Feed Companies Research Articles

GLOBAL FEED PRODUCTION DOWN SLIGHTLY IN 2023. Р.2

Alltech’s Agri- Food Outlook estimates that global feed tonnage totaled 1.29 billion metric tons (BMT) in 2023, a decrease of 2.6 million metric tons (MMT) — or 0.2% — from 2022*. The overall lower demand for feed was due, in part, to the more efficient use of feed made possible by intensive production systems that focus on using animal nutrition, farm management and other technologies to lower feed intake while producing the same amount of protein, or more. Slower production of animal protein, in response to tight margins experienced by many feed and animal protein companies, also contributed to lower feed demand. The feed tonnage rate — defined as the amount of feed produced and distributed per unit of livestock or poultry — is influenced by multiple factors that affect the demand and supply of feed, as well as the efficiency and profitability of animal production. Changing consumption patterns caused by inflation and dietary trends, higher production costs and geopolitical tensions also influenced feed production in 2023.

Effect of COVID-19 Pandemic Containment Measures on Production Cost of Animal Feed Companies in Nakuru County

The COVID-19 virus emergence resulted in extraordinary challenges globally and brought the world to stand still. The governments responded by putting measures to curb the spread which included lockdowns, curfews, and social distancing among others. The pandemic control measures disrupted operations in sectors such as the health sector, hospitality and tourism, transport sector, agriculture, manufacturing, and service sectors. Animal feed companies fall under the Agricultural manufacturing sector in Kenya and are registered under the Association of Kenya Feed Manufacturers to distribute animal feeds to farmers at just prices and cost. The companies contribute 50 percent to the total agricultural sector Gross Domestic Product (GDP). This study sought to determine the effect of the COVID-19 pandemic on cost as a dimension of the operational performance of animal feed companies in Nakuru County. A descriptive research design was adopted. Census of the entire population of 46 (Forty-Six) companies registered by the Association of Kenya Feed Manufacturers (AKEFEMA). A structured questionnaire was used to collect data over drop-and-pick method. SPSS (version 28) software analyzed the data collected. Data was analyzed using descriptive and inferential statistics. Simple linear regression investigated the relationship between the variables and tested the hypothesis at a=0.05 significance level. The study established that COVID-19 containment measures had a positive correlation(r=0.520), (r=0.317) and (r=0.381). Regression analysis was statistically significant (p=0.001< 0.05). The study concluded that containment measures affected production costs and recommended that the animal feed companies needed Government and other regulatory figures’ support in dealing with emergency pandemics.

GLOBAL FEED PRODUCTION DOWN SLIGHTLY IN 2023. Р.1

Global animal feed production remained steady in 2023 at 1.29 billion metric tons (BMT), but was down slightly, 2.6 million metric tons (MMT) — or 0.2% — from 2022’s. The overall lower demand for feed was due, in part, to the more efficient use of feed made possible by intensive production systems that focus on using animal nutrition, farm management and other technologies to lower feed intake while producing the same amount of protein, or more. A slowdown in the overall production of animal protein, in response to tight margins experienced by many feed and animal protein companies, also contributed to lower feed demand. Changing consumption patterns caused by inflation and dietary trends, higher production costs and geopolitical tensions also influenced feed production in 2023.

Evaluasi Penerapan Standard Mutu dan Keamanan Pakan Ayam Pedaging dengan Metode Analytic Network Process (ANP)

This study aimed to evaluate the role of broiler feed standards using the Analytic Network Processing (ANP) method. Data were taken from five feed manufacturing companies, three feed experts and three government institutions in the feed sector. There were 3 criteria and 6 sub-criteria in determining the best alternatif out of 6 feed evaluation in the context of implementing broiler feed quality and safety standards. The results showed that the greatest sub-criteria weight was effectiveness (0.750). In addition, the selected alternatif analysis with the highest weight was proximate analysis (0.315; 0.280) in the assessment by feed companies and the government and followed by amino acids analysis (0.365) in the assessment by feed experts. From the results, all entities assessed the proximate analysis as a priority because proximate testing on animal feed could help to determine the nutritional quality of feed by knowing the content of protein, fat, crude fiber, and other nutrients in the feed. This study was concluded that proximate testing was very important in the animal feed industry because it could help in determining the nutritional quality of animal feed, optimizing livestock growth and production, preventing nutritional deficiencies in livestock, determining the selling price of feed, and guaranteeing feed quality.
 Key words: ANP, feed quality and safety testing, feed standards, quality control and feed safety

