PET Food Processing - June 2022 - 30

REGULATORY
The Infrastructure
Investment and Jobs
Act, signed into law by
President Joe Biden in
November 2021, has
allocated $725 billion
toward projects poised
to improve transportation
and technology for many
US sectors, including pet
food manufacturing.
©maxwellmonty - stock.adobe.com
and fifth-largest categories of animal ingredients in pet
food by volume, with more than 300,000 tons used each
year combined. As fuel refiners add " renewable diesel "
to their product mixes, they're buying up stocks of the
fats used to process biodiesel, including animal fats.
Increased diversion of these ingredients into biofuels
over the last year has driven up global prices for all classes
of animal fats.
Animal diseases are impacting the marketplace as
well. African swine fever (ASF) has been top of mind
for industry members and government officials alike
since its emergence in the Dominican Republic
last
July. The US Department of Agriculture's Animal and
Plant Health Inspection Service (APHIS) had already
been preparing for a " what if " ASF outbreak situation.
However, efforts have significantly increased, and all
stakeholders are engaged.
Of particular concern to pet food exporters are implications
for the APHIS Veterinary Services 16-4 form,
required for the export of animal products, which states
that ASF and other diseases do not exist in the United
States. Almost all pet food and treats are exported using
the VS 16-4, which has been negotiated into existing
export protocols. In the event of an ASF outbreak, the
VS 16-4 would become invalid because the United States
would no longer be able to claim ASF " does not exist " in
the United States. Currently, this would stop the export
of pet food and treats containing any animal products,
not just pork. The AFIA is actively working with APHIS
to address the necessary changes to the VS 16-4 form to
maintain export opportunities for pet food and treats.
Meanwhile, the current outbreak of highly pathogenic
avian influenza (HPAI) across the country is concerning
because it could further reduce the availability of poultry-based
ingredients in pet food if the virus continues
to spread and infect more commercial poultry operations.
Outbreaks of HPAI in Canada are already limiting
imports of ingredients to the United States from some
Canadian provinces. Furthermore, the outbreak has a
negative impact on US exports containing poultry prod30
PET FOOD PROCESSING | June 2022 | www.petfoodprocessing.net
ucts. APHIS has regionalization agreements set up with
individual countries, but they are inconsistent. Many
countries refuse to recognize both World Organization
for Animal Health (OIE) standardized regionalization
protocols and the approved mitigation steps for pet
food products. One bright spot is that China is agreeing
to its commitment made during the phase one trade
agreement and following the regionalization protocols.
The AFIA is engaging with APHIS to provide scientific
information where necessary to help support the safety
assessment of pet food and pet food products to regain
market access.
The war in Ukraine and sanctions on Russia will have
an additional impact on ingredient availability in the
United States. Europe is already feeling the effects of limited
availability of some raw materials, such as sunflower
oil, and there are also concerns relating to white fish and
wider impacts on the global grain markets. Disruption
to logistics and the availability of Russian fertilizer are
creating a shock to the market. Ukraine is the European
Union's fourth-biggest external provider of food. The EU
has traditionally received over half of its corn imports,
around a fifth of soft wheat imports, and a quarter of its
vegetable oil from Ukraine.
Packaging woes
The problems affecting pet food manufacturers are
also hitting the manufacturers of packaging materials.
Supply chain disruptions continue to affect
the
food and packaging industry, with limited supplies of
packaging materials, primarily glass, containerboard,
cardboard and aluminum. Constant labor issues and a
shortage of cargo containers to move bulk materials are
creating challenges on manufacturers and suppliers of
packaging supplies.
The industry is seeing some points of recovery. In 2021,
the Texas ice storm and Gulf coast hurricanes knocked
out a significant portion of production capacity and drove
prices up 30% to 50%. Despite an increase in production
expected later this year, resin prices in the United States
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PET Food Processing - June 2022

Table of Contents for the Digital Edition of PET Food Processing - June 2022

PET Food Processing - June 2022 - Intro
PET Food Processing - June 2022 - 1
PET Food Processing - June 2022 - 2
PET Food Processing - June 2022 - 3
PET Food Processing - June 2022 - 4
PET Food Processing - June 2022 - 5
PET Food Processing - June 2022 - 6
PET Food Processing - June 2022 - 7
PET Food Processing - June 2022 - 8
PET Food Processing - June 2022 - 9
PET Food Processing - June 2022 - 10
PET Food Processing - June 2022 - 11
PET Food Processing - June 2022 - 12
PET Food Processing - June 2022 - 13
PET Food Processing - June 2022 - 14
PET Food Processing - June 2022 - 15
PET Food Processing - June 2022 - 16
PET Food Processing - June 2022 - 17
PET Food Processing - June 2022 - 18
PET Food Processing - June 2022 - 19
PET Food Processing - June 2022 - 20
PET Food Processing - June 2022 - 21
PET Food Processing - June 2022 - 22
PET Food Processing - June 2022 - 23
PET Food Processing - June 2022 - 24
PET Food Processing - June 2022 - 25
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PET Food Processing - June 2022 - 27
PET Food Processing - June 2022 - 28
PET Food Processing - June 2022 - 29
PET Food Processing - June 2022 - 30
PET Food Processing - June 2022 - 31
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PET Food Processing - June 2022 - 33
PET Food Processing - June 2022 - 34
PET Food Processing - June 2022 - 35
PET Food Processing - June 2022 - 36
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https://digital.petfoodprocessing.net/sosland/pfp/-pet-food-processing-june-2022
https://digital.petfoodprocessing.net/sosland/pfp/pet-food-processing-march-2022
https://digital.petfoodprocessing.net/sosland/pfp/pet-food-processing-december-2021
https://digital.petfoodprocessing.net/sosland/pfp/pet-food-processing-october-2021
https://digital.petfoodprocessing.net/sosland/pfp/pet-food-processing-september-2021
https://digital.petfoodprocessing.net/sosland/pfp/pet-food-processing-june-2021
https://digital.petfoodprocessing.net/sosland/pfp/pet-food-processing-march-2021
https://digital.petfoodprocessing.net/sosland/pfp/2020_12_01
https://digital.petfoodprocessing.net/sosland/pfp/2020_10_01
https://digital.petfoodprocessing.net/sosland/pfp/2020_09_01
https://digital.petfoodprocessing.net/sosland/pfp/2020_06_01
https://digital.petfoodprocessing.net/sosland/pfp/2020_03_01
https://digital.petfoodprocessing.net/sosland/pfp/2019_12_01
https://digital.petfoodprocessing.net/sosland/pfp/2019_10_01
https://digital.petfoodprocessing.net/sosland/pfp/2019_09_01
https://digital.petfoodprocessing.net/sosland/pfp/2019_06_01
https://digital.petfoodprocessing.net/sosland/pfp/2019_03_01
https://digital.petfoodprocessing.net/sosland/pfp/2018_12_01
https://digital.petfoodprocessing.net/sosland/pfp/2018_09_01
https://digital.petfoodprocessing.net/sosland/pfp/2018_06_01
https://digital.petfoodprocessing.net/sosland/pfp/2018_03_01
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