News: Animal Utilization
Discussions focused on the quality, consistency and sustainability of U.S. Soy during the 5th U.S. Soy Global Trade Exchange for Europe – Middle East/North Africa (EU/MENA) during the recent conference in Lisbon, Portugal. More than 180 customers and 15 USSEC members from 32 countries gathered to discuss the global soy market situation and expectations for the feed and food industry for Europe and the Middle East. USSEC’s two-day conference is one of the few events combining the soy industry throughout those regions and leading soy crushers, feed companies, and poultry and livestock producers were in attendance.
Conference presenters highlighted the importance of the Europe and Middle East market with data showing that EU-28 and Russia represented the top three countries in poultry and pork production growth since 2010, behind only the U.S. Additionally, 13 of the top 30 global feed-producing countries are in Europe and MENA and were represented at the USSEC conference. With one-third of the global gross domestic product (GDP), this region continues to increase its soy consumption and remains highly competitive in poultry and pork production.
USSEC and United Soybean Board (USB) director Todd Gibson, American Soybean Association (ASA) director Bill Wykes, and USB director Andy Fabin highlighted the sustainability of U.S. Soy in their presentations. Each emphasized the sustainability practices of his farm and his production expectations for the upcoming growing season.
Regional customers noted their appreciation in hearing about soy production straight from the producers. USSEC Regional Director – EU/MENA Brent Babb stressed the importance of the U.S. Soy Sustainability Assurance Protocol (SSAP) and the positive environmental indicators of U.S. Soy production. Nick Major, representing FEFAC, the European Feed Association, discussed the importance of sustainability to consumers and retailers in the Europe market. The SSAP meets the benchmark of FEFAC’s soy sourcing guidelines and is a welcome source of sustainable soy supply for the European market. The EU is one of the major users of the SSAP certification system, which now totals over 6.7 million tons in export shipments this marketing year, over 10 percent of U.S. Soy exports.
USSEC was invited, through Pork Colombia (Colombian Swine Association), to participate in an event developed by Colanta, the largest dairy processing cooperative in Colombia. The event took place in San Pedro, Medellin on November 26, 2016.
Colanta owns three state of the art harvest plants where they process veal, dairy cows, and pork, each one in its own line in one big complex.
As a dairy cooperative, Colanta also encourages its associates to raise pigs and therefore warranties their pig input for the swine harvest plant. The weight of a market pig has increased over the years from 100 kilograms (kg) up to 150 kg. The workshop, aimed at swine producers associated to Colanta, was set to demonstrate that a good heavy pig puts out more meat when fed properly, than a lighter pig. This is of interest to pork producers since Colanta pays by the percentage of lean meat on pigs.
To prove the importance of proper nutrition in pigs, two pigs, weighing approximately the same amount, from different farms, and with different back fat, were picked to debone and measure the amount of lean meat. The animal with the least amount of back fat rendered more meat than the one with high levels of back fat. This simple but effective demonstration showed participants how proper nutrition and farm management can lead to a higher percentage of lean meat, and therefore a higher monetary compensation.
Staff from Colanta and their associates spoke very highly of the workshop and of USSEC consultant Julio Chaves, to the point that they want to repeat this event at least twice a year with more and different Colanta associates. USSEC will help Colanta demonstrate that a heavier pig does not necessarily mean more fat when proper nutrition is taken into account and that U.S. soybeans play an important role in this equation.
USSEC participated in the International Production & Processing Expo (IPPE) in Atlanta, Georgia from January 30 – February 2.
125 guests from 16 countries attended a luncheon hosted by USSEC.
USSEC CEO Jim Sutter welcomed the attendees, and American Soybean Association (ASA) director Brian Ogletree gave a presentation titled, “My Farm & the U.S. Soy Advantage.”
USSEC consultant Dr. Gonzalo Mateos, professor of animal science at the University of Madid, spoke about his research on soybean origin, “Have You Checked Your Soybean’s Pedigree Lately? Evaluating the Nutritive Value of Soybean Meal in Poultry Diets.”
Grower leaders Bob Metz, United Soybean Board (USB) director, and Rusty Smith, Arkansas Soybean Promotion Board, joined Mr. Ogletree on this mission.
In addition to the luncheon, the team represented the U.S. Soy industry at the USSEC booth and escorted regional trade teams.
The 2017 IPPE convention brought together more than 1,200 exhibitors and 30,000 visitors. The show focuses on innovation, education, global reach, and networking and is regarded as the largest annual trade show for the poultry, meat and feed industries.
