported outbreaks of highly pathogenic avian influenza, serotype H5N1 and H5N2, respectively. The ban covers domestic and wild birds, poultry meat, day-old chicks, eggs and semen, but does not include heat-treated products. The Philippines, which remains AI-free, has been imposing bans on AI-infected countries in an effort to keep the disease at bay. Agriculture Secretary Proceso Alcala said that being disease-free will help the country penetrate more export markets, especially now that the Asean economic integration is close to implementation.
ProPak Asia 2015
Onsite report by ARIEF FACHRUDIN
[22 June 2015]
Meat processing technology developers and suppliers gathered in Bangkok from June 17-20 for the annual ProPak Asia exhibition. The show featured the latest in machinery and technology in the meat processing industry, and updated participants on trends in the sector.
Frey launches dosing station
The ready-meal sector in the region, especially in Thailand, is growing, and food producers are looking for the next level of automatisation, Heinrich Frey, Managing Director of German based Frey Maschinenbau, said. At the show the company launched its dosing station DS. Earlier in the year the DS was unveiled for the first time at Anuga FoodTec in Germany. The system features a servo-controlled dosing and portioning system with integrated filling flow divider from 1 to 8-way distribution and dosing in thermoformers, cans, and trays or on racks, grids and dough lines. “This new system is perfectly matched with what producers need since the movement and speed is infinitely adjustable,” he said, adding that CP Group is its big customer for the new system in Thailand.
G Mondini partners with Forefront Foodtech
Italy-based packaging solutions provider G. Mondini recently teamed up with a new agent in Thailand. Gianfulvio Spelgatti, Area Sales Manager, said the company chose Forefront Foodtech because of its expertise in the food sector. “We see many developments in the ready meals category in this region. We expect to tap the market potential with the new agent,” said Mr Spelgatti.
Emerson Technik promotes smoking, cooking chambers
Emerson Technik promoted its smoking and cooking chambers for the production of cooked and smoked products in small and medium-sized plants as well as in large factories. The chambers are preferred for smoking different kinds of products like sausages, salami, injected products and for all kinds of meat including pork, beef, poultry and fish. Gabriel Trasca, Sales and Marketing Manager for Asia, said the chambers feature fast programs due to perfect ventilation system for each trolley and less energy consumption due to innovative airflow design. “With our chambers meat processors will get products which are uniform in quality and with minimum weight loss,” said Mr Trasca.
|Pork traceability system for the Philippines|
[19 June 2015] Researchers from the University of the Philippines in Los Baños have developed a nationwide pork traceability system (NPTS) that can assure the safety and quality of locally produced pork meat. One of the researchers, Dr Jaderick Pabico, said that the NPTS is an information and communications technology-based system that will allow real-time tracking of animals from ‘pen to plate’, and trace meat cuts and permit the use of a DNA-based verification system. It is also designed to be responsive to international standards in preparation for the regional economic integration later this year. The NPTS not only represents improved livestock monitoring but can also pave the way for the entry of Philippine meat products into other global markets.
|Berdikari to operate cattle slaughterhouse in Lampung|
[19 June 2015] Indonesia’s state-owned company Berdikari involved in cattle integration recently signed an MoU with the local government of Lampung province to operate the cattle slaughterhouse in Way Laga that is owned by the local government. Librato El Arif, Director, said the company targets to send beef to Jakarta from the facility in the next two weeks. “The slaughterhouse has an installed capacity of 100 heads of cattle per day, but for the first stage we will only slaughter around 20 heads per day.” Berdikari is now also setting up two new slaughterhouses in Bali and Kupang. The slaughterhouse in Bali is targeted to start operations next month.
|Pakistan soy imports to grow prior to tariff rise|
[19 June 2015] For the second consecutive year, Pakistan is set to increase the tariff on imports of soybean meal on July 1. Tariffs will climb to a minimum of 21% from 11%. The proposed rate has prompted importers to increase their 2014/15 imports of soy to an estimated record 450,000 tonnes, said a USDA Foreign Agricultural Service report. For 2015/16, imports of soybeans are expected to climb to 1 million tonnes as the higher tariff takes full effect on sourcing decisions.
ProPak Asia 2015
Onsite report by NITSARA THONGRUNG
[19 JUNE 2015]
Meat processing technology developers and suppliers gather in Bangkok from June 17-20 for the annual ProPak Asia exhibition. The show features the latest in machinery and technology in the meat processing industry, and updates participants on trends in the sector.
Leading Thai food processor to take delivery of Handtmann’s AST 340
Handtmann celebrated its first transaction in Thailand of the Automatic Smoke Sticks Transferring Unit AST 340. The robotic solution, which will be delivered to a leading food processor soon, ensures that the smoke sticks are accurately positioned and set down in the smoking trolleys. This reduces costs, brings in high production output and improves system utilisation due to optimisation. “With this robot, processors achieve reliability, food safety, lower labour cost and production efficiency. Automation is key,” Sale Director Uwe Kessler told Asian Agribiz. Handtmann also highlighted the PVLH automatic line for automated filling and portioning system.
Sairem cuts defrosting time
Sairem, supplier of microwave and radiofrequency machines for the food industry, displayed the AWM 200, a 915 MHz microwave batch machine. According to Managing Director Jean-Paul Bernard the machine allows frozen foods such as meat poultry, fish, cheese, butter and fruits and vegetables to be defrosted quickly. “The advantages of this machine includes its sanitary features, its reliability and the short time it takes to defrost meat as time is of essence. The machine has been sold globally including Singapore and Malaysia, Mr Bernard said.
Holac makes first appearance at the show with distributor K&W
Holac, specialist in slicing and cutting technology from Germany, made its first appearance at the show displaying its wares at the booth of its local distributor K&W Global Technology. “The show is a good platform for the company to gain experience and understanding of Thai and other Asian markets,” Ronald Ralf Ambrassat, International Sales of Holac, told Asian Agribiz. Working with K&W, Mr Ambrassat expects Holac to learn and grow in this region.
Grasselli exhibits 2D slicer
Grasselli from Italy exhibited the NSA series, its latest 2-dimension automatic slicing machine. The machines are the automatic product infeed and outfeed for a total inline solution. “Meat processors are now looking for equipment that is flexible and can be added to the line, and work completely inline. This is for time saving and operational efficiency,” Riccardo Guidi, Export Manager, told Asian Agribiz. The machine features 610mm or 1000mm of useable width with minimum slice thickness of 3mm or 5mm for fresh and cooked boneless meat.
|Komarla Group to commission USD3m feedmill |
[18 June 2015] India’s Komarla Feeds & Foods Pvt Ltd based in Maharashtra will commission a 20 tonne/hour poultry feedmill next year. “We plan to develop this into a Greenfield project at a total investment of about USD 3 million,” KV Krishna Charan, General Manager (Operations), Komarla Feeds told Asian Agribiz. The company, which has a strong customer base in Miraj, recorded an annual revenue of about USD 31 million in financial year 2014-15. With the commissioning of its new feedmill by next year, Komarla Feeds eyes to increase its share in the local market.
|Bulog to import 1000t of secondary beef, offal |
[18 June 2015] Indonesia’s Ministry of Trade has issued a permit for the Logistics Agency (Bulog) to import 1000 tonnes of secondary beef and offal. “We issued the permit last week to prevent a price increase during Ramadhan and Idul Fitri,” Partogi Pangaribuan, Director General of International Trade, said. Mr Partogi is optimistic that with the recent additional imports of 29,000 ready-to-slaughter cattle plus the import of secondary beef and offal, the supply of beef during the period is sufficient and will remain at an affordable price.
|Farmers demand subsidy for poultry feeds|
[18 June 2015] Layer farmers in India’s Tamil Nadu state are demanding a subsidy for poultry feeds as egg prices touch a new low of INR 2.25 (USD 0.04) compared to INR 5 (USD 0.08) few months ago. R Nallathambi, President of the Tamil Nadu Poultry Farmers’ Association, said layer farmers are affected due to the high cost of production and the fall in the price of eggs. “We expect the government to provide subsidies for poultry feed to tide over this crisis,” he said. According to him, of the total corn requirement for poultry feed only 50% is available in Tamil Nadu and the rest has to come from neighbouring states.
|More H5N2 outbreaks strike Taiwan|
[18 June 2015] Three new H5N2 avian flu farm outbreaks have affected more than 23,000 poultry in Taiwan. All the outbreaks are in Yunlin County in the west, one of Taiwan's most-affected counties. They involve geese flocks of 1,500 and 3,380 birds, and a chicken farm of 18,648 birds. Of the 23,528 susceptible poultry, 8,894 were killed from the virus, and the rest were culled to contain the outbreaks, which began on May 28, May 30, and Jun 1. As is standard procedure, a 3 km zone of intensified surveillance has been created around each farm.
|Harim Group proceeds with Pan Ocean merger|
[18 June 2015] Harim Group, a major livestock and animal feed group in Korea, will move forward with its takeover of troubled dry bulk carrier Pan Ocean. Harim, partnering JKL Partners, participated in the bid last year and was picked as the preferred bidder in December. The company paid over USD 895.5 billion for the deal earlier this month. “Prices of grain and corn are determined by international markets, so there is not much room for cost efficiency,” said a Harim spokeswoman. South Korea depends almost entirely on foreign companies like Cargill, ADM and Louis Dreyfus for grain supplies.
|Berjaya Food Q4 earnings up 21.5%|
[18 June 2015] Berjaya Food Bhd, which operates the Kenny Rogers Roasters chain of restaurants in Malaysia, saw its net profit rise 21.5% to USD 1.71 million for its fourth quarter ended April 30 2015 from a year ago, mainly due to the full effect of consolidation of the newly-acquired wholly-owned subsidiary, Berjaya Starbucks Coffee Co Sdn Bhd. Revenue for the fourth quarter more than tripled to USD 34.41 million from USD 9.76 million in 2014. For the 12-month period net profit rose to USD 49.28 million from USD 6.05 million in 2014, while revenue jumped 150.95% to USD 100.70 million from USD 40.13 million. On prospects, the company said the weakening of the ringgit against the US dollar is expected to increase to cost of sales and thus compress the group’s profit margin.
|Opportunities in AEC abound, but Philippine producers wary|
[17 June 2015] Philippine Agriculture Secretary Proceso Alcala has urged local livestock and poultry raisers to focus on opportunities with the Asean economic integration rather than threats. He said the Department of Agriculture will assist producers meet international quality and safety standards to help them thrive globally. Although the country has been FMD-free and AI-free, pork exports have yet to happen, while chicken exports have been minimal. “We are not ready for AEC,” Chester Warren Tan, President of the South Cotabato Swine Producers Association told Asian Agribiz. He added that producers can compete, having already had experience competing with cheap and illegal importation. However, a key player in the pig industry, who did not want to be named, told Asian Agribiz that producers should work with the government. “There are opportunities and as responsible businessmen, we should trust our government to help us. We should help each other.”
|Yum! Brands and Jardines to bring Pizza Hut to Myanmar|
[17 June 2015] Yum! Brands will partner Jardine Restaurant Group, a subsidiary of Hong Kong-headquartered conglomerate Jardine Matheson, and local retail company City Mart Holding to open its first Pizza Hut outlet in Myanmar. The restaurant will be located in a standalone building beside City Mart’s Marketplace supermarket and is scheduled to open in November. Jardine Pacific operates over 600 Yum! franchises in Hong Kong, Taiwan, Vietnam and southern China. Elsewhere, it also represents KFC, but failed to secure the franchise in Myanmar. KFC instead partnered with Singapore-based Yoma Strategic Holdings Ltd. The only international food and beverage franchises in operation in Myanmar are South Korea’s Lotteria and Malaysia’s Marrybrown. Both entered the market in 2013.
|Vietnam feed additives market to reach USD 161m |
[17 June 2015] Vietnam’s feed additives market is expected to grow to USD 160.5 million by 2022 from USD 112.45 million last year, growing at a CAGR of 4.7% from 2015 to 2022, said US-based market research and consulting company Grand View Research. The report added that meat consumption is expected to drive demand for feed enzymes, feed acidifiers, amino acids and antioxidants over the next seven years. Antibiotics emerged as the leading product segment and accounted for over 36% of the total market revenue in 2014. Feed acidifiers are expected to be the fastest growing product segment over the next seven years. Shift in meat consumption from pork to poultry is expected to further drive poultry feed demand, thus further complementing feed acidifiers growth.
Indian dairy sector update
[17 June 2015]
Cargill’s dairy feed additive now available in India
Cargill’s dairy feed additive Promote Amaferm sold under the Provimi brand is now available in India to help dairy farmers increase milk production. In 2013, field trials were conducted in Jabalpur district in Madhya Pradesh, which revealed an improvement of 4.7% milk fat due to better fibre digestion. Maxime Hilbert, Cargill’s Technology Leader for additives said that Amaferm acts as a prebiotic, delivering more microbial protein and energy to the animal through increased digestibility. “Along with increased milk production, trials also demonstrated improved weight recovery after calving by 22% as well as an ability to decrease ketosis risk,” the press release added.
Milk Federation to sell dairy products using app
Karnataka Milk Federation (KMF) in India has launched an android based app that will enable consumers to buy its Nandini milk and dairy products using the app. According to a statement, KMF has tied up with BigBasket.com to deliver the products in the shortest possible time. Consumers can also find the nearest milk parlour on the app under ‘Locate Nandini’ option by typing the name of location or PIN code. The app also provides details of special offers on products. KMF produces about 7 million litres of milk every day.
Mahindra Group to enter dairy business
India’s multi-business conglomerate Mahindra Group is all set to enter the dairy business. Ashok Sharma, President and Chief Executive of Mahindra & Mahindra said that the group plans to start its operations from Indore in Madhya Pradesh state. “Initially, we will outsource the processing and once we are able to secure our supply chain we will invest in our own plant,” he said. As per initial plans, the company will not be buying cattle but will source milk directly from farmers. Mahindra Group also has plans to expand to other regions in phases and will introduce a retail brand at a later stage.
|CP Cambodia builds feedmill in Pailin |
[16 June 2015] CP Cambodia (CPC) plans to build a new feedmill in Pailin, in the west of the country, with a full capacity of 15,000 tonnes/month. Its existing capacity is 30,000 tonnes/month. The test-run of the mill is expected late July. Securities company Bualuang Securities said it believes the feedmill will represent the company’s growth driver from second half of the year until 2016. CP Cambodia also aims to increase the food portion of its business from 3% to 10% in the next five years through modern trade and food service channels. CPC operates a fully-integrated agribusiness in Cambodia, which includes a feedmill, breeder and hatchery farms for pig, broilers and traditional chicken and a processed food plant. Its Phnom Penh feedmill’s full capacity is 318,000 tonnes/year.
|Al Shaheer Corporation to go public|
[16 June 2015] Pakistan’s Al Shaheer Corporation Limited, the parent company of Meat One, a high end retail chain of butcheries, is set to expand across the country by going public. The Karachi based company will utilise the additional capital of about USD 10 million to fund its nationwide expansion and leverage off its first mover advantage. Chief Executive Officer Kamran Ahmed Khalili, said that consumer awareness and demand for hygienically processed quality meat is set to increase in Pakistan. The company’s listing in the Karachi Stock Exchange will make it the first initial public offering by a local foods company in five years since 2011.
|Indon-Australian JV for beef processing|
[16 June 2015] Two Indonesian agriculture companies have formed a joint venture with Brisbane-based Australian Rural Export, or Austrex, for a USD 10 million end-to-end meat processing company in South Sulawesi. Pramana Agri Resources and Bogor-based Rumpinary Agro Industry, which specialises in fattening and selling both local and imported cattle, signed the agreement with Austrex in Jakarta recently, reported the Jakarta Globe. “The business model will be integrated, from the animal feed supply to the fattening, up to the meat cutting and the beef box processing,” said Robert Erizo Kusnadi, Pramana Agri Resources Director. He added that the jv is scheduled to settle licensing over the next three months with operations to begin sometime in the second quarter of 2017. “In the first phase, we would have a feedlot capacity in the range of 10,000 to 15,000 cattle.”
|Lower grain shipping cost|
[16 June 2015] Transportation costs for shipping corn and soy from Minneapolis, MN, to Japan decreased significantly through the Gulf and moderately through the Pacific Northwest (PNW), in Q1 2015 compared to the previous quarter, reported the USDA in last week's Grain Transportation report. The year-to-year transportation costs for shipping corn and soy were down notably from the Gulf and PNW. The decreases were caused by lower rates for each of the transportation modes. Much lower ocean rates also helped push Gulf transportation costs down. High vessel supply and lower demand for bulk grain continued to drive transportation costs down.
|Indonesia develops harvest strategies for tuna|
[16 June 2015] Indonesia has embarked on an ambitious program to develop harvest strategies for its tropical tuna fisheries in archipelagic waters. Indonesia is the world’s largest archipelagic nation, contributing more than 15% of global tuna production. The aim of the harvest strategy is to maintain commercial tuna stocks at sustainable levels, while maximising returns. Under the leadership of Indonesia’s Ministry of Fisheries and Marine Affairs, the harvest strategy will also create a more reliable and predictable operating environment for the fishing industry. "As an archipelagic nation, our future depends on us developing harvest strategies to manage our fishery resources effectively,” said Saut Tampubolon, Deputy Director of Fishery Resource Management.
|New promotion to boost Pizza Hut sales|
[16 June 2015] Pizza Hut Malaysia expects its 2015 Ramadhan or fasting month promotion to boost sales by 10% during the period. Senior General Manager, Low Kang Moon, said Pizza Hut will be introducing an Italian-flavoured chicken dish. The promotion is available at all Pizza Hut restaurants in Malaysia until July 21, 2015. Early this year the company launched the Pastry Crown pizza — a combination of Italian pizza with sweet buttery pastry. “When it comes to inventiveness, combining unlikely elements together can either result in a complete mess, or it can lead to something truly amazing. The Pastry Crown pizza is proof of this as we managed to create a combination of tastes that comes together perfectly.”
|CP Prima to increase production, expand market|
[15 June 2015] Indonesia’s largest processed shrimp and aqua feed producer Central Proteinaprima (CP Prima) aims to increase production and expand its market reach this year. During a meeting in Jakarta last week, President Director Irwan Tirtariyadi said with the weakening price of frozen shrimp globally, the company wants to focus on further processed shrimp production. “Further processed products will give us added value and better profit margin,” he said as quoted by Kompas. In order to get higher growth, the company plans to open new markets for its further processed products such as to China, Italy, and Switzerland and Asean countries. In addition the company targets to export 6000 tonnes of aqua feed to India, or 10 times higher than last year.
|China confirms new H7N9 cases|
[15 June 2015] Chinese health officials reported nine new H7N9 avian flu cases last week including one fatality. The newest case is a 61-year-old male resident of Shanghai who is undergoing treatment. The other eight cases were included in a national health ministry update on notifiable diseases. The report also noted a death in May from bird flu separate from the H7N9 cases. The reports raise the H7N9 global total to 681 cases, according to a list maintained by FluTrackers.
|Corn prices down due to poor demand |
[15 June 2015] Corn prices in India have declined due to a sudden drop in demand from the poultry sector, according to US Grains Council report. USGC India Representative Amit Sachdev said prices are down to about USD 169 per tonne. “The decline is attributed to the sudden drop in demand from the poultry sector due to lower placement and high mortality in south India due to heat wave,” he explained. However, he said prices may improve in July. Mr Sachdev pointed out that despite the decline, India will not be able to export corn to Southeast Asia and Bangladesh as prices need to drop further for the country to be competitive and export.
|Enough cattle in Indonesia for Ramadhan |
[15 June 2015] Indonesian Cattle Importers and Feedlotters Association (Apfindo) has said that it is confident that enough cattle are now on feed to fulfil Ramadhan and Idul Fitri requirements, reported Beef Central. Endro Susilo, Apfindo Board Coordinator, said its members collectively had over 200,000 cattle on feed in their feedlots at the beginning of May, which should guarantee sufficient beef supply for the holiday period. Previously in April, the government issued additional import permits for 28,000 head for heavier, ready-to-slaughter cattle. For Q3 2015, meanwhile, Apfindo predicted that permit allocations would be similar to Q3 2014 where the government issued permits for 167,000 cattle, which contained a mix of 133,000 feeder cattle and 34,000 slaughter cattle.
|KFC, Pizza Hut shut indefinitely in Nepal|
[15 June 2015] International fast food chains KFC and Pizza Hut restaurants in Nepal have been shut down indefinitely following a dispute between the management and the local staff over long working hours. “We could not operate in such an environment,” said Rohit Kohli, the company's Kathmandu-based director. There has long been a dispute between the workers and management over working hours. In 2012, the restaurants were shut down temporarily for about a month as staff had allegedly attacked and threatened branch managers over a labour dispute.
