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EDITORIAL
Several years of debate, dispute
and finally the perseverance
shown by the present govt. has
finally culminated in Indian Parliament
passing the biggest ever indirect tax reform , the GST or
Goods and Services Tax Bill. It is generally predicted to be a
leap forward to improve the business in India, doing away
with the plethora of taxes like VAT, CSI, Services Tax, Excise,
Entry Tax, Purchase Tax, and Central Excise Tax and so on, so
as to transform nation into a single market. In this system, the
end customer shall bear only the GST charged by the last
dealer in the supply chain, with set of benefits at all the
previous stages.
Regarding the impact of GST on feed industry, no one has a
very clear idea about it at present. However, there is a need to
study the GST Bill in details vis a vis feed industry. Food safety
as well as feed safety, with which the feed industry is directly
as well as indirectly involved, along with traceability, happens
to be the burning issue at present, since this is an issue which
is non negotiable. Only the safe feed for animals can produce
safer animal origin food for humans. If we cannot pay any
heed to feed safety, then it may be difficult to step up our
production of foods of animal origin. Because as our
population is becoming more and more conscious about
safety of foods, FDI shall come in a big way and flood Indian
markets with safer feed as well as safer foods of animal origin.
GST is definitely going to bring in transparency as how the
raw material is coming from for the final product. Sh. Vijay
Sardana very beautifully brought out these points for the
benefit of the delegates who attended recently concluded
CLFMA Symposium held in Kolkata on 2nd and 3rd Sept.,
2016. Best thing would be that CLFMA should set up a
committee of experts to look into the pros and cons of the
GST Bill, with respect to its impact on the future of Indian
feed industry and the foods of animal origin.
Dr. TK Walli
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
GST: What kind of impact it could
make on Indian feed industry?
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Contents
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
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MARKET PROJECTION
RESEARCH & DEVELOPMENT
INDUSTRY THOUGHTS
05
INTERVIEW
ARTICLE
12
PELLETING TIPS
16
20
28
UPCOMING EVENTS
19-21 October
2016
6-8 October
2016
Novel process to
develop fishmeal substitute
Corn industry needs to be
redesigned as an enterprise
08
Feed Safety :
a Priority or a Value
STORAGE TIPS
12 Management lessons for extended
grain storage
The Science of Pelleting
Understanding the Feed Economics
Feed Phytogenics- A revolution in
the feed industry
7. R&D
www.benisonmedia.com
05
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
Prairie AquaTech is developing an
enhanced microbial conversion to
produce high-protein feed that is
converted into pellets for aquaculture.
Bill Gibbons, an industrial
microbiologist and professor at South
Dakota State University says the fact is
the world needs to double its food
production in the next 20 to 30 years,
and fish is likely to be an increasingly
important source of protein. Shellfish
and fish consumption are on the rise, in
part because of improving standards of
living in parts of the world, and in part
because of a feed conversion for fish.
Hence, the price of feed ingredient has
been increasing rapidly as demands
increases while supply remains
stagnant. Traditionally, aquaculture has
been heavily dependent on increasingly
expensive fishmeal as a protein source,
accounting for 40 to 50 percent of the
total feed for aquaculture.
In the 1960s, the chicken and hog
industries consumed most of the
fishmeal. By 2010, nearly 80 percent of
the world fishmeal went to aquaculture.
Fishmeal prices have increased from $700 per ton in
2004 to $2,000 per ton and some experts say it will go
to $3,000 per ton within five years.
The newly designed feed ingredient is considered as a
sustainable, alternative to fishmeal. The soy-based feed
ingredient uses a microbial enhancement process to
improve available protein levels in soybean meal.
The problem is the plant-based feeds have fiber and
anti-nutritional factors irritate stomachs of fish, and can
even kill them. In 2010, Gibbons did some limited trials
and found the organisms were effective in reducing the
sugar and fiber levels, and boosted the protein levels
significantly. On a dry matter basis, conventional
soybean meal yields about 50 to 52 percent protein.
Gibbons' process boosts that level to almost 70 percent.
“With fishmeal, for every pound of protein going in, the
fish use about 78 percent of that and convert that into
fish,” Gibbons said. “In our trials, almost 100 percent of
that going in, ending up in the fish.” That not only cuts
fish food costs, but it also means nutrients that aren't
absorbed by the fish don't go into the water.
There is a global race to create new fish foods for the
aquaculture business. Raw soybean meal costs $400 per
ton. By adding another $400 to $500 per ton in
processing costs, the product likely can compete in the
market at $1,500 per ton.
Source: prairie
Novel process to
develop fishmeal substitute
ImageSource:prairiebusinessmagazine
8. INDUSTRY NEWS
www.thinkgrainthinkfeed.co.in
06
China's soybean imports are likely to
rebound in the fourth quarter as
seasonal demand rises and processors
in the world's biggest buyer look to
replenish supplies after lower-than-
expected sales from state stockpiles,
according to industry analysts.
Sales from state reserves have totaled
just 1.1 million metric tons, compared
with expectations for 3-4 million tons,
said Li Lifeng, an analyst with industry
portal cofeed.com.
China's imports dropped 13 percent
from a year earlier in the two months to
July to 15.3 million tons as demand
from hog breeders declined because of
flood damage. They may fall below 6
million tons a month in September and
October as crushers had cut orders in
anticipation of higher stockpile sales,
said Yang Linqin, an analyst with Cofco
Futures Co.
“Sales from state reserves were lower
than expected and sales in coming
weeks will stay low," Yang said.
Import of Soybean recovering in China
That's likely to boost imports from the
U.S. and may support benchmark prices
in Chicago, which have been pressured
by expectations for a record harvest.
Soybeans for November delivery on the
Chicago Board of Trade have fallen 17
percent from their closing high this year
on June 10, while the most-active
contract in Dalian has fallen about 1.7
percent over the same period.
“Crushers need to replenish stocks
after a shortfall of imports in
September and October,” just as
seasonal demand increases, Li said.
“The state reserves are of poor quality
and oil content is low. The soybeans
have been stored for too long.”
Price Support
Imports from Brazil, the world's largest
supplier, fell 6.2 percent in July from the
year before and will continue to slide
for the rest of the year as drought there
forces local crushers to halt production.
Imports from the U.S. are down 7.1
percent so far this year.
“U.S. exports to China in the fourth
quarter will recover significantly from
last year, when its market share was
squeezed by South American supplies,”
Yang said.
Brazil exported 25 percent more soy to
China in 2015, taking nearly half of
China's total imports while shipments
from the U.S. fell 5.4 percent, giving it a
market share of 35 percent, official
customs data showed.
Domestic demand for soy meal, a major
feed ingredient and byproduct of soy
crushing, is also recovering from a weak
performance in July, said Cofco's Yang.
Source: bloomberg
Thai Union Group is eyeing a move into
the shrimp sector in Indonesia via the feed
business, according to analysts following
the company.
During an analysts meeting after the
company's second quarter results, Thai
Union reportedly said it has been looking
at getting into the shrimp sector in the
country, which has not been impacted by
early mortality syndrome (EMS), unlike
Thailand.
“So, they will enter into Indonesia with
shrimp feed and then processing later.
But, no timeline was provided,” said the
analyst. "It sounds like a greenfield given
that the management suggested a
shortage of shrimp processing capacity in
Indonesia," he added.