As a direct outcome of the information and knowledge provided by USSEC’s biotechnology and sustainability team in September 2016, the Colombian Association of Endocrinology (ACE) is now officially supporting the poultry sector in Colombia in demystifying the supposed use of hormones in broilers, which had thought to be linked to early puberty in teenagers. This stance also comes from a thorough and comprehensive understanding of GMO products and U.S. production.
The president of ACE and a director of FENAVI, the Colombian Poultry Federation, participated in this program, led by USSEC. The Americas team was made up of more than 40 representatives from Mexico, Colombia, Ecuador, and Costa Rica and included representatives from the government, industry, and media sectors. Throughout the event, the group was exposed to U.S. regulatory authorities, academic /scientific representatives and grower leaders, all of whom provided valuable information and demystified beliefs around the topics at hand. The group had access to an array of information on agricultural production of GMOs in the U.S.
In two consecutive events titled “Protein for All,” USSEC India targeted the layer industry to accelerate demand for soybean meal usage. With 83 billion eggs produced last year, India ranks third in the world. The province targeted for this activity, Andhra Pradesh, accounts for 30 percent of India’s egg production. The region is also the leading province for the production of fish and shrimp and figures in the top five provinces for broiler production.
Soy inclusions in the layer sector can swing substantially depending on the price, supply, and availability of other competing sources of protein. Customers recognize that soybean meal is produced using a standard process and therefore the quality of protein is nutritionally superior to other protein sources. In order to build more demand for soy in the layer sector, USSEC conducted two events in this province, set apart by a distance of 124 miles, where the maximum concentration of operations exist. It partnered with the leading poultry industry group, Srinivasa Hatcheries, which helped gather potential customers at the seminars.
Dr. S.V. Rama Rao who represents the Poultry Directorate of the Central Government of India was the lead speaker. A well-known researcher and an accepted guide for the industry, Dr. Rao spoke in depth on the quality and nutritional intricacies of soybean meal and how they affect egg production. USSEC animal utilization consultants Pawan Kumar and Yadu Nandan spoke on the commercial side, guiding the audience on buying skills and supply and demand trends of soy. The consultants also emphasized egg as a low cost protein source for the Indian population and recommended that the government position eggs in their social welfare and feeding programs. USSEC Deputy Regional Lead – Asia Subcontinent (ASC) Vijay Anand wrapped up the discussions by explaining how value addition to soy can be benefit the sellers (crush plants) and how customer demand for full strength soy protein can benefit the buyers (poultry sector).
An estimation made by USSEC consultants helped to quantify the target customers at these two events. The first event conducted in Vijayawada had 110 layer farmers and 8 aqua feed millers who represented 28 million layer bird holdings and 430,000 metric tons (MT) of annual aqua feed milling (layer and aqua). The layer group represented a soybean meal usage of 109,000 MT, while the aqua feed millers represented 86,000 MT. Similarly, the second event held at Rajahmundry, with 130 participants represented 23 million layer bird holdings requiring 92,000 MT of soybean meal in their operations.
USSEC attended one of Russia’s largest industrial exhibitions, the XXIInd International Industrial Trade Fair, “MVC: Cereals – Mixed Feeds – Veterinary – 2017” on January 30 and 31 in the All-Russia Exhibition Center of Peoples’ Achievements in Moscow. Since 1996, this particular trade fair has become an undisputed authority and one of the largest professional forums in the world where experts gather to share and exchange new ideas and knowledge, build long-term relationships, and sign contracts. More than 400 exhibitors represented 26 countries and 40 regions of Russia at the event.
The exhibition was accompanied by a diversified business program including international conferences, seminars, and workshops devoted to different aspects of feed supplies and production, nutritional parameters of different feed additives and modern feeding programs, livestock production, feed market status and development, oilseed and meal supplies, and veterinary issues, among others.
The USSEC consultants participated at two key events of the program, giving presentations featuring the usage of soy for different feeding applications and demonstrating the nutritional benefits of U.S. Soy.
More than 120 people attended the USSEC presentation and follow-up discussions. Dr. Jan van Eys answered a number of questions proving the availability of soy proteins for aquaculture diets. Despite the modest level of current aquaculture and fish farming in Russia, this area has a very high potential for development in the next few years. Domestic production of Hi-Pro soybean meal and soy protein concentrate (SPC), which was started by the Sodrugestvo group in Kaliningrad, coupled with a shortage and a rise in fish meal prices has increased the interest of local feed producers to alternative protein sources derived from soybeans.
