Milling Middle East & Africa April-June 2023

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MIDDLE EAST & AFRICA

Keeping bread simple, healthy & affordable COMPANY FEATURE BROADWAY BAKERY Helping farmers get the most out of every animal COMPANY FEATURE ANDRITZ Egg Replacement EXECUTIVE INTERVIEW TECHNOLOGY FOCUS SIGMA FEEDS COUNTRY FOCUS South Africa Grains Outlook SCAN ME MILLING
MILLING & GRAINS | BAKING & SNACKS | ANIMAL FEED & PET FOOD | PLANT-BASED FOODS YEAR 2 | ISSUE NO. 4 | APRIL-JUNE 2023 WWW.MILLINGMEA.COM
Reduces the energy costs of immune responses • Creates a favorable nutribiotic state resulting in improved profitability compared to AGPs info.animalnutrition@iff.com | animalnutrition.iff.com © 2022 by International Flavors & Fragrances Inc. IFF is a Registered Trademark. All Rights Reserved.
JUNE 2023 | MILLING MIDDLE EAST & AFRICA WWW.MILLINGMEA.COM 2 COMPANY FEATURE - BROADWAY BAKERY 28 Keeping bread simple, healthy & affordable COMPANY FEATURE - SIGMA FEEDS EXECUTIVE INTERVIEWANDRITZ Helping farmers get the most out of every animal, every time We are committed to help the animal feed and biofuels sector in Middle East & Africa grow further 36 40 CONTENTS YEAR 2 | ISSUE NO. 4 | APRIL-JUNE 2023

Your Team for Great Flour

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Flour standardisation is a necessity around the world, and is making great strides. A big part of that is the Flourists, a team of committed specialists who dive deep into the world of flour every day. They deliver consistently high flour quality, regardless of wheat variety, climate, soil conditions or storage. With analytical precision and a thorough understanding of the applications, in the wheat and flour analysis lab they collect and evaluate data. In applications labs they use this information to develop fact-based blueprints for new enzyme systems that are a perfect fit. The result: Milestones in flour standardisation, and satisfied customers the world over.

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CONTENTS

Editorial

News Update:

• Olam Agri appoints Serge François Schoen to chair recently named eight-member Board of Directors

• Wageningen University leads project to develop early warning system for mycotoxin detection

• Egyptian snacks giant Edita Food enters the frozen bakery segment by acquiring Fancy Foods for US$12M

• Premier Group triumphs load shedding, rising inflation to post nearly 40% jump in annual profit

• PepsiCo opens a new US$238M snack plant in Poland

• Premier FMCG crowned Company of the Year at Africa Food Awards 2023

ANIMAL FEED - FORTIFICATION

Combined enzyme and probiotic solution unlocks full feed potential

COUNTRY FOCUS - SOUTH AFRICA

45 50

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South Africa is expected to record another bumper harvest in 2023/24 season, but a lackluster economy and poor infrastructure are expected to limit investments in the medium term

TECHNOLOGY FOCUS - EGG REPLACEMENT

A baker’s secret to affordable, healthy, and sustainable treats

MARKET UPDATE - GM WHEAT

Long abandoned and neglected, GM wheat receives renewed interest as climate change threatens global supply

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Supplier News & Innovations:

• Novozymes launches new enzyme for improved texture and shelf life in baked goods

• Beneo launches new ingredient that replaces sugar with fiber

• ADM launches “HarvestEdge Oro” flour brand for authentic pizza experiences

• MC Mühlenchemie opens new technology and application center in South Africa

• IFF launches new vital gluten replacer suitable for whole wheat bread baking

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YEAR 2 | ISSUE NO. 4 | APRIL-JUNE 2023
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MILLING

MIDDLE EAST & AFRICA

Year 2 | Issue No.4 | April-June 2023

FOUNDER & PUBLISHER

Francis Juma

SENIOR EDITOR

Paul Ongeto

EDITORS

Abel Ndeda | Martha Kuria | Wangari Kamau

BUSINESS DEVELOPMENT DIRECTOR

Virginia Nyoro

BUSINESS DEVELOPMENT ASSOCIATE

Hellen Mucheru

HEAD OF DESIGN

Clare Ngode

CINEMATOGRAPHER

Newton Lemein

ACCOUNTS

Jonah Sambai

Published By: FW Africa

P.O. Box 1874-00621, Nairobi Kenya

Tel: +254725 343932

Email: info@fwafrica.net

Company Website: www.fwafrica.net

Milling and baking industry in Africa shines at Africa Food Awards 2023

The Africa Food Awards 2023 was a night of celebration, recognition, and innovation, showcasing the remarkable achievements of the African food industry. The milling and baking industry stood out for its dedication to delivering quality products, fostering industry leadership, and making significant investments to meet the evolving needs of consumers.

One company that truly stole the show was Broadways Group, a renowned name in the milling and baking industry. They left a lasting impression by winning several awards, including the prestigious "New Product of the Year" for their revolutionary Ungano flour. The Group also secured awards for "New Project of the Year" and "Community Project of the Year," highlighting their commitment to sustainable initiatives and community engagement.

Milling Middle East & Africa is published 4 times a year by FW Africa. Reproduction of the whole or any part of the contents without written permission from the editor is prohibited. All information is published in good faith. While care is taken to prevent inaccuracies, the publishers accept no liability for any errors or omissions or for the consequences of any action taken on the basis of information published.

Capwell Industries Ltd walked away with the award for "New Product of the Year" for their groundbreaking Soko Nutrigo product. National Foods Ltd, a prominent name in the milling industry in Zimbabwe, demonstrated its unwavering commitment to innovation by receiving three awards for their new products and was also crowned as one of the Companies of the Year, which also featured Grain Industries Ltd.

Olam Agri, the leading grains industry player in West Africa, added an accolade to its rich history by bagging a Sustainability Initiative of the Year, while the Flour Milling Association of Nigeria took home the coveted Industry Association of the Year for its efforts to promote a sustainable wheat value chain in

Nigeria.

This issue of Milling Middle East & Africa Magazine also features Broadways Group, a Kenya-based milling and bakery company with over 65 years of experience in producing healthy bread. Another highlight of this issue is Sigma Feeds, a leading feed producer in Kenya.

Furthermore, this edition provides insightful articles on a range of topics relevant to the milling industry. From exploring egg replacements to understanding the grain industry in South Africa, the magazine offers a wealth of knowledge for industry professionals. Additionally, it delves into the latest developments in genetically modified (GM) wheat, shedding light on the potential implications for the future of milling.

We hope that you enjoy your read.

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EDITORIAL
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Turning aflatoxin contaminated food into sustainable protein and

fertiliser

Using insects to upcycle aflatoxin contaminated maize and other foods into locally produced, essential agricultural inputs for Africa’s farmers

Aflatoxin is a naturally occuring, potent, carcinogenic toxin that contaminates many food items from groundnuts, sorghum, cotton-seed, chili and millet globally including maize, a staple crop in Africa. The World Health Organisation estimates that over 500 million people, predominantly in sub-Saharan Africa, are

exposed to the serious long-term health effects of aflatoxin. These include liver cancer, stunting and even acute toxicosis and malnutrition in children. As with humans, continued consumption of aflatoxin contaminated feed significantly impacts on livestock production with up to 25% young animals die resulting in increased cost

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of production which is passed onto consumers.

Once aflatoxin is present, it is untreatable.

Bühler`s Lumovision is a sorting technology that eliminates up top 90% of contaminated maize and improves yield, by identifying and removing cancercausing, aflatoxin-infected grains using UV lights and real-time data to monitor and analyze contamination risk.

The question is…

What can and should be done with the aflatoxin contaminated maize to ensure responsible disposal?

Incineration is an option however, it is expensive (more than $450 per MT) and in countries where hundreds of thousands of tons of maize is contaminated with aflatoxin annually, it is unaffordable for governments.

Additionally, incineration has a negative impact on the environment and results in a total loss of the nutrients in the maize which is a real concern on a continent where food security is an ongoing challenge.

Introducing the black soldier fly larvae (BSFL) as the innovative and sustainable insect hero. BSFL bioconvert organic waste into alternative protein for animal feed and organic fertiliser in only 2 weeks. They are naturally occuring along the equator due to favourable climatic conditions.

Further refinement of their products are used in the pharmaceutical, cosmetic and medical industries. Companies are farming BSF larvae all over the world combining climate smart, organic waste diversion from landfill with a sustainably produced source of protein for animal feed and organic fertiliser to feed the world’s growing population.

In February 2022, first-of-itskind research was kicked off in Kigali, Rwanda into the use of these insects to consume aflatoxin contaminated maize to understand its potential impact on the insects` growth and more importantly,

whether the toxin was present in their system after harvest.

The insects were fed a balanced diet including maize with aflatoxin levels more than 15x safe consumption levels (160ppb). The results showed that the larvae accumulated the aflatoxin at a safe level for use in animal feed (less than 10ppb). Furthermore, the byproduct of organic fertiliser did not show any levels of the fungus that causes aflatoxin and can safely be used by crop farmers.

This approach offers a solution to responsibly removing aflatoxin contaminated food and feed from the market while having a positive environmental impact. The absence of aflatoxin contaminated foods in markets (formal or informal) will create safer food systems and generally healthier nations. The promotion of locally produced essential agricultural inputs for animal feed and organic fertiliser production boosts the internal economy, creating less reliance on importation markets and stabilizing commodity prices.

This research was funded by the International Finance Corporation and executed through partners: The Bug Picture, ETH Zurich, Wageningen University and University of Rwanda. The full research paper will be available by Q4 2023.

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Olam Agri appoints Serge François Schoen to chair recently named eight-member Board of Directors

the Board of Directors, Chairman of the Governance, Nomination, Talent & Remuneration Committee, and Member of the Risk & Market Compliance Committee.

SINGAPORE – Agri-food giant, Olam Group, has appointed eight members to the Olam Agri Board to lend additional focus to its overarching strategy to address the supply chain challenges around the world.

Olam Agri is a food, feed, and fiber agribusiness with a global origination footprint, processing capabilities, and a focus on emerging markets.

Its products and services include grains and oilseeds, flour, pasta, integrated feed and protein, rice, edible oils, specialty grains and seeds, cotton, wood products, rubber, commodity financial services, and funds management.

Among the appointees are Serge François Schoen, Non-Executive and Independent Director, Chairman of

On the list also was Hixonia Nyasulu, who will hold the office of Non-Executive and Independent Director, Vice Chair of the Board of Directors, Chair of the Sustainability Committee, and Member of the Governance, Nomination, Talent & Remuneration, and Audit & Compliance Committees.

Other members include Ms. Eng Chin Chin, Pierre Lorinet, Jenifer Thien, Mr. Sulaiman AlRumaih, Mr. Anuj Maheshwari as well as Sunny George Verghese, the Group CEO and Executive Director of Olam Group and Olam Agri and Member of the Risk & Market Compliance and Sustainability Committees.

Egyptian snacks giant Edita Food enters the frozen bakery segment by acquiring Fancy Foods for US$12M

EGYPT – Edita Food Industries (EFI), a leading Egyptian snack food producer, has entered the frozen bakery segment through the acquisition of Fancy Foods S.A.E., a local manufacturer specializing in the production of frozen foods for US$12 million.

According to the company, this new investment should enable Edita Foods to expand its business portfolio in the frozen food segment and consolidate its presence in the local food industry.

In addition, Edita aims to expand its offering to fresh and ready-to-bake pastry products.

“The deal equips the Company with the necessary frozen technology infrastructure, marking a significant step in applying our R&D to complementary ventures while

capitalizing on our market-leading portfolio of proprietary brands,” said Hani Berzi, Edita Chairman, said The company revealed that the investment includes the acquisition of 100% of the assets of Fancy Foods,

namely two complete production lines and other machinery, as well as land, real estate, and a distribution branch.

As part of the agreement, Edita said that it has acquired the technical knowhow and recipes for a range of frozen bakery products.

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APPOINTMENT ACQUISITION NEWS UPDATES
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AFEX seeks to raise US$65M to drive expansion into 7 new African countries

NIGERIA – AFEX, Nigeria’s first private agricultural commodities exchange player, has announced plans to raise US$65 million to fund its expansion plan into seven new African countries in a bid to capitalize on the growth in intraAfrican trade.

According to Eficon Agency, the leading private agricultural commodity exchange is making a strategic move as it looks to take advantage of growing trade across the continent resulting from the entry into force of African free continental trade area (AfCTA).

Founded in 2014, AFEX already operates in Nigeria, Kenya, and Uganda, where it trades nine agricultural commodities, including maize, wheat, sorghum, and cocoa.

Wageningen University leads project to develop early warning system for mycotoxin detection

EUROPE – The Wageningen University Food Safety Research has launched a four-year project aimed at developing an advanced early warning system to detect the presence of mycotoxins in European cereal grains.

The project, titled “Early Warning of Mycotoxins in European Grain Supply Chain Using Machine Learning and Big Data,” brings together scientific and nonprofit organizations, government agencies, and industry leaders in a Public-Private Partnership.

It brings together esteemed partners from both the public and private sectors. Wageningen Food Safety Research is collaborating with industry leaders, including SGS, Cargill, Alltech, GMP+ International, and the Royal Dutch Grain and Feed Trade Association.

The project aims to harness the power of big data, machine learning, and existing prediction models to develop an innovative early warning tool.

Traders, food and feed producers, government agencies, and farmers will benefit from the system’s ability to predict the presence of mycotoxins during harvest.

By issuing warnings about high levels of mycotoxins, the system will empower stakeholders to take proactive measures, such as conducting additional mycotoxin tests or isolating contaminated batches.

Since it first appeared on the inaugural list last year, AFEX has doubled in revenue and expanded operations into East Africa, having financed over 450,000 farmers and traded 526,850 metric tonnes of commodities in Nigeria, Kenya, and Uganda.

