COMPANY PROFILE
2013
feedpro
Innovation and growth at FeedPro
company report
Innovation
and growth at FeedPro Editorial: Joe Forshaw Production: Tonnie Geddes
FeedPro has expanded its activities to incorporate the dog food market in its product portfolio. CEO, Gert de Bruin, says that unique products and their availability in the market is what distinguishes the company from the competition.
It was in the 1930s that the animal feed industry really took off in South Africa. Following extremely tough economic conditions, a more scientific approach to the development of suitable animal feed was adopted and new, modern feeding systems were developed. New feed mills began to pop up, mostly near rail lines, and the by-products of other industries became popular parts of the feed mix for agricultural animals. Wheaten bran, groundnut, offal and brewers grain were all used and often, feed mills would sprout up in locations close to sources of these ingredients. Over the years, the amount of animal feed produced has grown dramatically; rising from 3.9 million tons in 97/98 to around 10.7 million tons today. The value of this amount of feed is calculated at over R22 billion per year
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and the industry body, the Animal Feed Manufacturers Association (AFMA), has been monitoring the sector since 1945. Last month, IndustrySA spoke to Patrick Addis who sits on the board of AFMA and acts as COO of De Heus and he told us that the feed market in South Africa is fairly mature and innovation is always welcome. This month, we take a look at the business of FeedPro, a subsidiary of Agriculture giant Profert, and look at what they are doing to innovate and grow the industry. “The main business of FeePro Animal Nutrition is producing animal feed,” says Gert de Bruin, FeedPro CEO in an interview for profert.co.za. “In addition to the animal feed branch, FeedPro in Vryburg also owns granular facilities and a lick mixing plant. Our series also includes concentrated products and supplement feed
FeedPro
“We’re also intent on making unique products that make it comfortable and acceptable for the farmer in his particular situation”
products such as licks in the veld and other conditions.” The company’s strategy is to serve its clients directly and build close relationships. “FeedPro serves its markets one-to-one, with small and bulk deliveries to farms and businesses. We also serve the market through trading networks, mainly with our products in bags where former agri-cooperative businesses and private depot businesses act as our distribution channels. “Where these channels are not available, FeedPro uses its own depots and we believe that the availability of our product is one of our success factors,” says de Bruin.
SERVING MANS BEST FRIEND At the end of 2011, FeedPro introduced a new facility – a dog food factory in Vryburg. The factory is equipped with a unique extruder from CFAM Technologies with which
dog food, cat food, fish food and even potato chips can be manufactured. “The dog food factory has the capability to manufacture specialist products. We produce dog food for Lionel’s Vet, formerly Companion, a Profert affiliate. We also do contractual production for several prominent dog food manufacturers,” says de Bruin. The extruder from CFAM Technologies is reported to have cost R2.3 million and was built at the Potchefstroom Campus of the North-West University. Many have praised FeedPro for going local with the development of the extruder, claiming that to import a similar product could have cost as much as R12 million. The new factory is the only one of its kind in the South African dog food market and the extruder makes the equipment unique.
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company report All raw materials are handled with great care and then carefully unpacked, mixed and lastly milled according to approved formulas. The extraction for mixing is done electronically to minimise any human errors. The cooking process takes place in ten seconds and products are exposed to temperatures of 80 - 180˚C in different sections of the extruder. The dog food is cooked at 120 - 130˚C and pellets are then put through a drying, spraying and cooling phase, after which they are then packaged. The size of the pellets that are manufactured determines how long the drying process takes. As soon as the pellets are ready to be packaged, they are sealed in packaging material and are ready for distribution following a strict inspection process which ensures quality and quantity standards are met.
BEING SPECIFIC FeedPro is intent on growing and building on its strong and diverse product portfolio and a method that has allowed the company to build further relationships has
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been developing unique products with specific end-users in mind. “What makes FeedPro feeds unique and what distinguishes us from so many other feed factories is that we have an old plant that has been upgraded and we’re in the Mecca of cattle farming; so dairy, cattle, sheep and game form the core of our market. “We’re also intent on making unique products that make it comfortable and acceptable for the farmer in his particular situation,” says de Bruin. This is where the close relationship between customer and supplier becomes invaluable and de Bruin suggests that FeedPro’s marketing team make communication easy for both parties. “FeedPro has a very good marketing team. We have a team of senior technical assistants who are qualified to make feed recommendations to customers for specific production levels of various animals. “In addition to this we also have agents deployed in various areas to serve customers on farms and in business branches.”
FeedPro GROWTH FeedPro is owned by Profert Holdings who have, over the past 15 years, invested in many mergers, acquisitions and partnership agreements. Profert now holds interests in 19 organisations and, through vertical integration, is now looking to unlock value in the food production value chain. FeedPro, as part of this mission, is also looking for growth. The company has set out its ambition to grow further in South Africa and sub-Saharan Africa and expand on the already sterling reputation and trademark. “We work with experts around the country for interaction of all facets of animal feed and species specialisation to ensure that we keep up to date with all technological developments. This allows us to ensure that all our advice and information is current, fresh and to the point,” says de Bruin. He concludes by saying: “I believe FeedPro’s future is promising. We’re now positioned to serve the market effectively and substantially. We plan to double our plant’s tonnage within the next 12 to 18 months.”
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Experts on the design and manufacturing of specialized machinery including:
Twin Screw food extruders Precision feeder screws Reverse engineering Precision CNC machining
Danie Vorster danie@cfam.co.za Tel: +27 18 294 7173 Fax: +27 86 547 0698
www.cfam.co.za
+27 53 927 5406 www.profert.co.za
(0)1603 618 000 info@industrysa.com East Coast Promotions Ltd, Ferndale Business Centre, 1 Exeter Street. Norwich, Norfolk NR2 4QB