Pork Journal September/October 2014 by Rosemary Embery

porkjournal www.primarymedia.com.au

Volume 36 Issue 5

Free range pig farmer wins Livestock Producer of the Year for 2014

September/October 2014

Alltech purchases Lienert Australia

NSW Pig Breeding Workshops Feedworks Coolum 2014 Conference

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porkjournal www.primarymedia.com.au

Volume 36 Issue 5

Joanne Stritch from Happy Valley Free Range Pork.

September/October 2014

EDITOR:

EDITORIAL & DESIGN

JOURNALIST/PHOTOGRAPHER PRODUCTION EDITOR

Peter Bedwell Alex Bedwell

Rosemary Embery

GRAPHIC DESIGNER

Alex Bedwell

ADVERTISING ADVERTISING SALES Peter Bedwell Phone: (02) 4323 0005 Mob: 0419 235 288 Email: primarymedia@bigpond.com Rates are available at www.primarymedia.com.au

SUBSCRIPTIONS NEWS Page 4: Feedworks Coolum 2014 Conference: Creative destruction and market volatility Page 8: Free Range pig farmer wins Livestock Producer of the Year for 2014 Page 10: NSW Pig Breeding Workshops well attended Page 12: Alltech Purchases Lienert Australia to strenghten on-farm support services in Australia Page 14: Rabobank pork quarterly report 2014 Page 16: Getting closer to Australian farmers Page 18: Single-cell organisms could provide alternatives to fishmeal and oil Page 19: No progress for US, Japan in TPP crunch talks Page 20: Be aware of industry management practices that could infringe ‘cartel’ laws Page 21: Cartels: walking on eggshells Page 22: FTA with China should be in place by end of 2014 Page 25: Fermentation almost by itself

AUSTRALIA One Year - $55.00* NEW ZEALAND One Year - NZ$80 OTHER COUNTRIES One Year: Airmail - $A90 Please send payment in Australian dollars. Send payment and full details to: 22 George Street, East Gosford NSW, 2250 *Australian subscription rate includes GST

ENQUIRIES OFFICE ADDRESS: 22 George Street, East Gosford NSW, 2250 Phone: (02) 4323 0005 Mob: 0419 235 288 Production: 0409 944 472 Email: primarymedia@bigpond.com Pork Journal consists of a bi-monthly management magazine and an annual industry review, The Pig Industry Yearbook. Published by C D Supplies Pty Ltd trading as Primary Media (ACN 091 560 557) All material copyright (editorial and advertisements) and may not be reproduced without the written consent of the publishers. Whilst every care is taken to ensure the accuracy of the contents of PORK JOURNAL, the publishers do not accept any responsibility or liability for the material herein.

NEWS Feedworks Coolum 2014 Conference: Creative destruction and market volatility Feedworks held its 2014 Conference at the Coolum Resort on the Sunshine Coast Qld, September 17 to 20. The theme for this year’s event was ‘Creative destruction and market volatility: how innovation and technology succeeds’ and it was introduced by Feedworks Managing Partner, Malcolm Mottram. Keynote motivational speaker Michael McQueen, author and commentator on social trends, kept delegates entertained and informed as he traced the histories of great companies which had either not adapted and failed, like Kodak, and others who had completely revamped their products, and succeeded, like Volvo. “Creative destruction - why even the greatest become obsolete - and how to avoid their fate,” was his topic for the night. Well primed to survive everchanging demands of modern livestock production, delegates settled in to hear some solutions to industry challenges on September 18. The first speaker in the General Session, Professor Ron Ball from the University of Alberta, Canada tackled the vital topic ‘Precision feeding: Staying ahead of the prolific breeder’. “Sow nutrition is undervalued though sows use 20% of feed and the feed $ in farrow to finish production,” Professor Ball said. “Litter size is increasing at the rate of one pig per sow every three years and the sow that is producing 30 pigs/ year is very different from the sow of 12 years ago that only produced 20 pigs/ year,” he added. “What does this mean?’ “The nutrient requirements of the sow change dramatically from early to late gestation, and feeding one diet to pregnant sows does not optimise either productivity or profitability. “Sows need individually controlled feeding based on parity, number of piglets and the stage of pregnancy,” he said. After better defining amino acid requirements, Prof Ball spoke about the application of ‘Parity Segregated Phase Feeding’ or PSPF. The benefits of PSPF were he stated, “better body condition when

entering lactation, better rebreeding success after the first litter, increased sow longevity thus saving restocking costs and more uniform litters of more robust pigs. “Reduced feed cost of up to $10 per sow a year could be anticipated,” he predicted. Summarising his paper, Prof Ball stated that, “Amino acid requirements change dramatically with parity, stage of gestation and litter weight”. “Energy requirement increased by 6-8 MJ/d in late gestation and that PSPF was the ideal tool to supply nutrients to sows in the right amounts and at the right time. PSPF will have many production and financial benefits,” he concluded. “Reducing gut inflammation in animals, birds and humans’ was Dr Stuart Reeve’s topic. Dr Reeves is a Director of research and development at Embria Life Sciences, a subsidiary of Diamond V Mills. He has been instrumental in spearheading research investigating the concept of balanced immune health. Had Dr Reeves not made it as a scientist, which he obviously has, he could have enjoyed an equally illustrious career as a stand up comedian. His talk was not only informative but funny - transmitting scientific principals well is an art in itself and one that Dr Reeves has mastered. “Inflammation is a normal response to immune activation and when localised, is appropriate. “Widespread or subclinical inflammation can cause problems and have energy usage effects,” Dr Reeves said. When speaking about critical gut morphology in 21 day pigs, Dr Reeves showed the results of a trial conducted to establish villus height in the digestive tract of pigs fed 0.125% Diamond V XPC which was almost equal to pigs of the same age fed an AGP. “Proper diets and additive technologies can reduce gut inflammation and their overall impact can lead to a better balanced immune response,” he said. “This makes the immune system more efficient and keeps it from over reacting and resolves inflammation w

1.Professor Ron Ball, University of Alberta 2. Malcolm Mottram from Feedworks 3. Motivational Speaker, Michael McQueen. 4. Dr Stuart Reeves, Epicor