According to the company executives, AFEX plans to expand to 9 African countries within the next 10 years to create regional markets that balance demand and supply through intra-Africa trade.

Markets considered for expansion include Benin, Togo, Ghana, Côte d’Ivoire, Tanzania, Ethiopia, and Zambia.

Côte d’Ivoire launches a semi-industrial cassava semolina production unit to boost local processing

CÔTE D’IVOIRE – The Côte d’Ivoire government has launched a semiindustrial cassava semolina production unit as part of the “Government Social Program” (PSGouv) for the benefit of the Sanata women’s farming group.

Cassava is the second most consumed basic product after yam in Côte d’Ivoire with an annual output of more than 4.2 million tons annually according to FAO.

However, in the sector, the informal sector is the main contributor to the

creation of direct added value in the processing segment.

Ecofin Agency reports that the new unit, launched in the town of N’Douci started operations on 30 June producing Attiéké, a cassava product resembling couscous, popular in the country with demand growing regionally.

According to Sanata Coulibaly, president of the group, the unit can produce up to 2 tonnes of cassava semolina per day, 7 times more than the stock of 335 kg which was produced manually.

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FOOD SAFETY INVESTMENT REGULATORY

Premier Group triumphs load shedding, rising inflation to post nearly 40% jump in annual profit

Premier Group produces food brands including Blue Ribbon, Snowflake, Iwisa, Mister Sweet, and Manhattan confectionery, as well as home and personal care brands Lil-lets, Dove Cottons, and Vulco.

According to the company, the headline earnings reported on June 6 correspond to earnings per share of 634 cents for the year ended 31 March, up from 453 cents a year earlier.

In addition, the company noted that the group’s revenue increased by 23.4% year-on-year to R17.9 billion (US$928 million), driven by increases in revenue in both the Millbake brand and the groceries at international categories of 25.4% and 14.5%, respectively.

will persist for the remainder of the year, the future performance of the group is not expected to be materially impacted. “

Recently, the company acquired the remaining half of Futurelife Health, eight years after buying its initial stake in the maker of nutrient-dense breakfast cereals and snacks, making Futurelife a wholly-owned subsidiary of Pioneer Foods.

SOUTH AFRICA – South African food producer Premier Group has posted a near 40% jump in annual profit despite increasing commodity prices and rising inflation.

INVESTMENT

The company, however, stated that like other food producers, Premier Group has had to endure soaring inflation and incessant power cuts.

“Loadshedding continues to impose multiple operational challenges … but despite indications that load shedding

Tanzania to install 25 cassava processing plants to boost local production

TANZANIA – The Cereals and Other Produce Board (CPB) has identified 25 areas where it will build cassava processing facilities, as part of efforts to boost cassava production and ensure markets for local farmers.

Tanzania is the twelfth largest producer of Cassava in the world and sixth in Africa after Nigeria, DRC, Ghana, Angola, and, Mozambique.

Mr John Maige, the board’s acting director general, revealed that the processed cassava is expected to be blended with maize flour, targeting the Lake Zone market where residents are reported to prefer the mix.

which will process 12 tonnes per day is in the installation stage at the Mkata area in the Handeni District of Tanga Region, adding that the plant will benefit over 6,000 cassava farmers.

Earlier, the Tanzanian Government under the Ministry of Agriculture announced a plan to implement a sustainable cassava strategy targeting a 550% increase in hectarage of improved cassava seed variety by 2030.

The plan sought to expand the 40,000 hectares planted in 2020 to 260,000 hectares in 2030 and to increase the number of improved cassava seed cuttings from the current 80 million to 1.6 billion per annum.

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GROUP REVENUE INCREASED BY 23.4% YOY TO US$928M, DRIVEN BY INCREASED REVENUE IN BOTH MILL BAKE BRAND AND GROCERIES.
According to him, the first plant
FINANCIALS

After suffering worst drought in decades, Morocco introduces raft of measures to bolster cereal production

MOROCCO – In a bid to mitigate the adverse effects of drought on the agricultural sector, the government has set raft measures expected to provide a much-needed boost to Morocco’s agricultural industry, safeguarding food security and strengthening the economy.

Recently, the government launched the ‘The Generation Green Plan 20202030’ initiative, a drive to achieve greater food security for cereal crops by 2030, notably through strengthening the certified seed sector to offer better varieties to farmers.

In June, the government went ahead to launch a comprehensive plan allocating a US$1 billion budget to the agriculture sector.

The Morocco World News reports that from the allocation, the government has set aside US$400 million that will be utilized to aid farmers with the purchase and distribution of inputs while another $100 million will be dedicated

to enhancing Credit Agricole and improving farmers’ access to financing as stated in the FAS report.

Further, the government decided to halt its common wheat import support program, as prices declined with the arrival of the new world wheat crop and other factors alleviating inflationary pressures.

Import duties on wheat and barley will also remain scrapped until the end of 2023 to encourage stock building and

ensure sufficient supplies in the market.

Morocco’s cereal production is forecasted to jump 62% in MY2023/24 on the back of improved weather conditions, the Foreign Agricultural Service (FAS) of the US Department of Agriculture has said.

The news couldn’t be more welcome in a country that is recovering from one of its worst drought that led to a 60% decline in cereal production in MY2022/23.

USA – The US government has given a nod to a new type of genetically modified corn developed by Bayer AG, a global agrochemicals and seeds producer, with

shorter stalks than typical crops and better tolerance to strong winds.

The plants grow one-third shorter than current varieties in a bid to reduce losses from heavy winds that blow over crops and to make it easier for farmers to apply chemicals during the growing season.

The U.S. Department of Agriculture determined the crop is not subject to regulations because it does not pose a higher risk for pests than other types of corn.

Reuters reports that short-stature corn is among the latest crop varieties developed to withstand increasingly

volatile weather associated with climate change, joining a growing list that includes drought and heat-tolerant corn, soybeans, and wheat.

Corn is the largest crop grown in the U.S. in terms of acreage planted and net value. According to Bayer, the North American sales of short-stature corn could reach as high as 1 billion euros.

However, hurdles remain, with Bayer saying that it still needs approval from the Environmental Protection Agency and importing countries before it can launch the corn in the U.S. The company expects the launch in the middle to later part of this decade.

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US government gives a nod to Bayer’s short-stature GM corn, but hurdles remain
BIOTECHNOLOGY
POLICY & REGULATION

PepsiCo opens a new US$238M snack plant in Poland

1-billion-zloty (US$238M) snack plant in the southwestern Polish village of Święte, which will produce Lay’s and Doritos among other brands.

The facility is the firm’s fifth plant in Poland and its biggest investment so far in the country. It is also the company’s first facility in the European Union designed to measure CO2 emissions.

The 54,700m facility includes a 23,000m production hall, a purification plant, warehouses, and offices and will dramatically increase the scale of production.

including Germany, the Czech Republic, Slovakia, and Hungary.

Built with sustainability at its core, the plant demonstrates how circular economy principles can be used throughout the entire lifecycle of a snack, to achieve a net zero status by 2035.

POLAND – American food and drink giant PepsiCo, has opened a new

Ukraine to build grain terminal in Nigeria

NIGERIA — The Ministry of Agrarian Policy and Food of Ukraine and the Lagos Free Zone Company, a venture of Singapore’s Tolaram Group, have signed a memorandum of understanding for Ukraine to participate in the grain terminal project at Nigeria’s Lekki Deep Sea Port.

The Lekki Deep Sea Port, which is operational but still partly under construction, is Nigeria’s first fully automated port. The $1.5 billion port is a joint project of the Nigerian government, Lagos State government, Lagos Free Zone and the China Harbour Engineering Co. (CNEC).

The memorandum was signed by Taras Vysotskyi, first deputy minister of Agrarian Policy and Food of Ukraine, on the sidelines of the Ukraine Recovery Conference that was convened June 2122 in London, England.

“The cooperation between the Ministry of Agrarian Policy and Lagos Free Zone Company will be aimed at creating the necessary infrastructure to ensure uninterrupted supply of Ukrainian agricultural products to both Nigeria and the entire African continent,” Vysotskyi said.

Snacks from the facility will be distributed to 20 European markets,

Silviu Popovici, CEO of PepsiCo Europe, revealed that the company is now looking to expand its network of farmers to supply potatoes and maize for the snacks adding that, by 2025, the new plant will buy 60,000 tonnes of potatoes per year and, by 2027, 30,000 tonnes of maize.

Egypt secures US$66M from EU, AFD to boost grain storage capacity

EGYPT – Egypt has received 60 million euros (US$66 million) from the European Union and French Development Agency to help in expanding its silo grain storage capacity by 420,000 tonnes.

The funding, envisions to add 12% of the current 3.6 MT capacity and is part of a previously announced 225-millioneuro ($240.71 million) food security support package to Middle Eastern and North African nations impacted by the war in Ukraine, of which Egypt stood to receive 100 million euro ($108 million).

Egypt, perennially the world’s largest wheat importer, has been working to increase its wheat reserves after Russia’s February 2022 invasion of Ukraine adversely affected Egypt since 80% of the country’s imports came from the two nations.

As a result, the government came up with measures to raise local production in line with President Abdel Fattah El-Sisi’s interest in expanding the cultivation of strategic crops, particularly wheat.

The funding comes after the Egyptian government reported that it has increased its wheat storage capacity to 3.6 million tons (MT) in 2023, compared to 1.2 MT in 2014, a 200% jump.

In March, the Italian Agency for Development Cooperation (AICS) and the EU signed an agreement for 40 million euros ($43.16 million) to be spent on projects to produce grains and seeds, set up silos, and control wheat transport within Egypt.

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FOOD SECURITY
INVESTMENT

Nigerian government commissions an Integrated Rice Mill to boost local production

NIGERIA – President Muhammadu Buhari has inaugurated an Integrated Rice Mill in Sheda, Abuja, aimed at expanding domestic rice production as well as achieving self-sufficiency in the Country.

According to The Guardian, the Sheda Integrated Rice Mill is one of 10 mills initiated under the Buhari administration’s plan under the Public Private Partnership (PPP) model based on the “build, operate and own”.

During the ceremony, Minister of Agriculture and Rural Development, Dr. Mohammad Mahmood Abubakar representing President Buhari, emphasized that for the past eight years, his regime had intensively promoted and supported Agricultural development in

the country.

He added that the milestones were made possible through the Anchor Borrower’s Programme, the Grain Aggregation Centers amongst others.

According to Buhari, these programs demonstrate the Federal Government’s commitment to addressing critical infrastructural projects and in keeping with the ideals of the Change Agenda which is geared toward economic diversification from the Oil and Gas to the Agricultural Sector.

Early this year, President Buhari commissioned an ultra-modern ImotaRice Mill complex in Lagos with a production capacity of 32 metric tonnes per hour, making it the largest in Africa and third globally.

Dr. Mohammad revealed that the country’s paddy yield per hectare has significantly increased to the extent of being adequate for raw material production.

Algerian Agro-food group Cevital opens a new cooking oil production plant in Béjaïa

imported food product after cereals, dairy products, and sugar with local production covering less than 25% of demand.

Cevital officials, therefore, believe that the entry into production of the new plant should also help reduce the country’s oilseed and cooking oil import bill.

over time as part of a socio-economic boost for Algerian citizens.

“The plant will enter production gradually from May 31 to reach its maximum level at the end of the current year,” said Lounès Ihaddaden, industrial director of Cevital.

ALGERIA – Cevital Food, a leading agro-industry company in Algeria, has launched its cooking oil production plant in the wilaya of Béjaïa in a bid to help reduce the country’s oilseed and cooking oil import bill.

In Algeria, cooking oil is the 4th most

According to Ecofin Agency, the new facility covers an area of more than 1.2 hectares with a daily crushing capacity of 22,000 tonnes of oilseeds (11,000 tonnes of soybeans, 6,000 tonnes of sunflower, and 5,000 tonnes of rapeseed).

It will produce more than 6,820 tonnes of cooking oil per day and 15,200 tonnes of oilcake for livestock feed, according to Cevital.

Once operational, the plant is envisaged to employ 300 people and is expected to increase this number to 500

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INVESTMENT FOOD SECURITY
ONCE OPERATIONAL THE PLANT WILL PRODUCE MORE THAN 6,820 TONNES OF COOKING OIL PER DAY AND 15,200 TONNES OF OILCAKE FOR LIVESTOCK FEED.

Zambia approves import of pet foods and snacks alleged to contain GMOs

ZAMBIA – Zambian National Biosafety Authority (NBA) has granted two companies permits to import pet foods and snacks alleged to contain genetically modified organisms (GMOs) for the next five years.

Speaking in an interview, NBA’s Authority Communications Officer Sandra Lombe said that the Scientific Advisory Committee recommended to the Board the issuance of permits after risk assessments were conducted and products were found to be safe for humans, animals, and the environment.

Premier FMCG crowned Company of the Year at Africa Food Awards 2023

SOUTH AFRICA – South African food producer Premier Group was among the 5 companies that bagged the prestigious Company of the Year Award at the Africa Food Awards in Nairobi, Kenya.

Premier Group was recognized for the organization’s exemplary innovation-led leadership and organizational purpose to “Earn the right to operate in our communities”.

Receiving the Award, Julian Singonzo, Managing Executive of ESG at Premier FMCG thanked the award organizer for the recognition adding that the company has seen growth in the past 13 years that deserved the celebration.

“We are proud of what we have achieved because the company has triumphed over hurdles since international investment group Brait S.E. became the strategic long-term shareholder in Premier Foods in 2021, increasing its shareholding from 49.9% of Premier to the current 90% shareholding.”

Singonzo said that with over 200 years in operation with 25 manufacturing sites and 25 distribution sites all over SA and the Southern African Development Community (SADC) region, Premier has proven to be the region giant.

De Heus breaks ground on aquafeed plant in Uganda

According to Lusaka Times, the permits are granted to Nelt Zambia Limited to bring in Pedigree dog food and Whiskas cat food while Zambian Brands Limited will import Willards Monster Munch, Willards Diddle Daddle snacks, and Bakers Street Jumpin Jack of three different flavors (White Cheddar, Butter, and Cheese & Green Onion).

