Feed group ForFarmers transfers non-core export business to Nutreco
PUBLISHED: 12:51 05 January 2015 | UPDATED: 17:11 05 January 2015
Dutch-based agribusiness group ForFarmers, which has its main UK base in Ipswich, has transferred its non-core countries export business to global animal feed group Nutreco with effect from January 1.
The business, involving sales of around 8.5million euros a year (about £6.6m) is mainly focused on young animal feed exported from the UK.
ForFarmers, which previously operated in the UK as BOCM Pauls until a rebranding last October, said that the transfer had no impact on its four key countries of operation – the Netherlands, the UK, Germany and Belgium – where young animal feed remained a key part of its Total Feed Business offering.
However, it added: “These changes do affect a number of BOCM Pauls International staff and wherever possible they are being placed in alternative roles within the ForFarmers organisation.”
The international export business, started in 1994, had developed “very successfully”, having strong relationships with key distributors and customers in a number of European countries, said ForFarmers.
“It is important to maintain these customer relationships as the business moves forward, and to this end a number of BOCM PAULS international brands will be licensed to Nutreco for a period of time,” it added.
“Nutreco can offer an even better customer solution by working closely together with the distributors and utilising each other’s knowledge and strengths in the export countries.”
Yoram Knoop, chief executive of ForFarmers, said: “Following the recent announcement regarding the renewal of the existing strategic partnership between ForFarmers and Nutreco we have been reviewing the combined strengths of each business and have concluded that our international markets for young animal feed are best served in the longer term by utilising the strengths of Nutreco.
“Our distributors and customers should see very little change as a result of the transfer, other than in time production is likely to be transferred to specialist production plants in Europe where the local needs for each country may be better served.
“Nutreco is committed to the development and innovation of young animal feed and is investing significantly in resources to support this activity. Our teams will of course continue to work very closely with the Nutreco team.”
ForFarmers is European market leader in the animal feed sector, with an annual production of approximately 8.5m tonnes of feed, 75% of which are compound feeds, a turnover of more than 2.6bn euros (around £2.1bn) and 2,200 employees.
In addition to feeds for the cattle, pig, poultry and horse sectors, ForFarmers supplies commercial products for arable and pastoral farming. ForFarmers also offers customers knowledge and advice in the areas of feed, animal keeping and business development.
Nutreco employs around 10,000 people in more than 30 countries and has annual revenue of aroud 5.2bn euros (about £4bn) from sales in more than 80 countries.