WorldWatch:

[nemo]

Owners of Danway feeds have come a long way. They used to be the distributor of B-meg feeds, 555 duck layer feeds in parts of bulacan. ANd i think it is late 2003 or 2004 they started producing their own feeds.

[mikey]

SMC evaluating Purefoods purchase offers
[20 November 2009] San Miguel Corporation (SMC) is now evaluating offers for its 40% share in San Miguel Pure Foods Co Inc (SMPFCI), said SMPFCI President Francisco Alejo III, and a deal is likely to be finalised soon. Based on current prices, the 40% interest in Purefoods would cost over PHP 2 billion (USD 42.77 million). Mr Alejo said that in addition to Hormel Foods Corp, there are other parties interested in the stake, most of which are foreign companies. Even with the sale, however, SMC will continue to be the majority stakeholder in the company. SMC is also considering the sale of a significant stake in its liquor unit Ginebra San Miguel Inc. The asset sales will help fund SMC's diversification, which involves investment in other sectors like telecommunications, energy distribution and generation and toll roads.


 
Philippines lifts ban on US meat and bone meal
[20 November 2009] The Philippine Department of Agriculture (DA) has lifted its ban on meat and bone meal (MBM) imports from the US, after the Office International des Epizooties adopted a resolution in accordance with the US "controlled risk" status. DA Secretary said that the US has a lessened risk of Bovine Spongiform Encephalopathy and there has been no recent case of mad cow disease in the US. Mr Yap said that  the US Food and Drug Administration regulates the use of meat and bone meal in animal feed and has tightened restrictions to further decrease the risk of mad cow disease in the the country, adding that the US currently exports MBM to Indonesia, Canada, Europe, South Africa, Malaysia, China, Mexico, Ecuador, Bangladesh, Thailand and Vietnam. 

[mikey]

23 November 2009] Adverse weather, including successive typhoons that hit the country in September and October, has brought down the growth of Philippine agriculture to only 1.55% in the first nine months of 2009. Figures from the Bureau of Agricultural Statistics (BAS) show that this is below the 4.16% growth the sector posted during the same period in 2008. From January-September 2009, the gross value of agricultural output amounted to PHP 849.3 billion (USD 18.16 billion), up slightly by 1.6% from the previous year. Livestock grossed PHP 138.4 billion (USD 2.96 billion), up 4.9% from the same period in 2008, while poultry grossed PHP 100.3 billion, (USD 2.14 billion) up by 11.4%. The fisheries sub-sector was valued at PHP 160.6 billion (USD 3.43 billion), 3.2%. Volumewise, the livestock sector grew 1.95%, the poultry industry rose 3.5%, as did the fisheries sector with a growth of 3.3%.

[mikey]

Locals Make Banana Waste into Feed Ingredient
UGANDA - A local initiative has been set up to collect banana peel and dry it to make a nutritious feed ingredient for poultry and pigs.



Over 1,500 tonnes of garbage are generated in Kampala daily that Kampala City Council is overwhelmed by the waste output due to its lack of capacity to collect and dump it at its landfill, according to Daily Monitor of Uganda. Three-quarters of garbage rots uncollected on pavements, streets, sewerage outlets and water channels.

This unfortunate situation is witnessed especially in markets, blurring the city's image and posing a serious health danger. However, thanks to an innovation of Kasubi Parish Local Community Development Initiative and Kawaala Recycling and Manufacturing Development Group who have started turning banana peels into veterinary feeds.

Moses Nadiope, the coordinator of Kasubi Parish Local Community Development Initiative said turning banana peels into banana bran project was developed from the general observation that chicken, pigs and cows ate the raw peel.

"We wondered why the peels could not be dried and milled into feeds," he explained.

He said over 70 per cent of the garbage in Kasubi, Kawaala, Nakulabye and neighbouring areas are banana peels making the sourcing of the raw material for making the banana peel bran easy.

"Our project reduces the burden of garbage in our neighbourhood because we buy dried banana peels from residents at 120 shillings per kilogramme," Mr Nadiope said.

He added that the burden now is to popularise the message to residents not to throw the banana peels at garbage hips but to sell them to the group. The three-year Sustainable Neighbours in Focus project started in 2007 and is supported by Environmental Alert, an NGO working to ensure environmental protection, Makerere University, CIAT, Urban Harvest, Kampala City Council and the Ministry of Agriculture, Animal Husbandry and Fisheries.

