Feed Watch

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West Nusa Tenggara targets 20,000 tons of low-aflatoxin corn

7 August 2020 – The West Nusa Tenggara Province’s Agriculture and Plantation Agency is targeting the production of 20,000 tons of low-aflatoxin corn from 3500 hectares of land this year. “Low aflatoxin corn in West Nusa Tenggara has been produced since last year and is used by industry-scale dairy cattle farms. Our focus now is to work with Dinamika Nusa Agribisnis cooperative in increasing corn production because demand from the industry is growing,” said Head of the agency, Husnul Fauzi. Corn as a feed ingredient should have a level of aflatoxin less than 20 ppb. Also see:
West Nusa Tenggara’s to achive USD582m from corn revenue
DPP to upscale its low-aflatoxin corn production

Indian corn prices continue their downward trend

Corn prices continue to fall in India.

7 August 2020 – Domestic corn prices in India continue to plummet as the crisis in the poultry industry continues. Prices have dropped from USD 0.24/kg in March 2020 to below USD 0.19/kg by July 2020. The USDA in its latest GAIN and Feed update on India stated that average prices in the major producing states were 30% lower than prices in July 2019 and more than 20% lower than the government’s maximum support price of USD 0.23/kg. Given the weak domestic prices and low demand, the USDA has revised its MY 2020/21 corn imports from 400,000 tons to 300,000 tons. Also see:
India allows import of 500,000 tons of corn
Indian corn has no takers as poultry industry struggles with Covid-19?

Hamlet’s enzyme treated soy protein cost competitive in poultry

6 August 2020 – Hamlet Protein’s enzyme treated soy protein has proven to be able to replace fishmeal at a competitive cost. “Replacing fishmeal in the starter diet with our product can reduce the content of anti-nutritional factors in the diet. It can also keep a suitable amino acid profile for broiler chicks in a competitive way,” Alfred Blanch, Manager of Poultry Category told Asian Agribiz. Dr Blanch added that minimizing the risks of enteric disorders due to fishmeal is important in the context of reducing antibiotics in poultry production.

Indian government extends deadline on animal feed standards

6 August 2020 – The Government of India has extended the compliance date for the animal feed industry to adopt the Bureau of Indian Standards (BIS) related to commercial feeds/feed materials intended for meat and milk producing animals. The new compliance date is set for January 1,2021. In December 2019, the Food Safety and Standards Authority of India announced that it was cracking down on substandard animal feed. BIS standards had to be adopted by July 27. Industry pressure and Covid-19 related issues have prompted the government to reconsider the deadline. Also see:
US raises concerns over India’s new feed regulations
India to regulate feed industry

Punjab offers scheme for animal husbandry businesses

5 August 2020 – The Punjab State government in India has introduced a scheme. that offers a 3% discount on the interest rate of loans for setting up units of milk, meat, cattle feed and silage. The scheme will continue for three years and the Government of India has reserved USD 2 million for the purpose. Also see:
Indian government aids struggling agriculture sector
Jammu and Kashmir offers incentives for poultry investors

CP Malaysia serious about eco-friendly feed for swine and poultry

5 August 2020 – CP Malaysia’s Technical Veterinarian Dr Vivian Chong said the company is serious about eco-friendly feed. “It is our brand promise to operate in a sustainable manner,” she told Asian Agribiz. “Currently, we are studying low crude protein levels in swine diets. Our aim is to reduce the nitrogen footprint in the environment. For poultry diets, we replace inorganic copper with organic copper. Organic copper is known for its enhanced bio-availability in the gut. Ultimately, this allows more copper for gut absorption, reducing copper excretion into the environment.” Also see:
Chau Yang sets the path for green swine farming

40% increase in 2020 Yala corn crop in Sri Lanka

4 August 2020 – The Sri Lankan Department of Agriculture targets 42,049 tons of corn (17,059 ha) to be produced in the 2020 Yala season (May- August). Reports at the end of May, have shown that 63% (or 10,731 ha) of the targeted extent has been cultivated. This is a 40% increase in production compared to 2019. The majority of corn production happens in the Maha season (September-March) with the 2020 crop coming in at 312,835 tons.
Even with the increased crop, the poultry industry is facing a shortage and want the government to allow imports. The government has refused to yield to the request thus far and instead has allowed poultry producers to supplement their feed with wheat imports. Also see:
Sri Lanka bans use of rice for animal feed but allows wheat imports
Corn prices in Sri Lanka rising over speculative pricing
Sri Lankan government comes down strong on corn traders

Gargi Genetics scales into commercial pig feed production

Pig feed brings in money for Mr Mestry.

4 August 2020 – Mumbai, based Gargi Genetics Pvt Ltd (GGPL) has seen increased demand for compound feed in the Indian pig sector as the Horeca sector remains shut. The company opened its feed factory last year to cater to its own farms and partner farmers. GGPL, Managing Director, Sandeep Mestry told Asian Agribiz they would be moving into full commercial production of pig feed by September. “We will increase our capacity from 80 tons/month to 300 tons/month,” he said. Also see:
Gargi Genetics opens first pig feedmill
Lockdown in Kerala and Karnataka leaves pig farmers with no feed
Happy Feeds in India turns lockdown into an opportunity for pig

Best practice recommendation for feed withdrawal

3 August 2020 – Feed withdrawal is an important factor in the chicken harvest process that affects yield. David Beavers, Cobb’s Global Processing Specialist said if this is done correctly, it will minimize bird stress and discomfort, while reducing contamination and increasing yield at the plant. “Best practice recommendation is 8 to 12 hours from feed up to slaughter. If it’s too short, you will have waste of feed, distorted feed conversion, and plant contamination and yield issues. And if it’s too long, you’ll get excess shrink loss, weak intestines causing yield loss, and increase in gall contamination.”

Japfa sets strategies for new norm

31 July 2020 – Indonesia’s agrofood company Japfa Comfeed Indonesia has set strategies to cope during the new norm. Vice President Director, Bambang Budi Hendarto said the company’s focus now is on maintaining product quality and operational activities, as well as employee development. It will continue to hedge all obligations against foreign currency, especially for the purchase of feed raw materials within a period of 2-3 months ahead. Also see:
Japfa Indonesia books ‘healthy’ profit in Q1
Japfa Indonesia plans buyback to tame crisis impact

Alfalfa hay used for concentrate feed in Rhone Ma’s A2 milk

31 July 2020 – Rhone Ma Holdings in Malaysia is using high energy feed concentrate containing alfalfa hay too feed their Holstein A2A2 dairy cows. The company told Asian Agribiz that their cattle nutrition arm Nor Lazuli formulates feed rations based on this high energy concentrate. Heat stress reduction supplements are also given to the cattle.The farm is expected to produce 65,000 liters of A2 milk/month.
Rhone Ma recently flew in 95 Holstein A2A2 dairy cows from Australia to populate their new farm. The company in partnership with Nor Livestock Farm ventured into dairy farming in February with a total investment of USD 500,000. Also see:
Malaysia’s Rhone Ma moves expansively into dairy sector
Dairy industry growth in Malaysia signals intense local crop farming

Vietnam’s pig feed production declines, poultry feed increases

30 July 2020 – Total animal feed production in Vietnam in the first six months reached 9.5 mt, down 5.4% compared to the same period in 2019. According to the Department of Livestock Production, pig feed production was at 3.9 mt, down 25%, while poultry feed reached over 5 mt, up 16.5%. Players told Asian Agribiz that pig feed has plummeted due to the reduced population resulting from ASF, while the chicken industry has grown strongly to compensate for the decline in pigs. Also see:
Rabobank sees 21-25% drop in Vietnam pork production in 2020
Vietnam imported more than 11,000 breeding pigs for restock
Vietnam pig production to contract 15-19%

Asian Agribiz and Kemin look at feed supply chains Post-Covid

What do feed supply chains look like post Covid?

30 July 2020 – Asian Agrbiz, Managing Director, Rex Holyoake sees Asian feedmillers adapting fast to local feed materials in the wake of Covid-19.
“We also see them actively build on the knowledge bank of these local ingredients,” he added.
He expressed the above during Kemin Animal Nutrition and Health’s webinar on ‘Transforming Businesses for Post Covid. The webinar also had the participation of Kemin Animal Nutrition and Health, Asia Pacific, CEO and President, Dr Tan Hai Meng.
Mr Holyoake explained that feedmillers were opting to use local raw materials as international markets faced crisis due to the pandemic. “This shows greater innovation on the ground,” he said.
Dr Hai Meng added, “We have also been looking at ways in which those in Asia can adapt their diets to the current environment.”
Kemin has been conducting sessions on ‘lysine deficient diets’, ‘formulation of low protein diets’ and on various additives which can improve feed efficiency. Dr Hai Meng sees a lot of research coming out on new molecules that can be used to increase productivity of existing raw materials. In addition, precision feeding techniques according to the growth phase of the animal is also being studied. In short cost efficiency is on top of the agenda for Kemin.
“Another key focus for us is, sustainability. We are looking at how we can raise our animals more sustainably, in addition to our own lives,” he said.

China stocks up on Brazilian soybean

29 July 2020 – China imported record levels of soybean from Brazil in June, according to Chinese customs data. Imports have picked up as China’s pig herd recovers after deadly outbreaks of ASF.
Brazil shipped in 10.51mt of the oilseed in June, up 91% from the previous year. The June figures were also 18.6% higher than in May. China’s overall soybean imports in June were a record 11.16mt as processors cashed in on lower soybean prices from Brazil.
These exports have fattened up the country’s national weekly soybean inventories- reaching 7.39mt by July 21. National soymeal stocks also rose to over 1mt earlier this month, up from a record low of 139,000 tons in April.
As inventories get filled up by Brazilian exports, the US share of Chinese exports have seen a sharp downturn. In June, China brought in 267,553 tons of soybeans from the US, down 56.5% from the previous year. Imports also fell 45.6% in May. China would need to quickly ramp up purchases if they are to fulfil phase 1 of trade agreement signed in January.

AGP ban triggers increased use of antibiotics

Indonesia struggles to cut out antibiotics in feed, says Dr Fadjar Sumping Tjatur Ras.

29 July 2020 – The US Grains Council has observed an increase in the use of antibiotics in drinking water within the Indonesian poultry industry over the last two years.
Dr Budi Tangendjaja, poultry consultant at the US Grains Council noted that though Indonesia banned the use of antibiotic growth promoters in 2018, poultry farms continue to use therapeutic antibiotics in large quantities. “We also observed lower production performance and higher mortality [in poultry],” he said.
Data from Asohi, which represents the veterinary drugs industry in Indonesia, show overall pharmaceutical sales have increased by 50% since the year the ban was introduced. Dr Fadjar Sumping Tjatur Rasa, Director of Animal Health at the Ministry of Agriculture, admitted that efforts to cut down on antibiotics has been challenging. “Farmers must be urged to use antibiotics prudently. This must be done in partnership with veterinary drug companies with the help of their personnel on the ground,” he said.
Asohi’s Chairwoman, Irawati Fari, said its members support AGP regulations and have been moving to distribute more antibiotic alternatives.

India’s Jammu and Kashmir encourages cattle feed businesses

28 July 2020 – The government in Jammu and Kashmir has unveiled a policy and guidelines to develop cattle feed processing units and fodder development.
The guidelines detail the incentives on offer to entrepreneurs and farmers interested in establishing Cattle Feed Processing Units in the area. Incentives and subsidies will be available for: “commercial cattle feed plants, nano-small cattle feed plants, silage making units, fodder block making units, feed block making units, mini tractors to dairy farmers, fodder harvesters, chaff cutters as well as bore wells for the units.”
Dairy has been an important area of focus for the government, especially in terms of livelihood creation. In 2019, India’s biggest dairy player, the Gujarat Cooperative Milk Marketing Federation which markets Amul, entered into talks with the local milk federation to improve the sector.

Indonesia’s corn DDGS imports down 8.7%

Indonesia has been doubling its corn yields since 2010, making it less reliant on DDGS imports.

28 July 2020 – Competitive prices of domestic corn has reduced Indonesian imports of DDGS. According to the US Department of Agriculture, during October 2019- April 2020, the country imported a total of 531,000 tons of DDGS, a decline of 8.7% compared to the same period a year ago. The US supplies nearly all DDGS to Indonesia.

Decreased broiler production in Indonesia impacts wheat imports

Indonesia will require less wheat imports this year.

27 July 2020 – Decreased animal feed consumption and improved corn harvests will have Indonesia import less wheat in MY 2019/20.
The USDA in its July 17 GAIN report forecast overall imports to decline to 10.6 mt. In the animal feed sector, Covid-19 restrictions are having an impact on broiler meat production, resulting in less demand for wheat. Wheat for feed use is expected to decline to 1.8mt in MY 2019/20 and remain stable in MY 2020/21.
“Imports are expected to rebound to 10.8 mt MY in 2020/21 as sectors impacted by social distancing measures begin to reopen.”
Corn production in MY 2019/20 in the meantime is expected to increase to 12mt due to success in combating the Fall Army Worm infestation. Corn consumption for feed use however in MY 2019/20 is estimated to decline by 4.4% due to Covid-19 related feed production decline. “Corn imports for 2019/20 are estimated to decline to 900,000 tons, all for industrial use.”

Sri Lanka bans use of rice for animal feed but allows wheat imports

27 July 2020 – The Sri Lankan government has issued a notice prohibiting the sale of rice or paddy, “for the manufacture of animal feed or otherwise as an ingredient for the manufacture of animal feed.” The government fears a shortage of rice in future. This adds to the woes of the poultry industry which is already suffering from a shortage of maize. Department of Animal Production and Health, Livestock Planning and Economic Division, Director, Dr Susil Silva told Asian Agribiz, the government had agreed to allow for the import of wheat to make up for the cereal shortage in the industry. Dr Silva added that around 185,000 tons of wheat have been approved for imports through private importers. This however would take a few months to arrive in the country.

Protenga raises USD 1.6m for insect protein production & research

Singapore company awarded USD 1.6million for insect protein research.

24 July 2020 – Singapore-based insect technology startup Protenga has closed its latest round of seed investment, raising USD 1.6 million with UK agritech company Roslin Technologies and Enterprise Singapore’s investment arm Seeds Capital as investors. The startup will use the funds to ramp up production of its insect-based products, conduct cutting-edge genetic research, and take its decentralized Smart Insect Farm model, which transforms agricultural and food waste into valuable products, to waste generators around Asia. Also see:
AgriProtein opens insect r&d center in Singapore
Singapore insect farm recycles food waste
Insect-based protein trends in animal nutrition

India oil meal production rebounds with better harvests in 2020-2021

Indian farmers fetch low prices for their oilseed as demand drops.

23 July 2020 – The USDA forecasts a 5.2% increase in oil meal production for India in MY 2020/21. This rise is due to a 2% increase in oilseed production in the country in MY 2020-21. The oilseed market this year however has faced low prices due to the lockdown. The USDA stated, “Farmers may be holding onto their oilseed stocks in anticipation of better market price.” Demand from animal feed too has been sluggish and yet to recover. With low demand, overall imports for edible oils for MY 2019/2020 is forecast at 8.2mt- 8% below that of last year. Also see:
India to see bumper soybean crop in 2020

Pakistan opens for wheat import amidst supply pressures

23 July 2020 – Pakistan is expected to import around 600,000 tons of wheat this year to build its strategic reserves and ease pressure on demand and supply.
Thus the private sector will be given permission to import and the 60% import duty would be lifted. The decision is effective immediately and will remain in place until further notice.
The USDA in its latest post stated that the production for MY 2019/2020 stands at 25.45mt-1.2mt higher than the previous year but short of the 27mt target. Targets have been hampered by the locust infestation and Covid pandemic. Thus the government has stepped in with imports and procurement. It has procured close to 6.5mt from local farmers to manage stocks. The ban on inter-provincial wheat transport has also been lifted to ensure smooth supply. Also see:
Pakistan contemplates turning locusts into animal feed
Pakistan restricts wheat supplies to animal feed industry
Pakistan struggles with wheat stocks, drives up wheat bran price

Evonik’s butyric acid product enters Indian subcontinent

22 July 2020 – Evonik and Swedish manufacturer, Perstorp have worked together to expand the sales and distribution of ProPhorce SR 130 to the Indian subcontinent: India, Nepal, Sri Lanka, Bangladesh and Pakistan.
The move follows the announcement in May of Evonik’s exclusive distribution of the product in sub-Saharan Africa. The latest development will intensify the sales, marketing and distribution of the product in the new target markets.

South Asia gets Evonik’s Butyric acid product for livestock.

ProPhorce SR 130 is a butyric acid product that is a safe, easy to handle and cost-efficient solution for in-feed application in livestock management. Butyric acid is a key ingredient for optimal digestion as it favours gut wall integrity which is important for performance. The product complements the mode of action of Evonik’s probiotics and shows beneficial effects that can bring added value to customers when the products are used together.
“This partnership will help us to offer a full gut health portfolio in the region” said, Dr. Shreedhar Patel, Vice President for Evonik Animal Nutrition in Asia Pacific South region.
Dr. Saikat Saha, Regional Business Director for Evonik Animal Nutrition for India, Bangladesh, Nepal, Sri Lanka and Myanmar added, “In our continuous effort to provide our customers more value-based solutions, this partnership enables us to bring another unique opportunity aimed at resolving chicken gut health related issues more efficiently in the Indian subcontinent.”
“ProPhorce SR 130 is a unique gut health product with unrivalled butyric acid power because of its special formula and advanced esterification technology. It will reach more customers and create more value for the livestock industry in the Indian subcontinent through our distribution partnership with Evonik,” said Jim Ren, Vice President for Perstorp Animal Nutrition for Asia Pacific.

China buys its largest purchase of US corn in 20 years

21 July 2020 – China has purchased 1.365mt of corn from the US. According to the USDA, it is the largest purchase made by the Chinese in 20 years.
About 765,000 tons of the corn is for delivery this year and the rest is for 2020-21.
This takes China closer to its World Trade Organization target for imports of 7.2 mt of corn. More importantly, this would mean China fulfilling phase one of its trade agreement with the US. China has pledged to increase its purchases of US agricultural commodities to USD 36.5 billion, up from USD 24 billion in 2017. Also see:
Web Special: US-China trade deal to see China import more US ag products

UK company to turn CO2 into animal feed

21 July 2020 – The UK Government has granted funding to Nottingham-based consortium React -First to turn carbon dioxide into animal feed.
They will receive over USD 2.5 million “to generate clean, sustainable food for fish and poultry with an up to 75% smaller carbon footprint.”
“Led by the Nottingham company, Deep Branch Biotechnology, the project will use its unique technology to turn carbon dioxide from Drax Power’s Selby power station into animal food with minimal water usage and without the need for arable farmland,” added the UK government in a press release.
The project is expected to be a greener alternative to soy and fishmeal for the animal industry.
They will work with leading retailer Sainsbury’s as well as the Scottish Aquaculture Innovation Centre to integrate into the fish and poultry supply chain, helping to ensure that industry demand is met.

CP raises standards to ensure corn sourcing legitimacy

CPF will only buy corn from ethical farmers.

20 July 2020 – Thailand’s CP Foods is using tracking technology to ensure that its corn source for livestock feed is from legal crop plantations. Corn used in CP’s animal feed production follows strict sourcing guidelines. All farmers must be registered with CP Foods and have legal deed titles, ID card and farmer registry book to sell to the company. Further, CP Foods’ corn collectors have to have their delivery trucks GPS enabled. The same sourcing policy has be in place in Myanmar since April this year.