Russia already ranks fifth in the world in pork production and is expected to grow further over the next several years.
One day of the Moscow visit was devoted to meeting and consulting with local customers at the booth of Sodrugestvo group, which offered the opportunity to further explain the advantages of U.S. Soy and soy in general in poultry, aqua, and swine rations.
Sodrugestvo is the largest soybean crushing company in Russia and the former Soviet Union region. The company is the largest buyer of U.S. soybeans in Russia and the Commonwealth of Independent States (CIS). In MY16, it imported half a million metric tons (MT) of U.S. soybeans. T he company was very disappointed with a temporary suspension for the import of U.S. soybeans imposed by Russia in February 2016 and looks forward to its cancellation.
Brazilian meat company BRF has signed an agreement to acquire USSEC customer and Turkish poultry producer Banvit to expand its international presence. Turkey is a bridge between Europe and Middle Eastern countries and BRF plans to use this advantage to produce poultry in Turkey and export to these countries due to the price advantage and Halal certification of Turkish companies.
The enterprise value of Banvit is estimated at $470 million. The transaction will be carried out through a joint venture between BRF and Qatar Investment Authority (QIA), the sovereign fund of Qatar. While BRF will hold a 60 percent stake in the joint venture, QIA will own 40 percent. Banvit, a fully integrated producer, has facilities ranging from feed control to final food processing. It has five feed plants, four hatcheries, and five production plants.
The first phase of the transaction involves the purchase of a 79.5 percent stake in Banvit, followed later by a tender offer for the remaining minority interest of 20.5 percent.
Banvit is a loyal USSEC customer, consuming around 150,000 tons of soybean meal and full fat soy for its poultry production. Banvit representatives have been regular participants in USSEC’s activities in the poultry nutrition, risk management, dairy nutrition, and feed formulation fields since USSEC began its activities in Turkey. This acquisition will drive the growth of Banvit as well as the poultry industry in the next couple of years in Turkey, as well as helping the Turkish poultry industry to export its production to other countries.
USSEC recently attended the Pakistan Edible Oils Conference (PEOC) and visited customers in Pakistan, in addition to holding Asia Subcontinent (ASC) staff planning meetings in India.
USSEC CEO Jim Sutter and USSEC Acting ASC Regional Lead and Marketing Director – Animal Nutrition Pam Helmsing traveled to New Delhi and Agra, India and Karachi and Lahore, Pakistan from January 13 – 26. During that time, they met with customers and potential customers of U.S. Soy in Pakistan to hear about their markets and concerns and talk about the value of U.S. Soy; Mr. Sutter spoke at the PEOC event; and they worked with the ASC team to plan for the execution of existing and future programs.
Mr. Sutter addressed approximately 500 attendees at PEOC, speaking about the value and sustainability of U.S. Soy. After the PEOC event, meetings with Pakistani crushers and feed mills took place.
USSEC’s plans in Pakistan include: technical training for the solvent extractor industry; nutritional expertise for the poultry industry; possible assistance with demand building for poultry, including nutritional information and countering junk science that says poultry is harmful; possible U.S. Soy oil promotion assistance to position soy oil as a premium brand; and the possibility of bringing a group to Kansas State University for soybean procurement training through a U.S. Department of Agriculture (USDA) Cochran grant.
Palm and canola currently dominate the oil market in Pakistan, although soybean imports for crush have increased dramatically. The industry recognizes that oil produced with U.S. Soy is lighter in color and has a lower cost of processing than soy from South America. There continues to be a preference for canola and palm, however, because of higher oil contents and consumer preference. Pakistani crushers are very price sensitive. They admit that they are unable to take U.S. Soy and produce as high a quality of soybean meal as can be imported from the U.S. and are anxious to learn how to improve their processes to do so.
Because purchases of soy by individual companies are rather small, purchases are usually made with multiple consignors. This means competitors are getting the same quality at the same price at the same time, which leads to consensus opinions about the quality and/or issues with product from a given country or supplier. This is true for both soybean meal and whole beans. The industry is moving toward some bulk handling.
The feed industry also recognizes the difference in quality between U.S. soybean meal and meal produced locally from U.S. beans. They note that the quality is improving. The feed industry is sophisticated and recognizes the value of U.S. Soy, both intrinsic and extrinsic advantages, and is looking for ways to calculate what premium they can afford to pay for U.S. origin.
