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Brexit: Scottish dog food company moves to France due to export bureaucracy | Brexit

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The founder of a Scottish dog food company shared how Brexit forced him to move to France after exports to the EU ceased on January 1st due to new trade barriers.

After 10 weeks of daily calls and emails to government officials that he described as “absolutely terrible,” Antoon Murphy said he had no choice but to move or lose the business.

“The trade deal they made at Christmas is almost next to no deal,” he said.

He founded the dog buying company Antos in Ayrshire in 2005 and has turned it into a company with 19 employees and sales of more than £ 8 million.

About 60% of its sales came from deer antler dog chews, a sustainable and safer alternative to the bones popular in the UK and EU.

Antoon Murphy, owner of a Scottish pet food company, on his post-Brexit premises near Chambéry, France Photo: Antoon Murphy

He reported being hit by a double Brexit whammy with new documentation required to certify that his products meet EU food health and safety standards, as well as a transportation industry that controls food exports from smaller companies like his wouldn’t touch.

He hit the first wall in January when he discovered that chewing and other goodies were classified as animal feed and that every shipment required a health certificate.

Not only was there an additional £ 200 cost on each order, regardless of whether the shipment was worth £ 40,000 or £ 500, there was also no accurate health certificate for antler chewing and other of its unusual products.

“Our products are niche and there is no specific health certification for them,” he said. “We phoned and emailed the Animal Health Agency every day for about 10 weeks to finally get the export health certificates for our products. They were absolutely terrible. ”

After the breakthrough on health records, his hopes were dashed again when he learned that no shipping company would take pallets of his products because they considered it “too risky” and the danger of checking food at the border in Calais the entire truck delayed.

“We decided that enough was enough and have now started a new company in France to handle all of our export sales,” said Murphy.

He and his wife moved to a small town east of Lyon and started a new company, Nova Dog Chews, to fulfill European orders.

“We started shipping today,” Murphy said. “To be honest, our customers are glad they don’t have to deal with the UK company and more with customs declarations and agents.”

While his company continues to serve the UK market in Ayrshire, expansion in Europe will cost the UK. “This move will obviously mean a loss of tax revenue, jobs and investment in the UK economy,” he said.

His experience mirrors that of many small businesses exporting groceries, including the Cheshire Cheese Company, which last week shared its desperation toward the government that advised it to seek stores in the US and Canada to shut down its online Retail trade balance in the EU.

Research by the shipping company Forward2me shows that door-to-door transport times between the UK and the EU doubled in January.

The goods took an average of eight instead of four days, with Greece taking 17 days, France 7.5 days and Germany 10 days. In February, in some cases, it took even longer for the goods to get to Germany in order to get to Germany.

The Ministry of Environment, Food and Rural Affairs said the government is “aware of the Brexit challenges freight forwarders face when moving mixed loads of animal products and other goods to the EU” and is working on a key one Health certification and other measures that would help exporters “more easily consolidate and group products into a single point of dispatch” in order to obtain fewer health certificates.

“An export health certificate (EHC) signed by an official certifier is now required for all exports of products of animal origin to the EU – including many pet foods. We have always been clear that there would be new processes for dealers and we continue to support them in their transition to these new arrangements, ”said a Defra spokesman.

It added that the number of official veterinarians qualified to sign the EHC has tripled and continues to work with EU member states to improve border problems.

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Insect-based pet food news: Mars, Ynsect and Enviroflight

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Like the insects themselves that pop up in the spring, the insect-based animal feed ingredient suppliers and the products they use have been active lately. Mars Petcare plans to launch an insect-based cat food, Lovebug, in the UK.

“We source our black soldier fly larvae from Protix in the Netherlands,” a Mars Petcare representative wrote in an email. “The insects we use and the process that the insects and pet food are passed through are all designed to produce safe and nutritious food for your cat. Protix attaches great importance to improving animal welfare. This starts from the breeding phase to the final processing phase. The larvae are well cared for, protected and allowed to express normal insect behavior. Protix is ​​committed to the principles of animal welfare: freedom from hunger and thirst, freedom from discomfort, freedom from pain, injury or illness, freedom to express normal behavior, freedom from fear and need. “

In addition to taking into account the insect’s well-being and agricultural impacts on ecosystems, Lovebug insect-based cat food packaging aims to reduce resource consumption.