"We have learned a lot from our
partnership in India, and we look forward
to applying those learnings in other
markets," said a Thai Union spokesperson.
Thai Union with feed enters in Indonesian
shrimp sector
Expanding first into a new country with
the feed business is the same way Thai
Union has got into India. First, the
company invested in Avanti Feeds, an
Indian shrimp feed producer. In 2012,
Thai Union increased its stake in the
Indian feed processor from 15% to
25.12%. Then, Thai Union has established
a processing joint venture with the
Indian firm.
In an interview in May, Rittirong
Boonmechote, who run's Thai Union's
global shrimp business told that
Indonesia, Bangladesh and Myanmar are
all countries the company is “studying”
for possible deals.
All three countries have raw material that
fits Thai Union's profile. Indonesia is a big
producer of vannamei and black tiger
shrimp, with Bangladesh also a producer
of black tiger. Myanmar is seen as
possible country in which to develop
shrimp farming and processing.
“Indonesia is interesting, but Bangladesh
is more difficult. After study, we may
invest, or not,” he said. “It is maybe too
early for Bangladesh, now. But, it is also a
big market for freshwater fish. They have
big consumption, with a 160m
population.”
Myanmar is also “very interesting for us”,
he said. “We are studying. Maybe it is
too early to invest, we need some clearer
picture about the new government
policy.”
For Boonmechote, the EMS crisis in the
Thai shrimp sector was a harsh lesson, he
said in a previous interview. The
diversification to production in India and
also the desire to look at deals in other
producing countries, such as Indonesia
and Bangladesh is a part of risk
management strategy of the company.
Source: Undercurrent
9.
10. www.thinkgrainthinkfeed.co.in
08
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016INDUSTRY THOUGHTS
As India crosses half way of the twenty-
first century, with a human count of
more than 1.5 billion, it will be called
upon to meet the challenge of
producing more from lesser land area.
While the nation would be expected to
meet the growing demand for food,
fodder & feed, it would also be expected
to ensure higher income for a
substantive section of the society
deriving its principle income from the
agriculture sector.
Even with reducing share of agriculture
sector in the total Gross Domestic
Product (GDP) of the country (in terms
of ratio), it would be occupying a
prominent place in the Indian economy
in terms of its size of agri-GDP. Hence,
the agriculture sector has to be
redesigned as an enterprise, where net
return becomes the basis of farming as a
profession.
The growth trends of agriculture & allied
sector over the last decade show, that
while growth of field crops has tended to
plateau, still within the field crops
existing yield gaps can be bridged,
particularly in certain parts of the
country – rainfed & hilly areas, as also
the Eastern India as a block.
Since the initiation of green revolution in the mid-1960s
in India, wheat & paddy have assumed leadership
position and the two together contribute 200 million
metric tonnes (mmts) of the total cereal output of about
236 mmts. Paddy is a water guzzler, on account of which
even well endowed areas like Punjab and Western Uttar
Pradesh, the major producers of paddy are beginning to
face water stress.
Hence, Indian policy makers need to analyse the crop-
matrix and promote those more suited to conservation-
agriculture and resilient to climate change. Maize is one
such hardy crop that bears scope for promotion in India.
Versatility of maize
The maize in India is cultivated throughout the year in
different parts of the country for various purposes and is
also amenable to adaptation to situations arising from
the vagaries of climate since it is a C4 crop. It holds
greater potential for higher productivity and sustainability
if suitable research interventions are made. It has the
highest genetic yield potential among the foodgrain
crops.
Global & national status of maize
Globally, maize is raised on nearly 150 million hectares in
about 160 countries having wide diversity of soil, climate,
biodiversity and management practices and accounts for
nearly 37 per cent (782 mmts) of the global grain
production. At global level, with its highest productivity
Corn industry needs
to be redesigned as
an enterprise
Dr. Ashok Dalwai, Director of Agriculture & Cooperation, Krishi Bhawan
11. www.benisonmedia.com
09
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
& production, it surpasses both wheat
and rice.
In India, it is the third most important
cereal, after rice and wheat. Since the
year 1950, area under maize has
increased from 3.31 to 9.0 million
hectares and production from 1.73 mmts
to 24.4 mmts in 2013-14. The increase
has been very rapid in the last decade
owing to increase in productivity and
expansion of area in Andhra Pradesh,
Karnataka, Maharashtra and Tamil Nadu.
It is estimated, that the county will
continue to see increased demand for
maize because of its diversified uses and
growing population. Adopting science-
based technological intervention like
single cross hybrid (SCH) technology and
application of novel molecular tools &
techniques will help in production
enhancement.
As seen in Chart-1, maize is recognized
as an important industrial crop, as 83 per
cent of the total produce is used in
starch & feed industries. It is also well
recognized, that with increasing
demand, maize will continue to place
itself as an important cereal.
Other than grain, maize is also cultivated
for various purposes like quality protein
maize and other special purposes known
as speciality corn. The various speciality
corn types are QPM, baby corn, sweet
corn, pop corn, waxy corn, high oil corn
etc.
Corn as a bio-fuel crop
With increasing energy consumption
both in India and world over, tapping of alternate sources
of energy assumes significant importance. In this regard,
bio-fuel from maize holds distinct potential. Presently, US
is already using 30 per cent of its maize for bio-fuel
production.
In India, 23 per cent of total production of maize is used
as human food. From net return comparisons, it is clear
that use of maize in ethanol production fetches better
returns to the farmer. This has the potential of impacting
food security, if current level of supply-demand position is
taken into account. Based on the following assumptions,
net returns that emerge are shown in Tables A and B.
Assumptions:
i) Figures used for calculation of net profit for maize as
grain production and as ethanol production have
been taken as: 25 kg. maize produces 10 litre of
ethanol, and by-products, namely 8 kg. of Dry
Distillers Grain Soluble (DDGS) & 8 kg. Of CO2*
ii) The recovery of ethanol has been reported as 22 to
40 per cent from maize depending upon the
processing method used. Presuming that latest and
efficient technology is being used, the yield expected
is 36 per cent ethanol from maize grains
iii) Income to the farmers from maize is estimated by
presuming, that he produces ethanol on his farm
(which actually does not happen), and net returns
have been calculated and presented in Table B. The
net return from maize grains as presented in Table A
has been calculated based on an average yield of 25
q/ha. and MSP rate notified for Kharif 2016
iv) There are many other cost effective sources for
ethanol productions such as sugarcane, sorghum,
molasses, cassava and potato.
Tables A and B bring out, that returns from value addition
by ethanol production from maize at INR 25,300/- ha. is
higher than that from grain production at INR 10,600/-
ha. This is likely to incentivize the farmers to prefer use of
maize for ethanol production over its use as human food.
70
60
50
40
30
20
10
0
Uses of Maize
Human Food Feed Industrial Starch
& Others
Seeds
In India
Globally
12. INDUSTRY THOUGHTS Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
www.thinkgrainthinkfeed.co.in
10
Considering that food and nutrition
security are the first concern in a country
with growing population, exploiting the
potential of maize as a source of bio-fuel
will call for increased foodgrain
production. It has to be a cautious
approach.
