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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