Philippine govt to assist farmers against fall armyworm

20 July 2020 – The Philippine Department of Agriculture (DA) is providing USD 3 million worth of assistance to help corn farmers control fall armyworm (FAW) that has been damaging their crops. DA Secretary William Dar said that to date, some 8000 ha planted to corn has been damaged by FAW, which was first reported in June 2019. Mr Dar also created a DA-led inter-agency national FAW task force to lead implementation measures to contain infestation through strict quarantine inspection, disinfestation and use of pesticides among others. Also see:
Philippines seeks corn imports
Fall armyworm causes 40% drop in corn production
Fall armyworm threat stretches into 2020

India to see bumper soybean crop in 2020

World largest oilseed importer will need less soybean this year.

17 July 2020 – A minimum support price and weather conditions are encouraging Indian soybean farmers to increase their planted acreage for 2020. This increase is expected to push production by at least 15%, stated a government report. Farmers as of July 10, have planted 10.15 million hectares, compared with 5.17 million hectares in 2019.
The highest acreage has been reported from Madhya Pradesh (2.6 million hectares), Maharashtra (2.4 million hectares), Gujrat (0.7 million hectares) and Karnataka with 0.2 million hectares.
An increased production of oilseed could also mean less exports from Indonesia, Malaysia, Argentina and Ukraine into India.
The Soybean Processors Association of India however has noted that the good harvest would put additional pressure on domestic prices. The country has carry forward stocks of 1.28mt but deals with low demand from poultry and a poor export market this year.
The government is assisting farmers by raising the minimum buying price for soybean by 4.6% from a year earlier.

Olmix launches Searup Still in Indonesia

17 July 2020 – Olmix, specialist in natural algae-based solutions, virtually launched Searup Still for the Indonesian market. The product is a natural immunomodulator that contains Olmix’s patented marine sulphated polysaccharides, vitamins, amino acids, minerals and trace elements. Yuana Saputra, Country Manager Indonesia told Asian Agribiz that the product reinforces natural defenses of livestock during critical phases of their life. It is recommended for use during stress periods. It also can be used to support vaccination programs and be part of antibiotic reduction strategies. Available in 1L and 5L cans, the product is distributed by SHS International.

Widodo and Fuji to build a poultry feedmill in East Java

16 July 2020 – Widodo Makmur Unggas, the poultry business arm of Indonesia’s Widodo Makmur Perkasa Group, has signed a memorandum of cooperation with Japan’s Fuji Electric Group to set up a poultry feedmill in Ngawi, East Java. The 140 tons/hour plant, which will sit on 12ha of land, will cost around USD 45 million. Tumiyana, founder of the Group said the construction will take about 18 months. “This plant will meet our internal poultry feed demand of 50,000 tons/month,” he said. Also see:
Widodo Makmur Unggas prepares for IPO
Widodo sets up new poultry feedmill

Kemin product acquires US patent in the control of ASF in feed

16 July 2020 – Kemin Industries, has acquired a US patent application for a method to control African Swine Fever virus (ASF) in feed and feed ingredients. The Kemin product used in this process is ‘Sal Curb Liquid Antimicrobial’ – a global pathogen control product.
The company in a press release explained that the new data from Kansas State University demonstrated that Sal Curb effectively inactivated ASF in livestock feed.
“Sal Curb is an antimicrobial solution known to maintain the Salmonella-negative status of complete feeds and feed ingredients for up to 21 days, in addition to controlling mold. By using a blended solution of formaldehyde and propionic acid, known to eliminate mold and pathogens, Sal Curb plays an important role in reducing biosecurity risks.”
Dr Chris Nelson, President and CEO of Kemin Industries said, “Protecting the global food supply, ensuring food safety, maintaining biosecurity and transforming the quality of life for those around the world are extremely important to Kemin. This new research helps to address one of the biggest challenges facing the global agriculture industry.”
For more information, please visit: kemin.com/africanswinefever or kemin.com/salcurb.

Superfeed launches Sri Lanka’s first dog food

Superfeed have incorporated raw meat into their feed formula.

15 July 2020 – Sri Lankan Animal feed company Superfeed Pvt Ltd has launched the first locally produced dog food. The growing demand for pet food prompted their entry into the line. Superfeed, Managing Director, Dr Walter Samarasinhe told Asian Agribiz that they were able to overcome the challenge of incorporating raw meat into the feed formula. “Many trials locally into pet food failed because they were not able to successfully work with raw meat and turn it into pellets,” he said. Superfeed sells adult dog food which contains beef and chicken meal.

Covid-19 pushes feed premixers to strengthen sourcing capability

15 July 2020 – Covid-19 has affected many feed premixers in Indonesia, with currency depreciation creating tight supplies and high prices of feed additives, such as threonine, K3 vitamin and biotin. The price of biotin 2%, which was USD 11.85/kg before the pandemic, jumped to USD 57.17, said Isra Noor, President Director of premix producer Fenanza. “This pandemic has taught us to strengthen our sourcing capability,” he told Asian Agribiz. “We are quite fortunate because we directly import up to 80% of our raw material needs. This helps with premix prices.” Also see:
Covid-19 impacts prices of feed micro ingredients
Covid-19 threatens Indonesia’s feed industry growth
Covid-19 impacts availability, price of feed micro ingredients in Indonesia

ADM wins global recognition for most admired companies

14 July 2020 – ADM has been named in this prestige ranking by Fortune Magazine for the 12th time. The ranking is based on a survey of categories such as investment value, quality of management and products, social responsibility, and ability to attract talent. There are 680 companies in 30 countries rated in the list. In Vietnam, ADM is one of the leading enterprises in animal nutrition. The company currently operates five feed factories, two r&d centers for aqua and poultry, two technical centers, nine logistic stations, and one laboratory.
“To be included on this list for the past 12 years is a tribute to our team of 40,000 employees and the work they do every day to enrich the quality of life the world over,” said Chairman and CEO Juan Luciano. “We are extremely honored to once again be recognized as one of the most admired companies in our industry.”

Japfa’s investment in silos bears fruit during crisis

14 July 2020 – Japfa Comfeed Indonesia is the only poultry company with the best feed profit margin in Indonesia in the first half of this year, according to Emma Fauni, Analyst at securities firm Mirae Asset Sekuritas. “The profit margin from their feed business is still stable although the industry is now facing hard times,” she said. “It’s because of their decision in the past three years to invest more in silos for better feed ingredient management.” The firm predicted Japfa’s revenue this year will increase to USD 2.7 billion from last year’s USD 2.5 billion.
Also see:
Japfa Indonesia books ‘healthy’ profit in Q1
Double-digit growth for Japfa Indonesia

USDA forecasts reduced global corn production in MY 2020/21

Global corn prices react to lower than expected planted acreage in the US.

13 July 2020 – The USDA forecasts global corn production for MY 2020/21 to be lower than expected with cuts to the US crop. Larger harvests in Bolivia and Russia however would offset a reduction in Canada.
Overall production for MY 2109/2020 remains unchanged, with significant reductions in the Philippines being offset by large crop production in Bolivia.
Global trade
In terms of trade, Myanmar comes up on top in both MY 2019/20 and MY 2020/21 with high export volumes. In MY 2019/21 Myanmar is forecast to export 1.7mt of corn, mainly driven by trade to Thailand. Major exporters like Brazil in the meantime have been experiencing a slowdown in exports this year with 37mt previously forecast, revised to 35mt.
Since the June 2020 WASDE, U.S. bids are up USD 14/ton to USD171 supported by larger-than-anticipated corn area cuts in the June 30 NASS Acreage report and continued weather uncertainty. “South American bids responded to the US crop size change by also strengthening at the end of June, with Argentine bids up USD 7/ton to USD 155 and Brazilian bids up USD 6/ton to USD 166. Black Sea bids are little changed, ending USD 2/ton higher at USD 183.
Demand for corn in China rises
Corn prices in China in the meantime has also been high given the increased demand from the pig sector. “Ongoing recovery in feed use combined with tighter-than-anticipated stocks in China’s temporary reserves have driven the national average corn price5 to its highest level since March 2018.”

China expected to import more coarse grain in MY 2019/2020.

China has been rebuilding the hog sector from the ravages of ASF at lightning speed and this is driving demand for animal feed. The Chinese Academy of Agricultural Science predicts swine production to recover to more than 80% by end of 2020.
Corn prices are also rising due to a tight local supply. “Corn auctions from temporary reserves have been well subscribed and nearly all volumes offered at each auction have been sold. In May, the average sales price was roughly USD 250/ton, but by June, the average price had gone up to USD270/ton.
Given the increase in local prices, the USDA forecasts China to increase its corn imports to help local feedmillers. “However, options are limited due to tariff-rate quota in corn imports, anti-dumping duties on U.S. distillers’ dried grains with solubles (DDGS) and Australian barley, and a decline in U.S. sorghum acres relative to planting intentions.”

Fenanza adds new partners to diversify product range

13 July 2020 – Fenanza, Indonesian feed additives distributor and premix producer, has added Provimi, Aveve Biochem and BASF as its new global partners to diversify its product range. President Director Isra Noor told Asian Agribiz: “Now we distribute Provimi’s vitamins, organic acids and antioxidant booster, and Aveve’s enzymes. To diversify our product range with flea and rodent control products, we chose to partner with BASF.” Products from Provimi and Aveve also support Fenanza’s premix business. “Products from our global partners now meet 80% of raw material demand of our premix production,” said Dr Noor.
Also see:
Fenanza sets up second premix plant in West Java
Fenanza sets up second premix plant in Bandung

Nutrient value calculator for sbm

Average nutrient breakdown of a soybean seed.

10 July 2020 – Genesis Feed Technologies has developed a nutrient value calculator for soybean meal (sbm) economic comparison. Co-founder Matthew Clark said the calculator, which uses feed formulation technology to apply for purchasing decisions, enables rapid nutritional scenario comparisons. It also enables buyers and sellers to see the nutritional value of different variants of a commodity based on their full nutrient profile. Not less important, the calculator transitions protein-based evaluation to total nutrient evaluation.

Trouw Nutrition appoints new leaders for Asia Pacific

10 July 2020 – Feed specialties and premixes supplier Trouw Nutrition has appointed BK Chew as Regional Director Feed Additives for Asia Pacific. The company also announced that Heng Aik Jin has accepted the role of General Manager Export for Asia Pacific. Both Mr Chew and Mr Jin will be based in Bangkok, Thailand.

AB Vista’s new reference guide for dietary fibre allows for greater customization of feed

Dietary Fibre Analysis Guide by AB Vista

10 July 2020 – AB Vista has produced a new reference guide for poultry and swine producers on the benefits of using total dietary fibre analysis using Near Infrared Reflectance (NIR) technology.
“The guide contains the results of non-starch polysaccharide (NSP) analysis of feedstuff samples from around the world and is being published in conjunction with the launch of a new NSP analysis feature within the AB Vista Feed Quality Service,” stated the company in a press release.
The NSP analysis service gives nutritionists the ability to analyse the NSP content and its fractions (soluble and insoluble) within customers’ raw materials.
AB Vista’s Head of Global Technical, Gilson Gomes said they anticipated interest in fibre fraction of the diet was likely to increase as nutritionists look to replace soybean meal with local ingredients and the desire to improve gut function through the use of more fibrous ingredients.
“With this in mind, we believe that an improved knowledge of fibre composition is needed in order to effectively employ nutritional strategies which can serve to boost fibre fermentation by the gut microbiota, thereby positively influencing the host metabolism and overall performance,” said Mr Gomes.
The guide illustrates NSP variation in barley, canola meal, corn, soybean meal, sorghum, and wheat. Producers and nutritionists can request a free copy of the guide from their regional AB Vista representative or via the website.

US complains to WTO over India’s new feed regulations

9 July 2020 – The United States has raised concerns with the WTO over India’s move to regulate the quality of commercial feed (including imports).
India previously issued notice that all commercial animal feed need to adhere to the regulations set by the Bureau of Indian Standards by July 27, 2020. For the US, issue of contention is that animal imports too cannot be fed with meat by products. The US has asked that deadline for the new regulation be postponed and exporters be given at least a transition period to adjust to new conditions- especially in light of the Covid- 19 situation.
The US is worried that the new regulations could impact its meat and dairy imports into India. However, the Indian authorities point out the new regulations revolve around health concerns.
The Indian Food Safety and Standards Authority of India states that foods of animal origin have been found sometimes to be non-compliant with the relevant food quality and safety standards as laid down in the Food Safety and Standards Act, 2006. Higher quantities of pesticides, heavy metals and Aflatoxin M1 have been found in several specimens, including milk when livestock is fed with feed that contain animal by product, state the authorities.

Happy Feeds in India turns lockdown into an opportunity for pig feed

9 July 2020 – Farmer run feed company in Kerala, Happy Feeds recently launched its own line of pig feed. Happy Feeds, Chief Advisor, Dr M P John told Asian Agribiz that restaurant closures and shortage of swill feed had opened up a space for compound feed in the local swine industry. In May the company’s generic pig feed ‘Hog and Sow pellets’ was launched. Close to 70 tons have been sold so far to small and medium pig farmers. “The farmers now see that using compound feed is more hygienic, is not labor intensive with lower cleaning costs,” he said. Also see:
Lockdown in Kerala and Karnataka leaves pig farmers with no feed

Myanmar sees potential in soy exports to China

8 July 2020 – As trade tensions with the US accelerates, China is seeking alternative sources of soybean, and Myanmar is a potential candidate. The General Administration of Customs of China (GACC) is in negotiations with Myanmar’s Ministry of Agriculture, Livestock and Irrigation for official soy trading ties, according to the Global Newlight of Myanmar. To seize this opportunity, corn growers in Myanmar’s Shan Tate province have conducted trials using US seeds, while the related ministries are closely coordinating with GACC to seal the deal. Also see:
China urges food and grain producers to stock-up supplies
Soy from South America eases China’s supply shortage

Ex-Trouw Nutrition executive joins Grobest

8 July 2020 – Taiwanese aquaculture feed giant Grobest has appointed Ramakanta Nayak as Group Marketing Director. Mr Nayak was General Manager at Trouw Nutrition’s Asia Pacific based in Thailand for three years, before which he was Commercial Director at Nutreco, also based in Thailand where he set up the company’s feed additives business regional unit in Bangkok. Past experience also includes almost five years at global animal nutrition company Novus International.

Mavin finds Cambodia attractive new destination for animal feed

7 July 2020 – As Cambodia opens up, it is becoming an increasingly attractive animal feed destination for Vietnamese exporters. The Mavin Group, one of the largest in Vietnam, is one such exporter.
“Vietnam and Cambodia have created favorable infrastructures to facilitate mutual trade ties. Khmer consumers are not too demanding and they are increasingly favoring products originating from Vietnam,” David John Whitehead, Chairman of Mavin Group, told Asian Agribiz.
Cambodia is also a net importer of animal feed and its raw materials. This has opened up the opportunity for Mavin to export thousands of tons of swine, poultry and aquaculture feed per month to the country.
“Mavin’s goal is to complete the value chain in the Cambodian market. Currently we are gradually developing other links from animal feed to veterinary medicine, and in the future we will have a system of animal husbandry and food processing,” said Mr Whitehead.
According to data from Vietnam’s General Department of Customs, animal feed and feed ingredient exports to Cambodia reached almost USD 1 billion last year. In the first three months of 2020, commodity exports to the neighboring market earned Vietnam USD 27 million, an increase of 16% on the year.
The two countries have signed mutual and Asean regional cooperation agreements on preferential tariffs with a 0% tax rate for many items, including agricultural and meat products.

Indonesia’s feed corn consumption drops 18% due to Covid-19

7 July 2020 – Corn consumption for animal feed in Indonesia in the first five months was down 18% to 2.51 mt compared to the same period last year, said Desianto Budi Utomo, General Chairman of the Indonesian Feed Producers Association. He said Covid-19 has affected demand for animal protein. A corn farmer told Asian Agribiz: “The pandemic has affected the country’s poultry industry. Many feedmillers are reducing corn in their feed formulations because they have wheat to use. This is also why corn consumption so far is lower.” Also see:
Indonesia’s feed demand down 30% due to movement restrictions
Indonesia to see stagnant feed corn consumption at 9 mt

Vietnam postpones decision on regulating animal feed contaminants

6 July 2020 – Vietnam has postponed its decision towards zero tolerance “for Salmonella, Escherichia coli and renewed tolerances for heavy metals and mycotoxins for all feed ingredients of plant origin imported and domestically produced in Vietnam”.
The USDA reported that the Vietnamese government has issued Circular 4/2020 NTR190 – Maximum Allowable Levels (MLs) of Safety Indicators in Animal Feed and Aqua Feed Ingredients.
NTR190 set a zero tolerance for these contaminants and was scheduled to enter into force from July 1, 2020. Vietnam’s trading partners however have raised concerns regarding its potential impact on trade.
“Following engagement from trading partners, Vietnam notified G/SPS/N/VNM/113 on June 23, 2020, to the WTO, notifying the entire NTR190. This notification gives stakeholders an opportunity to provide Vietnam with comments regarding all new maximum levels in feed and feed ingredients. The comment period closes on July 31, 2020.”

IGC appoints new Chairperson for 2020-21

6 July 2020 – The International Grains Council (IGC) has appointed Corinne Roux as its new Chairperson for 2020-21.
Ms Roux was the policy adviser for the trade relations unit of the Federal Office for Agriculture in Switzerland.
She has previously served as Switzerland’s representative to the organization since 2014. Ms Roux was also involved in the negotiations of the new Food Assistance Convention, which came into effect in 2012.
During her tenure, Ms Roux will be working with the Secretariat and Council members to further develop information and transparency in the global grains, oilseeds and rice markets. Following the uncertainty caused by the coronavirus (COVID-19) crisis, the Secretariat will issue five-year supply and demand forecasts for 2021-26 for the main grains, oilseeds and rice, with a particular focus on demand trends.
The report will be made available on the IGC public website in January 2021.

Locusts enter Nepal, government offers bounty to catch them

Nepal hopes to turn these locusts into poultry feed.

3 July 2020 – Dessert locusts are now making their way through Nepal, having affected crop in neighboring India and Pakistan. The Nepalese government this week reported that it would a bounty to people who catch the locusts instead of spraying pesticides on them. Taking a leaf out of Pakistan, Nepal hopes to turn these locusts into poultry feed. Farmers have been offered USD 0.21 for every kilogram of insect caught. Media reported that from Sunday to Tuesday, close to 10kg of locusts were collected in Nepal’s southern city of Butwal.

US corn plantings drop in June 30 report signalling a rise in corn prices

Map of US corn planting area year-over-year 2019 to 2020.

3 July 2020 – The US corn plantings report released on June 30, 2020 came as a surprise to many analysts as acreage planted was 5% lower (92 million acres) than the March Prospective Plantings forecast. Overall however it is 2.6% up from the 2019 plantings.
According to the US Grains Council, this would mean that the harvested acres would be potentially down to 84.01 million acres. If the yield remains the same at 4.53 MT/acre, production will decrease to 380.58mt – reducing the carry-over stocks in the US and the world.
Corn plantings have been low as farmers thought that the March estimates were too high and were reluctant to plant that much.
The market reacted to this change and corn prices did move up. December 2020 corn contract was up by about USD10/ton on the futures market. On June 29, markets closed at USD131.72/ton but by July 1, 2020 it closed at USD 141.88/ ton.
US Grains Council, South Asia Representative, Amit Sachdev told Asian Agribiz that from now on, one of the key factors to monitor would be weather conditions. “As the corn matures any change in weather can have a huge effect on price,” he said.

