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Feed Milling Milestones and

Future Advances
Where did we come from
and
Where are we going???

Keith Behnke
Kansas State University
M h tt Kansas
Manhattan,
K

THE FUTURE!

The Future Aint What It Used To Be Yogi B.

THE FEED INDUSTRY


A Brief History
y

FEEDING STANDARDS
1864

German Chemist Emil Wolff published first


Feeding
g Standards based on Digestible
g
Nutrients.

1898

FEEDS AND FEEDING First Addition

1912

Vitamins (Vital Amines) first discovered

1944

NRC/NAS published first series of feeding


standards
t d d ffor commercial
i l li
livestock
t k and
d poultry.
lt

EVOLUTION OF THE
FEED INDUSTRY
Early 1800s
* Horses
H
and
d mules
l provided
id d draft
d ft workk
Oats and other grains provided by livery
stables
Little science available regarding
g
g nutrition
* Calf feed for dairy farms was needed.

EVOLUTION OF THE
FEED INDUSTRY

1866
1875
1879
1885
1894
1895
1920

H.K. Webster, Lawrence, Mass-Horse Feed


Blatchfords,, Waukegen,
g , Il. Calf Feed
O. A. Cooper
Mooreman Manuf.
Ralston Purina (Robinson-Danforth, St. Louis)
Albers Milling (Carnation, Co.-1929)
Nutrena Mills
ill (Cargill,
(
ill Inc.))

History of New Ingredients

1850
1885
1888
1900
1903
1910
9 0
1915
1922
1943
1954
1977

Molasses first used in horse and cattle feed


Cotton Seed Meal
Corn gluten feed and meal
B
Bone
meall
Dried beet pulp introduced
Dried
ed butte
buttermilk
Soybean cake imported from Asia for feed
First U.S. soybean meal
Urea used as NPN source for ruminant diets
Animal fat first used in poultry diets
Liquid Methionine Hydroxy Analog

MANUFACTURING HISTORY

1848
1886
1895
1909
1911
1924
1931
1941
1942
1948
1950
1955
1957
1962

Cotton bags replaced wooden barrels


Jute imported from India for bags
Hammermill patent issued
Horizontal batch mixer-S. Howes Co.
First commercial pellet mill
High molasses pelletmill
CPM introduced the first steel die- flat bed
CPM introduced the vertical ring die PM
First Bulk Truck developed
Paper bags first used for feed
Horizontal p
pellet cooler-Wenger
g Manuf.
First punch-card batching system introduced
Drop-bottom mixer
Pellet Durability Tester developed-Pfost, KSU

Feed Industry Changes


Late 1800s to 1950s
Increased growth in new firms entering the
feed industry
New ingredients were being introduced to the
market place
The nutritional value of co-products were
b
becoming
i recognized
i d

Feed Industry Changes


1960s to 1980s
Livestock production was growing at a pace
never before seen in the US.
US
New livestock buildings were being built.
Feed manufactures were making good profits

Feed Industry Changes


1960s to 1980s
The feed industry was growing by leaps and
bounds
New feed mills were going up in every state
Ingredient
I
di t plants
l t were being
b i built
b ilt to
t meett the
th
needs of the feed industry
Existing Feed mills were being expanded

Feed Industry Changes


1980s to 2000s
The livestock industry reached a point
meeting the demand of customers.
Changing
g g Livestock/Poultry
y Production
Number of U.S. Farms
1950: 5.6 million
Today: <2 million (92.1 percent
classified as small, less than $250,000
annual sales; 63 percent < $50
$50,000
000
annual sales)
Source: USDA, FMT V AFIA

Structure of the Feed Industry


1980s to 2000s
Changing Livestock/Poultry Production
Species
Group
p

Number Producers
1950
Today

Poultry

Vertical integration
Virtually 100
underway
percent integrated

Swine

3.0 million

65,000

Beef/Cow

2.8 million

971,000

2 9 million
2.9
illi

75,140
75 140

D i
Dairy

Source: USDA/NASS

Structure of the Feed Industry


Some Impacts of Livestock and Poultry
I t
Integration/Consolidation,
ti /C
lid ti
1980s-today:
1980 t d
Livestock and poultry producers became major
f d manufacturers
feed
f t
Construction of large feed mills to produce complete
feed 500,000
500,000+ tons per year
Mills located to optimize logistical issues; ingredient
procurement, finished feed transportation
Mills designs are extremely efficient, targeted for
minimal number of feed formulations

Feed Industry Changes


1980s to 2000s
The feed industry matured
The amount of production capacity out grew
the demand.
The
Th ffeed
d iindustry
d t bbegin
i to
t consolidate
lid t
Small town feed mills were replaced by
regional mills