Support to Sustainable Development Goal No.2 - Zero Hunger: A Study from Animal Feed Sub Sector Industries

The study aims to analyze the disclosure of zero hunger SDGs in each sub-sector of livestock feed that has been listed on the Indonesian Stock Exchange. Indonesia is currently lacking to meet its food needs with only 21.6% supplies. The zero-hunger SDGs are aimed in eliminating the problem of hunger. One of the company's types of industries that can help achieve the goals of the zero-hunger SDGs is the livestock feed sub-sector, which produce high protein food levels, such as eggs, chickens, milk, and some foods from agriculture. This research is descriptive methods based on content analysis. The samples applied from four subsector livestock feed companies registered with the BEI in 2015–2022 (population), with the total sample 32 data analysis. The information was analyzed from sustainability reports, financial reports, and the company's website from 2015 to 2022. The research shows that almost all companies were at 33–48% (medium disclosure), which means that the feed subsector has not optimally supported SDGS zero hunger against 11 indicators on each report, especially on the information of stunting reduction. There are three information among 11 disclosures which are disclosed mostly by the animal feed sub sector industries, namely (1) the implementation of production techniques and technology; (2) ensuring animals generate high-quality; (3) sustainably produced food. This information is related to nutritional problems, like stunting. In contrast, there are two pieces of information which have been least disclosed, including the establishment of an area, and the size of a sustainable area.

The Use of Cost Information to Determine Prices at Feed Mills in Northern Vietnam

Vietnam's animal feed market is a potential market, but competition pressure between domestic companies and competition with foreign companies is increasing. Product price is the factor that creates the competitiveness of each animal feed producer in the market. Applying cost information to product pricing in feed companies is a key issue in helping managers make the right decisions. The author collects information at 28 feed mills in Northern Vietnam to understand the use of cost information in pricing by Northern Vietnam feed producers. Through descriptive statistical analysis, the study shows that feed producers in the North of Vietnam are using cost information to determine the selling price of their products, but to varying degrees. And business managers are also aware of the importance of cost information in pricing decisions.

181 A detailed analysis of consultations between equine nutritionists and a client

Equine nutritionist is a relatively new profession with no formal educational entry pathway in the UK. Equine nutritionists are typically employed by commercial feed companies and offer advice freely or operate independently and charge for advice. The objective of the study was to compare consultations with a standardised client conducted by 3 employed and 3 independent equine nutritionists measuring their ability to empathise with the client, structure consultations and set goals. Nutritionists were invited to participate in a study and to conduct a consultation as normal. The dialog of their consultations was recorded, anonymised, transcribed and evaluated in accordance with the University of Glasgow's ethics policies. The client immediately assessed the nutritionists using a CARE questionniare adapted from medical consultations where it is used to determine clinicians' ability to empathise with patients. All 6 consultations were transcribed and assessd using a Roter Interaction Analysis System (RIAS); a quantitative medical communication coding system used to evaluate primary medical weight management consultations. RIAS divides professional consultations into discrete communication variables that reflect the 4 tasks of the clinical appointment; data gathering, education and counselling, building relationships, activation and partnership. All consultations by independent nutritionists were longer durationthan those by employed nutritionists. The longer the duration, the more relationship building statements were made. There were no significant differences between employed and independent nutritionists for RIAS categories. All nutritionists raised the potential for obesity in ponies and gave advice relating to weight monitoring. The client scored all nutritionists very highly for ‘human’ empathy aspects. Weaker areas for all nutritionists were planning and clarity of actions. Language used by all nutritionists was colloquial and humorous. The results suggest nutritionists raise the issue of obesity with clients which contrasts with reports that vets can find this difficult or lack time to do. Informal, euphemistic language appeared to allow the nutritionists to demonstrate empathy and build a relationship with the client, which independent nutritionists spent more time doing, but risks downplaying the seriousness of the issue in the client's mind. The impact of this on adherance to advice is an area for further research. An opportunity exists for nutritionists to assist horse owners in managing their horses weight by providing a structured approach based on the principles of SMART objectives (Specific, Measurable, Achievable, Realistic, Timed).