Malindo hopes for better results in 2015
Report by ARIEF FACHRUDIN
[12 June 2015]
Indonesia’s leading poultry integrator Malindo Feedmill last year recorded a net sales of USD 338.3 million, an increase of 7.4% over the previous year, the company stated during its public expose yesterday in Jakarta. This increase was fuelled by an 11.6% increase in feed sales worth USD 26 million. However, its gross profit decreased by 55.1% to USD 24.2 million due to low DOC prices and feed raw materials price increase. As a result, the company last year recorded a net loss of USD 6.4 million.
Malindo’s poor show persists in Q1
The unsatisfactory results of Malindo Feedmill in 2014 persisted to the first quarter of this year. Although the company’s net sales increased by 4%, boosted by feed sales, its gross profit decreased by 42% due to low DOC prices and the increasing cost of DOC production. As a result the company recorded a net loss of USD 4.5 million in Q1. Director Rewin Hanrahan told Asian Agribiz that the poultry business will still be challenging for the rest of this year. He mentioned that currency depreciation, economic slowdown and operational cost increase due to the fuel price hike are the main challenges.
Strategies for positive results
To prevent losses, Malindo Feedmill this year will continue to increase production efficiency at all of its operational and production lines. Director Rudy Hartono told Asian Agribiz that the company has also decided to postpone its expansion plans. “Our plans to set up a feedmill in Sumatera and poultry farms in different regions have been postponed. We may realise these plans next year.” Director Rewin Hanrahan added that the company will also better manage feed raw material purchase by monitoring global raw material prices and inventory. With all the strategies, Mr Rudy is optimistic that this year the company will be able to record a 10% growth in revenue.
New feedmill in Sulawesi
During the public expose, Malindo Feedmill also announced that it the construction of its new feedmill in Makassar, South Sulawesi was completed in May this year. This plant cost the company around USD 16.9 million and has an installed capacity of 240,000 tonnes/year (expandable to 360,000 tonnes/year). Director Rewin Hanrahan told Asian Agribiz that east Indonesia is a focused region for expansion. He said that the company has broiler PS breeding farms in South Sulawesi that cater to demand from Sulawesi and Papua.
|JBS to shift to group housing for sows|
[12 June 2015] By 2016, Brazil-based JBS, the world’s leading meat processor and exporter, will no longer use gestation crates and instead use collective housing for breeding sows in its own farms, a report by Meatingplace said. The company said it is supporting its partners to make a similar move, but did not give a timeframe for its suppliers to stop using gestation crates. JBS is the latest in a line of pork producers to make this move, following Smithfield Foods, the world’s largest swine producer, as well as Hormel, Cargill and Maple Leaf Foods. Last year, Brazil’s leading pork processor, BRF, also announced it will phase out the use of gestation crates. The report said the gestation crates are already banned in the EU, Canada and nine US states, while New Zealand and Australia will phase them out by 2015 and 2017 respectively.
|PPA warns of 25% hike in poultry prices|
[12 June 2015] Pakistan Poultry Association (PPA) has warned of a 25% increase in prices as the Federal Government has introduced duties and taxes on poultry feeds in the 2015-16 budget. The government recently imposed a 10% sales tax and 10 % import duty on soybean meal and 5% sales tax on all types of poultry feeds. “The budget has a demoralising effect on poultry farmers and the heavy duty on the import of soybean meal is illogical because it is a basic raw material and is not produced in Pakistan,” PPA Chairman Muhammad Mustafa Kamal said. According to him, this might result in a 25% additional cost to consumers.
|Jammu and Kashmir mulls poultry feed plant|
[12 June 2015] India's Jammu and Kashmir state is planning for a poultry feed plant for the industry in the state. According to State Minister for Animals, Sheep Husbandry and Fisheries the proposed feed plant will employ modern feedmilling technology and will help build the poultry industry in the state. Funding for the proposed plant is expected from the Central Government under the agricultural promotion schemes. The proposal is part of the state government’s effort to make the state self-sufficient in poultry production.
|New Hope Liuhe to invest USD 60m in Asian feed, poultry sector|
[11 June 2015] China’s largest animal feed maker New Hope Liuhe will expand its feedmill and poultry business in 10 Asian markets, the company said recently. New Hope Singapore Pte Ltd, a subsidiary of the Chinese firm, will use a USD 60 million loan from the International Finance Corporation (IFC), a World Bank organisation, to build new projects in India, Lao People’s Democratic Republic, Myanmar and Nepal and expand existing businesses in Bangladesh, Cambodia, Indonesia, the Philippines, Sri Lanka, and Vietnam. The company is focusing on international expansion as growth in animal feed demand slows at home, hurt by weaker economic growth and a clampdown on official spending.
|Probiotech receives USD 3.8m to rebuild facility|
[11 June 2015] The World Bank's International Finance Corporation (IFC) and the Private Sector Window of the Global Agriculture and Food Security Program have disbursed USD 3.8 million to Probiotech Industries, following a commitment announced last year to support the Nepalese private sector more so as it rebuilds itself after the devastating earthquakes. Probiotech is a poultry feed manufacturer that set up the first pellet feed mill in the country. The company will use the funding to finance manufacturing capacity for high-margin value-added products such as soy flour nuggets, and refined oil, and streamline the food supply chain. “Through IFC’s investment and advice, we seek to rebuild this sector and adopt best practices for production efficiency, environmental and social standards, and to upgrade technology,” said Anand Bagaria, Managing Director, Probiotech.
|Soy exports from India set to decline|
[11 June 2015] India's soy exports to Southeast Asia is set to decline due to a rise in domestic demand and stagnation in harvest, Bloomberg reported. Pawan Kumar, Associate Director, Food and Agribusiness Research and Advisory, Rabobank Singapore said Southeast Asian countries will turn to Brazil, Argentina and US for supplies against this backdrop. “India’s crop is not enough to cater to both domestic and export markets,” Mr Kumar said. According to him, India is losing customers because supplies are more expensive than global rates as a result of the crop's non-genetically modified status and lower supply.
|CP Prima records strong Q1 operating results|
[11 June 2015] Indonesia’s largest shrimp processor Central Proteinaprima (CP Prima) reported strong operating results in the first quarter of this year, reported Undercurrentnews. During the period CP Prima recorded turnover (against the same period last year) of USD 170.47 million, up 15.51%. The company’s gross profit was USD 28.4 million, up 23.81, with operating income at USD 4.5 million, up 4.23%. However, financing costs and a heavy loss on the foreign exchange on bonds dragged the company’s bottom line into the red. CP Prima’s increase in sales was driven by feed (up 21.65%), shrimp (up 4.45%) and shrimp fry (up 40.62%).
|Insufficient rain to hit agri production|
[11 June 2015] With the Indian Meteorological Department (IMD) issuing deficient monsoon forecast for the upcoming four-month southwest monsoon season that started in June, agricultural production in India is expected to be affected. “This will be the second year in a row when rains will be deficient and could affect the grain, oilseeds and pulses production in country”, India Representative for US Grains Council Amit Sachdev commented. Poor monsoon rains could lead to inflationary pressure on food crops such as rice, oilseeds, corn and pulses. A normal southwest monsoon brings 70% of India’s total rainfall and even for irrigated agricultural lands strong monsoon is crucial to boost yield and reduce cost of production.
|Singapore, FAO to collaborate on food safety, illegal fishing|
[11 June 2015] Singapore and FAO will work together to improve food and nutrition security in Southeast Asia, with a special focus on food safety and fisheries, according to an agreement. Improving the health and safety of food, including street foods, and combating illegal, unreported and unregulated fishing are key areas in a larger collaboration that will also look at cutting food losses and waste, making trade and agriculture more sustainable, and building resilience to animal and plant-related threats.
|Sneha Farms to commission new plant by year end|
[10 June 2015] India’s Sneha Farms is expected to commission its new chicken processing plant in Telangana state, by the end of 2015.D Varun Reddy, Sneha Farms Director, told Asian Agribiz that the 6000 birds/hour processing plant will be India’s largest and is expandable to double the initial capacity. The USD 16 million facility being developed by Marel Stork Poultry Processing will have 2000 tonnes of cold storage. Commenting on the project, Erik Talens, Area Sales Manager of Marel Stork told Asian Agribiz that the greenfield project incorporates various solutions for high speed automatic evisceration and giblet processing.
|Indon meat processors experience decline in sales|
[10 June 2015] Indonesia’s National Meat Processors Association Chairman, Ishana Mahisa, told Asian Agribiz that in Q1 this year many meat processors experienced a decrease in sales compared with Q4 2014. “The average decrease was around 15%, especially sales in traditional markets. During the period, the purchasing power was weak led by currency depreciation,” Mr Ishana said. However, compared with Q1 2014, most meat processors recorded a small growth in sales. “The main problem in this industry is still the price of meat. If we can get cheaper beef and chicken, we will be able to sell meat products at affordable prices,” said Mr Ishana.
|QL Livestock Farming launches Omega eggs in Sarawak|
[10 June 2015] QL Livestock Farming launched QL Omega Eggs in Sarawak, Malaysia recently. According to Mark Chia Mak Hooi Managing Director, the eggs are produced with feed enriched with fish oil, flax seed oil and vitamin E, through enhanced bio-security and stringent quality screening processes. He said the eggs contain more than 10 vitamins and minerals, high quality proteins and low saturated fat such as EPA and DHA. “We will continue to invest in nutrition research, farming technology and product development to bring quality food products to customers,” he said. QL Livestock Farming is the largest egg producer in the Asean region with almost five million eggs produced daily across Malaysia, Indonesia and Vietnam. QL also produces a full range of premium frozen chicken products at affordable prices.
|KFC China files suit against rumour mongers|
[10 June 2015] Encouraged by the Chinese government's intensified campaign to stop the spreading of false information, KFC has filed a lawsuit against three companies that it says used social media accounts to spread false rumours about its food, including that its chickens have eight legs. KFC, China’s biggest restaurant operator, has had major setbacks with other issues relating to food safety in the past. In an announcement posted last week on its Chinese website, KFC said one of the most prevalent fake stories was one claiming chickens used by the company are genetically modified and have six wings and eight legs.
|Shrimp exports from Mekong Delta down 32% |
[10 June 2015] Shrimp exports from Vietnam's Mekong region fell 32% in the first five months of the year because of a slump in demand from Europe, Australia, Japan, and Korea. Vietnamese shrimp also has to compete with products from Thailand and India. The decline has pushed prices down in the delta, posing a big challenge for shrimp breeders, Sai Gon Giai Phong newspaper quoted Deputy Chairman of the Ca Mau People's Committee, Le Dung, as saying. Due to the low demand Vietnamese exporters shipped large quantities to the US, causing prices there to go down sharply. To cope with competition, Mr Ca Mau asked authorities to help with information about market demand, prices, and types of goods in demand to help exporters and farmers/buyers.
|Betagro to open more Bee Cheng Hiang stores in Thailand |
[09 June 2015] Betagro Group of Thailand plans to open more Bee Cheng Hiang outlets, a famous brand of barbequed pork, or Bakkwa from Singapore. The first outlet that Betagro launched has received impressive response. “We plan to open around two to three shops per year,” Betagro Group’s Senior Department Manager for Operation Piyaporn Taepaisitphongse told Asian Agribiz. Betagro brought Bee Cheng Hiang to the Thai market via a franchise agreement. It set up Betagro Bee Cheng Hiang Co Ltd to operate this premium brand. The first flagship Bee Cheng Hiang store in Bangkok opened in late March. Betagro expects Bee Cheng Hiang to generate around USD 900,000 a year in sales.
|Pronic Indonesia to triple its probiotic chicken production|
[09 June 2015] Pronic Indonesia, a producer of probiotic (broiler) chicken under the Probio Chicken brand, plans to triple its production by 30,000 carcasses per month. Atanasius Harpen Tulis, General Manager, told Asian Agribiz that its product is gaining ground, especially in big cities where medium and high-class consumers work and live. “The demand for antibiotics and hormone-free chicken in Indonesia is growing along with income growth and awareness of healthy food products,” he said. Probio Chicken is sold at a premium price of around USD 3.74/kg. Mr Atanasius revealed that within the next five years he plans to set up a chicken processing plant in West Java to have better control on carcass quality. “At the moment we cooperate with QL Group Indonesia to slaughter our chickens,” he added.
|San Miguel Foods exports chicken to South Korea|
[09 June 2015] The Philippine Department of Agriculture (DA) announced yesterday that San Miguel Foods Inc shipped 11 tonnes of frozen chicken to South Korea last Friday. DA Assistant Secretary Davinio Catbagan said the shipment is expected to arrive in South Korea today. The Philippines, which remains free of avian influenza, has been negotiating with several countries to ship their chicken products. Meanwhile, DA Secretary Proceso Alcala said that the DA is looking to take advantage of the Japan-Philippines Economic Partnership Agreement, under which the Philippines could export pork to Japan at a lower tariff. According to DA Undersecretary for Livestock Jose Reaño, the country will soon start negotiations with Tokyo for pork exports.
|No immediate threat to Indian poultry industry|
[09 June 2015] Although the WTO's appellate body upheld the panel’s report against India, industry players feel there is no immediate threat. GB Sundararajan, Managing Director of Suguna Foods Ltd said that there will not be any immediate impact on the industry as the consumer market in India is largely driven by whole chicken. According to him, in India almost 96% of retail consumption is of live birds and hardly 4-5% of frozen chicken meat. “We may see an impact in about two years,” he said.
|Whiteleg shrimp leads seafood exports for Vietnam|
[09 June 2015] In the first four months of the year whiteleg shrimp remained Vietnam’s main export item despite its 29.3% year-on-year decline in export value. Accounting for almost 60% of Vietnam’s total shrimp exports, whiteleg shrimp export was valued at USD 340 million, reported Vietnam Association of Seafood Exporters and Producers. Black tiger shrimp exports, meanwhile, dropped by 31.6% to USD 178.1 million. Vietnam is the world's leading producer of black tiger shrimp with a production of 300,000 tonnes per year. Whiteleg shrimp has been cultivated in different provinces in the country since 2008. According to the association shrimp exports last year reached USD 3.95 billion, up 27% over 2013. Whiteleg shrimp exports doubled the sales of black tiger shrimp to reach USD2.3 billion, up 46.3% over 2013.
|US confident of new market in India|
[09 June 2015] The WTO’s ruling backing exports to India has instilled confidence in the US poultry industry. It will help lower trade barriers and open new markets for US farmers, according to US officials. Welcoming the WTO decision, US Trade Representative Michael Froman in a statement said that this will help eliminate unjustified trade barriers so US farmers can sell high quality US agricultural products to customers around the world. US Secretary of Agriculture Tom Vilsack said that this is a major win for US agriculture, in particular, the US poultry industry.
|De Heus plans for feedmill in Indonesia|
[08 June 2015] Netherland-based De Heus plans to have a feedmill in Java, Indonesia. Jan Cortenbach, Chief Technical Officer of De Heus-Wellhope, told Asian Agribiz that the company hopes to realise the plan within a year. Setting up a new plant and acquisition are options being considered. An acquisition will only push through if there is a good feedmill that meets its requirements and standards. Mr Cortenbach said it plans to produce aqua (shrimp and fish) feed. “Aquaculture is a vibrant sector in Indonesia and offers good potential,” he said. Besides, it will also produce dairy cattle feed. “We have good knowhow in this sector and we want to transfer this to farmers in Indonesia,” he said.
|India loses WTO appeal against US imports|
[08 June 2015] An appellate body of the World Trade Organisation (WTO) has upheld the rule of a WTO panel that India's ban on American poultry product imports was inconsistent with international norms. In January 2015, India filed an appeal with the Dispute Settlement Board of the WTO against the ruling passed by a panel in October 2014. The appellate body also endorsed the panel's finding that India's avian influenza measures violated global norms on the grounds that the prohibition was limited to just one country and not to all imports from any country with avian influenza risk. India will have 12-18 months to implement this ruling, after which the US can begin exports of poultry products to India.
|ADM builds fourth premix plant in China|
[08 June 2015] Archer Daniels Midland Company is building a new feed-premix plant in Zhangzhou, southern China, bringing to four the number of plants in the company’s premix network in the country. “Demand for safe, high-quality animal feed in China is growing, and we are expanding our feed business there to meet that demand,” said Brent Fenton, President, ADM Animal Nutrition. The plant, to be completed in the fourth quarter of 2016, will manufacture a range of premixes that will contain various vitamins and minerals, amino acids such as lysine and threonine, and special feed additives, among other ingredients. It will produce about 30,000 tonnes of premix products per year, which will also provide 80,000 tonnes of additional capacity for the production of complete feeds and concentrates. “This plant will serve Fujian, Guangdong, Guangxi and Hainan,” said Mr Fenton.
Seminar on best farming practices in Indonesia
Onsite report by ARIEF FACHRUDIN
[08 June 2015]
In line with its vision to share knowledge and technical advances to improve the livestock industry, the organisers of Ildex Indonesia held the Best Farmer Practice seminar in Jakarta last week. The event served to promote the show which will be held at JI Expo in Jakarta from October 8-10, said Manuel Madani, VNU International Sales Manager. Ildex Indonesia will focus on feed-to-meat solutions and integrated farming solutions, as well as support international collaboration.
Challenges in the hatchery
The current challenges in the hatchery industry are food safety, animal welfare and sustainability, according to Bouke Hamminga, Pas Reform Director of International Sales and Business Development. The challenges require industry players to have better hygiene, information technology, track & trace and hatchery automation. Mr Hamminga said to help industry players Pas Reform has developed SmartCenterPro that enables hatchery managers to make well-informed decisions for the future refinement and development of incubation programing, hatchery management and maintenance schedules. In addition, the technology supports the hatchery to meet traceability demands of its customers.