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NEWS v

more appropriately while reducing pathogen loads,” he summarised. Dr Jack Garrett, Director of technical service and research at QualiTech Inc, Minnesota USA, explained trace mineral function in livestock for zinc, copper and manganese. “Organic complexes like his company’s SQM range, offer variable solubility, resistance to antagonists, high bioavailability and are vitamin sparing,” he said. “Of critical importance is that they allow for better adherence to environmental regulations,” Dr Garrett concluded. The latter part of this day at the Feedworks Coolum conference has traditionally been given over to leisure activities like the golf tournament and beach fishing. At the following dinner the boasts are boasted, success awarded and all are fed a magnificent dinner. Journalist and adventurer Ash Sweating who spent eight years in Afghanistan was the dinner speaker and gave a sometimes chilling account of a country that seems stuck in another time. The Monogastric session on September 19 opened with an interesting account from Geoff Handley (HighSpec Nutrition), ‘Creative destruction in pig breeder nutrition and management’. Geoff has worked for more than a decade with pigs on family owned farms. He traced key changes in the last 30 years of pig nutrition including, the demise of crude protein (as a limit), the five year evolution that “was milk powder ever a real nutrient?” He mentioned production issues that drive real change like group sow housing and nil-in-feed antibiotics, a change we should be making. He mentioned the influence of animal welfare groups in forcing industry to adopt group sow housing. “Anyone who knows me knows that I have become an advocate for well managed, large dynamic groups,” Geoff said and showed slides of the group sow housing at Bailey Creek Pork, a farm he confidently stated would pass the ‘grandmother’ test. See Pork Journal’s recent feature on this well run farm run by Ian Hill. http://porkjournal. realviewtechnologies.com/?iid=70104 “The problem that we are wrestling with in managing grouped sows is that we have to handle their natural behaviour, which presented difficulties

so we put them in stalls,” Geoff said. “I deal with sow management issues under three headings, with various solutions for each one: they are, Hierarchical, Hormonal, Hunger,” he explained. Geoff’s big contribution to creative destruction concerned in feed antibiotics. “Our recent foray into exporting to South Korea taught us to, “play on the back of MLA’s beef promotion - Clean and Green Australian is critical. “Welfare (animal) is now a very high agenda item for the rising middle class of Asia and that this ‘class’ is tech savvy and has a social conscience. “Anti biotic free, in whatever marketable form is a big ticket item. “We have this great clean, low disease image, yet most farms are still using ‘easy’ in-feed antibiotic support. “Yes reducing this dependence is a challenge, but I think it will be worth the trouble,” Geoff concluded. Dr Gary Partridge from Danisco Animal Nutrition next explained ‘New concepts Phytase use and application’. He introduced a new Buttiauxella phytase (Axtra PHY) from Danisco Animal Nutrition and described some of its features and benefits including Thermo Protection Technology for the dry product form. “The product is not yet registered in Australia but is in use in some of Danisco’s other key markets,” he said. “Supporting services with this product include Phytate in feed analysis and a new ‘FSTKit’ assay specifically for use with Axtra Phy”. He also cautioned feed formulators about points to look out for when comparing phytase products and their (apparent) associated value in feed formulation. Prof Ron Ball returned to the lectern with his second paper of the conference ‘Branched chain amino acid and Arginine requirements of young pigs’. “There has been a recent increase in interest in Argenine for pigs: it is needed for protein synthesis and nitrogen excretion. “ARG metabolism is complex and its synthesis occurs in the gut, kidney and liver to meet the normal needs of an adult pig but in the young pig occurs in the gut only, so we have to ask, is this sufficient?” he said. “Amino acid requirement of the gut accounts for a large proportion of whole body requirement, and a healthy gut is required to synthesise metabolically essential amino acids (ARG_PRO). CONTINUED ON PAGE 24 w

1. Dr Jack Garrett from Qualitech Inc. 2. Ash Sweating, after dinner speaker 3. Dr Gary Partridge from Danisco 4. Geoff Handley, Highspec Nutrition

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NEWS

Free Range pig farmer wins Livestock Producer of the Year for 2014 Joanne Stritch, who runs Happy Valley Free Range Pork located in the Yarra Valley, in Victoria won the ‘Livestock Producer of the Year’ award at the Australian Farmer of the year 2014 event held at the Langham Hotel on September 10, 2014. The prestigious event sponsored by ABC Rural and the WA based Kondinin publishing group, attracted a great crowd and plenty of publicity in the rural media. “A love for animals and a desire to change the way pigs are raised were the driving forces behind Joanne Stritch’s thriving free range pig operation,” event organizers stated. “Despite Joannne’s inexperience in the industry, the Happy Valley free range pig business was driven by a

passion desire to offer pork to the public that was raised in a very natural environment. “The business is based on 22 acres and the small acreage requires vigilant management of the pasture, while regular rotations and long spelling of paddocks ensures that the grass stays at optimum levels,” Joanne stated. “The breeding program is naturally based and simple as the boar and sows live together in one paddock and the sow is moved to her own private paddock within two weeks of her farrowing date. “It’s only a young business with developing infrastructure, but Joanne relishes the small operation, and that along with its openness on methods, is one of Happy Valley’s unique traits,’ she said.

Joanne Stritch from Happy Valley Free Range Pork.

The other finalists in the Livestock Producer of the Year competition segment were Steve Taylor, an organic beef cattle farmer based in Queensland, and Christopher Squiers who runs sheep and cattle on his Quairading property in WA. “Happy Valley Free Range is an innovative small producer and the pigs are predominantly sold at farmers’ markets within Victoria,” Joanne explained. “The operation is accredited under Humane Choice standards and has become a part of the Yarra Valley community, and is open and honest about its farming methods. Joanne is keen on bringing people back to pork, and now has regular customers who have only begun eating pork again after having seen the Happy Valley farm and how they raise their pigs. “Happy Valley Free Range is a small, but special farm with its social media such as facebook growing every week.” Joanne is also distributing a weekly newsletter with information on farmers’ markets, recipes and news of life on the farm. “I don’t want to have a big production, and I like the fact that I am the main human interaction with the pigs, that we are like one big family and every sow gets a big belly scratch,” Joanne explained. “As a winner of a Farmer of the Year Award, Happy Valley Free Range has come a long way for a small producer, and is helping to ensure that the best free range practices continue to become a significant part of the industry,” she concluded.

