You took the reins of Nutreco relatively recently – what drew you to the world of animal nutrition and where do you wish to see the company evolving?
I spent half of my career in the energy sector where the transition from fossil fuels to renewable energies is still ongoing, so when I connected with Nutreco's "Feeding the Future" purpose, I instantly became interested in helping the agriculture industry adapt and respond to the challenges of sustainably feeding an ever-growing global population. As one of the leading animal nutrition companies in the world, with 11,000 employees supporting operations covering over a hundred countries we provide solutions for various species, from shrimp and salmon to poultry, swine and ruminants. Producing more with less has become a staple of sustainable farming and that is where there are opportunities for the industry to collaborate and evolve.
What is the role of nutrition when it comes to raising animals more financially viable, and how does that intermix with innovation in the industry?
The industry is facing a number of challenges, not least the cost of feed production, which plays a central role in farmers' economics. Consumers are also becoming increasingly well-informed about how their food is produced. Some of the traditional ingredients used in farming are becoming scarcer, while others have negative impacts on the environment. Our industry has yet to solve the challenge of sharing the true costs of sustainable food production over the supply chain. Sustainability is not only about environmental benefits and animal welfare; it also extends to farmers earning a good living.
So, we need to find alternative solutions that are more sustainable in terms of planting and harvesting, but also sourcing. Developing novel ingredients like insect meal, fish oil, algae oil or proteins from fungi can improve nutrient intake and overcome environmental issues. Wider adoption of new technologies, like precision feeding methods to reduce waste and improve performance and profitability while reducing inputs such as land and water, will help.
How much progress has been made in reducing the overuse of antibiotics in animal nutrition?
Anti-microbial resistance (AMR) has been on the radar for at least six to ten years. It is a serious potential challenge to human health; use of antibiotics to promote animal growth creates a resistance to their effects in battling diseases in humans and animals alike. By 2050, AMR could be the number one killer of humans.
The animal husbandry industry uses antibiotics to treat both diseases and as a prophylactic measure and, while these practices have already been banned in Europe, they continue to thrive in other regions. Although we understand the utility of prescribed antibiotics, four years ago we established a nutrition program to help farmers discover antibiotic-free alternatives. I’m pleased to say that, in 2022, we reduced antibiotics usage by 25% across our Trouw Nutrition business and 34% in Skretting.
What innovations do you believe will have a real impact on the industry and how is the farming community receiving these new solutions?
While we remain fully committed to supporting animal farmers, we know that our industry will have to maximize all sources of protein to feed the growing global population. So, we see alternative proteins as another emerging solution in addition to traditional animal farming.
We believe producing meat or seafood from animal cells holds great potential, alongside animal farming. We partner with companies that work on alternative proteins and have taken the first steps to grow our presence in this area through strategic investments.
For example, through our partnership with BiomEdit, we hope to bring livestock and aquaculture producers novel feed additives developed through microbiome technology. We hope to provide a functional benefit to nutrition by supercharging the feed in a way that not only helps animals grow, but also addresses specific health issues. In addition to these, we are about to open our own phytotechnology research center where we can use the power of plants to target health and performance related issues in farming.
In Asia, Africa and Latin America, where the population is growing, there is an increased need for more of the same, whereas in the developed world farmers are dealing with changing regulations that hinder their business management. With the bar being pushed higher, particularly when it comes to sustainability and new consumer demands, the majority of these farmers are eager to find and adopt new solutions.
What are the main challenges that you are facing, particularly regarding the major supply chain disturbances?
Both during the pandemic and with the war in Ukraine, every supply chain in the world was dramatically affected. In order to mitigate these challenges, we have been looking at a more geographically diversified supplier base that could be optimized both from a cost and a reliability perspective. With inflation rising again, the price of feed ingredients has dramatically increased and even with a rise in meat prices, farmers are falling short on their margins. The geopolitical situation in the world is a major concern since our industry has a global footprint and, for that to work successfully, we need peace and stability.
What are the major goals you wish to achieve at Nutreco in the next couple of years?
We see opportunities to expand into Asia and continue to grow our business in Latin America and Africa. At the same time, we aim to deploy our new solutions to the farmers in developed markets that need them the most. The animal nutrition industry is a crucial piece of the puzzle for humanity to be able to feed ten billion people 25 years from now, in a way that is environmentally respectful. We see a big opportunity in making the current system of producing animal protein more sustainable through digital technology, enhanced animal feed and the alternative protein industry.
