Meat Chain in North/East of the Region

Transcription

1 Meat Chain in North/East of the Region Assoc. Prof. Dr. Kezban Candoğan Ankara University, Faculty of Engineering, Department of Food Engineering, Ankara, Turkey

2 Meat and meat products Primary source of protein Energy supply- through fat content of meat and meat products Source of vitamin A and B, iron, phosphorus and zinc

3 Key factors for food market Quality Price important for competitiveness and economic efficiency Source: Becker, 2002

4 Price Price premium The result of the interaction between supply of demand for QUALITY Consumer wants to pay a premium for quality Source: Becker, 2002

5 Food supply chain Input industries Agricultural sector Processing industries Retailers Consumers Agricultural input market Agricultural product market Wholesale food market Food market Source: Becker, 2002

6 Definition of quality Several definitions exist at the different stages of supply chain

7 Definition of quality- by consumers Defined by specific personal preferences and goals sensory and nutritional quality safety manufacturing procedure Source: Becker, 2002

8 Definition of quality- by retailers Definitionition according to the extent to which a product contributes to the economic goals of the retailers High margin Product with lower price longer shelf-life life and quick turnover positive image Source: Becker, 2002

9 Processors Two chains Fresh meat chain Meat product chain Slaughterhouses Raw materials Source: Becker, 2002

10 Efficient supply chain Response to the needs of consumer Alignment of the interests in supply chain Commitment to meeting consumer definition of quality at all stages of supply chain WHOLE MEAT SUPPLY CHAIN Source: Becker, 2002

11 WHOLE MEAT SUPPLY CHAIN Farm to fork OR Fork to farm Cartoons from M. Hatakka s presentation

12 Vertical integration/coordination bring people together from each part of the chain Meets consumer needs efficiently Prevents inefficient supply of quality through competing stages in the supply chain Uniform quality Source: Becker, 2002

13 The quality circle Producer Signals Characteristics Communication Production Cues Attributes Source: Becker, 2002 Consumer

14 How to improve quality of meat and meat products? Communication to the consumer of quality attributes Weakest part of quality management in meat sector Listen and speak to the consumer

15 Consumer quality attributes Inspection quality attributes Experience quality attributes Consumer perceptions of important attributes Eating quality Consumer skills in preparing meals Product development and innovation Credence quality attributes Better health image Management and control of food safety Technical regulations for ethical credence Source: Becker, 2002

16 Consumer attitudes towards meat safety Risks related to meat consumption; Microbial infections (Salmonella, Escherichia coli) Chemical residuals of growth hormones and antibiotics Dioxins Use of genetic modification in the production of animal feeds Bovine spongiform encephalopathy (BSE) High fat content and increased cholesterol

17 Systems Diagram of Business System Source: Taylor and Simons, modified from Kast and Rosenzwieg 1981) Environmental Suprasystem Goals and Values Subsystem Technical Subsystem Inputs Managerial Subsystem Outputs Psychosocial Subsystem Structural Subsystem

18 Red Meat Sub-Systems Systems Sub System Goals and Values Technical Red Meat Example Production and consumer driven organisations Information Communication Technology Psychosocial Types of ownership along the chain Structural Size of organisation along the chain Managerial Type of leadership Source: Taylor and Simons, 2005

19 Meat Chain in North/East of the Region

20 Meat Chain in North/East Mediterranean Turkey Israel Syria Source: Vikipedi encyclopadia

21 Source: : FAO-GLIPHA Livestock production-land area

22 Meat Supply Chain in Israel

23 Food Industry in Isreal Among the most competitive sectors in the Israeli economy About 1,000 companies in the local food processing industry generally small companies. about 150 companies produced approximately 90% of the total value. Most processing facilities are located in rural areas. Source: Shachar, 2006, USDA Foreing Agricultural Service, Gain report, 2006

24 Israeli food processing industry value, by sub-sectors, percent (2004) Food Products n.e.c. 10% Alcoholic, Beverages, Beer & Tobacco 8% Soft Drinks 11% Processing of Meat & Poultry 13% Chocolate & Confecitionery 3% Processing of Fruits, Vegetables & Fish 8% Bakery, Matzos & Pastry Products 14% Grain Mill Products 10% Dairy Products & Ice Cream 18% Edible Oils, Margarine & Oil Products 5% Source: USDA Foreign Agricultural Service, GAIN Report, 2006

