FEED AND FEED SYSTEMS
Feeding frenzy
High feed prices could be set to continue in 2024, experts say. Fiona Nicolson reports
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T the end of 2022, Rabobank’s Global Animal Protein Outlook for 2023 revealed that global grain and oilseed prices had almost doubled between May 2020 and May 2022, due to increased demand, concerns about supply and increased geopolitical uncertainty. Above: F i s h f e e d Some of the contributing factors included drought caused by Right: F i s hm e a l b i n La Niña (the cool phase of the Pacific Ocean climate cycle, Opposite: S a l m on f e e d i ng El Niño) and the war in Ukraine. This caused a rise in the cost of plant-based aquafeed, presenting a challenge for aquaculture operators. And now, at the start of 2024, aquafeed costs could be set to rise again. Dr Enrico Bachis, Market Research Director at IFFO, an international trade organisation for the marine-ingredients industry, says: “Based on historical patterns, we have observed that feed trends reflect political, market and environmental turbulence. During 2022 to 2023, geopolitical issues, energy price increases and limited raw materials led to an increase in feed prices of 30%. This suggests that the prices of key commodities are likely to further increase in 2024.” In its outlook for 2024, Rabobank also pointed to some continuing challenges. When reflecting on aquafeed, its key takeaways focused on the impact of weather and on volumes of fish caught, stating: “El Niño is likely to persist through H1 2024 and price normalisation of fishmeal depends on catch rates.”
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According to IFFO data, as much as 20% of the world’s fishmeal and fish-oil production comes from Peru. But the first anchoveta fishing season of 2023 in the north-central zone was cancelled due to sea conditions. Louise Buttle, Global Key Account
Feed trends reflect political, market and environmental turbulence
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08/01/2024 14:02:09