Category Archives: Feed

Improving Digestibility Can Reduce Feed Costs

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wpx13-novus-escobarApplying nutrient digestibility concepts and the use of certain enzymes can help hog producers reduce waste and lower feed costs.

Dr. Jeffrey Escobar of Novus International talked about that during a presentation at World Pork Expo this week, explaining the benefits of their feed additive Cibenza DP100. “It’s a heat-stable protease … that will digest proteins to release amino acids,” he explains. “So what Cibenza DP100 will do is help the enzymes already present in the pig and increase the digestibility of the proteins present in the feed with a net gain of more amino acids believed delivered to the animal.”

Listen to my interview with Jeffrey and/or watch a video of his presentation below: Interview with Novus' Jeffrey Escobar

2013 World Pork Expo photo album.

AgWired coverage of the 2013 World Pork Expo is sponsored by NOVUSAgWired coverage of the 2013 World Pork Expo is sponsored by boehringer-ingelheim

EPA Denies Ethanol Waiver Request

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The Environmental Protection Agency (EPA) has denied a petition by the governors of poultry producing states that would have waived the Renewable Fuel Standard (RFS) and its requirement for ethanol in the nation’s fuel supply.

In its decision to deny the request, EPA said Friday that the RFS itself is not causing economic harm and that suspending the standard would reduce corn prices by only 1%. “We recognize that this year’s drought has created hardship in some sectors of the economy, particularly for livestock producers,” said EPA’s Gina McCarthy in a statement. “But our extensive analysis makes clear that congressional requirements for a waiver have not been met and that waiving the RFS will have little, if any, impact.”

The ethanol industry is obviously pleased with the decision and so are corn farmers. “The National Corn Growers Association supports the Environmental Protection Agency’s decision to deny the Renewable Fuel Standard waiver request,” said NCGA President Pam Johnson “We believe Administrator Jackson appropriately recognized petitioners did not properly prove severe nationwide economic harm had occurred thereby creating no justification for a waiver of the RFS.”

“The RFS is working as designed,” said Renewable Fuels Association president Bob Dinneen. “The flexibility that is built into the RFS allows the marketplace to ration demand, not the government. Indeed, the ethanol industry has responded to the market by reducing output by approximately 12%.”

Listen to or download interview with Bob Dinneen. RFA reacts to RFS Waiver Denial

Livestock and poultry producers, however, are not so happy. A coalition of livestock, poultry and dairy organizations issued a statement expressing “extreme disappointment” with the denial.

“We are extremely frustrated and discouraged that EPA chose to ignore the clear economic argument from tens of thousands of family farmers and livestock and poultry producers that the food-to-fuel policy is causing and will cause severe harm to regions in which those farmers and producers operate,” the coalition said.

In fact, dozens of poultry, pork, beef and dairy operations have filed for bankruptcy, been sold or simply gone out of business over the past several months because of rising feed grain prices.

“How many more jobs and family farms have to be lost before we change this misguided policy and create a level playing field on the free market for the end users of corn?” the coalition asked. “It is now abundantly clear that this law is broken, and we will explore remedies to fix it.”

Customer Satisfaction with O.H. Kruse

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It’s one thing to think you’ve had a successful event. It’s another to hear from your customers that it was a successful event.

At the end of last week’s first ever O.H. Kruse Grain & Milling dealer appreciation day I asked a couple of the attendees what they thought. You can listen to Manuel and Tim, Royal Oaks Feed, who were very enthused and appreciative of the effort that O.H. Kruse put into this educational and entertaining event. They said they’ll be taking back a lot of information they can use. One example they said was how effective the new communication tools have become.

Listen to my interview with Royal Oaks Feed here: Interview with Royal Oaks Feed

O.H. Kruse Photo Album

Some O.H. Kruse Memories

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When you’ve got a company that is three generations old you can bet there are lots of memories. I captured some of those memories of O.H. Kruse Grain & Milling by talking with Richard Kruse, Kruse Feed & Supply. Richard is pictured on the left with his nephew, Kevin Kruse.

