A positive outlook for 2022
[00:00] And then in terms of themes for 2022, what would it be think we’re looking at where, you know, I noticed the Rabobank basically forecasted something like a 2% growth in poultry meat production over next year, that‘s still pretty strong, it tends to be thereabouts over the last recent times. So we’re looking at an industry that’s growing. I guess we’re also looking at an industry in certain parts of the world, as we just said, food security is a big issue growth because domestic production needs to expand to meet consumption requirements. So some positive things there. I am hugely excited about the sustainability drive, and that journey that we’re on. Yes, you could be. Some cynics might say it’s being driven from this carbon footprint thing and zero-carbon etc, which isn’t itself an issue. But for me, sustainability covers many, many more aspects of what we do as poultry producers, it’s effectively the overriding thing that makes our businesses successful, successful in profitability in, efficient production and management of the supply chain, in using technology to do these things better in how we treat our birds and our staff in terms of welfare, and how we, how we drive the use of raw materials and resources and improve, become efficient and water use or feed raw materials. All of that is really quite an exciting journey that we can play a part in next year.
[01:37] Absolutely. And I totally agree with you, because we discussed with several people about sustainability. And every time it’s a slightly different explanation what it is, depending on from what area this person is coming from, what their experience expertise is. But I totally agree with you. Sustainability is all about responsibility, whether it’s emissions, or welfare, and efficiency, reduction of waste, and use of the potential that you have right now, whether it’s your potential on the crop or on the animal breeding or wherever it is. So yeah, it’s much wider than then just emissions or carbon neutrality, because carbon neutrality is one thing that you can achieve by doing nothing stopping your production. Yeah, stop production, close the plan, close the door, close the office, everything. So that’s it, You’re carbon neutral. But it requires much more to be really sustainable, you need to care about the environment, you need to care about the birds. And you, of course, you need to take care of your business.
[02:54] We’re going to be visiting a few exhibitions next year Nik. And we would really extend an open invitation to anybody listening. And anybody who tunes into our podcast to come and see us meet us in person. And maybe we can arrange to have a podcast with them at some point in the new year. But hopefully, we can get on planes. Where are we going to head to?
[03:17] Well, there’s of course, a series of shows that been postponed and moved throughout the previous year and a half. And hopefully, they will happen next year. And one major event that we usually participating with the big team happening in Atlanta, Georgia in the United States where our headquarters is, and this will be IPPE Big Show in the US. We’ll see how it goes this year. Usually, it’s very international, very big show. But again, maybe there are some restrictions. Maybe there are some issues with the transportation lockdowns. We’ll see how that goes. We have big hopes for it. But we’ll see how that goes. But then, of course, there will be some European events like pig and poultry in UK, we definitely will be there. Big shows in Europe like Viv Europe and Eurotier will take place. Hopefully again, I will not get postponed. And of course we will participate in some shows and Russia. And shows for me is a very good venue to meet with people in-person to establish connection to give an impression of what we’re doing, give information about our products and roadmaps and things like that and generally do networking. So and I guess this is this is what the they’ve been made for. For networking for connections for making business and extending You know, the group of people you work with, and new markets is also very important for that. Yeah,
[05:09] you’re right. And we do what we can get out and meet people at these exhibitions during the course of 2022. And it’s about building relationships to I mean, if you look at MTech, it’s not just about the software, it’s about our expertise or knowledge and what we bring to customers. So, you know, we look forward to doing that in the course of next year. But I guess, you know, there’s some interesting things in terms of you look at the regions around the world. There’s different themes and different drives in each particular region. So I mean, some of that’s quite interesting, moving into 2022. If you look at Europe, what do you think, is the main driving force behind changes in the European market for 2022?
[05:50] Well, of course, the European market is very mature, right? So it was adopting technologies, from early stages, and many of the technologies are coming from Europe. If you look at major producers of, for example, premixes, or equipment, everything that is like poultry genetics, most of it is originated in Europe. That’s why European markets been very good with technology. But again, every technology going through the stages when older technology dies out, and new technology emerges. And I think many companies are going through this stage when they adopted some technology some time ago, long time ago, or developed something themselves, and now this technology is outdated, it’s no longer viable it’s no longer sustainable. So and there is a need for new technology to come in. And I think this is why European market is changing and developing quite a lot because there is this hunger for new technology for new equipment for new types of doing business. That’s why artificial intelligence and machine learning is so desired in this region.
[02:25] I think there’s been such a movement in over the last couple of years. You mentioned data science, artificial intelligence, machine learning, a lot of companies within house development over many years, you know, they, they need to modernize to be able to take advantage of these new technologies, these new techniques, and they can’t always do that off their older platforms. So that’s interesting in the Middle East, what’s driving the Middle East, as we found out firsthand, in Abu Dhabi a few weeks back really is quite a lot of expansion, a kind of focus around domestic production, increasing domestic production from a food security point of view, and help, you know, government’s trying to help grow and improve and expand the local production of poultry and eggs. And I think that’s really driving. So there’s a lot of newer investment there, whether it’s breeding and hatcheries, or broiler and commercial egg production. It’s really, really interesting. And then Asia, I mean, well, Asia is just phenomenal growth in that in that region. And people who are open to technology, you know, they’re open to new things, they’re open to expanding and growing their industries quite rapidly. And with that comes a need to better organize data, automate what you do in terms of data collection, reporting, etc. So there’s an interest in, Data Management Systems and in that particular region.
[08:47] And if I may add about Asia, like you said, there’s a big growth and companies are growing, and many companies are growing through acquisition. And again, once you collect many different companies in one big company, there is a need to standardize everything across the board. Otherwise, it might not work. Otherwise, there is no control. And again, if you don’t have control, it’s really hard to predict the growth or organize the growth.
[09:18] Yeah, very true. And then another part of the world very close to my heart is Africa. And we’ve seen a lot of interest in technology from Africa in the last in the last few months. And yeah, a lot of it from smaller farmers. And we met some of them in Abu Dhabi and really interested in exploring tech and exploring cloud solutions for data and they’re really up there on the leading edge of, of some of this technology, and not necessarily with a scale at this point in time for them to sensibly operate and with that, but it’s been really interesting that they are very keen on the kind of data management but the leading edge of that and yet they are still a very small and relatively immature industry.
[10:05] I hope you enjoyed this episode and of course, follow us on social media we on LinkedIn on Instagram, and on Twitter and not to miss poultry industry news and news from MTech. You can subscribe to our telegram channel which we will link down below. And Happy Holidays wish you all the best good health and two main things with the help that I want to wish everyone is, of course, you know, be patient and be wise.