EU Compound Feed Demand Forecast for 2009

The feed body said that overall compound feed output in 2008 was 149.85 million metric tonnes, itself a 0.1% reduction on 2007. FEFAC predicts that for 2009, the ruminant feed sector will be hardest hit, with demand expected to contract by up to 10% on average across the region. The dairy segment will see the great drop due to the “very low market process for milk which fell back to historic lows at the end of 2008”, said the federation. Pig feed, which accounts for 35% of the 150 million metric tonnes of compound feed produced in the EU in 2008, is likely to see a demand reduction of 5%. Southern and central European pig producers are presently most affected by the economic downturn, the feed industry group said. FEFAC said its members estimate that poultry feed demand – which makes up 32% of overall compound feed requirement – will remain “relatively stable”. This is because “poultry meat may ‘resist’ longer, as consumers prefer the cheaper animal protein source”, it said.

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