25 Israeli monthly household consumption expenditure for food (2004) Value Percent Consumption Expenditure total Food - total Meat and Poultry Seafood Milk, Milk Products and Eggs $2,320 $377 $59 $12 $ Source: USDA Foreign Agricultural Service, GAIN Report, 2006

26 Meat consumption in Israel Source: A Preliminary Report of The Negev Foundation, 2004

27 Livestock industry in Israel Israel is situated in one of the regions most severely contaminated by diseases of domestic animals. Successful in establishing one of the most progressive livestock industries in the world.

28 Beef Dairy and beef herds accounted for about 13.9% of Israel s total agricultural production in 2002: 11.4% in milk and dairy products 2.5% in beef products. At 106,000 tons in % of it imported Israel's consumption of beef was only 29% of its consumption of poultry products. The Export and International Cooperation Institute, Ministry of Agriculture and Rural Development

29 Beef production in Israel From Cattle, Beef, and Everything in Between: Production of Beef in Israel Israel Dairy Board, 2003.

30 Structure of Israel s beef industry Source: A Preliminary Report of The Negev Foundation, 2004

31 Slaughterhouses Most are small- to medium-sized operations built over 20 years ago. Three or four of the larger slaughterhouses have had building upgrades in recent years. Source: A Preliminary Report of The Negev Foundation, 2004

32 Processors and Distributors Distributors sell quarters or cuts to supermarkets and butchers processors of fresh products. A few integrated operations- Marbek and Tabach Source: A Preliminary Report of The Negev Foundation, 2004

33 Frozen beef A less expensive alternative to fresh Israeli beef (almost half price) Use in many institutional kitchens frozen beef exclusively for budget reasons. Use for production of a wide variety of ready to eat meat products. Source: A Preliminary Report of The Negev Foundation, 2004

34 Retail Marketing About 70% of fresh beef is marketed to consumers through supermarket chains butcher shops open market The institutional market primarily restaurants and hotels buys the remainder of the beef. Source: A Preliminary Report of The Negev Foundation, 2004

35 Supermarkets About 60% of fresh beef is sold through supermarkets. Israel s three large chains together sell about 44% of meat and poultry in the country. Source: A Preliminary Report of The Negev Foundation, 2004

36 Other Retail Outlets Neighborhood butcher shops sell about 25% of Israel s fresh beef. They are usually found in areas where the buying frequency is above average. Source: A Preliminary Report of The Negev Foundation, 2004

37 Sheep and goat production in Israel For milk and meat - one of Israel s oldest agricultural branches. The evolution of the Israeli sheep sector a good example of how modern technology has been integrated into a traditional farming system through research and extension. The Export and International Cooperation Institute, Ministry of Agriculture and Rural Development

38 Sheep and goat slaughtered annually in Israel Species # of animals slaughtered for meat Live weight Carcass weight Sheep 430,000 19,000 tons 10,800 tons Goat (kids) 70,000 2,500 tons 1,300 tons The Export and International Cooperation Institute, Ministry of Agriculture and Rural Development

39 Poultry sector in Israel It contributes to 19% of the country s total agricultural output. Consumption of poultry meat and eggs per capita, on a readyto-cook basis, is among the highest in the world. Annually, about 35 kg of chicken, 14 kg of turkey, and 250 eggs are consumed per capita in Israel. Additional sectors of the poultry industry goose liver ostrich farming The Export and International Cooperation Institute, Ministry of Agriculture and Rural Development

40 Broilers Breeding farms 17% of total poultry production Broiler farms 44% of total poultry production Breeding and broiler farms, as well as meat processing facilities, are fully automated. The Export and International Cooperation Institute, Ministry of Agriculture and Rural Development

41 Turkey industry in Israel World s the largest per capita consumer of turkey meat. Represents 18% of total poultry output. High quality meat production A wide variety of processed turkey products for export The Export and International Cooperation Institute, Ministry of Agriculture and Rural Development