U.S. Primary Feed Production


140

Miillion To
ons

120
100
80
60
40
20
0

05
20

03
20

01
20

99
19

97
19

95
19

93
19

Source: Feedstuffs

U.S. Feed Production by Species


Broiler/Turkey
25%

Layers 6%

Swine 21%
Horse 2%
%

Dairy 17%
Other
(pet, etc.)
3%
%

Aquaculture
q
1%

Cattle
C ttl 25%

Source: informa economics

Feed Mill Operations Changing


Times
1 Increased Government Regulations
1.
FDA:
1968 - FFDCA amended
d d to address
dd
animal drugs
1971 - First
Fi t CGMPS
AAFCO: 1957 - established model state feed bill

EPA - established in 1970


OSHA - established in 1971

Feed Mill Operations


Ch i Times
Changing
Ti

Thou
usands off Pages

EPA:

Growth of Federal Environmental Regulations


(Title 40 of the Code of Federal Regulations)

20
18
16
14
12
10
8
6
4
2
0

6
'0
4
'0
2
'0
0
'0
96
94
92
90
88
86
84
82
80
78
76
74
72

Feed Mill Operations


Changing Times
OSHA: Examples of Required Training

Access to Medical Records


Bin Entry
Bloodborne Pathogens
Company
p y Vehicles
Confine Space
Electrical Work Practices
Emergency Action
E
Exposure
to
t asbestos,
b t
lead,
l d
other chemicals as
appropriate
Fall Protection Equipment
First Aid
Employee Orientation
Use of Fire Extinguishers
Forklift Operator
Front-end Loader/Bobcat
Hazard Communication

Hearing Protection
Manlifts
Lockout and Tagout
Personal Protective
Equipment
Pesticide Application
Emergency
Response/Rescue
Respiratory Protection
Truck Dumper Operation
Rail Operations Safety
Welding/Cutting/ Hotwork
Grain Handling Equipment
Planned Maintenance
Process Safety Management
Storage and handling of LP
Gases

Feed Mill Operations


Ch
i Ti
Changing
Times
2. Growing Emphasis on Feed Safety
Increasing Demands by Consuming Public
Removed from farming and animal production practices
Have ready access to information technology
Declining personal responsibility

September 11, 2001


Bioterrorism Response and Preparedness Act of 2002
USDA, FDA, DHS, FBI Strategic Partnership Program
Agroterrorism (SPPA) Initiative

Impacts on the Mill:


Increased interest in HACCP
I
Increased
d emphasis
h i on ffacility
ilit security
it issues
i

Feed Mill Operations


Ch
i Ti
Changing
Times
3 Expanding Biofuels Production
3.
Renewable Fuels Mandate - Energy Policy
Act of 2005:
7.5 billion gallons by 2012

Current ethanol production:


121 existing biorefineries: 6.332 billion
g
gallons
84 under construction/expansion: 6.245
billion gallons
Source: Renewable Fuels Association

The Impact of Biofuels


Distillers Dried Grains with
Solubles (DDGS) Production
1,000,00
00 Short Tons

36
32
28
24
20
16
12
8
4
0
10
20
09
20
08
20
07
20
06
20
05
20
03
20
00
20
95
19
90
19
85
19
80
19
Sources: USDA; The ProExporter Network, 20072007- 2010 Projected

THE FUTURE:
Its all about food safety!!

When did our world


really begin
to
Change???
g

For some off us in


F
i
my generation:
August 16, 1977

August 16, 1977


The day ELVIS died!!

F most:
For
t
September 11, 2001

The day terrorists attacked the


World Trade Center

But,
B
t for
f the
th
Feed Industry:

Late Fall, 1987

For the World


Feed Industry:
Late Fall, 1987
The first confirmed case of BSE on
a farm in Surrey,
Surrey England

SEQUENCE OF EVENTS
1987: BSE Confirmed in England
g
1990: European Beef Scare began in earnest-Lots of
media hype. Beef consumption dived.

SEQUENCE OF EVENTS
1987: BSE Confirmed in England
g
1990: European Beef Scare began in earnest.
1996: British government stated that: contaminated beef
was the
h lik
likely
l cause off the
h nv
Creutzfeld-Jacob
C
f ld J b
disease attacking younger people. Death toll
predictions were in the MILLIONS!!

SEQUENCE OF EVENTS
1987: BSE Confirmed in England
g
1990: European Beef Scare began in earnest.
1996: Contaminated beef caused nv CJD
1996 U.S.
1996:
U S reaction??i ?? implemented
i l
d regulations
l i
designed to prevent the use of ruminant protein
in ruminant feeds.
feeds
The regulations were to serve two purposes
1. Stop
p the ppotential spread
p
of BSE
2. Maintain confidence in the U.S. meat
supply

SEQUENCE OF EVENTS
1987: BSE Confirmed in England
g
1990: European Beef Scare began in earnest.
1996: Contaminated beef caused nv CJD
1996 U.S.
1996:
U S reaction??i ?? implement
i l
ruminant
i
protein regulations
2003: USDA/FDA announced the first confirmed
case of BSE in the U.S.

