Forecasts predict Thailand’s animal feed production will grow by upwards of 3 percent in 2017, making it an attractive space for feed ingredient suppliers to expand their presence in the country. This is true of Brazil’s animal rendering industry, which hopes to start exporting its meat and bone meal surplus to Thailand in 2017.
The Thai feed industry relies heavily on plant-based proteins in its feed formulations. To date, it does not have its own rendering industry, importing animal byproducts from Europe, Australia and New Zealand, the Thai Feed Industry Association reports.
“This is a favorable situation for Brazilian renders because the growing Thai feed industry needs more high-quality protein,” said Lucas Cypriano, technical manager of ABRA (Brazilian Association of Animal Rendering).
ABRA exhibited at VIV Asia, held March 14-17 in Bangkok, in hopes of tapping into new opportunities in Thailand.
While Thailand is a closed market for animal meals, a pending sanitation agreement between the two countries is in the final stages of approval.
“We expect, by summer of 2017, the market will be open to us,” Cypriano said, noting that the terms of the agreement will be sent in the next few weeks. “Since we are so close to finishing the agreement, it’s time to create demand.”
In 2016, Brazil exported 140,000 metric tons of animal meal to Chile, Vietnam and Bangladesh. At VIV Asia, the association announced Brazilian renderers have also gained access to Malaysia.
“Brazil animal meals can easily reach Asian markets, as many of the country’s rendering plants are located near ports,” Cypriano said. “Our price is very competitive.”
Export shipping costs are low because large volumes of Asian shipping containers are returned full of Brazilian commodities daily.
Brazil exports 2 percent of its meat and bone meal production. Meanwhile, fats are not exported due to their use in domestic biofuel production.
ABRA serves 27 Brazilian member companies representing 153 plants and 75 percent of the country’s rendered animal products.