Balance energy requirements in broiler feed to manage feed costs- says Cobb nutritionist

2 July 2020 – Cobb estimates feed costs in Asia to be as high as 80%. In the fourth series of the 2020 Cobb Asia Webinar Series, the poultry genetics company focused on ways in which its customers in the region could reduce feed costs when using Cobb broiler breeds.
Dr Justina Caldas, nutritionist in the Cobb World Technical Support Team presenting on the “Trends in modern broiler nutrition” noted that producers in the region need to consider reducing the energy levels in their feed formula by “using available ingredients that are suited to local condition”. “Choose cost effective diets” added the nutritionist. Producers need to act on this as improvements in breed genetics to optimize FCR would not save costs without parallel changes in feed formulation, she said.
In the feedmilling sector, she recommended that producers use pellet feed for better performance as research showed better results with pellets than mash. Dr Caldas explained that mash feeds up to 27 days has better performance with 750 um but after 27 days, data suggested that higher particle size in pellet form could be better.
Dr Caldas also advised nutritionists to analyse enzyme recovery in their feeds, especially when on uses pelleted feed, “Be extra careful using enzymes in the first 14 days of age,” she added.
Touching on antibiotic free broiler production, Dr Caldas noted that this trend was here to stay and that producers needs to find innovative ways to switch to more sustainable systems.

Leadership change at Nutreco

2 July 2020 – Harm de Wildt, Nutreco Chief Operating Officer and CEO Trouw Nutrition, will retire at the end of this year and pass the baton over to Saskia Korink, currently Innovation Director at Trouw Nutrition.
She will take on the COO role on August 15. Nutreco CEO Rob Koremans said: “Harm has been a stalwart of the company for many years and his tireless enthusiasm and commitment has brought about lasting positive impact in Nutreco. In recent years, he has successfully introduced a Trouw Nutrition global strategy focused on nutrition, health and precision farming while developing an innovation strategy for the division.”
Ms Korink joined Nutreco just under two years ago as Innovation Director and has been pivotal in bringing R&D and marketing closer together and in the success of Trouw Nutrition’s newly-created Species Councils. Prior to joining Nutreco, she worked at Cargill for over 10 years in a number of roles, including as leader of the Latin American Cocoa business and as Global Marketing Director for Cargill’s Animal Nutrition business.
“I’m delighted that Saskia has accepted the role and excited that she joins the ExCo and will bring value, not just to Trouw Nutrition but also in leading the Nutreco as a whole,” said Mr Koremans.
Saskia’s successor will be announced in due course.
In other changes, with effect from August 1, Nutreco’s Chief Innovation Officer Viggo Halseth will step down from the ExCo in order to focus completely on his current role of exploring opportunities in the area of alternative aquaculture farming, such as Recirculation Aquaculture Systems (RAS). Viggo will continue to report into Rob Koremans.
“As the number of alternative aquaculture farming innovations continues to grow, the time needed to assess potential partners, investments or projects is growing too,” explained Mr Halseth. “Moving forward, as I can focus solely on this exciting area we will be able to continue to develop our strategy and move quickly when we see the right opportunities.”
Mr Koremans added, “Alternative aquaculture farming is a key component in fulfilling Nutreco’s mission of Feeding the Future. I’m delighted that Viggo is freeing up his time to focus on this and I’m excited by the possibilities we see.”

China knocks over Australian barley/sorghum with more tariffs

1 July 2020 – China has imposed further tariffs on Australian barley and sorghum, making it competitive with countries who import outside of the Free Trade Agreement.
Australian grain remained competitive in Chinese markets given that the produce received exemptions via the China- Australia Free Trade Agreement signed in 2015.
Last week China imposed a 2% import tax on sorghum and 3% import tax on barley. Australian barley has already been ruled out of the Chinese market with the 80% anti-dumping levy China implemented earlier in the year.
The new tariff regime, was implemented under a technicality where tariffs can be reimposed once a certain import volume is reached. These new tariffs are set to continue until December 31. Also see:
Thai feedmiller starts using Australian barley in pig feeds
China bans Australian beef, plans to tariff barley

Thailand to use hemp as feed ingredient

Hemp as an animal feed ingredient.

1 July 2020 – The Ministry of Industry in collaboration with research institutes and livestock producers are developing feed products based on hemp. The plan is to turn the illegal plant into an industrial crop for bio economy. In doing so, the ministry will provide technology and know-how for the industry to innovate functional ingredients from all parts of hemp grown locally.
In the US too several organizations have been working on getting government approval to use hemp and its by products in animal feed. Groups like the Hemp Feed Coalition have been working on using hemp protein, oil or hemp seed in the diets of cattle, poultry, swine and fish.

Philippine poultry drives hunger for corn in MY 2020/21

Table shows corn imports for 2020-21 increase in tandem with feed residual demand (Source: USDA GAIN Report, June 17).

30 June 2020 – Demand for feed corn in the Philippines is expected to increase in MY 2020/21 as the local industry experiences a 3% rise in poultry output in MY 2020/21.
The USDA in its June 17 GAIN report, stated that the Philippines expected to import an extra 100,000 tons of feed in MY 2020/21 to fulfill demand.
Increased corn demand would have to be met via imports as local production shows a decline this year. The USDA report observed that the updated March 1, 2020 standing crop, PSA reports showed corn production during the first three months of 2020 to reach 2.4 mt- “1.1% lower than the initial estimate of 2.43mt made on January 1.”
Harvested area during the same period is also expected to decline 1% percent to 699,000 hectares, from 706,000 hectares in 2019. “Yields are likely to stay flat at 3.44 tons/hectare,” said the USDA.

Local herb and fruit extracts keep Nor Feed’s prices stable in Vietnam

29 June 2020 – by Ha Thu – While most feedmilers are suffering from the lack of supply and rising prices of feed materials due to Covid-19 disruptions, Nor Feed Vietnam said it was not affected. “Nor-Feed’s key products are extracts from herbs and fruits. They are available locally at a stable price and can replace chemical products that are limited in supply and highly-priced,” Nguyen Anh Ngoc, CEO of Nor Feed Vietnam told Asian Agribiz. Later this year, Nor Feed plans to build a factory producing plant extracts using local materials. Also see:
Double challenge for Vietnamese farmers as feed price surges
Feed price in Vietnam spikes on short supply
Vietnam to import feed ingredients worth USD115m from the US

Philippine feed production down 15%

29 June 2020 – Philippine feed production is down about 15-20% from a year ago, no thanks to Covid-19 and ASF, a local feed industry stakeholder told Asian Agribiz. “The various viruses that are wreaking havoc in the world haven’t spared our country. These have reduced swine population, threatened poultry farms, and disabled the vibrant domestic consumption of people all over. This caused a drop in feedmilling demand countrywide,” he said, adding that the situation could worsen if the lockdowns are prolonged. Also see:
Feed demand in Vietnam, Philippines to fall in 2020
Feed consumption in the Philippines contracts

Dairy feed prices fall as demand for milk drops

26 June 2020 – Dairy feed prices have dropped significantly in India with demand for feed on the decline since February. Dairy consultancy, Progressive Dairy Solutions Ltd, General Manager, Munish Sharma told Asian Agribiz that prices have reduced by 20-30%. “This is keeping with the drop in milk prices by 30% since the lockdown. This is having an impact on farmers,” he said. Despite Indian cooperatives having record milk procurement during the lockdown, milk consumption has suffered with a lack of institutional sales. Mr Sharma explained that despite more consumers purchasing milk at home, highest demand comes from the HORECA sector. “Overall there is a massive reduction in milk demand,” he added.

Malindo’s 6th feedmill to be operational by end 2020

26 June 2020 – by Meliyana – Indonesian poultry integrator Malindo Feedmill will soon continue the construction of its new feedmill in Lampung after problems related to a permit was cleared recently. Corporate Secretary Andre Andreas Hentjan told Asian Agribiz that the company’s sixth feedmill, which will produce 15,000 tons of feed per month, is expected to be operational by the end of this year. Malindo currently operates five feedmills in East Jakarta, Banten, East Java, Central Java, and South Sulawesi, with a total production capacity of 1.65 mt/year. Also see:
Malindo allocates USD 60 million for capex
Malindo sets up new feedmill in Sumatera

Vietnam’s aqua feed demand expected to kick-in by Q3

25 June 2020 – Aqua feed consumption in Vietnam was seriously affected by Covid-19 according to Nguyen Anh Tuan, General Director at Mavin Aquaculture. The first half of 2020 was a difficult time for the aqua feed business. However, Mr Tuan believes that this sector will recover by Q3 this year. Small-scale feedmills seem to be the most vulnerable while larger producers with the advantage of material availability and integrated farms are less likely to be affected. Also see:
Vietnam shrimp sector banking on strong revival in EU and US
Vietnam to hold virtual conference to boost exports to China
Vietnam farmers at a loss as pangasius price hits rock bottom

North Sulawesi to export 6000 tons of copra cake to India

25 June 2020 – Indonesia’s North Sulawesi will soon export 6000 tons of copra cake for animal feed to India. Donni Muksydayan, Head of the Agricultural Quarantine Agency in Manado said the phytosanitary certificate for the ingredient had been issued since it passed several quarantine checks and fumigation treatments using phosphine which is a requirement of the destination country. Copra cake, which is a by-product from coconut oil production, is a valuable protein source for animal feed, especially dairy cattle feed.

Poultry producers see lower grain costs, but higher labor cost

24 June 2020 – Amid the ongoing Covid-19 pandemic this year, feed grains, especially corn, have seen lower pricing, said US poultry economist Paul Aho on Ussec’s Asia Trade Exchange 2020 webcast. In the US situation for instance, lower cost for corn is due to lower demand from the animal feed and ethanol industries. The lower grain costs however, do not significantly benefit poultry producers because they have to deal with increased labor cost and risk to workers due to Covid-19, said Dr Aho.
Also see:

Corn price declines on low demand
Indian corn has no takers as poultry industry struggles with Covid-19?
Indian poultry sector faces labor shortage as workers head home

Cambodia farmers growing feed corn for export to Thailand

24 June 2020 – There are more farmers in Tbong Khmum province growing corn to export to Thailand as a feed ingredient. The four main corn-growing districts in this province produce roughly 57,000 tons of corn annually, most of which is exported to Thailand. According to the Ministry of Agriculture, corn farmers in Cambodia have switched from their traditional way of farming and adopted a business approach with new technology and cultivation that is resistant to climate change. This has helped raise annual output. Also see:

Thailand to curb corn imports from Myanmar
Thailand to curb corn imports
Shrinking feed production in Thailand

Seger exports corn again to Philippines

23 June 2020 – Indonesia’s agro-commodities sourcing company Seger Agro Nusantara recently exported 6300 tons of corn to the Philippines from Gorontalo, valued at USD 3 million. In early June, the company exported 6100 tons of the grain to the same destination. Seger’s exports were based on the attractive price it received from the neighboring country. Gorontalo’s Governor, Rusli Habibie said his province last year produced 1.4 mt of corn on a planting area of 291,000 ha. This year the province will increase the planting area to above 320,000 ha. Also see:
Seger Agro exports 13,500 tons of corn to Philippines

Bangladesh feed company, Krishibid Feed to go public

23 June 2020 – Bangladeshi animal feed company, Krishibid feed has announced its plans to go public. It stated that it would raise an IPO of USD 3.5 million for expansions in the livestock sector. Krishibid produces fish, poultry and cattle feed in Bangladesh. The company said it would use the raised capital to set up two factories in Bogra and Panchagarh to capture the northern region market and will also expand its existing factories in Bhaluka of Mymensingh.

Bayer launches ‘Better Farms, Better lives initiative’ to help smallholder farmers

Smallholder farmers to benefit from Bayer initiative.

22 June 2020 – Bayer will be launching the ‘Better Farms, Better Lives’ initiative to assist small holder farmers in Asia, Africa and Latin America weather the Covid-19 storm.
The company announced that the above program would offer seeds and crop protection inputs as well as assistance with market access and support for health and safety needs. “The initiative focuses on providing smallholder farmers with the assistance needed to address the additional challenges they may be facing as a result of the coronavirus pandemic,” said the company in a press release.
The COVID pandemic has caused logistical issues for many farmers globally due to enforced lockdowns which has limited access to seeds, crop protection inputs and labor.
“Smallholder farmers are essential to providing food security to billions of people, but the on-going COVID pandemic is placing extra challenges on their ability to produce food for their communities and beyond,” said Liam Condon, President of Bayer’s Crop Science Division.
Up to two million farmers in these vulnerable communities are expected to benefit from the program.
Bayer will work and expand its partnerships with governments, internationally recognized NGOs and local organizations to reach its goal. This will create a Smallholder Center of Excellence for sharing successes; provide accelerated access to digital farming tools to increase capabilities; scale up existing and new value chain partnerships and further expand value chain partnerships across Asia-Pacific countries.

Singapore plant protein start-up wants to boost local crop

22 June 2020 – by Rajeswari Ramanee – Life3Biotech’s founder Ricky Lin told Asian Agribiz that locally-grown crops will be a crucial focus for his plant-based meat. “We want to create a connective environment in the region which encourages farmers to grow crops such as peas. Pea protein is a main ingredient in our alternative protein formats,” he said. Life3 is a Singaporean start-up producing under the Veego brand, and is in the midst of completing its manufacturing plant in the republic. Mr Lin plans to create a local ecosystem of ingredient supply for his products.

China looks to developing protein rich corn to replace soybean meal

19 June 2020 – The Chinese Academy of Agricultural Sciences has launched a program to breed high-protein corn varieties. Xinhua reported that the program would focus on germplasm resources and use molecular-design breeding. “It will also introduce cultivation demonstration projects and design new animal-feed formula.” Overall the aim is to reduce China’s dependency on soybean meal imports for animal feed- the main source of protein for animal feed at present.
One of China’s major sources of imports for soybean has been the US. US-China trade relations had strained imports with China having to look to countries like Brazil to fill the shortfall. As the pandemic causes further strife with the US, China announced that as of June 1, it would halt all purchases of US soybean.

Demand for wheat from feed and residuals to drop in 2020/21

World ending stocks for wheat 2010-2021.

19 June 2020 – World wheat production will see a slight increase in 2020/21 compared to 2019/20 but at the same time we see a 4.2% decrease in demand from feed and residuals. US Wheat Associates, Regional Vice President, South Asia Region, Matt Weimar presenting at the Asia Trade Exchange 2020 explained that the outlook for wheat in 2020/2021 was stable or slightly higher, as several countries face only marginal increases in production. US, affected by droughts has it ending stocks stand at 24.7mt in 2020/21. World Ending stocks in the meantime stand at 310mt in 2020/21, with China holding the majority of 160mt.

Corn imports picking up after Covid-19 led collapse

Import patterns of corn importing countries 2019/20.

18 June 2020 – Corn imports globally have been picking up since May 2020, according to a presentation made by the US Grains Council.
US Grains Council, Regional Director for Southeast Asia, Manuel Sanchez presenting at the US Asia Trade Exchange said the highest demand was coming from Asean countries and East Asian countries such as Japan, South Korea and Taiwan. These economies have been picking up faster than the rest from Covid-19, thus showing greater demand for animal feed.
In the meantime we see South Asia’s corn imports die down after February as the countries instituted lock downs and braced for the worst of the pandemic. Bangladesh is the main importer of corn in this region and data up to May shows, no activity from the country or the region as a whole.

US corn sees 13.9% increase in production in 2020/21

Corn production volumes of the main corn producing countries

18 June 2020 – US corn stocks are projected to be high in 2020/21 with 84mt in ending stock. US Grains Council, Regional Director for Southeast Asia, Manuel Sanchez presenting at the US Asia Trade Exchange said this would create more competitive pricing leading to higher overall consumption.
According to Mr Sanchez, as of May, 88% of US’s 406mt of corn (projected) in 2020/21 had emerged, with 70% of the crop deemed to be of good quality. Furthermore the June update revealed that as of June 14, 95% of planted corn had emerged with 71% being in excellent condition.

Corn export volumes of the four biggest corn exporting countries.

The US’s closest competitor this year is Brazil which is expected to rake in a good harvest this year. The US Grains Council estimated Brazil’s production to be 106mt. Mr Sanchez however, pointed out that a more realistic estimate would be between 100-102mt. A weakening Brazilian currency will make its exports highly competitive, having an impact on US export volumes.
On the Black Sea front, Ukraine is predicted to have a record harvest and export program with 39mt being produced and 33mt being exported in 2020/21.

US grains exports supports US and global economic growth

17 June 2020 – USSEC’s Asia Trade Exchange 2020 which opened on Monday saw the annual conference go virtual as a result of Covid-19. Addressing a global audience yesterday, US Secretary of Agriculture Sonny Purdue emphasized that global trade remains critical to the health of the US rural economy, while contributing to the wellbeing of farmers throughout the world. “Export of US soy and grains has contributed to the development of livestock production in many countries leading to job creation, economic development and food security – truly a win-win for us all. We offer reliability and a consistent supply that we can be counted on to deliver.”
Check out the event’s program for today here.

Predictions on the future of the global grain trade at US Soy Asia Trade Exchange

17 June 2020 – Covid-19 has had a significant impact on the global grain trade throwing uncertainty into future demand and supply. This year’s program seeks to shed light on this industry with perspectives from US Grains Council, Regional Director for Southeast Asia and Oceania, Manuel Sanchez. Mr Sanchez will address the conference on June 17, presenting on the ‘Global Grain and Grain Products Supply and Demand Outlook’. The US Grains Council is a non‐profit organization that promotes the global use of US grains. Register here.
Watch this space for Asian Agribiz’s coverage of the event.

Insights into trends and challenges at US Soy Asia Trade Exchange 2020

16 June 2020 – International poultry economist, Dr Paulo Aho will take to the stage at the virtual US Soy Asia Trade Exchange program 2020 to discuss the ‘Global Poultry Outlook: Market Trends and Challenges’ this year. The virtual program will take place from June 15-17, with Dr Aho addressing the panel on June 17. Dr Aho brings 40 years of experience in the poultry field to the discussion; which also includes his experiences at leading poultry breeding company Arbor Acres Farms, later purchased by Aviagen. Register here.

US Soy Asia Trade Exchange looks at the new norm post Covid-19

16 June 2020 – Learn what the new normal in consumer markets post Covid-19 would be, at this year’s virtual US Soy Asia Trade Exchange Program. Bringing insights into this space is international agriculture consultant, David Donnan in his presentation ‘The New Normal – Consumers in a post COVID World’ on June 17. Mr Donnan is also a business leader with experience in the agriculture, food and retail industries. During his career, he has managed food plants and consulted to leading global retail and consumer product companies. Register here.