“Lovebug packaging is made of paper and can be recycled through paper recycling streams,” she said. “Paper is collected for recycling through the vast majority of the recycling services provided by the UK Council. Just make sure the bag is empty before you put it in the trash. This guide currently only applies to the UK. “

Latest news on insect-based pet food ingredients

On April 13th, Ÿnsect announced the takeover of Protifarm, a Dutch manufacturer of ingredients for mealworms in Ermelo, east of Amsterdam. The Ϋnsect systems in France produce Protein and oil from mealworms (Tenebrio molitor), which can be used in the pet food industry.

On April 14th, EnviroFlight of Darling Ingredients announced plans to develop a research and development and business center in Apex, North Carolina, USA. The facility will focus on black soldier flies and their larvae. Those responsible at EnviroFlight are planning to start construction in April. They expect the research center for insect-based pet food ingredients to be up and running in early 2022. The facility will conduct research to expand the knowledge base for alternative uses of fly fly larvae (BSFL) in animal health, animal nutrition, cosmetics and other product development areas. EnviroFlight has its first manufacturing facility in Maysville, Kentucky, USA.

The emerging insect-based pet food industry looks at ecology

From previous reports:

Ecologists suggested that insect farms focus on developing ideal sustainability practices before then Ingredient for insect-based pet food The industry is growing too big to change easily. In the meantime, arthropod farmers want to do just that insects fully automated pilot plant in France, where the company produces Protein and oil from mealworms (Tenebrio molitor).

“Why not great from the start?” Åsa Berggren, professor of ecology at the Swedish University of Agricultural Sciencessaid. “Think about sustainability now because it is easier than once [insect farms] are already built. “

Berggren and her colleagues wrote a paper identifying areas where emerging insect farming needs more research to establish best practices for sustainability. Trends in ecology and evolution published the paper.

Native insects as a source of protein for pet food

For one, insect farms should be wary of possible environmental impacts from refugees, she said. Faulty insects can become invasive species.

Cattle, carp, horses and pigs started out as domesticated animals in the US but are now causing environmental damage in areas where they have escaped captivity. These invasive species and many other alien plants and animals cost the United States nearly $ 120 billion each year Ecological economy.

“The problem is having non-native insects in abundance,” Berggren said. “So if they escape, they could do serious harm.”

Using native insect species would be a safer choice for farms than raising species that could escape and compete with native insects, she said.

For example, insect and oil producer insectnsect breeds yellow mealworms on an insect basis. These arthropods are native to France and many other regions where they have been bred as fishing bait for decades, said Constant Motte, manager of business development at Ynsect.

Even for native species, escaped insects could cause problems of literally biblical proportions (locusts are edible, by the way).

Thousands of escaped native insects would still cause sudden environmental shock and could cause localized environmental damage, Berggren said.

In the case of mealworms, the age of the insects limits their chances of escape.

“We raise them in narrow buildings and our insects, mostly in the larval phase, cannot escape their shells,” he said. “It’s a fantastic insect that likes to be raised in a high-density social setting and that cannot fly or jump in the larval phase because it has no wings or legs. The risk of escaping from this closed building is insignificant. “

Energy consumption in insect breeding

Raising native insects with maximum security could still harm the environment if the energy used to maintain these facilities comes from fossil fuels. In January, conventional livestock breeding in a Lancet Commission report The environmental and health costs of animal protein production were determined. Instead, the report called for greater consumption of plant-based proteins. Animal welfare advocacy groups such as the American Feed Industry Association rejected the report.

Beyond the debate, however, the resources used to produce protein from animals have an impact on both the environment and the economy. Insects can offer a solution to this dilemma because of their potentially much lower resource requirements than mammals and poultry. At the same time, insects can provide a healthy selection of proteins and amino acids, as well as other nutrients such as omega-3 fatty acids.

“Some studies have been done and insects are much better than cows and pigs,” Berggren said. “We can eat anything for the insects tested, in contrast to cows where we eat more or less only half the animal … Insects can eat things that humans and other animals cannot eat.”

Still, the resources used to raise insects need further study in order to find the optimal way to produce the most insect-based pet food ingredients with the least amount of fuel and feed, she said.

Ϋnsect grows mealworms on safe, controlled plant by-products that are not primarily intended for human consumption, Motte said.

