Saturday, December 20, 2008

China reports H5N1 outbreak

The deadly H5N1 strain of the virus was discovered on a chicken farm in Dongtai city and in another farm in Haian county both in eastern Jiangsu province, the ministry said in a statement posted on its website.

The discovery had prompted local agricultural authorities to step up vaccinations, while culling 377,000 chickens in the area around the farms. The spread of the virus had not been detected in any other areas around the two farms, it added.

Hong Kong outbreak
The discovery in Jiangsu comes after an outbreak in Hong Kong, on the south coast of China, last week resulted in the slaughter of more than 90,000 chickens there.

China's agriculture ministry warned last week of further bird flu epidemics in the nation during the winter months when migratory birds are in flight and weather conditions provide a good environment for the spread of the virus.

China has had several bird flu outbreaks this year, and three Chinese have died from the virus so far in 2008, according to earlier reports.

Thursday, December 18, 2008

Fresh bird flu outbreak in India

Following the discovery of thousands of dead chickens, authorities in eastern India have confirmed a fresh outbreak of bird flu.
Laboratory tests have reportedly confirmed that the birds in West Bengal state died of the deadly infection, resulting in culling of thousands of chickens.

Earlier in 2008 health authorities killed approx. 5 mln poultry to control the virus, which had spread to 14 of the 19 districts in West Bengal.

Over the past 2 weeks, officials in the northeast state of Assam have already killed 250,000 chickens to control the spread of the infection.

India has still not reported any human case of the deadly H5N1 strain of the virus.

US poultry industry in contraction phase

Higher feed costs, an over-supply of broiler meat as well as economic slowdowns in the domestic and foreign markets have pressured poultry prices leaving the US poultry industry struggling to maintain profitability.

This was recently reported by the Livestock Marketing Information Center.

The broiler industry has initiated cutbacks in the hatchery flock and beginning to mitigate recent large year-to-year gains in bird weights. These actions have been evident in the weekly eggs set and chicks placed data since late summer, as well as recent broiler slaughter numbers.

Since late April, the number weekly eggs set by producers have been consistently below a year ago with the largest year-to-year declines posted in the 4th quarter. During October and November egg sets were down 8% and more than 3% lower than the 2002-2006 average. Meanwhile, the number of chicks placed is down more than 7% thus far this quarter with further below year ago numbers expected given recent declines in egg sets.
US broiler production for October was below a year ago due to a smaller number of birds, as the number of slaughter days was equal to 2007.

According to a USDA-NASS report, in October US broiler production (ready-to-cook basis) was down 3% from 2007, but remained about 8% over the 2001-2006 average. Based on preliminary weekly data, US broiler production for November should be 5-6% lower than 2007. That trend will continue in December and then well into 2009.

Wednesday, December 17, 2008

Bird flu flares up in Asia

By Lindsey Klingele on 12/17/2008
of MeatingPlace.com

More than 300,000 chickens were slaughtered in China after agriculture officials found birds there infected with the highly pathogenic H5N1 strain of avian influenza, the Wall Street Journal reported.

The occurrence is the latest in a string of bird flu-related scares to occur in Asia over the past few weeks, following flare-ups in Hong Kong (see Hong Kong confirms bird flu is deadly H5N1 strain, Meatingplace.com, Dec. 11, 2008) and India.

The outbreak in the northwest province of Jiangsu is the first to be reported in China since June. According to the World Health Organization, avian influenza has claimed the lives of 29 individuals this year.

Scientists and government officials are questioning the effectiveness of vaccines that are currently used to protect poultry from bird flu in Asian countries. Now Guan Yi, an expert on the H5N1 virus at the University of Hong Kong, told Reuters that poultry farms in some parts of the world are still using vaccines that don't provide full protection against the highly pathogenic H5N1 strain of the virus.

"That vaccine (used in Hong Kong) was made to fight an American strain of the H5N2, and it is very distant from the Guangdong strain of the H5N1 virus here," he said. "Not that there is an outbreak (in Hong Kong), we assume it is useless."

Russia Blocks More U.S. Pork Exporters

Russia has blocked imports from more U.S. pork processing plants. Among them are JBS-Swift & Co.'s plant in Worthington, Minn., according to USDA's Food Safety and Inspection Service.

Other plants blocked by Russia include Albert Lea Select Foods of Albert Lea, Minn.; Rupari Food Service of South Holland, Ill.; Northwood Farms of Northwood, Iowa; and Dakota Pack, of Estherville, Iowa. The ban is effective Dec. 20.

Russia has offered nothing in the way of explanation, other than to inform USDA that these plants did not meet Russian import protocol, FSIS spokeswoman Amanda Eamich told Meatingplace.com.