Solving on farm problems
Jan Cortenbach, Chief Technical Officer of De Heus-Wellhope, said every farm, even the best ones face problems. But the difference between a good and a bad farm is that the good ones will detect it much earlier and will take the appropriate measures. “Gather the correct information by listening to what the birds tell you. Take time to learn the poultry language, and this can only be done in the poultry house, not in the office,” said Mr Cortenbach. He spoke about the importance of poultry pre-starter feed to stimulate a healthy gut flora. “Early development is important to achieve good results. If weight development is under target, pre-starter feed will offer benefits and is cost effective,” he said.
Shift in current poultry breeding goals
According to Willie Blokvoort, ISA Sales Manager for Indonesia and the Philippines, there is a shift in current poultry breeding goals. In the past the goals were on production efficiency and parent stock efficiency, but now the goals also include product quality and health & welfare. “ISA as a leading layer genetic company is responding to the trend and improving the genetics of our layers,” said Mr Blokvoort. The current breeding goals of ISA are to increase earnings for the egg value chain by delivering excellent products, to produce quality food and to support sustainable operations and improve the welfare of animals," he said.
Common indicators of mycotoxicosis
Representing Biomin, Prof Charles Rangga Tabbu, an expert in pathology from Indonesia’s Gadjah Mada University discussed mycotoxicosis in poultry. According to him, the common indicators of mycotoxicosis are: 1) if a group of chickens that consumed the same feed/ingredients are affected, 2) there is no signs of disease transmission between chickens, 3) antibiotic treatment has little or no effect on the disease, 4) field outbreaks are seasonal and associated with specific feedstuffs, and 5) examination of the suspected feed reveals signs of fungal activity.
Combi tunnel versus pure tunnel
Devan Krishnan, Big Dutchman Technical Sales Advisor-Climate, compared the minimum ventilation of combi tunnel versus pure tunnel. Results from trials (period: from day 1 to day 34) showed that birds raised under the combi tunnel system had better weekly bird weight and FCR. In addition the system saves power and heat. Mr Krishnan said during the trials, the birds were well spread in the house under the combi tunnel system, which in turn resulted in better bird uniformity.
Time to invest in processing
It is undeniable that the popularity of fast food and ready meals has grown in Indonesia, said Rudy Hudin, Country Manager Indonesia of Marel. At the same time, he added, time spent on cooking at home is decreasing. He said in the US, the further processing value is increasing while the whole bird value continues to decrease, “and this trend will also happen in Indonesia.” Looking at this phenomenon, Mr Rudy said poultry producers should invest in processing. “The live bird market is open to steep price fluctuations that limits profits. In the processed/further processed products market, the profit margin is stable and high.” However, he advised producers not to be ‘me too’ players. “We have the technology to help them innovate and generate new products.”
|Vietnam feed companies muscle for bigger market share|
[05 June 2015] Local animal feed producers in Vietnam are keen to grab a larger share of the feed market from their foreign counterparts. According to Tuoitrenews.vn, Masan Group recently announced an ambitious plan to take 50% of the local market share in the next five years. It recently acquired Sam Kim Co Ltd, renaming it Masan Nutri-Science Co Ltd. Masan, now with subsidiaries in Proconco and Anco, has become the second largest company in the local feed market. Hanoi-based Hoa Phat and Hung Vuong in Tien Giang Province of the Mekong Delta are also names to look out for. Hoa Phat has a capacity of 300,000 tonnes per year and aims for a 10% market share in the next five years while Hung Vuong is considering M&A to grow its business. Currently, demand for animal feed in Vietnam is 16mt, worth about USD 6 billion per year, and expected to reach 25-26mt by 2020.
|New feed, hatchery and poultry breeding unit in Puducerry|
[05 June 2015] India’s Rajiv Gandhi Institute of Veterinary Education and Research has launched a new feedmill, and poultry and hatchery unit at Kurumbapet, Puducerry. The mill is expected to roll out up to 6 tonnes of poultry feed on an eight-hour shift. The plant will have a feed grinder, feed mixer, motor control centre and other equipment. The feed will be rolled out in 250kg bags each and will later be sold loose to farmers. The unit will also establish parent stock of the Giriraja breed and a hatchery, to supply chicks of this dual purpose breed of chicken to rural farmers. By supplying poultry feed the institute hopes to help encourage small farmers to take up poultry farming, and provide a sustainable income through the sale of eggs and chicken meat.
|Indonesia still needs imported beef, cattle|
[05 June 2015] Newly elected Director General of Livestock and Animal Health of Indonesia’s Ministry of Agriculture, Prof Muladno said it’s undeniable that the country still needs to import beef and cattle as local supply and demand are not balanced. “Without imports, our local cattle stocks will run out.” Prof Muladno, chose to be realistic about the beef self-sufficiency program. “It’s not easy to reach the target in the near future, it may even take up to 30 years. But to quicken this, we need to import superior breeding cattle from abroad.”
Sneak preview of Asian Poultry Magazine, June 2015
[05 June 2015]
Sunfresh Farm rises on good management and nutrition
In just a few years, Sunfresh Agricultural Ventures, a layer farm in Mindanao, Philippines, more than tripled its size. ISA Q TAN writes that much of the farm’s successes lay on good management and its strong relationship with its nutrition provider.
You cannot sell a percentage!
In an integrated broiler operation, money is only truly made at the back door of the plant when the product is sold in kilograms or pounds to the customer, writes DOMINIC ELFICK. Many integrators today operate a profit centre model to help each department or phase of the production cycle to focus on maximising their potential and profitability.
High farming standards breeds success for quail farmer
William Ho, Lian Wah Hang Farm Pte Ltd’s Managing Director, dispels misconceptions on quail meat and eggs, and gets Singaporeans to add protein variety to their meals, RACHAEL PHILIP writes.
Rohini Minerals to maintain lead with R&D
With a strong R&D division, Rohini Minerals based in South India aims to improve the quality of its poultry feeds and maintain its competitive edge. ARIEF FACHRUDIN also learns that the company embraces modern technology for its feed milling and quality control facilities.
Optimising broiler performance in open-sided housing
In Asia, broilers are still commonly raised in naturally ventilated open-sided housing. The main dilemma is how will the producers in these farms be able to maximize the genetic potential of the current broilers? In this article, RAUL ELIAS LOPEZ discusses some points which may help producers to get the benefit of the improved genetics in open-sided housing.
Reducing feed induced immune response from galacto-mannans in sbm
Feed Induced Immune Response (FIIR) is a recently recognised phenomenon in animal nutrition. The use of enzymes to control this occurrence is likewise a fairly new concept in feed enzyme use explains SARAH CERVANTES-PAHM and MARCO MARTINEZ. β-mannanase enzymes can minimise the metabolisable energy loss caused by FIIR from β-mannans, allowing more energy to be available for growth and performance.
Greater specificity for mycoplasma monitoring
Routine mycoplasma monitoring can help avoid production losses and animal health costs associated with infection, but not all tests are created equal. New studies show that greater test specificity pays report CHAVALIT PIRIYABENJAWAT and YANG ZHAO.
|Thailand’s Sun Group plans new feedmill |
[04 June 2015] Sun Group of Thailand, plans to construct a new feedmill in the next three years, CEO Chamlong Termglinchan told Asian Agribiz. “By 2017 we plan to set up a new feedmill that will be fully automated to reduce reliance on human labour,” he said. The new facility will have a capacity of 300,000 tonnes/year, complementing the existing mill churns out feed production at 500,000 tonnes/year. The new feedmill will have two processing lines and both will be antibiotic-free lines. Sun Group produces around 1 million DOC per week and slaughters around 100,000 birds/day.
|Chicken prices increase due to heatwave |
[04 June 2015] With the death of over 7 million poultry due to the heatwave in India, chicken prices have increased by USD 1.49/kg. Valsan Parameswaran, Secretary of All India Poultry Exporters Association told Asian Agribiz that the increase in price is also attributed to the beef ban imposed by a few states in India. With chicken being the most popular meat in India, consumers are feeling the pinch. However, the onset of the southwest monsoon set to begin in the first week of June is expected to bring some relief to the poultry industry as temperatures will go down.
|Busung Farms upgrades breeder hatchery|
[04 June 2015] South Korea’s Busung Farms Co Ltd has upgraded its Busung breeder hatchery, replacing its previous installation with Pas Reform’s SmartPro single stage incubation for better hatchability and chick quality. The company carries Ross, Arbor Acres and Indian River DOC for its own HapDeok, GoeSan and BaRan breeder farms. South Korea’s poultry sector has experienced steady growth in recent years, with increased parent stock production to meet anticipated growth in demand as poultry is a less expensive alternative to beef and pork.
Grain & Feed Asia Conference in Jakarta, Indonesia
Report by ARIEF FACHRUDIN
[04 June 2015]
Feed wheat use to remain stagnant in 2015/16
World wheat production in 2015 could decline by 1.4% from last year's record output due to uncertainties like El Nino, geopolitical risks and economic conditions, said Mark Smulders, Senior Economist and FAO Representative to Indonesia. “As one of the main wheat producers China could produce a bit more this year. However, higher production levels are expected in the US,” he said. The use of wheat for feed, meanwhile, increased sharply in 2014/15 by 8.5%, but will remain stagnant in 2015/16, and inputs may be down slightly in Asia. “Feed wheat use in China is up 2 million tonnes annually, but the stock is down,” Mr Smulders added.
Canola & dehulled lupin meal as alternative feed ingredients
Asia’s growing animal protein consumption is driving demand for feed grains and protein meal in the region, said Neoh Soon Bin, CEO of Malaysia’s Soon Soon Oilmills. Southeast Asia alone currently produces around 60 million tonnes of animal feed with poultry and pig as the main species. However, Mr Neoh said the region is short of protein meals and relies too much on imported SBM. With this in mind, he said the region needs alternatives. From its research and trials, Soon Soon Oilmills found that canola meal and dehulled lupin meal are the best alternatives as they contain high AME and digestible amino acids.
Pulau Sambu promotes copra meal for local market
Indonesia’s PT Pulau Sambu - Kuala Enok is currently trying to sell its copra meal in the local market. The company has a production facility in Riau, Sumatera and produces coconut milk and oil and the by-product copra meal. “Our copra meal is exported to Korea and they use it for pig feed. Now we are also targeting local markets for poultry and pig feeds,” Kenneth John Macleod, Business Development, told Asian Agribiz on the sidelines of the conference. He said for poultry feed copra meal can be used at around 1-2% as a source of protein and energy.
World coarse grain production to decline by 2.6%
World coarse grain production this year is predicted to decline by 2.6% from last year's record, according to Mark Smulders. The decline is to happen in all regions except Oceania and Asia where it could increase slightly. Mr Smulders said the decline would be due to moderate to severe El Nino challenges that will last until 2015 and will result in low planting.
More food needed for population in 2050
The world population in 2013 reached 7.2 billion, and in 2050 the figure is forecast to increase to 9.6 billion. Mark Smulders said the world population increase means that demand for food will be higher. “People will consume more, especially animal protein sources,” he said. “We have to increase agricultural production by 60% globally, and by 100% in developing countries.” Sources of the increased production could come from yield shifts, intensification and land expansion.
|Thai pig prices rise on drought, disease |
[03 June 2015] Pig prices in Thailand have been rising buoyed by the heat and Porcine Epidemic Diarrhoea (PED), said Surachai Sutthitham, President of the Thai Swine Raisers Association. Prices of live pigs have increased to USD 2.04-2.11/kg from around USD 1.84-1.87/kg in April. Retail price of pork has increased to USD 4.45/kg from around USD 4.09/kg in April. “The drought has slowed down pig growth while PED in several farms, especially in the north-eastern region in the beginning of the year have caused the death of up to 30% of piglets,” he said. Pig and pork prices are expected to decline in the coming rainy season, he added.
|Pacific West wins product innovation award|
[03 June 2015] Malaysia’s Pacific West Oven Baked Fish Fillets clinched the Malaysian Institute of Food Technology Product Innovation Platinum Award 2015 last week, Paul Loo, Pacific West Foods (M) Sdn Bhd Branding Support Executive, told Asian Agribiz. The award recognises Malaysian food processors and manufacturers in their effort towards producing outstanding food products. Judging criteria included its sensory attributes, technological innovation, nutrition and wellness, consumer appeal, packaging, material and design. Pacific West is the premium brand of Golden Fresh. The company sources its raw products from well-managed fisheries and processes them at its world-class facility in Penang, which is capable of processing over 8000 tonnes of frozen value-added seafood products annually.
|Taiwan continues to battle H5N2, H5N8 outbreaks|
[03 June 2015] Taiwan reported four new H5N2 outbreaks and one H5N2 incursion to the World Organization for Animal Health (OIE) on May 29. The country has reported numerous outbreaks of the two viruses on poultry farms over the winter and this spring. The four H5N2 outbreaks affected close to 55,000 while the H5N8 outbreak struck a farm housing 12,000 chickens. In line with Taiwan's standard procedures, farms within 3 km of the affected ones will be under intensified surveillance for three months, officials said.
|Indonesia revitalises idle shrimp ponds|
[03 June 2015] Revitalising idle ponds is one strategy by Indonesia’s Ministry of Fisheries and Marine Affairs this year to increase shrimp production. The ministry has targeted this year’s shrimp production to reach 785,900 tonnes, an increase of 32% over last year. Recently the ministry revitalised around 13,000ha of idle ponds in North Mamuju, West Sulawesi. “This region has potential to increase national shrimp production. With good farming practices supported with good fries and feed, we can harvest 6 tonnes/ha/year,” said Slamet Soebjakto, Director General of Aquaculture.
|South Korea to scrap tariffs for shrimp from Vietnam|
[03 June 2015] South Korea will eliminate tariffs for seven types of shrimp imported from Vietnam beginning next year. The quota for 2016 is 10,000 tonnes. By 2020, Vietnam will be permitted to export 15,000 tonnes of shrimp annually without the imposition of import duties. Currently, Vietnam can only ship 2500 tonnes without import taxes under the Asean Korean FTA. According to the Vietnam Association of Seafood Exporters and Producers, the South Korea market is the fifth largest consumer of Vietnamese shrimp, after the US, Japan, EU and China. Vietnam also overtook China to become the largest shrimp supplier to the republic last year when it imported 27,791 tonnes from Vietnam.
|East Kalimantan to import BX cattle from Australia|
[03 June 2015] Indonesia’s East Kalimantan province plans to import 11,000 Brahman crossbred (BX) cattle from Australia. The local government recently held a meeting with several Australian business institutions such as the Northern Territory Cattlemen’s Association and the Northern Territory Livestock Exporters Association. Dadang Sudarya, Head of Animal Husbandry Agency in the province, said Australia has paid close attention to the cattle specifications requested by the East Kalimantan government, such as the requirement that 40% of the cattle are pregnant. “Once the cattle arrive, we will distribute them to farmer groups to support the cattle-oil palm integration program and the cattle integration program in former coal mining areas,” he said.
|Sido Agung inaugurates fifth mill |
[02 June 2015] Indonesia’s Sido Agung Agro Prima last week inaugurated its new feedmill in Cirebon, West Java. The mill, which will produce mainly poultry feed, is the company’s fifth. It will service markets in Banten, Jakarta, West Java and Central Java. Bram Sebastian, Operational Director, said the mill cost the company around USD 49 million. “It has an installed capacity of 300,000 tonnes/year. With the addition of this new mill, our total capacity has increased to 900,000 tonnes/year,” Mr Bram said, adding that the other four feedmills are located in Sidoarjo and Pasuruan in East Java, Makassar in South Sulawesi and Magelang in Central Java.
|Avian Flu challenging global trade |
[02 June 2015] The global trade streams and poultry prices are expected to remain under pressure for the remainder of 2015, due to the impact of avian flu stated Rabobank in its Poultry Quarterly Q2 report. The long-term impact may be significant due to several trade bans. "Poultry industry fundamentals are facing meaningful headwinds with stronger than expected feed prices due to a strong US dollar, increased competition from falling pork prices and restrictions on trade," says Rabobank animal protein analyst Nan-Dirk Mulder. "Prices for whole chicken, leg quarters and chicken feet are declining further, while breast meat prices remain relatively strong." The report stated that many countries in Asia, including China, who have implemented restrictions on trade on breeding stock might be affected by low supply next year due to expected future shortages in local breeding value chains.
|Indonesian poultry stocks back to prospective |
[02 June 2015] In the face of school holidays and Ramadhan, the stocks of Indonesian poultry companies are back to prospective status. Taye Shim, Research Head of KDB Daewoo Securities, said during the period poultry products consumption will escalate. “We have seen the price of poultry products such as chicken and eggs reverting to normal. So this is the right time for investors to back the poultry sector,” he said. Besides, Mr Taye also sees clear income visibility of the sector due to the increase in selling prices and production volumes in the next two to three months. Poultry companies that are listed in Indonesia’s Stock Exchange are Charoen Pokphand Indonesia, Japfa Comfeed Indonesia, Malindo Feedmill and Sierad Produce.
|Canada detains corn imports from India|
[02 June 2015] The Canadian Food Inspection Agency has detained corn shipments from India after the agency found high levels of aflatoxin, a toxic element linked to various diseases. In a notice, the agency informed that this measure was necessary to prevent contamination of livestock feed and to protect Canadian livestock and public health. The agency will detain all incoming shipments of corn from India, including organic corn, intended for use as livestock feed until it has been tested for aflatoxins. “Importers must sample the imported corn upon arrival in Canada and provide test results to the agency,” the notice said.
|Altor and Goldman Sachs to acquire Hamlet Protein|
[02 June 2015] Altor Fund IV and Goldman Sachs Merchant Banking Division are partnering to acquire the majority of Hamlet Protein from Polaris Private Equity and the founder of the company, Ole K Hansen. Hamlet Protein, a global provider of soy-based protein solutions used in high value-add animal feed for young animals, services more than 50 countries from its two production facilities in Horsens, Denmark and Findlay, Ohio. Søren Munch, CEO of Hamlet Protein said: “With the strong support of Altor and Goldman Sachs Merchant Banking Division we are uniquely positioned to accelerate the development and growth of Hamlet Protein and better service our customers and partners globally.”
|Malaysia exports frozen chicken to Japan|
[01 June 2015] Malaysia has resumed shipping frozen poultry meat to Japan. “On April 1 three containers of frozen chicken meat was shipped to Japan from one processor in Perak,” Dr Kamarudin Md Isa, Deputy Director General (Veterinary Health), Department of Veterinary Services, Malaysia, told Asian Agribiz. “There are a total of 13 processors from the states of Perak, Selangor, Negeri Sembilan and Malacca who are able to export to Japan. They are in the process of finding their own importers in Japan.” He said Japan has agreed to import poultry from Malaysia because the country has been free from bird flu disease since 2007. Japan is also satisfied with the compartmentalisation practice where Newcastle disease is concerned. “The import requirements are stringent in Japan. The country wants quality and safe food. Japan is also developing its halal market in the light of the 2020 Olympic Games.”
|Heat waves claim 7 million birds in India|
[01 June 2015] An unprecedented heat wave in Telangana and Andhra Pradesh states in India led to the death of about 7 million birds last week. G Ranjith Reddy, President of Telangana Poultry Breeders Association told Asian Agribiz that the poultry industry has incurred losses to the tune of USD 16 million because of the weather. According to him, temperatures touched 49 degree Celsius in some parts of these states paralysing normality. “This has come as a shock to the poultry industry in this region, which is recovering from an avian influenza outbreak,” he said.
|Fast Food Indonesia optimistic of 12% growth in Q2|
[01 June 2015] Fast Food Indonesia’s income in Q1 2015 did not reach the growth target of 7-10%. The operator of KFC in Indonesia only recorded around USD 76 million or an increase of 3.4% compared to the same period last year. Director Justinus Dalimin Juwono said the income growth slowed down due to the weak purchasing power caused by currency depreciation and raw material price increase. “However we are optimistic that income in Q2 2015 will escalate by 10-12% led by school holidays and Ramadhan,” he said. Mr Justinus revealed that in Q2 the company will open 12 new outlets in Jabodetabek, Central Java, East Java and Sulawesi. Meanwhile in Q1 it opened 13 new outlets in the same regions. Mr Justinus also said that the company plans to improve its online order & home delivery system.