Environmental Alert bought the mill they are now using to process the banana peel bran.

Mr Nadiope said every day, they produce one tonne of peel bran from six tonnes of dry banana peels.

Maria Kawesa, Environmental Alert's programme officer in charge of the project told Daily Monitor that the banana peel bran is a good substitute to maize bran, which is becoming very expensive for poultry farmers because it is highly nutritious.

She said microbiological tests were carried on banana peel bran were carried out at the Department of Animal Science in the Faculty of Veterinary Medicine and the Department of Soil Science in the Faculty of Agriculture. They showed that the banana peel bran has enough phosphorus, proteins and calcium, and it is free from heavy metals like chromium, cadmium, lead and mercury.

The Makerere University scientists observed that the bran is safe but they have to be properly dried on polythene sheets and kept in dry places to avoid dampness that creates conditions for bacterial multiplication.

She said what the farmers need is to add cotton seed, silver fish (mukene), sunflower and other ingredients to make complete feeds for poultry, pigs and other animals.

She said in terms of price, this banana bran is very cheap because a kilogramme costs 250 shillings (UGS) compared to a kilogramme of maize bran that costs UGS350 to 500.

Mr Nadiope said the innovation has attracted many clients who buy the bran.

"Most clients are our members because they are aware of the nutritional value of the bran to their animals and birds but even nonmembers are slowly realising the magic," he said.

Ms Kawesa said the milling machine that the group uses was given to them on credit but they will be able to clear the debt from the profits they make, according to Daily Monitor.

[mikey]

India-Asean FTA to take effect in January 
[27 November 2009] The trade in goods agreement endorsed between India and the Association of South East Asian Nations (Asean) in August, will come into force in January 2010. Reporting on this in Parliment this week, Union Minister of State for Trade and Commerce, Jyotiraditya Scindia said the Agreement will lead to growth in bilateral trade and investment resulting in economic welfare gains to India. Indian exporters of oilcake, wheat, buffalo meat, machinery and machine parts, steel and steel products, automobiles and auto components, chemicals, synthetic textiles, etc. would gain additional market access into Asean countries. Indian manufacturers would also be able to source intermediate products at competitive prices from the Asean markets for further reprocessing and export, Mr Scindia said.

 
Food prices may spike again
[27 November 2009] Food prices could spike once again fuelled by crop shortages in India and the Philippines combined with increased fund speculation in commodity markets. World Bank President Robert Zoellick said food prices are expected to remain high and volatile, and will continue to hit developing countries the hardest. Mr Zoellick added that the World Bank will start a trust fund to boost agriculture in poor countries with an initial USD 1.5 billion. 

[mikey]

Philippines lifts ban on meat from Belgium
[1 December 2009] The Philippine Department of Agriculture has lifted an eight-year ban on imports of meat and meat products from cattle from Belgium after the Office Internationale des Epizooties declared the country “as having a controlled Bovine Spongiform Encephalopathy (BSE) risk.” DA Secretary Arthur Yap said the meat items including boneless and bone-in beef can be sourced from cattle of all ages, devoid of any nerves. However, the meat should come only from healthy ambulatory and not downer cattle and the slaughter date of the cattle or the production date of the beef should be indicated on the packaging label. Data from the Bureau of Agricultural Statistics show that beef imports dropped 27% to 11,576 tonnes from January-March 2008 from 15,887 tonnes in the same period last year.

[mikey]

Ongpin group buys 28% of San Miguel Corporation
[1 December 2009] Top Frontier Investment Holdings has bought a 28% share in the Philippines food and beverage conglomerate San Miguel Corporation (SMC), paving the way for a possible takeover. The stake acquired by Top Frontier from San Miguel Retirement Fund involves 857.12 million A and B shares, and it represented the fund’s entire stake in the food and beverage giant. Top Frontier, led by SMC Director Roberto Ongpin, said that its purchase may lead to an offer to stockholders to buy the rest of San Miguel. Businessmen Iñigo Zobel and Jose Campos co-own Top Frontier with Ongpin, a former trade minister. Zobel is also an SMC Director. Mr Ongpin, through Q-Tech Alliance Holdings Inc., already owns 20% of San Miguel that was acquired from Kirin of Japan. In a statement, Mr Ongpin said that “San Miguel is a sound investment, with a strong balance sheet to support the new business endeavours which are clearly the future engines of growth,” and that the company “has a strong management and highly competent people resources.”