The latest action comes one week after Russia suspended imports from six other U.S. pork plants. That came about two weeks after Moscow banned an Indiana pork packer.

Russia is cutting its pork import quota by 200,000 tons for 2009, saying it can produce it themselves.

Ebola stops Singapore-bound pork shipment

The Philippines has stopped a shipment of 50,000 tonnes of pork to Singapore after traces of low pathogenic Ebola-Reston virus were found on some hog farms in the country, officials said on Monday.

The shipment was supposed to be the country's first-ever pork export. The pork products were set to be sent to Singapore on Dec. 10 when the government voluntarily stopped the shipment due to food safety concerns, said Davinio Catbagan, director of the government's animal industry bureau.

The Ebola Reston virus scare broke out Wednesday last week when the DA and the Health department confirmed that six out of 28 hog tissues tested positive for the virus. The hogs were from four swine farms in Pandi (Bulacan province), Manaoag (Pangasinan) and backyard farms in Talavera and Cabanatuan (Nueva Ecija).

The hogs from the commercial farms were immediately quarantined following the confirmation, but last week, Agriculture Secretary Arthur Yap said the hogs that were quarantined in swine farms in Luzon were all tested negative for the Ebola Reston virus strain. Yap said the case may be considered "isolated," considering that the strain had not spread and no additional cases were reported.

Following the negative results of all hogs quarantined, the RITM would most likely cease the testing of hogs from Luzon piggeries.

USDA recalls pork amid dioxin fears

The US Department of Agriculture’s (USDA) Food Safety and Inspection Service has issued three class two alerts for dioxin contamination in imported pork.

In all three cases, the Food Safety Authority of Ireland (FSAI) notified the FSIS of the possible dioxin contamination based on its routine surveillance testing. The FSIS said it has reason to believe that the retail locations listed received the recalled pork products.

In the first recall, Dawn International of Acton, Massachusetts is recalling approximately 33,880 pounds of fresh pork products. The second class two recall involves Tommy Moloney’s, Inc, of Long Island City, in New York. The recall involves eight-ounce packages of “Tommy Moloney’s Traditional Irish Breakfast Bacon, Made from imported Irish Pork.” The third recall involves Rupari Food Services of Deerfield Beach, Florida.

USDA recalls pork amid dioxin fears

The US Department of Agriculture’s (USDA) Food Safety and Inspection Service has issued three class two alerts for dioxin contamination in imported pork.

In all three cases, the Food Safety Authority of Ireland (FSAI) notified the FSIS of the possible dioxin contamination based on its routine surveillance testing. The FSIS said it has reason to believe that the retail locations listed received the recalled pork products.

In the first recall, Dawn International of Acton, Massachusetts is recalling approximately 33,880 pounds of fresh pork products. The second class two recall involves Tommy Moloney’s, Inc, of Long Island City, in New York. The recall involves eight-ounce packages of “Tommy Moloney’s Traditional Irish Breakfast Bacon, Made from imported Irish Pork.” The third recall involves Rupari Food Services of Deerfield Beach, Florida.

Friday, December 12, 2008

USDA lowers meat production, export, price forecasts

USDA reduced its total U.S. meat production forecasts for 2008 and 2009 from last month, reflecting lower forecasts for all meats in 2008 and lower forecasts for beef and poultry more than offsetting predicted production gains in pork in 2009, according to the agency's monthly World Agriculture Supply and Demand report.

Beef

U.S. beef production for 2008 was reduced to 26.589 billion pounds from 26.699 a month ago. USDA predicts cattle placements for the remainder of 2008 will decrease, resulting in reduced beef production during the first half of 2009.

The agency barely changed its beef export forecasts from last month, reflecting actual third-quarter data. Beef exports in 2008 were raised ever so slightly to 1.860 billion pounds from 1.841 billion pounds forecast in November. USDA maintained its 2009 forecast for beef exports at 1.900 billion pounds. International demand is expected to remain weak amid economic uncertainty, and a stronger U.S. dollar may further dampen sales, the agency said.

USDA lowered its average Choice steer price (Nebraska, Direct, 1,000-1,300 pounds) for 2008 to $92.59 per hundredweight from $93.22 projected in November. For 2009, the agency lowered its average price range forecast to $92 to $99 from $93 to $100 last month.

Pork

U.S. pork production for 2008 was reduced somewhat to 23.419 billion pounds from 23.452 billion pounds projected last month. USDA raised its pork production forecast for 2009, saying lower feed costs result in slightly heavier weights.