Impact Of Foreign Direct Investment On Domestic Innovations In Developing Economies: Moderating Role Of Country-Level Governance

Purpose of the study: This study aims to examine the key drivers for the effect of selected commodity ratios and the exchange rate that haveinfluenced the return on investment of agriculture and animal feed companies in Indonesia. Methodology: This study uses the GARCH methodology. Using GARCH and IGARCH for monthly and daily data from 2014 until 2021, we also have a different timeline between before COVID and after COVID-19. Main Findings: According to the results of the study, there are generally significant effects of commodity prices and exchange rates on stock return, as for the COVID timeline, there are several companies that have been affected. Research limitation: There is a problem with finding the parameter estimates for the error distribution both in GED and Student’s t when finding the best GARCH (1,1) model. The best model finding may not present the best probability due to distributions that affect the tail distribution. Novelty/Originality of the study: This study suggests to look for more details on the effect of commodity ratio in daily data and monthly data, as thetransaction is mostly using USD rate with IDR rate. There are great possibilities that their movement will impact the return on the investment and people who like to invest in a certain company can use this study as a reference.

Effects of onion extracts (Allium cepa) inclusion in diets on growth performance, carcass characteristics, and bone morphometric of broiler chickens.

Animal feed companies and researchers are currently embarking on quests for feed additives that could combat the pathogens while promoting growth as well as maintaining quality products. The current study aimed to evaluate the effects of onion extracts on growth performance, carcass quality, and bone morphometrics of broiler chickens. A total number of 200 one-day-old unsexed Ross 308 broiler chicks were assigned to 5 treatment groups, replicated 4 times. Each replicate (pens) held 10 chickens in a completely randomized design. The experimental diets were then randomly allotted to the pens which act as experimental units. The isoenergetic and isonitrogenous diets were formulated by including onion extracts at 0, 5, 10, 15, or 25 g/kg in a complete broiler diet. Feed intake, and body weight, were recorded then used to calculate feed conversion ratio. At the end of the experiment (42 days), four chickens from each pen were randomly selected for slaughter for carcass, bone morphology and sensory evaluation. Results showed that onion extract supplementation did not affect (p>0.05) growth performances and meat sensory evaluation. However, there was a significantly increased (p<0.05) meat shear force in groups receiving onion extracts dietary treatments. Furthermore, onion extracts improved (p<0.05) bone morphology of broiler chickens in terms of weight, diameter, calcium, and phosphorous contents. In conclusion, onion extracts can be safely included in a commercial broiler diet as a growth promoter without causing adverse effects on growth performance traits and carcass quality in chickens. Onion extract supplementation improved tibia bone growth and strength in broiler chickens.

Short communication: commercial diets for pigs in the United States contain more calcium than formulated.

Data from Europe indicate that commercial diets for pigs and poultry contain significantly more Ca than formulated. Therefore, a survey of commercial pig diets used in the United States was conducted to test the hypothesis that the analyzed concentrations of total Ca and total P in commercial pig diets in the United States are not greater than formulated values. A total of 103 diet samples from the commercial swine industry in the United States were collected between 2019 and 2021. Diet samples were provided by feed mills, feed companies, or swine farms located in major swine-producing states in the United States including NC, TN, IA, IN, KS, MN, NE, and IL. Diets were formulated for nursery pigs, growing-finishing pigs, or sows. Each company provided formulated values for total Ca and P in all samples. Samples were sent to the University of Illinois where they were ground and analyzed for Ca and P by inductively coupled plasma-optical emission spectrometry. The formulated values for Ca and P were regressed against analyzed values, and the intercept was considered the estimated under- or over-supply of each mineral. Results indicated that there was an average of 0.19 percentage units more Ca (model; P < 0.001) in the diets than formulated, whereas, for total P, the average oversupply was only 0.06 percentage units (model; P < 0.001). In conclusion, diets used in the U.S. swine industry contain more total Ca than formulated, whereas total P is close to formulated values, which indicates that greater importance is given to P than to Ca in formulation. However, the current data indicate that more attention should be given to the actual concentration of Ca in all Ca-containing feed ingredients to avoid Ca oversupply and its detrimental effect on P digestibility and growth performance of pigs fed diets that do not contain excess P.

