Presented to: New Jersey WasteWise Business Network

Transcription

1 Presented to: New Jersey WasteWise Business Network

2 2 Global footprint: Founded: 1882 Listed: 1994 Publicly traded: Principal segments: Industries served: 5 continents, 200+ locations NYSE: DAR Three Pharmaceutical, food, pet food, feed, technical, ca fuel, bioenergy, fertilizer, restaurant 2015 revenue: ~$3.4 billion Employees: Approx. 10, Headquarters: Regional Offices: Irving, Texas, USA Cold Spring, Kentucky, USA Dundas, Ontario, Canada Son, Netherlands

3 3 Livestock Suppliers Darling is active in each market... Food, Pharma & Health Markets Meat Processors Feed, Pet Foods & Aquaculture Food production Biofuels & Green Energy Food service industry...adding value and safeguarding the food chain. Specialty Markets

4 4

5 5 Respecting the Environment In a world of limited natural resources, we must strive to maximize their use. We give a second life to materials that would otherwise be discarded by turning them into food, feed or fuel ingredients, thus positively impacting our environment. Optimizing Nutrition & Health Lifestyle-related diseases are on the increase. Ingredients that can lower the use of salt, sugar and fat in our diets can make an important t contribution ti to a healthier lifestyle. Nature provides a wide range of bio-functional ingredients that can have a positive effect on human and animal health. Our extensive R&D programs are continually looking for innovative ways to use our value added ingredients. Giving Back to Communities Our company is intrinsically tied to providing solutions for society's needs; we also place great importance on being a good neighbor to our local communities. Visit closingtheloops.net for more information about our sustainability efforts and commitment.

6 Source Reduction Feed Hungry People Feed Animals Industrial uses Composting Landfill

7 7 Independent vs integrated renderers and estimated breakdown of raw material type processed by independent renderers in U.S. Independe nt 52% Retail F&B 12% UCO 10% Integrated 48% ABP 78% 2011 Overall US Industry Data 2011 Data for Independent Renderers with USDA-ERS estimated retail meat losses

8 8 2.2 million tons of used cooking oil are collected by North American renderers each year* Only 50-65% of each cow, pig, pg, chicken and fish raised in the US is consumed* Renderers collect and process approximately 31 million tons of these inedible meat byproducts* Without our rendered feed ingredients, we would need an additional 6 million acres of grains and feed crops* (> than NJ) *Data according to the National Renderers Association 100% of our used cooking oil is processed, mostly as: renewable diesel and biodiesel a nutritional ingredient in animal feeds A smaller percentage of the UCO is used in a number of other sustainable products lubricants, hand sanitizers, cleansers, plastics, textiles, tires % of the meat byproducts and fat & bone we collect from our grocery customers, fat & bone suppliers and butchers is processed into fats, proteins, tallows, minerals. These fat and protein ingredients are primarily used to produce: renewable diesel and biodiesel animal feeds our brand of natural organic fertilizers A smaller percentage is used in a number of other sustainable products soaps, industrial acids, paints, inks, glues, plastics, creams, antifreeze, household cleaners, and more...

9 9 o Facility went into production in 2013 as a joint venture between Darling Ingredients and Valero Energy Corporation o Largest facility in North America to produce renewable diesel from recycled animal fats and used cooking oils; also uses distillers oils o Renewable diesel is virtually identical to petroleum diesel, allowing it to be distributed via existing pipeline The Numbers o Annually converts 1.3 bill. lbs. feedstock into ~160 million gallons of renewable diesel o 2014 production: 126 million gallons o 2015 production: 159 million gallons. o Processes ~10% of the animal fats and used cooking oil generated in the US o April plans to expand to make 275 million gallons in 2017 announced.

10 10 42% 19% 85% From: Oils and Fats International, February 2015

11 Carbon Footprint of a Typical Rendering Facility * 11 ( Released refers to GHG a UCO plant emits from the natural gas and electricity used to operate the plant, employee commutes, truck emissions that collect raw materials, etc.). Captured represents the equivalent amount of GHG that would have been released if the raw material had been landfilled, composted, incinerated or left on open land, vs recycled by DAR PRO or another renderer) * Gooding, C.H Data for the Carbon Footprinting of Rendering Operations. Journal of Industrial Ecology. Vol 16, No.2.

12 Carbon Footprint of a Typical UCO Processing Facility * 12 ( Released refers to GHG a UCO plant emits from the natural gas and electricity used to operate the plant, employee commutes, truck emissions that collect raw materials, etc.). Captured represents the equivalent amount of GHG that would have been released if the raw material had been landfilled, composted, incinerated or left on open land, vs recycled by DAR PRO or another renderer) * Gooding, C.H Data for the Carbon Footprinting of Rendering Operations. Journal of Industrial Ecology. Vol 16, No.2.

13 13 We make Animal Food which is regulated by the FDA. Under the Food Safety Modernization Act (FSMA) Animal Food is defined as: Food for animals other than man and includes pet food, animal feed, and raw materials and ingredients. FDA recognizes rendering s role in diverting waste human foods to animals (Compliance Policy Guide ): There are two types of processes in use by the rendering industry to process this material [animal byproducts]. They are dry rendering, used by the largest portion of the industry, and wet rendering. Both rendering processes were designed to ensure that the resultant animal feed ingredients pose no threat of disease transmission to animals which are fed the material or to the health of humans consuming their edible products (meat, milk,and eggs).