42 Meat import in Israel Strong demand for quality Kosher beef and lamb. Kosher certification requirement for imported meat and poultry significant challenges for meat exporters. Possible import of non-kosher beef offal as an exception. Imports of beef and beef offal to Israel - not allowed currently due to the BSE problem. Source: USDA Foreign Agricultural Service, GAIN Report, 2006

43 Israeli livestock related imports by product Product Category Million $ % Million $ % Live animals Meat & edible meat offal Fish, crustaceans and mollusca Dairy produce; eggs, natural honey; edible products of animal origin Products of animal origin Source: USDA Foreign Agricultural Service, GAIN Report, 2006

44 Market requirements for meat in Israel Kosher meat Biotechnology Labeling of genetically modified food products is not yet required. Registration will be required for food products containing GMO ingredients, or derived from genetically modified soybean, corn, canola and chicory

45 Meat Supply Chain in Syria

46 Syrian agricultural sector One of the most important sectors in the national economy. Creates work opportunities and plays an important role in poverty reduction. Animal production sector contributes to about 15% of total agricultural exports. Source: Bahhadi et al, 2001

47 Per capita food production in Syria Source: EarthTrends, 2003

48 Livestock resources in Syria The indigenous livestock breeds of Syria are well adapted to the arid conditions in the degraded steppes Livestock resources in order of importance sheep cattle goats Among the white meat producers, poultry are predominant. Source: Bahhadi et al, 2001

49 Evolution of meat production in Syria, (x1000 ton) Source-NAPC-Working paper #24, 2006

50 Syrian consumer Prefers sheep meat rather than other red meat like beef Switches to the consumption of beef if the price of sheep meat increases when heath awareness is considered Source-NAPC-Working paper #24, 2006

51 Source-NAPC-Working paper #24, 2006 Beef production in Syria The second important source of meat after sheep meat. A fluctuation in beef production has been observed during the last decades. Since 1995 the imports of beef has been banned until 1996 due to Bovine Spongiform Encephalopathy (BSE). Most traders have shifted to importing live animal instead of meat.

52 The commodity system for beef in Syria Main operators (Specific budget develop in the PAM) Domestic market Milk producer World market Live Animal Importer Other operators (Cost indirectly Imputed in the PAM) Fattener Flow Middleman Domestic Market Butcher SL. Carcass Importer Importer Possible Import Consumers Source-NAPC-Working paper #24, 2006

53 Cattle breeding in Syria Challenges; Disappearance of pastoral lands of the village which was participating in reducing the feeding cost of livestock Increase of the feeding cost resulting from the increase of the feed price Source-NAPC-Working paper #24, 2006

54 Syrian slaughterhouses Controlled by Supply, Health, and Local Administration Ministries. Most of the slaughterhouses are old and need more maintenance and improvement. There is also some new and modern slaughterhouses. Source-NAPC-Working paper #24, 2006

55 Beef Chain against Sheep Meat Chain in Syria At farm level; Activities in the beef chain are more profitable than in the sheep meat chain. At the wholesale level; Performance of the wholesaling activity in the beef chain is better than in the sheep meat chain. Source-NAPC-Working paper #7, 2006

56 Beef Chain against Sheep Meat Chain in Syria At retail level; Activities in the sheep meat chain are more profitable than in the beef chain. At slaughterhouse level; Profitability in the sheep meat chain is higher than that in the beef chain. Source-NAPC-Working paper #7, 2006

57 Meat Supply Chain in Turkey

58 Turkey s agricultural sector One of the few self-sufficient sufficient countries in the world in terms of agricultural production, especially for production of food items. One of the richest and largest countries in terms of land Source: Akbay and Boz, 2005

59 Livestock sector in Turkey An important part of the agricultural sector and economy Approximately 25% of the value of all agricultural production Contributes to the economic development of rural households. Source: Akbay and Boz, 2005

60 Total livestock production of Turkey Millions head Sheep Goat Cattle Source: adapted from Ministry of Agriculture reports, 2006