The poultry industry has been growing at a rate of eight to ten percent yearly, but there are some plateau years. Profitability is low, with chicken at about two-thirds the price of lentils. The two major barriers to growth in chicken consumption are poverty and misinformation about the quality of poultry meat. The Pakistan Poultry Association is planning a feeding program at a few public schools, providing eggs and chicken legs to children and will collect data to show improvements in health, school attendance and learning.
USSEC hosted a team of 12 animal utilization (AU) industry representatives from core customer companies from 5 Latin American countries to the New Orleans area in October 2016.
Through a series of visits and meetings over the course of three days, the customers gained first-hand exposure to some of the advantages of U.S. Soy, in relation to logistics, finance, and quality. Participants had the opportunity to interact with two USSEC member firms, a shipping agent, and USSEC consultant experts, and discuss purchasing and maritime freights.
The visit to Thionville Laboratories catered to specific interests expressed by customers from the Dominican Republic, English-speaking Caribbean, and Mexico. The CEO of Thionville Laboratories extended a warm welcome to the team and shared information relating to the technical aspects of surveying, its conditions, requirements, and advantages. The staff in charge of the laboratory and analysis discussed technical topics ranging from sampling procedures, to input analysis methods, to the equipment and resources available, and the most current techniques. The team had the unique opportunity to see the laboratory conduct a series of tests on soybean meal samples that had been submitted in advance by one of the firms in attendance, giving way to in-depth discussions.
CHS Inc. hosted the team at their Myrtle Grove facilities. It was the first time most of the members of the group had ever visited a port and export facilities, where they could tour and interact with trading representatives and local staff in charge. This opportunity led to discussions focused on current market perspectives, loading and exporting processes, execution of contracts, and competitive logistics in the U.S.
The third visit took place at Bluewater Shipping, Inc. After a presentation about their company and the services they offer, the discussion turned to the information and resources available to keep track and evaluate logistics and shipping, and follow-up vessels en route.
During the site visits, USSEC consultants Mark Kuehl (expert on freights), Ronald Perez and Francisco Cabrera (experts on purchasing and contracting), discussed the following topics with the group: pricing of products, domestic river and barge logistics, elevation facilities, and related costs. Mr. Kuehl conducted a presentation on maritime freights, freight market structure, and perspectives. Based on the most up to date information and figures, he led participants through comprehensive examples of freight estimations and transit times, which highlighted the logistical advantages of U.S. Soy and grains.
The AU team was escorted by USSEC consultants Pedro Lora, Fradbelin Escarraman, and Gerardo Luna, whose varied knowledge and expertise provided participants with a tailor-made experience, which allowed them to participate in discussions around key aspects of soybean meal, products, exports, technical, trade and marketing related issues.
The trip was a great success, and the team expressed their appreciation to USSEC and all the companies and firms visited.
USSEC recently conducted a soy demand-building event in Kandy, Sri Lanka as an extension of a two-day national event planned by the Sri Lankan government to educate audiences about protein. About 500 participants attended this event with a significant group including influencers from the government, scientists, and representatives from the animal feed and protein trade industry.
USSEC consultants in Sri Lanka and southern India, Dr. Athula Mahagamage and Dr. Yadunandan, led the conference. Dr. Mahagamage delivered a lecture on importance of protein and how Sri Lanka has been able to increase the production of chicken and eggs to meet growing demand. The session was also used to demystify perceptions about processes employed in chicken production, which was identified as a minor constraint that hampered chicken consumption in the country despite stable demand. During his lecture, Dr. Mahagamage shared data on the utilization of U.S soybean meal in the Sri Lankan poultry industry, emphasizing that the quality meat and positive economics seen in production economics are due to the superior quality and consistent supply of U.S soybean meal.
Drs. Mahagamage and Yadunandan also conducted a closed room discussion with the animal husbandry department, poultry farmers, and veterinary college faculties. Participants agreed on the importance of developing further strategies to increase chicken and egg production in Sri Lanka. Mr. Jayan, owner of Jaya farms, a leading poultry enterprise, pointed out that how U.S soybean meal has contributed to the development of Sri Lanka’s poultry industry.
Mithreepala Sirisena, president of the Democratic Socialist Republic of Sri Lanka, attended the event’s second day. The 304 participants included officials from various government departments, teachers, animal husbandry officials, poultry farmers, and feed millers. Dr. Mahagamage invited two external speakers, Dr. Gamini Jayakody, consultant physician to the World Health Organization (WHO) and Ministry of Health and Dr. Nimal Priyankarage, head of nutrition at the Veterinary Research Institute, to speak at the event and focus on nutrition and nutritional factors. Dr. Priyankarage spoke on high quality protein and how to differentiate complete and incomplete proteins. While speaking on amino acid composition in vegetable and animal proteins, he stressed that only soybeans offer an almost complete profile of amino acids.
