PHOTO: DELACON
PHOTO: JOE TRELEVEN
INTERVIEW ▶▶▶ Markus Dedl and Chuck Warta:
“Positive outlook for phytogenics”
In the search for alternatives to antibiotics more and more producers turn towards phytogenics, or botanical additives. Specialist market leader Delacon has teamed up with conglomerate Cargill to cater to the fast changing market. Here’s an exclusive interview with Delacon CEO Markus Dedl and Cargill’s premix business president Chuck Warta.
BY FABIAN BROCKÖTTER A
ccording to a recent market analysis of the feed phy- togenic market, sales of feed phytogenics across the globe can grow to US$2.5 billion by the year 2026. A huge leap from the current usage of phytogenics,
which are only used in about 3% of all compound feeds. The pre- dicted growth is underlined by recent research of the Austrian company Delacon, which showed an 80% acceptation rate with millennial foodies when it comes to animal production with the use of plant based additives. Delacon’s Markus Dedl says, “Con- sumers tell us two things. First of all, there is a global trend in moving away from antibiotic growth promoters. Antibiotic-free production is the new norm. Second, the use of botanicals reso- nates positively. Phytogenics are considered a key piece for solv- ing present and future challenges, including those posed by con- sumer driven market demands such as cage-free hen housing or ‘no antibiotics ever’ programs in broiler production.”
Strategic partnership To be able to cater to the future demand, the specialist company Delacon and the worldwide operation concern Cargill have agreed to a strategic partnership in 2017 that will advance the market presence of natural, plant-based feed additives on a glob- al scale, and meet changing consumer preferences of what ani- mals are fed and how food is produced. The deal includes a mi- nority equity investment from Cargill. Chuck Warta: “We want to drive the phytogenic market globally, connecting Cargill’s deep expertise in applied nutrition and global presence with Delacon’s know-how and market experience in phytogenic feed additives.”
6 ▶ POULTRY WORLD | No. 2, 2018
Both Warta and Dedl believe that the agreement will also allow the companies to expand their technical and go-to-market capabilities to meet customers’ needs around the world as they pursue the joint mission of growing the phytogenic feed additives category. Chuck Warta continues, “The world is changing immensely fast. We are learning more and more of the gut biome of birds, the potential and digestion. We are in the middle of an era of mi- cro-nutrition, it is happening now.” According to Warta, custom- ers don’t have 10 years to wait for what is happening; “We now face the challenge of food safety and sustainability, without the use of antibiotics. We want to share innovation and research capabilities. We do so with Delacon, but also with Diamond V, which was acquired by Cargill. One plus one plus one, doesn’t equal three in this case, but closer to five! Together we can make all the difference.” Dedl on the upside of the strategic partnership: “For Delacon, the partnership will give access to countries worldwide, where it does not have a market presence today. The Russian market will be the first example of that. For Cargill, the investment expands its pres- ence and capability in the additives space, with a focus on select markets outside the United States. Delacon’s successful distribu- tion and partnership network, for instance in the US with Purina and PMI Nutritional Additives, will be retained, and developed further to make plant-based feed additives more available around the globe.” “Our agreement with Cargill represents an opportunity to accelerate growth and invest in Delacon’s future and the future of phytogenic feed additives, as our customers are looking for solutions delivered in a natural, efficient and sustainable way – from feed to food,” says Markus Dedl.
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