DSM moves in to acquire Erber Group

15 June 2020 – DSM has reached agreement to acquire Erber Group for an enterprise value of USD 1.1 billion. The value of the transaction represents an EV/EBITDA multiple of about 14x the 2020 EBITDA (fiscal year ending September 2020). The transaction excludes two smaller units in the Erber Group.
Erber Group’s specialty animal nutrition and health businesses, Biomin and Romer Labs, specialize primarily in mycotoxin risk management, gut health performance management, and food and feed safety diagnostic solutions, expanding DSM’s range of higher value-add specialty solutions.
Romer Labs also complements DSM’s human nutrition and health offering to food industry customers. The acquisition of Erber Group provides revenue-enhancing synergies from the combined offering, global customer base, and complementary geographic strengths. It also offers DSM the opportunity to enter the mycotoxin risk management market with Biomin’s patented and propriety technology.
Biomin is also a major producer of phytogenic and probiotic feed alternatives to antibiotics, which complements and strengthens DSM’s position in the rapidly growing global eubiotics market for improving animal gut health.
Geraldine Matchett and Dimitri de Vreeze, Co-CEOs of DSM, said: “These are great businesses with strong and sustained track records of profitable growth and attractive margins. Biomin and Romer Labs will help strengthen and accelerate the growth of our specialty animal nutrition and health offering, including our big data and diagnostic capabilities, and it is exciting to be entrusted to take these family-founded businesses forward. It was immediately clear to us that the people at Erber Group share our purpose-led mission and will make a wonderful addition to DSM”.
Dr. Erich Erber, Founder and President of Erber Group, commented: “In DSM, I recognize the mutual values of sustainable stewardship that are so important to us. The world must reduce farming’s environmental impact at the same time as increasing protein production to feed 10 billion people by 2050. To do that, we have to make sure protein is produced sustainably, using renewable ingredients as much as possible, while protecting the well-being of animals. DSM is the perfect home for our businesses, as Biomin and Romer Labs will be able to use their new scale to intensify our joint contribution to a more sustainable world’s food supply”.
The transaction, which remains subject to customary conditions, is expected to close in Q4 2020.

US Soy Asia Trade Exchange looks at changes to global wheat supply

12 June 2020 – Get virtual insights into the changing global wheat supply landscape at the US Soy Asia Trade Exchange 2020 from June 15-17. Presenting on the topic ‘Global Wheat Supply and Demand Outlook’ on June 17 is Mr Matt Weimar, Regional Vice President and Senior Advisor for Asia at US Wheat Associates (USW). Mr Weimar has extensive experience in the Asian region, having worked in various capacities for USW in Asia for the last 33 years. In 2015 he was assigned to USW’s South Asia Region, working from Singapore. Register here.

Vietnam records 12.5% dip in animal feed imports this year

12 June 2020 – Vietnam’s animal feed imports have come down by 12.5% in the first five months of this year, compared to the same period last year.
The number produced by the General Department of Vietnam Customs showed that USD 1.4 billion was spent by the country on animal feed and materials between January-May 2020. This included more than 1.4mt of wheat worth USD 363 million and over 3mt of corn worth USD 633 million.
In comparison, Vietnam has spent over USD 3.7 billion on animal feed and feed ingredient imports during the same period in 2019.
Looking at some of the main export countries to Vietnam, we see Thailand coming up as a top player this year. Last year, Vietnam’s largest suppliers were Argentina, Brazil, China and the United States. This year however, Brazil has been replaced with Thailand.

US Soy Asia Trade Exchange 2020 to discuss impact of ASF on animal protein markets

11 June 2020 – ASF is changing global meat as well as feed markets, making it a key topic at the virtual US Soy Trade Exchange 2020 program this year. Discussing the latest research on this is, Will Sawyer, lead animal protein economist in CoBank’s Knowledge Exchange research division. Mr Sawyer will speak on “ASF Sets a New Normal for Global Animal Protein Markets’ on June 16. Mr Sawyer’s focus in research has been providing market and industry research for the pork, poultry and beef sectors. Register here.

Strong focus on sustainability at US Soy Asia Trade Exchange 2020

11 June 2020 – The second consecutive US Soy Asia Trade Exchange 2020 program will be held virtually this year from June 15-17. Bringing US Soy’s sustainability efforts into focus this year would be USSEC’s Abby Rinne, Director of Sustainability. She will touch on USSEC’s Soybean Sustainability Assurance Protocol (SSAP) as well as the Council’s initiatives towards sustainability in the Asian region on June 16. Ms Rinne was responsible for the development of the SSAP- which is one way US farmers can demonstrate their commitment to sustainability and continuous improvement. Register here.

Hamlet plans to bolster Asian markets

10 June 2020 – Hamlet Protein has renewed its longstanding agreement with Bangkok-based distribution company, Jebsen & Jessen Ingredients. The agreement covers Thailand, Vietnam, Indonesia and Malaysia. The specialty young animal nutrition company looks to expand in Asia, building on local networks and market knowledge. CEO Erik Visser said: “We added local technical and commercial resources to be closer to our customers. We are also working in selected markets to introduce our concepts into the poultry segment, and build on years of experience and research in piglet and calf nutrition/health.”

Malaysia not likely to use barley in feed rations

10 June 2020 – Malaysia does not impose any tariffs on corn imports and so barley will not be a prominent import grain for livestock feeds. Speaking to Asian Agribiz, Matthew Clark, Formulation Specialist at FeedGuys said livestock production in Malaysia is highly focused on a corn-soy diet with a cost of production that is relatively low compared to other countries in Asean.

India continues to show record grain harvests despite Covid-19 interruptions

9 June 2020 – India’s Third Advance Estimates of Production of Grains for the crop year 2019-2020 (June-July) is expected to be 10mt higher than last year’s record harvest.
The USDA in its Grain and Feed report for India on June 1, reported India’s grain production estimate to 295.7mt in MY 2019/2020.
Fair weather, higher planting (and yields) and government minimum support prices have resulted in bumper harvests for corn and wheat in the country, despite temporary setbacks due to Covid-19.
The latest estimate for wheat stands at 107.1mt with 28.9mt for corn in MY 2019/2020. The eastern states of India have had a good rabi crop for corn, contributing to the increase.
The report however expected MY 2019/20 corn production and yield slightly lower at 28mt as “market sources indicate that the government assessments of higher production and yields are optimistic, and may be revised lower after they have the yield data from the crop cutting surveys in the winter planted rabi corn growing states.”
A significant drop in demand from the poultry industry is also lending its weight to the drop in corn estimates. The Indian poultry industry has been taking a severe beating since January 2020 due to Covid-19 rumors. Further since March, it faced severe supply chain disruptions due to the national lockdown.
“The prolonged crisis has caused major losses to the poultry industry, leading to most producers cutting their production capacities and feed use, which includes corn. Market sources report that it may take another six months for the poultry industry to recover,” said the USDA report. Consequently, MY 2019/20 feed and residual estimate is revised lower to 16.8mt (previously it was at 17.2mt). Read More »\

Thailand urged to revoke pesticide ban

9 June 2020 – Grain and Feed Trade Association or Gafta, an international commodity trade body, has asked Thailand to revoke its ban on three pesticides including Glyphosate, Paraquat and Chlorpyrifos as the move could affect grain imports for use as animal feeds. Gafta said Thailand imports commodities from its members that are still using these pesticides under Codex-MRLs standard. They include Argentina, Australia, Brazil , Canada, China and the US. The association said this would hinder their exports. In addition, the association has asked the Thai government to gradually implement the ban in order to give its members time to adapt commodities plantation to meet Thailand’s standard.

Corn prices in Indonesia rebound as feedmillers start to restock

8 June 2020 – Corn prices in Indonesia have started to rebound since early June, as feedmillers have resumed purchase, according to Dean Novel, Director of Datu Nusra Agribisnis, a corn producer based in West Nusa Tenggara. He told Asian Agribiz, the price of corn (15-16% moisture content) on June 4 at farmer level in the province increased to USD 0.24-0.25/kg from the previous USD 0.21-0.22. Meanwhile, the price at trader level, with the same moisture content and date, rose to USD 0.25-0.26/kg from USD 0.22-0.23.

ADM pushes sustainability in feed production

8 June 2020 – ADM Group has announced an ambitious plan to reduce its absolute greenhouse gas emissions by 25% and its energy intensity by 15% by 2035. In Vietnam, the Group has installed biomass boilers in its five facilities across the country to reduce emissions of carbon dioxide, and solar systems to help reduce the energy used in feed production lines. “This is going to have a real impact, and is a key way in which we’re going to continue to give our customers an edge in meeting the market challenges of today and tomorrow,” said Chairman and CEO Juan Luciano.

De Heus completes acquisition of Neovia Indonesia’s feedmills

5 June 2020 – De Heus Animal Nutrition recently completed the acquisition of two feedmills of Neovia Indonesia located in West Java and East Java. Previously operated by the latter’s subsidiaries, Welgro Feedmill and Wirifa Sakti, the two plants last year sold a total of 125,000 tons of poultry, aqua and swine feed. Gabor Fluit, Business Group Director of De Heus Asia said: “This acquisition will accelerate our Indonesian growth strategy. It gives us an excellent opportunity to expand our position in key livestock and aqua farming areas, close to our existing and potential new customers.”

Prisma and feed producers widen use of commercial feed in pig sector

5 June 2020 – Prisma, the Australia-Indonesia Partnership for Promoting Rural Incomes, and nine feed producers have helped develop the pig sector in East Nusa Tenggara. Ferdinandus Rondong, Prisma’s Principal Business Consultant said Prisma supports feed producers in establishing and expanding their pig feed distribution network up to remote areas in the province to increase farmers’ productivity. “We don’t give money to farmers but facilitate easier access to building partnerships among smallholder farmers with the feed producers and other players in the value chain,” he told Asian Agribiz.

Government controls aquafeed registration for food safety improvement

4 June 2020 – The Directorate General of Aquaculture of Indonesia’s Ministry of Fisheries & Marine Affairs has urged aquafeed producers to register their feeds in order to ensure food safety of aquaculture products to end-consumers. Director General Slamet Soebjakto said aquafeed used by farmers must be from facilities that have been certified with good aquafeed manufacturing practices certification. As of April, 1319 aquafeeds had been registered – of which, 1291 are feeds produced by local feedmillers and imported feed, 17 by independent fish farmer groups, and 11 by the Ministry’s technical agencies.

Corn shortage in Sri Lanka continues, affects broiler chick placements

4 June 2020 – Increasing prices of corn is dissuading Sri Lankan poultry farmers from going in for new broiler chick placements. Large scale integrator, Bairaha Farms PLC, reported a drastic drop in DOC purchases between March-May 2020, due to both Covid-19 restrictions and high cost of feed raw materials.
According to corn traders, price of corn has exponentially increased from USD 0.3-0.32/kg in February to USD 0.39/kg at present. Prices are expected to reach USD 0.43/kg or more soon, as the market faces a severe shortage.
Poultry farmers have requested that the government provide them with import licenses for corn to relieve current prices. This has not materialized as of yet, as the Sri Lankan government is seeking to cut down on imports as much as possible, in order to stabilize foreign exchange reserves in the country.

Prisma, feed producers successfully develop pig feed market in East Nusa Tenggara

3 June 2020 – Demand for pig feed in East Nusa Tenggara has grown with a feed distribution sales network developed by feed producers and Prisma, the Australia-Indonesia Partnership for Promoting Rural Incomes. Ferdinandus Rondong, Prisma’s Principal Business Consultant said previously feed producers did not see the province as a potential market because of the traditional farming system. Both parties have helped build farmers’ capacity in pig farming management, and this has boosted feed sales to 600-700 tons/month.

China asks state firms to halts purchases of US soybean, corn

3 June 2020 – Chinese state owned firms have been asked to stop the purchase of US soybeans. The move is in retaliation to US’s statement that it would eliminate special treatment for Hong Kong to punish Beijing.
According to a Reuters report, Chinese firms had already purchased 180,000 tons of soybean for shipment in October-November. A large part of China’s October-November soybean purchases still remain and the latest directive will impact on further purchases.
China has also asked its firms to stop purchasing US pork, corn and cotton.

US-China trade war affects US corn and soybean market

2 June 2020 – Trade war tensions between the US and China are once again flaring up and this is taking a toll on US corn and soybean markets.
With tension between Beijing and Washington rising on the Covid-19 and Hong Kong front, concerns have been rising that China would retaliate with reduced US purchases. As a result, US corn futures fell on Monday (1)- extending losses into a second consecutive session.
According to Reuters the most active corn futures on the Chicago Board Of Trade were down 0.2% to USD 3.25-quarter a bushel by 0116 GMT, having closed down 0.5% in the previous session. The most active soybean futures in the meantime were up 0.3% at USD 8.43-quarter a bushel, having closed down 0.7% on Friday when prices hit a May 26 low of USD 8.37 a bushel.
The USDA has also reported export sales below analysts’ expectations, with 192,400 tons of old-crop and 200,000 tons of new-crop soybeans to China.
In the meantime, China also started selling corn from its own reserves, from May 28 onwards, according to the National Grain Trade Centre. Close to 4mt of corn from the northeastern corn-belt region was offered for sale. Analysts expect more weekly sales to be held until the end of October, when the new crop kicks in.
Corn prices JCI-CORN-HRBN in Harbin, capital of top producing Heilongjiang province, have jumped 15% this year as processors have been caught out by unexpected demand.

USD1.3b needed for drought, salt intrusion control in Mekong Delta

1 June 2020 – Drought and salt intrusion levels in Vietnam’s Mekong Delta in 2019-2020 has reached the highest level in the history. It has affected thousands of hectares of shrimp farms and more than 1 million hectares of rice and fruit groves in the region, according to the Ministry of Agriculture and Rural Development. Deputy Minister Nguyen Hoang Hiep said building inter-regional irrigation systems in Mekong is the solution, and it will cost about USD 1.3 billion. He estimates that by 2030 the project will help control this problem.

Partnership ensures Indonesia gets best value out of Australian grains

1 June 2020 – The Australia-Indonesia Grains Partnership is an important feature of the Indonesia-Australia Comprehensive Economic Partnership Agreement. David McKeon, CEO of Australia’s Grain Growers said it is about Australian industry working with its Indonesian customers to ensure they have the best available technical capacity and advice on how to use Australian feed grain and milling grain. “It will ensure that when they are looking at where to buy their grain, they really know how to get the best value out of Australian grain,” he added.

San Miguel Foods to buy more local corn

29 May 2020 – San Miguel Corp (SMC), through San Miguel Foods Inc, will buy more locally produced corn. It has so far bought 69,000 tons of corn from local farmers. SMC President and COO Ramon Ang said they plan to purchase more corn “in the coming weeks as we continue to secure agreements with farmers in many corn-producing regions in the country.” The company has also called farmers of rice, cassava, coconut oil, and other farm products to sell their produce to SMC in coordination with the Department of Agriculture.

Balitsereal distributes corn seeds to support beef cattle production

29 May 2020 – The Indonesian Cereals Research Institute (Balitsereal) recently distributed 15 tons of hybrid corn seeds to farmers in East Nusa Tenggara. Head of the Institute, Muhammad Azrai said the corn seeds were five superior varieties that are tolerant to drought and can produce an average 12-13.6 tons/ha. Produced at the institute’s research facility in Maros, the corn seeds are to support the corn and cattle production program in the province. This program aims to keep farmers producing corn to buy cattle and to strengthen food security.

Insect meal company secures funding to build largest factory in North America

Beta Hatch, Founder and CEO, Dr Virginia Emery.

28 May 2020 – US based Beta Hatch, the insect-growing startup has raised USD 3 million in Series A1 funding, co-led by Cavallo Ventures, the venture capital arm of Wilbur-Ellis, and early-stage venture firm Innova Memphis.
Klein Private Equity Investment and Brighton Jones Investment Partners also participated.
Founded in 2015 by PhD entomologist Virginia Emery, the company has raised USD 5 million in total equity while also securing USD 4.6 million in state and federal funding.
Currently operating out of a facility in SeaTac, south of Seattle, Beta Hatch will use the cash to continue to innovate on its technology and also move its entire operation to Cashmere, Wash., next year. They hope to make this the largest mealworm production facility for animal feed in North America, with the capacity to produce a ton of insect protein per day.
It is scheduled to be operational in early 2021.
Beta Hatch develops insect-rearing technology that converts organic waste directly into high-value proteins, oils and nutrients for poultry and aquaculture, enabling insects to cost-effectively meet the global scale of demand for plant and animal nutrients.
Beta Hatch has also completed the first published assembly of the yellow mealworm genome. It will be published as part of an open source article in the “Journal of Insects as Food and Feed” this year and serve as a resource for furthering research on the mealworm and other commercially relevant insect species.

Corn prices continue to plunge in India with no takers from poultry

27 May 2020 – Corn prices in India continue to remain low with demand from the poultry industry yet to pick up.
The Indian poultry industry which was severely impacted by the Covid-19 pandemic has yet to fully recover. Many farmers have lost capital and have been reluctant to restock.
Indian media reported corn farmers in Bihar to be selling at prices 50% lower than in 2019. Corn is selling at USD 0.14/kg at present, compared to 0.21-0.29/kg, during the same period last year. Bihar’s corn yield is expected to be 3.5mt this year – 10% higher than the previous year.
The central government in the meantime has fixed corn prices at a minimum support price of USD 0.23/kg during the 2019-2020 kharif season (July 2019-June 2020). Despite this, the lack of demand from the poultry is making it hard for farmers to maintain the minimum support price.

​Drought plagues Thailand’s corn harvest this year

27 May 2020 – Drought stricken Thailand is expected to see a 20-25% reduction in the off-season corn harvests for MY2019/20.
The USDA in its May 20, report, forecast MY 219/20 corn production to decline to 4.5mt- down 20% from MY2018/19.
Despite reduced production, current farm-gate prices of corn are around USD 233/ton, still lower than the government’s guarantee prices of USD 248/ton. The USDA explained that the lower prices were due to an increase in duty-free imported corn from Myanmar, which is allowed to enter from February – August.
Drought has also affected fishery production in the country, with the sector experiencing a 2.2% decline in Q1 2020. Livestock production however has remained resilient with production increasing by 3.8%- mainly due to expanded poultry and swine production. These two industries went through a temporary surge in export demand during the COVID-19 outbreak in the Q1 2020, reported the USDA.

Climate change explains why Asean faces ‘extreme’ mycotoxin prevalence in feed

Climate change increases risk of mycotoxins.

26 May 2020 – Each year, Asean is seeing more of its animal feed contamination with mycotoxins, despite stringent measures to control it. Research shows climate change to be one of the main drivers of this dilemma faced by feed millers in the region.
The recent results of Biomin’s Q1 2020 mycotoxin survey showed the region to be at ‘extreme risk’ for mycotoxin contamination, with close to two thirds of the collected raw commodities and finished feed samples having two or more mycotoxins. Asean in particular had a high prevalence of fumonisins (FUM, 92%), deoxynivalenol (DON- 69%) and zearalenone (ZEN- 66%). These mycotoxins are produced by Fusarium strains, and these fungi grow on the field, colonizing the plant during the growing stages.
Biomin Singapore Pte Ltd, Regional Product Manager – Mycotoxin Risk Management, Michele Muccio told Asian Agribiz that as the Planet got warmer and humid, it created the perfect environment for those fungi.
“According to data that have been presented at the World Mycotoxin Forum in Bangkok in January 2020, the habitat of Fusarium is expanding at a shocking rate of half a meter per year towards the poles, and this is the result of global warming,” he said.
Furthermore, the occurrence of extreme events such as more frequent droughts or heavier rainfalls are producing a greater stress in cultivars and Fusarium is taking advantage of this to attack plants more efficiently.
The comparison of results between the Biomin 2019 Q1 survey and 2020 Q2 survey also shows an increase in the percentage of samples with mycotoxin contamination. For example, there is a 6% increase in the number of samples found to have FUM in Asia, between the 2020 Q1 results and 2019 Q1 results. Fusarium toxins are also the most commonly found toxin in the feed samples- with 9.9 out of 10 samples testing positive for it.
In addition to climate change, Mr Muccio also explained that transport played a major role in the increasing risk of mycotoxins in the region.
“A big chunk of the grains in Asia are imported from other regions such as USA and South America. Some regions like Korea and Japan, are fully based on import for some grains like corn, so global trade is a big player to spread the contamination,” he said.
As for the presence of storage mycotoxins like aflatoxins, the high occurrence is mostly due a combination of poor storage conditions together with the hot and humid climate, “We see the largest occurrence of those in South East Asia and South Asia,” added Mr Muccio.