USSEC recently organized a technical seminar in Bucharest, Romania to support the development of the consolidation of Romania’s swine industry.
USSEC consultants Dr. Hans Stein and Dr. Jan van Eys visited with key Romanian integrated companies on behalf of USSEC prior to the event. The consultants were invited for field visits that focused on the industrial Romanian swine sector, including integrated feed manufacturers and large size swine farms, owned by local and foreign investors from various countries. The objective of these field visits was to audit the industrial facilities and see where technical advice could be provided in order to improve operations, increase efficiency, and emphasize the advantages of working with U.S. Soy products.
Meeting with feed mill, quality control, and farm managers was instructive and appreciated by the representatives visited. Regular contact between USSEC and its customers enhances the message that needs to be communicated and reminds customers of the importance of quality differences among soy products in addition to what USSEC can mean for these customers – both from a commercial as well as a technical point of view.
The week concluded with the seminar in Bucharest, where more than 25 attendees valued the information conveyed by speakers in regards to soy quality, novel soy ingredients, and swine nutrition.
Currently, the pig production in Romania is in the process of consolidation and pig farmers have understood the need for having sustainable production based on investments in technology, genetics, nutrition, and integration. At this stage, the top swine integrations are controlled by U.S., Chinese, and Danish investors who understood the opportunities coming from the demand and supply ratio: Romania produces 55 percent of the pork meat it consumes.
Given the interest in the various topics discussed during USSEC’s visit to Romania and the need as well as potential for improvements in pig feed manufacturing and farm management, a regular follow-up activity is suggested. This is especially true when considering the opportunity this market offers for growth in livestock production in Romania and the use of value-added U.S. Soy products.
USSEC India recently organized a training program, which dealt with economical approaches to chicken production and creating trade linkages to South India’s broiler sector, in Ooty, Tamil Nadu Province. USSEC partnered with a leading soybean meal trader, Sri Amman Enterprises, to help achieve its objectives.
USSEC consultants Dr. Yadunandan and Dr. Pawan Kumar coordinated the sessions to bring together poultry integrators, feed millers, and the soy distribution system. About 110 midsized and small broiler integrators and feed millers participated in this training program. Together, this group represented 460,000 metric tons (MT) of soy use per year. Sri Amman Enterprises handles sales of 130,000 MT of soy annually and Sai Smaran Foods Pvt Ltd crushes 200,000 MT of soybeans per month. The audience at this event involved the entire value chain of soy, comprised of crushing, distribution, and soy utilization.
Dr. Yadunandan introduced USSEC and its activities and gave a presentation on the supply and demand of soybean meal in India and the Asia Subcontinent (ASC). India produced a good soybean crop in 2016 after three back-to-back years of poor production, but India’s supply is not enough to cater to the needs of the entire ASC region. Discussions stressed the need to proactively address raw material security for a growing poultry industry. Dr. Kumar expressed that chicken, eggs, and soy flour are the three cheapest sources of protein for Indians and stressed higher dependence and consumption of the same. On the technical front, the two consultants explained soybean meal inclusion levels in formulations and the bearing they have on the economical production of poultry meat and eggs. Other topics addressed included making appropriate buying decisions of soybean meal and interpreting analytical data.
USSEC consultant Gonzalo G. Mateos, Ph.D., head of the animal nutrition department at the Universidad Politechnica de Madrid (Spain) recently published an article, “Influence of the Origin of the Beans on the Chemical Composition and Nutritive Value of Commercial Soybean Meals,” in the November issue of Animal Feed Science and Technology, an international scientific journal covering research on animal nutrition, feeding and technology.
According to Dr. Mateos and his coauthors, the composition and nutritive value of soybean meal varied with the origin of the beans.
- Soybean meal from Brazil and the U.S. had more crude protein than soybean meal from Argentina
- The amino acid profile was better for soybean meal from the U.S. and Argentina than for Brazilian soybean meal
- Neutral detergent fiber (NDF) was higher and sucrose lower for Brazil’s soybean meal than for soybean meal from the U.S. and Argentina
- KOH protein solubility (KOH), protein dispersibility index (PDI), and trypsin inhibitor activity (TIA) values were lower for South American soybean meal than for U.S. soybean meal.
To read the article in its entirety, please click here.