If you would like to advertise in Pork Journal Magazine, please contact Pete Bedwell on 0419 235 288 or (02) 4323 0005. You can visit the website to view the latest issues and see the advertising rates. www.primarymedia.com.au

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NEWS NSW Pig Breeding Workshops well attended More than 80 producers attended the recent Pig Breeding and Workshop Program organised by Jayce Morgan, Livestock Officer with NSW Department of Primary Industries and delivered at Forbes and Wollongbar. The workshops were designed to update producer’s knowledge of pig reproduction and mating management, with a focus on the key steps to implementing a successful artificial breeding program and introducing gilts into the breeding herd. Workshop presenters were Graeme Pope, SA-based pig industry consultant and Paul Noone, PIC Australia Regional Manager. A head count taken at the start of each workshop revealed more than half the participants were either recent industry entrants or managed their sows outdoors, which made for plenty of interaction and group discussion. Graeme Pope covered aspects of implementing AI, including benefit/costs of inseminations over natural mating, effective oestrus detection, timing of inseminations and AI centre operations. A practical demonstration session covering the anatomy and physiology of the female pig reproductive tract was made possible through Westmill Piggery staff providing salvaged uteri at both workshops. The tracts were dissected to show workshop participants the physical challenges faced by sows when establishing a pregnancy, whether mated naturally or inseminated. Paul Noone covered essential tips on maximising the viability of extended semen during storage on-farm before going into aspects of gilt selection and development. He recommended ad-libitum feeding of sows with body scores of 3.0 or less on day 114 of pregnancy, before returning to more traditional feeding scales from farrowing onwards. “This practice can result in sows consuming extra feed during lactation and increased litter weights at weaning,” he said. Both Graeme and Paul agreed setting a ‘recommended’ breeding time for every sow on every farm was probably the most difficult aspect of implementing a successful AI program, due to the variation observed in weanto-oestrus interval and standing oestrus length between sows. Workshop participants were

encouraged to consider an individual sow’s wean-to-oestrus interval and the herd’s percentage breakdown of sows mated once, twice or three times to fine tune their farm’s AI timing practices. Jayce Morgan will be using the written feedback provided by

participants at these two workshops to plan topics for future industry training events in NSW. For further information about the workshops you can contact Jayce on 02 6763 1100 or jayce.morgan@ industry.nsw.gov.au.

Top: Graeme Pope giving a practical demonstration at the workshop. Centre: Paul Noone, PIC Australian Regional Manager. Above: Forbes workshop.

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Alltech purchases Lienert Australia to strenghten on-farm support services in Australia As part of its strategy to strengthen its support of agriculture at the local level, global animal nutrition company Alltech, has welcomed Lienert Australia Pty Ltd, a leading Australian premix manufacturer and feed ingredient supplier, to its corporate family. The acquisition of Lienert Australia, finalised on September 24, has the full support of both companies and is built upon two decades of friendship and business partnership. Alltech has purchased 100% of the shares in Lienert Australia from the Lienert family. This move solidifies their longterm partnership in providing greater local on-farm support to Australian farmers to make their operations more efficient, profitable and sustainable, the announcement said. “Both companies’ foremost commitment is to customers throughout the food chain, providing farmers with tailored solutions and local support as they shoulder the responsibility of feeding the population,” said Dr Pearse Lyons, President and founder of Alltech. “Both Lienert Australia and Alltech are family-owned businesses dedicated to bringing nutritional solutions to the farm and food industry,” he said. For more than 40 years, Lienert Australia has manufactured, distributed and supplied ingredients, supplements and nutritional advice to the livestock and feedstock industries within Australia, New Zealand and the Philippines. Their clients range from small family farms to integrated operations and commercial feed mills. “Lienert Australia and Alltech have much in common from a fervent commitment to quality, to utilising and researching the latest technologies,” Dr Lyons said. “These core practices are driven by another shared pledge: supporting the work of farmers as they endeavour to produce food more efficiently to supply an ever-increasing demand for safety, quality and quantity, affordably. “Australia’s influence on the food chain extends far beyond its geographical borders, and the acquisition of Lienert Australia underscores Alltech’s long-term commitment to strong, sustainable agriculture as well as food quality and safety within the entire Asia-Pacific

Alltech founder and President Dr Pearse Lyons shakes hands with Nick Lienert, Managing Director Lienert Australia after finalising the agreement to purchase 100% of the shares in Lienert Australia. region,” Dr Lyons said. “The Alltech acquisition of Lienert Australia will enable the companies to collaborate on research, production and distribution, strengthening their ability to provide farmers and members of the food chain with the latest in natural, nutritional technology.” Lienert Australia’s distribution fleet covers most agricultural regions of Australia, and its premix manufacturing plants are GMP accredited facilities equipped to accommodate a broad range of manufactured products. Lienert Australia is licensed to manufacture veterinary chemical products and controlled substances by the Australia Pesticides & Veterinary Medicines Authority (APVMA), and has a registered quality management system to the HACCP standard with Feedsafe Accreditation & AS4801 OHS Accreditation. Lienert Australia will benefit from Alltech’s global operations in 128 countries and extensive team of scientists, nutritionists and marketing experts; 43 production facilities that meet or exceed all international and

regional quality standards; and its primacy in science. Alltech has three major bioscience centers, complemented by 20 formal research alliances with leading universities and research institutions in the world, from Uruguay to China. “We are delighted that Alltech, another family business and a leader in its field, with similar values and the same determination to succeed, will be taking the business further forward to realize its full potential and build upon recent investments in both the manufacturing facility and the team,” said Nick Lienert, Managing Director, Lienert Australia. Previously represented by a distributor, Alltech has operated as a private company in Australia since 1997 and has been recognised within the continent for its nutritional innovations, as well as its educational and philanthropic endeavours. Its annual Alltech Young Scientist Award competition recognising student research receives more than 8,000 entries worldwide, with regular participation from Australia.

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NEWS Rabobank pork quarterly report 2014 Rabobank Australia senior analyst for animal proteins, Angus Gidley-Baird was kind enough to supply Pork Journal with his company’s Pork Quarterly Report (Q3). Reporting on the global situation, the following extracts should be of interest to the pork industries in the Oceania region. “The global pork market has buoyant prospects for the remainder of 2014 driven by the strong drop in supply due to PEDv outbreaks and the resulting record prices in the impacted countries which will support positive price developments across the globe. ‘Where to source pork?’ will be the key question in the affected countries (i.e. the US, Mexico, Japan, and South Korea) where supply drops up to double digit numbers as well as declining feed costs are expected to push farmer’s profitability into record territories. “In contrast, processors’ margins will be pressured due to strong competition for pigs. “In the EU and China, markets will improve seasonally but will not reach the highs experienced in the other countries. “In the EU, due to the negative impact of the Russian import ban and the strong Euro, only the possible (partial) reopening of the Russian market for some EU countries could support pork prices enough to reach the peaks experienced in the last two years. “In China, the market is bottoming out in the course of Q3 due to the combination of seasonal demand growth, the passing of the sow-culling induced supply boost and the high prices for imports. “With PEDv continuing to impact supply into 2015 prospects for the global pork industry remain positive.