Increasing maize production
Since 1950, a total of 212 hybrids and
119 composites of maize have been
released that cater to the need of
farmers in different production ecologies
of various states. Between 1951-55 and
2011-14, the productivity of maize has
increased from 700 kgs/ha. to 2600
kgs/ha. Yet, this does not compare well
with high productivity levels achieved in
other major maize producing countries
which are as high has 10,732.6 kgs. in
USA, 5,997.9 kgs. in China, 6,472.2 kgs. in
Brazil. The world average is as high as
5,572.9 kgs./ha. indicating the yield gap
that India needs to bridge.
It is anticipated, that by 2050 maize
production will go up by 3.25 times the
current achievement of 24.3 mmts,
productivity by 2.2 times the current
level of 2,600 kgs/ha and area by 1.4
times the current hactarage of 9.0
million.
Considering the potential of maize it
would be gainful to achieve higher
productivity and meet the multiple
demands. Some easy initiatives are:
i. Promoting Rabi maize cultivation -
Rabi maize as an alternative is
gaining popularity, because of
higher yield potential. The success
of rabi/winter maize is due to sunny days, long
growing season, dry and cool temperatures which
are more favourable to the crop growth, while
simultaneously being less favourable to the pest.
ii. Adoption of single cross hybrids (SCH) – In
comparison to open pollinated varieties (OPVs) and
multi-parent crosses, adoption of SCH will yield
higher productivity.
Bridging yield gaps and realizing incremental gains by
improved management practices may not be enough in
the long run. Hence, harnessing the potential of science
to realize breakthrough technology is a must.
Abiotic and Biotic constraints - role of new
technology
Improving the genetic potential of Indian maize would
continue to be a major challenge. Today, hybrids with
high yield potential of upto 14 tonnes/ha are available,
but it is difficult to achieve even half the potential on
account of high incidence of biotic and abiotic stresses at
farm level. Hence, the major challenge in germplasm
enhancement lies in introducing stress tolerance traits.
While development of high yielding cultivars with built-in
resistance against stresses is itself daunting, it becomes all
the more challenging due to unpredictability of plant-
pest-natural enemies interaction in the context of
changing climate. Maize seed, grain and processed maize
products are highly vulnerable to stored grain pests.
Protection in field and in godowns in sync with maize
agro-ecosystem is yet another challenge.
Hence, traditional methods of crop improvement alone
are not sufficient and the recent advances in molecular
breeding and genomics have to be integrated with
conventional approaches for substantive gain.
Conclusions
Science and technology, therefore, hold great potential in
the world's ability to achieve high productivity on a
sustainable basis. India too can take full advantage of
such frontier technology in increasing the production of
maize and make it available to the industrial and bio-fuel
sector after meeting the demand from food, fodder and
feed sectors.
Detailed article is available on the official website
Crop Current
average
yield
(q/ha.)
Average
cost of
cultivation
(Rs./ha.)
MSP for
Kharif
2016
(Rs./q.)
Gross
returns
(Rs./ha.)
Net
returns
(Rs./ha.)
Maize 25 23,525 1,365 34,125 10,600
A. Net returns from maize grain production
Crop / Product Based calculations
for ethanol prod.
Using grain weight of
2500 kg yield /ha.
Unit cost of
ethanol prod.
(Rs./litre)
Total cost of
production
(Rs./ha)
Gross income
(in Rs.) (sale
price of
parenthesis)
Net returns
(Rs./ha.)
Maize ethanol 900 litre Rs.25/litre 22,500 37,800 (Rs.42/-
lit)
15300
Dry Distillers Grain
Solubles (DDGS)
800 kg. By-product 2,000 (transport
and drying cost)
Rs.8,000/-
(Rs.10/kg.)
6,000
CO2 800 kg. By-product By product Rs.4,000/-
(Rs.5/kg.)
4,000
TOTAL -- -- Rs.24,500 Rs.49,800 Rs.25,300
B. Net returns from maize when ethanol is produced
13.
14. Human Errors
Occurences
Human
Factors
80%
Equipment
Failures
20%
Individual
30%
Latest
Organization
Weaknesses
70%
Figure 1: Human errors and the causes
Johan den Hartog, GMP+ International
www.thinkgrainthinkfeed.co.in
12
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016ARTICLE
The Hardware of Feed Safety
Assurance
Feed companies spend a lot of effort
and money to control the safety of
their products, in order to satisfy their
customers and to reduce financial
risks. Quality management systems are
introduced, improvements in buildings
and machineries are realized, records
are kept, performances are
monitored and results are analyzed
and evaluated to induce further
improvements.
When a company introduces a feed
safety assurance system, a third party
carries out an independent
compliance assessment with
normative standards on a regular
base. These assessments by means of
audits are carried out according to
certain methodologies and with well-
defined tools.
All these facilities, methods and tools are the
'hardware' side of the feed safety assurance system.
However, the human-factor cannot be neglected or
underestimated.
Human factor
The human factor is about the people operating in the
certified companies on a daily basis.
A precondition is that these people are equipped with
Feed Safety :
a Priority or a Value
ImageSource:SKOV
15. Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
www.benisonmedia.com
13
the proper knowledge and
competences.
Knowledge about the own products
and processes but also about their
service providers. Additionally, staff
needs to understand risk assessment
methodologies, etc. This knowledge
can be obtained by professional
education and regular training.
Because not each person in a
company knows everything,
cooperation in a (HACCP) team is
important to bring all knowledge and
experiences together.
Human failure or error
A feed safety incident could be caused
by a human failure or error. GMP+
International has an Early Warning
System (EWS), where GMP+ FSA
certified companies must notify GMP+
International when specific feed safety
limits are exceeded. The cause of the
contamination is always
investigated.In 2015, in about 10% of
the EWS cases “human failure” was
mentioned. There is no reference to
compare this with it, so we cannot conclude that it is
low, normal or high.
Surely, people make mistakes. But why do we make
mistakes or cause errors? Is it the individual's fault?
Latent organizational weaknesses include work
processes, and, as figure 1 shows, such work processes
usually are an important factor behind human failures.
That could be also the cause of the human failure, but
it depends on the frequency of the errors and whether
it is culpably or not.
It is important that an organization and individuals are
willing to learn from mistakes. A pre-condition is to
avoid blaming in case of incidental mistakes. Blaming
will result in hiding future mistakes instead of learning
from it. The clue is a root cause analysis to obtain keys
for improvement.
Organizational Culture
A not-blaming atmosphere in a company is all about
the culture of organization. Culture is about the
human factor influencing the functionality of a feed
safety management system. That is called feed safety
culture. Feed and food safety is more than just a
system, it is also about culture. This issue is clearly
addressed by Mr. Frank Yiannas in his publication
“Food Safety Culture - Creating a Behavior-Based Food
Safety Management System” (2010).
16. Although this publication is mainly
focused on the US food industry and
on microbiology, one statement is
extremely relevant. That statement
that: ”food safety is not a priority; it
must be a value”.
Feed Safety; a Priority or a Value?
When an entrepreneur considers feed
safety assurance as a priority, it can be
high or low depending on other (often
short term) priorities and financial
situation. However, if an entrepreneur
considers the production of safe feed
as a company value, feed safety
assurance is always applicable at the
same level of urgency. Then it
becomes a driving force for daily
operations and the focus is on the
long term continuity. A company value
determines the behavior of the
employees in the daily operations.
