Weekly livestock news: May 25, 2020

Pandemic accelerated ag industry shifts that were already in motion, analyst says

The pandemic has accelerated changes in the global agrifood production industry that were already in motion, Damien McLoughlin, a University College Dublin professor, said at the Alltech ONE virtual conference. “COVID-19 is like gasoline on the fire,” McLoughlin said. The pandemic has demonstrated that working online is possible, and this could lead executives to find other ways of doing business more efficiently. The virus has also exposed the fragility of the global food supply chain, he said, which means the system will have to change to be more resilient. Feed Strategy reports.

How meat businesses could change after COVID-19

Companies have made quick adaptations during the pandemic, and some of those could actually lead to long-term change, Meat + Poultry reports. Panera, for example, began offering a grocery service offering staples like milk, bread and fresh produce. This “might be the beginnings of maybe a new type of business,” said CEO Niren Chaudary. “Maybe this evolves to meal kits in the future.” Tyson, meanwhile, has implemented staggered schedules, social distancing, workspace partitions and personal protective equipment in its plants. Temperature scanners that have been installed will remain after the pandemic to help the company limit the spread of flu in the future. And Tyson has found new retail opportunities. “We found new (beef) retail applications for products that have traditionally supplied the food service channel, which we believe could generate continued demand even in the post-COVID-19 environment,” said Samuel Dean Banks, Tyson’s executive president.

Oklahoma passes meat labeling bill

Oklahoma Governor Kevin Stitt signed a law establishing regulations for standards on packaging and advertising for alternative meat products, Feedstuffs reports. The Oklahoma Cattlemen’s Association brought the bill before the legislature to establish how plant-based protein producers can market their products in the state. “This law will require that companies wanting to sell plant-based products in Oklahoma must use wording type such as vegetarian, imitation or plant based on the package that is uniform in size and prominence to the name of the product,” said OCA executive vice president Michael Kelsey. OCA will now work with state regulators to finalize the rules of the legislation.

Neogen launches enhanced Igenity Beef genomic test

Neogen announced the launch of an enhanced version of its Igenity Beef profile, a genomic test for commercial cattle. The manufacturer last fall announced a partnership with International Genetic Solutions to improve Igenity Beef. Those updates are now live and available for cattle producers, Neogen said. “Together, IGS and Neogen are dedicated to ensuring commercial beef producers are armed with the best technology and information possible,” said Neogen genomics beef product manager Jamie Courter.

DFA hit with antitrust lawsuit tied to Dean Foods acquisition

An antitrust lawsuit was filed in federal court against Dairy Farmers of America, challenging its $433 million acquisition of the majority of Dean Foods’ assets, Food Dive reports. Food Lion and the Maryland and Virginia Milk Producers Cooperative Association filed the suit. The plaintiffs say DFA is an “aspiring monopolist” that will compel cooperatives and independent dairy farmers to either join DFA or cease to exist. “With capability to wield market power at two levels of the supply chain, DFA now has both the ability and the incentive to wipe out any remaining pockets of competition,” the suit said. It also said that DFA’s ownership of Dean’s milk plants is the “coup de grâce for competition” in fluid milk markets.

EU plans to halve pesticide use, expand organic farming

The European Commission said it planned to increase organic farming and cut agricultural chemical use to protect the environment, Reuters reports. Environmental groups have welcomed the proposals, but farmers say the rules would make them less flexible. The commission wants to cut the use of chemical pesticides by 50%, reduce fertilizer use by 20% and cut sales of antimicrobials for animal and fish farming 50% by 2030. Additionally, the commission wants organic farming to reach 25% by 2030, while 10% of agricultural land must be turned over to “high diversity” landscapes like ponds and hedges. Farming groups said organic farming typically produces smaller yields, and ring-fencing land as natural habitats would make farmers less able to respond to increases in demand.