USSEC conducted a technical seminar for the staff of key Russian customer Sodrugestvo on December 5 and 6 in an effort to strengthen relationships and demonstrate its commitment. The Sodrugestvo group, based in the Kaliningrad region of the Russian Federation, is one of the largest European soy crushing facilities.
USSEC Animal Utilization consultant Dr. Gonzalo Mateos and local consultant Dr. Maria Domoroshchenkova provided two days of technical training for specialists and sales managers from Sodrugestvo’s soybean crushing plants, soy protein concentrate plant, and trade department. About 75 people attended the seminar.
Topics covered these areas of interest: an overview of global and Russian soy markets; modern technologies of soybean processing; antinutritional factors; Russian and international standards for soybean meal; soybean meal versus other protein sources; evaluation of energy and protein quality of soybean meal; soybean origin and soybean meal quality; soy products in animal feeding; energy and amino acid content of soybean meal according to different sources and tables; and an update on the GMO situation.
Soybean consumption in Russia could be increased through an increase of inclusion rates of soy proteins in local feed formulations. The education of local customers on the nutritional benefits of soybean meal and soy protein concentrate (SPC) versus other protein sources and on feasibility of usage of soybean meal and other soy additives in poultry, animal, and aqua diets is vitally important for development of the soy market in Russia.
Sodrugestvo has the largest soybean crushing facilities in Russia and the Commonwealth of Independent States (CIS). The company started its first crushing plant in 2007 and followed up with facility expansion. Today, Sodrugestvo could crush up to 7,000 metric tons (MT) of soybeans and 1,100 MT of rapeseed per day at the Kaliningrad site. The company manufactures a wide range of soy products including soybean meal, soybean oil, white flakes, SPC, soy lecithin, pelletized soy hulls. The deep-water terminal enables vessel acceptance on pier with capacity up to 30,000 to 50,000 MT.
In FY16, Russia has purchased around 486 thousand metric tons (TMT) of U.S. soybeans. Perdue Inc. is one of the leading suppliers of soybeans to Sodrugestvo. Chicago & Illinois River Marketing and LD Commodities were among other U.S. sellers to Russia this year.
Although short-term soybean market dynamics are disturbed by a temporary U.S. soybean import suspension and trading down impact, middle term and long-term fundamentals remain positive for Russia. This is expected to potentially increase the current usage of soy by the local poultry and swine production industries, development of aquaculture production, and by a growth of soybean crushing capacities of local oil mills.
On December 6, USSEC organized a feed formulation course in Casablanca, Morocco. The one-day event, held for the first time in Morocco’s market, bought together 15 nutritionists and feed formulators from 11 feed mills covering about 50 percent of compound poultry feed production.
The goal of the course was to increase knowledge and improve the usage of U.S. Soy products and help differentiate soybean meal of different origins in feed formulation.
USSEC consultant and formulation expert Sirri Khayan presented feed formulation and purchasing planning for profitable feed production to selected young professionals from different companies. He insisted on setting different matrices for meals from different origins. Based on his experience in other markets of the Middle East / North Africa (MENA) region, Mr. Khayan optimized several poultry diets simultaneously using full fat soybean, U.S. soybean meal and soy oil.
Feed mills are increasingly interested in getting maximum value from the ingredients they use. Developing formulations based on digestible nutrient values of soybean meal by origin leads to better poultry nutrition. Benchmarking every step of poultry feed production and multi-diet formulation helps improve overall profitability.
Improving knowledge on the nutrient supply of U.S. soybean meal such as higher lysine content and availability, along with consistent quality, ultimately leads to increased preference for U.S. Soy.
USSEC continues to improve knowledge of U.S. soybean products’ customers. The short course helped achieve its goal in educating young professionals by allowing them to gain more experience in poultry feed formulation and soybean meal differentiation by origin.
At the invitation of the Russian Poultry Research Institute (VNITIP), USSEC participated in a poultry technical seminar on December 8.
USSEC consultant Dr. Gonzalo Mateos, accompanied by local USSEC consultant Dr. Maria Domoroshchenkova, attended the seminar, which was themed, “Modern Approaches to Feeding of High Productive Poultry Crosses, Control of Safety of Compound Feeds and Biologically Active Additives, New Technologies in Feed Production” in Sergiev Posad, the ancient Russian town which originated in the 15th century around one of the greatest Russian monasteries, the Trinity Lavra, located 70 kilometers from Moscow.