“Insect expertise includes mealworm physiology to develop a specific diet blend that allows as little food as possible to be used for every kilo of mealworm,” he said. “The Molitor are known to be very energy efficient and retain protein from nutritious feed.”

Ϋnsect also tries to use as little energy as possible when processing these mealworms into protein and oil.

“The energy used to process the insects is very similar to making premium fishmeal,” said Motte. “The main differences are the protein source and the extraordinary freshness of the transformation process, as our insect larvae are transformed immediately after the bleaching process. similar to the shrimp industry.

“An important advantage of our technology is that there is no waste,” he said. “The whole larva is used.”

Even the excrement of the insects, called frass, can be used.

Renewable energy and fertilizer from the production of insect proteins

As Mad Max found out in Beyond Thunderdrome, pig manure can be used to generate energy from biogas.

Insect food can also be fermented into methane biogas, said Motte.

While methane is a powerful greenhouse gas, fully burned biogas can be climate-friendly as it does not release methane that is stored in old reservoirs.

“There is currently strong support in the EU for generating more biogas and bioenergy,” said Motte. “Frass could be used in this regard.

“The other option is to use Frass as a great organic fertilizer to bring organics back into the soil. We can then store carbon and create a stable humus that is needed for the fertility of agricultural soils.

“Ultimately, the use would depend on the energy mix in each country,” said Motte. “In France, where energy is heavily decarbonised by nuclear and hydropower, the use of fertilizers makes a lot of sense. In other countries where coal is the main source of energy, it could be environmentally relevant to use a mix of biogas and fertilizer applications. “

In view of this and other environmentally positive potentials of insect breeding, Berggren said she did not want to beat the industry. Instead, she is calling for more research to make sure the burgeoning bug business starts on the right foot, or in this case, half a meter.

Source * www.petfoodindustry.com – * https://www.petfoodindustry.com/articles/10196-insect-based-pet-food-news-mars-ynsect-and-enviroflight

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Canada tops US pet food exports 2020; China, Mexico up

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Canada imported the Great Dane’s share of pet food from the US in 2020, with the value of any other country more than double that. U.S. pet food exports to Canada topped $ 800 million for the first time in 2020 and rose from around $ 600 million in 2015. Victoria Broehm, communications director for the American Feed Industry Association, shared this and other data on the U.S. Census Bureau -Pets with food exports.

Top 6 US Pet Food Export Markets By Value

  1. Canada
  2. Japan
  3. Mexico
  4. Australia
  5. Hong Kong
  6. South Korea

Overall, U.S. pet food exports increased 5.6% in 2020 compared to 2019, from $ 1.62 billion to $ 1.7 billion.

“While US pet food exports increased in 2020, growth was slower than in 2019, when exports increased 11%,” Broehm said.

This growth in 2019 and 2020 continued the trend of increasing the export value of pet food over the past decade. In 2010, US pet food exports were $ 1.1 billion. While the pandemic may have changed the growth trajectory of pet food exports, this long-term growth trend could continue.

“As economies begin to recover and unemployment begins to fall, the rate of growth in US pet food exports could pick up somewhat,” she said. “Pet food is viewed as a luxury item in many countries, especially those where pet ownership or feeding complete pet foods are relatively new.”

In Mexico, as in other Latin American pet food markets, the humanization of pets continues to drive the premiumization of pet food, and U.S. pet food exports to Mexico have steadily increased in value over the past five years. Last year, US dog, cat and other pet food exports to China increased under the US-China Phase 1 Economic and Trade Agreement signed in January 2020. Under the deal, US pet food exports to China increased 197% from $ 10.9 million to $ 32.6 million.

Export of pet food in phase one

For China’s estimated 55 million pet dog and 44 million pet cat market, the Phase 1 agreement lifted an ingredient ban for ruminants and a related requirement for their polymerase chain reaction (PCR) tests. The deal lifted a ban on products containing certain poultry ingredients. It can also reduce delays in registering pet food businesses in China by removing an audit requirement. However, China is maintaining US pet food tariffs and the complexity of product registration remains.

On June 15, a protocol to the US-China Phase 1 Economic and Trade Agreement, which the two countries signed in January, entered into force. The Office of the U.S. Trade Representative, U.S. Department of Agriculture, Animal and Phytosanitary Inspection (APHIS) and their Chinese counterparts have reached an agreement on the certificate language for U.S. pet food entry into the Chinese pet food market. This agreement enabled the development of a set process for exporting US pet food to China.

