German millers obtain higher feed sales

Animal feed production in Germany increased by 3.6% in 2006/07 reaching a total output of 20.69 million tonnes.

The increase was mainly obtained with cattle feed (+4.8% to 6.2 million tonnes) and specifically with pig feed, which increased by 7.5% to 8.4 million tonnes, according to data of the German Feed Millers Association DVT.

The increase in sale of compound feed for pigs is a result of the increased number of pigs on German farms.

Fewer cows, more feed

The increased production of cattle feeds cannot be explained by an increased number of cows, because the German cattle herd decreased.

DVT thinks the higher output is a result of a poor roughage harvest in 2006 which forced farmers to feed more compound cattle feed. Because of an improved milk market dairy farmers also fed more compound feeds to their cows.

Poultry feed down

With layer feed the downward trend of the last couple of years was continued with a 1.7% decrease to 2.2 million tonnes.

Broiler feed also saw a decline in production and with 3 million tonnes ended 3.2% below previous market year.

Cereals most important

Cereals were the most important ingredient in the animal feeds. Around 9.5 million tonnes were used, which represents a share of 45.8% of total feed.

Oil cakes with 26.2% are another important ingredient in German feeds. The use of corn gluten has significantly been reduced.

Despite increased production marketing year 2006/07 has not been satisfying to the feed millers, DVT said. Especially the rising prices for cereals as a result of competition for energy crops with the biofuel industry have put margins under pressure.