Pork export forecasts are reduced for 2008 and 2009 for the same factors affecting beef exports. USDA lowered its 2008 export forecast to 4.769 billion pounds from 5.068 billion pounds last month. For 2009, the agency reduced its forecast to 4.100 billion pounds from 4.500 billion pounds predicted in November.

USDA dropped its average barrows and gilts (live equivalent 51-52 percent lean) price estimate for 2008 to $47.73 per hundredweight from $47.86 per hundredweight projected last month. For 2009, the agency maintained its predicted range of $48 to $52.

USDA lowers meat production, export, price forecasts

USDA reduced its total U.S. meat production forecasts for 2008 and 2009 from last month, reflecting lower forecasts for all meats in 2008 and lower forecasts for beef and poultry more than offsetting predicted production gains in pork in 2009, according to the agency's monthly World Agriculture Supply and Demand report.

Beef

U.S. beef production for 2008 was reduced to 26.589 billion pounds from 26.699 a month ago. USDA predicts cattle placements for the remainder of 2008 will decrease, resulting in reduced beef production during the first half of 2009.

The agency barely changed its beef export forecasts from last month, reflecting actual third-quarter data. Beef exports in 2008 were raised ever so slightly to 1.860 billion pounds from 1.841 billion pounds forecast in November. USDA maintained its 2009 forecast for beef exports at 1.900 billion pounds. International demand is expected to remain weak amid economic uncertainty, and a stronger U.S. dollar may further dampen sales, the agency said.

USDA lowered its average Choice steer price (Nebraska, Direct, 1,000-1,300 pounds) for 2008 to $92.59 per hundredweight from $93.22 projected in November. For 2009, the agency lowered its average price range forecast to $92 to $99 from $93 to $100 last month.

Pork

U.S. pork production for 2008 was reduced somewhat to 23.419 billion pounds from 23.452 billion pounds projected last month. USDA raised its pork production forecast for 2009, saying lower feed costs result in slightly heavier weights.

Pork export forecasts are reduced for 2008 and 2009 for the same factors affecting beef exports. USDA lowered its 2008 export forecast to 4.769 billion pounds from 5.068 billion pounds last month. For 2009, the agency reduced its forecast to 4.100 billion pounds from 4.500 billion pounds predicted in November.

USDA dropped its average barrows and gilts (live equivalent 51-52 percent lean) price estimate for 2008 to $47.73 per hundredweight from $47.86 per hundredweight projected last month. For 2009, the agency maintained its predicted range of $48 to $52.

Ebola detected in Philippine pigs

The Ebola-Reston strain has surfaced in Philippine swine samples proving that the deadly disease is capable of infecting livestock.

Ebola, one of the most feared infectious diseases, were discovered during tests at a USDA laboratory. The World Health Organization, said it is looking into whether the infection in pigs poses any threat to humans.

“While it’s believed that Ebola-Reston is primarily a disease of animals, we are working with the Philippines government to see if there are any potential risks to humans,” said Gregory Hartl, a spokesman for the WHO in Geneva. “At the moment, we believe the risks are quite low.”

Swine outbreak
The pigs, which came from four farms north of Manila, were also infected with at least two more-common diseases, stated Davinio P. Catbagan, the Philippines’ chief veterinary officer. An outbreak of diseases which begun late last year wiped out entire herds in some cases.

Planned shipments to Singapore have now been suspended. “We are suspending pork exports until we’re sure there’s no risk to humans”, Agriculture Secretary Arthur Yap told reporters in Manila.

It is the first time Ebola has been reported in pigs. A Philippine report however said the pig outbreak was “considered of negligible public health importance.”

Quarantine
All animals in the affected areas have been quarantined while officials conduct an epidemiological investigation into the outbreak.

The infected pigs were from Santo Nino in Bulacan province, Pinagpanaan in Nueva Ecija province and Manaoag in Pangasinan province. The animals were also infected with porcine circovirus type 2 and a type of porcine reproductive and respiratory syndrome similar to that which killed pigs in China and Vietnam during the past two years.

Thursday, December 11, 2008

Porcine reproductive and respiratory syndrome, Philippines

Information received on 10/12/2008 from Mr Davinio P. Catbagan, Chief Veterinary Officer, Department of Agriculture, Office of the Director of the Bureau of Animal Industry, QUEZON CITY, Philippines.





Wednesday, December 10, 2008

Responses to Irish pork fears

The complete withdrawal of all Irish pork products must be seen as an emergency precautionary measure to reassure the public. This action was taken to ensure consumer confidence in the safety of Irish-produced products, according to IFA President Padraig Walshe.

Walshe said over 90% of Irish production was completely free of any connection to the single source of the contaminated feed. Over the week-end the IFA has co-operated fully with the Department of Agriculture, FSAI and public health agencies to isolate the problem.


