CPF reports soaring profit

Charoen Pokphand Foods (Plc) has reported consolidated revenue for Q1, 2016, of 105.5 billion baht, up 10%. Net profit was 3.764 billion baht, up 27% Y-O-Y.

Overseas businesses accounted for 60% of total revenue. Turnover in 13 vibrant markets, including China, Vietnam, India, Russia, and the Philippines, grew 12%.

Domestic and export businesses, currently 40% of revenue, also grew 6%. The growth is attributed to a recovery in meat prices.

Adirek Sripratak, president and CEO, said CPF will maintain long-term growth by organic growth together with mergers and acquisitions and development of value added products.

The company’s board of directors has approved CPP’s plan to invest in Hubei Chia Tai Co Ltd, the largest broiler integration in west-central China.

He expects turnover growth of 10-15% and all around gross margin improvements. Broiler exports to Europe and Japan have grown 17% in Q1.

Opportunities in 2016 include low prices for feed raw ingredients, the rising price of meat, rebounding shrimp production, and handsome profits from overseas investments.

CPF will invest 700 million baht to manufacture ready-to-eat meals for various market segments such as health-conscious consumers, the elderly and infirm as well as new sauces and seasonings.

JFC and Cargill to build poultry processing plant 

Jollibee Foods Corporation & Cargill Jollibee Foods Corporation (JFC) have joined forces with Cargill Philippines Inc, a wholly owned subsidiary of Cargill Inc, to build and operate a poultry processing plant in Santo Tomas, Batangas, in the Philippines.

Cargill and JFC will have a 70% and a 30% stake respectively in the joint venture named Cargill Joy Poultry Meats Production Inc. Cargill will oversee the setting up, management and operations of this facility.

The partnership will create an estimated 1,000 new full time jobs and develop new contract growing opportunities in the farming community in the Batangas and nearby provinces.

JFC will invest Php244.9 million (US$5.2 million) for 30% of Cargill Joy Poultry Meats Production Inc.

The JFC Group of Companies is one of the largest buyers of chicken in the Philippines, with brands Jollibee, Mang Inasal, Chowking, Greenwich and Burger King franchises.

Livestock producers need to start thinking ahead, says CPF’s Somkuan

 

Thai livestock producers should adopt a more pro-active stance to ensure that they can withstand future risks, steeper hurdles and higher operating costs, according Somkuan  Choowatanapakorn, COO pork business, Charoen Pokphand Foods Plc.

Before expanding their operations, producers must invest in environmental management strategies to ensure that they will be able to comply with more stringent environmental regulations. Neglecting to do so could result in greater risk of exposure to contagious diseases and end up provoking hostile sentiments from nearby communities.

Higher land costs, rising wages, volatility in feedstuff prices and unpredictable availability, as well as trade barriers, are making the livestock business more and more difficult and complicated, he added.

As a result, small operators are unlikely to expand, and large producers are experiencing resistance from local communities. At any rate, unbridled expansion can lead to oversupply and price instability, said Mr Somkuan.

Producers need to incorporate technology and automation to overcome labour issues. Other proactive steps might include looking into building supply chain partnerships with suppliers in neighboring countries or exploring offshore investment opportunities.

Collaboration could improve the fortunes of smaller farms, he added. For example, forming agricultural cooperatives or business entities gives groups more power to negotiate with suppliers or access capital from financial institutions.

Prices should be driven by market forces, he said. For its part, the public sector should provide appropriate land use planning rules that would optimize and demarcate land for for agriculture and livestock production.

Also, the government needs to continue to invest in research and development, particularly in disease prevention, new technologies to improve productivity, access to new markets and sources of investment capital.

Hubbard appoints incubation specialist

Dante RIVERAHubbard appoints Mr Dante Rivera to the role of Incubation Specialist. Dante will report to Yann Thoueille, Global Quality Director.

Dante will play an important role within Hubbard’s technical team, delivering high level hatchery management and incubation support to Hubbard customers across Asia, EMEA and South America.

Stern-Wywiol Gruppe reports 12% sales growth

The Hamburg-based Stern-Wywiol Gruppe achieved a record sales figure of 444 million EUR in 2015 – resulting in 12 percent growth for the family business.

The number of employees in Germany and abroad rose to nearly 1,000.