Brighter days for pork industry in SEA/China
[01 June 2015]
Weather, diseases, costs continue to weigh on the pig industries in Southeast Asia and China, but brighter days might be in the offing for producers. Read this as well as a comprehensive report in Asian Pork Magazine this June
Prices to remain stable
Farm prices of hogs and retail prices of pork in the Philippines have remained stable since the beginning of the year, and despite the expected drop in consumption in the third quarter when the rainy season sets in, prices will likely remain stable. Edwin Chen, President of the Pork Producers Federation of the Philippines, told Asian Agribiz that the current rate at which traders are now buying live pigs might mean a tighter supply in the third quarter. Even the supply of culled sows and oversized pigs is down. “This could mean that despite lower demand during this period, we may not see prices reducing,” he said.
Hot weather pulls down supply
The hot summer weather that has led to lower pig weights and a decline in overall pork supply in Thailand. Coupled with farmers’ earlier bouts with PEDv and PRRS, this has kept farm prices of pigs steady at a “fair level,” Surachai Sutthitham, President of the Swine Raiser Association of Thailand told Asian Agribiz. The onset of the rainy season, however, is expected to improve farm conditions and animal performance. Meanwhile, pig farmers in northeast Thailand say prices are likely to remain steady and may even increase in the next 3-4 months, boosting demand for commercial piglets.
Festivals to push up pig demand in Indonesia
Indonesian pig producers can look forward to a better second half thanks to festivals that are happening in various parts of the country. In Bali, the Galungan festival in June/July is expected to push up demand for pigs, Phaithoon N Na Ayudhaya, Pig Specialist of Charoen Pokphand Indonesia told Asian Agribiz. Similarly, pig farmers in North Sulawesi, who suffered low prices last year, reduced their sow population. Thus the province now has insufficient pork and prices have since gone up. Mr Phaithoon predicted prices would continue to go up in the province, especially from June to September, when traditional ceremonies requiring large numbers of pigs, are celebrated. “Each ceremony usually requires more than 1000 pigs, so this is a great opportunity for farmers and I see that they there are already prepared for this.”
Some relief for China
After falling almost continuously since September 2014, China’s pork price reversed course in late March, offering some relief to hard-pressed farmers facing persistent negative margins. The USDA office in Beijing forecast an 8% reduction in China’s pig production this year. Lower feed prices are expected in 2015 going forward, partly due to reduced demand from a smaller herd, which with the rising pork price may allow producers to make some money this year. However, prices also rose for a period last year, but never reached profitable levels for producers. “It’s the same trend as last year, but the curve (of price increases) is not as steep as last year,” Michael Ellermann, a partner at Carthage MHJ (CMHJ), a swine consultancy based in Suzhou, China told Asian Agribiz, adding that price will likely “follow the same pattern as last year, and peak in August or September.
Vietnam pig producers to maintain profitability
While prices of live pigs have declined in Q2 this year, Vietnamese pig farmers remain profitable as lower feed prices have helped keep production costs down, a report by Rabobank said. Meanwhile, the Ministry of Agriculture and Rural Development forecast a 2.4% increase in output this year to 3.37 million tonnes. Despite the challenges it still faces, Vietnam’s pig industry is in transition and is witnessing investment in genetics in order to improve farm-level efficiencies. Rabobank said that despite the growth in production, the supply/demand situation in the country remains in a balance.
|Saha Farms creditors approve rehabilitation plan|
[29 May 2015] Major creditors of Thailand’s indebted poultry integrator Saha Farm voted earlier this week to approve the rehabilitation plan proposed by its assigned debt restructuring planner Ernst and Young Corporate Services Limited Thailand. Up to 67% of the creditors including banks, farmers, suppliers, employees and others, and 76% of creditors of its subsidiary Golden Line Business approved the plan. The rehabilitation will be completed when Saha Farms and Golden Line Business return monies owed to their creditors within seven and 10 years respectively. The Bankruptcy Court agreed in July last year that Saha Farms and Golden Line Business enter into the rehabilitation process. Its major creditor Krung Thai Bank extended a loan for cash flow, allowing the company to resume operation at much smaller level.
|QL Resources declares strong Q4 results|
[29 May 2015] Malaysia’s QL Resources Bhd announced that its net profit for the fourth quarter ended March 31 2015 jumped 21% year-on-year to USD 12.83 million. It attributed this to higher contribution from its integrated livestock farming and marine products, which surged 53% and 41% respectively. Revenue rose 9% year-on-year to USD 181.73 million, boosted by sales of its marine products. For the full year the company’s net profit increased 19% year-on-year to USD 52.33 million. Revenue increased 10% to USD 741. 58 million. Segmentally its marine products division contributed 51.4% to the group’s pre-tax profit followed by integrated livestock farming (43.3%) and palm oil plantation (5.3%).
|Indonesia to develop mariculture|
[29 May 2015] Indonesia’s Ministry of Fisheries and Marine Affairs has said that besides freshwater fish production, it is also focusing on increasing the production of mariculture as its commodities have huge potential in the global market. “Mariculture products have high economic value as they have immense global market potential and good export prospects,” said Slamet Soebjakto, Director General of Aquaculture, adding that the government needs to develop fishery zoning to facilitate the development of mariculture. He explained that fish commodities to be developed in the zoning system will be adjusted to the local conditions. Fish species will include snapper, grouper, pomfret, starfish and abalone.
Asian Agribiz regional dairy update
[29 May 2015]
Amul to have 1000 more franchisees by 2015
Indian dairy major Amul plans on having 1000 more franchisees by December 2015 to expand its distribution network. R S Sodhi, Managing Director of Gujarat Cooperative Milk Marketing Federation (GCMMF) that markets Amul said exclusive retail outlets is the only way to showcase their entire range of products. "Franchising is a logical method of expanding,” he said. Amul has been expanding its franchise since 2001 and has 8000 franchisee run and 125 company owned units in more than 2000 towns in India.
Dairy equipment market estimated at USD10b
The global dairy processing equipment market is projected to reach USD 10.4 billion by 2019, growing at a CAGR of 5.3% from 2014 to 2019. According to the Dairy Processing Equipment Market by Equipment Type, Application and by Region - Global Trends and Forecasts to 2019, the market is growing in accordance with the increasing demand for dairy products and the technological advancements in dairy processing equipment. It is driven by the rise in consumption of dairy products and particularly the increase in demand for milk powders and protein concentrates. The market for dairy processing equipment in Asia Pacific is estimated to be the fastest-growing market from 2014 to 2019. In 2013, the region emerged the largest dairy processing equipment market, dominated by Australia. It lists IDMC Limited from India as a key player in the industry among Switzerland’s Tetra Laval, Sweden’s Alfa Laval, US’ SPX Corporation and Germany’s GEA Group.
Pakistan may increase import duty on milk powder
Pakistan is considering increasing the import duty on milk powder and whey powder to protect domestic dairy players. At present, 20% duty is imposed on these products from SAARC (South Asian Association for Regional Cooperation) countries and 25% on imports from other countries. Based on representation by the Ministry of National Food Security and Research, the federal Finance Ministry is expected to increase the import duty in the upcoming budget. According to local industry players, dumping of dry milk powder from around the world has affected dairy farmers and milk production.
Parag to focus on value added dairy products
Indian dairy player Parag Milk Foods Pvt Ltd will focus on value added products such as cheese and ghee to fuel its growth. Both accounted for nearly half of the company's turnover in the last financial year, which was about USD 235 million. Chairman of Parag Milk Foods Devendra Shah said that the company is also betting on the dairy beverages space which has an estimated market size of about USD 861 million and is growing at 25% in volume terms every year. Parag Milk Foods recently launched new varieties of dairy beverages.
Dutch Lady’s Q1 profit down 26%
Malaysia’s Dutch Lady Milk Industries Bhd registered a 26.2% year-on-year drop in net profit to USD 4.688 million for its first quarter ended March 31 2015 on lower revenue and increased marketing investments to support its relaunch activities. Revenue for the quarter fell 13.5% to USD 54.12 million. In a filing with Bursa Malaysia the dairy products manufacturer said its business environment is expected to remain competitive against the backdrop of less robust consumer confidence. “Despite the ongoing business challenge for 2015 the company remains committed to leveraging the strength of the Dutch Lady brand with the introduction of the Dutch Lady Purefarm range and the relaunch of Dutch Lady Childrens' Formula Milk.
Amul to support Mongolia’s dairy sector
Gujarat Cooperative Milk Marketing Federation (GCMMF) is all set to support the dairy sector in Mongolia to develop an effective milk procurement system. According to an agreement between GCMMF and the Institute of Technology of Mongolia, Amul will work with Mongolia’s cooperative sector and milk processors to restructure the dairy industry. Amul will help develop training programs on management of bulk milk cooling systems, clean milk production and animal health.
|TGM will start test run at new plant in June |
[28 May 2015] Thailand’s meat processor Thai German Meat Product Co will start test runs at its new meat processing plant next month, Managing Director Chantana Puapattanakajorn told Asian Agribiz. The new plant, located at the same site of the existing facility, will produce varieties of ham at a capacity of 50 tonnes per day, she said. “Initially, this plant will produce only hams. Sausages and other products will be added later,” she said.
|GoGo Franks grows to 19 outlets in Indonesia |
[28 May 2015] Singapore’s GoGo Franks, a premium sausage retail outlet, will open its 18th and 19th outlet, the first two for Jakarta, in Indonesia by next month, Jean Lee, Managing Director of Carona Holdings Pte Ltd, told Asian Agribiz. The company opened its Indonesian arm in 2013 with the launch of Carona Indo, which consists of two entities – production and retail. “Indonesia is our future and I think we can grow quickly,” she said. Late last year the plant opened its second line to cope with growing orders. “We started out with 500kg/day. Now we are doing 3000kg/day in two eight-hour shifts.” Plans are already in the pipeline to build a second plant in Indonesia.
|CAB Cakaran profit declines 24% |
[28 May 2015] Malaysian poultry integrator CAB Cakaran Corp Bhd’s reported a net profit decline of 24% to USD 687,000 in its second quarter ended March 31 2015, from the previous quarter, despite a 27.2% increase in revenue. Revenue came in at USD 57.28 million. In a filling with Bursa Malaysia the company attributed the higher revenue to better sales by its integrated poultry farming and processing division. It recorded an increase in the production of chicks and broilers as well as higher demand for feed from contract farmers. The division recorded a lower profit of USD 1.93 million due to the lower average selling price of broilers. On prospects, the Group expects its farming and processing division to improve on expectations of higher average selling price of broilers and stable price of feeds.
|DMC aims for integration|
[28 May 2015] Dimanika Megatama Citra (DMC), a PS breeder in Surabaya, Indonesia aims to be an integrated poultry company. Last year the company put its new 15,000 tonne/month poultry feedmill in East Java into operation. The capacity of this plant is expandable to 50,000 tonnes/month. It is also expanding its broiler contract farming business in Java, Sumatera, Kalimantan and Sulawesi. In addition, it also has a chicken slaughterhouse in Pasuruan, East Java that is supported with commercial broiler farms to ensure the supply of live bird for processing.
|PISAgro allocates funds to corn farmers |
[28 May 2015] PISAgro, a multiplayer platform initiated by Indonesia’s government to improve agri production, is ready to allocate around USD 2.3 million for 2000 corn farmers in Bima and Dompu regencies in West Nusa Tenggara. The number of farmers in this year’s project is 10 times more than the previous year. Syngenta Indonesia that is leading the project targets to increase corn productivity in the regencies by 7.2 tonnes/ha, or an increase of 20% of the current average corn productivity. Lim JungLee, President Director of Syngenta Indonesia, said the project is aimed at self-sufficiency in corn. Developed under the micro-financing model, the project plans to partner with 5 million farmers by 2020.
|Russia interested in poultry exports to India|
[28 May 2015] Russia, which is actively seeking export markets for its poultry products has expressed interest in poultry exports to India. Deputy Head of Russia’s Federal Service for Veterinary and Phytosanitary Surveillance (Rosselkhoznadzor) Alexei Alexeenko said this is part of its plan to diversify exports. “There is demand for poultry in India and our Indian partners have shown interest,” he said. Russia exported 57,000 tonnes of poultry in 2014, 5% more than in 2013. Russian Agricultural Ministry expects that export of poultry will increase fourfold within the next five years to about 200,000 tonnes.
|Indonesia’s DMC setting up new breeding farm|
[27 May 2015] Dimanika Megatama Citra (DMC) based in Surabaya, Indonesia will set up a new broiler PS breeding farm in Jombang, East Java to meet growing demand for its broiler DOC. Yudi Martadi, DMC General Manager, told Asian Agribiz the company’s existing two broiler farms in Jombang and Malang produce 400,000-500,000 DOC/week. “With the new farm, we may produce around 700,000-750,000 DOC/week,” Mr Yudi said, adding that the company raises Cobb and Indian River strains.
|Pilmico eyes further expansion in Vietnam|
[27 May 2015] Pilmico Foods Corp, which is engaged in flour milling, feed production and pig production, is looking to expand further in Vietnam by acquiring another feed company there. In a report by BusinessWorld, Pilmico President and CEO Sabin Aboitiz said that they are currently considering three companies in northern Vietnam and that they hope something will materialise over the next two months. Last year, the company bought a 70% stake in Vin Hoan 1 Feed, one of the largest aqua feed producers in Vietnam.
|Nuscience opens new plant in Tianjin|
[27 May 2015] The Nuscience Group officiated its new plant in Tianjin, China, yesterday. The USD 16.16 million plant, with a production capacity of 10,000 tonnes per month, replaces its old plant in Central Teda, or Tianjin Economic Technological Development Area. With the new plant, production capacity has been increased and new production techniques have been added in order to answer to the growing market demand in China, said a Nuscience press release. “With this investment, Nuscience clearly states that it is ready for growth in China,” said Patrick Keereman, CEO of Nuscience Group.
Preview of Asian Pork Magazine, June/July 2015
[27 May 2015]
Brighter days await region’s pig industries
Despite some concerns, swine raisers in Southeast Asia and China may have something to smile about in the second half of this year, the ASIAN-AGRIBIZ team reports.
Breeding to stabilise Cambodia’s pig market
The pork industry in Cambodia is still seeing heavy imports, both legal and illegal. M’s Pig ACMC (Cambodia) Co Ltd aims to reduce imports and motivate local producers to get back to farming with its brand of Yorkshire-imported fast-growing pig, HE Mong Reththy tells RACHAEL PHILIP.
Quickgrow Genetics aims for more productive breeders
The Philippines hosts some leading global pig genetics companies and well-respected local breeding companies. Yet for many small and medium size raisers, access to quality pigs remains an obstacle. One rising genetics company in Northern Philippines has taken the task to hand, writes ISA Q TAN, and is now building up its operations to bring quality pigs to those who most need them.
Nutritional management of the modern sow – part 1
Just because you have hyper prolific genetics does not guarantee that the sow will perform in a hyper prolific manner in either the short or long term. MEGAN EDWARDS examines the findings of recent research into the nutritional management of modern sows with the objective of maximising reproduction and productivity. Part one of this two-part article will consider feeding from mating to entry to the farrowing facility.
Counteract health challenges with MOS
Post-weaning diarrhoea is usually associated with the proliferation of different enterotoxigenic Escherichia coli (ETEC) strains in the gastrointestinal tract. Yeast cell wall products naturally stimulate growth and immunity and can be an important tool to reduce prophylactic antibiotic treatments in weaning and sow diets, which are commonly used to reduce bacterial health challenges. Birgit Keimer and Katharina Göettke write that it is essential to compare the quality of these products, especially their pathogen binding capacity.