61 Livestock slaughtered in Turkey Millions 12,0 10,0 8,0 6,0 head 4,0 2, Sheep Goat Cattle Source: adapted from Ministry of Agriculture reports, 2006

62 Millions Livestock milked in Turkey head Sheep Goat Cow Source: adapted from Ministry of Agriculture reports, 2006

63 Supply meat chain in Turkey

64 Livestock supply chain in Turkey based on the region Source: Ministry of Agriculture draft reports by Agri-Livestock Consultants Inc., 2007

65 Livestock supply chain in Turkey Individual animal feeding and marketing is generally dominant in Turkey. The number of procurement and marketing cooperative is decreasing and they are not powerful in market.

66 Livestock supply chain in Turkey Live animals are sold in local markets livestock fairs central livestock exchange markets. There are different ways of selling such practices by heads by live weights by net carcass weight by meat yield.

67 Livestock supply chain in Turkey The meat collected by wholesale butchers goes to the municipal slaughterhouses or private slaughterhouses the meat processing plants the retail markets the consumers

68 Livestock supply chain in Turkey Slaughtering is done in municipal slaughterhouses larger private slaughterhouses processing plants.

69 Number of slaughterhouses in Turkey Slaughterhouses Private Govermental Total Private- Class 1 Private- Class 2 Private- Class 3 Govermental- Class 1 Govermental- Class 2 Govermental- Class 3 Number Average capacity by cattle slaughtered Source: Ministry of Agriculture/SKGM, 2006

70 Distribution of slaughterhouses in Turkey Source: Ministry of Agriculture reports, 2005

71 Livestock authorities in Turkey Regulation for the livestock and meat market is made by the Ministry of Agriculture and local Municipal Administrations. The Power of Municipal authority is decreasing where live animals exchange market operates. However, local authorities have the power, the control, the flow of flocks from production areas to consumer centers.

72 Environmental issues in Turkey s livestock sector Environmental waste management Waste water purification systems

73 Red meat production Red meat production is not stable in Turkey because of fluctuation of livestock supply. This is mainly due to extensive breeding systems and difficulties to obtain feed.

74 Comparison of Turkey s per capita consumption of livestock products in 2003, kg/year Region Milk Red meat Fish Poultry Eggs World Developing countries Developed countries European Union (25) Turkey Source: FAO, FAOSTAT Data Base, ; from Akbay and Boz, 2005

75 Consumption of red meat and processed products Total meat consumption is little higher than 1 million ton. Total consumption of red meat processed products is 60,000 tons. The balance of production and consumption is not good because of low consumption level.

76 Consumption of red meat and processed products Consumption of red meat changes very much from year to year depending upon the income and price changes. The demand for red meat has increased by to 6-7% in last years due to the effect of population and income increase. Processed red meat consumption also shows an upward trend, and it is estimated on a yearly base to 0.5%

77 Poultry sector in Turkey Increases in production and consumption of chicken meat in domestic market due to; Lower price of chicken meat against red meat health-related concerns Avian influence crisis in Extensive biosecurity precautions Nineteen integrated firm

78 Poultry production in Turkey Chicken Poultry meat production (tons) Thousands

79 Turkey s per capita poultry meat 14 consumption per capita consumption (kg/year) Source: BESD-BIR Report

80 Turkey s poultry production- primary production Importation of fertilised eggs Nucleus breeding stock Breeding farms Feed Water Hatcheries Broiler farms Transform of live birds at slaughter facility

81 Turkey s poultry production- primary processing Receival of live birds at slaughter facility Stunning Slaughtering Scalding Defeathering Evisceration Chilling Portioning: Boning facility Whole carcass: Storage and distribution of fresh/frozen poultry Value adding: Further processing

82 Turkish livestock sector An important part of agricultural sector and economy Increases in integration in livestock and agriculture short-term term benefits long-term sustainability of agriculture. Credit available to promote livestock products. Taking steps to gain membership in the EU

83 CONCLUDING REMARKS For an efficient whole meat chain; Food safety educational programs Increase diversity Extend HACCP Programs Biosecurity - Farm to Table Improve coordination with stakeholders