2006 Was a Difficult Year for China's Livestock and Feed Sectors.

DUBLIN, Ireland -- Research and Markets (http://www.researchandmarkets.com/reports/c53963) has announced the addition of "China Livestock and Feed Market 2006 - 2007" to their offering.

As with other commodities and raw materials, China's appetite for feed grains and feed supplements is huge. And whether it is the consumption of meat or its expanding production capacities in feed additives like lysine, China's animal production and feed industry has now become the focus of intense business interest and research, particularly among corporations, suppliers and investors.

To meet the needs of these organizations and institutions for timely, well-researched, and in-depth information on China's livestock and feed sectors, we has produced several niche reports covering specific market segments of the industry, including this: China livestock & feed market 2006 - 2007.

These reports are produced by deploying both primary and secondary research methodologies. The former involves gathering quantitative data by our own information collectors in eight key livestock and feed production provinces in China, and utilising in-house knowledge database. Qualitative discussions are held among in-house experts in various fields and advice of external livestock and feed related consultants are sought.

Secondary research methodologies involve interviewing with key domestic medium- and large-scale feed mills and livestock raisers as well as in-depth discussion with industry people and academicians during exposition, seminars and field trips. Open-source intelligence on the Internet, company reports/prospectus, restricted corporate and government publications are also checked.

Regardless of your place in the grain, feed, livestock, meat or related industries, you will find the information in this China livestock and feed market 2006 - 2007 report valuable input to the tasks you have on hand.

Areas covered:

- Corn
- Soy
- Rapeseed, cottonseed, rapeseed meal & cottonseed meal
- Fishmeal
- Other feed proteins: peanut meal and meat-and-bone meal
- China's feed processing industry
- China's livestock industry
- Minerals, trace elements, vitamins and chlorine chloride used in
  feed

Summary:

2006 was a difficult year for China's livestock and feed sectors. The previous year's disease outbreaks strongly curtailed demand while forcing some form of mass culling of hogs and poultry, setting the stage for early 2006's low replenishment rates of hogs and poultry. Besieged by high costs and low demand, farmer's incentive to not replenish stocks was further reinforced by the second quarter's outbreaks of bird flu, further destroying the incentive to replenish exceptionally low livestock inventories.

This not to say the situation was completely dim. Ruminants' supply and demand was unaffected by animal disease outbreaks and continued growing at a healthy rate. Similarly, aquaculture's natural immunity to land animal diseases escaped the first half's strong recession, with both supply and demand growing at double digit rates, though at a slightly slower pace than previous years.

However, these two sectors account for a relatively smaller portion of feed demand and animal production. Hence, ruminants and aquaculture's relative prosperity could not prevent an overall decline in livestock production and animal feed demand.

In the second half of 2006, demand finally overtook livestock supplies, pushing up both prices and replenishment rates. By then however, the damage had been done: at 8.9 million tonnes, aggregate feed production was 8.29%, less than the previous year and except for aquaculture. Similarly, most livestock inventories were at the same or lower levels than in 2005. Barring unexpected disease outbreaks or other exceptional events, in 2007, we expect replenishment rates to recover, livestock inventories to rise, and with them, feed demand. All other things being equal, under these conditions, feed demand will resume growing and most feed suppliers will return to profitability.

However, the livestock sector's ongoing recovery belies the rumblings of strong market pressures and deep restructurings in both animal production and feed manufacturing. New industries are emerging, older ones are topping out or declining, and everything from feed material sourcing to government legislation hangs in the balance.

The 4-page executive summary of the full report provides an overview of 2007's strongest trends and the forces which will drive the industry. They are:

* Accelerating consolidation of livestock & feed companies

* The unresolved dilemma of growing corn demand

* Foreign firms dominate key grain markets

* Fishmeal and its imperfect substitutes

* Stricter government regulation required for increased exports and import substitution

All of the key factors mentioned above did not arise spontaneously or in isolation from one another. They are the visible tops of a long chain of market events that effect one another in a synergistic, holistic manner.

By that portion of the feed raw material base they share in common, soy meal and fishmeal profoundly influence one another. The high existing level of consolidation in China's soy bean, soy crushing and soy meal sectors could make a foreign takeover of the corn sector happen quickly should corn imports be allowed in.