Many feed & food safety incidents are
caused by a lack of responsible
behavior of employees (Griffith, 2008).
The roles of Management and
Employees
Feed safety culture truly boils down to
how employees think about, approach,
and execute their daily tasks within a feed-making
environment. Culture is learned by becoming part of
an organization and being immersed in the behavior
of the members or the organization. An organization
with a value system founded on trust and an
understanding of the importance of safety will have a
positive feed safety culture. Each person within the
organization is involved. The management of a
company is mostly determining the company culture.
The mind-set of a manager influences the mind-set of
all employees. When a manager prevails earning
money above assuring the safety of the products or
service delivered to customers, it can result in risky
behavior. For instance, in co-mingling inferior products
with a higher or unknown risk profile with products
with a proper quality level.
Cultural dimensions by country
Culture within an organization is also highly influenced
by the dominant culture in society. This can differ from
country to country, making it difficult for managers to
develop and implement a proper feed safety
culture.(see figure 2). Realizing this can be a starting
position for a change process.
In this regard, the management of a company should
take the lead in changing the culture by determining
proper values and beliefs and by complying with it in
their own daily operations and making of decisions,
showing societal responsibility, being accountable,
reliable and credible.
Figure 2: Cultural dimensions in several countries
ARTICLE Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
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Think Grain Think Feed - Volume 2 | Issue 11 | September 2016 STORAGE TIPS
Management lessons for extended
grain storage
Some grain will be stored for many
months or even more than a year due
to low grain prices, so maintaining
grain quality during extended storage
will require extra care and
management, according to North
Dakota State University's grain storage
expert.
“The outer layer of a grain kernel is the
pericarp, or seed coat, and provides
protection for the kernel. If the pericarp
is damaged, the kernel is more
susceptible to mold growth and insect
infestations. This reduces the expected
storage life of the grain,” said NDSU
Extension Service agricultural engineer
Ken Hellevang.
Broken kernels and foreign material
should be removed by cleaning the
grain before storing it. Segregation
based on size and density occurs as
grain flows into storage. Fines
accumulate in the middle unless a
functioning distributor spreads them
throughout the grain. Unloading some
grain from the center of the bin will
remove some of the fines and help level
the grain in the bin.
Also, immature kernels have a much
shorter expected storage life. Grain test
weight may be an indicator of maturity
and storability.
Assure that the storage facility is clean
and insects are not living in aeration
ducts, under perforated floors, or in
handling equipment or debris around
the facility. Fumigate the empty bin to
kill insects under the floor or in aeration
ducts if an infestation occurred during
the previous year. Also, consider
applying an approved residual bin
spray and a grain protectant to repel
potential insect infestations if storing
grain during warmer portions of the
year.
Mold growth requires moist conditions,
usually above about 70 percent relative
humidity, and warm temperatures. To
reduce the potential for mold growth,
the grain moisture content should be
below the equilibrium moisture content
(EMC), at 60 to 65 percent relative
humidity.
Grain going into long-term storage
should be dried and cooled rapidly
after harvest. The allowable storage
time (AST) is an estimate of the life of
the grain until it has deteriorated
enough to affect grain quality. The AST
is cumulative, so if one-half of the
storage life is used before the grain has
been dried and cooled, only about one-
half of the life is available for the drier
grain.
“Controlling grain temperature is critical
for maintaining grain quality,” Hellevang
says. “Insect reproduction is reduced
below about 70 degrees F, insects are
dormant below about 50 degrees F, and
insects are killed if grain is below 30
degrees F for a few weeks.”
Moisture migration increases the
moisture content at the top of the bin
when about a 20-degree F temperature
difference occurs between the grain
and average outdoor temperature.
Therefore, the grain should be cooled
with aeration when you have a 10- to
15-degree F difference between grain
and average outdoor temperatures.
The bin vents could ice over when the
aeration system is operated near or
below 32 degrees F. Utilize a sensor to
stop the aeration fan if bin roof
pressures become excessive, or leave
access doors open to serve as pressure
relief valves if operating the aeration
system near freezing temperatures to
reduce the potential for damaging the
roof.
Advice for long-term grain storage:
- Check the grain at least every two
weeks until it has been cooled for
winter storage and every two to
four weeks during the winter
- Verify that the moisture content is
at the recommended storage level
- Check the grain temperature
- Inspect for insects
- Look for indications of storage
problems such as condensation on
the roof
“Using temperature cables or sensors to
monitor grain temperature is
encouraged, but remember that
because grain is a good insulator, the
temperature can be different just a few
feet from the sensor,” Hellevang added.
Source: North Dakota State University
Imagesource:machineto
18. PELLETING TIPS Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
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Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
The Science of Pelleting
Keith C. Behnke, Professor, Kansas University
elleting converts a finely
Pground blend of ingredients
into dense, free flowing
agglomerates (pellets). It is a fairly
expensive process in terms of both
capital and variable costs, but the
expense is usually justified in improved
plant profit as well as animal performance.
The article will further discuss the pelleting process in
terms of operations and describe how the success or
failure of the operation can impact profits as well as
animal performance.
The Process
The formation of the pellet actually occurs at the "nip"
between the rolls and the die. All other activities
associated with the operation such as conditioning,
cooling, etc. really support and augment the action at
that point in the system. In order to understand the
process and be in a position to make intelligent
decision to improve throughput, quality or appearance,
one must have a thorough understanding of what
happens at the nip point. Figure 1 is a representation of
the die-roll assembly to understand the process.
Depending upon the physical characteristics of the
feed, a lesser or greater proportion of the work done
by the pellet mill is used for compression. For example,
if the formula contains a high level of fibrous
ingredients such as bagasse, bran, or ground alfalfa, the
mill will expend a large amount of energy simply
compressing the mash to the density of the subsequent
pellet. Conversely, for a relatively dense feed such as
high grain and soy meal, the mill will expend a lesser
amount of energy for compression and a greater
amount for throughput.
The primary purpose of the roll is to provide a force on
the mash to densify the feed and cause it to flow
ImageSource:wikipedia
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Think Grain Think Feed - Volume 2 | Issue 11 | September 2016Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
toward the die. The gap between the
roll and the die, the roll surface
characteristics and the physical
properties of the mash determine how
great this potential force might be.
The die provides, not only the final
diameter of the pellet, but the
resistance force on the feed and has a
direct influence on throughput rate and
pellet quality. These two forces (roll and
die) are opposite each other, but must
work together to provide quality pellets
at an acceptable production rate. The
force generated by the roll must be
greater than the resistive force provided
by the die; if not, throughput is zero.
Pellet Quality
Pellet quality is equated to the ability
of pellets to withstand repeated
handling without excessive breakage or
fines generation. There are many
factors that affect pellet quality,
following are few discussed in some
detail
formulation
ingredient particle size
mash conditioning
Formulation
There are feedstuff materials that pellet
well and produce a durable pellet and
others that will not. MacBain (1966)
developed a pelletability chart in which
he ranked feed ingredients in their pelletability and
degree or abrasiveness. Bartikoski (1962) experimented
with applying numerical value to each major (feed)
ingredient to indicate its "stickiness" or its ability to help
form a tough, durable pellet. He called that value a
"stick factor" and fed that factor into the computer
along with the various nutritive values of each
ingredient to provide formulas that meet all nutritional
specifications as well as supplying a formula that will
produce a quality pellet at least cost.
