French feed company to give $6 million in aid to farmers

Avril Group subsidiary Sanders aims to create value for French livestock producers

French animal feed producer Avril Group and its animal nutrition subsidiary Sanders have launched a EUR6 million (US$6 million) aid plan for livestock producers.

The aid is available to eligible breeders who request it, regardless of their production, or whether they are clients or future clients, the company said.

“Given the increasing prices of raw material over the last two years and the consequent increase in the price of feed aggravated by the war in Ukraine, the increase in energy costs, and finally the avian flu, livestock farmers are facing a very complex economic situation. The aid plan we implemented is consistent with our mission to provide them with support throughout their transition to profitable and sustainable farming,” said Philippe Manry, general manager of Sanders.

3-part plan

The aid plan addresses three main objectives: to promote the transfer, installation, and development of farms, thus contributing to the sustainability of French livestock, to support the modernization of facilities toward more sustainable livestock farming, and, within an unpredictable inflationary context, to provide solutions to facilitate access to quality protein nutrition.

  1. For young farmers established for a maximum of five years in dairy goats, rabbits, suckling ewes, fattening cattle, broiler poultry, and pigs – “provision of services and other important operational tasks” (PSE) or NE.

Non-capped structural aid, proportional to the livestock, is intended to support the setting up of a new farm or the takeover of an existing one, as well as investments for the extension or modernization of the farm.

Intended for the livestock farmer and not for the farm, the aid can range from EUR2,000 to EUR100,000 depending on the application dossier. For dairy cows, the aid is included in the second section on the modernization and sustainability of farms.

  1. For modernizing and ensuring the sustainability of farms: compulsory partial aid of 25% to 75% depending on the case, with a ceiling of EUR3,000 per project and EUR15,000 per farm. This assistance is intended for all livestock farmers, with some assistance being specific to certain types of production.

Depending on the case, the aid will support the financing of material or equipment, investments or manpower on four major areas that must ensure a dynamic future for the livestock farms:

Health: aid for the financing of material for washing areas for poultry, pigs, and rabbits, and support for the purchase of material for the medication of bulk feed for poultry, pigs, rabbits, and small ruminants, to which Sanders is committed.

Sustainability: support for the renovation of silos to improve worker safety, aid for the creation of wooded runs (laying hens), aid to increase feed storage capacity by reducing truck rounds, etc., as well as funding for high environmental value (HVE) audits or automated calculation of environmental performance in ruminant farming (Cap2ER).

Zootechnical performance for farm profitability: financing of measurement equipment including connected scales, connection boxes, sensors, and the like, for data collection and processing, support for the financing of automatic DAL milk dispensers (ruminants) for precision feeding, and participation in subscriptions to certain technical-economic management tools for dairy and beef cattle, and pigs.

Product differentiation to provide added value to the livestock farmer. This includes assisting in the purchase of material for marking eggs on the farm (laying hens) for increased traceability.

  1. For the improvement of protein nutrition

This measure involves purchasing protein-rich feed (>32%) for livestock farmers raising dairy cows, beef cattle, goats, and to some extent pigs.

In its contracts, Sanders offers an option dubbed “Sécuripro” enabling the livestock farmer to take advantage of any drop in the market price of raw material.

In the context of high price volatility, this insurance offers the livestock farmer visibility by securing their cost price, i.e. if the market goes up, the price is capped, however, if the market goes down, Sanders reimburses the livestock farmer the difference. Sanders also covers 50% of the cost of this insurance.

A simplified procedure

Sanders technical sales representative can assist livestock farmers in preparing and submitting their aid applications. Applications are studied on a case-by-case basis.

If the request is validated by Sanders, responses are provided within one month, a contract is signed by both parties, committing them mutually.

In accordance with the amount of aid requested, the livestock farmer will commit to the purchase of feed and/or nutritional or hygiene products.

For its part, Sanders promises to pay the amounts granted within 30 days of receiving the invoices paid by the livestock farmer.

All applications must be submitted by December 31, 2022. Projects shall be completed either in 2022 or by June 30, 2023.

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