Animal compound production falls

Ireland: Production of animal compound feeds is estimated to have fallen by 3% to 3.7 million tonnes last year from the record level achieved in 2002, the Irish Grain and Feed Association said yesterday.

Production increased in the first quarter of the year when the effects of the 2002 fodder shortage were still evident. However, since April output reduced to more normal levels.

The IGFA reported yields and volume of cereal production recovered in 2003 from the depressed levels of a year earlier.

However, they did not regain the levels which had been achieved in previous years. Quality was good and harvesting conditions were excellent. Autumn sowing conditions were also favourable.

The report recorded that market prices of grain and feed materials escalated to a level which could not have been predicted.

Drought conditions on the continent reduced the volume of grain production significantly.

Former Soviet Union states, which had exported large volumes of low- priced grain in the previous year, were not in the market.

With milk supply well above quota and pig numbers down, the IGFA said no increase in feed volumes is expected this season.

A reduction in dairy cow and beef cattle numbers under decoupling could lead to a substantial drop in the demand for animal compound feeds between now and 2012.