November 27, 2020
Adisseo: Taking a big leap in sustainability
This year, Adisseo's top priority is to ensure its employees' safety while continuing to supply feed ingredients essential to help produce food. Indeed, the company is proud to have pursued and safely achieved this endeavour in a safe manner during a time defined by an ongoing pandemic.
"In 2019, Adisseo registered the best safety record which says a lot about our emphasis on employees' and contractors safety as well as product-related risk mitigation and limiting environmental impact in our industrial activities," Adrian Ng, Asia Pacific managing director at Adisseo, said.
Additionally, driving sustainability is another key objective of the company. Ng tells eFeedLink about this aspect of Adisseo's business and other recent developments, including its acquisition of FRAmelco and reducing the use of antibiotics growth promoters (AGPs).
1. Why did Adisseo target FRAmelco compared to other global livestock feed additive companies?
FRAmelco's addition to Adisseo is in line with the company's strategy to increase its footprint of improving food sustainability and safety. This acquisition will enlarge and complement our product range, technology and species offerings to our global clients by addressing their needs in areas of reducing antibiotics use and increasing animal resilience. This move will also solidify Adisseo's market leadership in the area of glycerides (short and mid chain fatty acids) and further reinforce market position into lysolecithin.
2. What are the reasons behind Adisseo's acquisition of FRAmelco?
FRAmelco's addition to Adisseo is totally in line with the company's strategy to increase its footprint of improving food sustainability and safety by enlarging and complementing our product range, technology and species offerings to our global clients by addressing their needs in areas of reducing antibiotics use and increasing animal resilience. This move will also solidify Adisseo's market leadership in the area of glycerides (short- and mid-chain fatty acids) and further reinforce our market position in lysolecithin.
3. How transformational is this acquisition for Adisseo in boosting its Specialties segment? What are the impacts of the acquisitions of Nutriad in 2018 and soon of FRAmelco to Adisseo's livestock feed additives business segment, especially in the Asia Pacific market?
This move was not just about an organic growth ambition to increase the Specialties portfolio, but more importantly to help address the emerging demand of the food value chain to produce high quality, affordable, safe and sustainable food. As an important player in the food ecosystem, we need to act rapidly to contribute effective strategies to produce 70% more food to feed almost 10 billion people in the next three decades, with 60% of this growth centred around Asia. This further cements Adisseo's commitment to invest while concurrently committing to our sustainability promises.
4. The global poultry trade is very volatile and price driven. How can Adisseo help broiler producers to better address their cost management concerns?
Broiler production has always been competitive and made more evident during the COVID-19 pandemic, where global markets are raffled by muted broiler demand. Nevertheless, poultry will remain the fastest growing animal protein for years. I see the challenges as two-fold, "how to produce more" and "how to produce better".
For "how to produce more", Adisseo is already employing solutions in terms of better amino acid supplementation via liquid methionine, Rhodimet® (HMTBA) while helping our clients upgrade their feedmills' digital connectivity using proprietary DigiLiq installations; increasing feed digestibility which means better utilisation of resources needed to produce the same amount of animal protein by using the scientific approach of Precision Nutrition Evaluation (PNE), NIR-spectroscopy to diagnose feed integrity before recommending feed enzymes Rovabio Advance® and Advance Phy®, and in future with lysolecithin FRA Leci Max® (from FRAmelco) to improve lipid absorption.
As for "how to produce better", producing better meat is not mutually exclusive as consumers clamour for AGP (antibiotic growth promoter) free meat protein. This means broiler producers need to apply a mindset shift and accelerate the strong industrial push in the area of nutrition and gut health. More Asian countries have started banning antibiotics in feed even though we notice some delay of the final trajectory due to COVID-19. Adisseo has a wide genre of gut health solutions from unique poultry probiotics Alterion®, precision-delivered butyrate Adimix®, phytogenic Apex5®, organic trace minerals Selisseo®, etc to address these escalating challenges. This will result in better feed cost management by having improved flock performance, while also addressing environmental and raw material pressure from poultry farming.
5. The Philippines and Vietnam are trying to recover from an African swine fever (ASF) outbreak, boosting effort to restock their swine herds. How does Adisseo's portfolio help swine producers improve growth and their livestock's reproduction performance parameters, while also preventing diseases?
Since feed represents close to 2/3 of overall production costs, the right feeding strategies complemented by employing Adisseo's beneficial feed additives can help swine producers improve growth and reproduction indicators. This can be done through Adisseo's holistic 3-step gut health management approach:
· Better feed sanitation and safety (via mycotoxin management using Unike Plus® and Toxy-Nil Plus®, mold inhibitors like Mold-Nil®
and antioxidants Oxy-nil®);
· Enhanced overall feed digestibility and intake (using feed enzymes Rovabio Advance® and palatants like Krave® and Optisweet®
· Improving herd immunity and resilience using precision-delivered butyrate Adimix® and in future, FRAmelco monoglycerides) forms
the tripartite of defence to upgrade animal resilience
Our novel organic selenium (HMSeBA), Selisseo®, directly affects sow reproduction capability and ameliorate piglet performances at various growth stages, which improves animal welfare by lower usage of AGPs as a result of lesser pathogenic occurrences.
Nevertheless, "prevention is better than cure" is probably the most effective measure against ASF as there is no known vaccine for the disease. In the context of COVID-19, we learnt in our daily lives from measures like safe distancing, it's important to have adequate levels of biosecurity, farm and feed sanitation, optimal litter size, and regulated transportation to greatly reduce ASF contaminations. This takes a lot of responsibility, persistence and a mindset shift. I believe Southeast Asian farmers can learn a lot from painful European ASF experiences of the past so that we can emerge stronger and better soon.
6. Adisseo has released its 2019 Sustainability Report. Can you briefly summarise how Adisseo's actions could contribute to the overall livestock industry?
Adisseo is a key player in the food value chain. We put strong focus on a growth strategy in line with the UN Sustainability Development Goals to address economic, environmental and social issues, with the company's mission centered on offerings of making sustainable, safe, affordable and quality food to feed the world. Specifically, the concrete actions surround reducing hunger and malnutrition e.g. reducing food waste and prolonging food shelf-life; and alleviating poverty by helping farmers improve food production productivity.
In 2019, Adisseo registered the best safety record. This says a lot about the company's emphasis on employees' and contractors' safety, as well as product related risks mitigation and limiting environmental impact in our industrial activities. We strongly adhere to sustainable development to counteract the effects of climate change and Earth's limited resources by committing to reducing our water, energy consumption, and greenhouse gas emissions by 20% from 2015 to 2025, extremely ambitious targets. In Singapore, we have collaborated closely with the Economic Development Board (EDB) and Singapore Food Agency (SFA) to open our global aquaculture R&D centre, Aquaculture Station by Adisseo (ASA) on St. John's Island in December 2019 to proliferate our footprint into sustainable protein sources, which is becoming increasingly important in Asia.
We also rely heavily in human capital investment. We acquire and retain the best talents in our niche industry, continually training and developing people in the field, as well as promoting from within. This is so we can rely on our talents to implement the company's strategy and vision in a respectful, humane and conducive professional environment, adding value to our clients and delivering our growth ambitions in a sustainable manner.
Lastly, we work continually to innovate on our processes, tools, products, and services to satisfy our client needs. Our employees' safety and well-being is paramount, while delivering our business commitments with a long-term and sustainable view so that we can endeavour to be the best in class and the partner of choice in the livestock industry.
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