This comes after the recent move by the government to grant 35 Transit Authorisations to various companies transiting mealie meal that may contain GMOs from South Africa to the Democratic Republic of Congo (DRC).

UGANDA — De Heus Animal Nutrition, an international producer of a complete range of compound feed, premixes, concentrates and feed specialties, has broke ground for a state-of-theart dedicated aquafeed plant in Njeru, Uganda.

The plant will be able to produce 50,000 tonnes of fish feed per year, meeting the growing demand in the East African market.

Currently, most feeds are imported. The new local factory will offer a shorter, more flexible supply chain, De Heus said.

“At De Heus we believe in the potential of Africa and that is why we are investing in expanding our footprint: in South Africa, Egypt, Ethiopia, and recently with modern factories in Ghana and Ivory Coast. And now in Uganda,” said Theo Smalbraak, business group director Africa & Middle East.

“The impact of this plant goes beyond employment at the facility itself. We anticipate a significant positive effect on employment among fish farmers and our suppliers, as we aim to replace imports and source raw materials such as maize, cassava, soy, and others locally as much as possible.”

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AFRICA FOOD AWARDS REVIEW

The prestigious 5th annual Africa Food Awards ceremony took center stage at the Safari Park in Nairobi, shining a spotlight on the remarkable achievements, innovations, and industry leadership within the African food industry. This pan-African event serves as a platform to celebrate the best in the business, honoring those who have made significant contributions to the advancement of the food sector.

The milling and baking industry emerged as the star of the show, with several companies from this sector garnering prestigious awards. Among the evening's biggest winners was the Broadway Group, who walked away with an impressive haul of six awards across various categories. Their outstanding accomplishments were recognized in diverse fields, including "New Product of the Year," "New Project of the Year," and "Community Impact Initiative."

Another notable awardee was Olam Agri, which received recognition for its groundbreaking "Seed for the Future" local sourcing program. Capwell Industries was honored for its pioneering and nutritious Soko Nutrigo maize meal.

National Foods Zimbabwe made a significant impact, securing three awards for their exceptional new product offerings. Maisha Flour Mills also stood out among the winners, earning recognition for their Grandma's Stoneground Wholemeal Atta.

The event, sponsored by emulsifiers and stabilizer supplier Palsgaard, provided a fitting backdrop for celebrating the industry's top performers. Palsgaard's support and dedication to the African food industry contributed to the success of the awards ceremony, underscoring their commitment to driving innovation and excellence.

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Capwel celebrates receiving the prestigious New Product of the Year award for Soko Nutrigo Maize Meal Broadway Group honored with the New Project of the Year award, recognizing their exceptional achievements Buhler Group Service Engineer Wangui Kinyori recognized as the Young Person of the Year
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Olam Agri Nigeria lauded for their remarkable Local Sourcing Initiative of the Year National Food Zimbabwe recognized as the Company of the Year, setting the bar high for excellence in the industry 260 Brands celebrates double victory with two New Product of the Year awards, highlighting their commitment to innovation Maisha Flour Mills proud recipients of the New Product of the Year Award for Maisha Grandma's Stoneground Wholemeal Atta Premier FMCG crowned as the Company of the Year, a testament to their outstanding performance and leadership Broadway honored for their remarkable community impact initiative - Be Sugar Smart Campaign

AFMASS FOOD EXPO REVIEW

The recently concluded 10th edition of the AFMASS Expo held at the Sarit Expo Center in Nairobi proved to be an outstanding success, leaving a lasting impression on attendees and exhibitors alike. This year's expo witnessed the highest number of visitors in its decade-long history, reaffirming its status as a premier event in Eastern Africa’s food industry.

The expo brought together a diverse range of participants, representing both the supplier and consumer sides of the milling and baking sector. Renowned companies from around the world showcased their cutting-edge technologies and products, generating an atmosphere of innovation and possibility. Among the esteemed exhibitors were Swiss milling technology company Bühler, Turkish milling equipment supplier Tanis, and Sanku, a supplier of milling fortification tools. Additionally, the event featured the participation of Sottoriva, an Italian bakery equipment supplier, adding an international flair to the expo.

A significant highlight of the event was the presence of leading milling and baking companies from Kenya. These industry giants, including Milling and Bakery Company Broadway, Capwell Industries - the makers of Soko maize meal and

wheat flour brand, Simplifine, and Spice World, contributed to the vibrant atmosphere of the expo.

Beyond the exhibition itself, the AFMASS Expo provided a platform for business executives to explore potential opportunities across various sectors, extending beyond milling and baking. Attendees expressed their excitement and enthusiasm, acknowledging the expo as a valuable avenue for seeking collaborations and partnerships in the sector.

The success of the 10th edition of the AFMASS Expo stands as a testament to the thriving milling and baking industry in the region. With its impressive turnout, diverse exhibitors, and participation from industry leaders, the event surpassed expectations and left participants eager for future editions.

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AFRICA SUSTAINABILITY SYMPOSIUM REVIEW

Under the theme "Defining the Future of Sustainability & Sustainable Living in Africa," the Africa Sustainability Symposium took place on June 13, bringing together an esteemed gathering of CEOs and top decision-makers in the manufacturing industry. This high-level event provided a platform for thought-provoking discussions on critical issues surrounding sustainability in Africa, particularly in the wake of the COVID-19 pandemic and supply chain disruptions.

The symposium delved into a range of pertinent topics, addressing the urgent need to mainstream sustainability practices across various sectors. Notably, the milling and grain industry took center stage, with a focus on transitioning from import dependence to local abundance. Participants engaged in insightful dialogues, sharing ideas and strategies to enhance local production capabilities and reduce reliance on external sources.

Another key area of exploration was how the food industry can foster innovation to tackle waste and establish a circular economy. With a growing concern over food waste and its environmental impact, the symposium provided

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a platform for industry leaders to brainstorm sustainable solutions.

The event's high-profile attendees, including CEOs and other top decision-makers, lent credibility and expertise to the discussions. Their presence and active participation emphasized the industry's commitment to sustainability and the urgent need for collective action to address the challenges at hand.

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Bakery Broadway

Keeping bread simple, healthy & affordable

Broadways bread needs no introduction to millions of Kenyans. Almost everyone in both the urban and rural areas have had a taste of this bread. To many, it was their growing-up breakfast favorite and thus it elicits some nostalgia every time it is picked up from the supermarket or kiosk. To others, its low sugar content makes it the healthier choice in an aisle filled with an endless number of brands. Despite their different reasons for picking up the bread, all consumers can agree on one thingBroadways is a legacy brand that has nourished Kenyans for arguably more years than any other brand currently in existence. “We pride ourselves in baking Kenya’s number 1 bread consistently for over 65 years,” the Company says on its website. “Our high-quality bread products are loved by our customers across the country and contain less sugar without compromising on their great taste.”

Established in 1958, Broadways celebrated its 60th anniversary in 2018 in pomp and color. To crown it all, the Company released an e-book that provides a detailed history of Broadway Bakery, Bakex Millers and other companies in the Group, as well as individual family histories of members

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of the Company’s founding family - the Fulchand Lakhamshi family - that played a pivotal role in the success the Company enjoys today. The forward in this e-book is by Kenya’s then-sitting president H.E Uhuru Kenyatta who recognizes the Group’s contribution to the Kenyan manufacturing sector and its impact on the community around it. “With this book, we acknowledge everyone who has helped us build Broadway Bakery to what it is today,” reads part of the e-book’s introduction by the Company’s Directors – Bimal Sobhagchand Shah, Hiten Ratilal Shah, and Bejul Chunilal Shah. “On behalf of the entire kinship that forms the Broadway Group of Companies, we welcome you to see our business and the family through our eyes with the help of this unique book.”

SECURING A HERITAGE BRAND

With just 35 years before its centenary celebrations, the Company is undergoing a new transformation to secure its strong heritage and better position it to grasp future opportunities in the bakery sector. Third-generation members of the family – Devan Bimal Shah and Rohin Hiten Shah - are taking greater responsibility in the Group in preparation for a future where they hope to succeed the current generation

comprised of Bimal, Hiten and Bejul who took over the management of the Group from their fathers in 2000. The Group has also brought in Francis Musila as a Group CEO to assist with the succession plans. Francis, a seasoned executive with over 26 years of experience in various executive roles in the banking and aviation sector, expressed confidence about his ability to secure the strong heritage of the Broadways brand and set it up for an even more glorious future. “I am in a completely different field, but I bring some heavy-lifting management experience to help this Group to go to the next generation,” he says.

From Musila’s point of view, securing the future for Broadways has a lot to do with sticking to the basics of why the Group exists as a business - to make high quality and healthy bread and flour products that are affordable for all Kenyans. It’s a statement that Devan, who currently serves as the Group Business Development Executive, strongly agrees with. “We don't want to do anything different,” he says. “We want to keep it very simple.”

Nothing in Broadway’s portfolio represents this simplicity more than its white sliced bread which has been around for as long as the Company has been in existence. Little about

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Broadways Bread has been part of Kenya's history since 1958.

the bread has changed since Ratilal Fulchand, Sobhaghchand Fulchand and Chunilal Fulchand first produced it from a small bakery with just a one-deck oven in Thika town. Despite many

bakers opting for plastic packaging, Broadways bread is still wrapped in the same wax-coated paper packaging that it has been packaged in since our grandfathers had lots of hair on their heads. The Company has an in-house waxcoating and printing plant that provides a steady supply of this signature packaging that not only keeps the bread fresh, but also spares the environment of the damaging consequences of plastic alternatives. The same applies to the brown variant which contains more bran and wheat germ for consumers desiring an excellent source of roughage. Unsliced versions of both white and brown also exist for those customers who prefer enjoying their bread the old-school way.

OPPORTUNITIES FOR INNOVATION STILL EXIST

Devan notes that even within simplicity, there are opportunities for innovation and the Company has proven that with its recent innovations. Just two years back, the Company became the first to launch a bread where every slice is comprised of both brown and white wheat flour. Trading under the 50/50 brand, the bread is meant to be a compromise for families where some people prefer white bread and others prefer brown bread. Devan however confesses that the performance of the new brand in the market is not as remarkable as they had hoped it to be. “I think the biggest challenge we had was educating

100,000 IN NUMBERS

LOAVES OF BREAD

THE RECENTLY INSTALLED LINE CAN PRODUCE IN AN HOUR

The 200mg sized bread (Kadogo) is Broadways' no.1 selling SKU.

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2,000

AMOUNT

people on what this product is,” Devan admits. “A lot of people thought half the bread is white and half the bread is brown, while in reality, every slice is made up of a mixture of white and brown flour.” The bread has however attracted a loyal following of consumers who loved it from the moment they tasted it. “What’s now remaining is having a better marketing strategy in terms of targeting the younger population that may not like the taste of brown bread but want the nutrients that it offers,” Devan reveals.

Beyond the 50/50 bread, Broadways also has a snacks range that is comprised of Mando Bites - ready-to-eat mandazis - and Maicho Donuts which are soft, fluffy and delicious ready-to-eat donuts. The line is small compared to the bread lines, but Devan believes opportunities to grow this line exist even though it is characterized by stiff competition from the informal bakery market. “It's just a question of really understanding what we need in this market and then driving towards that,” he points out.

On the milling side, Bakex Millers has recently come up with two innovative products. The Company installed the first specialized Atta Mill in Africa in 2018 and introduced the brand Phulka ATTA Mark I to the market. This flour is made of 100% whole wheat flour and is a premium chapati flour. In addition, earlier this year, the Company introduced Ungano – a mixture of white and brown wheat flour. This flour is a game-changer in the market as it easily allows for a high water absorption whilst giving a high yield for whatever end product the flour is used to make.

NEW MACHINERY SETS BROADWAYS UP FOR FUTURE SUCCESS

Broadway’s successes over the years could not have been possible without continuous investment in the latest baking technologies. These investments not only bring increased

efficiencies but also help the Company cope with an ever-burgeoning demand for its products.

As Covid engulfed the world, many industries greatly suffered and put on hold expansion plans. But this Company persevered and saw opportunities amidst the chaos. Plans were already in place to put up a new bread line and the Company went through with their plans and commissioned a new state-of-theart fully automated bread line from the Dutch multinational supplier of bakery lines, Royal Kaak, in 2021. This is the first time a Kaak bread plant has been commissioned in Sub-Saharan Africa, adding to the many firsts the Company has been part of. This new line was built within a new building adjacent to the current premises of the Company. Bimal, who is the heart of the operation, was instrumental in driving this project and made sure the line was set up despite all the challenges Covid brought.

The new line revolutionized the way bread is

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WITH THE NEW LINE, BROADWAYS CAN CONFIDENTLY SERVE THE MARKET EVEN DURING THE HOLIDAYS WHEN DEMAND GOES THROUGH THE ROOF. THE SECOND LINE ALSO ENSURES A BACKUP EXISTS SHOULD THERE BE A BREAKDOWN.
OF DIRECT AND INDIRECT
JOBS CREATED BY BROADWAY GROUP.

baked at Broadways. A bulk flour handling facility is set up just outside the new factory allowing for easy, safe and efficient transfer of flour from trucks directly into four silos located inside the bakery. The silos make it more efficient to transfer flour for use within the baking process. Combined, they have a storage capacity of 80 tonnes.

Inside the factory is where new technology backed by the power of automation meets together with the art of baking to create a marvel that is delightful to the eye. The process starts with mixing which is done by two recently acquired state-of-the-art dough mixers. With new technology, this step has been greatly simplified while the efficiency and effectiveness of the process itself have been greatly improved. The mixers, for one, have greater capacity compared with what the Company had before. Secondly, they are highly efficient in achieving the desired dough consistency, which is the

secret to making good quality bread.

