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December 14, 2020

FEFAC predicts 2.2 percent fall in compound feed production

2020 EU compound feed production has been adversely affected by the spread of animal diseases and is indirectly impacted by COVID-19, due to a shift in consumer demand for products of animal origin.

EU compound feed production (EU 27 + UK) for farmed animals in 2020 is estimated at 161,4 million tonnes, a decrease of 2.2 percent compared to 2019, according to forecast data provided by the European Feed Manufacturers Federation, FEFAC.
 


All main feed categories are set to decrease, mainly as a result of the combined indirect impact of COVID-19 affecting consumer demand for products of animal origin and the direct effects of the spread of animal diseases (African Swine Fever, Avian Influenza in particular).

Cattle feed production, which is estimated to decrease by 2.9 percent compared to the previous year, is suffering most from the COVID-19 measures applied during the first and second waves of the spread, and in particular the closure of the HORECA (Hotel/Restaurant/Catering) chain.

The decreased demand for more expensive cuts of meat, like veal, fresh meat and added valued dairy products, have impacted the whole supply chain.

Farmers have reduced usage of compound feed in their feed ratios, in order to reduce milk output and slow growth of livestock. This was only partially compensated by rising demand in Eastern Europe where drought conditions led to poor forage harvests.

Concerning EU pig feed production, a decrease of 1.1 percent has been forecast.

Spreading African Swine Fever triggered the Chinese import ban on pig meat from Germany. Spain can only partially replace Germany in exporting to China, due to limited production capacity.

A knock-on effect of the ban is that pig meat initially destined for export to China will stay in Europe, impacting pig feed production. On top of ASF, some Member States, (for example, The Netherlands), are depopulating their pig herds in order to lower agricultural environmental emissions.


Read more HERE.
 

The Global Miller
This blog is maintained by The Global Miller staff and is supported by the magazine Milling and Grain
which is published by Perendale Publishers Limited.

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