Indonesian feedmills record good poultry feed sales in March-April

25 May 2020 – Some feedmills in Indonesia recorded good sales of poultry feed in March-April. Timbul Sihombing, Chief Marketing of New Hope Indonesia said this was because broiler farmers postponed harvest due to poor live bird prices. Similarly, layer farmers postponed culling of spent layers for the same reason. “This boosted sales of our poultry feed,” he told Asian Agribiz. “However, I am worried about sales in the May-June period as a lot of broilers were absorbed by 23 poultry companies while farmers reduced chick placements by 40-60%.”

China urges food and grain producers to stock-up supplies

22 May 2020 – Amidst fears of a second wave of Covid-19 outbreak, China has urged trading firms and food processors to boost inventories of grains, oilseeds and meat. Worsening infection rates globally especially in South America disrupting supply lines is another concern. Reuters reported that the Ministry of Commerce urged state-run and private grain traders together with food processors to procure higher volumes of soybeans, soy oil, corns and meat supplies. Brazil, one of China’s large meat and grain partners, is currently experiencing the fourth highest infection in the world.

Thai feedmiller starts using Australian barley in pig feeds

22 May 2020 – by Chakrit Ridmontri – Pig farmers and feedmillers in Thailand have started importing barley from Australia to use in their pig feed rations to offset rising prices of broken rice and feed wheat. Rawat Pokawattana, Managing Director of TWF Group, told Asian Agribiz that the price of broken rice rose 25% year-on-year to USD 406/tonne, making it unaffordable for feedmillers. “Australian barley costs only USD 250/tonne, making it more economical than broken rice and wheat as an energy source in pig feeds,” he said. Mr Rawat said he formulates the pig diet based on published nutritional values provided by Asian Agribiz at the Pig Feed Quality Conference in 2018.

Biomin survey finds Asia at extreme risk of mycotoxin contamination

Prevalence of mycotoxins in samples around the world.

21 May 2020 – The Biomin Mycotoxin Survey Q1 2020 have revealed that two thirds of the collected raw commodities and finished feed samples around the world contained two or more mycotoxins in them.
An analysis of the results from Asia showed most regions to be at extreme risk of feed having mycotoxin contamination.
“China livestock is exposed to a cocktail of Fusarium mycotoxins. In corn, 100% of samples showed occurrence of fumonisins (FUM), deoxynivalenol (DON) and zearalenone (ZEN),” stated the Biomin report.
South Asia was the most at risk region in Asia, particularly due to aflatoxin contamination. It appeared in 80% of the samples (average of positives 79 ppb). This has been reflected in the overall increase in aflatoxin (35%) found in Asia in 2020 compared to 2019.

Types of mycotoxins present in Asian samples by species and year.

The study conducted 22,397 analyses of 5241 finished feed and raw commodity samples from 59 countries between January-March 2020.

Pakistan’s struggles with wheat stocks, drives up wheat bran costs

21 May 2020 – The Pakistan government’s decision to stock wheat has caused a shortage of wheat going into flour mills. This in turn has impacted the availability of wheat bran used for animal feed. Multan based Ryan Feed, CEO, Dr Ahmad Tahir told Asian Agribiz that wheat bran prices to shot up to USD 0.23/kg from USD 0.16/kg. “Our margins are almost nil now” he said. Overall feed prices however have remained stable despite the increase in wheat bran prices. This is due to the onset of the new corn harvests which would help ease raw material prices.

Feedmill automation in Indonesia expected to be higher post Covid-19

20 May 2020 – by Arief Fachrudin – Post Covid-19, the uptake of automation in the feed milling industry in Indonesia is estimated to be higher, according to Timbul Sihombing, Chairman of the Indonesian Feed Producers Association. Operating a feedmill in the new norm is not only about speed, productivity and efficiency, but also about the health status of operators. “Before Covid-19, many new feedmills employed automation in many parts of processing. The old feedmills are not automated yet, but are keeping up with the current trend to be competitive,” he told Asian Agribiz.

Seger Agro exports 13,500 tons of corn to Philippines

20 May 2020 – Indonesia’s agro-commodities sourcing company Seger Agro Nusantara recently exported 13,500 tons of corn to the Philippines from West Nusa Tenggara. “The uptake from local feedmillers and farmers are weak now, hence the export,” said President Director Santoso Leksono Widodo. “We will continue to look for new domestic and export markets to help corn farmers sell their harvest during this pandemic.” Seger Agro is part of Triputra Group, which set up a poultry jv company with the Philippines’ Bounty Fresh Food.

Global soybean demand may decline in future

19 May 2020 – Global soybean demand is starting to plateau and will decline in the years to come, according to Jean-Yves Chow, Mizuho Bank’s Senior Vice President of Food and Beverage. Improving feed conversion rates, an aging population and the rising popularity of plant-based meat alternatives do not bode well for the future of soybean meal consumption, he said during a webinar. “The decade of proteins we just had will be different going forward. ASF will be a turning point for narrowing the protein gap in Asia and that means reduced global soybean demand.”

Myanmar farmers dump corn as China stops buying

19 May 2020 – About 100 tons of corn is being dumped daily into the Shweli River after China suspended exports along the Namkham-Muse gates in Shan State after a resident tested positive for Covid-19. “These are sweet corn that lasts only three days. They are being thrown into Shweli River as they are not allowed to enter China after being harvested,” said U Sai Khin Maung, vice chair of the Muse Fruit Wholesale Centre. The Myanmar Times quoted a local farmer saying that it costs local corn farmers about USD 2100 – 2800 per hectare, and there is no support from the government.

Corn price in Indonesia decline on low demand

18 May 2020 – Corn prices at farmer level in Indonesia have decreased to USD 0.19-0.20/kg, lower than the government’s reference price of USD 0.25 (moisture content at 17%). Chairman of Indonesia’s Corn Farmers Association, Sholahuddin said: “The declining price is mainly due to weak demand from the feed milling industry. Poultry farmers also reduced their production following the poor price of chicken and eggs.”

Vietnam opens to US sorghum imports

18 May 2020 – Vietnam and US have progressed with sorghum trading, with a new pest risk assessment approval by both the US Department of Agriculture and Vietnam’s Ministry of Agriculture and Rural Development. The move will facilitate the issuance of import licenses for sorghum when requested by Vietnamese importers. “Vietnam will be able to meet its country’s grain and feed demands, and US sorghum farmers will have access to a market that has several different sectors as potential end users,” said USGC President and CEO Ryan LeGrand.

Global corn production at peak in 2020-21 as harvest areas recover

Global course grain imports rise as prices drop in 2020-2021.

15 May 2020 – Global corn production in MY 2020/21 is expected to exceed consumption for the first time in four years, according to USDA’s latest report.
The USDA in its report projects record harvests for most of the main corn exporters in the world. The main driver to production is the US, which has seen their corn harvest areas recover this year. Other countries which will recover their harvests in MY 2020/21 are Brazil, Ukraine and Argentina.
The record harvests will also have exceptionally low prices, spurring both feed and non-feed consumption and expansion in global trade.

Corn imports

Looking at the main importers of grain, China is expected to increase its tariff-rate quota level “on expectations for competitively priced feedstuffs.” Domestic corn prices in southern China have remained elevated, while prices at world levels have plunged in response to falling U.S. demand amid COVID-19 and supply pressure.

China to import more coarse grains in 2020-2021.

Brazil sees a 0.5mt increase in corn imports this in MY 2020/21 compared to the previous year, despite record harvests. Smaller carrying stocks and stronger feed use limit exports. Imports rise on expectations of strong demand in southern states where swine and poultry production are concentrated and feed grain supplies are limited. For these southern states, importing corn from neighboring Paraguay and Argentina has been more cost-efficient than trucking from the Center-West.
In Vietnam, similarly we see an increase of 0.5mt of corn imports between MY 2019/20 and MY 2020/21, driven by continued growth of the poultry and aquaculture sectors, along with a recovering swine sector.
Corn in the rest of East Asia (South Korea, Japan, and Taiwan) will see small increases as overall feed demand is expected to experience limited growth. Feed and FSI consumption will be flat in Japan. While corn imports and feeding will grow in South Korea, it will primarily offset lower wheat feeding. Feed demand in Taiwan, despite growing year-to-year, reflects only an anticipated return to its pre-COVID-19 levels.

Corn exports

The main corn exports are projected to come from Ukraine where corn is up 1mt to 33 mt. “If realized, 2020/21 production will be up nearly 9% over the previous year. Comparatively small domestic use relative to production will spur corn exports,” stated the USDA.

Main exporters of corn in 2020-2021.

In terms of global grain trade, prices have been low with bids declining considerably. Since April, US bids have declined USD15/ton to USD145/ton. Demand for ethanol remains weak leading to ample nearby supplies, while weather is largely favorable for planting progress. “US bids are at their lowest level in over 10 years,” noted the USDA.
Argentine bids are down USD21/ton to USD148/ton on harvest pressure and Black Sea bids are down USD10/ton to USD170 reflecting soft foreign demand. Brazilian bids are now seasonally available at USD151/ton. Read More »

Indonesia’s feed wheat imports to touch 2mt, mostly from Black Sea

15 May 2020 – USDA expects flourmills in Indonesia to import approximately 2 mt of wheat for re-sale to domestic feedmills in both 2019/20 and 2020/21. Most of the imported wheat for feed comes from the Black Sea region, as prices remain more competitive than other origins. In line with the estimated decline of domestic corn production, USDA said feedmills continue to include wheat as a key ingredient in feed rations. Therefore, 2019/20 and 2020/21 wheat consumption demand for feed is estimated to be stable at 2 mt.

New Asia sub-continent regional director for Ussec

13 May 2020 – Kevin Roepke has been named Regional Director for the Asia Sub-Continent (ASC) for US Soybean Export Council (Ussec). He currently serves as Regional Director for the Americas region and will relocate to the ASC region when Ussec’s travel safety policy allows. Prior to his work for Ussec, Mr Roepke served as Regional Director of South and Southeast Asia for the US Grains Council.

DNA absorbs farmers’ corn to keep them in business

13 May 2020 – by Arief Fachrudin – Due to extensive social restrictions in more provinces and weak demand from feedmillers, many corn buyers in Indonesia are postponing buying farmers’ corn. The grain’s price on April 29 was USD 0.18/kg, a drop of 50% from early April. To help corn farmers in East Lombok stay in the business, Datu Nusra Agribisnis (DNA) is collaborating with a national bank to buy the corn. Director Dean Novel told Asian Agribiz the corn will be exported to Vietnam. “I hope the government can copy this initiative for other corn producing regions,” he said.

India offers feed formulation software to cattle feed plants struggling during Covid-19 pandemic

12 May 2020 – The National Dairy Development Board (NDDB) of India has offered cattle feed companies software that would help them formulate feed with least cost.
Cattle feed plants have been facing issues of irregular supply of feed raw materials and packing ingredients due to the Covid-19 restrictions. Labour shortages and reduced inter-state movement of trucks have led to a supply chain breakdown for many feed plants.
To keep dairies functioning with the input of compound feed, the NDDB has stepped in to ensure that feed plants are able to continue to produce feed with what is available.
This is where NDDB’s software; Least Cost Formulation (LCF) comes in. It helps reformulate cattle feed for many cattle feed product lines taking into consideration local prices/local availability of regular raw materials. NDDB, Chairman Shri Dilip Rath added, “It can also incorporate novel raw ingredients (such as corn gluten feed) whenever necessary.”
The NDDB has offered its feed formulation support to all cattle feed plants across the country to smoothen the production process.
“Regular use of feed in prescribed quantity increases reproductive efficiency of dairy animals, keeps animals healthy, improves growth rate in young calves, increases milk production and reduces production costs, which will ultimately help dairy farmers to deal with the post Covid challenges,” stated the government agency.

Telangana State Government in India fixes corn prices

11 May 2020 – The Telangana state government in India has fixed the price of corn to USD 0.2/kg to help its poultry industry.
A Cabinet Sub-Committee under the Minister of Animal Husbandry held a meeting with representatives of the poultry sector to look into ways the industry could be helped post Covid-19. This led to the decision of stocking 500,000 tons of poultry feed to be given to farmers who have been severely impacted by the pandemic.
The sub-committee will study the post-lockdown scenario and the poultry policies being implemented in other States. A draft policy on how to revive the state’s poultry industry is to be submitted to the State Chief Minister in the near future.

Philippine feedmillers forced to rethink strategies

11 May 2020 – by Isa Q Tan – The Covid-19 pandemic is forcing Philippine feedmillers to rethink strategies, particularly on modernization and automation. “The movement restrictions showed us that businesses cannot operate when dependent on manpower,” Rey Evangelista, AVP for Sales and Marketing of Universal Feed Mill Corp told Asian Agribiz. “I think this will pave the way for more automated feedmilling operations.” Another industry stakeholder told Asian Agribiz that many feedmillers are looking at “streamlining operations and cut down costs. One of the key factors is labor and how it contributes to the total cost of production.”

US gains greater access to Singapore pet food market

Singapore to see more US pet food brands in its stores.

8 May 2020 – Singapore, as of April 2020 has removed the ban on pet food containing bovine ingredients from the United States. The regulation had been in place since 2007 and prevented the import of all feed containing beef ingredients from the United States.
The USDA in a post update on May 5, stated that they had worked with the Singapore Pet Food Institute and Animal and Plant Health Inspection Service to lift the ban.
This will open up US pet food companies to Singapore’s growing pet food market. In 2019, the country imported closed to USD 49 million worth of pet food- 10% higher than 2018.
According to Euromonitor, pet owners (especially dog owners) are increasingly willing to pay more for premium products. Read more »

ASF prompts drop in Indonesian pig feed production

8 May 2020 – Dwindling herds as a result of African swine fever in Indonesia has caused pig feed producers to lower production. Among them, Cargill has cut its monthly output from 1500-2000 tons previously to less than 1000 tons now. In North Sumatra, the first province to be hit by the disease, “our feed production has dropped by almost half, to 400 tons/month,” Business Development Manager, Sudarno Wiryasentika told Asian Agribiz.

Thailand’s ban on pesticides likely to impact US soybean and wheat imports

7 May 2020 – Thailand’s National Hazardous Substance Committee has announced that it would ban the pesticides Paraquat and Chlorpyrifos effective June 1, 2020.
The USDA in its report on May 1, expected the Thai authorities to adopt a zero-tolerance policy for residues of these two active ingredients (AIs) in food ingredients and food products. The policy is to come into effect as of May 30, 2020 and would potentially affect US shipments of bulk commodities particularly soybeans and wheat hereafter.
The pesticides are still used in the United States. In 2019, US traders exported USD 630 million worth of soybeans and wheat into Thailand.
The USDA however noted that the Thai Department of Livestock Development had not confirmed whether they too would enforce the ban on feed ingredients and feed products.
“According to contacts in the feedmill industry, it is believed that the Department of Livestock Development will not initiate any restriction on the two substances in the near future (at least six months).”
It is uncertain whether a grace period would be granted prior to the regulation being enforced. Read more »

Indonesian feedmillers reduce production

7 May 2020 – Select feedmillers in Indonesia have reduced poultry feed production by 30-40% due to the Covid-19 crisis, according to Audy Joinaldy, President Commissioner of Perkasa Group. Before Ramadhan, he said feedmillers usually increase their production by 20-30% because broiler farmers usually increase chick placements with the hope better sales during the fasting month and Eid Fitr. “But this year, Covid-19 changed the market habit,” he added. With that in mind, he believes the projection for animal feed consumption of 22 mt this year will not be achieved.

Functional feed to boost immunity against ASF

6 May 2020 – by Meliyana – Boosting pig’s immune system with better nutrition is important in preventing ASF, according to Sudarno Wiryasentika, Business Development Manager of Cargill Indonesia. “Since there is no vaccine for ASF, better biosecurity and nutrition is the only way to prevent the disease,” he told Asian Agribiz. Cargill has produced a functional feed which contains essential oils to avoid secondary infections, acidifiers to optimize antibacterial properties, and certain amino acids to boost immunity. He claimed this functional feed can help increase pig’s survival rate.

Bangladesh reaps early corn harvest increasing this year’s production

Corn harvested early in Bangladesh.

5 May 2020 – Bangladesh has received an early corn harvest amidst a supply chain fractured by Covid-19. The country’s Department of Agricultural Extension expects total production to hit 5mt this year. Thus far prices have been positive, with corn selling at 0.2/kg, a 6% year-on-year increase. The Bangladesh Poultry Industries Central Council however expects prices to decline in the future with low demand from the poultry sector. Poultry which drives most consumption has been severely affected by the pandemic with feed demand expected to drop by 40%.

Covid-19 impacts prices of feed micro ingredients

5 May 2020 – The feedmilling industry in Indonesia is feeling the impact of the pandemic on prices of micro ingredients, such as vitamins, amino acids, and minerals. Suaedi Sunanto, President Director of premixer Nutricell Pacific said the prices dropped in early March but increased again as Covid-19 spread globally. The outbreak in China has impacted feed industries in many countries because they rely heavily on micro ingredients from the Asian country.

Wheat and corn crops escape locust infestations in Pakistan

4 May 2020 – Latest reports on Pakistan’s grain stocks show that it is heading towards a record year for wheat and corn harvests.
The locust outbreak in the Punjab and Sindh provinces of the country, thought to have affected the crops, “has largely left wheat crops unaffected,” stated USDA’s ‘Grain and Feed Annual’.
The USDA forecasts wheat prediction in MY 2020/21 to reach 25.7mt- 6% higher than last year’s estimate of 24.3mt.
Wheat planting area has also increased by 4% compared to last year.
Locust attacks however have had a major impact in Bahawalpur, Bahawalnagar and Rahim Yar Khan Districts of South Punjab as well as Dadu, Nawabshah and Sanghar districts in Sindh. Reports show that these have severely impact oilseed crops like rapeseed/canola and fodder crops like Alfalfa.
The USDA warned that “Although the effects of locust attacks on this year’s wheat crop is minimal, it may be noted that these types of incidents in the winter is unprecedented and they are also migrating to new areas. Consequently, locust swarms will be a potential threat for future wheat crops.”