“The main wild-card is keeping supply discipline, as farmers will be tempted to expand production driven by the low feed costs and high profitability,” the introduction to the full report read. Given that Australia has recently completed trade deals with both Japan and South Korea, (basically some good news for pork imports into Korea but bad news as Japan continues to protect its pork sector with high gate price tariffs). News on the pork supply situation from Rabobank is of particular interest. Japan “The Japanese pork industry is increasingly challenged by the impact of PEDv. “Declining production and slaughter numbers from January to April were down 1.0%, with March and April accounting for a decline of 1.15 and 3.9% respectively, resulting in surging wholesale carcass prices, which jumped to the record level of JPY 550/kg in May, up 27% YOY after an astounding 35% YOY in March. “As a result, imports also increased 4.3% from January to april with a 4.0% increase in March and a 17.4% increase in April, with the US accounting for 19% of the increase behind Denmark with an increase of 35%. “The growth of US imports is remarkable because of the surge in US pork prices, while import prices in Japan increased by 1.1% due to the relatively weak yen compared with the US $. “Japanese pork prices are expected to increase even further in the coming months when the market begins to feel the real impact of PEDv, because PEDv will impact both domestic production and imports. “With beef supply also under

pressure processors will find it challenging to source sufficient meat supplies. South Korea “Pork prices in South Korea started to increase in the course of Q2 2014 due to the PEDv induced decline in domestic supply. “The impact of PEDv started to reach the market at the end of Q2 and is likely to be felt at least into 2015, so pork prices will continue to rise in the coming months. “This can be concluded on the basis of the size of the pig herd in March 2014. “In March 2014, the total pig herd was 4.0% smaller YOY. Especially the lower aged categories showed strong declines. “Compared with March 2013, pigs 6 to 8 months were stable, but the number of pigs 4 to 6 mnths old, 2 to 4 months old and pigs under 2 months of age dropped by 2.7%, 3.5% and 5.5 % respectively. “In addition, the sow herd was 5.4% smaller YOY in March. “This shows that PEDv affected the market from April onwards and will continue to impact supply at least until Q1 2015. “Lower supply supported a strong increase in imports, which surged by 226,000 tonnes (=23% ) from January to May YOY. “”Imports really surged from April onwards, with increases of 54% in April and 90% in May, underlying the tightening supply situation. “Surprisingly, because of the record prices, between January to May, US showed the largest YOY increases (+6,637 tonnes) followed by France (+2,587) tones and Austria (+1,834 tonnes),” the report revealed.

“Commitment. It’s what we do.” It’s what we do that makes it more profitable. As a pig producer, you know that hard work and care for the farm today will ensure that it will be there for tomorrow. You also know that a helping hand can make it more profitable. Alltech has been working with pig producers for over 30 years; understanding the farm, offering advice, and making a difference. For over 40 years, Lienert Australia has built a strong reputation as a supplier of quality products and services to the Australian pig industry. Alltech and Lienert Australia are now working together with local pig producers to ensure their feed produces the best results. The Alltech Pig On-farm Advantage programs have been designed to maximise the farm’s potential. The range includes: Sow Advantage • Weaner Advantage • Finisher Advantage Alltech’s On-farm Advantage range is sold exclusively through Lienert Australia. It is available in 25 kg bags and is added to your existing feed. To find out more contact Lienert Australia on: 1800 649 231

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NEWS Getting closer to Australian farmers The recent announcement by US based Alltech of the acquisition of the Lienert’s family shares in their well established livestock feed, additives and supplements business, has generated global interest from leading agricultural publications around the world. Pork Journal spoke to Alltech’s Vice President Steve Bourne on September 26, when he was at the Lienert Roseworthy facility shortly after the acquisition was announced. Alltech has a long association with the Lienert family operation which goes back at least 20 years. “More recently Lienerts became our partners in the Alltech ‘Pig Onfarm Advantage’ program which was announced at the Pan Pacific Pork Expo held in May on the Gold Coast,” said Mr Bourne. “Alltech’s Pig On-farm Advantage program is underpinned by nutrigenics, the study of how diet affects gene expression. This can impact animal health and productivity to address the major on-farm issues within pigs, ultimately to improve performance and profitability. “We have already seen some exciting results for farmers in Australian conditions. A recent trial showed a reduction of 14 FCR points with the Weaner Advantage Pak. Put simply, better feed utilisation means more money in the farmer’s pocket. “Another notable benefit was a reduction in mortality. These results show that Alltech’s Pig On-farm Advantage program really is centred around farm profitability,” said Mr Bourne. “We have made a number of acquisitions around the world recently, that are all part of Alltech’s strategy for delivering our technologies and research benefits direct to farmers. Lienert, which grew its feed business from a base in pig farming, has developed strong relationships over the years with farmers in both monogastric and ruminant sectors that we value. “Australia is ideally placed with its proximity to lucrative markets in Asia, agricultural expertise, and plentiful resources to benefit from a population who seek safe and nutritious protein sources,” he stated. Domestic opportunities abound for Australia’s farmers and recent trade treaties with Korea and Japan offer pork producers the opportunity to produce meat grown under reduced use of antibiotics or nutritionally enhanced to

deliver functional human health benefits. “When Alltech developed selenium enriched foods decades ago, Korea was one of the first markets to take advantage of such functional foods in their milk. Now, with our developing algae based nutrition programs, DHA will soon play a significant role in human as well as animal production efficiency. “The ruminant potential in Australia is a major factor in acquiring the Lienert business,” explained Mr Bourne, “where Alltech technology can be provided direct to the farmer through the Lienert nutritional delivery system. In Europe this, with on farm tailored advice, has led to an increased profit per dairy cow per year of Euro 238. We believe the return for the Australian farmer will be higher based on milk value and cost of health issues. It will be similar for beef following a bespoke program on farm. “Cost of production can be improved through any combination of factors including improved feed conversion rates, reduced diet costs, fewer days to slaughter or increased finishing weights. Tools like the Alltech RETURN calculator can clearly demonstrate the return on investment from factors such as improved animal performance or reduced production costs,” Mr Bourne added. He strongly believes that the potential to expand beef and dairy production in Australia is enormous and deeply significant to Alltech’s future growth along with our well established monogastric research and product range. ‘On farm programs, tailored to the individual farm will be the focus of Alltech in Australia. We need to address issues with solutions, move from cost to value and deliver profit to the farmer, whether it is livestock, aquaculture or crops and working through with all in the food chain, to realise this,” was Mr Bourne’s final comment. With Alltech’s track record here, and overseas, who would doubt this! Alltech’s growth and expansion into new markets and new technologies has been well documented but Lienert’s recent history may not be as well known. Its feed business grew out of its pig production base and expanded in line with the industry. In 2001 the Australian pork industry was going through a period of relative prosperity due to increased exports boosted by a lower value $A and some good seasons moderating feed costs.