Those experiment led to the development of a standard
method for testing pellet durability which provided a
means of quantifying the toughness of pellets or their
ability to withstand the downstream handling that is
typical in feed plants and feed delivery systems.
Particle Size
Optimum particle size for best pelleting results has
been a matter of controversy for almost as long as feeds
have been pelleted. Young (1960) found no significant
differences in pellet durability when he experimented
with feed rations containing 40, 60, and 70 percent
ground corn or grain sorghum when the grain portions
were ground coarse, medium, and fine.
While the research cited may seem to provide
conflicting results, there is overwhelming evidence that
the average particle size of the ground grain portion of
a ration or of the total ration (mash) affects the pelleting
process - throughput and/or pellet quality. The effects,
simply, are not the same under all conditions or for all
rations. Grind as fine as you must for best pellet quality
in your operation and with your operation and with
your feed rations, but don't over grind. That is wasteful
of energy, reduces production rates, adds to
manufacturing costs, and may do more harm than good
to the consuming animal.
Mash Conditioning
Many researchers have proven that pellet durability and
pelleting efficiency can be substantially improved by the
proper steam conditioning of mash. Steam brings to the
surface of pellet mash particles the natural oils which
are common to most grains and provides lubrication of
the pellet die reducing wear on the die and roller
assembly and increasing production rates (Behnke, 1990).
In some instances, thorough conditioning may be
counterproductive from the standpoint of pellet
durability. If the material slips through the die too easily,
dwell time in the die hole is reduced causing the pellet to
be less durable, and the starch gelatinization caused by
the heat and friction in the die may be reduced.
Stevens (1987) conducted extensive research into the
phenomenon of starch gelatinization during the feed
pelleting process by pelleting corn that was hammermill
20. ground through a 1/8" screen. The
results of the gelatinization measured in
the samples taken immediately after the
die are shown in Table 1.
There was a negative relationship
between the conditioned meal
temperature and degree of
gelatinization.
The high degree of gelatinization that
occurred in the outer portion of the pellet
at a 23 c conditioning temperature
indicated that heat and mechanical shear
next to the surface of the die hole caused
a substantial portion of the gelatinization
at all temperatures but, especially, when
there were greater temperature
differentials between the conditioned
meal and the pellet. There is a relationship
between that temperature difference and
the degree of gelatinization observed. As
the temperature differential decreased, the degree of
gelatinization decreased.
Stevens (ibid) suggested that the conditioning temperature
of 80 c was adequate to gelatinize corn starch; however, the
length of time in the pellet mill conditioner at that
temperature was probably not adequate for a substantial
amount of gelatinization. It would appear, from that
research, that most starch gelatinization occurred as the
feed material passed through the die.
The temperature of conditioning mash has long been a
pelleting criterion and an indication of thorough
conditioning, that may, or may not, be a totally viable
indicator since time at a given mash temperature will affect
the conditioning, may affect the degree of gelatinization,
and will certainly affect the pelletability of the mash.
Conclusions
There is no magic. Almost anything that is done to improve
pellet quality (durability) will either increase the cost of the
ration or reduce the capacity of the pelleting system, or
both. Adding to the effective thickness of the die is a
perfect example of the sort of trade off that can be
expected, and must be recognized, in the search for
improved pellet quality.
Producing economically viable best pellet quality possible
pellets is becoming apparent as the animal performance
can be affected by poor quality pellets. There are numerous
factors that affect pellet quality and many are inter-related.
It takes a great deal of effort to determine what changes
to make and how other aspects of the system or
operation might be affected. It can be concluded
pelleting is a complex issue that deserves a good deal of
thought and investigation, which one learns only
through day to day experience.
Source: Kansas State University
Temperature
Cond. Pallet
Product C F C F Gel%
Whole Pelet 23 73 69 156 41.9
Whole Pelet 43 109 76 169 37.1
Whole Pelet 63 145 82 180 33.5
Whole Pelet 80 176 84 183 28.0
Whole Pelet 23 73 69 156 58.3
Whole Pelet 80 176 84 183 25.9
Table 1. Effect of conditioning and pellet temperatures on
starch gelatinization
Image source: biofuelmachines
PELLETING TIPS Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
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22. www.thinkgrainthinkfeed.co.in
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INTERVIEW Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
Would you please elaborate further on role and
significance of feed safety/ quality control in Feed
industry?
It is a well known fact that feed is the major expenditure
in chicken and egg production. Maintaining the
consistent quality of the feed is very important in order
to ensure standard productivity of the final stuff. Feed
safety has become the main criteria, not only from
animal point of view, but also from human point of view.
Because if the feed contain the residue/organism which
have a deleterious effect on humans, then the entire
human population eating that processed animal
product like egg/meat etc. is affected. Hence, food
safety should be considered with feed safety.
Please share your views about the challenges faced
by Indian feed industry. What kind of future trends
do you expect in improving feed quality?
With regard to the challenges faced by the Indian feed
industry, I must say that it is passing through a very
critical juncture presently. Cereals and oil meal
production in our country for the past 7 years is
constant or declining, whereas the growth in the poultry
industry ranges between 5-10 per cent, thus, adding
more pressure on the raw material front. We are really
irstly, on behalf of
F“Think Grain Think
Feed” we would like to
congratulate you on your
successful journey of more
than three decades of
dedicated service to Indian
Feed Industry in general and
Poultry industry in particular.
In fact, you have been one of
the pioneer poultry scientists
to create awareness on the
quality assurance of poultry
feed, which subsequently
revolutionized the poultry
industry in the country.
Dr. Chandrasekaran
Feed EconomicsFeed Economics
23. Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
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21
struggling to maintain the feed quality
as we are forced to accept the feed
ingredients as per their availability in
the market. Because of this, feed
quality as well as feed safety is
becoming the major constraint in the
growth of a healthy industry in India.
Would you please give a comparative
statement of changing feed
economics in broiler and layer
industry during the last decade?
The table indicates the increase feed
price was several times higher than the
increase in the product rate. Further the
other overheads increase was not
always linear but sometimes
exponential, leading to severe loss to
the poultry farmers. The stability in the
rates of egg and chicken in the last two
years was mainly due to closure of
farms and in some cases due to
reduction in their capacity.
You have also done research work in
alternative feed resources. What
kind of scope do you see in the
Indian market for these alternative
feed resources, vis a vis the
traditional raw materials (corn and
soybean) on which the feed industry
in India is still heavily dependent?
Alternative feed resources have been
extensively evaluated and is being
regularly used, but volume is not there.
In the year 2015 when soybean meal
cost shot up alternatively gingely cake
was used in Namakkal the entire stock
in Tamil Nadu was exhausted in a
weeks' time. Further, the yield potential
of these alternative ingredients are very
low compared to corn and soybeans
hence improving the production of
corn and soybeans is the only
alternative. The major problem is the
variability in the quality of the
ingredients. As an example, the protein
content of the soybean meal varies
from 43% to 52%, consequently the fibre content varies
between 6 and 8%. It is the same with other protein
meals. Similarly, the quality of corn is also highly
variable. One litre weight (bulk density) varied from
720gms to 800gms, indicating the variability in the ME
value. This forces the poultry feed manufacturer to alter
the formulation very often, in order to maintain the
productivity and FCR.