[mikey]

Jollibee to open more stores in Vietnam, eyes India
[2 December 2009] Philippine fastfood giant Jollibee Food Corporate (JFC) has set its sights on Vietnam and India for expansion. Business World reported that JFC Chairman Tony Tan Caktiong said the company wants to focus on Vietnam because of its growing economy, adding that the 10-12 Jollibee outlets in the country are currently doing well. He didn't say however how many additional branches the company plans to open in Vietnam. JFC's international operation currently has 327 stores scattered in countries like the United Arab Emirates, the US, Indonesia, Taiwan, and China. Mr Tan Caktiong said the group will continue to focus in China, Indonesia and the US where it recently opened its 27th branch in Las Vegas, Nevada. This is in line with the group’s ambitious plan to have 3,000 Jollibee stores outside the Philippines by 2020. Meanwhile, India remains in the company's radar and Mr Tan Caktiong has been exploring ways in which to enter the country. It is likely that instead of bringing in one of his brands in India, JFC might buy a food company in India and will use this as its stepping stone.
--------------------------------------------------------------------------------
 
Reference prices issued for pork, chicken and sugar
[2 December 2009] The Philippine government has announced reference prices for pork and chicken meat, as well as sugar, for the coming holiday season. The suggested retail prices (SRPs) are PHP 160-175 (USD 3.41-3.73)/kg for pork meat, PHP 135-145 (USD 2.88-3.09)/kg for chicken and PHP 43 (USD 0.92)/kg for sugar. The SRPs, which were agreed upon by the government and the private sector, are initially to be implemented in Metro Manila, but Agriculture Assistant Secretary Salvador Salacup said that the government might expand coverage to the entire country. The SRPs came on the heels of increasing prices. 

[mikey]

Tariff cuts will stay on schedule
[4 December 2009] Philippine trade officials have brushed aside calls to delay the implementation of the AFTA-CEPT. Philippine Tariff Commissioner Edgardo Abon said that the negotiation stage for the trade agreement is past and that local industries must instead focus on efforts to become more competitive and efficient players. Duties on certain farm goods, including corn, cassava, poultry and pork will go down to 0-5%, however the Philippines’ proposal to keep rice tariffs at 40% before lowering it to 35% in 2015 is still being negotiated. The local corn, feed, poultry and hog industries are among those that have been clamoring for the delay in AFTA, however Mr Abon said the Philippines will have to honour its commitments beginning January 2010.

[mikey]

Bounty Fresh sees better sales in 2010
[3 December 2009] Bountry Fresh Food Inc (BFFI) and its sister company Bounty Agro Ventures Inc (BAVI) see election spending boosting sales to nearly PHP 8 billion (USD 172.04 million) in 2010. A report from Businessworld said Bounty Fresh President Tennyson Chen expects increase in sales “probably in the range of 5-10%.” Mr Chen said BFFI and BAVI posted sales of PHP 3 billion (USD 64.52 million) and PHP 4 billion (USD 86.02 million), respectively  in 2008, respectively. In 2009, however, sales was flat because as the global economic crunch weakened purchasing power.

[mikey]

World Agricultural Supply and Demand Estimates - February 2010
Pork production has gone down as slaughter has been lower than expected, according to the USDA World Agricultural Supply and Demand Estimates for February 2010.


LIVESTOCK, POULTRY, AND DAIRY: Total US meat production for 2010 is little changed as higher beef production is more than offset by lower forecast production of pork and turkey. The Cattle report estimated the cattle numbers on 1 January 2010, declined from the previous year, but implied the number of cattle outside feedlots remains close to last year. Thus, forecast placements and marketings are raised, resulting in higher forecast cattle slaughter. However, partly offsetting the increase in expected slaughter, cattle weights are reduced for early 2010 due to severe weather which has impacted weight gain. Pork production is reduced as slaughter has been lower than expected and weights slightly lighter. Turkey production for 2010 was reduced as the pace of growth implied by hatchery data has been less than expected. Broiler meat and egg production forecasts are unchanged from last month. Estimated meat production for 2009 is adjusted to reflect December slaughter data.

