NEWPORT FEEDS
A NEW BULK SUPPLY CHAIN FACILITY
SODIUM BICARBONATE SODIUM CARBONATE
CALCINED MAGNESITE PHOSPHATES
View From Europe
By Colin Ley
DRIVING TO BE BIGGER AND BETTER AFTER COVID-19 There is plenty of evidence of government and business leaders around the world setting their sights on a post-COVID-19 future which is bigger and better than existed before the global virus struck us earlier this year. The key question that remains is whether a sufficient number of national economies will be strong enough to enable a genuine rebuild to begin any time soon. Almost wherever you look, production and supply chains are being
stretched to the limit, including in the animal feed arena. The fact that feed supplies have been kept flowing at all during the last six months is due in no small way to hard-working employees keeping key operations online and productive. As we approach the end of summer in Europe, however, the general
expectation is that our industry needs to prepare for the protracted impact of COVID-19 factors on raw material supplies, production and delivery operations, and customer requirements. Rising infection numbers in many countries continue to prompt suggestions of second lockdowns being needed, indicating that we’re heading into an exceptionally tough autumn and winter. Even without the ‘second wave’ pressures which are currently
stalking Europe, recovery from the economic hit delivered by COVID- 19 was always going to take longer than was originally forecast. That’s certainly the core message contained in a report on the agri-food sector, written by Dr Cesar Revoredo-Giha, an economist at Scotland’s Rural College (SRUC). Looking at recovery expectations, Dr Revoredo-Giha has predicted
that the food sector as a whole will need about four months to return to pre-COVID levels, with the services sector needing six months – or until the end of October. He also notes, however, that there are important differences
between sectors, calculating that the manufacturing of vegetables and animal oil and fats may require only 0.8 of a month to reach pre-pandemic levels but that the manufacture of other food products, including ‘prepared animal feed’ will need far more time. Add in the ending of the UK’s furlough scheme, and similar support measures elsewhere in Europe, and Dr Revoredo-Giha’s conclusion is that several sectors will require additional help before we’re done with 2020. So, while it’s encouraging to hear government and business leaders
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talking of ‘building back better’ from COVID-19, the reality is that such soundbites aren’t going to achieved without a fight, or a huge amount of effort and investment.
PERFECT TIMING With many people enjoying the extra freedom of working from home, at least for two or three days a week, it’s becoming increasingly difficult
PAGE 16 SEPTEMBER/OCTOBER 2020 FEED COMPOUNDER
Comment section is sponsored by Compound Feed Engineering Ltd
www.cfegroup.com
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