The big picture is made up of many key details, trends and interrelated facts -integrated, individual pieces of knowledge which together, deliver the value and key content you will find in this report. Regardless of your place in the livestock, grain, feed or related industries, this is one report which you must read to help you do a better job.

Companies mentioned:

Archer Daniel Midlands (AMD), Cargill, Bunge, Louis Dreyfus, Cargill Group Jiangsu Nantong Crusher, Guangzhou Zhizhiyuan Oil Co Ltd, Heilongjiang Jiusan Group, China National Cereals, Oils and Foodstuffs Corp (CORCO), Dalian Huanong, Wilmar Holdings, Jinshi, Hopefull, Nobel, Dongliang, Fuhong, Zhongliang Xiangduan Oil (Jinmen) Ltd, Hubei Riyue Oils Ltd, Jiangsu Yixing Sihai Oils Ltd, Sichuan Jinzita Oils Ltd, Hunan Balin Oils & Chemicals, Shandong Dongying Shenyuan Youmiang Processing Limited, Xiajing Xian Hengxing Oil & Fats Limited, Hebei Zhengxing (Group) Shareholdings, Hebei Changan Oils & Fats Pte Ltd, Sichuan Tongwei Group, Fujian Aqua Feed Association, Fujian Eal Association, Xinyang Wanfu Oils & Fats Co ltd, Anhui BBCA Edible Oils Co Ltd, Shandong Luhua Group, COFCO ADM Oils & Grains Industries (Heze) Co Ltd, Qingdao Pinpinhao Grains & Oils Pte Ltd, Kede Group, Chia Tai Group, Hope Group, Tongwei Group, East Hope Group, Sichuan Southern China Hope Group, Beijing Weijia Group, Liaoning Binfeng Group, Sichuan Tongwei Group, Beijing Huadu Group, Beijing Tiaozhan Group, Beijing Daibeinong Group, Ningbo Tianbang Group, Hunan Yuitai Group, Hunan Tangrenshen Group, Sichuan New Hope Group, Henan Aipu Group, Sha'anxi Hanbao Group, Sichuan Tieqilishi Group, Holland Taigao International Group, Jiangxi Shuanbaotai Group, Jiangxi Zhengbang Group, Fujian Huagang Group, Changchun Dacheng Group, Taiwan Tongyi Group, Wuhan Licheng Feed Group, Beijing Meihao Hope Co, Fuhu Hope Feed Co, Leshan Jindou Feed Co, Xiamen Findou Feed Co, Guangdong Wenshi Food Holdings Ltd, Beijing Dafa Chia Tai Ltd, Anhui Taiyang Poultry Ltd, Guangdong Henxing Group, Shandong Xisen Sanhe Group, Shanghai Guangming Hesitan Dairy Group, Henan Shuanghui Group, Guangdong Shuanghui Food Ltd, Hunan Zhenghong Group, Shandong Liuhe Group, Goldman Sachs, Zhucheng Trading, Changle Legang, Yanggu Farmbros, Tengzhou Yintai, Weifang Yuhe Group, Sichuan Lomon Corporation, Sichuan Chuangheng Chemical, Sichuan Jiuyuan Group, Hunan Zhongbao Feed, Guangxi Yuanchen Co, Guanxi Tianhongxin, Sichuan Shuying Feed Additive Co, Hunan Dongbao Feed, Guangxi Yongfong Feed, Guangxi Wuxing Feed, Guangxi Nanning Junwei Feed Co, Hunan Dongda Feed, Zhejiang Fuyang Xinxing Co, Guangdong Kangtai Feed, Shandong Laigang, Sichuan Guanghan Longda Feed, Sichuan Combell Feed, Jiangxi Yonghui, Hunan Jingshi Feed, Hebei Yuanda Feed, Shandong NB Group, Shandong Aocter Chemicals, Shandong Gaotang Group, Shandong Bilong Jujia Choline Chloride Company, Xuzhou Havay Feed Co, Akzo Nobel 

For more information visit http://www.researchandmarkets.com/reports/c53963