Developed by APHIS, this protocol facilitates the export of US pet foods containing ingredients derived from ruminants, a relic of the fear of the prion disease, mad cow disease. In the event that another animal disease breaks out, the protocol contains provisions on how poultry products can continue to be safely used in animal feed in the event of an outbreak of avian influenza or Newcastle disease. The trade agreement also removes procedural barriers such as questionnaires and facility audits.

Steps to Export U.S. Pet Food to China

US pet food companies will benefit greatly from the trade deal, said Peter Tabor, vice president of regulatory and international affairs for the pet food institute. He outlined three steps U.S. pet food companies can take in the short term.

  1. Review the trade agreement and APHIS protocol
  2. Schedule an APHIS inspection and get approved
  3. Start the product registration process in China

He recommended pet food companies act now if they want to export to China as the registration process is likely to take months. There can be a steep learning curve with the first products, but it should be much smoother than before once companies get the hang of it.

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‘New’ Natural Balance’s first moves may offer market clues| PetfoodIndustry.com

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When JM Smucker announced in December 2020 that it was selling its Natural Balance pet food business to investment firm Nexus Capital Management, I suspected (I’m sure it’s a super premium, traditionally animal specialty brand) didn’t quite match Smucker’s others Pet food brands featured on many channels.

In a recent interview with my colleague Tim Wall, Brian Connolly, now CEO of Natural Balance, confirmed this impression. “We’re targeting the pet specialty channel,” Connolly said. “That species got a little lost when it was owned by a large consumer goods company that was used to having brands that were widely used. Natural Balance in the Smucker portfolio was a bit orphaned in that sense. ”

Perhaps one of the most interesting parts of Connolly’s comments was, “We have absolutely no intention of going into the masses with this brand. This is a specialty brand for pets, and this is where we will continue to put our investments and energies. ”

Given how pet food distribution channels have changed and blurred over the past five to ten years, it is remarkable for an established brand to plant its flag and focus primarily on one channel, particularly one that traditionally is the The core or even the only home of Superpremium was pet food brands. Are there any indications of a possible resurgence of this channel, as well as other directions the pet food market could head?

The stationary pet specialty still has strong potential

Like most consumer goods companies, Natural Balance responded to the pandemic herd of many consumers on e-commerce and was successful in that channel too. In another interview with Dean Best of just-food.com, Connolly estimated that e-commerce now accounts for 25% to 30% of the company’s sales.

Nevertheless, the company also sees a robust future in the stationary pet specialty. To that end, Connolly’s new leadership team includes industry veterans with significant experience who work for retailers like Petco, PetSmart and Chewy, he said.

Connolly is a seasoned industry veteran himself. He founded Castor & Pollux, one of the first organic pet food lines in the world, and was a member of the board of directors of Merrick Pet Care after the acquisition of Castor & Pollux. Previously, he also held executive positions at Darford and Iams. So he knows the evolution of the industry and its brands and retail channels, which probably helps to gain insight into how the market will evolve further.

Connolly told Best that he believes pet food e-commerce “will continue on a structurally higher level than it would have without COVID-19,” but does not see the same level of online sales growth after the pandemic ahead. In-store shopping will be back in effect when life returns to normal (whatever that will be). “People who like to go out and shop and see different products and talk to the experts in pet stores will do that again,” said Connolly.

Hot pet food trends: herbal products

The new team at Natural Balance wasted no time introducing new products and launched a new Targeted Nutrition line for dog and cat food in early April 2021. The line consists of four formulations and meets many current trends and issues in pet food and functional ingredients. including prebiotics, joint and bone health, and overweight / obesity in pets. Connolly told Best that the company still has “ownership” of limited ingredient diets and identified Natural Balance as a pioneer in this category.

And in potentially another leadership position, Connolly said the company “has in mind the growing interest of dog and cat owners in plant-based foods.” In fact, Natural Balance has long had a vegetarian formulation for dogs, and Connolly said Best that when he and Nexus considered acquiring the company, they were surprised that sales were among the company’s highest for the three sizes of this product.

On that foundation and increasing customer focus, he said Natural Balance wanted to expand in this segment and join other pet food brands in order to stay ahead in a potential emerging segment.

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