The Effect of Commodity Prices and Exchange Rate on the Stock Return of Agriculture and Animal Feed Companies in Indonesia

Purpose of the study: This study aims to examine the key drivers for the effect of selected commodity ratios and the exchange rate that haveinfluenced the return on investment of agriculture and animal feed companies in Indonesia. Methodology: This study uses the GARCH methodology. Using GARCH and IGARCH for monthly and daily data from 2014 until 2021, we also have a different timeline between before COVID and after COVID-19. Main Findings: According to the results of the study, there are generally significant effects of commodity prices and exchange rates on stock return, as for the COVID timeline, there are several companies that have been affected. Research limitation: There is a problem with finding the parameter estimates for the error distribution both in GED and Student’s t when finding the best GARCH (1,1) model. The best model finding may not present the best probability due to distributions that affect the tail distribution. Novelty/Originality of the study: This study suggests to look for more details on the effect of commodity ratio in daily data and monthly data, as thetransaction is mostly using USD rate with IDR rate. There are great possibilities that their movement will impact the return on the investment and people who like to invest in a certain company can use this study as a reference.

국제 옥수수 가격, 환율 및 해상운임 변화가 국내 사료회사 주가에 미치는 영향 분석

Recently, as the international corn price continues to rise it might be burdensome for the domestic feed industry who use the corn as a major input. The feed industry has raised the feed prices by 15~20% along with the price increase. The higher corn price and increased volatility should affect the profitability of feed companies and the value of the companies listed in the stock market. It is interesting to know whether the corn price increases hurt the feed companies as much as livestock farms as the feed prices rises. This study seeks to determine the effects of the price of corn prices on the equity prices of feed companies in Korea using the multivariate GARCH-in-mean model. The model also includes the exchange rate and freight rates to see how the market responses to these important factors affecting the profitability of the industry. The results show that the size and direction of impacts of those factors are somewhat different, suggesting separate hedge plans for the feed companies and strategies for stabilizing feed price.

The use of probiotics in nutrition and herd health management in large Hungarian dairy cattle farms.

In the European Union, there is an increasing need for farm animal nutrition products whose positive effects can replace antibiotics that have been heavily used for decades. Thus, the use of probiotics started to increase in the past few years. In this study, a survey on the practical use of probiotics in Hungarian dairy cattle farms and the related experience of farm nutrition experts was conducted. In addition, we surveyed the state of Hungary for probiotics production and distribution. After direct request via phone, nutrition experts responsible for farm feeding programs in 23 large commercial dairy cattle farms and eight managers in different feed distributor companies in Hungary filled out the relevant online questionnaires in 2018. The results show that 69.6% of the surveyed farms used probiotics, most often aiming at the optimization of rumen fermentation, protection against stressors, and supplementation of medical treatments. The most common expected beneficial effects of probiotics were more effective calf raising, larger milk yield, more stable rumen fermentation, and improved stress resistance. None of the respondents experienced any negative effects. In Hungary, five out of eight surveyed feed companies produced probiotic products for cattle, and one just distributed them. Company managers generally thought that farm nutrition experts did not have up-to-date knowledge on probiotics, which is why, these products are often not used in an effective way, and the experts' knowledge should be increased. The own experiments of the distributor companies showed that the probiotic products can improve feed digestibility, the efficacy of calf raising, and the reproductive performance of cows. According to the expectations of distributors, the next generation of probiotic products will be microencapsulated and will contain multiple strains and species of bacteria and prebiotics, too. The goal of the product development is to create probiotics with better effectiveness at a reasonable price, having a complex impact and easier application on the herd level. The study showed that probiotics are already frequently used to prevent diseases in Hungarian dairy herds. However, it can be concluded that there is room for improvement, especially concerning the knowledge transfer about the most effective use of probiotic products.

Survey of feedlot nutritionists gives insight on information-seeking behavior.