Alltech’s Vice President Steve Bourne

This attracted the interest of another major feed additive company, Provimi which built an Australian business based on the aquisition of SA based Agribusiness and Forbes NSW based Janos Hoey. Unfortunately a combination of events including drought, a rising A$ on the back of a resources boom, access by the mighty US pork industry to our market, the ethanol mandate that helped drive up global feed costs and finally the looming global financial crisis, all combined and Provimi decided to exit the Australian market. In June 2008 Lienert, in a bold move took over what Provimi had started and combined it with its own growing capabilities. It is far easier to grow businesses in favourable conditions than it would have been to expand in 2008 as Lienert did. To their credit Lienert invested in expansion – more products, more capacity and a growing team helped them expand into other livestock sectors including the layer, dairy and beef markets. So, like Alltech, the company has grown and prospered in the bad times as well as the good. Pork Journal has known both companies for many years and wishes all those involved the best for what looks like being a prosperous future.

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PRODUCT NEWS Single-cell organisms could provide alternatives to fishmeal and oil Fishmeal has been used as an ingredient in animal diets because it provides highly digestible high-quality protein and omega-3 fatty acids. Unfortunately, overfishing and increased demand for omega-3 fatty acids in the human diet have pushed up the price of fishmeal. The economic axiom that high prices are the cure for high prices is once again proving true as companies have stepped forward to produce and market feed ingredients derived from single-cell organisms that can be substituted for fishmeal or oil in animal rations that either provides the high-quality protein or the omega-3 fatty acids found in fish-derived products. Omega-3 from algae The reason many species of fish caught in the open ocean are high in omega- 3 fatty acids is because they eat algae that are high in omega-3; the fish aren’t creating these fatty acids themselves. Alltech Inc. is producing and marketing an alga, which contains 70% oil on dry weight basis, as a source of omega-3 fatty acids in animal diets. In Alltech’s plant for producing algae in Winchester, Kentucky, a naturally occurring alga species is grown in monoculture in a plant where yeast had been fermented using the same equipment. The alga is grown in darkness and it is provided a carbon and energy source. At the end of the growing cycle, the single cell algae are dehydrated and the resulting feed ingredient is particularly high in docosahexaenoic acid (DHA) which is the most valuable form of omega-3. Protein from bacteria There are a lot of valuable nutrients dissolved in the wastewater effluent from food and beverage processing facilities. Processors spend a lot of money employing chemical and biological processes to remove these nutrients so that the water they discharge doesn’t pollute ground water or bodies of water. After removal from the water, these nutrients are in the form of biosolids (sludges) which are still mostly water, but also contain proteins and fats. Disposal of the biosolids can be a costly proposition. One company, Nutrinsic Corp, is now marketing a product derived from the bacteria that feed on the nutrients in wastewater from food and beverage plants as an animal feed ingredient. The product, ProFloc, is dehydrated and sterilised and it provides a concentrated source of highly digestible protein with a favorable amino acid profile. The company has a plant in operation in China as part of a joint venture and reports that it will have a facility online in Ohio by the end of 2014. Nutrinsic’s process is an example of ‘upcycling’, which is defined as the reuse of discarded objects or material in such a way as to create a product of a higher quality or value than the original. The company reports that it will operate the existing wastewater treatment facility in a manner that meets all permit

NEWS requirements and then concentrate bacteria from the biosolids, dehydrate and sterilise them to make ProFloc. The company is actively looking for food and beverage companies to partner with to produce more ProFloc at their facilities. Feeding trials have been conducted with ProFloc for pigs, broilers and aquaculture species. The company reports that, because the protein digestibility of ProFloc is greater than that of soybean meal, it will be more expensive than soybean meal, 6 but it is priced to be competitive with fishmeal. Feed ingredients derived from single-cell yeasts have gained wide acceptance in animal agriculture for a number of uses and bacteria are commonly used to produce enzymes.

No progress for US, Japan in TPP crunch talks There was a complete failure to make any progress regarding the outstanding market access issues between Japan and the United States on the agriculture and automobile sectors, during two days of Trans-Pacific Partnership (TPP) meetings, from September 23-24, between the US Trade Representative (USTR) Michael Froman and Japan’s Minister for Economic and Fiscal Policy Akira Amari. A statement from the Office of the USTR pointed that, “while there were constructive working level discussions previously, we were unable to make further progress on the key outstanding issues. “The US continues to demonstrate a commitment to the level of ambition that all TPP countries agreed to attain when they entered negotiations.” With regard to agriculture, although the elimination of tariffs is meant to be a key feature of the TPP agreement, Japan has continued to insist that it should keep import duties on its ultra-sensitive agricultural products – rice, wheat, beef and pork, dairy products, and sugar and starch – in large part due to pressure from its domestic farming lobby. There has also been resistance from Japan with regard to the non-tariff barriers (NTBs) maintained for its automotive industry. Those NTBs include issues relating to standards and certification, the lack of sufficient opportunities for stakeholder input in the development of standards and regulations, barriers that hinder the development of distribution and service networks, and the lack of equivalent opportunities for US models to benefit from temporary fiscal incentive programs. The USTR’s Office was merely able to conclude that the US and Japan “will consider next steps following consultations in both capitals.” There is currently no information on when further meetings may be held, and the two issues therefore remain a major roadblock to the conclusion of a TPP agreement. It is now thought doubtful that overall TPP talks can be concluded by the end of 2014, as had been hoped by the US Administration.