Only small changes are made to 2009 beef exports. There are no changes to red meat export forecasts for 2010 but the broiler export forecast is reduced from last month. Recently announced duties on US broilers by China and continued trade restrictions in several other countries will pressure broiler exports.

Cattle price forecasts are lowered for 2010 as larger numbers of fed cattle are expected to pressure prices. Hog prices are raised as tighter supplies may help support prices. Broiler prices are forecast higher in 2010 as domestic demand is expected to grow.

The milk production forecasts are raised for 2009 and 2010. The forecast for 2009 reflects recent USDA estimates of fourth-quarter production. Milk production is forecast higher for 2010 based on the higher-than-expected 1 January dairy replacement heifer estimate. Herds are not expected to decline as rapidly as forecast last month, boosting milk production. Dairy exports on a skim-solids basis for 2010 are raised, reflecting higher sales of cheese and nonfat dry milk. Import forecasts are lowered for 2010. Fat and skim-solids ending stocks are estimated higher for 2009 and stocks for 2010 are raised in the face of higher production. Cheese and butter price forecasts for 2010 are little changed from last month. The Class III price is raised from last month due to higher forecast whey prices, but the Class IV price forecast is lowered reflecting weaker nonfat dry milk prices. The all milk price is forecast at $16.20 to $16.90 for 2010.

WHEAT: US wheat ending stocks for 2009/10 are projected 5 million bushels higher this month reflecting an increase in expected imports. Imports are raised based on expected shipments of South American and European feed quality wheat into the southeastern US market. Exports of all wheat are unchanged, but by-class adjustments include a 10-million-bushel increase in hard red winter wheat and 5-million-bushel decreases in both hard red spring and durum wheat. The projected marketing-year average farm price is narrowed 5 cents on both ends of the range to $4.75 to $4.95 per bushel.

Global wheat supplies for 2009/10 are projected 1.4 million tons higher reflecting production increases for Argentina and Ukraine. Argentina production is raised 1.0 million tons as abundant, late-season rains raised harvested area and yields in key eastern growing areas. Ukraine production is increased 0.4 million tons as the latest revisions to state statistical committee estimates boost yields, more than offsetting a small reduction in harvested area.

Global wheat imports and exports for 2009/10 are both raised this month mostly reflecting higher expected shipments for Argentina and increased regional trade for Turkey. Exports are raised 1.0 million tons for Argentina with larger supplies and recently more favorable government policies toward exports. Exports for Turkey are raised 0.3 million tons reflecting stronger shipments to other countries in the region. Partly offsetting are reductions of 0.5 million tons and 0.2 million tons, respectively, for Pakistan and Uruguay exports. Imports are raised 0.7 million tons for Afghanistan and 0.5 million tons for Turkey. Imports are raised 0.4 million tons for Uzbekistan. Partly offsetting is a 0.5 million-ton import reduction for Pakistan. Global wheat consumption for 2009/10 is raised 1.1 million tons mostly on higher feeding in Canada and increased food use in Afghanistan. Higher consumption mostly offsets this month’s increase in world production with projected global ending stocks rising 0.3 million tons.

COARSE GRAINS: US feed grain ending stocks for 2009/10 are projected lower this month with higher expected corn use and sorghum exports. Corn used for ethanol is projected 100 million bushels higher reflecting the latest ethanol production data from the Energy Information Agency. November’s record ethanol production was up 3 per cent from the previous record in October as higher prices for ethanol and distillers grains boosted ethanol producer returns. November-December corn use for ethanol was up 16 per cent from the same period in 2008/09. Although returns have declined since November, recently lower corn prices continue to support profitability for ethanol producers. A five-million-bushel reduction in expected corn use for sweeteners partly offsets the increase for ethanol. Corn exports for 2009/10 are projected 50 million bushels lower on increased competition from Argentina. Ending stocks are projected 45 million bushels lower. The projected marketing-year average farm price for corn is narrowed five cents on both ends of the range to $3.45 to $3.95 per bushel.