Richard started out working in his father’s business and it is all he’s known his whole life. He says that as a boy he remembers waking up to the sound of a grinder going off at about five in the morning. He says it has been a great ride because of the people they have been associated with and who believed in them. Richard says a key to their success is having a belief in all members of their working “family.” There’s nothing he likes better than seeing his customers grow and prosper because that helps them do the same.

Listen to my interview with Richard here: Interview with Richard Kruse

O.H. Kruse Photo Album

What Advertising Works for Ag Retailers

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Want to have a successful ag retail advertising campaign? Let David Stanley, ConvergeMark, give you some ideas. David was one of the presenters at the O.H. Kruse Grain & Milling dealer appreciation day.

David says “You have to realize you can’t be all things to all people. Really figure out who you can serve best and then find out, What are their interests? What motivates them? What causes them to buy? and then when you understand that you can tailor your advertising message to reach what your customer cares about.” He says so many businesses advertise what he calls “chest thumping” ads that are about the business and not what the customer wants. The focus needs to be outward not inward.

Listen to my interview with David here and learn more from him about deciding what advertising options to use: Interview with David Stanley

O.H. Kruse Photo Album

Marketing Ag Retail Online

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If you’re in the retail ag business how do you stand out from the crowd, especially when we’re talking about online. Yep. The internet.

That question is one that Terrell Miller, Cattlesoft, Inc. founder, provided answers for during the O.H. Kruse Grain & Milling dealer appreciation day. Terrell conducted two presentations during the day on this subject. The big message is having a presence online and not just a one page website. You need to have information that’s timely and relevant to your customers. Terrell says he’s also been encouraging retailers to provide educational resources online too. We also talked about social media since that ties in to what a retailer is doing online.

Listen to my interview with Terrell here: Interview with Terrell Miller

O.H. Kruse Photo Album

O.H. Kruse is a Family Business

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When O.H. Kruse Grain & Milling decided to hold a dealer appreciation day they viewed it as an investment in their dealers and their brand name according to Kevin Kruse, President/CEO. He says it is an opportunity to re-present their brand. Kevin spoke to attendees during the evening dinner.

I spoke with Kevin before dinner and asked him what message he wanted to share with the folks attending. He said, “We’re a family business and that they’re part of our family. We really appreciate and are proud to be doing business with these people. It’s a thank you and it’s a discussion of how we can work together to improve both our businesses. That’s the focus.” Kevin also spoke about the challenges in the feed industry and what he sees in the future for the company.

Listen to my interview with Kevin here: Interview with Kevin Kruse

O.H. Kruse Photo Album

O.H. Kruse is Support System for Dealers

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Here’s the happy winner of a new iPad courtesy of O.H. Kruse Grain & Milling. He is just one of the door prize winners at the company dealer appreciation day. In fact, there were a lot of winners. If you signed up for the event text messages we were being updated on winners throughout the day. This prize was awarded during the evening meal.

Presenting this prize on the left is Ashli Cole, Marketing & Customer Care Manager. Ashli was part of the staff that worked so hard to make this a special day for customers. She says that the dealer appreciation day is a sort of culmination of a number of changes and efforts within the company during the last year. She says it’s all about being relevant to their customers in the dynamic market that exists right now. Ashli says dealers were shocked when they arrived at the event expecting to receive a hard core sales pitch. Instead they were greeted in a friendly social atmosphere that included excellent meals, educational seminars, product displays and evening entertainment. So new relationships were formed and old ones developed further. Ashli hopes they came away thinking, “That we don’t just sell feed. That we’re a support system for them.”

Listen to my interview with Ashli here: Interview with Ashli Cole

O.H. Kruse Photo Album

Feed Company Success Drivers

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The O.H Kruse Dealer Appreciation Day included a series of educational and information presentations throughout the day. Besides inviting dealer customers to an event to say thank you the company wanted them to come away with valuable information that will help them in their businesses.