Over the last three years, USSEC consultants have become regular and respected visitors at such seminars, sharing with Russian customers the modern global and European trends in poultry production and feeding programs, new developments in soy feed additives production and control, the nutritional value and benefits of U.S. Soy versus other protein sources, and other issues.
A total of about 80 people attended the seminar. Attendees were predominantly representatives of feed mills, poultry farms, and feed additives and vet preparations companies from different regions of Russia.
Dr. Mateos gave a presentation, “Broiler Production in the Absence of ‘In Feed Antibiotics’: Diet Modification and Use of Functional Additives.” Dr. Mateos in his presentation, alongside with other poultry feeding questions/issues, compared the nutritive value of different protein sources widely used by the EU and Russian poultry industries and emphasized the importance of the uniformity of protein ingredients in modern poultry diets. He demonstrated the benefits of soy products in poultry feeding versus other protein sources and provided data for understanding quality differences in soybean meal (including differences in origin) and the impact on broiler production. The quality benefits of U.S. Soy products was clearly appreciated and recognized. The presentation was well received as evidenced by the number of questions and reactions. Although the organizers of the seminar allocated an hour and half in the program for Dr. Mateos’s presentation, it was still not quite enough time, and discussions continued after the end of the session. Obviously, the topics presented were of high interest to the Russian customers.
Local poultry farms are the principle users of soybean meal in Russia, compared to other animal producers. Russia’s poultry production has been rising significantly in the past few years. Russia is the world’s fourth largest producer of poultry meat and the sixth largest producer of eggs. The poultry meat production growth rate in Russia is six times higher than the world average. Poultry meat occupies a 48 percent share in the structure of meat production in Russia in 2016, according to the estimates of the Russian Poultry Union.
There is a serious potential for the growth of demand of soybean meal via an increase of ratio of soy proteins in local feed formulations. USSEC’s marketing efforts are beneficial for the promotion of soy additives in poultry feeding programs at the nutritionally recommended dosage and will contribute to the growth of demand in U.S. Soy.
USSEC China co-organized the 2016 U.S. Swine Industry Development Symposium in Beijing with U.S. Grains Council (USGC), U.S. Meat Export Federation (USMEF), China Chamber of Commerce of Foodstuffs and Native Produce (CFNA), China Animal Agricultural Association (CAAA), and the China Meat Association (CMA) on November 18. 160 entrepreneurs, general managers, government specialists, and technical directors from swine farms, feed mills, government offices, and national research agencies attended the event. The topics included improving environmental stewardship at large swine operations; changing regional distribution in the swine industry; improving linkages between producers and processors; and the role of global markets in meat and feed industries.
Bob Metz, United Soybean Board (USB) director, spoke on behalf of the U.S. soybean industry at the opening and closing ceremonies. He introduced USSEC’s activities in China and the advantages of U.S. soybean products.
“We [U.S. and China] are the greatest counties in the world and we face the same issues on the environment,” said Mr. Metz. “We should concentrate on what we do well and continue the cooperation.”
Xiaoping Zhang, USSEC Country Director – China, was one of four moderators of the symposium and hosted a session on improving linkages between producers and processors. Symposium guests told USSEC that the event allowed them to reflect on what has been achieved and to explore future opportunities that lie ahead of the industry, saying that if they don’t increase investment in improving the environment, they may go out of business in the next five years.
Mr. Metz also visited USSEC’s top-ten buyer Shangdong Bohi Industry Co., Ltd., preferred customers Shanghai Bright Liangyou group, and Shanghai Yuanyao Investment Co., Ltd. before the swine summit. He was escorted by USSEC Animal Utilization (AU) Technical Director Richard Han, USSEC Marketing Manager Claudia Chong and USSEC AU consultant Sam Shi and was informed of China’s market information and customers’ requirement and needs.
USSEC participated in EuroTier 2016 from November 15-18 in Hannover, Germany.
Brent Babb, USSEC Regional Director – EU/MENA and five of USSEC’s European contractors traveled to Germany for this event.
EuroTier is the world’s leading trade show for animal husbandry, including livestock feed production, which attracts exhibitors from all over the world to present their innovations for dairy and beef cattle and pig and poultry farming, as well as participants from the fields of aquaculture, sheep and goat growing, and buildings and equipment. In addition to the latest innovations, visitors also find a wide range of special side events, including technical presentations, press conferences, and panel discussions that provide plenty of opportunities to learn and share information with other industry members.