Dairy and aqua drive future corn demand

Corn production in the meantime has been steadily growing and has become the third most important cereal crop in the country. The use of hybrid seed has boosted estimates in MY 2020/21 to 7mt.
Increasing demand from poultry and livestock sectors is driving demand. An estimated 50,000 hectares is used to produce corn silage.
Whilst poultry rules the corn roost at present, the consumption matrix is forecast to change in the next three to five years. The USDA report sees corn consumption shift to the dairy and aquaculture sectors.
“The dairy sector is rapidly developing in Pakistan with number of new commercial dairy farms opening every year. There is also a utilization shift from local cow breeds to Holstein cows and consequently generating demand for higher quality feed requirements.”
Pakistan’s nascent aquaculture sector is also projected to grow quickly and is expected to be another driver for increased corn demand in Pakistan, added the USDA. Read more »

India offers feed formulation software to cattle feed plants struggling during Covid-19 pandemic

30 April 2020 – The National Dairy Development Board (NDDB) of India has offered cattle feed companies software that would help them formulate feed with least cost.
Cattle feed plants have been facing issues of irregular supply of feed raw materials and packing ingredients due to the Covid-19 restrictions. Labour shortages and reduced inter-state movement of trucks have led to a supply chain breakdown for many feed plants.
To keep dairies functioning with the input of compound feed, the NDDB has stepped in to ensure that feed plants are able to continue to produce feed with what is available.
This is where NDDB’s software; Least Cost Formulation (LCF) comes in. It helps reformulate cattle feed for many cattle feed product lines taking into consideration local prices/local availability of regular raw materials. NDDB, Chairman Shri Dilip Rath added, “It can also incorporate novel raw ingredients (such as corn gluten feed) whenever necessary.”
The NDDB has offered its feed formulation support to all cattle feed plants across the country to smoothen the production process.
“Regular use of feed in prescribed quantity increases reproductive efficiency of dairy animals, keeps animals healthy, improves growth rate in young calves, increases milk production and reduces production costs, which will ultimately help dairy farmers to deal with the post Covid challenges,” stated the government agency.

Strong dollar rate drives up animal feed costs in Sri Lanka

29 April 2020 – The strengthening of the dollar over the Sri Lankan rupee is pushing up animal feed costs.
CEO of Arogya Farm Pvt Ltd, Azahim Ali told Asian Agribiz that costs of production for eggs had gone up by 10% due to the higher dollar rate. Most feed ingredients apart from corn and rice is imported into Sri Lanka. Among these is the soybean prices increase from USD 0.47/kg to USD 0.57-0.62/kg over the last month. “Similarly we also see an increase in the price of micro ingredients by about 5-10% because of the dollar rate,” he said.
US Soybean Export Council, Sri Lanka, Consultant, Dr Athula Mahagamage estimated feed prices to have increased by 7% over the last month due to the hike in raw material prices. Apart from the increase in imported raw materials, the poultry industry is also facing a hike in local corn prices. Local harvests are drying up and the government is yet to grant permission for imports. This has created a shortage for corn in the market.

Bangladesh lockdown slows down animal feed demand

Area under corn harvests have grown steadily in Bangladesh, lowering import demands.

29 April 2020 – Covid-19 disruptions in the livestock industry has made the outlook for the animal feed industry highly volatile in the upcoming MY 2020/21.
According to USDA’s report on Bangladesh’ Grain and Feed Annual on April 17, the animal feed sector has started to report low demand. Mainly driven by the slowing down of operations in livestock and poultry operations in the country.
The USDA reported that the “The poultry industry estimates a USD 135 million economic and financial loss due to the Covid-19 pandemic.” Official measures taken to combat Covid-19 in the next few months however will decide the full scale of the impact.
Corn consumption was previously predicted to grow by 3.6% to 5.6mt in MY 2020/21 but this too is expected to be volatile due to Covid-19.
The USDA has lowered its corn import forecast in MY 2020/21 to 1mt, on the assumption of higher domestic production and slow progress in the feed industry to recover from an economic loss in the poultry and feed industry sector as a result of COVID-19.
MY 2019/20 (May to April) corn import forecast remains unchanged at 1.4mt due to competitive international prices and a growing ability for domestic production to meet demand.
Bangladesh had increased its planting in this year, raising the estimated production forecast up to 5.1mt in MY 2020/21 (May-April), assuming normal weather conditions during the season. “The increase in production was the result of a growing demand for corn from Bangladesh’s growing livestock, poultry and aquaculture feed sectors.” Read more »

VDL develops feeding machine for insects

28 April 2020 – Soft hyphen VDL Agrotech recently appointed Tim van Heertum as Project Engineer to focus on the development of feeding machines for insects. “Close cooperation with insect breeders ensures the correct input for the development of the feeding machine. Each breeder uses his own feed curves, which creates variation in volumes, recipes and feeding times. This requires a customized customer solution. That is something we are specialized in at VDL,” he said. Feeding insects is now labor intensive, therefore mechanization and automation are necessary to achieve higher production volumes and to keep the cost efficient.
VDL Agrotech, Project Engineer, Tim van Heertum [Tim van Heertum_VDL Agrotech]

ASF continues to depress feed demand in Vietnam

28 April 2020 – Vietnam’s pig industry has not been able to recover from ASF. According to the USDA’s FAS report, ASF caused a drop of 20% in the pig population and nearly 10% of feed demand in the country in 2019. The report forecasts a further decline in pork production of 5-6% this year will flatten feed use in the country. Cargill’s Vietnam Country President Luan Nguyen told S&P Global Platts he does not expect a significant uplift in animal population in 2020 as ASF is still impacting the industry.

Sustainability driving value creation in feed: ​Nutreco Sustainability Report

KPIs that measure the company’s sustainability.

[27 April 2020 – Nutreco’s Sustainability Report 2019 gives feed companies a look into how feed operations across the board could be improved towards greater performance and sustainability.
The report published on April 22, highlights work done by the company throughout the value chain. Nutreco CEO Rob Koremans in a press release said, “At Nutreco, sustainability remains not only a driving force in our business – it’s the only way we do business.”
In 2019, Nutreco made investments in breakthrough innovation to help the industry produce more food, more sustainably.
Some of the areas they touched on was in producing additives and ingredients in a better way. For example Fysal Solute was introduced as a new feed additive that improved swine gut health and reduced colonization of pathogens in the gut and improved overall immunity. This was to reduce use of antibiotics replace zinc oxide and reduces exposure to E.coli and Salmonella.
Similarly the company also invested in upscaling by products from the food industry to make animal feed. Investments were also made in aquaculture to improve feed efficiency in the shrimp and aquaculture industries with the use of precision feeding techniques.
The company also pursued a partnership with Mosa Meat to explore meat alternatives.
Nutreco in its report gives important takeaway points for Feed Companies interested in moving towards more sustainable production. Emphasis on feed safety practices, introducing guidelines such as the ‘Supplier Code of Conduct’ and constant reporting of internal operations to reduce the environmental foot print are some of the practices followed by the company.

Entries for the Asian Feed Miller Sustainability Award, organized by Asian Feed Magazine, will open on 1 October 2020. Read more about the winner and runners-up of the 2019 award.

DNA anticipates harvest of 4200 tons of corn by May

24 April 2020 – by Arief Fachrudin – Indonesia’s Datu Nusra Agribisnis (DNA), which previously signed an agreement with Indonesia’s Agriculture Ministry to ensure corn supply during the Covid-19 pandemic, has started to harvest its corn in East Lombok and some areas in Sumbawa and Dompu. “We have mobilized 14 units of corn harvesters, 18 operators and six technicians. We anticipate a harvest of around 4200 tons of peeled corn up to May, to meet demand from the feed milling industry, layer farmers and dairy cattle farms for low-aflatoxin corn,” Director Dean Novel told Asian Agribiz.

Philippines in top gear to plant their way out of Covid-19

24 April 2020 – The Philippine government is investing USD 608 million in promoting agriculture to secure its food security concerns amidst the Covid-19 outbreak.
The USDA in its April 20 report stated that the program called ‘Plant, Plant, Plant Program’ would seek to enhance increased production this year.
Funds would go to increasing national agri-fishery production, particularly rice. USD 167 million will be spent on the ‘Rice Resiliency Project’ aimed at increasing the country’s self-sufficiency level from 87% to 93%. The project aims to boost paddy production to 22.1mt or 93% of the country’s total demand (at 14.5mt).
“Integrated livestock and corn resiliency project; expanded small ruminants and poultry project and fisheries resiliency project,” are among the activities proposed.

Vietnamese feedmillers may face feed ingredients shortage after May

23 April 2020 – Covid-19 is impacting shipping and road transportation of feed imports, Vu Anh Tuan, Deputy General Director of CP Vietnam JSC told Vietnam Agriculture Newspaper. Some countries have suspended exports. Mr Tuan said that the existing material storage of CP Vietnam is enough to produce until May 2020. If the pandemic continues, the import of corn, soybean meal and feed additives will be further affected. He predicted a possibility of a shortage of raw materials for the feed industry in the next three months.

Thailand’s cassava exports to New Zealand jumps 400%

23 April 2020 – Cassava exports from Thailand to New Zealand jumped nearly 400% to USD 4.1 million year-on-year in January and February. The increase was driven by growing dairy feed demand in New Zealand, said Auramon Subthaweetham, Director General of the Department of Trade Negotiations. She said 80% of the export is dry cassava pulp, which is a main ingredient in dairy feed. New Zealand’s dairy industry grew 5% last year to USD 10,411 million.Thailand is the world’s largest exporter and its exports were worth USD 2606 million last year.

Zheng Chang completes layer feedmill project in Myanmar

Zheng Chang opens new layer feedmill.

23 April 2020 – Zheng Chang recently completed a layer feed production facility for a customer in Myanmar. The Chinese company provided a comprehensive solution including overall planning, processing technology, civil construction, electrical design and installation, equipment installation and commissioning, and operation training. Equipped with its SSHJ 2d double-shaft mixer and SFSP 112F hammer mill, the new facility has an output of 10 tons/hour.

Avivagen’s takes Thai and Taiwan OxC-beta orders

22 April 2020 – Top Feed, one of Thailand’s leading commercial feedmills is buying Avivagen’s OxC-beta, an alternative to antibiotics with propriety caretenoids technology. The product supports immune functions and promotes general well-being of animals. Top Feed is a large producer of swine and poultry feeds in the country. Meanwhile, Taiwanese Fwusow, a leading feed producer and integrator for both pet and livestock food is also purchasing the same product to be included in their brand lines. Both Taiwan and Thailand are increasingly reducing the use of antibiotics in livestock animal feed.

Fenanza sets up second premix plant in West Java

Ground breaking ceremony at Fenanza’s new premix plant

22 April 2020 – Indonesian premix producer Fenanza recently held the groundbreaking ceremony of its second premix plant in Sumedang, West Java. The 1200 tons/month facility is targeted to start commercial production in December this year, President Director Isra Noor told Asian Agribiz. Once the construction is completed and processing machinery from UK installed, Fenanza will dedicate the second plant to vitamin premix production while the first plant will only produce mineral premix. “The new plant will support our plans for export to countries in Asia,” said Dr Noor.

Indonesian govt assures ample corn supply for feed

22 April 2020 – Indonesia’s Agriculture Ministry has said the supply of corn this year will be more than enough to meet demands from the feed industry. Suwandi, Director General of Food Crops at the ministry said corn demand is estimated only around 1.5 mt/month while the supply in March and April is estimated at 9.3 mt. The ministry is optimistic that this year’s corn production will reach close to 34 mt.

CPF launches eco-friendly feed

21 April 2020 – by Chakrit Ridmontri – CPF has launched an eco-friendly feed for pullets that can be digested effectively, resulting in reduction of pollution from layer farms, according to Dr Pairat Srichana, Senior Vice President of CPF’s Feed Technology Office. He told Asian Agribiz that the eco-friendly feed is an innovation that CPF is developing, aiming to make the feed optimally digestible. This can be achieved through balancing amino acids through enzyme application. “The objective is to find suitable ingredients for formulating diets that perfectly meet nutrient requirements of the animals at different stages of their life-cycle. The finding would result in improving growth performance and health of the animals, while reducing waste to zero and save production cost,” he said.

Soy from South America eases China’s supply shortage

21 April 2020 – Soybean crushers in southern China are receiving beans again from South America, easing supply shortage, crushers and analysts said. Chinese buyers bring in soybeans to crush into soymeal for the livestock sector and cooking oil, but rains in Brazil in late February delayed the harvest and exports, reducing soybeans and soymeal inventories in China to record lows, forcing some crushers to curb operations. With weather conditions improving, shipments from the South American country are expected to land at China’s ports in large volumes over the coming weeks.

West Nusa Tenggara’s to achive USD582m from corn revenue

21 April 2020 – The turnover of the corn business in West Nusa Tenggara, Indonesia this year is predicted to reach USD 582 million, assuming production reaches 2.6 mt. Husnul Fauzi, Head of the province’s Agriculture and Plantation Agency said the Covid-19 outbreak has not affected corn demand from the feed milling industry. “Trade and distribution is also progressing as normal because the central government has identified corn as an important feed and food ingredient during this pandemic,” he said.

Double challenge for Vietnamese farmers as feed price surges

20 April 2020 – Prices of all animal feeds have increased by USD 4.29 – 15/ton in the last two weeks. Some feed producers told Asian Agribiz, the price increase is due to the rise in price of imported ingredients as a result of Covid-19. Meanwhile, the price of poultry meat remains low due to low demand. Farm-gate price of broiler is at USD 0.43/kg, only half of the production cost.

Shrinking feed production in Thailand

20 April 2020 – Feed producers in Thailand will have to lower their production by 5-10% to fit shrinking demand for feed due to Covid-19, according to Pornsil Patchrintanakul, President of the Thai Feed Mill Association. He said feed consumption would partially recover in the next few months if the disease is controlled. “Even so, if other countries are still affected, our feed industry won’t get back to the same level as pre-outbreak due to uncertainties in exports,” he said.

Highlights from the US Soy Connection: Global Digital Conference and Situation Report

17 April 2020 – Presentation by Thomas Mielke, Editor and CEO of Oil World:
– Covid-19 is having a major impact on consumption, production and logistics of global oil seed.
– Going to see a reduction in the global production of oils and fats

– World stocks of soybean expected to decrease by 14% YoY. US crops show a shortfall of 24mt this year.
– South American exports of soya meal and oil are falling short of expectations- production stagnating or on the decline this year.
– Brazil was main exporter to China last year but it decreased between December 2019 and February 2020 as stocks declined, China expected to switch to US for soybean.
– US expected to plant more soybean next season as US corn prices collapse and ethanol production drops. This means that the US could have a record crop at the end of the season.
– Soybean meal demand is being driven by China. Chinese soybean imports increased- by 8mt in between October 2019 and February 2020, compared to a year ago. US contributed to 12.8mt of total imports to China during that period, compared to just 1mt the previous year.
– We see rising dominance of soybean oil amongst the vegetable oils. Prominence of fish and rapeseed meal are shrinking. Sun flower oil shows a slight increase with prices also on the rise as Russia bans sun flower oil exports. Palm oil on the other hand is set to decline drastically.

– Malaysian palm oil production is on the decline due to low yields and labour shortages and travel restrictions due to Covid-19 restrictions. Plantations don’t have the labour for second half of the year. Indonesian production of palm oil is also lower than expected lately due to tightening in production. Demand for palm oil has also hit an all-time low with decreases in biodiesel production in Asia, EU, South America and the US (consumption has decreased by 1mt). World production of palm oil expected to be down by 2mt-2.5mt.
– The length of the lockdowns is important for consuming countries and this will affect overall food demand. Global markets will react to changes in the side of production.
– Home consumption food is rising though it is down in restaurants. It is hard to say if we are gaining or losing. Big retail chains report a 12-13% increase in sales. But with institutional sales down, it would be a net loss during this period and we have to consider negative impacts of the recession that is coming. Reduced overall income amongst the populace is going to have an impact on consumption.

Import-exports stuck at Indian ports as staff don’t report to work

16 April 2020 – Indian ports continuing to face issues due to a shortage of labor with the Covid-19 lockdown. The USDA in its latest report on the situation of Indian ports noted that all eight of the main ports in the country were not functioning as required.
In Mumbai, the port experienced massive backlogs due to the lack of administrative personnel, truck drivers and crane operators. In Mundra, congestion was rising as importers and custom house agents faced difficulties in clearing containers. The situation is similar in Tuticorin, Chennai and Mangalore.
The ports of Kolkata and Kandla have declared force majeure from March 22- April 15, stating that they would not be responsible for any claims.
In Cochin, the Chamber of Commerce and Industry reports a decline in imports as a result of less containers arriving from China, “This affects the flow of exports as these containers are used to export goods to the Middle East port,” said the USDA.
The above situation spells disaster for all of India’s agricultural exports and imports. In the feed industry, it is expected to increase the price of feed additives, with less supplies coming in from China.

Malaysian poultry industry drives steady growth of corn imports

The upward trend in poultry production and consumption in Malaysia from 2013-2019 (Malaysia poultry meat production and consumption 2013-2019).

15 April 2020 – Steady growth in the Malaysian poultry industry is expected to increase corn imports in MY 2019-2021 to 4.05mt- a 9.3% increase from the previous marketing year.
Poultry trends have also impressed upon forecasts in 2020-2021 to increase to 4.08mt.
Malaysia imports most of its corn from South America with more than 90 percent coming from Brazil and Argentina in MY 2018/19.
Poultry accounts for over 85% of the Malaysian livestock sector and according to the Malaysian Department of Veterinary Services, national poultry production and consumption have steadily grown over the past several years.
Despite this growth, USDA’s April 6, 2020 GAIN report noted that local feed millers were increasingly opting to replace a portion of the corn used in feed formulas with other, cheaper grains (such as low quality, broken rice from local mills).
With this taken into consideration, the USDA forecasts only a 7% increase in corn consumption for feed in MY 2019/20 at 3.75mt. In MT 2020-2021corn for feed consumption is forecasted to increase slightly to 3.8mt. Read More »

Brazil forecasted to have a dip in corn production this year

Top countries Brazil exports corn to from MY 15-16 to MY 18-19 (Brazil Corn exports by destination MY 18-19).

15 April 2020 – Brazil’s corn production for MY 2019-20 (March 2020-February 2021) is forecasted to be lower as the country suffers from poor yields this year.
USDA April 6, 2020 GAIN report forecasts production to come in at 100mt this year- 1mt lower than previous year’s yields.
“This change comes on the back of poor yields in Rio Grande do Sul’s crop after a prolonged dry spell, which has in turn lowered the forecast for the average crop yield,” stated the report.
The GAIN report further predicts a 3% increase in corn production in MY 2020-2021 (March 2021-February 2022). Production next year is expected to be at 103mt with 1.85mHa being planted.
Brazil’s corn exports in MY 2019-2020 faces a 15% drop to 34mt, after an extremely profitable 2018-2019 export year. The USDA noted that record exports of 40mt in MY 2018-2019 have severely depleted stocks in the country. Stock that is left over is being used internally by Brazil’s poultry and livestock sectors. The latter are would use up a greater portion of the harvest this year.
Predictions for MY 2020-2021 exports have been colored by Covid-19 impacts on the Brazilian economy. The Brazilian economy has suffered greatly with Covid-19 shutdowns, making its currency; Brazilian real (BRL) depreciate significantly in relation to the US dollar. A weak BRL and US weather issues however helped Brazil’s corn remain competitive in the export market in MY 2018-2019.
Similarly the USDA predicts MY 2020-2021 export forecasts to increase to 36mt based on competitive pricing. The slight increase in exports is also based on the forecast that production would only increase by 3% next year. Read More »

USSEC assures Chinese buyers of stability in US soybean market

14 April 2020 – US Soybean Export Council (USSEC) China held its first ever webinars for Chinese importers and buyers interested in purchasing US Soy. USSEC in a press release noted that this “provided an alternative approach for China’s importers and buyers of US soy during the Covid-19 pandemic.”
The webinars attracted nearly 240 attendees from more than 80 companies representing soybean importers, crushers, feed millers, and animal integrators, many of whom organized their marketing and procurement teams to attend the webinars in their meeting rooms.
The signing of the Phase I Economic and Trade Agreement with the US at the beginning of 2020 provided the industry with promising prospects for U.S. – China soy trade. Shortly after the signing, however, the Covid-19 outbreak began in China, soon becoming a pandemic.
“This ‘Black Swan’ event, coupled with collapsing global petrol and equity markets, has cast great uncertainties over the soybean market. The webinars addressed the industry’s increasing concerns on what will happen and what should be done in light of potential supply issues caused by the pandemic in major soybean exporting countries and other marketing influencing factors,” said USSEC.
Chinese buyers had been interested in the possible impact Covid-19 on US planting acreage, grain elevator operations, export programs, Chinese purchases of US agriculture products under the Phase I Deal, and Chinese domestic demand for soybean meal.
“The discussion was helpful to build buyers’ confidence in US soybean supply reliability,” added USSEC.