From the mixers, the rest of the bread line is fully automated. When the dough is ready for scaling, it is placed under a mechanical elevator which lifts it to an elevated bucket from where it falls through gravity into a divider which partitions the dough to desired quantities. The machine can be configured to produce either 200gms, 400gms, 600gms or 800gms bread. Smaller doughs come out of the divider and are transferred into a rounder machine that converts them into round balls which are then delivered onto conveyors where they embark on a slow but timed journey through the bread line where they are subjected to different bakery processes including pressing, rolling, panning, 2-stage proofing and finally baking.

When we visited the plant, the 200gm bread, popularly known as Kadogo, was the one in production. In slow but timed movements, the loaves of bread rolled from one stage of the

The newly installed line is fully automated allowing for safe, consistent, and high quality bread.

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process to another until they finally emerged from the giant ovens fully baked and goldenbrown in color. The aroma that wafts through the air at this stage is irresistible, filling the space with a warm and comforting fragrance of yeast and grain.

“Last year we realized that even with the increased capacity that had been introduced in 2021, we were starting to reach its limit,” says CEO Musila. “As we were going into the election period, we realized that we were running all our plants at capacity which means that there was more demand,” Musila reveals. “So, we made the decision to put up a new plant which is a replica of the plant we put up in 2021.” The new plant is from the same Dutch multinational supplier of bakery lines, Royal Kaak, and was commissioned

earlier this year.

From the observation area, a few feet above the production floor, I could see Musila watching closely every step of the plant’s commissioning. He is a hands-on CEO that leaves nothing to chance. His smiles from time to time however tell that progress has been good. “The new plant has been running very well, the technology being used in that plant is amazing and the quality that comes out is fantastic,” Musila says. From the look of things, Broadways is set up for success, at least in the near future. “We hope to run these new plants until the 2040s,” Devan confirms.

Bimal simply can’t hide the joy the installation of the second breadline has brought him. “Before the installation of the new line, we were under pressure to meet the high demand for bread, especially the fast-moving 200gm bread,” he says. “But with a new line, things have eased a bit. We can confidently serve our market even during holidays when demand goes through the roof.” He also adds that the second line also ensures that a backup exists should there be a breakdown on one. “Work doesn’t stop, which was my greatest fear before this new line was installed.”

BAKING WITH THE HEART

Broadways however does not just bake bread – it is also deeply committed to the community surrounding it through various programs. The Company says its community engagement programs demonstrate its commitment to the community within which it operates and to whom it owes its success to date. The Broadway High School is perhaps the most visible of the Company’s community programs. Established in

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1996, the school provides high-quality education to students from the nearby slum area as a way of uplifting them from poverty. Through the years, the Company has invested in the development of the school by building new classrooms, establishing a library and most recently building an entire modern classroom block to enable the school to cater to more students. Numerous students also get placements within the Group’s businesses during vacations where they get to hone their skills while others receive university sponsorships to further their education. Beyond education, the Group makes a number of donations to support various courses in the community. At the height of the pandemic, the Group came out strongly to support national and county government relief initiatives through cash and food donations.

A fact that is also mostly underemphasized is its great contribution as a source of direct and indirect employment to more than 2,000 people. “We are the only ones that have been consistently employing people for 5 years,” Bimal reveals.

Perhaps the most important contribution to society is the “#BeSugarSmart” campaign which aims to raise awareness of the negative impacts of consuming too much sugar. Kenya has a diabetes prevalence rate of about 460 patients per 10,000 population, according to the International Diabetes Federation. What’s worse is that proportion of undiagnosed diabetes is dangerously high at 52.8%, according to a 2018 study on the prevalence and factors associated with pre-diabetes and diabetes mellitus in Kenya that was published in the BMC Journal. To reverse this trend, Broadways uses a multipronged approach that involves giving consumers healthy low-sugar bread, conducting free screening camps for early detection and running a health awareness campaign to help consumers make informed health choices. 6 years after the campaign’s launch, they have managed to screen more than 20,000 people in 20 out of the country’s 47 counties. Devan says that Broadways is still committed to the program. “We're still reinforcing the dangers of consuming too much sugar and basically asking consumers to look at what they're having daily, not just for bread but for all products,” he says adding that the Company is looking to partner with stakeholders to enhance the whole project in terms of offering medication and aftercare to people who have been screened.

MOVING INTO THE FUTURE AS A SUPERBRAND

For 65 years, one thing has defined Broadways and that is resilience. The Group has weathered many storms including the 1982 drought which led to wheat scarcity that threatened the Group’s viability. To survive, it started its own mill - Bakex Millers - which is today one of the leading wheat milling companies in Kenya. Its most recent challenge was the spike in global wheat prices just at a time when inflation was rapidly eroding consumer purchasing power. To keep prices low, Broadways has had to be smart with its wheat procurement strategy.

By continuously investing in new technology, the Group has also been able to maintain its competitive edge in the market.

It’s this dedication to quality throughout the ages that enabled the Group to attain “Superbrands Status” in 2022. According to the global company that oversees the Superbrands Award, participation is by invitation only and offered to the most outstanding brands in their field. A proud Devan reveals that the Group will from now on use the distinctive Superbrands East Africa Awards seal on all its bread and flour products as a reassurance to consumers that they are buying the best brands in the respective categories

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ON THE MILLING SIDE BAKEX MILLERS RECENTLY INTODUCED TWO INNOVATIVE PRODUCTS: PHULKA ATTA MARK 1 (A PREMIUM FLOUR FOR CHAPATI) AND UNGANO-A MIXTURE OF WHITE AND BROWN WHEAT FLOUR.

SIGMA FEEDS

Helping farmers get the most out of every animal, every time

The Kenyan animal feed sector is characterized by a large number of small, unregistered feed millers who combined accounted for about 50 - 60% of the domestic demand for animal feeds in 2020. 2020 was however not a good year for many of these millers with USDA reporting the closure of at least 30 feed mills and a reduction in milling capacity utilization due to steep price increases for feed ingredients.

Sigma Feeds survived that difficult period just like it had weathered many other storms that have hit Kenya’s industry during the close to 40 years that the company has been in existence. The secret? Catering to the needs of each and every animal that could possibly exist in a conventional farm in Kenya be it a cow, goat, duck, or even chicken. “We manufacture an extensive range of livestock feeds to meet the various demands of farmers across the country, from dairy, swine, poultry, and aqua” reveals Sanket Shah, Chief Operations Officer at Sigma Feeds Ltd.

A PIONEER IN THE FISH INDUSTRY

Producing an extensive array of feeds for different animal species did not occur overnight. It’s the result of a gradual and strategic diversification process that retains its market driven focus, from the early days in 1978, when Kirtesh Shah, the founder of the company, set up a small, manual operation in the Karen suburb to manufacture animal feed products, and which was largely sold to his neighbours.

According to Sanket, the company’s constant

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pursuit for better technologies, advancement in nutrition standards and diversification strategies have been at the core of its success in the sector. The company pioneered the technology for the production of aqua feed to stimulate fish farming activities in Kenya back in 2010.

Catering for a new animal species is not a straightforward process. “Every species’ s nutritional needs are significantly different. Fish feeds, in particular, present much greater complexities as different growth phases demand drastic changes in nutrition until the fish get to a mature size of approximately 400 grams,” he explains.

Furthermore, this requires feed producers to create a multitude of products to cater to the different stages of growth. The process is quite complex because different pellet sizes are required at each stage in addition to other factors like density, expansion, starch gelatinization, and protein denaturation. “It requires a highly skilled and knowledgeable team to operate the plant to ensure all desired parameters to create the best

product for the market are met.”

As pioneers in the market, Sanket reveals that the company has benefited greatly from a team of international nutritionists who’ve been instrumental in creating exceptional products. “The benchmark set by our clients is already very high and what they’re looking for is nothing short of excellent - hence we are constantly exploring ways of creating the lowest feed conversion ratio to give maximum value and profits to our customers,” he says.

KEEPING UP WITH PET OWNER DEMANDS

With pet ownership on the rise, demand for quality pet food has also emerged. Importance of pets wasn't fully realized in Kenya until recently. If we go back in time, most people kept dogs for security and not necessarily as companions. But that has changed dramatically because the benefits derived from owning a pet go beyond anything imaginable. “We have an important role in ensuring we create an ultra premium food line yet keep it affordable for the mass market,”

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COMPANY PROFILE: SIGMA FEEDS
1978
THE YEAR SIGMA FEEDS STARTED COMMERCIAL OPERATIONS IN KENYA. Newly installed equipment from andritz has improved Sigma's efficiency and reduced downtime.

Sanket reveals. “For this reason, we have developed a multitude of premium brands which contain high value ingredients and superfoods that are sourced from different parts of the world. Together with our team of nutritionists from Europe, we have successfully managed to address several pet health-related issues in this region. I do believe that over the next decade, Kenya will witness quite a substantial rise in pet ownership with an ever-growing need for various nutrition solutions.

A SECTOR RELIANT ON IMPORTS

With local cereal production not enough to meet the demand for human food, the animal feed sector is forced to rely on imports to sustain production. “To source most of our raw materials requirements, we have to look outwards to East Africa, whether it's Tanzania, Uganda, Malawi, or Zambia,” Sanket reveals. Other specialty ingredients such as vitamins and complex proteins are however not available regionally and have to be imported from either Europe, North America, or Asia.

Without a reliable local supply, the sector is however exposed to global supply chain issues such as the recent war in Ukraine which disrupted wheat supplies, sending prices to new historic highs. “The hope is that Kenya will be in a position one day to produce these products that are heavily required but are currently unavailable. And we hope that farmers will be encouraged or there's a plan to allow these ingredients to be sourced locally.”

PRIORITY ON CONTINUOUS INVESTMENT

Sanket admits that when he joined the company, the operations were not as optimal as he would have desired. “It was quickly realized that some machines were outdated and something had to be done,” he says. Even though capacity was sufficient to meet demand, the technology did not deliver the desired level in terms of efficiency and running costs. “It is paramount for me to ensure that this business continuously invests in new innovation and better technology,” he says.

As part of the new investments, the company has invested in new pelleting technology from Andritz, a leading global supplier of milling technology. “Ever since we upgraded our facilities, we have seen a significant improvement in our running costs, milling efficiencies and overall production output. More importantly, downtime has reduced significantly.” He notes

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WE MANUFACTURE AN EXTENSIVE RANGE OF LIVESTOCK FEEDS TO MEET THE VARIOUS DEMANDS OF FARMERS ACROSS THE COUNTRY, FROM DAIRY, SWINE, POULTRY, AND AQUA.

WE ARE COMMITTED TO HELP THE ANIMAL FEED AND BIOFUELS SECTOR IN MIDDLE EAST & AFRICA GROW FURTHER

Q: Briefly introduce us to Andritz and the solutions you offer to clients in the manufacturing sector

A: Andritz is a publicly traded company headquartered in Graz, Austria, with a substantial business volume of approximately €10 billion. Our workforce comprises nearly 30,000 individuals spread across four key sectors: pulp and paper industry, metals (primarily dominated by our subsidiary Schuler, renowned for manufacturing large-scale presses for the automotive sector), hydro (supplying electromechanical components for hydropower plants worldwide), and separation (comprising separation technologies for the mining and food industries), as well as a dedicated focus on feed and biofuels business. Our comprehensive range of offerings encompasses everything from individual machine supplies and process technologies to turnkey plant solutions, all delivered on a global scale across these four distinct business areas.

Q: Provide information about your activities in the Middle East and Africa region?

A: The Middle East and Africa region holds great significance within our strategic landscape. We have a dedicated management team specifically focused on Africa. To serve the Middle East and Africa, we have a direct sales force of 13 individuals, who are based in the region. Our presence extends across various countries in Africa through our network of distributors as well.

Additionally, we have established important

hubs in Dubai, Turkey, Egypt, Kenya and Pakistan. These locations, along with others, ensure that we are well-positioned throughout the region. Notably, within our workforce of 30,000 individuals at Andritz, we have a dedicated team of 1,000 professionals solely dedicated to feed and biofuel.

Q: In your animal feed and fuel business, what solutions do you offer and what excites you about that space?

A: Our company specializes in offering advanced processing technologies for four primary sectors: terrestrial animal feed production, aqua feed, pet food, and the biofuel industry. In the biofuel industry, we provide solutions for pelleting biomass, wood and waste materials. One aspect that truly excites me about Andritz is our rich heritage of over 186 years in the processing industry. This extensive experience serves as a valuable asset to our customers. I often emphasize that we possess the most robust processes and the widest range of processing technologies in the industry. It is our aim to extend these capabilities to Africa as well.

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Q: Talking about solutions, what are some of the technologies that Andritz actually has to help some of your customers improve on performance, increase efficiency, and maybe even reduce costs because cost is a major concern in this region?

A: One of our major strengths is the capability to provide turnkey solutions for our customers to help them set up quickly and efficiently produce food or feed.

But where I truly believe we can achieve a quantum leap in the industry is in helping our customers digitalize. If you look at the feed mill today, it still faces the same issues, including availability of spare parts and challenges in educating operators.

Andritz has a very smart technology called Metris where we are capable of remotely running plants. This not only helps us to support a customer in running the plant but also in identifying challenges in plants early on in terms of vibration, power consumption etc. With Metris, we can provide a performance-based plant operation, meaning you're not focusing on your CapEx, but on OpEx while Andritz ensures that you get the desired output as stipulated in the business case or in the business plan.

We also have a strong focus right now on extruded products which typically are used for aquafeed and pet food production. One particular solution that also got awarded last year is what we call the micro feed system. It basically helps to increase the output by 50% with the same power

installed. How we achieve that is by a bigger plate where we just increase the surface. Now, this sounds simple, but in terms of processing technology, it requires a good understanding of the extrusion process.