How do you compare feed manufacturing
technology in India today as compared to that of
developed nations?
There was a wide gap in the earlier years but now the
differences have been narrowed down, as the quality of
our machinery has improved over the years. The major
snag is the quality of the raw materials. The fungal
count in maize ranges from 1 to 10 per cent acceptable
norm is less than 2 per cent. The number of grains in
100gms of maize ranged between 350 to 400 and the
majority were above 375, indicating that ME value will
be less than 3300kcal/kg. It is similar with other
ingredients. Bag to bag variation is the major problem
causing high variation in the FCR. Whereas in western
countries the major advantage is consistency in the
grain count in 100gms, which is always less than 350,
indicating the ME value to be between 3350 to
3400kcal/kg.
In recent past, Indian poultry industry had to go
through very tough times. As an industry expert,
what can be the solutions to cope-up with such bad
phases?
Feed is hurting the industry badly, feed raw material
availability is nearly constant but the broiler industry is
growing by 7-10 per cent and layer industry is growing
by 5 per cent per year, further pressure is felt from dairy
industry as well. Due to this, the raw material prices are
shooting up while eggs and chicken price is not
increasing in tune with the feed price. Luckily in the first
half of 2016, the prices of egg and chicken were good.
Import of GM feed ingredients in the country is another
constraint. Neighbouring countries like Sri Lanka,
Bangladesh, Nepal and Pakistan are importing feed
ingredients comparatively at lower cost. Further more,
the livestock feed in India is not free from GM products,
we are now using the BT cotton seed and cake in not
only cattle feed but de-oiled cotton seed meal is also
used in poultry feed. Hence liberalizing the imports of
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
100 106 122 158 173 179 196 244 240 228 231
100 91 109 132 146 169 165 174 208 218 231
100 110 127 154 170 187 205 250 261 240 239
100 92 134 137 174 193 196 226 262 244 238
Index(%) of Feed and Product price in the last 10 years compared with the year 2005
Parameter
Broiler feed
Chicken price
Layer feed rate
Egg price
24. INTERVIEW Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
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22
GM feeds at a cheaper price appears to
be the viable alternative for pushing
forward the feed industry in India.
Would you please throw some light
on importance of understanding
feed pellets and its relation to
improved feed quality as well as its
energy savings benefits?
Pellets and crumbles are extensively
used in broiler feeding. The advantage
of pellets over mash is that there is no
selective feeding and the time needed
for consumption is also less compared
to mash. The cooking effect increases
the ME availability by 2 to 3 per cent
apart from that there is reduction in
microbial load. But some of the
integrators are still using mash feed for
broilers with equally good results. In
some western countries also the initial
feed is crumbles followed by mash and
the performance has been observed to
be better than crumbles and pellet diet.
For layers and parents it is mostly mash
feed, as it has been proved that the
increased particle size challenges the
gizzard there by the digestion of the
feed which is better compared to the pellet diet.
Considering the challenges with shrinking acreage
for the cultivation of feed crops, resulting in lesser
availability of raw materials, how do you think the
feed industry shall look like 10-20 years down the
road?
India with 160 million hectares of arable land is second
to USA in the world ranking. The renewable water
resource of 11970 cuM/Ha is far higher than some of
the western countries but the per hectare productivity is
far lower compared to other countries. The corn
production in India is 2.5MT/Ha the world average is
5MT/Ha and US average is 10MT/ha Ukraine with a
renewable water resource of only 4299cuM/Ha the corn
production is 3.5tons/ha. In our neighbourhood the
productivity is Bangladesh 7MT/Ha, Pakistan 4MT/Ha Sri
lanka 3MT/Ha.
Similarly in soybean production we are one of the
lowest in the world, it is 0.98MT/Ha whereas it is 1.5MT
in Bangladesh, 1.7MT in Sri Lanka, 3MT in USA and
3.3MT/Ha in Italy. It is the same for other feed
ingredients. Hence with the same land area if we can
increase the productivity equal to that of our
neighbours we can easily tide over the feed ingredient
crises.
An Indian scientist whose team has
developed a genetically modified (GM)
mustard variety in Delhi University
South Campus is India's first state-of-
the-art farm innovation that will allow
Indian mustard farmers to produce
more mustard per unit area. The latest
developed technology is inching
toward a possible commercial launch
said he could soon hand to a state
agency a GM cotton variety that can
rival Monsanto's seeds.
Deepak Pental and his colleagues at the
Delhi University worked on GM mustard
for around a decade, and a government
committee said recently it found the
seeds to be safe for "food/feed and
environment". A new agency reported
the technical clearance last month for
what could be the country's first GM
food crop.
"The government has taken the right
path and experts have looked at all the
data," Pental told, acknowledging that
public opposition to lab-altered food
Progress of GM technology in India
remains fierce. "Our scientists have the
capability to do more, but you will have
to strengthen research further, educate
people."
Prime Minister Narendra Modi's
nationalist government, keen to cut the
country's heavy annual food import bill,
will soon decide on the commercial
launch of the high-yielding mustard and
plans to indigenously develop other GM
food to reduce reliance on
multinationals.
The move has been opposed by activists
and politicians amid fears GM food
could compromise food safety and
biodiversity. Some experts have also
questioned claims that GM crops are
more productive than normal varieties.
New Delhi-based Pental said he was
willing to help the government with
that goal and would approach the
state-run Indian Council of Agricultural
Research (ICAR) to pass on a
laboratory-tested GM cotton variety his
team has developed over the past
decade.
The variety is similar to Monsanto's Bt
cotton but can be more resistant to
pests, Pental said, adding he handed
another GM cotton variety to ICAR last
year for further research. No field trial
has yet been done on either cotton
strands.
This comes at a time when Monsanto
has withdrawn an application to sell its
next-generation cotton seeds
protesting the Modi government's
proposal to force it to share its
technology with local seed companies,
which has also worried other foreign
firms such as Bayer, Dow, Dupont
Pioneer and Syngenta.
Experts warn that even if India did
develop a home-grown GM cotton
variety in the next few years, it would
struggle to sustain a program that needs
to refresh seeds every decade or so.
Source: Reuters
INDUSTRYNEWS
25.
26. Pratik Gurnani, Research Analyst, Markets & Markets
Feed Phytogenics-
A revolution in
the feed industry
MARKET PROJECTION Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
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Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
eeding natural feed to livestock
Fhas been a common practice
since prehistoric times. However,
the forms and types of natural feed and
the use of feed additives have changed
significantly over time. The ban on the
use of antibiotics in feed in developed
regions such as Europe and North
America has triggered the popularity of
feed phytogenics as favorable
alternatives to antibiotic growth
promoters. Based on industry research
on livestock nutrition and customer
requirements, feed formulators
emphasize the importance and benefits
of feed phytogenics in animal nutrition.
So what exactly are feed phytogenics?
Phytogenics are non-antibiotic feed
additives derived from plant sources
such as leaves, roots, tubers, or fruits,
herbs & spices (predominantly used in
animal feed) and are added to the feed
in order to improve animal
performance.They are available in solid,
dried, or ground form; as extracts; or as
essential oils.