Nutrition critically affects feedlot cattle health and growth, and ultimately cost of production. Feedlot producers rely on professionals such as nutritionists, extension educators, feed company representatives, and others to assist them in developing the best nutritional program for their operation. In turn, these professionals depend on feedlot nutrition research to drive decisions for their clients. A survey of feedlot professionals was conducted regarding how published resources are used. Surveys were included in the spring 2020 mailing to potential Plains Nutrition Council meeting attendees; 61 surveys were returned. The objective of this survey was to aid feedlot nutrition researchers to make more informed decisions when publishing new research to maximize impact on the feedlot industry. The survey asked 15 questions regarding the participant’s career, professional organization memberships, frequency and intentions of using research, and ranking the importance of resources, peer-reviewed journals, and learning platforms. Survey respondents primarily served the Midwest and Plains regions (83.1%) with employment by feed companies (34.4%), private consulting firms (21.3%), other aspects of feedlot production (26.2%), or were self-employed (18%). Survey participants found great importance in peer-reviewed journals, though the relevance of peer-reviewed journals sometimes differed due to the professional age of respondents. The main strategies for accessing journals were via society memberships and through open access; utilizing open access publishing may increase the number of industry professionals reached. Looking to the future, we may see a shift in resources used by industry professionals due to the differences seen in preferences of early and late career survey participants, specifically increases in the use of technology-based platforms. These data may inform feedlot researchers on the information-seeking behaviors of feedlot professionals, such as the importance of publishing data in open access formats, allowing for greater impact through increased utilization of newly published research.

The impact of COVID-19 on aquaculture in China and recommended strategies for mitigating the impact.

We carried out a preliminary investigation to study the impact of COVID‐19 on aquaculture in China and identify the strategies and measures that have been taken by the Chinese Government. The investigation involved questionnaire surveys designed for all stakeholders along the industrial chain, including grow‐out farmers, seed producers, fish processors, fish traders, and feed companies engaged in the catfish sector in Hubei Province and the tilapia sector in Guangdong Province during the strict period of control and after these control measures were lifted. We also attempted to summarize the government interventions and measures taken by different stakeholders along the value chain to minimize the damage caused by COVID‐19 and support the recovery of different sectors in the aquaculture industry. We found that due to delayed harvesting, fish stocks were held‐up in ponds and normal farming was interrupted. Farmers and traders were more severely impacted by the pandemic than other sectors. Furthermore, a series of strategies and measures are recommended to cope with the pandemic and other similar risks in the future. We expect that this study will provide good evidence for international societies to support the aquaculture industry in minimizing the impact of the pandemic and the rapid recovery of the industry in the post‐pandemic period.

Platforms to accelerate biomanufacturing of enzyme and probiotic animal feed supplements: discovery considerations and manufacturing implications

Probiotics and enzymes are important components of the global livestock feed supplement market, which is expected to be approximately US$56 billion by 2027. They make essential contributions to animal health and productivity and are very important for on-farm economics, as well as feed supplement and bulk feed businesses. Despite the variety of on-market products, there remains a strong drive to develop new function or more effective enzymes (e.g. more active or stable) and probiotics (e.g. for specific health or nutrition requirements) that can be produced economically and commercialised to gain market share. Various large and established supplement development, manufacture and supply companies with highly refined, efficient and vertically integrated processes dominate the market. In contrast, many challenges exist for less established players, such as feed companies, large farming corporations, start-up companies and the research community, to develop and commercialise improved feed supplements. These less established players may have niche markets or needs or may have identified highly novel candidate products through basic or collaborative academia-industry applied research. In these situations, the path from discovery and development to a commercial product is unclear and likely to be very challenging. However, the risk of not progressing is that the value of research investments is not realised, or the needs of specific niche markets are not met. For these situations, new pathways to market based on rapid discovery, production (at various scales), and testing feedback loops, along with appropriate intellectual property management and clear regulatory strategies need to be established. To deliver these new pathways, it is essential to define key performance, production and economic criteria, have a rapid route from laboratory to pilot-scale manufacture and livestock feeding trials, and include all the necessary participants in the value chain from research development, manufacturing, distribution, and regulatory management to the end user. These issues are discussed with reference to the current state-of-the-art and our development of new pathways for a specific enzyme and probiotic based on efficient laboratory-to-market platforms. Although new supplements have been brought closer to market, challenges remain regarding scaling to commercial manufacture for new products without an established market.