And since Andritz has a strong DNA coming from the pulp and paper industry, we have complete process equipment for biomass drying, from wet milling to drying, fine milling and pelleting. We just recently upgraded equipment in the biomass sector, reducing energy consumption by 20% and at the same time increasing output by simply upgrading and better optimizing the process technology.

Q: How do you work with your customers in the animal feed and biofuel industry to deliver on their sustainability goals?

A: We are investing quite heavily in new technologies that have lower energy demand and also ensure better use of raw materials. And here, especially looking into the feed milling industry, we are talking about less power waste or heat waste in terms of drying and also a smarter way of processing raw material when it comes to pelletizing, extrusion, drying, sifting and grinding.

Q: The animal feed industry in this region is young. What is the role of a company like Andritz in terms of helping these small plants grow into more efficient and sustainable businesses?

A: With our extensive global presence, we are able to provide the industry with highly advanced yet cost-effective solutions for efficient operation and maintenance. Furthermore, we are making substantial investments in digital solutions that assist our customers in effectively planning plant shutdowns and repairs, ultimately ensuring sustained profitability and optimal performance.

Q: What are your plans for the Middle East and Africa region in the next five years?

A: Currently, we heavily rely on importing solutions from Europe or Asia. Our strategic plan entails establishing a stronger local presence in the region to offer region-specific solutions.

We firmly believe in empowering the region to become independent and drive progress with tailored solutions that meet its unique requirements which is why we are wholeheartedly committed to supporting its market expansion through the establishment of a robust regional center

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EXECUTIVE INTERVIEW: ANDRITZ
WITH OUR EXTENSIVE GLOBAL PRESENCE, WE ARE ABLE TO PROVIDE THE INDUSTRY WITH HIGHLY ADVANCED YET EFFICIENT OPERATION AND MAINTENANCE

ANIMAL FEED MEA

NEW TECHNOLOGIES, MARKET TRENDS & FORMULATION OF ANIMAL FEED & PETFOOD PRODUCTS

Combined enzyme and probiotic solution unlocks full feed potential

As we look to feed a growing world population, it is critical for the feed industry to find ways to increase the efficiency by which animals convert feed into protein while shortening the cycle time of production.

New generations of healthy nutrition solutions, including combinations of feed technologies, will need to deliver sustained or increased levels of profitability through enhanced animal performance and livability to ensure a consistent supply of protein at an affordable cost.

REDUCING THE IMPACT OF VARIANCE IN FEEDING VALUE

Dealing with variability in feed digestibility and feed cost are two of the main challenges facing animal producers. It is generally acknowledged that the lower and more variable the feeding value of individual raw materials, the greater the potential for feed enzyme response. Appropriate combinations of feed enzymes are therefore particularly valuable in diets containing cheaper, high-fiber ingredients, which contain higher levels of anti-nutritional factors (ANFs), such as nonstarch polysaccharides (NSPs) and phytate. Corn is the most common feed grain used globally. However, its feeding value can also be very variable due to growing and harvest conditions, which can be improved with the addition of appropriate

enzyme combinations. Broiler trials have shown that variability in feed conversion ratio, caused by variability in corn and its digestibility, can be improved by a combination of xylanase, amylase and protease enzymes (Figure 1).

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ACHIEVING OPTIMUM FEED EFFICIENCY

Enzymes can positively affect the gut microbiota through improved digestibility, for example, xylanases showed benefits in wheat-based diets for poultry in a Campylobacter jejuni challenge model (Fernandez et al., 2000). It was also noted that indigestible NSPs and trypsin inhibitors (TIs) both appeared to induce necrotic enteritis (NE) linked to Clostridium perfringens proliferation in chickens (Shojadoost et al., 2012). Both NSPs and TIs are well-known substrates for xylanase/ betaglucanase and protease enzymes, respectively.

MAINTAINING GUT MICROBIOTA BALANCE

Probiotics have been defined as combinations of beneficial bacteria that maintain the gut microflora and assist with natural defenses against pathogens (Patterson and Burkholder, 2009).

Bacillus probiotics are favored for inclusion in animal feed due to their stability during steam conditioning and pelleting; their resistance to enzymatic digestion; and stomach acidity, which ensures delivery to the lower intestinal tract, as well as their effective colonization of the gut wall.

Benefits claimed for Bacillus include supporting optimum gut microbiota in young animals, counteracting stress, transportation, climatic change, mixing animals of different origin and overuse

of therapeutics. In addition, they have been shown to help protect growing animals from colonization by coliforms and promote villi development in the gut lining, enhancing the animal’s ability to absorb nutrients (Lee et al, 2010). This is important, as gut metabolism in chickens accounts for 20 to 36 percent of daily energy expenditure (Cant et al., 1996).

Trials with combined strains of B. subtilis have shown 4 to 5 percent improvements in FCR (Figures 2 and 3) and in an NE challenge model (Santosa et al. 1999) broilers maintained good performance during the period of challenge when probiotics were added to their feed.

The demand for more protein doesn’t only equate to meat, as eggs are a major protein source in many countries. After adding dried B. subtilis culture to layer diets, layer trials exhibited the following performance improvements: 2.8 percent in number of eggs/hen/day; 1.2 percent in egg weight; and 2.4 percent in egg mass/hen/day (Xu et al., 2006).

The same studies showed that egg shell strength was improved by 10.6 percent, protein levels in eggs by 3.1 percent, while yolk cholesterol was decreased by 12.2 percent. Also, 5.9 percent less feed was required to produce 1 kg of egg.

ACHIEVING THE OPTIMUM HEALTHY NUTRITION SOLUTION

Multi-enzyme combinations of

xylanase, amylase and protease can help producers improve performance while also supporting gut health. Bacillus DFMs have also been shown to provide healthy performance benefits. The logical conclusion would be that combining Bacillus probiotics and selected enzymes should unlock even more value by combining these benefits and helping producers supply high-quality protein more quickly and profitably.

In a meta-analysis of six broiler trials run under “low challenge” conditions, average improvements in body weight corrected FCR of 2.4 percent were seen, bringing a net benefit of around threeto-one in terms of return on investment.

In two studies using an NE challenge model with Clostridium perfringens, the same combination of Bacillus three-strain probiotic and xylanase, amylase and protease enzymes showed equivalent FCR to the unchallenged control (Figure 4).

As the pressure grows on poultry producers to reduce production costs without compromising bird performance or gut health, this combination appears to offer good opportunities to fully unlock the potential of feed

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ANIMAL FEED: FORMULATION

COUNTRY FOCUS: SOUTH AFRICA

SOUTH AFRICA Grains Industry Outlook

South Africa is expected to record another bumper harvest in 2023/24 season, but a lackluster economy and poor infrastructure are expected to limit investments in the medium term

With a landmass covering over 1.22 million square kilometers, South Africa is home to one of the world’s most diverse agricultural sectors, consisting of corporate and private intensive and extensive crop farming systems, including vegetable, fruit, nuts, and grain production. The exceptional quality of the country’s produce can be attributed to the country's climate, which ranges from subtropical to Mediterranean. This climate allows for a multitude of farming opportunities and supports a vibrant commercial farming sector. Compared to the rest of Africa, South Africa has by far the most modern, productive, and diverse agricultural economy. Commercial farms dominate the sector. It is estimated that there are about 32,000 commercial farmers, of which between 5,000 and 7,000 produce approximately 80 percent of agricultural output.

The grain industry is one of the largest agricultural industries in South Africa, contributing more than 30 percent to the total gross value of agricultural production. The industry comprises several key stakeholders including input suppliers, farmers, silo owners, traders, millers, bakers, research organizations, financiers, etc. Corn is the largest locally produced field crop and the most important source of carbohydrates in the country. It is closely followed by wheat, although the country relies on imports to meet local demand. Soybeans and sunflower seeds are other important crops, mainly grown to produce edible oil for human consumption and protein meal for inclusion in animal feed rations.

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16.2MMT IN NUMBERS FORECASTED MAIZE PRODUCTION IN MY22/23.

SOUTH AFRICA TO MAINTAIN STATUS AS NET CORN EXPORTER

South Africa has enjoyed good weather during the past four seasons resulting in record bumper harvests. According to the U.S. Department of Agriculture (USDA), South Africa produced a record 16.951MMT of corn from 3.118 million hectares in MY2020/21. This was followed by another bumper crop in MY2021/22 which USDA estimated at 16.054MMT from 3.002 million hectares. In MY 2022/23, the country is once again expected to produce another record crop with the latest estimates from USDA putting production at 16.2MMT. Analysts now opine that successive bumper crops have created a bearish outlook on local corn prices and will limit growth in the area to be planted with corn in 2023/24 to just 2.9 million hectares. This is expected to result in a slight decline in corn production to 15.8MMT.

In South Africa, White maize is mainly for human consumption and yellow maize is for animal feed. White maize meal or pap is the most commonly consumed staple in the country and the percentage of germ removed during extraction will influence the grading of the end product. Maize meal that has the least germ extracted is labeled “unsifted”, moving up the scale as extraction rates increase, to “sifted”,

“special” and “super” maize meal. South Africans generally prefer the special and super grades, so most of the bigger millers have stopped producing “unsifted” and “sifted” maize meal. Beyond pap, Maize is used to make other products including porridge, extruded maize snacks, Maize chips, breakfast cereal, and Mageu-a fermented, non-alcoholic drink widely consumed in South Africa. As maize is deeply entrenched in the South African diet, it's not surprising that the county has one of the highest annual per capita consumption in Sub-Saharan Africa at 81 kgs.

Yellow corn is used as the primary ingredient for animal feed, especially in the broiler industry. Chicken meat has grown to be the most important protein source in the diet of the majority of South Africans over the past 20 years which has subsequently resulted in an uptick in corn demand for feed. This past year has however been a difficult one for the broiler sector with many poultry producers incurring losses associated with load shedding and avian influenza virus. USDA, as a result, expects corn demand for animal feed to flatten in MY2023/24 and is not expected to rebound anytime soon.

“South Africa’s economic growth outlook over the medium term remains lackluster due to prevailing policy uncertainty, structural constraints,

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South African consumers prefer special and super maize meal grades.
COUNTRY FOCUS: SOUTH AFRICA

including continuous power outages and growing pressure on consumer spending due to rising inflation and interest rates,’ the USDA said. “The struggling domestic economy will hinder any major upsurges in the demand for corn, especially with the current relatively high commodity price environment.” Overall, USDA expects consumption to reach 12.0MMT in MY2022/23, a marginal rise from the 11.8MMT that was achieved in MY2021/22.

Despite the troubles at home, South African maize is in high demand abroad. USDA forecasts that the country is expected to remain a net exporter of corn with 2.3 million tonnes of exports in 2023-24, a slight decline from the 2.5 MMT forecasted for the 2022-23 season. The top five markets for South Africa’s maize exports are Japan, Taiwan, Vietnam, Botswana, and South Korea. According to USDA, these countries represent more than 80 percent of South Africa's corn exports.

Exports to the Asian countries consist exclusively of yellow corn while corn exports to Botswana and other neighboring countries are mainly white corn. South Africa is expected to export approximately 900 000 tons of white maize in the 2023/24 season. Most exports are across the border; merely 150 000 tons are estimated to be deep-sea.

WHEAT IMPORTS TO RISE TO MEET DEMAND

Wheat production in South Africa is not as lucrative as maize and is therefore not widely practiced. Wheat however remains a competitive crop in some areas of South Africa, especially in the Western Cape province which produces more than 60 percent of South Africa’s crop. Countrywide, the area under wheat has thus stagnated at around 500,000 hectares per annum for the past 10 years, producing about 1.8MMT annually.

Last year, local producers expanded their wheat area by eight percent due to the Russia-Ukraine conflict that created

uncertainty in the global commodity markets and pushed local wheat prices to record-high levels. However, an upsurge in wheat plantings in the 2023/24 season is unlikely. Local wheat prices fell by more than 20 percent from their historically high levels and, coupled with a 12 percent drop in yields realized in the previous season, optimism for an upsurge in wheat plantings is fading. In addition, with South Africa's continuous power outages, an expansion of wheat plantings under irrigation is unlikely. As a result, the USDA post forecasts a six percent drop in wheat area to 530,000 ha in MY 2023/24, which equates to the 5-year average. “Under normal climatic conditions and an assumed 5-year average yield of 3.8 MT/ha, an area of 530,000 ha could realize a wheat crop of about 2.0 MMT in MY 2023/24,” USDA said.

Despite low production, Wheat is the second most important

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South Africans consumer 2.4 billion loaves of bread per year.
DESPITE LOW PRODUCTION, WHEAT IS THE SECOND MOST IMPORTANT GRAIN COMMODITY CONSUMED IN SOUTH AFRICA AFTER CORN, WITH ANNUAL PER CAPITA CONSUMPTION ESTIMATED AT 60KG/PERSON IN 2022.

grain commodity consumed in South Africa after corn. The country has an annual per capita wheat consumption of 60kg/person and it is estimated that South Africans consume around 2.4 billion loaves of bread per annum or 40 loaves of bread per person per year. A large part of the market is covered by big players like Pioneer Foods, Tiger Brands, Premier, and RCL Food. These food companies run both industrial bakeries and mills of their own.

In MY 2023/24, USDA forecasts local wheat consumption marginally growing to 3.7 MMT. As local production is insufficient to meet demand, South Africa’s wheat and wheat product imports for the 2023/24 season are expected to rise to 1.9 MMT, according to USDA. So far in MY2022/23, Brazil, Germany, Poland, Russia, and Latvia have been the major suppliers of wheat to South Africa. USDA however does not foresee major increases in the demand for wheat in the medium term as consumers are currently facing a myriad of challenges, including high levels of unemployment, increased inflation (especially for fuel and food), and higher interest rates.

“Wheat demand in South Africa is also relatively price inelastic and should not experience major declines due to raising local wheat prices,” USDA added.