One of the presenters is David Parker, Adayana Business Group. David talked on the subjects of “Selling Value in a Commodity World” and “Key Success Drivers of the 21st Century.” I talked with him to learn what he wanted attendees to take away from his presentations. One of those things is how retailers differentiate themselves from all the others to create an advantage in a very crowded market. When it comes to success drivers David says some of them include a focus on operational efficiency, doing an annual strategic plan, a focus on people and a real sales focus.

Listen to my interview with David here: Interview with David Parker

O.H. Kruse Photo Album

O.H. Kruse is Pet Food Can-Do Company

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O.H. Kruse Grain & Milling customers not only toured their Goshen, CA feed mill but also the new nearby pet food facility. Our tour guide was Ed Cooper, VP, Operations, Perfection Pet Foods.

Ed says they broke ground on the plant only a little over a year ago. Their goal is to build the most state of the art pet food production facilities with a focus on food safety and good quality products. They make a wide variety of products that are made to meet the specific needs of their customers. Ed says they are proud of how they handle the food safety issue and being a can-do instead of a can’t-do company. The facility is being built in two different phases and ultimately will be able to produce up to 320 thousand tons per year.

Listen to my interview with Ed here: Interview with Ed Cooper

O.H. Kruse Photo Album

Touring O.H. Kruse Goshen Feed Mill

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Dealer customers of O.H. Kruse Grain & Milling got to tour their Goshen, CA facility today. It’s just part of the the first ever O.H. Kruse Dealer Appreciation Day.

Our tour guide for this stop was Danny Reitsma, Warehouse Manager. Danny led a group of us on golf carts around the facility and introduced us to different employees who talked about their particular part of the operation.

Danny says that on the bulk side of things they handle between 200 to 250 truck loads a day. On the packaging side they do between 15 to 20 truck loads a day. He says they are very busy and love being busy. Learn more about the facilities and some of the features it offers in my interview with Danny.

Listen to my interview with Danny here: Interview with Danny Reitsma

O.H. Kruse Photo Album

On Location with O.H. Kruse

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I’m on location today doing Mission Possible with the O.H. Kruse Grain & Milling Company. We’re starting out here at the Heritage Complex at the International AgriCenter.

Next up will be feed mill tours before the I get to the educational sessions and Buying Show exhibit area this afternoon.

Look for lots of interviews in the next few days as we learn all about this company and their marketing efforts.

I’ve got an online photo album already started and will be adding to it when I can: O.H. Kruse Photo Album

Mission: Possible with O.H. Kruse

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Let’s meet O.H. Kruse Grain & Milling. I have chosen to accept the mission. That is Mission: Possible. It’s the first ever company Dealer Appreciation Day. I’ll be there providing coverage next Tuesday, October 23.

You can get a preview of what will be taking place via my interview this morning with Clark Springfield, Division Manager, Western Feed Supplements, Western Milling. He says the feed industry is operating under unprecedented conditions. Commodities are at all-time record high prices, feed prices are at historical highs and customers are more price sensitive than ever before.

The goal for the Mission:Possible event is for attendees to become relevant to their customers and to grow their business under these adverse conditions. So there will be lots of educational seminars as well as feed mill tours and some fun and fellowship. It’s going to be an action packed day!

The keynote speaker will be Ross Shafer. We met him during this year’s Agri-Marketing Conference. Looking forward to visiting with him again.

Listen to my interview with Clark here: Interview with Clark Springfield

Here are some ways you can stay connected with O.H. Kruse:

O.H. Kruse App: iOS Android
Text KRUSE to 68398
Facebook
Event Page

Senator Roberts Urges FDA to Approve Aflatoxin Waivers

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Senator Pat Roberts (R-KS) is urging the Food and Drug Administration (FDA) to quickly approved waivers to allowing blending of corn with aflatoxin to increase the feed supply for livestock producers hard hit by ongoing drought.