Global coarse grain production for 2009/10 is projected 1.6 million tons higher this month with higher Argentina corn production only partly offset by lower EU-27 corn production and lower Ukraine barley and oats production. Argentina corn production is raised 2.2 million tons with higher expected yields and harvested area as growing conditions continue to improve with additional rainfall in the main corn areas. Late planting and short-term heat stress in the western growing areas temper prospects as a substantial portion of the growing season is still ahead. EU-27 corn production is lowered 0.4 million tons on downward revisions to area for Italy. Ukraine barley and oats production are each lowered 0.2 million tons reflecting the latest revisions to state statistical committee estimates. A number of small, offsetting revisions are made for Russia coarse grains production.

Global coarse grain imports and exports for 2009/10 are both raised slightly this month. The reduction in US corn exports is more than offset by a 1.5-million-ton increase for Argentina. Sorghum imports are raised for Japan and Mexico with the increase in US sorghum exports. Other major trade changes this month include a 0.5 million-ton reduction in EU-27 barley exports and a 0.5-million-ton increase in Turkey barley exports. Global coarse grain consumption is increased 3.4 million tons this month with higher corn and sorghum use more than offsetting a reduction for barley. Higher corn use for ethanol in the United States and higher corn feeding in Argentina account for most of the increase. Sorghum feeding is raised for Australia, Japan, and Mexico. Barley feeding is lowered for Australia, Iran, Turkey, and Ukraine. Global coarse grain ending stocks are projected 1.0 million tons lower with a 2.1-million-ton reduction for corn partly offset by a 1.1-million-ton increase for barley.

OILSEEDS: Projected US soybean ending stocks for 2009/10 are reduced to 210 million bushels, down 35 million from last month due to increased exports and crush. Soybean exports are raised 25 million bushels to 1.400 billion as export shipments continue to exceed earlier projections. Although a record South American harvest is expected to reach the market in coming weeks, tight old-crop South American supplies resulting from last year=s historic drought in Argentina continue to support US exports. Soybean crush is raised 10 million bushels to 1.720 billion reflecting a strong soybean meal exports and a lower soybean meal extraction rate. Soybean oil stocks are projected higher this month as the increased crush more than offsets a small reduction in the soybean oil extraction rate. Soybean oil used for methyl ester is unchanged this month despite reduced production due to the loss of the $1.00 per gallon blending credit at the end of December. The recent Environmental Protection Agency announcement of final rules for the 2009 and 2010 biodiesel mandates is expected to result in offsetting production gains through the end of the 2009/10 marketing year.

The US season-average soybean price range for 2008/09 is projected at $8.70 to $10.20 per bushel, down 20 cents on both ends of the range. The soybean meal price is projected at $270 to $320 per short ton, up 5 dollars on both ends. The soybean oil price is projected at 33.5 to 36.5 cents per pound, down 2.5 cents on both ends of the range.

Global oilseed production for 2009/10 is projected at 433.7 million tons, up 2.1 million from last month. Global soybean production is raised 1.6 million tons to 255 million tons. Improved production prospects for South America account for most of the change. Soybean production for Brazil is projected at 66 million tons, up 1 million from last month due to higher yields. Soybean production is also raised for Paraguay and Uruguay. Global sunflowerseed production is projected higher due to gains for Ukraine and Russia. Global rapeseed production is raised this month due to a larger projected crop for EU-27.

Global oilseed trade is raised 0.9 million tons to 96.3 million tons, mainly due to increased soybean imports for China and Egypt. Higher global oilseed crush mainly reflects increased rapeseed crush in Canada, China, and EU-27. Global oilseed stocks are mostly unchanged at 71.1 million tons.

[mikey]

Philippine farm output barely up in 2009
 The Philippine agricultural sector barely grew in 2009, no thanks to the devastating typhoons that hit the country in September and October last year. Data from the Bureau of Agricultural Statistics showed that farm output grew a measly 0.37% for the entire year after the sector performance contracted by 2.43% in the fourth quarter of 2009. The crops subsector, which accounts for a big chunk of total agricultural production, contracted by 1.42%. The livestock subsector which accounted for 12.47% of total agricultural production grew by 1.24%, with hog production inching up by 1.16%. Meanwhile, the poultry subsector, which contributed 14.33% of the total agricultural output grew by 1.82%, with chicken production growing by 1.53% and chicken egg production rising by 5.04%. Fisheries also posted a growth of 2.45% for the year.

