Pressed pulp is a healthy product that also brings sustainable benefits. Presales started last week at, among others, animal feed producer Duynie Feed. How can the price remain stable, what are the expectations for the coming year and what does pressed pulp mean for the ration? Frank Waijers, managing director at Duynie Feed Netherlands, answers.
The beets are now back in the ground in many places. Hopes are based on favorable weather conditions in the coming months, for an optimal beet harvest in the autumn. After the start of sowing the beets, the pre-sale will also start. At Duynie Feed, the price remains the same as last year, despite the fact that there are fewer cows in the Dutch stables.
Almost 5% more beet acreage and fewer cows, yet the price remains the same. How is that possible?
The beet acreage has indeed increased by about 1.500 hectares. That is a few percent more compared to last year. Despite this increase and the decrease in the number of cows, the price has indeed remained stable. The feed value price has fallen somewhat compared to the basic price of other products, which makes the gross price of €1,65 more interesting compared to last year. Depending on the growing conditions, we have slightly more product to sell this year.
What do you expect from the supply and demand this year?
We are literally at the start of the new growing season, so it is still difficult to say what the offer will be. The beets have been in the ground for several weeks now. It is still too early to be specific about the outcome. The weather will be very decisive here, as will the future harvesting conditions, the beet yield and the actual dry matter percentage. As the season progresses, yield forecasts become more accurate. For these forecasts, we work together with Suiker Unie to estimate the actual yield as accurately as possible. It is and remains a natural product with some determining factors that cannot be predicted, we have seen that in the past 2 years.
We are positive about the demand for pressed pulp. The presale started this week and is proceeding satisfactorily. The advantages of pressed pulp are generally known. I therefore expect sufficient demand for this healthy product at a realistic price.
Due to corona, certain products such as brewer's grains are limited. Does this increase the demand for pressed pulp or other products?
Beer grain is primarily a protein substitute in the ration, pressed pulp is primarily an energy-rich product that is mainly purchased in one batch in advance. They are not products that compete directly with each other, in fact they, together with grass and maize, form an excellent basis for a stable ration. The demand for pressed pulp is therefore not dependent on the supply of brewer's grains. It is not the case that brewer's grains are no longer available at all. We try to meet the demand for the product as optimally as possible for our customers.
Is beet pulp still gaining popularity?
Press pulp is a valued product among our current customers. The benefits are well known: healthy, tasty, high in VEM, low in nitrogen and phosphorus. Enter what is convenient for the BEX companies. A good addition to the ration to improve nitrogen efficiency, the energy from pressed pulp ensures that protein is used properly. We also hear these benefits from livestock farmers, they are satisfied with the result. This is also confirmed by their repeated purchase of pressed pulp.
New customers are also still registering, for example taking out a feed subscription is on the rise. With a feed subscription it is possible to pay the costs in installments over 12 months, without any interest surcharge. This allows the livestock farmer to improve his liquidity position. This is a service from Duynie for the farmer to properly manage his cash flow.
Pressed pulp is also a by-product: it contributes to circular agriculture in the Netherlands. This prevents waste and the cows know how to convert this product into healthy protein for human food. This in combination with a low carbon footprint means that pressed pulp also scores well on the sustainability parameters in the recycling guide. Thus, there are many advantages that support the demand for pressed pulp.
Furthermore, we see no difference in regions with regard to the demand for pressed pulp. The product fits practically in any ration with different feeding techniques. This also enables us to carry out the press pulp transport extremely efficiently. We fully link the delivery of pressed pulp to the supply of beet per region. The transport has been further optimized over the years, with this we have prevented many empty kilometers of transport, and therefore costs.
Finally, you have been employed for a year now. Are you approaching the pre-sale period differently this year than last year?
The process from preparation, pre-sale to actual delivery and settlement is something Duynie has extensive experience with. I therefore see no immediate reason to make a change. We are looking for optimization with the entire team. Every year we make changes to improve the campaign compared to the previous year. This year we have again taken steps in that direction.
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