Improving sow energy utilisation with bioemulsifiers
Lactating sow nutrition is a huge challenge for farmers and nutritionists, because during the lactation period sows are always in negative energy balance, and very often feed intake is not sufficient to cover nutrients requirement, particularly for modern (hyper prolific) sow strains. In recent years, there has been increasing interest in the use of emulsifiers in swine diets. Lysophospholipids are biological emulsifiers highly effective in enhancing the absorption of oils and fats from feed by the animal. Lysophospholipids enhance nutrient absorption, which leads to improved animal performance explain Lakshmibai Vasanthakumari Bindhu and Mauro di Benedetto.
|Sarawak PFA hopes for more exports|
[26 May 2015] In the last weeks of 2014 Singapore’s Agri-Food and Veterinary Authority gave its final approval to the Sarawak Pig Farming Area (PFA) in east Malaysia to export frozen meat to the country. The first consignment arrived in Singapore in February and, by the end of 2015, Director Dr Ng Siew Thiam told Asian Agribiz that it hopes have exported a total of about 1200 tonnes of frozen pork. The PFA slaughterhouse has a capacity to slaughter 120 pigs/hour, and a cutting plant to process 50 pigs/hour. PFA’s long-term goal is to export 800 carcasses/day besides setting aside some carcasses for the local market. The processing facility was built according to export standards.
|InVivo aims for key position in pet food market|
[26 May 2015] The pet food market in Indonesia, which has a volume of 15,000-20,000 tonnes/year, is dominated by two big brands that control around 50% of the market share. Alain Symoens, Country Manager Indonesia of InVivo NSA, said the company through its subsidiary PT Guyovital involved in pet food trading hopes to register as a key player. “If in the next 10 years the market doubles to 40,000 tonnes, we will have a 10-20% market share,” Mr Symoens told Asian Agribiz. PT Guyovital sells premium cat and dog food imported from Brazil and Mexico. However in the near future the company plans to import more from InVivo NSA’s production facility in Vietnam. “We recently added a new pet food line at our facility in Vietnam which will supply to Southeast Asia and also China and India,” Mr Symoens said.
|China-Brazil beef deal threatens Australia|
[26 May 2015] A trade and investment deal between China and Brazil is expected to win Brazilian farmers up to USD 500 million a year in extra beef exports, raising fears Australian producers could lose out, reported Reuters. Brazil’s Agriculture Ministry said China was lifting a three-year-old ban related to mad cow disease. Before the 2012 ban, Brazil exported USD 1.5 billion of beef a year to China. Jed Matz, Cattle Council of Australia Chief Executive, said: “We are confident the free trade deal we have with China will give us a comparative advantage. We believe our reputation for food safety and reliability stands us in good stead.”
|Pakistan producers slam government's tax move|
[26 May 2015] The Pakistan poultry industry is decrying the government's move in withdrawing the zero-rated status for value-added, processed, frozen and packed poultry products. In a country where malnutrition is common, there is increasing focus on making the chicken industry modern and efficient. But with this withdrawal, the cost of production has gone up by PKR 20-40 depending on the product. Pakistan Poultry Association Chairman Khalil Sattar says the government has compounded the problem by imposing an import duty of 5-30% plus sales tax on ingredients used by local producers of value-added chicken. [USD 1 = PKR 100]
|Scanner to detect marbling in cattle |
[26 May 2015] Researchers at the National Institute of Advanced Industrial Science and Technology in Japan said they have developed a new in-vivo scanner to detect the level of marbling in cattle. “This is a world first,” Yoshito Nakashima, Chief Senior Researcher at the institute said. According to Mr Nakashima, it only takes about 10 seconds for the scanner to determine the level of fat inside the cattle. It can only check an area about three centimeters deep from the skin, but observing the cattle’s trapezius muscle is usually enough to provide the relevant assessment, he said.
|VPF Group to start further processing plant in November|
[25 May 2015] Thailand's VPF Group, based in Chiang Mai, hopes to put its first further processing plant into operation in November, Marketing and Sales Director Vanichaya Jeeraprapapong told Asian Agribiz. “The plant will has a production capacity of 30 tonnes per month initially and can be expanded if required,” she said. At present, the company slaughters around 600-700 pigs per day at its existing primary processing facility which also involves cutting, special cutting, portioning, cold storage and packing. The company is embarking on retail and the restaurant business, with two retail shops and a restaurant.
|Robina Farms inaugurates poultry biogas facility|
[25 May 2015] Robina Farms, one of the country’s biggest poultry and livestock producers, inaugurated on Friday its poultry biogas facility, the first of its kind in the country. The facility, located in the company’s farm complex in Naic, Cavite, powers the operation of the commercial layer farm. The facility was initially conceptualised to address waste disposal concerns, Francisco Castillo of Robina Farms told Asian Agribiz at the inauguration, but an added benefit is the savings on energy. Mr Castillo said that based on their computation, the company can save more than USD 11,000 per month on electricity costs while the facility is running at 16 hours a day and this could go up to more than USD 15,000 per month once they run 24 hours. The biogas facility, which includes two mixers, two digesters, a scrubber and a 250kVa generator set, cost around USD 540,000 to build and has been operating for more than a month.
|Dagsap records significant growth|
[25 May 2015] Dagsap Endura Eatore, a leading meat processors in Indonesia, last year recorded 39% growth. Director Ishana Mahisa told Asian Agribiz this was due to its good sales performance mainly in traditional markets with its nuggets, sausages and meatballs. “We plan to increase our market share in modern markets this year since our production capacity is ready to meet growing demand,” Mr Ishana said. Dagsap will also expand its distribution network to five regions namely Lampung in Sumatera, Semarang in Central Java, Madiun and Jember in East Java, and Purwakarta in West Java. “We want to be closer to our customers. We will set up cold storage facilities equipped with reefer trucks,” said Mr Ishana. To achieve better productivity and cost efficiency, Dagsap this year decided to automate the packaging lines of its plants with technology from Japan and Taiwan. “Labour and electricity costs are increasing. With automated packaging line, we need only one operator to control the process,” said Mr Ishana.
|Mavin Foods to tap export market by end 2016 |
[25 May 2015] Vietnam’s Mavin Foods Joint Venture Company hopes to export its processed products by Q4, 2016. The plant came into operation last September and has been producing more than 60 kinds of sausages, hams, pate, bacon and salami at the Dong Van Industrial Zone. “We hope to export sausages and cold cuts to Cambodia and the Philippines,” Nguyen Anh Tuan, Deputy General Director of Mavin told Asian Agribiz. Mavin Foods, a USD 15 million Vietnamese joint investment company with Australia, has the distinction of being Vietnam’s only farm-to-table food processor. A subsidiary of Austfeed Vietnam, which owns feedmills, veterinary pharmaceutical plant, GGP breeding swine farm and contract farms in Vietnam, Mavin uses meat from its own supply chain to produce high quality products. In the early stages, Mr Tuan said, exports will only make up 3-5% of its production capacity.
|Nafas Food Processing looks for suppliers in Pakistan|
[25 May 2015] Malaysia’s Nafas Food Processing and Marketing, a subsidiary of state-owned farmers’ organisation Nafas, confirmed that the group made a trip to Pakistan in April to source for alternative raw material, namely beef, for processing in Malaysia. To date it has no concrete plans to set up a processing plant in Pakistan to further process chicken meat to be exported back into the country, as reported in the media, but is open to the option. Nafas Food Processing and Marketing has a processing plant in Penang, Malaysia, capable of processing 1500 birds per hour. The company manufactures ready-to-cook products such as chicken satay, chicken nuggets and chicken pop.
|Odisha government launches Chicken Fresh outlet|
[25 May 2015] In a first of its kind initiative by a government in India, the Odisha state government has opened an outlet called Chicken Fresh in Bhubaneshwar to provide processed hygienic meat to consumers. Fisheries and Animal Resources Development Secretary Bishnupada Sethi said that the government will open more such outlets if there is good response from consumers. The Odisha government is already operating two fish outlets, Chilka Fresh, which has been well received by the consumers. The government is also exploring the possibility of a tie up with Venky's India Limited to provide ready to eat chicken products to consumers at an affordable price.
|Thai DOC output at risk with bans of GP & PS imports |
[22 May 2015] Thailand’s broiler industry is at risk of a sharp drop in production in 2016 following a ban of GP and PS imports from nine countries due to bird flu concerns. DOC production may fall to only 10 million chicks per week next year, from 32 million chicks/week at present if the bans continue to the end of this year, said Prajit Udnoon, Executive Vice President for poultry business of Charoen Pokphand Foods (CPF). Thailand banned imports from the US, Canada, UK, Netherland, Germany, Hungary, Italy, Japan and South Korea. The Department of Livestock Development is considering allowing imports from the UK and the Netherland who have confirmed they are free from the bird flu, said Watcharapong Suddee, head of the poultry section at the Bureau of Disease Control and Veterinary Services.
|Mavin Foods is ready for Phase 2|
[22 May 2015] Vietnam’s Mavin Foods Joint Venture Company has been producing more than 60 kinds of products of sausages, hams, pate, bacon and salami. It will launch Phase 2 of its expansion plan in Q1 2016. The plant currently consumes around 15-16 tonnes of meat per day and churns outs 10 tonnes of processed products per day. In Phase 2 production capacity will double. “We will get new machines from Germany,” Nguyen Anh Tuan, Deputy General Director of Mavin told Asian Agribiz. “We want to install fully-automated machines that will help us reduce human resource, and keep hygiene levels high. “We are hoping for an average revenue of USD 25 million per year and it is expected that profit will be recorded from next year onwards.”
|AVA allows boneless and bone-in beef cuts from US|
[22 May 2015] Singapore’s AVA has extended the range of US beef products for export to Singapore to include boneless and bone-in beef from cattle of all ages, processed beef products and offal. Previously it had only allowed boneless cuts from cattle less than 30 months old. Import of beef cuts must be sourced from establishments on the US Department of Agriculture’s list. Its Agricultural Marketing Service Beef Export Verification program for Singapore, stipulates the products should come from cattle born, raised, and slaughtered in the US. Beef and beef products derived from calves under 12 months of age imported from Canada for direct slaughter are also eligible, while products from cattle imported from Canada for direct slaughter can only be boneless cuts from animals less than 30 months of age.
|Proposal to sell new shares to Lay Hong’s Yap family rejected at EGM|
[22 May 2015] At an EGM, shareholders of Malaysian poultry company Lay Hong Bhd rejected a proposal to sell new shares to Managing Director Yap Hoong Chai, Executive Directors Yeap Weng Hong and Yap Chor How, and Non-Executive Director Yeap Fock Hoong. The Yap family, which owns 42.7% of the company, has been fighting a takeover bid by competitor QL Resources Bhd, which owns 38% of Lay Hong, and had previously opposed the company’s plan to place out new shares. “This is normal,” Yap Hoong Chai said, referring to the rejected proposal. He said the company’s relationship with QL Resources was ‘still friendly’. “We are still buying raw materials from QL Resources,” he said. Meanwhile, he added that the company expects to perform better this financial year.
|Vietnam wants to speed up feed checks|
[22 May 2015] Vietnamese feed importers are calling for a change to the system of inspection and quarantine of imported feed raw materials. Cao Duc Phat, Vietnam’s Minister of Agriculture and Rural Development, at a meeting with stakeholders, agreed that the time and cost involved in inspecting imported animal feed should be reduced. Tran Thanh Quang, Director General of Quang Minh Corporation, said plant quarantine and animal feed quality inspections affect animal feed importers. Storage fees at ports during are one of the biggest issues as quarantine procedures and quality inspection can take up to 10 days. Mr Phat has ordered the Animal Husbandry and Plant Protection Departments to hold talks with businesses later this month to find ways to minimise the time and costs. The proposals should be submitted to the minister before May 30, he said.
Trouw Nutrition's Modern poultry in the Philippines
Report by ISA Q TAN
[22 May 2015]
Ensuring feed intake crucial in production
No matter how good a feed formulation is, it will be for naught if the chicken is unable to take it in and absorb the nutrients, nutrition consultant Chris Cobacha told participants at a seminar organised by Trouw Nutrition yesterday in the Philippines titled ‘Feeding the Future: Modern Poultry Nutrition in the Philippines.’ He said management intervention is required to achieve maximum feed intake, and this includeS giving the birds a comfortable environment to minimise heat stress, especially in growing conditions like those in the country. He also discussed nutrition, noting the need to maximise the use of traditional feed ingredients while using non-traditional raw materials. He remarked that producers can no longer afford to waste resources so it is important to use various technologies to improve nutrient utilisation as well as implement more accurate feed formulation strategies.
Managing heat stress with betaine
Heat stress is a major concern in tropical countries like the Philippines because it leads to poor performance, which lowers farm income. There are several ways to address this, and one way is by adding betaine in feed. Dr Edita Zandee, Global Product Manager for Trouw Nutrition, explained that betaine is an osmolyte and methyl donor and is a highly effective anti-heat stress molecule. She presented trials which showed that adding betaine in the broiler diet had positive effects during heat stress, as it led to significant improvement in ADG, FCR and percentage of breast meat.
|VPF expects completion of pig farm expansion in 2016 |
[21 May 2015] VPF Group, an integrate pig farming and processing operator based in Thailand’s northern province of Chiang Mai, hopes to complete its pig farm expansion in 2016 when it will reach a full production capacity at 300,000-350,000 finishers per year, President Yutthapong Jeeraprapapong told Asian Agribiz during a visit to the farm site. “This is our second phase of expansion which started in 2014 and it is now 70% completed,” he said. At present, VPF Group raises 12,000 sows at two farm sites.
|Sarawak starts pork exports to Singapore|
[21 May 2015] Following more than a decade-long ban on pork from Malaysia, the frozen product is back on the shelves in Singapore. The Republic's Agri-Food & Veterinary Authority (AVA) recently approved the import of frozen pork from a slaughterhouse in Sarawak, East Malaysia. The Singapore Straits Times reported that the first consignment arrived in February and, as of April, about 9 tonnes of frozen pork products have been imported. An AVA spokesman said Sarawak's state animal and veterinary public health programs were assessed and inspections were conducted at the pig-farming area and slaughterhouse to ensure that bio-security control measures and hygiene standards meet AVA's requirements.
|Indonesia’s fishery, aquaculture record positive growth|
[21 May 2015] Indonesia’s Ministry of Fisheries and Marine Affairs reported that the country’s fishery and aquaculture sector recorded positive growth in Q1. Catch fish production increased by 4.69% to 1.4 million tonnes with a value of USD 2.2 billion in Q1. This increase was mainly due to the successful initiative on cracking down on illegal fishing. Aquaculture production, meanwhile, reached 2.92 million tonnes with a value of USD 1.6 billion in Q1. Commodities that recorded high growth in this sector were tilapia production of 149,000 tonnes and milkfish production of 137,000 tonnes.
Asian feedmills bet on technology
Preview of a special feedmill construction report in Asian Feed Magazine June/July 2015
[21 May 2015]
Poultry feed rules the roost
Across Asia feedmilling capacity expansion for poultry feed is growing at a faster pace compared to feed for other species. However, feed for other species is also on the rise. In China capacity expansion is seen for pig feed while in India dairy cattle and fish feeds are growing faster. Feed millers in Asia want improved and, in some cases superior, technology to achieve operational cost efficiency and better finished product quality and hygiene. The June/July issue of the Asian Feed Magazine, tracks the growth of feeedmilling companies in a comprehensive annual industry report.
More premix plants
Premix plants are becoming a more prominent feature in Asia. Their growth is spear headed by international companies such as Nuscience Group’s new facility in China and Trouw Nutrition’s new plant in Indonesia, while Evonik Industries in Singapore and CJ Bio Malaysia in Malaysia are keen to capture the sizable regional market for methionine.
Quest for operational cost efficiency
Feed millers in Asia want improved and, in some cases superior, technology to achieve operational cost efficiency and better finished product quality and hygiene. A quick survey among feed milling technology providers revealed that the Asian market is now looking for more advanced feed milling technology with higher capacity. Olaf Naehrig, Senior Area Manager of Germany-based Kahl, concurred. He said feed quality is becoming an important issue in the region because of the stiff competition between feed millers, and new technologies can help them reach that goal.
Bigger capacity to curb rising cost
Liu Guangdao, President Director of International Business Development, Muyang, told Asian Agribiz that the average capacity at the moment in Asia for poultry and aqua feed is 20 tonnes/hour and 5-10 tonnes/hour, respectively. However, due to rising production costs, millers are looking for bigger capacity. “I think feed millers in Asia will look at bigger machines and higher capacity as they are looking for lower operating costs and hygienic operations,” Jos van de Berg, Area Manager Asia, Van Aarsen, said.
Indonesia to record smaller growth
While feed milling technology providers talk about the impressive growth in Asia as a whole, some markets, however, are slowing down, and not registering the high number of investments seen two or three years ago. In Indonesia, for instance, issues in 2014 such as the oversupply of live birds and broiler DOC, and currency depreciation, persists. Chairman of the Indonesian Feed Millers Association, Sudirman FX, said several companies have decided to postpone their expansion plans. “Some six or seven feedmills have put on hold their growth plans due to the current situation,” he said. A Harwanto, Executive Vice President, Head of Feed Division of Japfa Comfeed Indonesia, told Asian Agribiz the company will not set up new feedmills this year but is refurbishing its old plants.
Disease and demand impact investments
India’s Telangana state recently witnessed a H5N1 avian influenza outbreak which could have caused a USD 24 million loss. This could affect investments in the feed industry. The Philippines, meanwhile, paints a different story. Players in the country told Asian Agribiz that big and medium-sized feedmills this year are expanding spurred by the growth in the poultry and pig sectors. This will continue to raise demand for feed.
|InVivo plans for new feedmill in Sulawesi|
[20 May 2015] Within the next five years, InVivo NSA plans to set up a new feedmill in Sulawesi, eastern Indonesia. Alain Symoens, Country Manager Indonesia, told Asian Agribiz that they are evaluating the location for the plant. The considerations are to be close to the port like many feed millers did in Makassar, South Sulawesi, or close to customers, or close to corn production centres. “Indonesia’s President Joko Widodo said in 2017 the country should not import corn. This means that the market would be complete feed or concentrate. If the market is concentrate where farmers have their own corn, we should build the plant between the port and the farmers,” said Mr Symoens. “But it is also important to know what the future would be in the region,” he added.
|Philippine hog, chicken production up in Q1|
[20 May 2015] Philippine hog production is up 3.8%, while chicken output rose by 5.3% in the first quarter of this year, a report by the Philippine Statistics Authority (PSA) showed. Hog production for the first three months was at 499,890 tonnes from 481,710 tonnes the previous year. Although average farm price for live pigs for the period slipped to USD 2.20 from USD 2.22 a year ago, the higher volume still led to a 2.9% increase in the sector’s production value to USD 1.1 billion in Q1. Meanwhile chicken meat production was also up by 5.3% to 414,180 tonnes from 393,410 tonnes the previous year. Similarly, despite a 3.4% drop in average farm prices, the higher chicken meat output pulled up industry production value by 1.7% to USD 782.18 million in Q1.
|Vietnam to buy more seafood from Indonesia|
[20 May 2015] Vietnam is looking to increase its fisheries imports from Indonesia. “We imported USD 8.90 million worth of seafood in the first four months of this year, almost half of the USD 17.32 million fisheries products that we imported from Indonesia in the same period in 2014,” Vietnam Embassy First Secretary Trung Truong Xuan said. According to the General Department of Vietnam Customs, last year Indonesia exported USD 43.98 million worth of seafood to Vietnam. Vietnam, could become a major market for Indonesia’s fisheries products. “Vietnam has been buying shrimp from Ecuador and India. Now they want our shrimp but we don’t have enough stock,” said Thomas Darmawan, Chairman of the Indonesian Fishery Product Processing and Marketing Association.
|Indonesia releases additional cattle import permits|
[20 May 2015] The Indonesian government recently issued additional import permits for 29,000 heads of slaughter cattle in a bid to ensure that sufficient heavy cattle would be available for the critical end of Ramadan and Lebaran period in mid-July. Beef Central reported that exporters have been active in April with over 60,000 feeder cattle delivered to Java and Sumatera. Many of these April deliveries will be ready for slaughter for the festival period. Partogi Pangaribuan, Director General of Foreign Trade, said during the period, “beef demand may reach 60,000 tonnes. Jakarta, Banten and West Java are regions with high demand.”
|Japan’s seafood imports from US escalate|
[20 May 2015] Japan’s seafood imports increased 0.3% year-on-year through March 2015, to about 2.11 million tonnes, according to trade data released by Japanese Customs. Products from the US are gaining market share, 13.7% of overall imports, a 1.4% increase. Compared to the previous year, seafood imports from the US increased by 280,000 tonnes, a 12% jump. A relative scarcity of whitefish in Japanese waters last year added to demand for US products.
|Singapore bans poultry from Nebraska|
[20 May 2015] Singapore’s Agri-food and Veterinarian Authority (AVA) has imposed a temporary restriction on the import of poultry and poultry products from Nebraska, USA due to the avian flu. However, heat-processed poultry products are not affected. Meanwhile, Singapore lifted restrictions due to H5N8 HPAI from the Netherlands. An AVA notice said the outbreaks in the Netherlands have been resolved and no further outbreak of the disease has been detected. Restrictions were imposed in 2013 and 2014. Restrictions remains for Barneveld, Gelderland and Tzummarum and Friesland where outbreaks of H7 LPAI in layer farms were seen and in Milheeze, Noord-Brabant, where the H5N2 LPAI were seen.
|Hypor supplies breeder pigs to Sri Lanka|
[19 May 2015] Pig genetics company Hypor has exported 32 breeder pigs to the National Livestock Development Board (NLDB) of Sri Lanka. Jacques Sips, General Manager, Asia of Hypor told Asian Agribiz that the animals were carefully selected in Canada in order to comply with the local breeding goals set by the NLDB. “The breeders will be housed at the farm of NLDB where they will contribute to an improved genetic profile of the swine population in Sri Lanka,” he said. The 32 breeder pigs exported to Sri Lanka in February this year include Large white, Landrace and Magnus Duroc breeds.
