7 February 2013

3 minute read

The choice for this Congress conference title was decided following a joint FEFAC and IZBA meeting, focusing on the need to re-balance the Common Agricultural Policy in favour of increasing the competitiveness of EU livestock producers.

The CAP reform proposals presented by the European Commission contain a number of important new measures which may help livestock producers come to terms with ever increasing price volatility for key raw materials, leading to a serious erosion of profitability of livestock farm operations. At the same time, certain “greening measures” could end up adding to the high cost of livestock production, already struggling with cost pressures resulting from implementation of stricter animal welfare requirements.

Clearly political and market pressure is growing on livestock and feed manufacturers to manage market volatility in order to protect profit margins while ensuring long-term viability of our sector activities, which is necessary to secure new investments. This requires continuing development of existing and new technologies as well as better training of our market experts involved. The global food system will also become increasingly interdependent in terms of sustainability and market stability. The feed industry has no choice but to operate globally so that we can make the best use of natural resources. Europe needs to unlock its agricultural potential to produce more with less, in order to use its natural, knowledge and innovation-based assets to the full. This would allow Europe to make a significant contribution to maintain food security not only in Europe but at global level.

Looking at some of the success stories regarding livestock production in the New Member States may allow Congress delegates to take advantage of the Congress location in Krakow, ideally situated. Polish Agriculture has set a shining example on what can be achieved at a time when political and economic uncertainties related to EU enlargement were very high. This experience may provide us with further clues on what we have to look at in the current economic and Euro crisis context to maintain our position as vibrant industry, developing lasting solutions for our customers to stay in business. FEFAC and IZBA, therefore, invited key political and professional experts to come to Krakow to discuss the range of policy options as well as financial risk management tools including practical business experience on how to best manage financial risks, both at feed business level as well as at the level of our customers.

FEFAC President, Patrick Vanden Avenne, and IZBA President, Adam Tanski, look forward to welcoming you as guests in Krakow at the XXVI FEFAC Congress. Your active participation and contribution to this event will provide the best guarantee that this event will succeed in generating new approaches to be shared by FEFAC members and its livestock sector partners.

The only certainty we have today is that volatility is here to stay, says FEFAC.

For more information on the congress, click here.

TheCattleSite News Desk