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NEWS Be aware of industry management practices that could infringe ‘cartel’ laws In May of this year the ACCC announced that it was taking action against the Australian Egg Corporation Limited, its managing director and two of its other directors. The action arose because AECL conducted discussions about ways to avoid seasonal oversupply and, in recent years, destruction of eggs that could not be sold through normal retail channels. In 2012 at the AECL Forum held in Manly raised the possibility of donating any future supply glut to food banks as an initiative to avoid a total waste of the product: the culling of flocks was also raised as part of the overall discussion. However the ACCC saw the situation differently and instituted proceedings in the Federal Court against: • the Australian Egg Corporation Limited (AECL); • Mr James Kellaway, the Managing Director of AECL; • two egg producing companies, Ironside Management Services Pty Ltd (trading as Twelve Oaks Poultry) (Twelve Oaks Poultry) and Farm Pride Foods Limited (Farm Pride); • Mr Jeffrey Ironside, a director of AECL

and Twelve Oaks Poultry; and • Mr Zelko Lendich, a director of AECL and a former director of Farm Pride. The ACCC alleges that AECL and the other corporate and individual respondents attempted to induce egg producers who were members of AECL to enter into an arrangement to cull hens or otherwise dispose of eggs, for the purpose of reducing the amount of eggs available for supply to consumers and businesses in Australia. It is not alleged that this attempt to make a cartel arrangement involving Australian egg producers was successful. AECL is an industry corporation that collects levies for promotional activities and research and development activities from member egg producers. At the relevant time, AECL had between 100 and 150 egg producer members. The ACCC alleges that from November 2010, in AECL member publications, the AECL board (which included Mr Kellaway, Mr Ironside and Mr Lendich) encouraged its members to reduce egg production, in order to avoid oversupply which would affect egg prices. It is also alleged that, in February 2012, AECL held an ‘Egg Oversupply

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Crisis Meeting’ attended by egg producers in Sydney, where it allegedly sought a coordinated approach by egg producers to reducing the supply of eggs, in response to a perceived oversupply of eggs. Mr Kellaway and Mr Lendich both attended and spoke at this meeting, which was chaired by Mr Ironside. “Retail egg sales, one of many sales channels, were valued at over $566 million in 2012* and eggs are a staple food product for Australian consumers. Indeed, egg consumption per capita has increased in the past 10 years leading to an increase in the demand for producers’ eggs. The ACCC is concerned that the alleged attempt sought to obtain agreement by egg producers to reduce supply, which if successful could have impacted on egg prices paid by consumers,” ACCC Chairman Rod Sims said. “Detecting, stopping and deterring cartels operating in Australian markets remain an enduring priority for the ACCC, because of the ultimate impact of such anti-competitive conduct on Australian consumers who will pay more than they should for goods.” “Industry associations need to be conscious of competition compliance issues when they bring competing firms together. Today’s action sends a clear message that attempts by industry associations to coordinate anticompetitive behaviour by competitors will not be tolerated,” Mr Sims said. The ACCC is seeking declarations, injunctions, pecuniary penalties, orders that AECL, Farm Pride and Twelve Oaks establish and maintain a compliance program and that Mr Kellaway, Mr Ironside and Mr Lendich attend compliance training, an adverse publicity order and a community service order against AECL, disqualification orders against Mr Kellaway, Mr Ironside and Mr Lendich, and costs. The matter is scheduled to go to court in April 2015. In an article written by Michael Levy of the Melbourne based law firm Madgwicks,for the Victorian Farmers Federation Magazine, Mr Levy warns of the dangers of infringing the current laws against what could be interpreted as ‘cartel activity’ That article appears on the next page.

NEWS Cartels: walking on eggshells By Michael Levy Recent legal action against the Australian Egg Corporation Limited (AECL) over an alledged attempt to run a cartel should act as a timely reminder to all VFF members to be careful what agreements or understandings are entered into with competitors in their industry.

The egg case A recent example of alleged cartel conduct in the agricultural sector involved the supply of eggs. In May 2014 the ACCC instituted proceedings against the member organisation AECL, the AECL’s

managing director, two egg producing companies and a number of their directors. The ACCC claimed that the AECL and egg producing companies attempted to reduce egg producers

CONTINUED ON PAGE 26 w

Cartels and farmers? The Australian cartel regime applies a ‘strict liability’ test. Basically, if you engage in cartel conduct you are deemed to have broken the law irrespective of whether the conduct actually affects anyone. These laws are intentionally easy to fall foul of. Under the old laws it was difficult for the ACCC to successfully take action for cartel conduct due to a complicated ‘competition test’ that applied. Businesses and directors breaching the cartel laws are exposed to heavy fines and potentially to criminal sanctions including jail time. What conduct to avoid Under the Competition and Consumer Act 2010 (CCA) a business and its directors must not make or give effects to a contract, arrangement or understanding that relates to: • Price fixing – competitors agree to control the price of a good or service. • Output restriction – competitors agree to prevent, restrict or limit the supply of a good or service. • Market sharing – competitors agree not to compete over certain customers or in certain territories. • Bid rigging – competitors who are involved in a tender collude with each other to manipulate the bidding process. A wink or a nod? It is important to appreciate that the phrase ‘contract arrangement or understanding’ covers almost any conceivable arrangements between two or more businesses. Even a mere informal arrangement between two or more businesses or their directors will constitute an ‘understanding’ under the CCA.

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NEWS FTA with China should be in place by end of 2014 Recent public comments of senior Australian government ministers suggest they are increasingly confident a free trade agreement with China will be concluded by the end of the year. For its part, Beijing has also offered hints an agreement will be reached within the same time frame. The speculation is that a grand signing will take place in mid-November when Chinese President Xi Jinping will be in Brisbane for the G20 meeting. Given that governments from both countries have staked their credibility on such a schedule, it is more likely than not pen will be put to paper next month. But the significance of an Australia-China FTA is at least as much about diplomacy as it is about economics. The reality is that the Australia-China economic relationship does not really need an FTA to flourish. Agreements on all access in various sectors are concluded constantly without need for it to be part of a grander