Reviews and industry: A love‐hate relationship

Reviews and industry: A love‐hate relationship

Analysis of aquafeed sector competitiveness in Egypt

The aquafeed industry acts as a critical development driver along the entire Egyptian aquaculture value chain. This study aimed to analyze the competitiveness of the aquafeed subsector in Egypt, comparing its performance in 2018 with the results from an earlier study based on 2013 data. The current situation, the market and regulatory environment, key risks and potential mitigation measures were all assessed. The key private sector players and their competitiveness within the aquafeed value chain were also identified. Quantitative and qualitative data were collected through a desk review of existing information on the sector, followed by a structured questionnaire that was drafted and distributed to a targeted number of fish feed mills, representing large-scale, medium-scale and small-scale companies, covering different geographical and production regions. The results revealed that the Egyptian aquafeed subsector faced dramatic changes over the five year period from 2013 to 2018. The number of feed mills increased by 67% from an estimated 60 mills in 2013 to around 100 mills in 2018. As a result, Egyptian aquafeed production increased over 77%, from an estimated 800,000 mt to 1,419,000 mt over the same time period. There has been significant local and foreign investment in the fish feed industry in recent years, especially in aquafeed extrusion technology. The sector is dominated by medium-scale (42.6%) and small-scale (33.3%) enterprises. The results also revealed that the aquafeed market in Egypt is highly competitive, and there are clear opportunities to expand both domestic and international aquafeed markets, and export feeds to Africa and the Middle East. However, in the short-term, increased feed production capacity will place financial pressure on existing aquafeed companies, which may render smaller producers unable to compete in the market. Therefore, all companies will have to improve their efficiency and secure their market share; mainly through the investment in other parts of the value chain. International companies have advantages of global sourcing, economies of scale, reputation and research support that will help them through this challenging period. Well-resourced Egyptian companies will also be able to compete and thrive in a future market with fewer, but larger players. Some feed companies already provide credit for operating costs and technical support to their clients. Extending this to include capital investment for modernization of fish farming systems could be possible, where the feed companies act as credit guarantors. The study demonstrates the need of feed companies to improve production efficiency to be able to be competitive in the market.

COVID-19 Impact on Poultry Production and Distribution Networks in Bangladesh

The COVID-19 pandemic has severely affected numerous economic sectors across the world, including livestock production. This study investigates how the pandemic has impacted the poultry production and distribution network (PDN), analyses stakeholders' changing circumstances, and provides recommendations for rapid and long-term resilience. This is based on a literature review, social media monitoring, and key informant interviews (n = 36) from across the poultry sector in Bangladesh. These included key informants from breeder farms and hatcheries, pharmaceutical suppliers, feed companies, dealers, farmers, middlemen, and vendors. We show that the poultry sector was damaged by the COVID-19 pandemic, partly as a result of the lockdown and also by rumors that poultry and their products could transmit the disease. This research shows that hardly any stakeholder escaped hardship. Disrupted production and transportation, declining consumer demand and volatile markets brought huge financial difficulties, even leading to the permanent closure of many farms. We show that the extent of the damage experienced during the first months of COVID-19 was a consequence of how interconnected stakeholders and businesses are across the poultry sector. For example, a shift in consumer demand in live bird markets has ripple effects that impact the price of goods and puts pressure on traders, middlemen, farmers, and input suppliers alike. We show how this interconnectedness across all levels of the poultry industry in Bangladesh makes it fragile and that this fragility is not a consequence of COVID-19 but has been revealed by it. This warrants long-term consideration beyond the immediate concerns surrounding the COVID-19 pandemic.

Comparison of Production Costs in the Financial Statements PT Japfa Comfeed Indonesia Tbk With PT Charoen Pokphand Indonesia Tbk Using Number Index

This study used a relatively simple price and an unweighted aggregate price index number used to calculate the level of production cost annually in the form of a percent. The use of this index number is to compare the current year period divided by the based year and multiplied by 100%. The purpose of this study is to analyze the comparison of production costs from animal feed companies in Indonesia, namely PT Japfa Comfeed Indonesia. Tbk and PT Charoen Pokphand Indonesia Tbk in 2014-2018 with 2014 as the base year. Based on the calculation of production costs using the index number method at PT Japfa Comfeed Indonesia Tbk and PT Charoen Pokphand Indonesia Tbk there is an increase and decrease in production costs. PT Charoen Pokphand Indonesia Tbk has better production costs than PT Japfa Comfeed Indonesia Tbk because the profits of PT Charoen Pokphand Indonesia Tbk company have increased more than PT Japfa Comfeed Indonesia Tbk every year.