Walshe said he was greatly heartened and highly appreciative of the many calls of support he had received from the public and consumers.


Christmas supply

The IFA President said “there are over 400 farms ready to supply prime produce as soon as the logistics of the recall was completed.” He said he hoped the industry would be fully operational by Tuesday under the supervision of the Department of Agriculture, with all the necessary testing and controls in place.


Walshe said there is no reason why the Irish industry cannot supply the traditional Christmas ham requirements of consumers. “Once Irish consumers are sure of the safety and high quality of the product, they will support a traditional sector that has always played an important role in Irish farming.”


Economic effect
Bloomberg is reporting that Irish pork producers are facing a 100 million-euro ($128 million) bill to recall all pork products made from pigs slaughtered in the country following the dioxin scare.


Around 10 percent of Ireland’s estimated 1.47 million pigs may have been exposed to feed containing dioxins, associated with cancer. Ireland exports about 1 million euros of pig meat a day and authorities in the UK are advising consumers not to eat any pork from Ireland. Meanwhile other countries are being quick to reassure consumers that they do not receive imports from Ireland.


Meanwhile the BBC is reporting that almost 1,400 pork processing workers in the Republic of Ireland have been laid off following the contamination scare.

Tuesday, December 9, 2008

Countries ban Irish pork in toxin scare

gence France-Presse
First Posted 06:25:00 12/09/2008

PARIS -- Authorities across Europe and Asia rushed to pull Irish pork from store shelves or ban imports Monday as the European Commission said a score of countries could be affected by a dioxin scare.

Ireland on Saturday said it was recalling all pork products made in the country after the discovery of dioxins, which may cause cancer, in slaughtered pigs.

The chemicals were thought to have contaminated feed.

Ireland is a major exporter of pork, with Britain by far the biggest market, followed by Germany, France, Russia and Japan, according to official figures.

But several countries said their imports were small and they did not expect problems, but were taking action to reassure consumers.

"We are currently suspending imports as a precaution," said Mitsue Kondo, a food safety official at Japan's health ministry.

Japanese authorities are also checking with Irish officials about the contaminated meat and may recall Irish pork products, she added.

"Along with the ban on imports, retailers were told to stop the sale of Irish pork products," a South Korean agriculture ministry spokesman told AFP.

China's General Administration of Quality Inspection and Quarantine said, "In accordance with a China-Ireland bilateral agreement, we have provisionally stopped the direct and indirect import of Irish pork products and livestock feed."

"Secondly we have recalled and returned Irish pork products that were produced after September 1," it added in a notice on its website.

Singapore's government said it had suspended the import and sale of all pork and related products from Ireland.

Importers and retailers have been instructed to recall the products from the market with immediate effect, the Agri-Food and Veterinary Authority said in a statement on its website.

The Straits Times newspaper said Singapore imported about 516 tonnes (567.6 tons) of pork products from Ireland in the last three months.

In Europe, Bulgarian veterinary inspectors banned the sale of 60 tonnes of pork imported from Ireland earlier this month.

The ministry of farming and food said that the shipments of Irish meat were found in storehouses in the capital Sofia and the central city of Plovdiv.

It added that veterinary inspectors will check a further 112 cold stores across the country, conduct lab analyses and destroy any meat or meat products if found to contain dioxins.

In Berlin, the government said Germany had only imported minimal amounts of Irish pork and sees no public health threat, although it ordered all Irish pork pulled from the shelves Sunday.

Germany has imported only 2,000 tonnes of pork from Ireland since September 1, the period specified by Dublin in its warning, the agriculture and consumer affairs ministry said.

The head of Poland's veterinary services, Krzysztof Jazdzewski, said his department was checking 667 tonnes of Irish pork imported by three companies.

Russia also announced it was suspending imports of Irish pork products as well as the sale of such products until Moscow can determine how many tonnes of Irish pork have reached Russia and during what period, Russian news agencies reported.

European Agriculture Commissioner Androulla Vassiliou said earlier that the EU's 27 member states should remove pork products from Ireland from sale and carry out tests.

She said in Brussels that potentially contaminated meat may have been sent to Belgium, Britain, Cyprus, Denmark, Estonia, France, Germany, Italy, the Netherlands, Poland, Portugal and Sweden within the EU.

Tainted meat may also have been sent to non-EU members Canada, China, Hong Kong, Japan, Russia, Singapore, South Korea, Switzerland and the United States.

In France, Agriculture Minister Michel Barnier played down the threat in an interview published Monday, while adding that traders had been ordered to check the provenance of their products and withdraw relevant Irish pork.