In a letter sent to FDA’s Department of Health and Human Services last week, Roberts noted that aflatoxin is impacting the quality of the corn that would normally be used for livestock feed in many drought stricken areas. “At certain levels, aflatoxin can cause fatalities when fed to livestock and poultry, but in trace amounts, it is not harmful to use in feed. However, the Food and Drug Administration does not permit elevators and grain handlers to blend loads of corn to ensure that aflatoxin levels are safe for feeding purposes,” said Roberts.

“Given the shortage of feed available this year and the extreme hardship this shortage is causing in the livestock and poultry sectors, I strongly urge the Food and Drug Administration to quickly review any corn blending waiver requests received for livestock and poultry sectors,” he added. “I understand that acceptable aflatoxin levels for the dairy industry are significantly different than for other livestock and poultry sectors, and I also urge you to consider this difference in providing waivers.”

Senator Roberts is ranking member of the Senate Committee on Agriculture, Nutrition and Forestry.

Late Swine Nutrition Expert Honored at Pork Expo

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A University of Illinois professor who spent his lifetime contributing to the livestock nutrition industry was honored at World Pork Expo earlier this month.

JBS United recognized the contributions of Dr. David H. Baker as this year’s John B. Swisher Leadership Award Winner. Dr. Baker’s family accepted the post humus award in his honor on June 5 at the Expo in Des Moines.

The John B. Swisher Annual Leadership Award (by JBS United, Inc.) is an honor presented to an individual who exemplifies extraordinary leadership qualities and who has made an outstanding contribution to the advancement of the swine industry.

Throughout Baker’s career, he provided over 40 years of contributions to the animal and human nutrition industry. His work has helped improve the quality of livestock feed, led to the production of chemically defined diets for use in animal research studies, and increased the understanding of diseases caused by vitamin and mineral deficiencies.

With 451 peer-reviewed publications, six major awards from the American Society of Animal Science and five from the Poultry Science Association, Baker’s lifelong commitment has fundamentally advanced the scientific community in the fields of animal nutrition.

Baker’s work has been recognized by the University of Illinois, which named Baker a University Scholar, and the U.S. Department of Agriculture, which presented Baker with the Distinguished Service Award.

2012 World Pork Expo Photo Album

The Expanding World of Hog Feed Choices

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Once upon a time, commercial hog diets consisted mainly of corn and soybeans, but the menu has greatly expanded out of necessity since commodity prices increased a few years ago.

That expansion has brought with it both opportunities and challenges for producers, according to Iowa State University Professor of Animal Science Dr. John Patience, who spoke to swine veterinarians last week at the Boehringer Ingelheim Vetmedica (BIVI) Swine Health Seminar in Denver. “Corn and soybean meal are relatively uniform ingredients. Now that we’ve moved to using products like wheat middlings, bakery by-products, and distillers grains, those are ingredients that are quite variable in their nutrient composition. So, we have to do a lot more quality control, for example,” he explained. “We also have to make sure when we use these ingredients that they fit into our feed manufacturing system since some of them are a lot less dense, bulk-wise.”

Dr. Patience says we are seeing diets now with 20% or less corn in them. “Right now the Europeans have a lot more experience with using these diverse kinds of diets than we do, but we’re catching up,” he said, adding that the U.S. pork industry is extremely innovative and responsive to new information “and that has really shown itself remarkably well in the last five years.”

Listen to my interview with Dr. Patience here: ISU Animal Scientist Dr. John Patience

BIVI Summit at Mile High 2012 photo album

How #1 Pork Producer Deals With High Feed Costs

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When you’re the number one pork producer in the world, higher feed costs take a big bite out of the bottom line.

At the Boehringer Ingelheim Vetmedica (BIVI) Swine Health Seminar in Denver, Dr. Steve Pollmann, President of Western Operations for Murphy-Brown, LLC shared some of his thoughts on dealing with high feed costs in commercial pig production. “We’re the live production part of Smithfield Foods,” he said. “We have about 850,000 sows located in 12 different states and we produce about 17 million pigs.

