? Key Industry Engineering Group - Chlorella feeding in rapid rise of the industrial food animal production.

Animal Feed

Test Results

The CS1 Product has been applied to various types of livestock with significant results achieved for each.

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Competition

Leading Market Players

The leading players in the industry appear to be the obvious competition. These include: DSM (The Netherlands), Ajinomoto Co. Inc. (Japan), Evonik (Denmark), Lextron Inc. (U.S.), Archer Daniels Midland Company (U.S.), BASF SE (Germany), Cargill Inc. (U.S.), and Chr. Hansen A/S (Denmark). All of the aforementioned are potentially formidable challengers, indeed.

Nevertheless, it is important to underline that KIEG’s Product, due to its uniqueness and innovation does not have direct competitors. The CS1 Product is not intended to be a direct substitution of existing animal feed additives or supplements. It can be supplied to livestock either as a single substitute or in combination with existing additives for enhanced results.

An important note: the Product serves as an effective substitute for antibiotics in the livestock industry due to its boosting effect on the immune system. The application of antibiotics to livestock is strictly prohibited in the EU. Nevertheless, deviations from this prohibition are not entirely isolated practices. Hence, vested interests involved with the antibiotics industry may attempt to interfere with the Product’s successful market proliferation. The good news is – the law is on KIEG’s side.

The Industry

With the rapid rise of the industrial food animal production, an increasing number of food animals once raised on pastures are now raised in feedlots. Feedlot-raised animals are generally kept indoors, and they are given feed formulated to speed their growth to market weight and supply them with essential nutrients, while minimizing costs to operators. Concerns have arisen about the content of these feeds, however, as grain-based diets can produce serious and sometimes fatal digestive tract problems in food animals such as cows, goats, and sheep whose stomachs are best suited to digesting high-cellulose containing plants like grass. In addition, recent studies have shown that chemical additives in feed may accumulate in animal tissues, potentially exposing consumers to unwanted chemicals such as veterinary drug residues and heavy metals. It is important to consider how livestock feed affects animal health, and by extension the health of people who consume these animal products.

Current industrial farming practices rely heavily on grain. Under current EU CAP (and US agriculture policy for that matter) substantial subsidies are provided to farmers who produce grains and other cereals. Livestock producers use these cereals as a base for their animal feed because protein-rich grains help bring animals to market weight faster, and because they are cheaper than other feed options as a result of government subsidies. It has been estimated that the operating costs of factory farms would be 7–10 % higher without these subsidies. As a result, a large percentage of grains grown (some 40–60 % in various countries) are used in animal feed and are being consumed by livestock.

Although cheap feed grains mean lower meat and dairy prices for consumers, meat from grass fed animals is generally lower in saturated fat than meat from grain fed animals. Numerous research reports clearly indicate that lowering the percentage of calories consumed from saturated fats may reduce the risk of heart disease in humans.

Industrial poultry farms raise chickens on feeds that have been formulated to maximize chicken growth and weight gain. However, these feed formulations often include medically important pharmaceutical drugs whose overuse by the poultry industry may represent a threat to human health. Farms often use low doses of antibiotics to get their chickens to market weight faster, and low dose antibiotic use in food animals has been linked to the development of antibiotic resistant bacterial strains. People infected with these strains have an increased risk of complications or even death because these bacteria may have developed resistance to one or more of the limited number of antibiotic classes used on humans. According to a recent research by the market analysis group, IGD, about 72 % of consumers raise concerns that medicines and vaccinations are getting into the human food chain.

Feed Additives

Feed additives are pharmaceutical or nutritional substances which are not of natural origin and are added to prepare and store feeds. Feed additives are gaining importance due to various functions such as growth promotion, controlling infectious diseases, and enhancement of feed digestibility. The global feed additives market is growing at a steady pace and the market is expected to further grow in the future due to the increasing demand for meat and meat products around the globe. Epidemics like bird flu, other diseases like foot-and mouthdisease, and environmental concerns have led to an increase in concern over animal health round the globe, due to which meat producers have increased their focus on feed quality and certification.

— The driving factors of the global animal feed additives market are: (i) rise in global meat consumption; (ii) increasing awareness towards meat quality and safety; (iii) increasing mass production of meat; and (iv) recent livestock disease outbreaks. However, the restraints of the market are raising raw material cost and regulatory structure.

The CS1 Product as the alternative solution

Analysis of the feed additive market globally and more specifically in the EU has demonstrated that it mainly represents a market of diversified products with different effects on the livestock. Most companies in the industry provide the following types of feed additives: vitamins, antioxidants, probiotics, aminoacids, feedenzymes, and acidifiers. According to our sources the most popular types of feed additives are those which decrease mortality, increase rate of weight gain and improve palatability qualities. Product divisions are aligned between various livestock species, where rarely an additive is equally applicable and effective for all livestock animals.

KIEG’s all natural algae suspension CS1 Product is universally applicable liquid animal feed which secures increased productivity of livestock farms while doing away with the need for antibiotics and growth hormones, keeping the animals healthier and safe.