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Rendac charges more per stop, less per animal

3 March 2022 - Klaas van der Horst

rendering company Rendac may charge a higher rate per stop this year, but then charges a lower cost per animal collected. This follows from an agreement between the company and the Ministry of Agriculture, Nature and Food Quality.

Now that the new rates have been approved by Minister Henk Staghouwer (LNV), the costs per animal offered will decrease by an average of 9% compared to 2021. However, the costs per stop will increase by 6%. The latter is caused by upscaling and termination of companies and therefore a further decrease in the number of collections. Together with the increased fuel prices, the effect of this is an increase in costs per stop.

Difference planned and unplanned stop remains the same
The rate for a regular stop goes from €23,37 to €24,82 per stop. The rate for a planned barrel stop will increase from €19,26 to €20,71 per stop. The difference between a scheduled and regular stop has been kept at the $4,11 level.

Coal-fired power stations bring Rendac more into the la
On the other hand, revenues for finished products are expected to increase in 2022. Crucial here is the certainty of purchase from coal-fired power stations. In the further future, the announced closure of coal-fired power stations may put pressure on the sales proceeds of the end products, but that is not yet the case. The company is not yet able to say anything about how much the rates could rise if demand from coal-fired power plants falls. The rates also include the effects of a deficit that arose in the year 2020. The balance of processing, revenue and subsequent calculation results in a 9% decrease in the rate per animal offered. All this means that the total destruction costs will decrease by 7% on balance.

Rates are annual procedure
The destruction rates charged by Rendac are determined annually by the Minister of Agriculture, Nature and Food Quality. This is done after a working group with sector representatives has been consulted about this, the forecasts used have been assessed and after an independent accountant and the Accountantsdienst Rijk (ADR) have checked Rendac's subsequent calculation.

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Klaas van der Horst

Klaas van der Horst is a passionate follower of the dairy market and everything related to it. He searches for the news and interprets the developments.

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