"It is not a major alert for France," he told the daily Le Parisien.

"Ninety-five percent of fresh pork consumed in France is produced in this country."

US poultry processor posts loss for 4th quarter

US poultry processor Sanderson Farms reported a loss for its 4th quarter and fiscal year ending 31 October, reportedly due to challenging market conditions and a decline in demand for chicken products.

Sanderson reported a net loss of $51.9 mln for the 4th quarter of 2008. This compares with a net income of $24.1 mln for the same period in 2007. The poultry processor also reported a net loss for fiscal year 2008 of $43.1 mln, compared to a net income of $78.8 mln for 2007.

Sales

Net sales for the 4th quarter rose to $460.2 mln from $426.9 mln in the 4th quarter of 2007. Net sales for fiscal 2008 were up 17% at $1.724 bln.

"Sales increased over the same quarter last year reflecting the company's production growth, and our annual sales were a record high for Sanderson Farms," said chairman and CEO of the company Joe F. Sanderson, Jr. "However, like others in our industry, our business was affected by a decline in demand for chicken products from foodservice and casual dining customers."

Feed costs

The chicken processor stated that it paid $235 mln more for feed grain in 2008, but expects to pay $142.5 mln less for feed in 2009. This is based on recent drops in feed prices.

The poultry company said it will save 5.5 - 6 cents per chicken in costs, but added that even with those savings chicken prices need to rise.

Exports

Sanderson said it exported more poultry this year, including an 8% increase in exports to Russia, a 15.2% increase to China and a 20% increase to Mexico.

Chicken sales increase over 2008

Chicken sales increased 6.7% in 2008, according to "The Fresh Meat Market in the U.S.: Beef, Chicken, Pork, Turkey and Lamb in Retail and Foodservice", from Packaged Facts.

Chicken increased 6.3% at retail level in 2008. "The healthfulness of white meat has been hardwired into the American consumer psyche, and now natural and organic claims give chicken a leg up among consumers looking for prime cuts," said Packaged Facts publisher Tatjana Meerman.

"Natural" label on meat

Of retail meat, 31% was labelled "natural" in 2008, up 7% from 2007. Meerman stated that natural and organic claims – including free-range or cage-free chicken, grass-fed beef, humanely raised veal, and crate-free pork – are being met favourably by consumers, who are increasingly concerned about food quality, food contamination and the environmental and ethical implications of their food choices.

It is estimated that 50% of retail meat was supplier-branded in 2008, up 4% from 2007. It is believed that branding helps establish confidence in consumers. "Branding will become super-important going forward," said Meerman, adding that consumers are more concerned about food safety so generic meat in the refrigerator case will no longer be as compelling as branded meat from a trusted manufacturer."

Thursday, December 4, 2008

Russia suspends imports from six U.S. pork plants

Russia has suspended imports of pork products from six U.S. pork facilities, claiming the products did not meet Russian requirements, USDA's Food Safety and Inspection Service said.

Effective Dec. 15, the following facilities will not be authorized to ship pork to Russia:
Sioux Preme Pork Products, Sioux City, Iowa
Smithfield Packing Co., Smithfield, Va.
Chicago Meat Authority, Chicago, Ill.
Farmington Foods, Forest Park, Ill.
Amity Packing Co., Chicago, Ill.
Abilene TX Foods, Jeffersontown, Ky.

Russian authorities have not explained their rationale for taking this latest action.

"They stated in a letter that the plants did not meet Russian requirements, but did not provide additional details," FSIS spokeswoman Amanda Eamich told Meatingplace.com.

Pilgrim's Pride files for bankruptcy

One of the leading poultry producers in the US, Pilgrim's Pride, has filed for Chapter 11 voluntary Chapter 11 bankruptcy protection.

Company president and CEO Clint Rivers stated that over the past year, Pilgrim’s Pride has faced a number of significant challenges, including high feed-ingredient costs, an oversupply of chicken, weak market pricing and softening demand.

"After careful consideration of all available alternatives, the company’s board of directors determined that a Chapter 11 filing was a necessary and prudent step and the best way to obtain the financing necessary to maintain regular operations and allow for successful restructuring. We expect to emerge from this restructuring a stronger, more competitive company that is well positioned for growth and enhanced profitability."

The processor is also seeking approval to receive debtor-in-possession financing amounting to $450 mln in order to continue the daily operations of its business, including the payment of wages.

The company said operations are expected to continue as normal during the bankruptcy process, and operations in Mexico and certain operations in the United States were not included in the filing.

Over the past 3 months, Pilgrim's Pride has worked out 3 separate deals with its lenders to extend its credit lines and avoid filing for bankruptcy.