JUN 2019 - International Aquafeed magazine

Page 38

FISH FARMING TECHNOLOGY

Feed Manufacturing for Aquaculture: From support to existing operations to new, integrated mills “The decision to integrate

an existing aquaculture production operation into manufacturing its own feeds is a significant undertaking that merits serious consideration”

by Thomas R Zeigler, PhD, Senior Technical Advisor; Matthew P Zeigler, MS, VP Operations & Process Engineer; Sidinei Valle, Manager–Global Business Development & Operations, Zeigler Bros., Inc., USA

Integration in the animal feed manufacturing industry is a common practice. Integrations take place backwards (feed and seedstock production) or forward (processing and marketing of branded products). The decision to integrate an existing aquaculture production operation into manufacturing its own feeds is a significant undertaking that merits serious consideration, analysis and evaluation of options, and due diligence. Various risks must be carefully considered, and significant benefits to be achieved. It is important to consider early on the selection of qualified advisors. Integration is a common practice for many businesses that grow and produce animals as food for people around the world. In general, integrations can occur along the production value chain as backward integration into the production of feed or the production of seed stock, or forward integration into processing and marketing of branded products. In the United States, this practice has been on-going for close to 50 years, especially in the poultry business. In the aquaculture industry, there are numerous examples worldwide where feed production has been successfully integrated into businesses producing fish and/or shrimp. Even though feed manufacturing may not be for everyone, the most talented and ambitious business managers do consider and evaluate this opportunity at some time. In this article, we introduce our Zeigler Bros Inc (ZBI) feed mill licensee program and also offer some perspectives and a framework to assist those considering a feed manufacturing facility, to help them better evaluate the project and to make an informed decision.

The ZBI Feed Mill Licensee Program

At ZBI, we produce aquafeeds for all life stages of many of the most commercially important, farmed aquatic species around the world, including shrimp, tilapia, salmonids and several other valuable commercial species. We can help existing feed manufacturers, aquaculture production enterprises and new projects with their needs to build and support a better aquaculture production environment, from support for better feed manufacturing to new plant development and operation for integration into existing aquaculture businesses. We recognise that integrating into feed manufacturing could be a significant opportunity for a number of fish and shrimp producers, and we are available to assist through our Feed Mill Licensee Programme, on-going now for over 30 years. This licensee program has supported the successful development and transformation of seven new and existing feed mills in various countries in Asia and Latin America into highly capable, aquafeed manufacturing facilities. 38 | June 2019 - International Aquafeed


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