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sounding FTA. Meaning the excitement behind the likely conclusion of an agreement will exceed the actual significance of such an agreement. Bored into agreement Letâ&#x20AC;&#x2122;s begin with what an FTA actually is. Rather than comprehensive economic agreements covering broad aspects of oneâ&#x20AC;&#x2122;s economy, they tend to end up as rather piecemeal agreements covering specific sub-sectors that negotiators chose to target. Additionally, rather than expressing a broad meeting of minds, philosophies and policies between two economies, they contain extremely detailed provisions. For example, there might be something about â&#x20AC;&#x153;processed dried stone-fruitâ&#x20AC;? attracting a lower tariff than â&#x20AC;&#x153;semi-processed dried stone-fruitâ&#x20AC;? with appendixes indicating what â&#x20AC;&#x153;processedâ&#x20AC;? and â&#x20AC;&#x153;semi-processedâ&#x20AC;? means, what constitutes a â&#x20AC;&#x153;stone-fruitâ&#x20AC;?, what proportion of the product has to have dried fruit in its ingredients for it to be classified as â&#x20AC;&#x153;dried fruitâ&#x20AC;?, and which stone-fruit are excluded from the provisions etc. It is no wonder that trade negotiators tend to admit the side that becomes bored first tends to lose. Moreover, when one signs an FTA, especially with China, they tend to be treated as much as political and diplomatic agreements as well as economic ones. In this context, the Tony Abbott government has understood the â&#x20AC;&#x153;me tooâ&#x20AC;? mentality in Northeast Asia and played intra-Northeast Asian jealousies well. With Australia having signed FTAs with Japan and Korea, China pushed its own negotiators to fast-track an agreement with Australia. Foreign investment thresholds However, since Beijing needs the FTA for political and diplomatic purposes, it will want the appearance of a breakthrough in China-Australia relations. This will come in the form of China insisting that no Foreign Investment Review Board (FIRB) process is required for Chinese investment into Australia under one billion dollars, whether this be investment by Chinese state-owned-enterprises (SOEs) or private firms. Such a threshold has been applied to Japan and South Korea under Australiaâ&#x20AC;&#x2122;s FTAs with those countries. As China wants the FTA to demonstrate that it too has a special economic partnership with Australia, even if there are strategic and political differences, Beijing will insist on being treated the same as other Northeast Asian neighbours in this context. For Australiaâ&#x20AC;&#x2122;s part, this was always only really a political sticking point that Canberra will likely relent on. As surveys such as the annual Lowy Institute Poll demonstrate, there is widespread public suspicion of Chinese foreign direct investment (FDI), most of it being undertaken by state-owned enterprises, even if the reasons for such suspicions are not well formed or articulated. In opposition, Abbott appeared to share some of these fears. But in government, his tone seems to have changed. After all, FDI entering into Australia still has to play by Australian rules and follow Australian laws and regulations. The reality is that the vast majority of Chinese FDI applications into Australia have been approved over the past decade, despite some high profile knock-backs. All indications are the Abbott government will accommodate Beijingâ&#x20AC;&#x2122;s insistence to raise the threshold to one billion dollars knowing that almost all Chinese FDI applications would have

NEWS passed the FIRB test in any event. Besides, Canberra will be happy to reduce this hurdle for Chinese firms since FIRB is only an advisory body, albeit an influential one, and the relevant minister can still knock back FDI applications on national security or other grounds. In return, Australia will receive better access to the Chinese domestic market for our dairy and agricultural goods, but this would have occurred in any event without an FTA since provincial governments in various Chinese markets have been agitating for high quality imports in these sector and would have formally and informally made it possible for Australian firms to more easily access those provincial markets. When it comes to Australian access to the services markets such as legal and financial, we are likely to receive some concessions. But the real barriers to entry in these Chinese markets are local ones at the regulatory and social levels, and an FTA will not reduce these barriers. The bottom line is that both countries want an FTA for diplomatic reasons. The major, headline concessions that both sides will offer carry few costs to the conceding country, would have occurred in any event, or were already happening in practice. If the acceptable standard is that an FTA should “do no harm” at the very minimum, then that low threshold will be met in November.

Applications close soon for 2015 Rural Woman’s Awards Women are encouraged to get their nominations in by the end of the month for the 2015 Rural Industries Research and Development Corporation (RIRDC) Rural Women’s Award. Department of Agriculture, Fisheries and Forestry Senior Project Officer Karyn Manktelow said women working in primary or rural industries who had leadership potential and a project that benefited their industry or community should apply. “Applications for the 2015 RIRDC Rural Women’s Awards close 31 October 2014,” Ms Manktelow said. “The RIRDC Rural Women’s Award has a long history of supporting strong, inspirational women in the pursuit of excellence for Australian primary industries and rural communities. “Now in its 15th year, the Award provides a $10,000 bursary to help each State/Territory winner implement her Award vision. “It’s also an invaluable opportunity for women to grow personally and professionally, to build their leadership and professional development skills and connect with a like-minded network of rural women who are equally passionate about rural and primary industries.” Ms Manktelow said the Queensland Government was proud to continue its support for the RIRDC Rural Women’s Award. “The RIRDC Rural Women’s Award is a wonderful way to recognise the vital contribution that women make to our primary industries and to support them in their endeavours for a more profitable, sustainable and innovative agricultural sector in the future.” For more Award information, visit http://www.rirdc. gov.au/rural-women’s-award

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NEWS CONTINUED FROM PAGE 6 “For young pigs, supplementation with ingredients with high levels of highly available AA increases performance partly because of gut metabolism of AA, and finally, we need more data on AA availability in feeds for 6kg pigs,” Prof Ball concluded. Just when you thought life couldn’t get more complicated for the animal nutrition sector, Dr Rob Van Barneveld in his talk ‘Application of in-feed medications on farm’ pointed out that in the future more stringent restrictions and protocols enforced by an ever expanding beaurocracy were on the way. “From a compliance perspective, addition of medications in feed prepared at a mill adds an additional layer of complexity. “Increasing scrutiny over the use of antibiotics in animal feed will necessitate a more responsive system, more targeted application, and systems that reduce overall usage,” he said. After some elaboration as to methodologies, advantages and disadvantagies of various established techniques for the delivery of medications on farm, Rob summed up. ”Increasing compliance requirements and consumer awareness will place additional pressure on in-feed medications. “Medications added at a feed mill and/or water medication are less than optimal. “Accurate on-farm micro-ingredient addition offers many strategic benefits to the use of in-feed medications. “On farm micro ingredient addition is better suited to powder addition to mash feed than micro-pellets to pelleted feed,” he said. Dr Jeff Downing from Sydney University asked the question, ‘Lactation anoestrus in sows - is the dogma right?’ “The conventional dogma is that sows remain anoestrus while lactating. “So based on this, sows need to be weaned for return to oestrus and be mated. “Recent data suggested that this concept needs to be questioned, so is this convention absolute for current commercial sow genotypes?” Jeff asked. He then described trials that justified challenging the dogma. The role of spray dried plasma in young pig diets is a topic dear to Dr David Cadogan. He showed the result of a Pork CRC conducted trial that showed better v