SOUTH AFRICA SET FOR HIGH OIL SEEDS OUTPUT

South Africa has experienced an upsurge in oilseed plantings over the past 20 years with a near nine-fold expansion in the soybean area. Soybeans now represent more than 20 percent of

the area planted with summer rainfall field crops, while twenty years ago it was a mere four percent. Several factors are contributing to this growth. Soybean generally uses fewer farming inputs than corn which makes it attractive, particularly in the current high input cost environment. Additionally, gross soybean profit per hectare (Gross profit (R/ha) 5876) greatly exceeds that of maize (Gross profit (R/ha) 5120.5), indicating that soybean production will continue to grow.

USDA foreign agricultural service (FAS) Post in Pretoria sees this growth trend in soybean plantings continuing in the marketing year 202324 with area and total oilseed production reaching a historically high level of 1.8 million hectares and nearly 3.6 million tonnes, respectively. Sunflower seed production is also catching up, with the USDA forecasting harvest could reach 810,000 tonnes in MY2023/24 from 600,000 hectares in MY2022/23.

The bulk of soybeans and sunflower seeds produced in South Africa are crushed to produce both edible oils for human consumption and protein meal for inclusion in animal feed rations. The FAS forecasts that South Africa will have a record of 1.7 million tonnes of locally produced oilseed meal available in 2023-24 and 2022-23 after crushing 2.5 million tonnes of oilseeds, in line with higher local oilseed production.

With production reaching unprecedented levels, South Africa is reaching the limit of local oilseed crushing capacity. With investments in

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COUNTRY FOCUS: SOUTH AFRICA
Soybean farming is becoming increasingly popular in South Africa.

new crushing capacity unforeseen in the medium term due to significant economic challenges most notably load shedding, the country is expected to ship 750,000 tonnes of soybeans and 50,000 tonnes of sunflower seeds overseas in the 2023/24 season. “In the past, South Africa’s trade in oilseeds was generally limited, as the bulk of production was destined for local crushing and trade was directed to oils and meals,” the FAS said. “However, with the surge in the local production of oilseeds leading production to exceed crushing capacity, South Africa has become a net exporter of oilseeds.”

RICE IMPORTS SUSTAIN DEMAND

Rice production is insignificant in South Africa because the crop requires a high amount of water, which is not readily available in a waterscarce country like South Africa. Demand is also not robust except for some South African households, especially amongst the local Indian population where rice is the predominant food source of carbohydrates. To meet local needs, South Africa depends on duty-free rice imports mainly from Thailand and India. More than 90 percent of rice consumed in South Africa is parboiled with the balance made up primarily of the Basmati variety.

As a rice importing country, South Africa is facing an environment of relatively higher global rice prices compared to the previous year. Coupled with high food-price inflation,

consumption is not expected to grow significantly in the short term. FAS thus foresees marginal increases in the demand for rice in MY 2022/23 and MY 2023/24 to 950,000 MT and 970,000 MT, respectively.

LACKLUSTER ECONOMIC GROWTH IMPACTING INVESTMENTS

The South African agricultural sector showed tremendous growth over the past two decades by almost doubling production. This positive trend translated to record agricultural exports of US$12.4 billion in 2021 and grew the agricultural sector’s contribution to South Africa’s Gross Domestic Product. This growth is now being curtailed by a struggling domestic economy that is unable to either sustain production or consumption.

South Africa has experienced an upsurge in oilseed planting over the past 20 years.

Load shedding has particularly emerged as a significant threat to South African agriculture. As an advanced agricultural economy reliant upon modern farming practices, the South African sector is not structured to withstand significant power outages. Although not yet quantified, USDA estimates that the impact could be in the billions of dollars. As a result, the profitability and sustainability of the industry are under threat and could limit future investments, which would in turn negatively impact food security, job creation, and economic growth.

This coupled with the deterioration of other infrastructure, including roads, rail, and water is expected to hinder significant investments in the medium term in areas including animal feed manufacturing and oilseed crushing facilities. This is unless new and drastic action is taken immediately to improve the country’s economic fortunes

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AS RICE PRODUCTION IS INSIGNIFICANT IN SOUTH AFRICA, FAS ESTIMATES THAT THE COUNTRY WILL IMPORT 950,000MT IN MY2022/23 WITH A MARGINAL RISE EXPECTED IN THE FOLLOWING SEASON WHERE IMPORTS ARE ESTIMATED AT 970,000MT.

EGG Replacers

A baker’s secret to affordable, healthy and sustainable treats

Around the world, the aroma of freshly made bread and other baked goods is irresistible to most people. The delicious smell and taste of freshly baked goods is the result of a complex baking process that involves the interaction of various ingredients.

Exquisitely simple, yet enormously complex, the egg is one of nature’s marvels and a common ingredient in many products, such as cakes, pastries, meringues, macaroons, custard fillings, quiches, and pancakes. But just how vital is it in baked goods?

Besides being highly nutritious, eggs play a crucial role in binding, leavening, tenderizing, and emulsifying bakery goods due to their

unique properties in emulsification, coagulation, foaming, and structure formation. It’s an open secret among bakers that without eggs, achieving the desired volume, texture, flavor, and color in baked goods is almost impossible.

WHY EGGS ARE BECOMING UNPOPULAR

However, there is an increasing demand for and interest in substituting eggs. Health issues such as phenylketonuria and egg allergies, as well as concerns about cholesterol, have long been a motivation for egg substitution. Their influence on bakery formulation has risen in prominence in the recent past as a response to increased consumer demand for better-for-you products. “The baking industry needs to adapt and cater to

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TECHNOLOGY FOCUS: EGG REPLACEMENT

this demand as more people no longer see food as merely a source for nutrition, but also see it as an active contributor to better health,” Nicola Weldon, strategy director at Kerry said.

Additionally, dietary preferences like vegan or vegetarian lifestyles, as well as religious beliefs are further accelerating the transition towards egg-free baked products. Rising prices of poultry feeds and market instability have also added wood to the fire. Rabobank’s global egg price monitor reached a new record in Q1 2023, with the index now peaking above 250, which means prices are 2.5 times higher than the reference year of 2007 and have increased more than 100% since this time last year. With prices more than doubling, Nicola Weldon, strategy director at Kerry in a recent address said that solutions now need to guard against high or volatile raw materials prices to keep baked goods affordable for consumers and ensure that bakers can earn profits.

The convergence of the above factors has resulted in rapid growth of the egg substitute market. Brandessence Market Research predicts that the global egg substitute market, previously valued at US$1.92 Billion in 2021, is projected to reach US$3.07 Billion by 2028, exhibiting a CAGR of 6.9%.

EGG SUBSTITUTES PROMISE STABILITY

Egg replacers offer a strong argument for bakers aiming to address rising raw material costs while also providing additional benefits. These substitutes not only offer cost advantages but also open up new possibilities for marketing products to individuals with egg allergies or those seeking plant-based alternatives. This was not always the case. Nicole Atchison, CEO of AcreMade admits that when they first launched their egg replacers, price was not their greatest selling point. “We’ve been able to improve our price competitiveness and as prices are today, we’re incredibly competitive, if not cheaper than your top-of-the-line eggs,” she adds.

AcreMade is a subsidiary of PURIS, a leading supplier of pea protein in North America. The company makes egg replacers from Upcycled Certified pea starch for use in the bakery industry. The bakery replacer has been formulated to deliver the foaming and emulsification properties of an egg in bakery applications. Atchison says that they have been able to demonstrate these capabilities in sponge cakes, cheesecakes, muffins, and all standard bakery recipes.

Ulrick & Short also has a new ingredient

called ovaprox 14 that can act as a complete functional egg replacer for various sweet-bakery applications. According to NPD technologist Tom Bull, who developed the new product, the product can be used in sweet baked goods like muffins and sponges, providing not just the volume rise, but also a good and consistent crumb structure.

Clean label ingredients specialist KrönerStärke also has a number of all-natural egg replacement products. The REGG-EX range is based on raw materials produced out of selected

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BRANDESSENCE MARKET RESEARCH PREDICTS THAT THE GLOBAL EGG SUBSTITUTE MARKET, PREVIOUSLY VALUED AT US$1.92 BILLION IN 2021, WILL GROW TO REACH US$43.07 BILLION IN 2028, EXHIBITING
A CAGR OF 6.9% DURING THE FORECAST PERIOD.

IN NUMBERS

25%

PERCENTAGE SAVING MILLERS CAN GET WHEN USING FLOUR CORRECTORS.

wheat flours and comprises three reduction levels, depending on the customer’s desired application, including star (up to 30%/40%); sol (up to 30%100%); and 100 (up to 100%). The products can be used for a wide spectrum of end products, such as sponge cakes and muffins, as well as yeastbased items like brioches and milk rolls. “We have already supplied our egg replacer to a wellknown frozen bakery company who was able to achieve an excellent end-product with the desired texture,” said Maren Finke, KrönerStärke’s product development technician. “A further example involved supplying REGG-EX as 100% egg replacement for a European producer of milk bread rolls – again with outstanding results.”

NOT A ONE MAN JOB

Finding something that would work as a perfect substitute is a challenge because there's no one ingredient that will substitute in its entirety for the action of eggs. When soy protein is for instance added to cake batter, the viscosity increases since soy protein absorbs lots of water, which can extend shelf life. However, this also leads to more air being incorporated into the

batter. As the cake undergoes processing, the gas produced by the chemical leavening causes these air cells to grow too big and collapse.

When used together with an emulsifier, this viscosity is much less as the emulsifier allows for smaller oil droplets in the batter which helps to better distribute the water and oil throughout the mixture, leading to cake batters with a better specific gravity which eventually results in a cake with a better final crumb structure than when either product is used alone.

Success with soybean and emulsifiers proved that innovatively blending various ingredients has a better chance of producing alternatives with the same natural capabilities as eggs than a single ingredient. This knowledge has led to other interesting formulations. Ground flaxseed or potato starch has for instance been found to mimic the binding capabilities of an egg, while other additions like soybean or milk proteins replicate egg’s structure-building characteristics.

An example is Ener-G egg replacer, which combines potato starch, tapioca starch flour, and a leavening agent to replicate the binding and expanding properties of eggs in baked goods. This versatile egg replacer works well for cookies, cakes, brownies, pancakes, waffles, and muffins. The icing on the cake is that Ener-G is gluten-free, kosher-certified, cost-effective, and user-friendly.

Other examples using this approach are Gluten-free Namaste egg substitute, which contains tapioca and arrowroot starches, citrus fiber, cream of tartar, and sodium bicarbonate, and Bob's Red Mill Egg Replacer which is comprised of wheat and soy. The latter is said to be perfect for light and fluffy pancakes and waffles and binds ingredients in baked goods such as muffins, cookies, and brownies while adding moisture.

Lupini beans are also emerging as promising alternatives to eggs. They offer several advantages: they are easier to cultivate, have a lower environmental impact compared to chicken egg farms, and are an abundant source of protein, amino acids, fiber, and minerals. Hamburgbased Plant B launched its lupin-based liquid egg alternative PLANT B Egg in April 2022. The product is a 100% plant-based alternative for scrambled eggs, cakes, waffles, or quiches making it a very good choice for bakers targeting health-conscious flexitarians and vegans alike.

Egg replacers also utilize hydrocolloids and emulsifiers to improve the quality of eggless baked products, especially cakes. Hydrocolloids

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TECHNOLOGY FOCUS: EGG REPLACEMENT Egg substitutes allows for formulation of plant-based baked products.

have gel-forming properties and increase the integrity of gas cell walls, while emulsifiers interact with starch, prevent amylose leaching, influence starch retrogradation, and increase the formation and stabilization of air bubbles. To introduce more color, beta-carotene could be added but again, this adds to the list of ingredients on packaging, potentially deterring consumers seeking ‘clean label’ products.

Those with no desire for plant-based alternative can explore precision fermentation which is also emerging as an alternative process to producing food sustainably. One of the players in the egg-replacement field is French company Algama which uses precision fermentation to produce microalgae-based egg-replacers under the Talgama brand which can be used in a number of baked products including brioches, biscuits, cookies, and donuts. A more notable brand in the precision fermentation scene is Perfect Day whose whey protein isolate from fermentation known as ProFerm is used to make an egg Replacer that can fully replace eggs in cakes, muffins, cookies, and any other baked good that requires whole eggs. “In our Egg Replacer, ProFerm™ functions as a foaming, waterbinding, and elastic agent, delivering improved flavor, color, and texture over egg alternatives,” Perfect day says on its website. “Its functionality lends to optimal cake height and a fine balance of tenderness and springiness, while improving the nutritional value of baked goods compared to existing alternatives.”

NO FORWARD-THINKING BAKER CAN AFFORD TO IGNORE

With egg prices hitting the roof, no forwardlooking baker can afford to ignore egg replacers and the opportunities they present beyond raw material cost stabilization. In egg replacers, bakers fined a supply-chain stable, providing a reliable and consistent ingredient for businesses to use across their portfolio.

Unlike eggs, replacers are also ingredients of the future as they cater for today’s needs for products that are animal-free and sustainably sourced, two things that are increasingly becoming important to consumers. According to a recent survey from McKinsey & Co., 66% of all respondents and 75% of millennial respondents say that they consider sustainability when they make a purchase. With egg replacement, bakers have a higher chance of attracting these consumers. A study on UK vegan bakery brand OGGS revealed that its cakes which were egg-

free had a carbon impact that was 72% smaller when compared to standardized eggs. While the transition to cage-free eggs can lead to increased expenses, utilizing egg replacers offers a financially efficient pathway to transitioning towards animal-friendly food production systems by eliminating the reliance on eggs.

Beyond sustainability, the plant-based bakery sector is on the rise with the release of products featuring a vegan or plant-based claim growing by 28.55% year-on-year according to Innova Market Insights. Demand is driven by perception that plant-based diets are healthier compared to meat-based alternatives. These beliefs are not unfounded as a study on one egg replacement came to show. According to the study, when OGGS Aquafaba is used in a Lemon Sponge recipe (comparing one egg for one equivalent amount of aquafaba in a 100g portion), there is a 10% reduction in saturated fats and a 5% reduction in calories. The egg replacer was also found to contains 85% fewer calories than hen’s eggs, 96% less saturated fat and packed in 88% less salt than egg.