That’s a lot of pigs to feed, so when feed costs go up, the cost of production can increase dramatically. “We all know that feed is the biggest single cost of production,” Steve said. “A 25 cent change in corn price per bushel, with that comes a $20 change in soybean price, all of the sudden you’ve got a $1.60 a hundredweight cost of production (increase).” He says the higher feed costs in the last five years or so have meant feed as a percentage of total production costs has risen from 60% to 70%.

Like all pork producers, Murphy-Brown has had to adjust to the higher feed costs by becoming more efficient. “When things get that kind of difficult, you’ve got to get better and if you don’t, you die,” he said.

Listen to my interview with Dr. Pollmann here: Dr. Steve Pollman, Murphy-Brown

BIVI Summit at Mile High 2012 photo album

Waiting For Massive New Feed/Food Safety Regulations

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The feed industry is facing “the mother of all laws,” the Food Safety Modernization Act. That’s according to Richard Sellers, American Feed Industry Association, one of the sponsoring organization this week for the combined International Poultry Expo and International Feed Expo. Pictured are staff members from AFIA including Richard on the left.

Richard says this law, which has not yet gone into effect, will create massive regulations for the feed industry and that it will be incredibly costly. Apparently FDA has until this summer to come out with the regs to go along with the law. The law was signed by President Obama a little over a year ago. Of course the industry has been proactively working on a safer feed and food supply for years with the Safe Feed/Safe Food Certification Program. Makes you wonder why we need more laws and regulations doesn’t it?

Listen to my interview with Richard here: Interview with Richard Sellers

2012 International Poultry Expo Photo Album

Coverage of the 2012 International Poultry Expo is sponsored by Novus International

New Ideas for Promoting Soybean Exports

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usb soybean exportsThe final session of the US Soybean Export Council Animal Utilization Stakeholders meeting in Seattle this past weekend focused on a discussion of new ideas to promote soybean exports in the future.

As chairman of the United Soybean Board International Marketing Committee, Jim Call of Minnesota split his time between the animal utilization and the human utilization meetings. “I think we covered a lot of areas. I think it gives our staff a little more direction on the projects they need to bring forward to the farmers in the future that we as farmers think will add value,” he said.

The last panel at the animal utilization meeting discussed ways that animo acid profiles could be used as a marketing characteristic. “Currently the market focuses on protein and oil,” Jim explained. “What we’re trying to do is get the market to focus instead of just on protein, on amino acid or digestibility.”

Listen to my interview with Jim here. USB Director Jim Call

More interviews and stories from the meeting can be found here.

USSEC First Animal Utilization Stakeholders Meeting Photos

What Soybean Stakeholders are Learning at USSEC Meeting

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usb soybean exportsThe weather is fabulous in Seattle this weekend, but directors of the United Soybean Board (USB) are inside and hard at work learning more about opportunities for exports at the US Soybean Export Council Animal Utilization Stakeholders meeting.

As far as stakeholders are concerned, USB is one of the major ones represented here, since soybean checkoff dollars are used to fund the USSEC’s export promotion efforts. “I’m here to learn more about the world demand for protein for animal feeds,” says David Hartke, USB Director from Illinois. “Sitting on the Production Committee with USB, I’ve been asked to be the lead on the composition of the soybean and felt that I needed to be here.”

Listen to my interview with David here. David Hartke, USB Director

usb soybean exportsWhile all the USB directors I have featured so far are from Illinois, there are directors outside of the Midwest! One of them is Jacob Parker from North Carolina who says the export market for US soybeans is critically important for the industry, accounting for over half the production nationwide.

“We need to maintain that business,” Jacob told me. “We need to also make sure that our domestic crush continues and try to figure out ways to export meal as well as whole beans.”

Listen to my interview with Jacob here. Jacob Parker, USB Director

USSEC First Animal Utilization Stakeholders Meeting Photos