It is planned to continue this positive development in the growing international market for food and feed ingredients with investments of 25 million EUR in the next two years.

The Stern-Wywiol Gruppe comprises eleven independent specialist firms in Germany which develop, produce and market functional ingredients for the production of food and feed, including Hydrosol, Mühlenchemie, SternMaid, SternVitamin, Sternchemie, SternEnzym, HERZA Schokolade and Berg+Schmidt.

Progressus AgriSchools training programs in 2016

Progressus, in conjunction with Kasetsart University – Kamphaeng Saen Campus and worldwide industry experts, has created a comprehensive and detailed set of chapters for each AgriSchools course. AgriSchools are ‘certified’ residential short-courses (5 days) specifically designed to bring professional in the fields of Agriculture, Livestock and Aquaculture up-to-date with the very latest management methods and technologies.

 

The university certified courses are independent, unbiased, set in a university setting and are delivered by university and independent Industry experts. All materials are constantly reviewed and updated to ensure AgriSchools’ participants receive the latest industry industry knowledge, best practices and standards.

 

All participants will be presented with a Certificate of Completion at the end of the AgriSchool from Kasetsart University and Progressus.

 

 

Scheduled in 2016:

  • Certificate in Layer Production and Management          23-27 May
  • Certificate in Livestock Feed Mill Management               11-15 July
  • Certificate in Aqua Nutrition Management                      26-30 September
  • Certificate in Ruminant Production and Management  10-14 October
  • Certificate in Aqua Feed Milling                                          21-25 November

 

 

For more information about Progressus AgriSchools Courses, please go to www.progressus.asia

Nabel Asia new office

NABEL ASIA SDN. BHD has moved to new premises with effect from
11 March 2016.
Details of the new premises as follow

NABEL ASIA SDN. BHD.
No 5, Jalan Anggerik Mokara 31/55,
Seksyen 31, Kota Kemuning,
40460, Shah Alam Selangor

Tel:+603-5120 1866 (Main Line), 03-5120 1566 , 03-5120 1766 , 03-5120 1966
Fax: +603-5120 1660

New software offers energy savings

How efficiently is your business utilizing energy?

ASIS EE, a newly launched real-time  monitoring software from Agentis Innovations,provides the means to collate energy-related data from multiple sources and forecast electricity demand.

That means plant managers can precisely identify how energy is flowing and is utilized through a facility as a whole as well as through individual machines and identify opportunities to reduce energy-related production costs.

In addition, ASIS EE provides automatic or manually controlled load optimization by using forecast demand and scheduled control functions ensure that energy consumption patterns are maintained and kept within target parameters.

For further information, on ASiS EE please visit the Agentis Innovations booth (#A009) at Victam Asia 2016 or visit the company’s website at www.agentisinnovations.com.

Bentoli Thailand’s relocation notice

 
Effective March 15, 2016, Bentoli AgriNutrition Co., Ltd.  has been relocated to the new building as stated below, the new telephone and fax numbers are as follows : 

 
Bentoli AgriNutrition Co., Ltd.
TIP 6 Industrial Project
777/31 Moo 9 · Soi Roongcharoen · Lieb Klong Suvarnabhumi Road
Bangplee · Samutprakarn 10540 · Thailand
Tel : +66 2 1369001-2 (ext.116)  Fax : +66 2 1369003

Low protein diet for piglets

Philippe SERENE

There is a pre-conceptualised idea that the higher is the protein content of a feed the faster the animal will grow, especially for piglets. Such rationale leads farmers to select higher protein to boost their animal growth. But actually, high protein content can create some damages as well.

An immature enzymatic system

Before weaning, the piglet is easily able to digest the high protein level of the sow milk, but after weaning, moving to a solid and vegetable based diet, it will face a more difficult challenge. The weaned piglet before 6-7 weeks of age has an immature enzymatic system: Lipolytic and proteolytic enzymes synthesis has not reached full efficiency and plant protein will be allergenic and poorly digestible.

Consequently, the crude protein will be incompletely digested and this indigestible fraction entering the hindgut will cause proteolytic fermentations and pathogenic bacteria development resulting in diarrhoea, growth retardation and even mortality.