|GPMT, regions eye corn production boost|
[19 May 2015] The Indonesian Feed Millers Association (GPMT) and government leaders from corn-producing regions have expressed commitment to the Agriculture Ministry's food production goals. An MoU was signed by GPMT and 101 regents from corn-producing regencies across the country. The 101 regents, head regencies with a total area of 700,000ha of corn fields, while the GMPT represents 62 animal feed manufacturers, including Cargill Indonesia, Charoen Pokphand Indonesia and Japfa Comfeed Indonesia. “We are still importing 3 million tonnes of corn each year to fill the gap between supply and demand. That is why we are aiming to achieve self-sufficiency,” Agriculture Minister Amran Sulaiman said.
|Jollibee profit up 10.2% in Q1|
[19 May 2015] Jollibee Foods Corp (JFC) of the Philippines has reported a 10.2% rise in income in the first quarter of this year, backed by a 9.5% growth in system wide sales. The company said foreign sales grew 8.1%. According to CFO Ysmael Baysa, “overall business in the Philippines remained strong, with improving profitability in China and robust growth in Vietnam and in some parts of the Middle East.” As of the first quarter this year, JFC has a network of 2951 stores, 2335 of which are in the Philippines and 616 overseas. Mr Baysa said the company is “looking forward to improving raw material price trends and higher growth rate of its store network in the months ahead.”
|Indonesia’s fisheries exports down 15% in Q1|
[19 May 2015] Indonesia’s Ministry of Fisheries and Marine Affairs reported that its exports of fisheries dropped by 15% to USD 970 million in the first quarter of this year. Saut Hutagalung, Director General of Fish Processing and Marketing, said the total fisheries export volume declined to 246,000 tonnes during the period from 263,624 tonnes during the same period in 2014. Value also declined to USD 970 million from USD 1.06 billion. Last year, Indonesia’s total fisheries exports reached USD 4.63 billion, below the government’s target of USD 5.65 billion.
|Newcastle Disease behind bird deaths in Hyderabad|
[19 May 2015] The Animal Husbandry Department in Telangana state in India has found that Newcastle Disease is behind the recent deaths of over 15,000 poultry in Hyderabad. Y Thirupathaiah, Additional Director of the Animal Husbandry Department said that tests on samples are still underway and avian influenza can be ruled out only after confirmation by Bhopal-based High Security Animal Disease Laboratory (HSADL). G Ranjith Reddy, President of Telangana Poultry Breeders' Association commented that it would be helpful for the industry if authorities declare the cause soon as the delay could adversely affect the poultry industry.
|Vietnam must increase value-addition, branding of food products|
[19 May 2015] Vietnamese firms should supply quality products and increase export of farm produce. Deputy Minister of Industry and Trade Do Thang Hai said the agricultural sector not only met local needs and exported as well. Agricultural exports had increased to more than USD 30 billion last year. “However, limited processing capacity, a lack of brands and exports via intermediaries have resulted in low earnings,” he said. Pham Minh Duc, Senior Economist at the World Bank in Vietnam said local firms could expand through the Asean Economic Community, the Vietnam-EU free trade agreement, and the Trans-Pacific Partnership. He urged companies to increase value-addition and improve quality management to meet food safety demands.
|Thai feed industry expects growth|
[18 May 2015] The Thai feed industry is forecast to continue to grow this year thanks to the growing livestock industry, according to Pornsilp Patcharintanakul, President, Thai Feed Mills Association. Feed consumption demand this year is expected to grow by 7% to total 18 million tonnes, Mr Pornsilp said. Continued growth in the livestock industry spurred by the growth in chicken exports, is said to be driving the expansion, he added. Thailand is expected to export 600,000 tonnes of chicken meat worth around USD 2.48 billion this year, up from 579,466 tonnes valued at USD 2.36 billion, he said.
|New H7N9 cases in China|
[18 May 2015] China last week notified the World Health Organization (WHO) of six more H7N9 avian influenza infections, two of them fatal. The victims’ ages range from 3-67. Four of them had been exposed to poultry environments. Two were from Zhejiang while the rest were from Anhui, Fujian, Jiangsu, and Shanghai. Compared with the past 2 months, the number of H7N9 infections is decreasing in China, the WHO said.
|Government ensures adequate supplies ahead of Ramadan|
[18 May 2015] Indonesia’s Coordinating Economic Minister Sofyan Djalil has said the supply of staple foods is adequate ahead of the fasting month of Ramadan and Idul Fitri celebration, lessening worries on inflationary pressures that usually occur during the festivities. The Central Statistics Agency (BPS) said that currently the price of staple foods have begun to decline. However, anticipative measures, including preparing adequate food supplies, still needed to be carried out. An official of BPS said the fluctuating price of beef, sugar, red chilies, and fuel, have the potential to contribute to inflation in May. However, the supplies of several food commodities, such as cooking oil, shallots, milk and wheat are still adequate.
Asian Agribiz regional dairy update
[18 May 2015]
Amul eyes USD 3.8 billion turnover in 2015-16
Indian dairy major Amul is expecting an 18% increase in turnover of USD 3.8 billion in 2015-16 on the back of rising consumption. Gujarat Co-operative Milk Marketing Federation (GCMMF) Managing Director R S Sodhi said that the company expects milk procurement to increase by 13-14% while prices of products are likely to increase 4-5% compared to 2014-15. GCMMF that sells dairy products under the Amul brand posted a revenue of 3.2 billion in the 2014-15 financial year. According to Mr Sodhi, the company is witnessing higher consumption of dairy products with more availability of branded and packaged products.
China’s infant milk formula market to taper off in next 5 years
After more than a decade of rapid expansion, Rabobank expects growth rates in China’s infant milk formula market to taper off between 2015 and 2020. In its latest report, Rabobank said China’s infant milk formula market is expected to see growth but at a much slower rate. Sandy Chen, Senior Industry Analyst said the market grew at a 16% CAGR by volume between 2000 and 2013. International players have captured the largest share of this growth. “We estimate that China’s infant milk formula volume growth will halve by 2020, growing by a CAGR of 7-8%, driven largely by income growth and improving distribution networks into lower-tier cities and rural areas,” said Ms Chen. Also, a number of Chinese dairy companies have invested in new onshore and offshore capacity expansion projects which will be coming onstream by 2016.
Kwality Ltd plans USD 16 million dairy unit
Kwality Ltd, a leading dairy product manufacturer in North India has entered into a memorandum of understanding with the government of Jharkhand to set up a dairy unit at Ranchi with an investment of around USD 16 million. The company said in a filing before the Bombay Stock Exchange (BSE) that it would also invest in skills upgrading and training of youth. Kwality’s Dairy Best brand is considered to be one of the fastest growing private sector dairy companies in northern India and has various milk processing plants with a capacity to handle around 3 million litres of milk per day.
Amul cautions government about dumping of dairy products
The Gujarat Cooperative Milk Marketing Federation (GCMMF) in India, which markets its products under the Amul brand has requested the Indian government not to allow other countries to dump their dairy products in India under the Free Trade Agreement (FTA). Expressing his concern, GCMMF Managing Director R S Sodhi said that policy makers should ensure that dairy products are completely kept out especially since the European Union, New Zealand and Australia are under pressure to sell their surplus products as they have been hit by a major meltdown in global dairy products market recently.
|Thai GP imports in a balance|
[15 May 2015] Kukrit Areepakorn, Manager of the Thai Broiler Processing Exporters Association, told Asian Agribiz that due to farm expansion, Thailand imported around 1 million GP and PS last year. However, due to the ban on GP from the US, this year imports will be lower and the lower figure will see a decline in production in the second half of the year. “GP imports will definitely decline. But the quantum of reduction is yet to be assessed,” he said.
|Cargill’s corn milling plant due in October|
[15 May 2015] Cargill India’s new corn milling plant that is coming up in Karnataka state in India is set to become operational this October, said Cargill India Pvt Ltd Chairman Siraj A Chaudhry. The USD 95 million plant with an annual capacity of 300,000 tonnes will produce modified starch for the processed food and pharma industries. The company is also setting up a cattle feed plant at Bathinda in Punjab state with an investment of about USD 16 million, due for operations in March 2016. Cargill India is also looking to acquire popular brands to extend its reach in India.
|Betagro's Cambodia feedmill to start operations|
[15 May 2015] Betagro Group of Thailand will start operations at its feedmill in Cambodia later this month. Narongchai Srisantisaeng, Executive Vice President and Chief Operating Officer of the group visited the plant to check on the readiness of the facility, construction of which commenced in June 2013. The feedmill, located in the Phnom Penh Special Economic Zone, has an initial production capacity of 6000 tonnes per month of pig and poultry feeds for local customers in the provinces of Phnom Penh, Battambang, Kampong Chhnang and others.
|Indonesia initiates fish feed projects|
[15 May 2015] Indonesia’s Ministry of Fisheries and Marine Affairs has said that it will realise its independent fish feed project this September. Slamet Soebjakto, Director General of Aquaculture, said the ministry has allocated around USD 12 million for the project. “At the moment we are identifying locations to build small-scale feedmills in fish production centres in Indonesia. We are encouraging fish farmers to form groups that will manage the plants and will help with training,” explained Mr Slamet. He said the ministry has tasked Perindo, a state-owned company involved in fishery, to initiate a large-scale feedmill which will be set up in Surabaya, East Java.
|Australia expands beef market share in Japan|
[15 May 2015] Australia is set to strengthen its dominance over the US as Japan’s biggest beef supplier as a trade deal drives shipments toward a four-year high. Imports of Australian chilled beef rose 8% last quarter and may reach the highest since 2011 while shipments from the US has dropped to the lowest in three years, according to Tatsuo Iwama, Executive Director of Japan Meat Traders Association, as quoted by Bloomberg. The rising inflow of Australian meat to Japan’s USD 2.6 billion beef market is the result of decreasing tariffs triggered by a bilateral agreement that took effect in January, he said. “Lower duties for Australian products are attractive to Japanese meat importers and beneficial to local consumers,” Mr Iwama said.
|Currency depreciation impacts Thai chicken exports |
[14 May 2015] Thailand’s chicken exporters are facing a major challenge due to low export prices, Kukrit Areepakorn, Manager of the Thai Broiler Processing Exporters Association told Asian Agribiz. He attributed this to currency depreciation adding that the decline amounted to about 10% over last year to around USD 2900 to USD 3000 per tonne. For major buyer Japan, the Yen has declined markedly while Russia, has taken a much lower volume than earlier expected due to the weakening ruble, Mr Kukrit explained. Russia has imported only around 100 tonnes so far this year while Thailand expected orders of around 8000-10,000 tonnes. That expected volume is not likely to materialise this year, Mr Kukrit said.
|Soon Soon to reproduce lupin meal next month|
[14 May 2015] Malaysia’s Soon Soon Oilmill’s, hopes to start producing lupin meal again next month. It was first launched two years ago but production ceased as it was not able to find a consistent supplier. “We have found other sources and are doing contract growing in Australia,” Dr Neoh Soon Bin, Managing Director of the Soon Soon Group, told Asian Agribiz. Late last year the company launched a processing facility in Penang, which manufactures high efficient protein meals such as Soon Soon High Efficiency HiFat Canola Meal and Soon Soon High Efficiency HiPro 50 SBM, which has a minimum protein content of 49%. It’s Soon Soon Dehulled Pre-emulsified Full Fat Lupin Meal has an amino acid profile similar to soybean meal. “This product can be used up to 15% in feed rations. It contains no trypsin inhibitor and is low in phytate and antigenic protein,” he said.
|Asia may face GP shortage if US bird flu persists|
[14 May 2015] The H5N2 highly pathogenic avian influenza outbreaks in the US could affect poultry production in Asia if the situation prolongs. “If (the outbreak) continues for a long time, say until the end of the year, it could affect production in Asia at the end of next year due to shortage of imported GP,” Gordon Butland, Director at G&S AgriConsulting Co, told Asian Agribiz. Imports will continue from some European countries and Australia but the capacity will not be enough to fulfil demand. “We are hoping that, once summer sets in, the problem (of bird flu outbreaks due to migratory birds) will be resolved,” Mr Butland said.
|Indonesia’s corn imports predicted to escalate|
[14 May 2015] Until May Indonesia has imported around 1.2 million tonnes of corn for animal feed. This figure is almost the same as the same period of last year. Sudirman FX, Chairman of the Indonesian Feed Millers Association, predicted that corn imports by mid-year may increase by 50% since local corn harvests in several provinces has ended. “Corn harvests in several regions in Sumatera and Java have ended. Now only two regions, namely West Nusa Tenggara and Makassar in South Sulawesi, will soon enter the harvesting period,” said Mr Sudirman. “West Nusa Tenggara may produce around 300,000 tonnes while Makassar around 3 million tonnes, but only 25% of that we can be accessed.”
|Cargill plans animal feed plant in Uttar Pradesh|
[14 May 2015] Cargill India, which started selling its animal and dairy feed products in Uttar Pradesh state in India last year is mulling setting up an animal feed unit in the state. Cargill India Chairman Siraj A Chaudhry said that the company has surpassed its target by almost 40% in Uttar Pradesh. The company is eyeing 600 tonnes in monthly sales of animal feed in this state and is expected to set up a unit after building capacity. According to him, since Uttar Pradesh is predominantly agrarian there is large potential for business in the dairy and poultry sectors.
|Association protests government decision on beef imports|
[14 May 2015] Indonesia’s decision to reopen the import of secondary meat and offal to stabilise the price of beef during Ramadhan and only allow PT Berdikari to import has invited protests from business players. PT Berdikari is a state-owned company involved in cattle breeding, feedlot and beef processing and retailing. Thomas Sembiring, Executive Director of the Indonesian Meat Importers Association, said: “We have been in this industry for more than 30 years and have developed our network and distribution but, are not allowed to import. This could lead to a monopoly.” Mr Thomas is also concerned that PT Berdikari will resell the meat to importers, and this will raise the price at consumer level. According to the Ministry of Trade data and survey results by universities, beef demand in the country this year is predicted to reach more than 600,000 tonnes.
|Sneha Farms to commission new processing plant |
[13 May 2015] India’s Sneha Farms based in Hyderabad is expected to commission its new chicken processing plant in Telangana state by end this year. D Varun Reddy, Director, Sneha Farms told Asian Agribiz that the 6000 birds/hour processing plant will be India’s largest chicken processing plant and is expandable to 12,000 birds/hour. “We have invested USD 15.5 million for this project, which also includes a 2000 tonnes cold storage facility,” Mr Reddy said. Equipment for the new plant is being supplied by Marel and Sneha Farms is expected to leverage its presence in Telangana and Andhra Pradesh with the commissioning of this plant.
|Higher tariff on pork jowl sought|
[13 May 2015] The Philippine Department of Agriculture (DA) is calling for higher tariffs on imported frozen pork jowl or neck cuts, saying these are premium meat cuts. DA Undersecretary Jose Reaño said pork jowl and neck cuts are currently lumped with offal and are only charged a 5% duty. Should the Tariff Commission approve the proposal, pork jowl and neck cuts will be included under the minimum access volume scheme and will be levied a 35% tariff. Reacting to concerns that higher tariffs would bring up prices, Mr Reaño countered that local producers can easily increase production to meet any increase in demand.
|Indonesia aims to produce 700,000t shrimp|
[13 May 2015] Indonesia’s Ministry of Fisheries and Marine Affairs has said that it aims to increase national shrimp production this year by 700,000 tonnes or a 24.2% increase over last year. Of the figure, the government targets to produce 500,000 tonnes of vannamei and 200,000 tonnes of black tiger prawns. To achieve the target, the government will reactivate idle shrimp ponds in Java, Kalimantan and Aceh. Slamet Soebjakto, Director General of Aquaculture, said: “Shrimp has been an important commodity for Indonesia. Around 70% of the production is exported to the US, Europe, Japan and China. We focus heavily on quality and are committed on ‘zero antibiotics’ in farming.”
Feed ingredient profiles and formulation seminar in Kuala Lumpur, Malaysia
Report by RACHAEL PHILIP
[13 May 2015]
Things to consider before buying alternative feed material
There are limited sources of good quality soybean meal (sbm) so producers turn to alternative feed ingredients. According to Dr Budi Tangendjaja, Technical Consultant, US Grain Council, feed producers must consider certain factors before they purchase these. “They must look at the stability and the variability of the product and consider the consistency of the supplier, the product’s anti-nutritional factors as well as moulds and mycotoxins,” he said. Using DDGS as an example, he urged feedmillers to consider the price of the product, its nutritional content as well as the digestibility and palatability of the product. “Producers must also find out about the processing operation and the equipment at the feedmill. This will contribute to the quality of the product.”
Soon Soon uses special processing method
Malaysia’s Soon Soon Oilmills Sdn Bhd’s new processing facility, launched late last year in Prai Industrial Estate, Penang, manufactures high efficient protein meals. The plant, capable of processing 5000 tonnes of seed per month, is expected to reach full capacity within a month or two, Neoh Soon Bin, Managing Director for Soon Soon Oilmill’s parent company, Soon Soon Group, told Asian Agribiz. The mill’s star products include High Efficiency Dehulled Full Fat sbm and, High Efficiency HiFat Canola Meal. “Our sbm is well received. This is because we use a special processing method. We are now applying this processing method to other ingredients such as peas as lupin to get consistent high quality,” said Dr Neoh.
