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The Vietnamese love duck and are partial to chicken, but pork remains the country’s favourite meat. The government is well aware of that fact and has announced an ambitious plan to increase pig production between now and 2020 by over 50%!
But to meet that kind of objective, the authorities know very well that productivity at pig farms has to be significantly increased, an achievement that will hinge on high-performance genetic lines. Currently, “selected” lines, most of them originating from overseas, account for just 15% of the pig population, and growth is fuelled mainly by the strong involvement of feed producers, including CP, Proconco and France Hybride, Japfa and Hypor, and De Heus and Topigs.
Evialis Vietnam had been looking to join forces with a group in the pig sector for several years. The opportunity arose a little over a year ago when Grimaud, a leader in animal genetics, acquired 100% of the capital of a US pig genetics company, Newsham, the number-two selector in the USA and America with annual sales of over one million gilts. Since then Grimaud has further strengthened its position by integrating Pen Ar Lan into its new pig selection group, Choice Genetics.
Choice Genetics was seeking to step up growth outside its traditional markets (USA and Europe) and considered Vietnam as a high-potential market but still rather lacking in structure. Guyomarc’h VN’s strong presence in the pig market and sizeable distribution network made it a credible partner and it was quite naturally that the two groups signed an agreement in September 2011 to set up a joint venture to manage 350 pure-line sows and an artificial insemination centre with 50 breeding boars on a 20-hectare site.
3D plan of the selection site for 330 pure-line sows
The “Newsham Vietnam” joint venture will as its name suggests focus initially on US lines, which for now are the most adapted to the needs of Vietnamese farmers. This is because Newsham sows have strong prolificity levels and good maternal qualities, as well as being extremely hardy – which is vital in their acclimatisation to the difficult conditions at Vietnamese holdings. Newsham also has extensive experience in the selection of Duroc boars, which are highly prized by Vietnamese stockbreeders.
These two advantages are key success factors for pig producers in Vietnam and will no doubt be converted into profits, both for farmers and the joint venture. They will also enable Guyomarc’h VN, which will distribute the genetic selection through its distributor network, to grow its pig feed sales and ensure the long-term future of its business.
January 16, 2012 - Evialis Vietnam