Benefits of Feed Phytogenics:
Phytogenics help in improving the taste and aroma of
feed, thereby increasing feed intake and accelerating
digestion activity in livestock, ultimately improving
livestock growthand development.
Phytogenics mitigate ammonia gas emission from
livestock litter and are thus favored for sustainable
livestock production.
Feed phytogenics have other benefits as well: such as
antimicrobial action, enhancement of immune system,
stimulation of gastric juices, reduction of gut bacteria,
and anti-inflammatory and antioxidant properties.
Technological Advancement in Feed Phytogenics
Industry
Feed phytogenic additives have positive effects on
livestock health but are often difficult to process in the
feed. Many sources of phytogenics, especially essential
oils, are sensitive substances that lose their efficacy and
efficiency, owing to their vulnerability to high
temperatures, pungent odor, and oxidative and volatile
properties. Emergence of new technologies such as
encapsulation can extend the shelf life of phytogenics
which allows essential oils to have a longer shelf life by
protecting them from environmental changes by keeping
the liquid, gaseous, or solid substance packed ina tiny
millimetric capsule. Along with protection from extreme
Image source: linkedin
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Think Grain Think Feed - Volume 2 | Issue 11 | September 2016Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
environmental factors, encapsulation
also results in enhancement of
palatability, stability in ration, and
improved digestion.
Key feed phytogenics players such as
Biomin Holding Gmbh (Austria) and
Kemin Industries (U.S.) are implementing
encapsulation to provide better quality
phytogenics. The encapsulation process
helps producers and animal growers to
overcome the problem of efficacy and
efficiency of livestock,which in turn is
driving the market for feed phytogenics,
globally.
Market Drivers for Feed Phytogenics
The increasing demand for animal
products such as meat, dairy, and eggs
has created significant pressure on
livestock farmers to improve the
productivity of livestock. On the other
hand, the increasing feed prices are
adding to the dilemma of optimizing
productivity by keeping expenses
minimal, for farmers. Feed phytogenics
are the best option available to minimize
dairy farm feed expenses by improving
feed digestion and feed conversion ratio.
The increasing commercialization of the
livestock sector, from feeding to
processing, has created significant
demand for feed phytogenics in the
global market. The growth of the retail
food sector due to increasing purchasing
power of consumers—as a result of
industrialization and globalization—is a key driver of the
demand for processed meat and dairy products.
Consumers around the world are becoming concerned
about the quality of food they are purchasing due to
increasing instances of E. coli and Salmonella traces in
meat and dairy products. Hence, they prefer processed
meat and dairy products since they are produced under
hygienic conditions. Thus, feeding livestock animals with
natural source-based feed additives has created massive
potential for feed phytogenics. Even though phytogenics
are a relatively young class of feed additives, they are
gaining interest within the livestock feed sector due to
R&D activities by manufacturers and related government
organizations.
Livestock producers in the European and North American
regions are switching to organic feed inputs for
sustainable livestock production. Feed additive
manufacturers in these regions are exploring potential
applications of phytogenics to adhere to stringent rules &
regulations laid down by the European Union and the
FDA (U.S.). Demand for feed phytogenics in these regions
is increasing and there are limited manufacturers
producing these niche feed additives.
Increasing concerns related to side effects as a result of
prolonged use of chemical feed additives is another
major driving factor for feed phytogenics. The market for
feed additives is highly regulated in the European and
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Think Grain Think Feed - Volume 2 | Issue 11 | September 2016MARKET PROJECTION
North American regions. The European
Union has stringent regulations related
to the use of chemical feed additives.
Producers of feed phytogenics are
required to adhere to strict regulations
related to regional and national health
and safety for product approvals in
developed nations; which ultimately
affects the cost of the final product.
Market Potential of Feed Phytogenics
Considering the increasing demand for
livestock products in the future, the
demand for phytogenics is projected to
increase significantly.The European
region is estimated to account for the
largest share in the feed phytogenics
market at USD 138.40 million in 2015.
This market is projected to grow at a
CAGR of 8.2% during the forecast
period. Increased awareness about
meat quality among consumers and
increased meat consumption across the
globe are expected to provide more
scope for market expansion. Factors
such as high demand for nutritive feed
and sustainable animal nutrition
products, increasing livestock
population, and management of feed
operating cost are also driving the growth of the feed
phytogenics market.
North America is the second-largest market for feed
phytogenics after the European region. It is projected to
grow at a CAGR of 6.4% during the forecast period. The
Southeast Asia-Pacific market is projected to grow at a
CAGR of 6.9% from 2015 to 2020. The demand for feed
phytogenics has been augmented by the practice of
selective breeding in the region.
The key players in this market have been developing a
range of innovative products to target specific animal
needs. Thus, the feed phytogenics market is gaining
more global presence and acceptance among
customers. Key participants in the feed phytogenics
market include Cargill, Inc. (U.S.), E. I. du Pont de
Nemours and Company (U.S.), BIOMIN Holding GmbH
(Austria.), Delacon Biotechnik GmbH (Austria), and
Phytobiotics Futterzusatzstoffe GmbH (Germany). These
players have been implementing different strategies to
achieve growth in the feed phytogenics market.
Through strategies such as new product developments,
research agreements, expansions, and acquisitions,
companies have been expanding their global presence
and boosting their technological & operational
capabilities in the market. Manufacturers have excellent
opportunities to diversify their product portfolio,
incorporating feed phytogenics, in these regions.
Cargill's expands canola research facility
with $3.5 million investment in new
equipment and technology in
Aberdeen, Saskatchewan. It is poised to
lead the way in specialty canola seed
breeding.
Improvements to the facility include a
14,000 sq/ft expansion, expanded
pathology lab, new state-of-the-art
Quality Assurance lab, ventilated seed
prep room and high efficiency LED
lighting throughout the facility, with UV
repelling windows.
“The new facility will also allow Cargill
to showcase the research and
innovations within our specialty canola
business,” says Mark Christiansen,
Managing Director, Cargill Global Edible
Oil Solutions. “Latest innovations such
as a new low saturated high oleic
canola oil are driven by victory yield
platform, which is currently best-of-
class for Roundup Ready hybrids, in
addition to best-of-class Blackleg
resistance.”
Expansion of canola research facility in Cargill
Saskatchewan continues to be an
important province for Cargill to invest
in – we have 26% of our Canadian
investment in the province, and over
the past five years have continued to
increase our footprint with over $300
million in capital investments.
Recent expansions in Cargill
A $8.5 million animal nutrition
plant in Vietnam that provides
animal feed for livestock and has a
total capacity of 66,000 tonnes per
year.
Company would also extend its
production capabilities in Spain
with a new production line which is
expected to be operational in the
third quarter of 2017.
A wet corn milling plant in
Davangere, Karnataka, India, that
included a $100 million investment
that has a capacity to mill 800
tonnes of corn daily.
A new Technology Application
Center (TAC) in Yakapınar, Izmir,
Turkey, to help dairy and poultry
customers in the Middle East,
Turkey and Africa leverage and
apply the best possible feed
technologies to grow their
businesses.
Largest feed mill in Pyeongtaek,
South Korea, is a 2,610-square-
meter facility that produces
poultry, ruminant, swine and pet
food products for animal
producers with a capacity of
870,000 tonnes.