Canola meal a good substitute for sbm
Canola meal is highly synergistic with sbm making the ingredient a good substitute. Malaysia’s Soon Soon Oilmills Sdn Bhd’s, one of the two crushers in the country, said its canola meal is produced from double zero canola seed. This means it is low in erucic acid and glucosiolates. Canola meal is different from other protein ingredients because it is a non-solvent extract product high in oil and with moderate protein. It is also high in methionine and threonine leading to cost savings in formulation. “Canola meal can be used at an inclusion rate of 5-15% for starters and growers, and at 10-15% for layers. It can be used at 6% for starter pig and 12% for grower and finisher pigs,” said Dr Neoh.
|San Miguel Pure Foods income up 7% |
[12 May 2015] San Miguel Pure Foods Company Inc (SMPFCI) posted strong first quarter results, with consolidated revenues reaching USD 563.3 million, up 4% year on year, and its net income topping USD 20.4 million, a 7% uptick from a year ago. The company attributed the strong performance to higher volumes and better selling prices and the strong performance of its core brands. Its Agro-Industrial businesses, riding on the back of its feeds business, posted a combined revenue growth of 4%. Although pork prices remained stable during the review period, the glut in the poultry market led to a slowdown for the poultry and meats business.
|Indonesia to increase aquaculture production |
[12 May 2015] Indonesia is aiming to up its aquaculture production in 2015 from 14.5 million tonnes to some 17.91 million tonnes, reported Antara News. Slamet Soebjakto, Director General of Aquaculture of the Ministry of Fisheries and Marine Affairs, said that the country plans to boost its aquaculture production by developing the potential of fresh, brackish and sea water farming. “With hard work and cooperation with neighbouring countries, we are optimistic the target can be achieved,” Mr Slamet said.
|PPA urges zero rating for poultry processing|
[12 May 2015] Pakistan Poultry Association (PPA) has urged the Federal Commerce Ministry for restoration of zero rating for the poultry industry to promote poultry processing. PPA Central Chairman Ahmed Wasim said that withdrawal of zero rating has increased the cost of processed chicken and value added poultry products. “Zero rating will not just promote poultry processing but will also bring stability in the prices and create more products for export,” he said. Pointing out that zero rating has helped the industries worldwide, Mr Ahmed Wasim said that it will also provide a competitive environment that will boost the quality.
|Modern International to open 50 new 7-Eleven outlets in Jakarta|
[12 May 2015] Although Indonesia’s economic growth is slowing down, Modern International, the operator of 7-Eleven in Indonesia, plans to open 50 new outlets this year. Tina Novita, Investor Relation Manager, said the new outlets will be in and around Jakarta. One outlet will cost the company around USD 152,000-228,000. By the end of December 2014, the company had 187 outlets in Jakarta.
|Pakistan withdraws increase in quarantine rates|
[12 May 2015] After persistent demand from meat exporters particularly from the poultry sector, the Pakistan government has withdrawn the raise in quarantine rates. The Ministry of National Food and Research increased quarantine rates on April 24, which according to Pakistan Poultry Association (PPA) would deal a blow to the industry. Dr Ehsan ul Haq, Director, Animal Quarantine Department in a statement said that the government has withdrawn the increase as international competition was too intense in some segments and the fee hike could hit sales.
|Chicken oversupply to continue|
[11 May 2015] The current rise in the farm price of chicken in the Philippines does not mean there is no longer an oversupply, Elias Jose Inciong, President of the United Broiler Raisers Association told Asian Agribiz. He noted that inventory of frozen chicken remains high at about 21000 tonnes. Normally farm prices go up during the summer season, when hot growing conditions extend the growing cycle or lead to smaller birds. However because of the high inventory of frozen chicken, prices have not picked up as they should have. Industry observers also point out that based on the number of broiler breeders currently in place, the potential production capacity is high and the oversupply situation is expected to extend throughout the rest of the year.
|CP Foods to double shrimp output from Vietnam|
[11 May 2015] Charoen Pokphand Foods (CP Foods) plans to double its shrimp production from Vietnam in 2015. Last year CPF produced some 6000 tonnes of finished products from its two plants in Vietnam. In 2015, the target is to produce 10,000-12,000 tonnes, reported Undercurrent News. CP Foods set up the second factory in Vietnam early last year, in Hue, through its CP Pokphand (CPP) subsidiary. Its first plant is in Dong Nai, while the company’s pangasius factory is in Ben Tre. The big drop in production seen in Thailand due to early mortality syndrome to around 200,000 tonnes in 2014, from a peak of 650,000 tonnes, is part of the rationale for the expansion in Vietnam. Although selling to the European market was part of the reason for the plants in Vietnam, demand is much stronger from Asia. “We are selling more to China and South Korea,” said a CP Foods executive.
|China refuses to drop nationwide ban on US poultry|
[11 May 2015] China has refused to drop its nationwide ban on US poultry imports due to Avian influenza. US Secretary of Agriculture Tom Vilsack asked Chinese Minister of Agriculture Han Changfu to limit its ban to US regions that have actually been hit by HPAI. Mr Han said Chinese law required a nationwide ban, according to media reports, although in the past China has imposed regional bans. Three Midwestern US states declared emergencies after an outbreak of H5N2 on turkey and layer farms, but so far it has not affected broiler production in the Eastern US. The Chinese poultry industry is suffering from overproduction and low prices, and China banned all US imports last December. In his conversation with Vilsack, Mr Han also brought up the US ban on imports of Chinese processed poultry, a sore point with Chinese trade negotiators who believe the ban is unjustified.
AI Update from China
[11 May 2015]
Flu season winding down, but new infections persists
Although the winter bird flu season is winding down in China, Central China's Hubei Province recently confirmed its first human infection with the H7N9 strain, according to the provincial health commission. The commission said a 50-year-old poultry trader and butcher from Luotian County developed symptoms after contact with infected live chickens. The victim was reported in stable condition and the county has closed live markets, culled infected birds and boosted patient monitoring at hospitals. The World Health Organisation reports that case numbers have declined in the last two months, but the H7N9 strain has infected more than 640 people and caused more than 220 deaths in China since it broke out in late 2013.
Few stalls resume live chicken sales in Shanghai
Shanghai’s winter ban on selling live chicken in wet markets officially ended on April 30, but a survey of several wet markets showed that few dealers have returned to the business. Dealers told Asian Agribiz that permit and inspection requirements are now extremely tight, and complained that they lost money during the winter months, when they were forced to stop selling live birds. Shanghai banned live chicken sales from January 1 to April 30, one of a number of bans on live chicken sales in cities and provinces around China. Some cities want to enact permanent bans and are encouraging development of slaughter and cold chain logistics capacities that would make live sales unnecessary, but aficionados of live chicken say the taste of chilled chicken is not the same.
Seahisun Chairman: Poultry slump temporary setback
The slump in the poultry industry due to avian influenza and safety issues is only temporary, according to Seahisun Group Chairman Jin Jun. “In the last 12 years, this is not the first time the market has faced problems,” Mr Jin said in an interview with Asian Agribiz. Some producers may be hurt, but the best producers will survive and improve their operations, Mr Jin said. Safety has become a major issue for consumers, and the industry needs to face up to the issue, improve safety and develop innovative products for consumers. “From the long view, we’ll all be better off because of this,” said Mr Jin.
China vaccine maker to use Finnish technology
China’s largest poultry vaccine manufacturer will use a novel gene transfer technology developed in Finland to research and develop a new vaccine for HPAI. QYH Biotech Company will also use FIT Biotech’s novel vector technology to develop other animal DNA vaccines, according to a joint press release by both companies. QYH is based in Beijing and has four plants in China. FIT Biotech, based in Tampere, Finland, developed a patented gene transportation unit (GTU) focusing on gene therapy and DNA vaccines.
China poultry company’s revenues fall
DaChan (Asia) Limited’s 1Q 2015 revenues fell 13.5% from last year following outbreaks of bird flu and food safety incidents that affected consumer demand, but says it has taken the opportunity to streamline operations and prepare for a rebound. In a filing with the Hong Kong Stock Exchange, the company said its first-quarter turnover in 2015 was more than USD 375 million, down from last year’s USD 430 million. The company said cheap pork prices also affected demand for poultry meat while market prices for DOC increased, squeezing margins. The company said it pruned less reliable contract farmers and took other measures to improve productivity, enabling it to maintain a 5.2% gross profit margin, down only 0.9% from last year.
|Medan Juara expands breeder capacity |
[08 May 2015] Malaysia’s Medan Juara Sdn Bhd, a subsidiary of Pertubuhan Peladang Negeri Johor (PPJN), or Johor State Farmers’ Association, plans to increase its breeder capacity by building three units of closed houses. “Currently the company delivers 4 million DOC per year. With the expansion it hopes to produce 500,000 DOC per month, Mohd Yazid Basirun, Manager, told Asian Agribiz. “Construction works will begin in June in Kota Tinggi, Johor, and the houses are expected to be ready in December this year.” Medan Juara produces DOC for PPJN members. The company also farms 300,000 broilers per month. With the upstream expansion, Medan Juara hopes to farm 450,000 broilers per month. PPJN, meanwhile, also operates a poultry processing plant. The facility, located in Machap, Air Hitam, Johor, is capable of processing 10,000-12,000 birds per day.
|Corruption crackdown affecting China’s grey channel|
[08 May 2015] China’s crackdown on corruption is severely affecting Grey channel meat import volumes, according to traders at the SIAL China 2015 exhibition in Shanghai. International traders from several nations told Asian Agribiz traffic was down for countries and companies that do not have legitimate access to the China market. “The first thing prospective Chinese buyers ask is, are you PRC-approved? If not, they turn away,” one trader said. However, other traders said some beef was still moving through the channel, although at higher prices and with higher risks. China imported more than 800,000 tonnes of Indian beef last year, all of it through the Grey channel. The Chinese government has been cracking down on corruption since 2013, but there was little impact on the Grey channel until early this year.
|Elders to replicate Indonesian supply chain model in Vietnam|
[08 May 2015] Leading Australian agribusiness company Elders confirmed recently that it is moving ahead with plans to establish a feedlot in Vietnam. Elders Chief Executive Officer Mark Allison said it may copy its Indonesian integrated cattle feeding and beef marketing operations for its business in Vietnam. For the Indonesian market, the company does live exports into its own feedlot. It uses its own abattoir and brands its products through top end markets. In Vietnam Elders has placed two additional people. “We are scoping our feedlot development there now,” Mr Allison was quoted as saying in Beef Central.
|Avanti Feeds achieves four star BAP status|
[08 May 2015] India’s Avanti Feeds Limited has become India’s third group to achieve four star Best Aquaculture Practices (BAP) status for shrimp from the Global Aquaculture Alliance. The status denotes that the processing plants, farms, hatcheries and feed mills are BAP certified. “Avanti Feeds has always promoted sustainability and reliability in aquaculture, and, as part of this effort, had its processing plant and feed mills BAP certified,” said the company in a statement. The company achieved this status on confirmation that it sources shrimp from BAP certified farms and BAP certified hatcheries.
|Vietnam authorities seize poultry smuggled from China|
[08 May 2015] Mobile teams, in co-operation with police and market watch inspectors from northern Bac Giang province, have seized 1000 live broilers smuggled from China. The birds were found in Yen Dung District recently when a truck carrying live poultry for examination was stopped. The driver, Luong Dinh Quang, had no documents saying where they came from and was fined USD 92. Soon after this incident the teams caught three more poultry smugglers from China and fined them a total of USD 276. Nearly 3000 birds were also culled.
|Indian food processing sector growing at 8.4%|
[08 May 2015] India’s Union Minister for Food Processing Industries, Harsimrat Kaur Badal declared that the food processing sector in India is one of the fastest growing sectors of the economy with the growth rate of 8.4%. “India has the potential to become a global leader in food processing sector and can close the gap between farmers and consumers,” she said. The sector being one of the major employment intensive segments, the government has permitted 100% foreign direct investment to tap the full potential. The ministry recently sanctioned 17 Mega Food Parks to attract foreign investment which includes 30 new cold chain projects.
|Malaysia’s EggTech launches new products|
[07 May 2015] EggTech Manufacturing Sdn Bhd, Malaysia’s first producer of liquid eggs, is diversifying its portfolio. Since August last year the company has been producing hard-boiled eggs as well as washed and sanitised eggs. “In 2013 we found the liquid egg market was too saturated. We came up with solutions. Now we want to concentrate on half-boiled eggs,” Wong Wing Hong, Director, told Asian Agribiz. Last year it installed a new machine that processes 8000 eggs per hour. Currently it works alternate days producing 8000 hard-boiled eggs per day. “We get about 5% rejects due to cracks. These will be used for our new spin off product, which is egg spread. We learnt that egg sandwiches is a big market in Malaysia,” said Mr Wong. Washed and sanitised eggs, meanwhile, is mostly for the hotel industry. “Washed eggs is a halal requirement. We produce about 5000-6000 of these products per week. This is about 50% of our capacity.”
|Weak rupiah, crowded market hit Japfa's Q1 performance|
[07 May 2015] Japfa Comfeed Indonesia has reported a loss of around USD 16.6 million in the first quarter of this year, on the back of the weaker rupiah and stiff competition. The loss came in stark contrast to the profit of around USD 5.3 million that the company recorded in the same quarter of last year, according to Indonesia Stock Exchange. Although revenue climbed by 5% to around USD 457 million, the cost of goods sold rose by 7% to around USD 409 million through the quarter. The company also suffered a USD 13.6 million loss from foreign exchange rates this year. “The market challenges in Indonesia have persisted longer than expected,” Tan Yong Nang, Chief Executive of Singapore-based parent company Japfa, said in a statement. “We continue to reduce capital expenditure and scale back on DOC production in Indonesia, and focus on improving operational efficiency and profitability.”
|Rabobank opens new office in Singapore|
[07 May 2015] Rabobank opened its new Singapore office at South Beach Tower yesterday to support its expanding presence in the region. The office serves as a regional product and service hub for Singapore, Malaysia, Philippines, Thailand and Vietnam. Marcel van Doremaele, Chief Executive Officer of Rabobank Singapore & Representative Markets, said the new office is an important milestone as it enters a growth phase on the back of increased investment in food and agriculture in Southeast Asia, and with commodity trading and logistics activity in Singapore continuing to grow. “From Singapore, we are well placed to serve the trading, and food and agri community locally, in the region and globally. With the changing needs of our clients, Rabobank remains in a strong position to finance the whole supply chain, linking origins to destinations across the world,” he said.
|Prima Meat Packers expects record profit |
[07 May 2015] Japan’s Prima Meat Packers is expected to post a record pre-tax profit of around USD 83 million for fiscal year ending March 2016, marking a 30% jump from results a year ago. Earnings will improve at subsidiaries that make pre-packaged dishes for convenience stores, and the ham and sausage businesses will expand. The weak yen will likely push up prices of raw materials, but elevated sales will make up for the increase. Fiscal 2014 saw the company hit with ballooning labour costs associated with a new manufacturing facility for convenience store products. But it expects production efficiency to improve in the current fiscal year, where sales are seen up 4% at around USD 2.92 billion.
|Tyson Foods plans to cut antibiotics use |
[07 May 2015] Tyson Foods Inc of the US plans to eliminate the use of human antibiotics in its chicken flocks by September 2017. The meat producer said it is also working to curtail on-farm drug use at its other protein businesses, which include pork and beef. The move marks the latest push by the livestock and food industries to reduce the use of antibiotics crucial to human health in meat production. Tyson's move will help the company meet a deadline recently outlined by McDonald’s Corp for its US restaurants to gradually stop buying chicken raised with human antibiotics over the next two years. Tyson is a leading chicken supplier to McDonald’s. Tyson said it has already stopped using antibiotics in its 35 broiler hatcheries and has cut human antibiotics used to treat its broilers by more than 80% since 2011.
|Global feed additives market to reach USD 30b |
[07 May 2015] The global feed additives market is expected to cross USD 30 billion by 2020 growing at the CAGR of 4.7% during the forecast period 2014-2020, revealed Mordor Intelligence. The market was worth around USD 25 billion in 2013. Amino acids, antibiotics, acidifiers and vitamins account for 45% of the global market. Feed antioxidant is listed as a high growth segment due to efforts of manufacturers to prevent feed spoilage and wastage. The market for this product is expected to grow gradually as more compound feed manufacturers are moving towards value addition to stay ahead of competition. The poultry segment accounted for around 35% of the market share in 2013. The demand for feed additives from the aqua feed industry is expected to be highest during the forecast period as a result of increase in adoption of aquaculture activities in Southeast Asian countries and demand for fish and fish products.
|Thai chicken exports face lower prices|
[06 May 2015] Thai chicken exports is facing a major challenge with a reduction in export price, Kukrit Areepakorn, Manager of the Thai Broiler Processing Exporters Association told Asian Agribiz. He added that currency depreciation has led to a price decline of around 10% from last year to around USD 2900-3000 per tonne. For major buyer Japan, the Yen declined markedly while Russia, the new potential market for Thai chicken exports, saw less volume than earlier expected due to weakening of the ruble and economic difficulties, Mr Kukrit explained. “It appears that buyers bargain for lower prices,” he said. But the losses can be compensated by growing export volume especially to Japan. Thailand targets to exports 600,000 tonnes of chicken in 2015, up from around 579,000 tonnes in 2014, data from the association showed.
|Indonesia’s feed consumption predicted to reach 16.8mt|
[06 May 2015] Indonesian Feed Millers Association has predicted that this year’s feed consumption will reach 16.8 million tonnes from 15 million tonnes last year. According to Chairman Sudirman FX, the consumption increase will see the need for about 6.8 million tonnes of corn. “Last year we imported around 3.1 million tonnes. If the government fails to increase local corn production, we may import 4-5 million tonnes of corn,” said Mr Sudirman. Recently the Ministry of Agriculture declared its cooperation with 101 regents for the corn self-sufficiency program. This program is slated to expand corn-planting by 700,000ha.
|Malaysia’s Singapore Chicken Rice expands in Sabah and Indonesia|
[06 May 2015] Singapore Chicken Rice (SCR), a Malaysian family restaurant based in Sarawak, has expanded its franchise to Sabah and Indonesia. Johnny Leo Lee Boon, General Manager Franchising and Strategic Planning, said SCR has identified six new locations in Sabah as well as Pontianak in Indonesia. “We target to open the six outlets in the next two years,” he said. SCR ventured into the franchise business about three years ago, and increased its restaurants to 22 in Sarawak and Brunei, 10 of which were set up last year and six this year. It also operates 30 company-owned SCR restaurants, mostly in Sarawak. Offering a variety of local and western cuisine with Singapore Chicken Rice as its signature dish, the company is also eyeing Labuan and opportunities in Peninsular Malaysia.
|Aman Feed prepares for IPO|
[06 May 2015] The initial public offering (IPO) of Dhaka based Aman Feed to raise USD 9 million will begin on May 25, according to officials. The public subscription will conclude on June 4. Bangladesh Securities and Exchange Commission approved the IPO proposal of Aman Feed on April 9, this year. The company will offer 60% shares for the general public, 20% for small investors, 10% for non-resident Bangladeshis and 10% for mutual funds and the funds will be used for business expansion and repayment of long term loans among others.
|Nepal bans meat sale over pandemic fears|
[06 May 2015] In the aftermath of the devastating earthquake that hit Nepal last week, the Kathmandu District Administration has appealed to the public not to consume meat items. According to a public statement, this could trigger sanitation and health related complications as several agencies fear the outbreak of a pandemic. “We have urged the locals of Kathmandu not to slaughter animals and birds keeping in view the health condition of the local people,” Kathmandu District Administration Chief Ek Narayan Aryal said. There was a swine flu epidemic in Jajarkot district in western Nepal some time before the earthquake and a few people in Kathmandu were also infected with the bird flu virus.
|Massive cattle exports from Darwin in April|
[06 May 2015] The rush to supply cattle to Indonesia in time for the country’s peak Ramadan/Lebaran demand period in mid-July resulted in a massive cattle shipments in April from the Port of Darwin in Australia, reported Beef Central. The port usually ships an average of 26,000 cattle in April, the first month of the second quarter. However exporters shipped 78,128 heads from the port last month. Of this, 64,800 were delivered to ports in Indonesia, with 8000 shipped to Vietnam and 5400 to the Philippines.
|More pigs harvested due to hot weather|
[05 May 2015] Supply by weight of pigs has declined in Thailand due to the hot weather. “Normally around 40,000 pigs are harvested daily to meet consumption demand. But due to the hot weather that has reduced feed intake and lowered the weight of pigs for market, and additional 4000 pigs have to be harvested daily,” Surachai Sutthitham, President of the Swine Raiser Association of Thailand told Asian Agribiz, adding that this has had an impact on the cost of production. “Continued decline in weight gain and the heat could lead to higher mortality in the herds.” Farmers are trying to allay the impact by spraying water on the pigs and providing them with more water. The farm gate price of live pigs is hovering at fair levels of around USD 2.12-2.15 per kg in the eastern region provinces and around USD 1.96-2.00 in the western region areas.
|South Korea imports from Brazil |
[05 May 2015] Poultry exports by the US has dropped as importing countries including major Asian buyer South Korea has imposed a ban due to the bird flu. “Brazil has taken the US' share in the South Korean market and has exported quite a lot there,” Gordon Butland, Director of G&S AgriConsulting Co, told Asian Agribiz. Kukrit Areepakorn, Thai Broiler Processing Exporters Association Manager, also told Asian Agribiz that despite the demand from South Korea, Thailand will not be able to increase its export volume as South Korea has yet to lift its ban on Thai raw chicken imports.
|CP Prima increases focus on domestic market|
[05 May 2015] Indonesia-based shrimp supplier Central Proteinaprima (CP Prima) is unfettered by the recent drop in global shrimp prices, which has declined by about 26% since the same time last year, according to Undercurrent News. The company has a heavy focus on the US, where about 45-50% of its exports go, while 28% go to Europe, 18% to Japan, and the remaining to Australia, Korea and China. According to Arianto Yohan, Assistant Vice President, the company is more interested in a smaller, albeit more interesting and long term business in the domestic market. “While the plan is to have more geographic coverage, we are seeing more and more restaurants coming up locally," he said.