14 An Overview of the Process 14 Supplier verification Used Cooking Oil Inspections GMP Filtering Temperature CCP Decanting Is stolen grease safe? Water Impurities Raw Material GMP Sizing Heat Processing (Time x Temperature) Further Processing Inspections CCP Temperature GMP Grinding GMP Protein Press Compliance testing Compliance testing GMP Centrifugation Polishing Animal Fat Fat Storage Meal Storage Fat Storage Water Impurities

15 15 In 2001, the Government of the United Kingdom ranked various disposal options according to their risk of exposing the public to hazards. Risk increases with bar height ht Bacterial hazards: Food pathogens (E.Coli, salmonella, botulism) Disease pathogens (Anthrax, TB, Plague, Tetanus) Drinking water pathogens Chemical hazards: Methane Carbon dioxide Hydrogen sulfide Other harmful chemicals Bacterial Chemical Rendering Incineration Landfill Burial The UK concluded that rendering is the preferred method of disposal Meat and food byproducts provide an excellent environment for pathogens to grow and multiply. l Temperatures (> 250 F) used during the rendering process are more than adequate to kill conventional disease-causing organisms *, such as bacteria and viruses. * The rendering process will not inactivate the agent that causes BSE. Regulatory agencies in the U.S. and most other countries have safeguards to prevent feeding ruminant proteins back to ruminant animals that have been highly successful.

16 Animal Food Safety Plan Required by FSMA Is More Than HACCP 16 Hazard Analysis Preventive Controls Food Safety Plan CGMP Personnel hygiene & training Plant Ops, maintenance & grounds Process Control Other Controls Recall Plan Equipment & utensils design, use & maintenance Processes & controls Supplier Programs Sanitation Control Other Controls are CGMPs & Other Prerequisite Programs required to make safe animal food. Holding & distribution Holding & distribution of human food for animal food CGMP Current Good Manufacturing Practice

17 In 2015, we made a commitment to produce at least 10% more renewable fuel and renewable energy as compared to Our Ecoson, Netherlands facility increased production of renewable electricity and gas by 12.9%; our Diamond Green Diesel facility increased renewable diesel production by 25% in 2015 than Visit closingtheloops.net for more information about our commitment to social responsibility and our activities that support it. Creating sustainable food, feed and fuel ingredients for a growing population

18 Our industry provides a cycle of sustainability to the food industry, ensuring safety throughout the food chain. 18

19 19 Rendering Sustainably produced d inputs Minimal use of virgin raw materials Production processes that minimize the use of water, energy and materials Production processes free from harmful toxins Reuse and recycling of solid waste streams Substantial reductions in emissions or effluents of harmful GHG or pollutants Products that are built for longevity and durability Scored by Charles Gooding, Ph.D., PE, Professor of Chemical Engineering, Clemson University January 31, Gooding is also leading a study evaluating ating the sustainability stainabilit of the US rendering industry.

20 20 Such services include collection, processing and upcycling organics such as: Animal By-products Used Cooking Oil Bakery Products Advantages and benefits: Reduces volume by >60% by removal of water and improves product stability Processing of animal byproducts, which are microbiologically active materials containing bacteria, viruses and other potential health threats, are processed in a timely (usually a few hours) manner: Controls the spread of disease and food pathogens Provides Federal and State agencies with control over these materials Important to animal prodution Provides essential nutrients for livestock and poultry Helps livestock and poultry industries be sustainable Has been used to eradicate animal diseases

21 21 Important for pet health and welfare Sustainable source of essential nutrients for pets Environmental benefits Reduces organics going to landfill Carbon capture and GHG avoidance Spares placing more acres under cultivation Source of biofuels such as biodiesel and renewable diesel that are essential to meet targets under the Low Carbon Fuel Standard and Renewable Fuel Standard Prevents eutrophication & acidification of waterways from PO 4 & N 2 O 15 ton Fatberg in London sewer Sustainability Prevents congregation of scavenger animals Prevents fat buildup/occlusion in municipal sewer systems

22 22 The Legislature hereby finds and declares all of the following: The rendering industry is a critical health and safety infrastructure for California. Rendering is an effective tool to eliminate many human and animal disease pathogens, protects our groundwater and air resources, and greatly reduces greenhouse gas emissions compared to other alternative disposal options. * * California Assembly Bill No. 1249, Chapter 280, Approved by Governor October 11, 2009.

23 23 Rendering provides essential services to society. Rendering activities are closely regulated by multiple federal and state agencies. Because rendered products may be used as feed ingredients, rendering is required to have Food Safety Plans, including preventive controls to address hazards that are likely to occur. These same controls help to protect the environment. Options for the disposal of meat and food byproducts should consider: Rendering is Essential! Hazard prevention and controls Rendering is upcycling!! Highest and best use GHG and sustainability

24 24 Process Composting Anaerobic Digestion Rendering Electricity, kwh <1 15 to Process fuel, MJ (1 MJ = 948 Btu) 100 to ,300 Utility GHG, kg CO 2 e < Process GHG, kg CO 2 e 2,500 to 4, to Total GHG, kg CO 2 e 2,500 to 4, to Potential GHG if all C in meat by-products converted to CO Product 1 N in Compost CH 4 in biogas Fat Amount, kg 10 to to Value (from publication) $10 to $20 $20 to $40 $170 Product 2 P in Compost N&P in digestate Protein Amount, kg ~10 30 to Value (from publication) Up to $40 $40 to $60 $130 Total product value $30 to $60 $50 to $100 $290 to $310 1 Gooding, C.H. and D. L. Meeker Review: Comparison of 3 alternatives for large-scale processing of animal carcasses and meat by-products. The Professional Animal Scientist