daily weight gain and improved FRC in weaner pigs aged between 28 and 34 days of age. In summarising the response to spray dried plasma Dr Cadogan stated that “porcine plasma is superior to other sources, and that the best response at is at weaning age of 18 to 24 days, SDPP is still very effective in pigs weaned between 25 to 32 days,” he said. “There seems to be a better response when used in low or nonmedicated diets and plasma response is higher in more challenging conditions,” he added. Recent speculation that spray dried porcine plasma may have contributed to the spread of PEDV in North America generated concern in pig industries around the world, however the speculation after extensive testing in Europe and elsewhere proved this speculation to be erroneous. Geert vander Velden from Sonac, manufacturers of SDPP, explained ‘Why porcine plasma is safe’. His slides shown during his comprehensive paper are available to view on our website www. primarymedia.com.au Dr Gary Partridge was the final speaker of the Monogastric session, ‘Creative destruction in the USA: how diets with the use of betaine and enzymes have changed’. The objective of the exercise, Dr Partridge stated was, “to determine if feeding betaine to lactating sows during periods of heat stress will improve sow feed intake, piglet wean weights and subsequent reproductive performance”. Revealing combined results on litter performance where sows had betaine in the diet compared with control that didn’t, overall litter gain was 46.81 kg against control 44.87kg- pigs weaned

11.30 against control of 11.08. The Feedworks Coolum Conference has become a significant event for our region’s livestock industries. It combines the delivery of leading edge science that is absolutely relevant to the current and future trends in livestock production, with an enjoyable social experience for delegates and their families. The following morning Gary Partridge reflected with Pork Journal how the Feedworks Conference had grown from the original event held 14 years ago with just 25 souls present in a Darling Harbour Sydney hotel room!

1. Dr Jeff Downing, Sydney University 2. Geert Vander Wlden from Sonac 3. Plenty of overseas visitors including this happy group from China

PRODUCT NEWS Fermentation almost by itself Until now, liquid feeding units with fermentation have been able to control the fermentation process, however, not without additional manual adaptations on behalf of the unit operators. “WEDA has developed a fermentation software, which takes off a large part of this work for the user and consequently saves a lot of time and effort,” said Angelika Engl from WEDA Dammann & Westerkamp GmbH. “For an optimal fermentation, the unit operator regularly had to invest a lot of time and effort in turning a multitude of adjusting screws, in carrying out continuous changes during the fermentation process, and in precisely adjusting operational sequences. “Nonetheless, negative effects, like for example overturning, were inevitable. Moreover, it was impossible to establish in the end why fermentation turned out to be unsuccessful. “WEDA have developed a solution for these problems, – the WEDA Fermi 4PX. This fermentation software saves the unit operator effort and time as the fermentation is fully automatically controlled by the unit. “Moreover, the fermentation process is continuously observed by the system. “Time-consuming, continuous adaptations, as well as permanent calculations of components, temperatures, and controls are a thing of the past with Fermi 4PX. “And here is the highlight: the system warns the operator in good time if things are not running according to mixing schedule. “This allows the user to carry out the necessary corrections on time in order to prevent overturning in the fermenter. “In addition to this, the system prevents the feeding of “bad“ feed to the animals and therefore contributes towards animal wellbeing. “The positive effects of the use of fermented feed, like e.g., improved hygiene in the feeding unit and a positive effect on the intestinal flora are also entirely for the benefit of the animals. “Furthermore, studies have proved that during the use of easily digestible, fermented feed, the use of antibiotics can be considerably reduced. “All this again leads to a clear reduction of production costs,” concluded Ms Engl.

Improve feed conversion – reduce particle size By Tony Edwards – Ace Livestock Consulting A survey of commercial feed mills and home mixers in 2013 revealed a wide range in average grain particle sizes with many well above the suggested optimum of 700 micron. Particle size for some was recorded at 1500+ microns (>1.5mm). Results from a recent Pork CRC project looking into feed particle size and its effects in grower and finisher pigs showed that particle size really is important. The project looked at the effects of particle size on pig performance in the grower/finisher herd. It involved three separate trials using the same protocols and 3,168 pigs in total. Diets were based on wheat, barley, peas and canola meal and were fed as a grower diet (14.2MJ DE and 0.70 g available lysine /MJ DE for 30-60 kg live

weight) and as a finisher diet (14.0 MJ DE and 0.60 g available lysine / MJ DE for 60-100kg live weight). Three treatments relating to particle size were a ‘fine’ product (500-600 micron), a ‘coarse’ product (1000-1100 micron) and a 50:50 mix of ‘fine’ and ‘coarse’. The diets were fed ad libitum as pellets. Key findings were that reducing the grind size from 1100 to 600 micron had no effect on average daily gain (ADG) but did reduce feed intake. This resulted in a 2.6% improvement in feed conversion ratio (FCR) in the grower phase and 5.6% improvement in the finisher phase. Project 4B-121: Effects of Grind Size in Typical Grower/Finisher diets under commercial conditions. This article was reproduced from PigBytes - Issue 22.

NEWS v CONTINUED FROM PAGE 21 to cull hens and dispose of eggs to reduce egg supply to consumers and businesses in Australia in order to increase prices. The ACCC’s case centres around two events: • In AECL member publications the AECL board encouraged its members to reduce egg production in order to avoid over supply which would effect egg prices. • AECL held an ‘Egg Oversupply Crisis Meeting” attended by egg producers where it allegedly sought a coordinated approach by egg producers to reducing the supply of eggs. ACCC warning to associations In light of the ACCC’S action against the AECL, the ACCC took the opportunity to issue a stern warning to member associations: “Industry associations need to be conscious of competition compliance issues when they bring competing firms together – attempts by industry

associations to coordinate anticompetitive behaviour by competitors will not be tolerated.” Be cautious While the ACCC’s action against the AECL is still yet to be decided by the courts, the case is a timely reminder for VFF members to insure that formal and informal discussions with competitors do not fall foul of Australia’s strict cartel laws. VFF members should be particularly cautious about what they discuss with competitors at commodity group meetings or in other forums. It is important to remember that the cartel laws apply no matter how informal the discussions or ‘whether the contract, arrangement or understanding’ actually results in the intended anti-competitive effect. This article appears in Pork Journal by permission of the VFF and its author Michael Levy, Madgwicks Lawyers (Michael.levy@madgwicks.com.au)

Michael Levy, Madgwicks Lawyers

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