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EU Compound Feed Output Seen by Manufacturers as Steady in 2012

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Jan. 18 (Bloomberg) -- European Union production of compound feed for livestock and poultry in 2012 was little changed from the previous two years, the European Compound Feed Manufacturers’ Federation said.

Total production last year was about 151.9 million metric tons, the Brussels-based group said in a statement today on its website. A 2 percent drop in pig feed production was offset by a 1.5 percent increase in cattle feed output and a 1 percent increase in poultry feed.

“The most important factors which have weighed on the EU feed demand in 2012 were the still fragile economic situation of the pig sector and soaring feed material costs,” the group said. Production increased by about 2 percent in Germany and the U.K. while levels were flat in France and Poland and output fell in Spain, Italy and the Netherlands, according to the report.

In 2013, pig feed production may decline 1 percent while cattle feed demand increases by 1 percent, according to the group, known as FEFAC. Poultry feed production may be stable. The costs of feed materials could be higher this year than in 2012, according to the report.

To contact the reporter on this story: Whitney McFerron in London at wmcferron1@bloomberg.net

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

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