SYNTHESIZE WORLD GRAIN NEWS – 8/12 – PART 2

EU FEED PRODUCTION DECLINES AGAIN

EU compound feed production for farmed animals in 2023 is estimated at 144.3 million tonnes, a 2% decline from the previous year, according to data provided by FEFAC. Shifts in production methods, as well as reduced or shifting demand due to changing consumer preferences are affecting compound feed production differentially across Member States, FEFAC noted. While countries such as Germany, Ireland, Denmark, and Hungary have witnessed approximately a 5% decline in feed production, other countries like Austria, Bulgaria, Italy, and Romania have experienced a modest increase. The remaining Member States have either marginally decreased their feed production or maintained a similar level to the previous year.
“The pig feed sector was most severely affected in 2023, experiencing a further decline of almost 2.5 million tonnes,” FEFAC said. “Germany, for instance, faced a reduction in pork production due to the loss of Asian export markets and was targeted by negative media campaigns. Denmark witnessed a substantial drop of 13.6% in pork production in 2023. Spain, the largest EU pig feed producer, lost 800,000 tonnes of production due to shifting consumer preferences and the loss of export markets. Meanwhile, Italy continued to grapple with challenges posed by ASF.”
FEFAC said the EU feed market in 2023 reflects “continued political and market crisis management pressures and a growing demand for providing sustainable feed solutions to address market dynamics and regulatory considerations. These trends are a response to the adverse impacts of climate change and animal diseases on the supply of raw materials, such as droughts and floods, and on animal production capacity, including avian influenza (AI) and African swine fever (ASF). Additionally, national policies ranging from greenhouse gas reduction goals to nitrate emission regulations, have contributed to these shifts.”
(Link: WorldGrain)