Covid-19 opens the door to the digitization of international grain trade

13 April 2020 – Covantis, a tech company focusing on digitizing international trade has received regulatory approvals to take international grain trade online.
The company in a press release stated that was incorporated as a legal entity in Geneva, Switzerland as Covantis SA.
The company is co-owned by ADM, Bunge, Cargill, COFCO, Louis Dreyfus Company and Glencore Agriculture.
Covantis has also taken steps to appoint a new CEO and Board of Directors to manage the new entity. “Petya Sechanova has been appointed as the CEO,” said Stefano Rettore, an independent advisor to the organization. “Petya brings a wealth of industry knowledge to Covantis and has been fundamental in shaping the initiative since its inception in 2018,” he added.
Ms Sechanova explained, “We’re excited to create Covantis as a company. This paves the way toward launching the first release of our industry-changing digital solution, focusing initially on grains and oilseeds post-trade execution processes.”

She added that a familiar call with stakeholders around the world and up and down the value chain, has been how critical it was for the entire industry to modernize outdated global grain trading operations. “Now that we’ve received regulatory approvals and incorporated Covantis as a legal entity, we focus on the preparation of the 2020 launch of the new platform,” she added.
A Board of Directors consisting of one member from each of the six co-founders will oversee the company and help to guide its evolution. The Board will be chaired by one of the Directors and will rotate annually. The Director appointed by Louis Dreyfus Company will act as Chair for the first 12 months.

Thailand ranks the fourth biggest pet food exporter

10 April 2020 – Thailand has become the world’s fourth largest pet food exporter after the EU, the US and China. It exported pet food worth over USD 1,693 million in 2019, a 4% increase year-on-year. Auramon Supthaweethum, Director General of the Department of Trade Negotiations said Thailand’s pet food exports were significantly boosted after 15 countries removed import tariffs for pet food as a result of free trade agreements. These countries included Asean members, Australia, New Zealand, Chile, Peru and Hong Kong.

LDC-Temasek- Barramundi Asia collaboration develops sustainable feed for barramundi

10 April 2020 – Louis Dreyfus Company (LDC) has announced a research partnership with Temasek Life Sciences Laboratory and Barramundi Asia to develop optimal feed for the rearing of barramundi on a commercial scale. The program will involve developing and testing new formulations that deliver improved feed efficiency, strengthened immunity, and promote sustainable aquaculture through the use of sustainably produced and healthier ingredients. Temasek will lead the R&D, with Barramundi Asia providing access to its farms and nurseries for trials, and LDC contributing to research funding and supporting the trial implementation.

Association pushes for unrestricted feed distribution

9 March 2020 – by Meliyana – The Indonesian Feed Producers Association has asked the government to ensure unrestricted distribution of feed ingredients and complete feed if regional quarantine is implemented due to Covid-19. General Chairman of the association, Desianto Budi Utomo told Asian Agribiz that those products are strategic and directly related to national food security. “If its distribution is disrupted, livestock and aquaculture sectors will be affected, as will supply of animal protein,” he said.

Trouw deals with mycotoxin challenge during Covid-19 times in webinar

8 April 2020 – Trouw Nutrition India will be holding a webinar titled ‘2019 global harvest data-mycotoxin impact on animal production ’ on April 8, 2020 at 12.30-1.30pm and 7.30pm-8.30 (India Standard Time). Trouw Nutrition, Global Programme Manager, Dr Swamy Haladi will be conducting the seminar and will help dissect the mycotoxin data. He will also explain the implication of different contamination levels in various animal species. “In these uncertain times it is even more crucial to be aware of the challenges that arise because of differences in growing and storing condition of raw material,” said Trouw. Click here to access the webinar.

Banten province to export 126 tons of CGM to Vietnam

8 April 2020 – A corn gluten meal (CGM) producer in Banten province, Indonesia will export 126 tons of the feed ingredient valued at USD 62,500 to Vietnam. Raden Nurcahyo, Head of the Agricultural Quarantine Agency in Cilegon said the meal has passed several quarantine checks. He said CGM exports from the province last year reached 5500 tons valued at USD 1.41 million, mainly sent to Thailand and India. He predicts the volume this year will drop due to Covid-19.

USSEC hosts digital conference to discuss Covid-19 situation

7 April 2020 – The US Soybean Export Council will be hosting the US Soy Connection: Global Digital Conference and Situation Report on April 14 and 15, 2020. This virtual event strives to provide the global customers of US Soy with the most updated information. The digital event would have speakers discuss: Reflections of Global Supply and Demand in light of the COVID-19 Pandemic, Implications of Black Swan Events on the Global Soy Market Place, US Soy’s Ability to Meet Export Demand and US Soy Producers’ Outlook. Sessions
Would be held over two days with distinct topics presented each day. For further details and registration, click here.

Raw materials in Bangladesh stuck at port with testing facilities closed

7 April 2020 – Raw materials imported for poultry feed in Bangladesh are stuck at the Chittagong port with testing facilities closed. The Bangladesh Poultry Industries Central Council (BPICC), President, Mashiur Rahman told media that the Poultry Research and Training Centre, the lone testing body in the country was closed. “We cannot get our imported raw materials released from the port as a result”, he added. Mr Rahman has requested that the government waive the demurrage fees at the Chittagong port due to the delays caused due to the lack of adequate testing facilities.

DNA ensures feed corn availability amid Covid-19

6 April 2020 – by Arief Fachrudin – Corn producer Datu Nusra Agribisnis (DNA) and state-owned agriculture company Pertani recently signed a joint agreement on corn availability with the Agriculture Ministry. DNA’s Director Dean Novel said DNA and Pertani are responsible for supply and distribution of the grain and will help stabilize the price. Meanwhile, the Ministry provides data and information of corn availability and demand. Based in East Lombok, DNA supplies corn to the feed milling industry and layer farmers. “DNA and its farmers are committed to ensure supply amid the Covid-19 pandemic,” he told Asian Agribiz.

Indian pet owners running out of pet food amidst lockdown

India faces a pet food shortage.

6 April 2020 – Pet owners in India are experiencing a shortage of pet food due to distribution disruptions from the lockdown. Mars Pet Nutrition India which imports Pedigree, Whiskas and IAMS, also noted that imports have not reached India due to the Covid-19 outbreak in source countries. Remaining supplies are being hoarded and sold in the black market, under inflated prices. Prices of locally produced pet food is expected to rise in future as raw material prices increase with supply breakdowns.

Cargill India chief expects recovery from Covid-19 to take 12-18 months

3 April 2020 – Cargill India is working closely with the Indian government to smoothen supply chain disruptions. Cargill India, President, Simon George told the media this week that feed companies faced many challenges in transport due to the lockdown in the country.
He hoped supply chains to improve as the stakeholders got used to the ‘new normal’. Overall recovery of the food industry after Covid-19 however he estimated would take 12-18 months.
“At present, there are still some challenges around transportation, particularly regarding inter-State movement of raw materials, ingredients, packaging material and finished goods,” he said.
Cargill has temporarily shut down some of its non-essential operations in the country such as the production of bio-industrial solutions to better concentrate on producing essential commodities.
“We are working hard to keep our operations running, as we supply essential commodities like edible oil, wheat flour, feed for dairy, poultry and aqua farmers in India, which are critical to feed people and animals,” said Mr George.
Cargill’s poultry feed business has taken a major hit recently with the Indian poultry industry facing a drastic decrease in demand.
“It is very unfortunate that poultry farmers and the entire poultry supply chain is facing this unprecedented decline due to a rumour that has no scientific rationale,” he said.
According to Mr George, the global economy could take a while to recover, even after the coronavirus has run its course, as the focus would be on winning back consumer confidence.

EW Nutrition launches webinar series

3 April 2020 – In serving the animal production industry in these challenging times, EW Nutrition has started a series of webinars on challenging issues such as neonatal pig management, poultry gut health and more. Called the Partners in Progress – Connect series, the first will be on April 7 titled ‘The silent epidemic: Antimicrobial resistance. How to prevent the next crisis’. It will be at 8am CET. Click here to register. The next titled ‘Gut health: Managing the interaction of myco and endotoxins in poultry production’ is scheduled for April 8 at 8am CET and 5pm CET. It will address the topic of gut endotoxins, their interactions with feed-borne mycotoxins and their effects in animal welfare, health and productivity. You may register for the 8am session or register for the 5pm session.

Lockdown affects feed transport across India

2 April 2020 – India’s lockdown is affecting the transport of feed to poultry farms across the country. The Hindustan Times reported that farmers in Haryana had to bury chicks as they were starving.
Rajbir Singh, owner of a poultry farm in Bhiwani, Haryana, has buried over 12,000 birds alive in the last 10 days due to acute shortage of feed.
Mr Singh noted that the situation was unlikely to improve till August. Similar crisis are affecting farmers across India despite the availability of feed. The nationwide lockdown has snapped the supply of feed. The lockdown in India is to last until April 15. Read more »

Nepal poultry running short of feed ingredients as Nepal-India border closes

2 April 2020 – Nepalese poultry producers are running short of feed ingredients with the closing of the India-Nepal border. Om Shree Pashupati Breeders, Director, Brajen Ksh told Asian Agribiz that the industry mainly depended on India for feed ingredients and additives.
The shortage comes at a time when the industry was already suffering from high feed prices due to a corn shortage.
“We have been having corn shortages for the past 8-9 months,” he added. Despite new harvests beginning in November 2019-January 2020 in certain areas of India, Mr Ksh explained that they were yet to come into Bihar, West Bengal and Uttar Pradesh- where Nepal mainly got its supplies from.
The Covid-19 scare in Nepal is also keeping customers away from poultry, causing a further strain on the finances of farmers,
“High feed costs coupled with lower margins on the broiler and layer sector is going to reduce the farming community in Nepal,” said Mr Ksh.

ASF will continue to dampen Philippine demand for feed wheat

1 April 2020 – Philippine imports of feed wheat are expected to fall in marketing year 2020-21 due to the continued spread of ASF in the country. According to the USDA, the country’s total wheat imports will decline due to lower hog feed demand as farmers stop or reduce production due to ASF. Feed wheat is used more by pig farmers than poultry farmers, who prefer to use corn in their birds’ rations. While previously considered a corn substitute, the USDA said feed wheat is now an integral part of hog feed rations. However, concerns regarding are ASF will pull down feed wheat consumption in the Philippines by 250,000 tons to 3mt in 2020-21.

Japan feed industry shows stable growth in 2020-21 as Covid-19 impacts spare industry

31 March 2020 – Covid-19 has reportedly spared the feed industry in Japan with feed consumption and production not being affected as of yet.
This is coupled with the expectation that the growth of the Japan’s animal protein industry would be stable in 2020-21.
USDA’s GAIN report on Japan’s ‘Grain and Feed Annual’ on March 19, 2020 explained that demand for feed in Japan in 2020-21 would ‘remain stable’. This would be a continuation of the trend in 2019, where the USDA observed, “Strong demand from the poultry sector, slight gains in beef production, and flat pork production, despite the outbreak of Classical Swine Fever and the subsequent culling of hogs, only contributed to the modest feed production gains in 2019.”
Corn production in the meantime is forecasted to be 2,000 tons in 2020-21 and would be selling at a competitive price. This would encourage feedmills to substitute more sorghum with corn.
“Feedmills will look to continue taking advantage of competitive corn prices, having already increased the ratio of corn in compound feed to 48.6 percent, the highest since 2009-10,” stated the report.
Given the demand for corn, Brazil has been able to overtake the US from October 2019-January 2020 as the primary supplier of corn to Japan. During these months, Brazil’s share of the Japanese corn market came to over 70%.
“Industry sources indicate the low protein content and high stress crack ratio of the 2019-20 US corn crop was another factor driving demand for Brazilian corn in Japan,” stated the USDA.
Despite these challenges, imports from the US is expected to rebound for the remainder of the year as supplies from Brazil dwindle. Read more »

Indonesia explores potential of Maggot meal-based fish feed

Maggots make good source of fish meal.

31 March 2020 – Indonesia is very interested in promoting maggot production facilities in the country. The Ministry of Fisheries and Marine Affairs plans to set up seven industry-scale maggot production facilities to produce low-cost aquaculture feed. Maggot meal is a potential alternative protein source for fish feed, according to an Indonesian maggot farmer, Yosep Purnama. He said the use of maggot meal by 30-35% in tilapia feed can generate a feed conversion of 0.8. If the same percentage of maggot meal is included in carp feed, 0.85-0.95 of feed conversion can be achieved. “With maggot meal, cost of feed raw materials can be saved by 50-60%,” Mr Purnama claimed. He believes the boom of maggot farming in the country will support the development of the aquaculture industry.

West Manggarai govt asks pig farmers to use home-mixed feed

30 March 2020 – The government of West Manggarai in East Nusa Tenggara urges pig farmers in the regency to produce their own pig feed as a preventive measure towards ASF recently confirmed in the province. Head of Livestock and Animal Health Services Agency in the regency, Theresia Asmon said the agency intensively educates farmers to stop using leftovers from hotels and restaurants for swill feeding. “They can do home mixing by using locally available ingredients such as banana stems, cassava, rice bran and taro leaves,” she added.

SPECIAL FEATURE: Covid-19 puts pressure on supply of micro-ingredients from China

27 March 2020 – Indonesia’s animal feed industry began feeling the impact of the Covid-19 outbreak in early February when many micro-ingredients from China started to be unavailable.
These included vitamins, minerals, amino acids, dicalcium phosphate, sodium bicarbonate and other feed additives. Their short supply has put pressure on farmers fearing for their animals’ growth performance.
“The impact of Covid-19 in China has been split into two streams: availability and price,” A Harris Priyadi, Secretary General of the Indonesian Veterinary Drugs Association, told Asian Agribiz.

A slowdown in shipments from China affects supply of micro-ingredients to Indonesia .

“Some producers who have ready stock can’t deliver their products due to transport limitations and the temporary closure of some seaports. Because of this, deliveries are being delayed,” he said.
Mr Priyadi has also been seeing a sharp rise in the price of calcium pantothenate and vitamins A, E and D and biotin since early February.
Higher cost
“Some micro-ingredients can be imported from Europe, but at an additional cost of around USD 2.5. The final price in Indonesia will be higher,” he said.
He believes animal feed prices in Indonesia will continue to rise beyond April, “but the situation will quickly recover if a cure is found in the near future and the situation normalizes”.
Timbul Sihombing, Chairman of the Indonesian Feed Millers Association admitted that his members’ dependency on Chinese-made feed micro-ingredients continues to be high. With the Covid-19 situation in China, he said prices of some micro ingredients have increased to varying degrees.
“We have told farmers that the price of poultry feed will increase in the near future. Not only because of the higher price of micro-ingredients, but also the high price of corn,” Mr Sihombing told Asian Agribiz.
If the Covid-19 situation worsens in China, he expects a downward revision of the anticipated 6% growth in Indonesian animal feed consumption this year.

Thai Union launches insect protein

26 March 2020 – After investing USD 5 million in an Isareli insect protein start-up, Flying Spark, Thai Union Group in Thailand, is now ready to launch the product in March. The company plans to spend USD 30 million on food innovation. It is collaborating with the National Innovation Agency and Faculty of Science, Mahidol University by encouraging 23 food tech start-ups from Germany, India, Norway, Singapore and Thailand. CEO Thiraphong Chansiri said the initiative is expected to produce 60 foodtech enterprises within three years.

Sri Lankan government comes down strong on corn traders

26 March 2020 – The Sri Lankan Government will take strict action against traders who hoard corn this season. The President’s Office said the Consumer Affairs Authority would investigate a “racket to push up domestic corn prices.” The government estimates 300,000 tons of corn to be harvested, starting end April. Pussalla Meat Producers, Managing Director, Dilshan Wewita told Asian Agribiz that the harvest could be less than expected, “It is good if the government can get the traders to release stocks to prevent a price hike,” he said.

India to expect bumper harvests this year despite crashing corn prices

25 March 2020 – Corn prices in India are plummeting with few takers from the poultry industry. In the last two weeks, markets reported a price drop of 35%. Price have decreased from USD 0.23/kg to USD 0.15/kg. Covid-19 rumors circulating on social media had resulted in many staying away from chicken. Reports estimated a 50% drop in demand for chicken in India with the industry facing losses of up to USD 1.35-1.75 on every bird.

Indian corn prices have been steadily rising and spiked last year, only to come down in the last two months as Covid-19 shuts down the Indian industry.

Apart from weak demand, greater supply in the upcoming season (rabi) is also easing corn prices. The USDA Gain Report for March 2020 stated that India was heading toward a bumper wheat and corn harvest in 2020/2021. Consequently, the USDA estimated the 2019-20 corn production at 28.5mt, marginally higher than the Indian Government’s second advance estimate of 28.1mt.
“Market sources expect domestic prices to ease further with the harvest of rabi (winter) corn in Bihar and eastern India from end March,” stated the USDA report.
When it comes to wheat, estimated projections for production in 2020/21 stand at 106.2mt. Favorable weather between end March/April however could increase this further to 110mt in 2020-21. Read more »

ADM sets sight on new markets with factory in Vietnam

24 March 2020 – ADM is venturing into new feed markets, after opening a USD 22 million factory in Ha Nam province in Vietnam at the end of 2019, when ASF was still at its peak. The plant specializes in rabbit, horse and pet feed, in addition to its traditional products for swine, poultry and aquaculture. “Within the next two years we plan to become a major player in the feed market with multi-species and multi-activities consisting of shrimp, fish, frog, pet and premix,” ADM Animal Nutrition’s President, Pierre Duprat, told Asian Agribiz.

More soybean from Brazil this year

24 March 2020 – Brazil has reported record soybean harvests with an estimated 126 million tons expected in 2019/2020 and is expected to overtake the U.S. in soybean production.
The USDA March report said production would be 8% higher this year compared to last.
“Soybean area continues to increase, and this year Brazil will overtake the United States as the world’s leading soybean producer,” said the USDA.
The Brazilian harvest which began in January will continue through late May. By late February, approximately 40% of the crop had been harvested and harvest progress is well ahead of the five-year national average pace of 36%. Read more »

Feed demand by sector in Thailand.

