June 10, 2008

EU reports record compound feed production

EU achieved a record compound feed production at 149.8 million tonnes in 2007 up by 3.4 percent from the previous year, the European Feed Manufacturers' Federation (Fefac) said.

The growth was driven by price increases for all key feed materials, the Fefac said.

Last year, the EU reported a 3.6-percent increase in pig feed production in all EU-15 member states.

In poultry feed, the market share of industrial compound feed against home mixing is much higher than in pig feed.

Fefac said that this explains why the evolution of EU compound feed production is more closely related to the development of poultry meat an egg production.

For 2008, Fefac experts cite feed material prices and the possible reduction in pig production to be some of the factors that would dictate the production level.

Fefac projects a 1-percent and 2-percent increase respectively for cattle and poultry feed and a reduction of pig feed by 1-2 percent, hence a total stagnation of compound feed production.