Source: Cargill
Imagesource:producer
INDUSTRYNEWS
29. www.thinkgrainthinkfeed.co.in
27
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016 INDUSTRY NEWS
In pursuance of Federal Government's
diversification goal, a Chinese firm,
Wuhan Longfecund Agricultural
Development Company Ltd., has
concluded plans to set up a feed mill
and maize farm in Nigeria.
"I am happy to be in Calabar and indeed,
Nigeria, to set up a feedmill and a maize
farm. Cross River State and China share
same topography and land fit for such
production," said Yongsheng Cao,
Chairman of the Company.
Explaining that Wuhan province has the
largest farm and a major maize grower in
China, the Chairman said the company's
preference will be on sweet corn as it is
going to grow well in the state.
He applauded the existing relationship
between Cross River and China, pointing
out that he would invest $8 million in the
project before extending it, to other
parts of the country.
"Cross River State is expanding the
horizon in agriculture and taking a leap
into agricultural phase to ensure a
New Feed Mill & Maize Farm in Nigeria
leading direction. We don't come in as
traditional farmers but industrial
standard and as the benchmark," said
Governor Ayade in his remarks who
urged the Chinese firm to swing into
action with the establishment of the
maize farm.
The governor explained that as
government, "we must focus on maize
because other than producing feeds, one
of the particular species we are going to
grow here which is sweet corn, is to
provide Gluck syrup."
According to Ayade, "what you will see
here is a true reproduction of the true
history of the natural wealth that Nigeria
has in agriculture as we are going to
have maize for export, sweet corn for
salads, Gluck syrup for our industries and
the feed mills to produce feeds for our
poultry and other related products."
Affirming that parts of Akamkpa,
Uyanga, Obubra and Yala were suitable
areas for maize farming based on soil
studies earlier conducted, Ayade
reasoned that "the partnership between
the Cross River State government and
the maize centre in China will provide
the state with a first class knowledge,
first class technology, first class farming
and first class mill, as all sweet corns
used in our salads were imported."
Source: Allafrica
Image source: alvanblanchgroup
30. INDUSTRY NEWS
www.thinkgrainthinkfeed.co.in
28
Think Grain Think Feed - Volume 2 | Issue 11 | September 2016
FeedTechExpo 2017Animal Feed Technology
Mark your Dates for
India’s Only Exhibition for
Feed IndustryFeed Industry
23-24-25
www.feedtechexpo.com
23-24-25 February
Venue: New Grain Market, Karnal, India
As acreages under maize scale a new
high this kharif season aided by ample
rains, the prospects of a good harvest
have turned brighter this year.
However, the predictions of excess rains
in September by the Met could possibly
dent the output and quality of the
produce, experts and traders said.
Farmers across the country, lured by the
relatively higher prices ahead of the
kharif planting season, have sown an
additional area of close to one million
hectares (see table) under maize or
corn this year, while the late planting
was still going on in some areas.
States such as Bihar, Karnataka, Madhya
Pradesh, Maharashtra, Telangana and
Uttar Pradesh have clocked an increase
in area over last year. Both trade and
agri-experts are unanimous that the
crop size will be bigger than last year,
but it was too early to fix a size.
The USDA has projected that India's
total corn output including kharif and
rabi would expand by 2 million tonnes
(mt) this year to around 23 mt. The
USDA has pegged India's kharif corn
output this year at 15.5 mt.
Weather plays truant
The IMD has forecast surplus rainfall for
August-September with the
precipitation expected to be 107 per
cent of the long period average of 43.5
cm for these two months. In fact, the
global models have predicted that
September could be the wettest this
monsoon.
“The sentiment is of higher production
for corn on increase in acreages,” said
Tejinder Narang, a grains trade analyst.
But the actual production would
Guarded Optimism on Maize, Despite
Rise in Acreage
depend on various factors, including
the weather in the months ahead.
Net imports
From a net exporter, India had turned a
net importer of corn this year on
decline in domestic output and rising
consumption.
So far, the imports into the country this
year were estimated at around two lakh
tonnes. “Though India is headed for a
bumper crop, its re-entry into the world
corn market would largely depend on
the parity in prices,” said Rajiv Yadav,
Vice-President, COFCO Agri.
Less risk crop
“However, the domestic consumers —
the poultry feed and starch makers —
will have a good time in the year ahead.
Also the forecast of an extended
monsoon this year could possibly raise
some issues on the quality front,” Yadav
added.
“It is a relatively easy crop and the risk
factors are less compared to others,” a
trader said. Corn prices, which moved
up from the levels of Rs. 1,300 a quintal
in April to around Rs. 1,700 in July, have
eased a bit in recent days. Trade
expects the prices to stay volatile ahead
of the harvest that's expected to
commence in September.
Acreage under hybrids
“If everything goes well, there could be
a 7-8 per cent increase in kharif yields
on increasing area under hybrids and
better rains,” said Sain Dass, former
director of Directorate of Maize
Research under ICAR. Kharif yields of
maize have been less than two tonnes
per hectare.
The sowing is still on in some States
including Karnataka, Tamil Nadu,
Maharashtra, Haryana and Bihar and
the overall acreage could be higher
than 8.1 million hectares, Dass added.
He also admitted that rains during the
September may pose a challenge.
Source : Business Line
Imagesource:worldatlas
31.
32. Think Grain Think Feed - Volume 2 | Issue 11 | September 2016CALENDAR OF EVENTS
www.thinkgrainthinkfeed.co.in
30
2016-17
To list any industry event related to Grain & Feed industry please write us at
editor@benisonmedia.com
AGRENA 2016
Date: 6-8 October 2016
Venue: Cairo International Conference Center, Egypt
Email: info@agrena.net
Web: www.agrena.net
Layer Feed Quality Conference
Date: 17-18 October 2016
Venue: Jakarta, Indonesia
Email: events@asian-agribiz.com
Web: www.asian-agribiz.com
Vietstock
Date: 19-21 October 2016
Venue: Saigon Exhibition & Convention Center (SECC,
HCMC, Vietnam
Email: vietstock@ubm.com
Web: www.vietstock.org
OCTOBER
Oilseed and Grain Trade Summit
Date: 14-16 November 2016
Venue: Hyatt Regency, Minneapolis, Minnesota, U.S.
Email: ogts-info@highquestgroup.com
Web: www.oilseedandgrain.com
EuroTier
Date: 15-18 November 2016
Venue: Hanover, Germany
Email: expo@dlg.org
Web: www.eurotier.com
Poultry India
Date: 23-25 November 2016
Venue: HITEX, Exhibition Centre, Hyderabad, India
Email: info@poultryindia.co.in
Web: www.poultryindia.co.in
NOVEMBER
International Feed Expo
Date: 31 Jan - 2 Feb 2017
Venue: Georgia World Congress Center, 285 Andrew
Young International Blvd NW, Atlanta, Georgia USA
Email: info@ippexpo.org
Web: www.ippexpo.com
JANUARY
Feed Tech Expo
Date: 23-25 February 2017
Venue: New Grain Market, Karnal, India
Email: feedtechexpo@gmail.com
Web: www.feedtechexpo.com
FEBRUARY
Aqua Aquaria India
Date: 21-23 April 2017
Venue: Andhra Loyola College Campus, Vijayawada,
India
Email: traduciruso@gmail.com
Web: www.aquaaquaria.com
MARCH