Regional dairy update
[05 May 2015]
InVivo Indonesia transfers knowledge to milk cooperatives
InVivo Animal Nutrition and Health Indonesia (InVivo Indonesia) is bullish about Indonesia’s dairy potential. Alain Symoens, Country Manager, told Asian Agribiz: “The potential in this sector is big since the current per capita milk consumption is only around 10 litres. But, we learned that farmers need education on farm management and they need quality feed to increase milk production,” he added. To support this as well as grow its business, InVivo Indonesia will work with many milk cooperatives in the country for technology and knowledge transfer. Mr Symoens said the company will also help the cooperatives on feed formulation. “We will analyse their raw material quality and supply them with our quality concentrate,” he said, adding that it has started working with some milk cooperatives in East Java alongside Danone.
Vinamilk receives 400 dairy cows from Australia
The Vietnam Dairy Products Joint Stock Co (Vinamilk) has received 400 out of a total of 1000 dairy cows it plans to import from Australia this month. It will import a further 2000 cows — 400 from Australia and 1600 from the US. Vinamilk is investing in developing its own dairy farms in what is a key long-term strategy to reduce dependence on milk imports amid global price volatility. As of April Vinamilk has nine dairy farms in Tuyen Quang, Thanh Hoa, Nghe An, Binh Dinh, and Lam Dong. Its farms provide the company 650 tonnes of fresh milk daily for processing.
FrieslandCampina Asia wins Gold Stevie Award
FrieslandCampina, one of the world’s top five dairy companies, was named the winner of the Gold Stevie Award for the ‘Corporate Social Responsibility Program of the Year’ at the Asia-Pacific Stevie Awards 2015. The award honours the company’s contribution through its nutrition-education campaign, Drink.Move.Be Strong - the region’s first integrated activation and advocacy campaign that aims to address malnutrition among children in Southeast Asia. The campaign encourages children to drink one glass of milk a day and exercise for one hour a day outdoors. The campaign currently runs in Indonesia, Malaysia, Thailand, Vietnam and the Philippines. Piet Hilarides, COO Consumer Products Asia, said: “We believe that FrieslandCampina can play a critical role in improving the well-being of our consumers in the region through our focus on a multi-stakeholder approach to Corporate Social Responsibility.”
Russia allows import of dairy products from India
Russia’s Rosselkhoznadzor or Federal Service for Veterinary and Phytosanitary Surveillance has allowed import of Indian dairy products. Rosselkhoznadzor has included two Indian companies namely Pune-based Parag Milk Foods Pvt Ltd and Mumbai-based Schreiber Dynamix Dairy Industries Ltd in the register of enterprises licensed to export products to the Russian Federation. Both the companies will supply hard cheese, which has huge demand in Russia and Parag Milk Food is ready to increase its cheese production capacity to cater to the Russian markets. According to Aleksey Alekseenko, Assistant Head of Rosselkhoznadzor, during the next inspection they will visit more Indian dairy product manufacturers.
Chitwan overtakes Kavre as largest milk producer
Chitwan has overtaken Kavre as the largest producer of milk in Nepal recording a daily output of 250,000 litres. According to the Chitwan Milk Producers Cooperatives Association, there are 151 milk cooperatives in the district with a membership of more than 35,000 small farmers. “Out of these cooperatives, 148 are linked to the association,” said Binod Khatiwada, Manager of the association. He added that the association collects milk daily from these cooperatives. The district consumes 35,000 litres daily while the rest is shipped to Kathmandu, Pokhara and Hetauda. Farmers earn USD 0.4 per litre of milk.
|Asia sees impact of US bird flu |
[04 May 2015] The H5N2 avian influenza outbreaks in the US could affect poultry production in Asia if the situation prolongs. “If the outbreak continues up to the end of the year, it could affect production in Asia due to the lack of GP imports,” Gordon Butland, Director of G&S AgriConsulting Co, told Asian Agribiz. Asian countries have banned GP imports from the US due to disease concerns. They continue to import from some European countries and Australia but the capacity is not enough. “We are hoping that with the onset of summer the problem will be resolved but it could resurface in November and December when the weather will see a new wave of migration of wild birds," he said.
|Hot weather causes decline in pig weight in Thailand |
[04 May 2015] Recent hot weather has caused a significant reduction in pig weight per head in Thailand and that would lead to increase in herd mortality and decline in overall supply. “The hot weather has discouraged eating among the pigs and growth rate has been affected,” Surachai Sutthitham, President of the Swine Raiser Association of Thailand told Asian Agribiz. Average weight of harvested pigs among farms in the eastern region of the country, has dropped by 5-6 kg/head in the second quarter, Mr Surachai said, adding that pigs are being harvested at around 100kg against the normal harvest weight of 110kg.
|US asks China to drop ban on poultry imports|
[04 May 2015] US Agriculture Secretary Tom Vilsack has asked China to drop a ban on imports of US poultry imposed because of an outbreak of bird flu in chickens and turkeys, reported Reuters. The US wants China to limit trade only from states or regions that have had cases of the flu. Cases of avian flu prompted China and South Korea to impose bans on US poultry imports earlier this year. Last year, the two countries accounted for about USD 428.5 million in export sales of US poultry meat and products, according to USDA data. China’s Agriculture Minister indicated he would consider Mr Vilsack’s request, but linked the matter to US limits on imports of poultry raised and processed in China. The US restrictions on imports of poultry from China are related to human health, while the bird flu is an issue of animal health, he added.
|Vietnamese shrimp exporters advised to cut prices |
[04 May 2015] The Vietnam Association of Seafood Exporters and Producers (Vasep) has warned shrimp exporters that they may lose the US market to India and Indonesia if they don’t lower prices. It said the price of shrimp shipped to the US averaged USD 13/kg last year, a 15-year high. The price of Indian shrimp however, is USD 11/kg. Chu Van An, Deputy General Director of Minh Phu Seafood Corporation, Vietnam’s leading shrimp exporter, said shrimp production is up in India and some other countries because they have been spared from early mortality syndrome, enabling them to cut unprocessed shrimp prices, which account for 60-70% of production costs. In addition to price cuts, Truong Dinh Hoe, Vasep General Secretary, called for its exporters to improve their shrimp quality, given the low demand in international markets.
|Brazil taps into cattle breeding potential in east Indonesia|
[04 May 2015] A Brazilian investor has expressed interest to invest around USD 77 million for cattle breeding on Buru Island in Maluku – east Indonesia, competing with other investors to tap into Indonesia’s lucrative but under-supplied beef market, reported the Jakarta Globe. Aside from Brazil, Australia and several local investors are attracted to investing in cattle breeding on the island. The government expects to sign an MoU with the Brazilian investor, whose plans to produce 200,000 cattle a year.
|IMD forecasts below normal monsoon in India|
[04 May 2015] The Indian Meteorological Department (IMD) has issued a below normal monsoon forecast for the upcoming four-month southwest monsoon season that begins from June. The first stage forecast statement issued by IMD predicts a 35% chance for below average rainfall, 33% chance for deficit rainfall and 28% chance for average rainfall. Poor monsoon rains negatively impact agricultural production and inflationary pressure on food crops such as rice, oilseeds, sugarcane, cotton, corn and pulses. A normal southwest monsoon brings 70% of India’s total rainfall and even for irrigated agricultural lands strong monsoon is crucial to boost yield and reduce cost of production. The second stage forecast will be issued in June.
|Sujaya Group to set up pig slaughterhouse|
[30 April 2015] Indonesia’s livestock and agriculture company Sujaya Group is planning to set up a pig slaughterhouse in the same region as its pig breeding and commercial operations in Singkawang, West Kalimantan. Dede Slamet Ruchyadi, Manager, told Asian Agribiz that the modern slaughterhouse will produce split carcasses and portioned cuts with Batam Island, Singapore and Malaysia as the market targets. In late 2013, Dr Nawa Subianto, Pig Farm Manager, told Asian Agribiz that the group was in talks with prospective buyers in Singapore and Malaysia. The group has been sending around 200 live finishing pigs to Batam Island and Singapore in every fortnight. At the moment the group has a total pig population of around 70,000 heads with 8500 sows.
|Teo Seng expands in Singapore with BH Fresh Food acquisition|
[30 April 2015] Malaysia's Teo Seng Capital Bhd’s unit Premium Egg Products Pte Ltd (PEPP) will acquire loss-making meat processor and wholesaler BH Fresh Food Pte Ltd (BHFF) for USD 7.37 million. PEPP had signed a conditional sale and purchase agreement with Oceantrade Foods Pte Ltd, Loi Teck Heng, Low Sook Cheng and Lee Yee Gee to acquire the entire equity interest in BHFF. Teo Seng, which has been operating in the Singapore market for a decade, will be able to expand its business operations by acquiring the property as a distribution centre to cater to demand for its products in the republic. PEPP also signed a conditional agreement with the vendors to dispose of the business and certain assets of BHFF, on an ‘as is where is’ basis, to LM Meat Pte Ltd for USD 1.35million.
|Soybean price rise worries Indian poultry industry|
[30 April 2015] The price of soybean in India was up 30% in April over March this year. The price rise is attributed to low supplies in the domestic market. In Indore, the soybean trade hub of India, the average daily arrival of soybean in April has declined to 65,000-70,000 bags of 100 kg each compared to 70,000-80,000 bags in March. “This price rise is a cause of concern especially for the broiler sector,” Valsan Parameswaran, Secretary of All India Poultry Exporters Association, told Asian Agribiz. According to him, this swill directly reflect in feed cost.
|Vietnam increases meat imports from Europe|
[30 April 2015] The volume of European pork, beef and poultry imported into Vietnam jumped to 6000 tonnes in 2014 from just 800 tonnes in 2012, according to Poland-based Union of Producers and Employers of Meat Industry (UPEMI). Export of pork, for instance, rose from 822 tonnes worth USD 1 million in 2012 to 6149 tonnes worth USD 7.2 million last year, said Agnieszka Rozanska, UPEMI Managing Director. In sourcing for imported meat producers look for clear origin of product, good quality and hygiene. UPEMI reported that over 100 European businesses have been licensed to export meat products to Vietnam, 40 of them from Poland. Vietnam, South Korea and the US are the largest importers of European meat products. The EU’s meat exports to Vietnam is expected to rise by over 5% next year, Ms Rozanska said.
|Artemia short supply hits Indian shrimp hatcheries|
[30 April 2015] Short supply of artemia used as live feed for shrimp larvae production has hit shrimp hatcheries in East Godavari and the rest of Andhra Pradesh in India. L Satya Narain, President of All India Shrimp Hatcheries’ Association said that the short supply is due to delay in clearance of artemia imported from the US. Artemia sourced from the Great Salt Lakes accounts for the strong post larvae produced by Indian shrimp hatcheries. “Hatcheries find it difficult to run production without artemia and if the situation continues, the hatcheries will have to close,” Mr Satya Narain said.
|Vinamilk to focus investments on cattle feed |
[30 April 2015] Vietnam’s largest dairy product company Vinamilk plans to set aside USD 185 million for mergers and acquisitions this year, mainly in the animal feed sector, the company announced. Vinamilk’s board of directors has approved the new initiative that involves partnering with other firms to develop the cattle feed business. In the past year, it has built two dairy farms, adding to the total of seven farming facilities.
|CV Missouri to expand alongside demand|
[29 April 2015] The layer DOC business of Indonesia’s CV Missouri based in Bandung, West Java and controlled by the Latif family has seen significant growth in recent years. Andry Latif who manages the technical division told Asian Agribiz that the demand for Hy-Line Brown DOC is growing and to respond to this demand the company has set up new breeding farms. “Our customers told that our strain performs and adapt well with the climate in this country." Although demand is growing, Mr Andry said the company does not want to expand rapidly. “Our expansion has to be well planned. Increasing supply is easy but it has to grow in tandem with demand,” said Mr Andry.
|Masan Group acquires Proconco and Anco|
[29 April 2015] Vietnam’s Masan Group said it has purchased 52% in Vietnamese-French Cattle Feed JSC (Proconco) and 70% in Agro Nutrition Company (Anco), after acquiring Sam Kim Co Ltd and renaming it Masan Nutri-Science Co Ltd. With this move Masan Group has gained second spot in the local feed market. The acquisition is a key step to increasing the productivity of Vietnam’s protein sector. Masan Nutri-Science will provide Masan Group a lead in the growing USD 6 billion animal feed sector. “Proconco and Anco, as a combined business, is the number one external pig feed and second overall animal feed player in Vietnam, supplying farmers with over 1.7 million tonnes of animal feed products in 2014. It is well on track to deliver revenue of USD 1 billion in 2015,” the company added.
|India widens lead over Brazil in beef exports|
[29 April 2015] India has widened its lead over Brazil as the top global beef exporter, according to a latest report by the US Department of Agriculture, with a projected export total of 2.4 million tonnes in 2015 against Brazil’s 2 million tonnes. Since Russia has opened its market to Indian buffalo meat, exports are expected to increase further. The report also pointed out that global beef exports are poised to reach a record 10.2 million tonnes in 2015 mainly due to larger shipments from India.
|Hormel breaks ground on new plant in China|
[29 April 2015] Hormel Foods Corporation held a ground-breaking ceremony recently to announce the construction of the Hormel Foods Jiaxing Plant in China’s northern Zhejiang province, reported meatingplace.com. The plant, which will be operational by the end of 2016, is located in the food industrial park of Jiaxing Economic and Technological Development Zone. The construction period is divided into two phases to achieve an annual processing capacity of 30,000 tonnes by the end of first phase, expanding to 50,000 tonnes when completed. The new plant will produce products such as bacon, ham and sausage, as well as a series of products specifically suited to Chinese consumers’ tastes and flavours.
|Vietnam shrimp, fish exports found with antibiotic residue|
[29 April 2015] The US Food and Drug Administration (FDA) refused 107 batches of shrimp from India, Malaysia, China and Vietnam in the first two months of the year as they contained nitrofurantoin, an antibiotic used to treat urinary tract infection, the FDA said. Nguyen Van Dao, General Director of Go Dang JSC, admitted it was difficult to control antibiotics in shrimp. Instead of using reasonable doses, Vietnamese farmers use medicine in an uncontrolled manner. He said seafood export firms collect shrimp from different sources, making it difficult to track down the source of materials. The Vietnam Association of Seafood Exporters and Producers said most businesses follow strict regulations in controlling the quality of input materials.
|Poultry industry can address malnutrition problem|
[29 April 2015] India's Poultry industry can help address malnutrition among children said geneticist Prof MS Swaminathan. Addressing the gathering at the Annual Scientific Program 2015 in absentia, organised by the Institution of Veterinarians of Poultry Industry in Bangalore, Prof Swaminathan said eggs and poultry meat have enough macronutrients to ensure a healthy future generation. “In states like Tamil Nadu, where eggs are provided to school children during noon meal there is no problem of malnutrition,” he pointed out urging the poultry industry to pursue this in other states.
|TUF plans new shrimp plant in India|
[28 April 2015] Thai Union Frozen Products (TUF), a global seafood company based in Thailand, is planning to build a new shrimp processing plant in India through a joint venture with publicly listed Indian firm Avanti Feeds, The Nation reported. TUF has a 25.1% stake in Avanti Feeds and the existing shrimp plant running under Avanti Feeds has an 8000 tonnes/year capacity. Rittirong Boonmechote, President for the global shrimp business of TUF, said recently that the company was looking to expand in India through the new joint venture, in which it would hold a higher stake. The new shrimp processing plant with the production capacity of 15,000 tonnes/year will require an investment of USD 10-20 million.
|Terminal Puyuh plans to produce cooked quail meat|
[28 April 2015] Indonesia’s Terminal Puyuh, one of the largest quail breeders in Kediri, East Java, plans to produce canned cooked quail meat. Takim, Director and owner, told Asian Agribiz: “Quail meat is a niche market in the region and it’s usually derived from spent layer quail. But we see that the demand for quail meat is growing since people are opting for different types of meat.” To realise the plan, Terminal Puyuh will cooperate with a local feed miller in the region Menara Feedmill. Both will also raise broiler quail since the supply of spent layer quail fluctuates. The target market for the canned cooked quail meat is food stalls and restaurants in the region.
|Indonesia commends Thai plan to monitor fishing vessels|
[28 April 2015] Indonesia has praised Thailand's initiative to monitor thousands of its fishing vessels with an automatic tracking system in an attempt to curb rampant illegal fishing in the region. Indonesia’s Coordinating Maritime Affairs Minister, Indroyono Soesilo said he had learned about the plan from Thai Deputy Prime Minister and Minister of Foreign Affairs, Tanasak Patimapragorn. “Thailand is planning to monitor their fishing vessels with 7,000 vessel monitoring systems to ensure their vessels only fish legally,” said Mr Indroyono. The 10 Asean member countries account for a quarter of global fish production. Indonesia, however, has been complaining of rampant illegal fishing in its waters, which the authorities claim accrues annual losses of USD 23.1 billion to the country.
|Chinese & Australian regions prepare for live cattle shipments|
[28 April 2015] The city of Huizhou in Guangdong province and the Australian state of Queensland have become the latest local government entities to sign agreements in anticipation of live cattle exports to China. In addition, the ports of Huizhou and Townsville signed a sister-ports agreement. However, the opening of the trade itself has been held up over quarantine restraints related to blue tongue disease. Australian politicians have predicted the trade will lead to shipment of up to 1 million head a year, but analysts say cattle producers have been hit hard by drought in recent years and it is not clear how many animals will be available for export.
|Philippines bans beef from Alberta|
[28 April 2015] The Philippines has temporarily banned beef imports from Alberta, Canada following the outbreak of bovine spongiform encephalopathy (BSE) or mad-cow disease in Edmonton. In a memorandum, Philippine Agriculture Secretary Proceso Alcala said: “The outbreak was confirmed to have been caused by a resistant prion protein-classical BSE-affecting cattle.” With the ban, the Department of Agriculture also suspended the processing and issuance of import clearance for animals and meat imports from Alberta. Canada is one of the biggest sources of pork and beef imports for the Philippines.