Very few problems have silver bullet solutions, but in the current egg supply crisis, replacers certainly come close. They are a revolutionary innovation that provides exceptional taste, performance, and functionality with the benefit of a more predictable supply chain. They are certainly the future of baking and only nonforward-looking bakers can afford to ignore them

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WITH EGG PRICES HITTING THE ROOF, NO FORWARDLOOKING BAKER CAN AFFORD TO IGNORE EGG REPLACERS AND THE OPPORTUNITY THEY PRESENT BEYOND RAW MATERIAL COST STABILIZATION.

GM WHEAT RECEIVES A SHOT IN THE ARM

Long abandoned and neglected, GM wheat receives renewed interest as climate change threatens global supply

Genetic modification remains a bone of contention today, especially when it comes to bio-engineering products solely meant for human consumption. The adoption of genetically modified crops is plagued by negative perceptions stemming from misunderstandings that begin from its very definition. According to the World Health Organization, a genetically modified organism (GMO) is any organism whose genetic material (DNA) has been altered in a way that does not occur naturally by mating and/or natural recombination. It most commonly refers to organisms-often plants-that have been modified to achieve desired traits, like drought tolerance and pest resistance, using recombinant DNA techniques or genetic engineering.

GM WHEAT ON THE BACKBURNER

Despite the existence of GM crop technology for nearly three decades, progress in the development of GM wheat varieties has been limited. According to data from the USDA, commercially traded genetically engineered seeds for major field crops were introduced in 1996, with more than 90% of US corn, upland cotton, and soybeans being produced using genetically engineered varieties by 2022. Analysts attribute the greater acceptance of GM corn and soybean crops to their primary use as livestock feed, particularly in the United States, where corn is not a staple food as it is in many African countries. In contrast, wheat has not received comparable enthusiasm thus far, as its primary usage is in human consumption, primarily for products such as bread, pasta, and processed flour.

Progress is expected to be slow as GM wheat

still meets resistance from many countries prompting many grain companies and exporters to avoid the grain. Moreover, a lot of not-for-profit nongovernmental organizations, many based in Europe, including Greenpeace International and Friends of the Earth International, have full-blown campaigns against GM wheat. “It’s disappointing to a lot of millers that wheat came late to the GM party and found the door locked,” said Richard C. Siemer, president, Siemer Milling Co., Teutopolis, Illinois, US.

BIOCERES KEEPS THE GM WHEAT FLAME ALIVE

Despite resistance, Bioceres Crop Solutions, an Argentina-based integrated biotech company of crop productivity solutions, has remained committed in advancing research in GM Wheat. Backed by decades of research, the company successfully developed a drought-tolerant variety of biotech wheat, HB4 wheat (OECD coded IND-ØØ412-7). HB4 wheat is a type of wheat that has been genetically modified by introducing sunflower genes to improve crop productivity. According to Bioceres, the HB4 gene encodes the protein HAHB4 (Helianthus Annuus Homeobox-4), which binds to specific sequences of wheat DNA and regulates the expression of certain genes.

According to Bioceres, the HB4 gene contains the HAHB4 protein (Helianthus Annuus Homeobox-4), which binds to specific wheat DNA sequences and regulates the expression of targeted genes. This protein naturally increases in response to environmental stress, such as drought, and delays the senescence process, allowing the crops to withstand periods of

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MARKET UPDATE: GM WHEAT

water scarcity. Bioceres reports that its HB4 drought-tolerance technology has demonstrated an average 20% increase in wheat yields under limited-water conditions. This characteristic is particularly advantageous for double-cropping systems, where effective water management plays a crucial role.

DROUGHT OPENS WINDOW FOR ADOPTION

While biotech wheat remains a bone of contention in many countries worldwide, long dry spells are forcing many countries that primarily rely on wheat for their subsistence to reconsider their hardline stance. Argentina which is increasingly struggling with drought saw an opportunity for HB4 wheat to help stabilize production and revenue. The South American country approved the world’s first genetically engineered wheat for cultivation and consumption in October 2020 after experiencing decreasing yields since 2017, partially due to drought, with the 2020/21 season yields the second-lowest in ten years. Production

expanded dramatically in 2021, and will continue to expand in 2022, after Argentina received regulatory approval in late 2021 for exports to Brazil, a major consumer of Argentina’s wheat. Another boost for GM Wheat came in March 2023 when Brazil approved the cultivation and sale of drought-tolerant genetically modified wheat. The approval makes Brazil the second nation after Argentina to approve Bioceres' HB4

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HB4 GENE CONTAINS THE HAHB4 PROTEIN WHICH INCREASES IN RESPONSE TO ENVIRONMENTAL STRESS, SUCH AS DROUGHT, AND DELAYS SENESCENCE PROCESS, ALLOWING THE CROPS TO WITHSTAND LONG PERIOD OF WATER SCARCITY.

IN NUMBERS

wheat strain for cultivation. Colombia, Australia, and New Zealand have approved import of GM Wheat for use in food and feed but regulatory approval has not been granted for local production. In Indonesia, HB4 wheat importation is approved for feed use only. Having succeeded in Brazil and Argentina, Bioceres is now pushing for approval in Australia to release HB4 for planting in 2023.

In the USA, Bioceres and HB4 underwent a voluntary consultation period with the US Food and Drug Administration (FDA) and in June 2022, the FDA concluded its evaluation of HB4 allowing Bioceres to seek the US Department of Agriculture’s approval for planting. “The Bioceres product is of particular interest to our members because of its drought-tolerance trait,” said Jane DeMarchi, president of the North American Millers’ Association.

Bioceres still has a lot of steps to take before it is commercialized in the US and the timeline for USDA’s determination of Bioceres’ application to allow cultivation of HB4 is unclear. To further complicate matters, the USDA, in a report that was presented in 2021 on the safety of HB4 wheat, provided that an independent scientific assessment of the application for the commercial release of HB4 Wheat presented concerns about the analysis of endogenous gene interruptions by genetic modification and its potential risk for consumers. “One issue of concern is that the endogenous transcription factor – HAHB4 protein that will be consumed as food / feed could not be extracted and evaluated; reason being that it is unfeasible to isolate the HAHB4 protein in the

genetic plant in enough quantity and purity to be used for quantification, biochemical studies and characterization studies. Safety of this construct is not certain,” remarked the USDA.

AFRICAN COUNTRIES TAKE A FEARFUL APPROACH

According to Getachew Belay, an African expert on GM crops, Africa has historically been a laggard in accepting new agricultural technologies. He adds that much of the problem lies in their perception, exaggerated fear, and conflicting messages sent to policymakers for GM crops. Interestingly, according to an article by Reuters’ MacDonald Dzirutwe, in 2002, Zambia experienced a severe drought that left millions of its citizens starving but the government still rejected GM maize offered by donors, citing inadequate scientific information.

Nevertheless, according to a review paper titled Development of GM crops in Africa by the African Union Development Agency, many African countries have been adopting agricultural biotechnology to curb some of the challenges that face their crops and increase productivity.

Some of the biotech crops cultivated in the continent include stem borer resistant maize, drought tolerant maize, maize resistant to maize streak virus, bananas with resistance to bacterial wilt, nematodes and weevils, bio-fortified bananas and bio-fortified sorghum. Others are virus resistant cassava, bio-fortified cassava, pod borer resistant cowpea, weevil resistant sweet potato, and nitrogen use efficient, water use

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GM WHEAT CULTIVATION. 2020
HB4 wheat has received approval for cultivation in Argentina & Brazil.
THE YEAR ARGENTINA APPROVED
MARKET UPDATE: GM WHEAT

efficient and salt tolerant rice.

However, in a continent of 54 countries, only South Africa, Burkina Faso, Egypt and Sudan have embraced the growing of GM crops. Egypt and South Africa are growing Bt maize, farmers in South Africa and Burkina Faso have been cultivating Bt cotton since its adoption in 1998 and 2008 respectively, and in 2012, farmers in Sudan also started growing Bt cotton.

Other countries like Kenya, Nigeria, Ghana, Malawi, and Uganda have conducted field trials before deciding whether growing these crops is the right way to go. However, in spite of the pertinent misconceptions about biotech crops, the situation in many African countries is subject to change as each works out relevant legislation and policies for biotechnology.

NIGERIA LEADS THE WAY IN GM WHEAT ADOPTION

Despite the concerns over the consumption of GM wheat, the Nigeria Biosafety Committee ignored these gaps in data and knowledge while making their recommendation for the authorization of the importation of IND-ØØ412-7 wheat for food, feed, and processing in Nigeria.

In July 2022, Nigeria officially approved imports of drought-resistant Bioceres’ HB4 wheat to reduce the high prices of wheat products in the country. The permit issued by Nigeria's National Biosafety Management Agency is valid up to July 2025. Nigeria, which was set to import 6.5 million tonnes of wheat through the 2022-2023 season, according to data from the

USDA, will have a significant proportion of this wheat being of the HB4 variety.

A group of civil society organisations (CSOs) in Nigeria, however, criticized the permit granted to Trigall Genetics S.A. for importation of HB4 Wheat, citing concerns about its safety presented a USDA 2021 report. Akinbode Oluwafemi, Executive Director, Corporate Accountability and Public Participation Africa (CAPPA), beseeched the government of Nigeria to commit to long term evaluation of the safety of the GM technology to ensure the safety of its citizens. “The government should ensure adequate support for our farmers and support agroecology which assures optimum productivity of healthy, and safe food while replenishing ecosystems,” he said.

A SUSTAINABLE OPTION

HB4’s ability to grow better with less water could help reduce land use. As Argentina’s wheat yields have fallen, there has been an expansion in the area planted. This is a pressure faced worldwide: in order to meet the growing global demand for crop products like wheat, there must be an increase in yield and/or the total area cultivated.

On a global scale, such farmland expansion leads to deforestation, which releases greenhouse gasses and has negative impacts on biodiversity, as well as ecosystem services like water filtration. Since 2000, 102 million hectares of land — nearly the size of Egypt — globally have been converted from native vegetation to cropland (not including pasture and rangeland). Increasing yields is key to meeting growing food demand without farmland

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IN JULY 2022, NIGERIA OFFICIALLY APPROVED IMPORTS OF DROUGHTRESISTANT BIOCERES' HB4 WHEAT TO REDUCE THE HIGH PRICES OF WHEAT PRODUCTS IN THE COUNTRY.

THE YEAR BRAZIL APPROVED GM WHEAT CULTIVATION.

expansion. Without any increase in agricultural productivity, over 1 billion hectares of cropland — greater than the size of China — would need to be cleared globally by 2050 to meet projected demand.

Bioceres however says that its GMO wheat "showed higher yields than conventional varieties across all environments, with an average 43% yield improvement in targeted environments." Further the biotech company revealed that it observed a 12% increase in yields under moderate growing conditions, and a yield decrease of 11% under good growing conditions (the quality of growing conditions may include other factors in addition to drought). The yield decrease under good growing conditions has been addressed, and the improved seed will be phased in during the following seasons. Based on field results from the crop in Argentina, the Breakthrough Institute estimates that growing drought-tolerant HB4 wheat on one-third of Argentina’s wheatgrowing area could reduce global greenhouse gas emissions by at least 0.86 million metric tons of CO2 equivalents per year (MtCO2e/yr) if yields increase 13%, and up to 1.29 MtCO2e/yr if yields increase 20%. These greenhouse gas emissions savings are equal to 34% and 51% of the yearly on-farm emissions from Argentina’s wheat production, respectively.

IS GM FOOD SAFE

Fears

Safety concerns always crop up in every conversation around GM Food and G wheat is certainly no exception. Many conservatives usually refer to a 2008 study Hug which identified some potential risks associated with GMOs and

these include unexpected gene interactions, cancer risks due to high amounts of pesticide residues, allergenicity, horizontal gene transfer, antibiotics resistance, biodiversity threat and environmental risks.

This often enough to sway public opinion against GM Foods. What is mostly hidden from the public knowledge is the fact that over 4485 risk assessments related to human health and the environment have been conducted on approved GM crops globally. A 2020 review by Smyth et. al determined that there is no substantiated evidence of GMO risks compared with similar risk potentials from non-GM counterparts. To explain the widespread negative perception, Smyth further opined that sciencebased recommendations that guide GMOs safe production and consumption are often ignored by unscientific opposition to the adoption and commercialization of GMOs.

We can thus conclude that fears surrounding GM food are not extensively backed by science. GM crops have also been approved by leading scientific authorities around the world, including U.S. National Academy of Sciences, United Nations Food and Agriculture Organization, World Health Organization, European Food Safety Authority, American Medical Association and the American Association for the Advancement of Science, with the assurance that GM food crops do not pose any risks to people, animals or the environment. Moving forward, honest discussions around GM Foods and public awareness could do a lot more to improve public perception which is critical if GM Food is to play its rightful role in helping nations achieve food security

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surrounding GM Food are not extensively backed by science.
2023
MARKET UPDATE: GM WHEAT
IN NUMBERS
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Novozymes launches new enzyme for improved texture and shelf life in baked goods

in formulations and recipes, has no negative effects on the dough properties, and allows for effortless dosing.”

This solution produces bread with great texture for improved sliceability, which is a challenge for many bakers while maintaining the softness of the baked products, resulting in a “soft yet resilient bite.”

This enzyme ensures that baked products remain soft during their shelf-life, thus maintaining the desired quality.

DENMARK - Novozymes has launched Novamyl BestBite, a new enzyme aimed at improving baked products’ texture and shelf life, reducing food waste, and limiting the use of added sugar in bread.

This product has been in development for the last three years and is the latest

NEW PRODUCT

addition to the Novamyl range, which targets food waste reduction in baking processes.