As the leading trade fair in its sector, EuroTier provides a comprehensive overview of innovative technology, services, and genetics for modern livestock production. It focuses on farm inputs especially for livestock farmers, such as feeds and ingredients, as well as relevant equipment and technology, including grain and oilseed processing, livestock feed mixing equipment, quality control systems, and many tools used in modern animal agriculture.
Attracting more than 2500 exhibitors and approximately 150,00 – 160,000 visitors from Germany and over 100 other countries, the EuroTier 2016 show was the place to be for USSEC’s European team.
“EuroTier provides a great place for USSEC team members to meet with key customers and also to discuss future programs with industry experts,” explained Mr. Babb. The team planned several events for 2017 with industry contacts including a feed technology meeting in Romania, two sustainability meetings in Germany, and a tentative sustainability media tour in Fall 2017.
Eugene Philhower, USSEC commercial contractor-North Europe; Jan van Eys, USSEC regional EU contractor based in France; Iani Chihaia, USSEC contractor – Southeast Europe; Jerzy Kosieradzki, USSEC contractor – Northeast Europe; and Sirri Kayhan, USSEC contractor – Turkey, spent two days at EuroTier updating their knowledge of technological innovations, studying competitors’ products and offers, and renewing contacts with soy buyers and users from many European countries.
An added bonus was an opportunity for USSEC’s European team to meet and discuss various current programs, administrative procedures, and plans for the coming year 2017.
USSEC jointly organized a soybean meal quality Near Infrared Spectroscopy (NIR) workshop for Morocco’s leading feed mills with local feed association AFAC on November 29 and 30. Nineteen participants, including quality control specialists and nutritionists, represented major feed companies. The main objectives of the one-on-one workshop were to assist feed mill laboratory managers to properly evaluate U.S. soybean meal composition using the available NIR technologies and increase understanding of its specific value compared to soybean meals of other origins.
An expert and a consultant visited leading feed and turkey producers, holding technical discussions that highlighted the benefits of this technology in improving the quality control of ingredients and compound feed. The visits showed the high value of the U.S. soybean meal and companies’ efforts to take full advantage of its nutritional quality.
Dr. Ir Pierre Dardenne, expert at the Walloon Agricultural Research Centre in Belgium, gave a presentation preceding the visits.
Improving knowledge in calibration, data validation, and statistical interpretation of analytical results contributes to better use of the nutrients supplied by soybean meal.
USSEC continue to sustain demand for U.S. Soy and develop the loyalty of leading customers. The Morocco market imports U.S. soybeans, soy hulls, soybean oil and meal. Poultry remains the primary driver of Morocco’s soybean meal market.
Nearly ten years ago, the Polish government introduced a legal ban on GM animal feeds, although the ban has never been implemented due to the high dependency of Polish livestock production upon soybean meal imports (two million metric tons [MMT] imported annually). The present moratorium on putting the ban into operation ends on December 31 of this year. The Polish feed and livestock and food industries undertook a number of initiatives to ensure the ban will be abolished or at least suspended for a few more years. One of the projects in their pro-biotech campaign was the publication of a special biotech insert in Gazeta Wyborcza, a top Polish daily newspaper. USSEC joined its Polish industry customers as a provider of professional information and a co-funder of the publication.
The insert was devoted to the theme “Agriculture: Safe, Efficient & Responsible” and consisted of several articles and interviews with governmental officials, scientists, industry organizations executives, and independent experts. “Animal Feeds with GM Soy” was the special feature of the insert’s edition.
The article titled “Green Biotechnology” was written by Jerzy Kosieradzki, USSEC Technical Director – Northeast Europe, and Iwona Kosieradzka, professor of animal nutrition at the Warsaw University of Life Sciences, and explained how ideology and multi-billion dollar interests of organic food corporations purposefully confuse consumers about biotech products. It highlighted the many benefits biotech crops offer to farmers, processors, and consumers around the world. The authors also reported on countless research institutions and scientific experts that had proven the safety of GM foods and feeds.
The message concluded that biotech soybeans continue to strongly contribute to the sustainability of the Polish and European food chains.
In a long interview, Professor Józef Brzóska, animal nutritionist at the Animal Production Institute in Krakow, Poland, referred to the results of a complex Polish research program funded by the Polish government that tested major corn and soybean GM varieties marketed around the world in fields and livestock production. The team of Polish scientists came to a clear conclusion that these GM crops were as safe for the environment and livestock and humans as conventional crops.
In another interview, Ewa Lech, Deputy Farm Minister spoke on the motives that caused the Polish agricultural authorities to propose to the government and parliament to extend the use of GM soy in livestock feeds for another four years.