January 22, 2013
Poultry feed to remain as biggest sector in Europe
Poultry feed is expected to maintain its position as the biggest sector in Europe's compound feed industry.
Output of poultry feed grew 1.5% last year, outpacing narrowly an increase in cattle feed, and contrasting with a 2% drop in the pig sector, European Feed Manufacturers' Federation (Fefac), said.
The trend is expected to extend into 2013, when poultry feed output will "stabilise", but pig feed production fall a further 1%.
The drop in pig feed output reflects a decline in the pig herd prompted by the introduction of a series of stringent environmental and welfare regulations, at a time when elevated grain prices have already been testing producers' margins.
European pig numbers have declined by more than 11 million head, to 148.5 million head, over the last five years, on USDA estimates.
However, poultry numbers have continued to rise, boosted by demand for relatively inexpensive meat, including in areas such as western and southern Africa, and Saudi Arabia, which represent major export markets.
Fefac said that overall compound feed production in 2013 would remain in line with that last year, when it reached 151.9 million tonnes, close to volumes in 2010 and 2011.