[mikey]

Thursday, February 18, 2010Print This Page
Towards a More Sustainable Livestock Sector
GLOBAL - Urgent investments, major agricultural research efforts and robust governance are required to ensure that the world's livestock sector responds to a growing demand for animal products and at the same time contributes to poverty reduction, food security, environmental sustainability and human health, FAO said today in a new edition of its flagship publication the State of Food and Agriculture (SOFA).



Around one billion poor people depend on livestock production.The report stresses that livestock is essential to the livelihoods of around one billion poor people. Livestock provides income, high-quality food, fuel, draught power, building material and fertilizer, thus contributing to food security and nutrition. For many small-scale farmers, livestock also provides an important safety net in times of need.

But the agency stressed the need for substantial investments and stronger institutions at global, regional, national and local levels, to ensure that continued growth of the livestock sector contributes to livelihoods, meets growing consumer demand and mitigates environmental and health concerns.



A supermarket in Swaziland.


A farmer collects milk in Bangladesh."The rapid transition of the livestock sector has been taking place in an institutional void," said FAO Director-General Jacques Diouf in the foreword of the report. "The issue of governance is central. Identifying and defining the appropriate role of government, in its broadest sense, is the cornerstone on which future development of the livestock sector must build."

Efforts are needed to ensure that this rapidly growing sector contributes fully to food security and poverty reduction, moving towards a ‘more responsible livestock sector', Mr Diouf said.

Driving force
The livestock sector is one of the fastest growing parts of the agricultural economy, the FAO report underlines. Livestock contributes 40 per cent of the global value of agricultural production and supports the livelihoods and food security of almost one billion people. Globally, livestock contributes 15 per cent of total food energy and 25 per cent of dietary protein. Products from livestock provide essential micronutrients that are not easily obtained from other plant food products.

Rising incomes, population growth and urbanization are the driving forces behind a growing demand for meat products in developing countries—and they will continue to be important. To meet rising demand, global annual meat production is expected to expand from 228 currently to 463 million tonnes by 2050 with the cattle population estimated to grow from 1.5 billion to 2.6 billion and that of goats and sheep from 1.7 billion to 2.7 billion, according to FAO estimates.

Livelihoods
Strong demand for animal food products offers significant opportunities for livestock to contribute to economic growth and poverty reduction. But many smallholders are facing several challenges in remaining competitive with larger, more intensive production systems. The report warns that "a widening gulf is emerging between those who can take advantage of growing demand for livestock products and those who cannot."

FAO recommends that smallholders should be supported in taking advantage of the opportunities provided by an expanding livestock sector and in managing the risks associated with increasing competition. Broader rural development strategies creating off-farm jobs should help those that may be unable to adapt and compete in a rapidly modernising sector. "Policy makers also need to recognize and protect livestock's safety-net function for the very poor," according to SOFA.

Environment
There is a need to enhance the efficiency of natural-resource use in the sector and to reduce the environmental footprint of livestock production, the report says. The goal is to ensure that continued growth in livestock production does not create undue pressure on ecosystems, biodiversity, land and forest resources and water quality and does not contribute to global warming. While some countries have made progress in reducing pollution and deforestation associated with livestock production, many more require appropriate policies and enforcement capacity. Market-based policies, such as taxes and fees for natural-resource use or payments for environmental services, would encourage producers to ensure that livestock production is carried out in a sustainable way.

Livestock can play an important role in both adapting to climate change and mitigating its effects on human welfare, FAO said. To realise the sector's potential to contribute to climate change mitigation and adaptation based on enhanced capacities to monitor, report and verify emissions from the livestock production new technologies will need to be developed.

Health
Animal diseases pose systemic risks that must be addressed, FAO said. Since new pathogenic agents will continue to emerge, investments in national animal-health and food safety infrastructure are required to reduce the risks of animal diseases to humans. Poor livestock keepers need to be more engaged in disease-control efforts.

[mikey]

Towards a More Sustainable Livestock Sector
GLOBAL - Urgent investments, major agricultural research efforts and robust governance are required to ensure that the world's livestock sector responds to a growing demand for animal products and at the same time contributes to poverty reduction, food security, environmental sustainability and human health, FAO said today in a new edition of its flagship publication the State of Food and Agriculture (SOFA).