According to Adam Diggle, business unit director for Baking at Novozymes, Novamyl BestBite builds on the success of its predecessors and is a “robust solution that is easy to apply

“With Novamyl BestBite, we have prolonged the natural texture in baked goods, making products remain fresher for much longer. Consumers liked bread that was 15 days old as much as day one,” Diggle comments.

By keeping products on the shelf longer and maintaining their attractiveness to the consumer, chances of food wastage reduce.

Beneo launches new ingredient that replaces sugar with fiber

USA - Functional ingredients specialist Beneo has launched Beneo-scL85, a short-chain fructooligosaccharide (scFOS) that promises to reduce the sugar used in snacks and baked products by enriching them with dietary fiber.

The scFOS are prebiotics and do not undergo digestion in the small intestines. Instead, they are fermented by the microflora in the colon into shortchain fatty acids and therefore do not have an erratic effect on the consumers’ blood sugar levels.

According to the company, the ingredient’s short-chain FOS is derived from beet sugar and offers a mildly sweet taste, good solubility, and natural credentials that contribute to improved taste and texture.

According to Beneo, the new ingredient will increase the capabilities

of sugar reduction techniques, combined with the increased production capacity of its chicory root fiber production plant in Chile.

“Beneo’s short-chain fructooligosaccharide will further secure supply to meet the high demand for solutions to reduce sugar,” said Eric

Produced in a dedicated facility in Germany and available globally as a syrup, the ingredient may be used for bulking in applications such as bakery, dairy, and cereals.

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NEW PRODUCT
Neven, commercial managing director for Beneo’s functional fibers.

Alapala’s spare parts arm Depart to offer vertical packaging solutions in Africa and Asia

TURKEY - Depart; Alapala Holding’s group company which is known in milling spare part sales and after-sales services, is now set to offer vertical packaging solutions following its partnership with Italian packaging leader HBTS Packaging.

Based in Turkey, Alapala’s diverse range includes pasta spare parts, telescopic conveyor systems, sorting&rice machines, end of line packaging machines and horizontalflowpack packaging systems.

Through its deal with HBTS,

the company will now meet vertical packaging needs under “Depart Packaging Solutions” within the scope of primary packaging solutions.

“Now we will offer vertical packaging solutions with the capacity to meet the needs of fast production facilities by shaking hands with Italian packaging leader HBTS Packaging,” said Cengiz Tiryakioğlu, Depart’s General Manager.

Depart will manage the sales and marketing of HBTS’s vertical packaging machines in all Africa, Far East, Middle East and Southeast Asia.

ADM launches “HarvestEdge Oro” flour brand for authentic pizza experiences

Labine said.

Additionally, the company unveiled that a network of farmers processes ingredients for HarvestEdge Oro flour as part of the company’s net-carbonneutral milling operations.

ORO RANGE

USA – Global food processing and commodities trading corporation, ADM, has expanded its HarvestEdge line of flour by launching “HarvestEdge Oro”, a line of pizza flours made from sustainably sourced wheat.

According to the company, the HarvestEdge Oro range includes premium and custom pizza flours, mixes, blends, low-carb flour replacers, and specialty grains to deliver elevated, authentic pizza experiences.

ADM stated that the introduction of HarvestEdge Oro comes as the pizza market continues to expand, with the line helping operators tap into new

areas.

In addition, Paula LaBine, marketing director, of global milling and baking solutions for ADM noted that consumer demands are increasingly intersecting, and they’re seeking products with sustainable credentials that also taste exceptional.

“Our new HarvestEdge Oro line helps pizza manufacturers entice the modern consumer with key optionality through differentiated offerings, from 00-style pizza flour that delivers Neapolitan-style pizzas, to a low net carb flour replacer for keto-friendly offerings, along with sustainably sourced flour options,”

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INCLUDES PREMIUM AND CUSTOM PIZZA FLOURS, MIXES, BLENDS, LOW-CARB FLOUR REPLACERS, AND SPECIALITY GRAINS TO DELIVER ELEVATED, AUTHENTIC PIZZA EXPERIENCES.
NEW PRODUCT
DISTRIBUTOR PARTNERSHIP

GERMANY – Evonik, one of the world leaders in specialty chemicals, has launched a new generation of Biolys®, a proven source of lysine for livestock feeds.

The new Biolys® formulation contains 62.4 percent L-lysine (an 80 percent ratio to Lysine HCl) compared to the current version’s 60 percent L-lysine (a 77 percent ratio to Lysine HCl).

The product also contains valuable components resulting from its fermentation process — additional nutrients and energy that further benefit livestock such as swine or poultry.

“The new Biolys® allows our customers to meet their animals’

South Africa

Johannesburg, South Africa, the new center operating as Stern Ingredients South Africa, provides the capacity to develop and manufacture individual system solutions for improving, standardizing, and fortifying flours and baked goods.

This new location – along with its existing ones in Lagos, Nigeria and Nairobi, Kenya – will enable MC to perform all aspects of the valueadded chain in flour improvement and fortification on-site, including sourcing, rheology and analytics, as well as application development and production for African mills and bakers.

requirements for the essential amino acid L-lysine even more efficiently. They can achieve the usual effect with less product”, says Dr. Martin Steffan, product manager Biolys® at Evonik Animal Nutrition.

Biolys® is produced by means of fermentation. Microorganisms convert dextrose, a sugar derived from corn, into L-lysine. The product contains L-lysine granulated with a nutritionally rich biomass.

Since 2021, Evonik has managed to reduce the CO2 emissions from this production process by roughly 20 percent, leading to the lowest carbon footprint for lysine available on the market.

Evonik launches L-lysine concentrated Biolys product for animal feeds MC Mühlenchemie opens new technology and application center in

collaboration with mills and bakeries and to facilitate technology transfer.

MC’s area sales manager for the South African market, Jannes Peemoeller, will lead the subsidiary and build a team of experts in technology, consulting and production in Johannesburg.

SOUTH AFRICA - MC Mühlenchemie (MC), a solutions provider for flour millers and producers, is opening a third location in Africa, which includes laboratories and a technology centre.

Located in Randburg near

The site has 400 square metres of space, plus the equipment for flour and grain analysis. According to the company, the trial bakery allows processes to be simulated and enzymes and other ingredients to be tested.

Stern Ingredients South Africa has established a training and education centre at the location in order to improve

JUNE 2023 | MILLING MIDDLE EAST & AFRICA WWW.MILLINGMEA.COM 62 SUPPLIER NEWS & INNOVATIONS
NEW PRODUCT
INNOVATION CENTER
THE NEW LOCATION WILL ENABLE MC TO PERFORM ALL ASPECTS OF FLOUR IMPROVEMENT AND FORTIFICATION ON SITE, INCLUDING RHEOLOGY AND ANALYTICS.

OPI

introduces new grain quality sensor to help with early biological activity detection

“Instead of waiting for odor or visual cues — which typically come too late to save grain and protect profit margin — this sensor alerts at extremely low levels of CO2, the best and earliest indicator of grain deterioration.”

CANADA — OPI introduced a new Grain Quality Sensor to assist farmers and commercial storage operators by detecting biological activity in grains at the earliest possible stage.

It detects carbon dioxide, an early indicator of insect and mold activity that can significantly damage stored grain.

The design allows installation as close to grain as possible, in the plenum and head space, for early detection and alerts.

Normal background CO2 is 400-

INVESTMENT

600 ppm, while spoiled grain begins to smell at about 1,200 ppm. The OPI Grain Quality Sensor has 50-ppm accuracy up to 2,000 ppm. The sensor includes threshold (absolute level) alarms or rateof-rise alarms, both configurable by the user.

The sensor can be paired with OPI’s advanced moisture and temperature sensor cabling to identify problem areas in the bin.

“The Grain Quality Sensor is agriculture’s most advanced warning that grain movement is needed,” said

DSM launches premixes facility in Kansas to bolster pet food production

USA – DSM, now part of DSMFirmenich Group, has announced plans to build a next-generation nutritional premix plant in Kansas to supply the pet food industry with high-quality nutritional premixes for use in branded pet food products worldwide.

The facility is likely to break ground in July 2023 and is expected to be fully operational by early 2025.

“The pet food industry has been looking for a better source for the highest quality, traceable, and reliable nutritional ingredients for their products, and we are thrilled to be able to deliver for the

industry and for ‘pet parents’ with this new facility in Tonganoxie,” said DSM CEO, Dimitri de Vreeze.

The facility, which will create 28 jobs, will be strategically located in the KC Animal Health Corridor, close to many industry-leading pet food manufacturers, reducing supply chain risk and logistics expenses.

“DSM is a welcome addition to Kansas and the Animal Health Corridor,” said Kansas Governor Laura Kelly. “Having another industry leader located here further enhances the globally recognized animal health ecosystem that is anchored in Kansas.”

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THE SENSOR DETECTS CARBON DIOXIDE, AN EARLY INDICATOR OF INSECT AND MOLD ACTIVITY THAT CAN SIGNIFICANTLY DAMAGE STORED GRAINS.
NEW TECHNOLOGY

Satake introduces new rice sorting technology in Tanzania to boost quality, productivity

that the rice sorting technology will open more export markets to Tanzaniaproduced rice, whose quality has been the stumbling block.

“We once organised ourselves and started exporting rice to Dubai. Unfortunately, we did not last long. Our rice consignments were rejected as they were deemed substandard,” said a rice processor who identified himself as Mr Juma.

TANZANIA – Satake, Japanese supplier of grain sorting and processing equipment, has introduced a new rice sorting technology in Tanzania which is expected to boost efficiency in rice processing.

Known as the Colour Sorter, the new machines have the ability to sort out

unwanted solid materials using higherresolution sensors, leaving the rice grains clear and of high quality.

To promote uptake of the state-ofthe-art technology Satake has entered into an agreement with local processors for supply and maintenance.

Processors say they are optimistic

According to the Director of Mechanization and Irrigation in the Ministry of Agriculture, Ms Anna Mwangamilo the new technology will greatly boost rice export market share, quality, and production.

Tanzania anticipates that the technology will increase the rice industry’s competitiveness in both domestic and international markets.

IFF launches new vital gluten replacer suitable for whole wheat bread baking

USA - International Flavors & Fragrances (IFF) has launched the Enovera 2000 range in Europe, the latest addition to its comprehensive range of market-leading solutions for the bakery industry.

The enzymatic dough strengthener, Enovera 2000, is a vital gluten replacer, especially suitable in whole wheat bread baking.

According to IFF, the new ingredient can replace up to 50% of vital gluten in whole wheat bread, allowing operational cost reductions without quality or volume trade-offs.

“Enovera 2000 range is a true industry breakthrough; it reduces up to 50%of vital gluten and brings functional equivalence to traditional emulsifiers – handling process variances and

overdosing, as well as whole wheat applications,” Aurelie Gammelin, global product manager for the bakery section at IFF, commented.

The dough strengtheners in this range deliver dependability throughout production and provide superior finished product quality for whole wheat bread in comparison to existing alternatives in the market.

Thus enzymatic innovation performs equivalently or better than traditional emulsifiers and with a reduced dependence on aids used to compensate for inconsistencies.

“The solution…performs equivalently or better than traditional emulsifiers and with a reduced dependence on aids used to compensate for inconsistencies,” IFF said in a statement.

JUNE 2023 | MILLING MIDDLE EAST & AFRICA WWW.MILLINGMEA.COM 64 SUPPLIER NEWS & INNOVATIONS
NEW TECHNOLOGY
PRODUCT
NEW

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Our Palsgaard ® SA Series is the perfect alternative to cake gels and shortenings when you’re looking to optimize your cake recipe. They can also help to reduce your egg content – bringing some serious potential cost savings.

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Articles inside

EGG Replacers

7min
pages 52-55

SOUTH AFRICA Grains Industry Outlook

11min
pages 47-51

Combined enzyme and probiotic solution unlocks full feed potential

1min
pages 45-47

WE ARE COMMITTED TO HELP THE ANIMAL FEED AND BIOFUELS SECTOR IN MIDDLE EAST & AFRICA GROW FURTHER

1min
pages 43-44

SIGMA FEEDS

1min
pages 39-42

Bakery Broadway

1min
pages 31-38

AFRICA SUSTAINABILITY SYMPOSIUM REVIEW

2min
pages 28-30

AFMASS FOOD EXPO REVIEW

2min
pages 24-25

AFRICA FOOD AWARDS REVIEW

3min
pages 22-23

Premier FMCG crowned Company of the Year at Africa Food Awards 2023

3min
pages 20-21

Egypt secures US$66M from EU, AFD to boost grain storage capacity

5min
pages 18-20

PepsiCo opens a new US$238M snack plant in Poland

4min
page 18

After suffering worst drought in decades, Morocco introduces raft of measures to bolster cereal production

3min
pages 16-17

Premier Group triumphs load shedding, rising inflation to post nearly 40% jump in annual profit

3min
page 15

Turning aflatoxin contaminated food into sustainable protein and Fertilizer

9min
pages 10-14

Milling and baking industry in Africa shines at Africa Food Awards 2023

3min
pages 8-9

FEED & BIOFUEL COMPLETE PLANT SOLUTION PARTNER

0
page 7

introduces new grain quality sensor to help with early biological activity detection

3min
pages 65-67

Evonik launches L-lysine concentrated Biolys product for animal feeds MC Mühlenchemie opens new technology and application center in

0
pages 64-65

ADM launches “HarvestEdge Oro” flour brand for authentic pizza experiences

1min
pages 63-64

Alapala’s spare parts arm Depart to offer vertical packaging solutions in Africa and Asia

0
page 63

Beneo launches new ingredient that replaces sugar with fiber

0
page 62

Novozymes launches new enzyme for improved texture and shelf life in baked goods

0
page 62

THE YEAR BRAZIL APPROVED GM WHEAT CULTIVATION.

2min
pages 60-61

GM WHEAT RECEIVES A SHOT IN THE ARM

6min
pages 56-59
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