Less diarrhoea with lower protein content diets

In many countries where the antibiotics are still used as growth promoter, the fermentation triggered by the non-digested protein will be controlled by the antibiotics. But when we are reducing the use of antibiotics or when resistance appears, diarrhoea will occur. This diarrhoea is not always associated with bacterial contamination as we often believe but the results of the fermentation of the non-digested portion of protein.

This has been one of the first major challenges that producers had to solve in Europe when antibiotics have been forbidden at growth promoter oncentrations.

Without the use of antibiotics, farmers had to reduce the protein level in piglet diets in order to avoid releasing non-digested protein into the gut.

Minimum protein requirements for weaned piglets feed

Surprisingly, it showed that such adaptation did not affect weight gain, feed intake and feed efficiency of the animals. Many studies, and a long practice of feeding in Europe, showed that reduction of protein content in feed has been beneficial to the industry by reducing the digestive disorders and prepare better the piglets for a high daily growth and a better feed efficiency.

This shows that the high levels of protein that we supply to piglets in Asia are actually not well converted by the animals. It would be better to provide lower protein content provided that we can guarantee high level of digestibility.

To define the optimal level of protein in the feed, we must look at Lysine first. As far as energy is not limiting in the diet, lysine is the first limiting amino acids for the piglet growth, the response to growth is proportional to the lysine intake.

Increasing lysine with high digestibility (around 87% from protein sources and 100% from synthetic lysine) will directly improve the daily weight gain without any adverse effect on health.

The other amino acid should be supplied with the correct ratio to Lysine to avoid any excess that would then be fermented and cause diarrhoeas. This ideal amino acid profile is now well known and the requirements for methionine, threonine, tryptophan and even valine, can be easily fulfilled.

The ideal amino acid profile in 10 to 20 kg piglets (Chung et Baker,1992)

So, in the minds of most nutritionists and veterinarians, cutting back on crude protein is a sure way to control diarrhea, even when antibiotics are used. But, that’s not true in several places around the globe. Let’s talk about Asia, China in particular. There, and despite the fact that nutritionists and veterinarians recognize the need to reduce crude protein, such measure is virtually impossible for marketing purposes and sometimes even regulatory purposes.

A low-crude protein feed is considered inferior even though assurances are provided that amino acids are there — so as to protect animal growth. I believe this is a matter of customer education. The same but different is true for the U.S. market that has started the uphill battle against growth-promoting antibiotics. There, nutritionists do not support a piglet diet with only 18 percent crude protein when their existing products contain as much as 24 percent crude protein. Clearly this is a matter of scientific development, and I know they are working hard to this end.

But, let’s consider the existing situation: two large pig markets — the U.S. and Asia — that cannot accept, yet, lower-crude protein diets for piglets (with or

without antibiotics). Is there anything that can be done to ensure that piglets don’t scour and continue to grow when high-protein diets are fed without antibiotics (U.S.) or when antibiotics are facing resistance (Asia)?

It must start with the selection of the protein sources with a specific focus on digesbility. It is not only a question of cost. We must leave as little as possible undigested protein in the gut even at a superior cost.

* From animal by products: Milk, Whey protein concentrate, Fish meal, plasma protein…

* From plants: Protein concentrate, Extruded SBM, potato protein…

We must pay an attention as well not to antagonise the digestive process. Protein sources have a high Acid Binding Capacity (ABC), limiting the natural acidification of the stomach. The natural pH evolution of the stomach moves from 4.5 at weaning to 2.8 during the growing phase. To counterbalance the negative effect that protein will have on the pH, it is advised to choose a high level of strong acidifiers (upto 8-10kg per ton), with a high negative ABC (formic and fumaric acids) and to limit incorporation of other elements that could increase feed ABC value due to their buffering activity.

* Limit calcium carbonate (use Ca Formiate)

* Reduce the dosage of Zinc Oxide from 3000ppm to 300ppm by using potentiated form

Another tools to limit the fermentation of non-digested protein will be to incorporate in the feed a portion of micronized fermentable fibers. The gut bacteria will preferentially target the fermentable micronised fiber source vs. the protein thereby limiting the negative effects of the higher protein.   So where feed producers do need to market high protein diets, use of the micronized fermentable fibers is a key formulation strategy to limit diarrhoea in piglets.

 

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If you have any questions on this article or if you would like to get more information, please contact me and I will connect you with the relevant expert.

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