Around one billion poor people depend on livestock production.The report stresses that livestock is essential to the livelihoods of around one billion poor people. Livestock provides income, high-quality food, fuel, draught power, building material and fertilizer, thus contributing to food security and nutrition. For many small-scale farmers, livestock also provides an important safety net in times of need.

But the agency stressed the need for substantial investments and stronger institutions at global, regional, national and local levels, to ensure that continued growth of the livestock sector contributes to livelihoods, meets growing consumer demand and mitigates environmental and health concerns.
A farmer collects milk in Bangladesh."The rapid transition of the livestock sector has been taking place in an institutional void," said FAO Director-General Jacques Diouf in the foreword of the report. "The issue of governance is central. Identifying and defining the appropriate role of government, in its broadest sense, is the cornerstone on which future development of the livestock sector must build."

Efforts are needed to ensure that this rapidly growing sector contributes fully to food security and poverty reduction, moving towards a ‘more responsible livestock sector', Mr Diouf said.

Driving force
The livestock sector is one of the fastest growing parts of the agricultural economy, the FAO report underlines. Livestock contributes 40 per cent of the global value of agricultural production and supports the livelihoods and food security of almost one billion people. Globally, livestock contributes 15 per cent of total food energy and 25 per cent of dietary protein. Products from livestock provide essential micronutrients that are not easily obtained from other plant food products.

Rising incomes, population growth and urbanization are the driving forces behind a growing demand for meat products in developing countries—and they will continue to be important. To meet rising demand, global annual meat production is expected to expand from 228 currently to 463 million tonnes by 2050 with the cattle population estimated to grow from 1.5 billion to 2.6 billion and that of goats and sheep from 1.7 billion to 2.7 billion, according to FAO estimates.

Livelihoods
Strong demand for animal food products offers significant opportunities for livestock to contribute to economic growth and poverty reduction. But many smallholders are facing several challenges in remaining competitive with larger, more intensive production systems. The report warns that "a widening gulf is emerging between those who can take advantage of growing demand for livestock products and those who cannot."

FAO recommends that smallholders should be supported in taking advantage of the opportunities provided by an expanding livestock sector and in managing the risks associated with increasing competition. Broader rural development strategies creating off-farm jobs should help those that may be unable to adapt and compete in a rapidly modernising sector. "Policy makers also need to recognize and protect livestock's safety-net function for the very poor," according to SOFA.

Environment
There is a need to enhance the efficiency of natural-resource use in the sector and to reduce the environmental footprint of livestock production, the report says. The goal is to ensure that continued growth in livestock production does not create undue pressure on ecosystems, biodiversity, land and forest resources and water quality and does not contribute to global warming. While some countries have made progress in reducing pollution and deforestation associated with livestock production, many more require appropriate policies and enforcement capacity. Market-based policies, such as taxes and fees for natural-resource use or payments for environmental services, would encourage producers to ensure that livestock production is carried out in a sustainable way.

Livestock can play an important role in both adapting to climate change and mitigating its effects on human welfare, FAO said. To realise the sector's potential to contribute to climate change mitigation and adaptation based on enhanced capacities to monitor, report and verify emissions from the livestock production new technologies will need to be developed.

Health
Animal diseases pose systemic risks that must be addressed, FAO said. Since new pathogenic agents will continue to emerge, investments in national animal-health and food safety infrastructure are required to reduce the risks of animal diseases to humans. Poor livestock keepers need to be more engaged in disease-control efforts.

[mikey]

Jollibee posts 14.6% income growth
[25 February 2010] Philippine fast food giant Jollibee Food Corp (JFC) has managed to post a 14.6% growth in profit for 2009, despite the economic crunch. In its disclosure to the Philippine Stock Exchange, JFC reported a net income of PHP 2.66 billion (USD 57.78 million), which was attributed to strong sales, lower raw material costs and income tax, and efficient marketing expenditure. System-wide sales from both company-owned and franchised stores rose by by 9.6% to reach PHP 63.73 billion (USD 1.38 billion). JFC Chairman and CEO Tony Tan Caktiong said that the company “grew almost 10%, achieved its profit target and exceeded its cash flow objective.” in 2009. With the better perfomance, the company is set to double its capital expenditure to PHP 4.8 billion (USD 103.92 million) this year.