SEQUENCE OF EVENTS
December 23,2003, 5:30pm Eastern time:
Fi confirmed
First
fi
d case off BSE in
i the
h U.S.
U S announcedd

Why is the date/time important?

Secretaryy of Agriculture
g
Ann Veneman

SEQUENCE OF EVENTS
December 23,2003, 5:00pm Eastern time:
fi confirmed
first
fi
d case off BSE in
i the
h U.S.
US

Why is the date/time important?


- It was the evening before Christmas Eve Day
-The East Coast News cycle closed at 4:00pm
-Futures trading was going to stop at noon, Dec 24

Secretary of Agriculture
Ann Veneman

SEQUENCE OF EVENTS
First confirmed case of BSE in the U.S (2002).

What Happened?
pp

SEQUENCE OF EVENTS
First confirmed case of BSE in the U.S(2002).

Wh t H
What
Happened?
d?
Domestically-Not much, really!
-Live beef prices took a hit for a few months.
-Beef consumptions stayed essentially level.

What Happened?
Domestically-Not much, really!

Why?
Consumer Confidence!!
In the U.S., citizens actually trust FDA!!

SEQUENCE OF EVENTS
First confirmed case of BSE in the U.S(2002).

What Happened
pp
Internationally?
y
-Beef Exports decreased
-U.S. Exports
p
Banned byy several countries

What is the Point of all this??

Wh t is
What
i the
th Point??
P i t??
The ongoing BSE issue brought home the
fact that the FEED industry is a critically
important part of the FOOD Industry
Industry.

Wh t is
What
i the
th Point
P i t off all
ll this??
thi ??
The ongoing
Th
i BSE iissue b
brought
ht h
home th
the
fact that the FEED industry is a critically
i
important
t t partt off the
th FOOD Industry.
I d t
WE MUST ACCEPT THAT
RESPONSIBILITY AND
REALIZE HOW IMPORTANT
WE REALLY ARE
ARE.

The biggest issue that animal


agriculture will face in the future?

FOOD SAFETY

When consumers lloose confidence


Wh
fid
in
i
their government AND in their food
supply,
l to
t whom
h
do
d th
they tturn??
??

When consumers loose confidence in


their government AND in their food
supply to whom do they turn??
supply,
As iin E
A
Europe, th
the F
Food
d Ch
Chains
i
will assume regulatory responsibility
Do we reallyy want the Krogers
g
and McDonalds
telling us how to make feed and what we
can or cannot p
put in that feed?

We
We live in an age where
CONSUMER POWER
f
frequently
l outweighs
i h
SCIENTIFIC PERSUASION.
Feedstuffs 72:3, 1999

The Future
What else is coming??

The Future of Biotech


Ingredients
Designer
g
Grains/Oilseeds
- The first available will be low
low phytate
phytate
grains/oilseeds.
- Will address environmental issues
concerning phosphorus buildup in soils.

FEED MILL DESIGNThe evolution of mill design

PELLETING
AND
HACCP

Microbial Control in Feed Mills


The CDC has
Th
h tried
i d for
f years to draw
d
a line from the feed mill to the dinner
plate!!
l t !! So
S far,
f with
ith little
littl success.

THERMAL PROCESSING
FOR MICROBIAL CONTROL
Temp
C

Number
Samples

Entrobacteria
Log10 CFU/gm

<60
60-65
60
65
65-70
70-75
70
75
75-80
>80

18
17
33
44
34
24

3.3
3.4
3.0
25
2.5
1.7
11
1.1

THERMAL PROCESSING
FOR MICROBIAL CONTROL
Location

Incidence* (%)
Incidence

Cereal Grain

Protein Meals

Animal Protein

67

Batch Mixer

69

Pellet Conditioner

32

Pellet Die

Cooler

Finished Feed

13

Truck

13

Farm

19

* Percentage of samples contaminated with Salmonella

On-Line Reformulation
With rapid nutrient analysis, it may be
possible to reformulate rations in real time.
Nutrient overage would be cut to near zero
Ration accuracy could improve.
Ingredient changes more easily managed.

SUMARY
The Feed Industry has come a long way in 150 years.
Food safety is the most important issue
to be dealt with by the feed industry.
Perception becomes reality. If we are perceived
as being part of the problem, we are.
Respond quickly and openly to any challenge
Technology (Bio Ingredients) will be here soon

Some ppeople
p look at the wayy thing
g are and
ask WHY? I would rather look at the way things
could be and ask WHY NOT?- George Bernard
Shaw

THANK YOU

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