Feed price in Vietnam spikes on short supply

23 March 2020 – by Ha Thu – Since the end of February, feed producers in Vietnam have increased their price by USD 0.011 – 0.015/kg. “Feed ingredients are not priority and feed manufacturers are finding it difficult to import raw materials from China,” said Mai Thanh Dieu, Director of Vietnam Animal Nutrition Company. A feed additive distributor told Asian Agribiz that materials such as micronutrients are not coming through from China due to border closure. This has forced producers to switch to alternatives with limited availability and priced higher.

Soybean and oilseed imports to China rise as swine sector recovers

20 March 2020 – A slow but steady recovery of China’s swine sector is driving demand for oilseed in the country. The USDA in its GAIN report on March 19, 2020 forecasted oilseed demand to rise to 148mt in 2020-21.
“Driven by increased swine feed consumption, total protein meal feed use is forecast up 2% and soybean crush volume is forecast up 3% 2020-21 compared to the previous marketing year,” added the report.
The swine sector is also driving increased soybean imports into China, with the forecast for 2020-21 imports reaching 86mt.
On February 18, 2020, China announced a new round of exclusions from the additional tariffs, with soybeans listed as an eligible product for applications by individual importers. Read more »

Lockdown in Kerala and Karnataka leaves pig farmers with no feed

20 March 2020 – by Zahrah Imtiaz – Indian swine farmers in Kerala and Karnataka are facing feed shortages as the state has shut down all public spaces because of the Covid-19 outbreak. DLG Farms CEO, O.K. Sanjit told Asian Agribiz that many farmers were relying on hotel waste to feed the pigs. “Many are resorting to feeding broken rice,” he said. With many of the food establishments also closed, farmers are also unable to sell pork. DLG Farms supplies piglets and Mr Sanjit explained that their operations too were down with few farmers wanting to restock.

Thailand to reap bumper corn and rice harvests in 2020-21

19 March 2020 – Rice and corn harvests are making a comeback in 2020/21 with favorable weather conditions and better pest conditions this year.
USDA’s 2020 ‘Grain and Feed Annual’ Report on Thailand noted, “Rice exports are expected to be more competitive in 2021 due to larger exportable supplies. 2020/21 feed wheat imports are likely to continue an upward trend in line with growing livestock production as domestic corn production is still insufficient.”
The USDA estimates Thai rice production to at 21mt (an increase of 17% from 2019-2020). Further, rice consumption expected to increase due to tourism recovery and increased swine feed demand. Consumption in 2020-21 is forecast to increase to 11.8mt -up 5% from the previous year.
Thai corn production will also experience a resurgence in 2020-21 to a record 5.6mt. The country’s successful management of the fall armyworm threat has helped it increase production this year by 25%.
“However, domestic corn production is still insufficient for the growing demand for feed from poultry and swine sectors,” noted the USDA.
To meet demand from broiler and swine sectors, feedmills are moving to import more feed wheat rather that corn under the ‘domestic corn purchase requirements’. This estimates feed wheat imports to increase to 1.8mt in 2020-21. Read more »

Suguna prioritizes feed production with IFC funding

18 March 2020 – Suguna Foods Private Ltd (SFPL) will spend a portion of its USD 67.2 million from the International Finance Corporation (IFC) to set up feed facilities in North India. “As we expand our presence into North and North East of India, we need our own feed facilities to support us,” Suguna Holdings, Vice President, Finance and Strategy, Deepak Row told Asian Agribiz. A premix plant would be the main highlight of its investments in the North. The company will also establish a new hatchery, processing plant and poultry environment-controlled shed to cater to this market. Expansions in India would be primarily in Uttar Pradesh, Odisha and West Bengal.
“The North has a lot of opportunities for consolidation and broiler integration,” said Mr Row whose company pioneered the contract growing model in the South of India.
Suguna’s investments in Kenya and Bangladesh will also receive an influx of USD 24.3 million. These are to capitalize on the growing economies of these two countries.

Japfa Indonesia books higher revenue but lower profit due to feed costs

17 March 2020 – Increasing raw material costs for feed bit into Japfa Comfeed Indonesia’s profits last year. Profit attributable to the parent entity contracted by 8.5% to USD 124 million last year. Cost of goods sold rose 10.4% to USD 2.1 billion but raw material cost increased 10% to USD 1.8 billion. The largest contributor to the company’s revenue was its commercial farm and processing division (USD 1 billion), followed by its animal feed division (USD 956 million).

Covid-19 impacts availability, price of feed micro ingredients in Indonesia

17 March 2020 – The animal feed industry in Indonesia has started to feel the impact of Covid-19 outbreak in China from early February as many micro ingredients needed come from China. “It is impacting the availability and price of feed micro ingredients,” A Harris Priyadi, Secretary General of the Indonesian Veterinary Drugs Association told Asian Agribiz. He said the disease has delayed delivery of micro ingredients. On prices, he observed calcium pantothenate and vitamin E, D, A and biotin have shown a sharp increase from early February.
Feedmillers in Indonesia in the meantime expect the government to offer recommendations for imports of alternative feed ingredients such as sorghum and wheat as the supply and price of local corn continues to fluctuate. Timbul Sihombing, Chairman of the Indonesian Feed Millers Association told Asian Agribiz: “To assure the government that we will always absorb local corn, we don’t mind if import tariffs are imposed for the alternative ingredients. We are also okay if the import timing is adjusted with the harvest time of local corn.”

Wheat and corn markets suffer as Covid-19 cautions world markets

13 March 2020 – Covid-19’s impact on global economies has placed a damper on US wheat prices. The USDA March report revealed that prices for all wheat classes were down in February. Concerns over Covid-19 in global markets are generating reduced demand. Further, a bumper crop in Russia has also reduced Russian wheat prices, causing many US regulars to switch. US wheat prices decreased from USD 237/ton in December to USD 222/ton in February.
World corn markets have also suffered as a result of Covdi-19 pressures with “major bids drifting lower, weighted by Covid-19 uncertainty and benign weather in South America,” said the USDA report. Argentine bids are down USD 9/ton to USD 172 and Black Sea bids are down USD 5/ton to USD 178. US bids are little changed overall, down just USD 1/ton to USD 177.

Leong Hup buys feedmill in Vietnam

13 March 2020 – Malaysia’s Leong Hup International Bhd (LHI) has acquired a feedmill in Vietnam including its equipment, machinery and motor vehicles, for USD 15.1 million. The integrated producer of poultry, egg and livestock feed said the acquisition marked its diversification into aquatic feed in Vietnam. Currently, LHI and its subsidiaries in Vietnam produce a wide range of feed products.This includes those for PS, broilers, layers, colored birds, ducks, cattle, goats, swine and quail. The asset, which currently produces only aquatic feed, has the capacity to produce up to 118,800 tons of aquatic feed annually.

China’s feed demand to continue to decline in 2020

12 March 2020 – China’s overall feed demand and consumption in 2019/20 contracted, but not as dramatically as expected with the reduction in the pig herd due to ASF. In its latest Grain and Feed Update, the USDA said China’s 2019/20 feed and residual forecasts in total are down more than 5 mt (1%), from 2018/19. Losses were offset by increased feed demand for other animal proteins like poultry, eggs, and aquaculture, which are expanding production. It cited an estimate by a leading feed producer that ASF could cut feed demand by 25% this year.
Despite the decline in demand, the US has gained this year, as China opened up soybean exports from the country. As of the week ending February 27, 2020, US soybean accumulated exports (shipments) to China totaled 11.9 mt and 17.7 mt to the rest of the world.
“US soybean export commitments (outstanding sales plus accumulated exports) to China totaled 12.2 mt compared to 9.4 mt a year ago. Total commitments to the world were 34.1 mt, compared to 39.1 mt for the same period last year,” said the USDA.

Evonik declares force majeure for supply of ThreAmino due to Covid-19

11 March 2020 – The Covid-19 virus outbreak has forced Evonik’s contract manufacturer in China to shut-down its production facilities, thus affecting both production and shipping of the amino acid ThreAmino. Dr Emmanuel Auer, Head of Animal Nutrition Business Line at Evonik, explained: “Regrettably, we are facing a supply shortage for ThreAmino and have sent a Force Majeure notification to our customers with immediate effect, in accordance with our contracts. Meanwhile, we will try to mitigate this situation and re-establish supply as soon as possible.” Evonik is keeping its customers informed as the situation develops.

Extreme mycotoxin threat in Asia

11 March 2020 – Biomin has mapped out the global mycotoxin threats to poultry, swine, ruminants and aquaculture worldwide in 2020 based on its recent feedstuff testing results. In China the risk remains extreme mainly due to high Fusarium mycotoxin occurrence: FUM (94%), DON (93%) and ZEN (86%). In the same region, South Asia showed also extreme risk with Aflatoxin appearing in 82% of samples (average of positives 20 ppb).In 2019, the globally most prevalent mycotoxins were FUM (70%) and DON (68%). The full 2019 Biomin Mycotoxin Survey results are based on 93543 analyses conducted on 21287 finished feed and raw commodity samples that were sourced from 86 countries, between January to December 2019.

Leong Hup may benefit from raw material price drop

10 March 2020 – Malaysia’s Leong Hup expects its FY20-21 to be driven by sales volume growth in emerging markets (such as Vietnam) but is mindful of the African swine fever and Covid-19 effects. The group typically purchases raw materials two to three months ahead. However, its feedmill segment is a cost-plus business and changes in input cost are usually passed on to customers. Nonetheless, the expected drop in global raw material price will benefit the group, which would mitigate slightly the expected pressure on margins from depressed selling prices in the near term.

Feed association expects more government-approved testing labs

9 March 2020 – The Indonesian Feed Millers Association expects the government to approve more laboratories to test commercial feed. Millers now must get a feed registration number before they market their feed. To get the number, their feed must be tested by government-approved laboratories. “Unfortunately, there aren’t enough labs to test feed and so testing takes a long time,” Tevi Melviana, Chairman of the association told Asian Agribiz. Currently the association has 84 members with a total of 104 feed plants.

Corn prices in Sri Lanka rising over speculative pricing

6 March 2020 – Sri Lankan poultry producers are once again dealing with rising corn prices. Local corn traders told Asian Agribiz that prices for dry corn was at USD 0.28/kg while wet corn sold at USD 0.2-0.23/kg (14-15% moisture content). “Prices will increase as farmers are holding on to their harvests, hoping for better prices,” said the trader. In 2019 prices averaged at USD 0.41/kg due to poor local harvests and delays in imports. Harvest this year is estimated at 300,000 tons.

China’s feed demand low for pork but steady for poultry, aqua

5 March 2020 – China’s overall feed demand and consumption are down though not as a dramatically as expected with the reduction in the swine herd due to ASF. Losses have been offset by increased feed demand for other animal proteins, namely poultry, eggs, and aquaculture, all of which are expanding production. Domestic production of most grains remain steady with a slight increase in both corn and wheat production due to increased yields. Stocks of all commodities remain high. While optimism exists in the wake of the US-China Phase One Trade Deal with China’s pledge to import more U.S. agricultural products including grain and feed, these purchases have yet to materialize. However, other barriers such as China’s Tariff Rate Quotas and competition from both domestic production and imports from other nations will present challenges for US products. Read more here.

Van Arsen introduces split-grinding solution for better nutritional value

20 February 2020 – Pre-grinding has a proven advantage over post-grinding when considering the digestive properties of the nutrients but setting up a pre-grinding feedmill can be costly, as it requires individual dosing silos for the pre-grinded material.
Van Arsen’s new split-grinding solution combines the best of both post and pre-grinding, all at a low investment. This split-grinding solution includes the application of the Van Aarsen GD Hammer mill with automatic screen exchange and can be implemented in new and existing feedmills.
So, instead of making one grinding batch with all the raw materials, split grinding enables you to grind separate sub-batches of different raw materials. Afterwards, these sub-batches are collected and mixed for further processing in one batch. The nutrients are ground to the size your animals need, which enhances the nutritional value and therefore increases the quality of the feed. Split-grinding optimizes the feed conversion rate and heightens the line-capacity. Watch the video here.

Thailand to help small farmers produce feed

19 February 2020 – Feed centers are being set up throughout Thailand to help small-scale farmers procure feed ingredients and produce animal feeds. Initiated by the Bureau of Animal Nutrition Development, farmers’ representatives are being selected to operate the centers which will be divided into two types, one for ruminants and the other for monogastric animals such as pigs and poultry. The ruminant feed center will focus on making TMR from local ingredients such as Napier grass, rice straw and corn trunks. The monogastric feed center focuses on feeds for native chickens and pigs from rice by-products, cassava and corn.

Growth of Indonesia’s pet food biz attracts new players

18 February 2020 – The market volume of pet food in Indonesia, mainly dog and cat food, now is estimated at 23,000 tons. With an annual growth of around 30%, “this business is like ‘sugar’ for new players,” Suaedi Sunanto, President Director of Nutricell Pacific, a new player in the pet food industry told Asian Agribiz. Pet food in Indonesia is marketed via technical (pet shop & clinic) and modern trade channels (supermarket and minimart). Nutricell chose the former channel as it believes that product trends/innovations are driven by vets who run pet shops & clinics. Nutricell distributes two pet food brands by ADM Animal Nutrition namely Ciclos and Must for the super-premium and premium market segments of dog and cat food.

STM launches small feed packs for fighting cocks

17 February 2020 – Indonesian feedmiller Sinar Terang Madani has launched premium feed for fighting cocks in 1kg packs retailed at USD 1 per pack. Previously the subsidiary of poultry integrator Perkasa Group produced the feed in 50-kg bags, but users wanted small packs for practicality and feed freshness, according to Marketing Manager, Nanang Wirahadi. He told Asian Agribiz that the feed is enjoying good sales in eastern Indonesia, mainly in Sulawesi, Southeast Kalimantan, North Maluku and Papua.

High feed costs cut into Venky’s bottom line in 2019

14 February 2020 – India’s largest poultry producer, Venky’s posted a net loss for the quarter ending December 2019. The net loss was estimated at USD 822,000 for the December 2019 quarter, compared to the net profit of USD 9 million in the quarter of December 2018. The company informed its shareholders that the losses were due to high input costs, mainly poultry feed ingredients, and lower sales of poultry products.” In March 2020, the company hopes to start production at a new solvent extraction plant and vegetable oil refinery in Srirampur, Maharashtra.

USGC/NCGA explore market potential in Vietnam, Myanmar

13 February 2020 – The leaders of the US Grains Council (USGC) and National Corn Growers Association (NCGA) had a joint mission to lay the framework for trade development in Southeast Asia. The delegation met with customers and end-users to gain information on the advancement of feed production in these markets. “This joint mission was a welcome opportunity to join fellow NCGA and USGC officers to learn more about this important market and continue our efforts to build on our existing trading relationship,” said Kevin Ross, NCGA President. Click here to learn more about the mission.

Indonesia gains preferential access to Australia’s agri products

12 February 2020 – Indonesia ratified the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA). Indonesia is the fifth largest export market for Australian agricultural products. Once implemented, IA-CEPA will provide preferential access for more than 99% of Australia’s agriculture goods imported by Indonesia. Australia’s agricultural exports are typically between USD 2-2.5 billion but have fallen the last two years as severe drought in Australia and strong competition from other suppliers have reduced Australia’s wheat shipments to Indonesia. Australian agricultural exports to Indonesia totaled USD 1.48 billion in 2019. Indonesia is the largest market for Australian wheat and the largest market for Australian live cattle and the fifth largest for beef. Click here for more details.

Mobile feed labs to help raise feed quality in Thailand

11 February 2020 – Mobile feed analytical laboratories are being set up and dispatched across Thailand to assist livestock farmers and feed manufacturers evaluate feed and raw material quality. The laboratories conduct proximate analysis of feeds and ingredients, and test for adulteration and contamination in the samples. Livestock officers from across the country were trained to operate the laboratories.

S&P Global’s grains outlook for 2020

10 February 2020 – The proliferation of African swine fever in Asia remains the biggest factor weighing on global demand for soybeans, even though the two-year trade dispute between China and the US has been grabbing the headlines. Click here to read more.

US exporters on trade mission to the Philippines

7 February 2020 – US agricultural exports to the Philippines have more than doubled over the last decade, reaching a record USD 3 billion in 2018. According to Morgan Haas, FAS counselor for agricultural affairs at the US Embassy in Manila, positive consumer attitudes and a healthy business climate point to continued growth potential. “The country’s rapidly expanding retail, food service, and food processing sectors offer robust opportunities for US exporters looking to sell agricultural raw materials, high-value ingredients, and consumer-oriented food and beverage products.” A trade mission is planned for later this year.

Thailand to curb corn imports

6 February 2020 – Thailand is considering shortening the period during which corn can be imported at zero tariff from seven to five months. The move is aimed at controlling local corn stock and price to the level that is profitable for local growers. Local corn stock is growing due to smuggling of the grain from neighboring countries. Authorities are concerned that a glut would hurt local growers.

Vitamin B6 price settles

22 April 2020 – Asian Agribiz has partnered with Glowlit to bring our readers unprecedented access to real-time animal feed additive pricing. This week, Glowlit is sharing global insights on Vitamin’s B6 – https://tinyurl.com/ybbmzy9l

After a spike of 92% from February to March of this year, the global price of Pyridoxine came back down to USD 25.1 per KG. However, if we zoom out and look at the last two years of data, we see that this pales in comparison to the price at the beginning of 2018 when Pyridoxine reached above $70 per KG.

Glowlit is an innovative startup using the collective power of crowdsourcing to generate free price reports on over 50 feed additives. Each week, we will be sharing global pricing trends on a selection of those products. Readers interested in a free, more price report localized data can visit Glowlit.com and anonymously share a quoted or purchased price for your product of interest.

Soy prices contract in January

5 February 2020 – Both US soybean and soybean meal export prices fell slightly in January, while Brazil and Argentina meal prices strengthened. US Gulf FOB soybean export bids in January averaged USD 361/ton, down USD 2 from December. Brazil Paranagua FOB averaged USD 359/ton, down USD 10 from December. Argentina Up River FOB averaged USD 361/ton, down USD 6. The soybean price spread continues to narrow. US soybean meal export bids in January averaged USD 340/ton, down USD 4 from December. Brazil Paranagua FOB averaged USD 321/ton, up USD 5 from December, and Argentina Up River FOB averaged USD 336/ton, up USD 5. More details here.

Global corn production up

Top 10 destination markets for US containerized grain exports Jan-Sep 2019.

4 February 2020 – Global corn production is forecast up with larger crops in Moldova, South Africa, and Ukraine more than offsetting a decline in Vietnam. Global trade is up marginally from last December with higher imports for Brazil and Turkey. Lower exports for the US are more than offset by higher exports for the European Union, South Africa, and Ukraine. The US season-average farm price is unchanged at USD 3.85 per bushel. Details here.

Feed Watch offers the industry a quick view of feed trends, technology and markets in the Asian region. It provides insights and analysis on the factors the touch on the industry’s challenges and growth. Highlights of Feed Watch include:
• the latest on Asian feed companies,
• new products and innovation,
• predictions and trends in raw material supply,
• comprehensive insights on inter and intra-regional trade,
• feed consumption patterns and predictions.

Zahrah Imtiaz, Editor