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European Union compound feed production down

The total production estimate is now set at 151 mio. t, i.e. 0.3% below the figure for 2010.

20 June 2012
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According to FEFAC, the total production estimate is now set at 151 mio. t, i.e. 0.3% below the figure for 2010. Cattle and pig feed have seen their production fall, respectively by -2.1 and -0.6%, whereas poultry feed increased by 1.1%, thereby confirming its position of leading segment of compound feed slightly above pig feed.

The most important factors which have weighed on the EU feed demand in 2011 were the still fragile economic situation of the pig sector and the high feed material costs.

EU Member countries recorded very heterogeneous performances, with some experiencing dramatic falls of their compound feed production such as Czech Republic (-14%) or Denmark (-6.6%), whereas several countries such as Germany, Poland and, to a lesser extent, Italy, managed to buck the general market trend with positive growth around 3%, supported by a surprisingly quick recovery of pig farming activity.

The high cereal prices over the last two years contributed to improve the competitive market position of industrial compound feed production vs. home mixing. However, this gain was offset to a certain extent by the development of alternative pig feeding strategies based on roughly grinded feed and liquid feeding.
As a result, Germany’s position as leading EU country in terms of total compound feed production before France was strengthened, with Spain scoring third.

Friday June 15, 2012/ FEFAC/ European Union.
http://www.fefac.eu

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