June 20, 2012

Nedap signs contracts for automation in animal husbandry

Nedap has signed two contracts in South Korea, regarding automation in animal husbandry.

Firstly, a contract was signed with the Korean 'Agriculture IT Convergence Support Center' (AITCSC); the project group within South Korea's national government programme that encourages automated solutions for the livestock sector. The contract includes a memorandum of understanding (MoU) outlining the intent that Nedap solutions for the automation of animal husbandry, such as pig feeding stations for group housing of sows (Nedap Velos ESF), are included in this national government programme.

The second contract was signed with the 'Youngsin Farm' sow farm. Both agreements were signed during a trade dinner which was organised as part of a Dutch economic trade mission, led by Minister Schultz van Haegen, in South Korea. In these projects Nedap will collaborate with its Korean business partner Farm Innovation Co. Ltd.

In South Korea, there is high awareness of the need for and great interest in automated systems in animal husbandry. In 2011, the AITCSC was established, as the benefits of what IT and automation can bring to the Korean livestock industry were not yet fully exploited. The initiative is part of a larger government programme which is funded by the Korean 'Ministry of Knowledge Economy', and which has the objective to encourage both IT and automation within various commercial sectors in Korea.

The work of the AITCSC is managed and executed from the 'Sunchon National University'. One of the reasons for the establishment of the AITCSC includes increasing the income of livestock farmers, who are a large group among the Korean population. The margins/revenues within this industry are under pressure. To create long-term opportunities, the options for generating higher incomes are currently being reviewed.

Fewer people now wish to work in the agricultural sector and as a result the labour costs are rising fast. The application of IT and automated systems should enable an increase in more efficient production (fewer staff, higher effectiveness per employee).

Korea's largest telecommunications company, Korea Telecom, is also participating.

The Netherlands is considered as one of the global leaders regarding automation in animal husbandry. Through collaboration with Dutch companies, AITCSC recognises the potential opportunities and the prospects of generating higher incomes for Korean farmers. AITCSC has chosen to work together with Nedap due to their innovative and comprehensive portfolio of automated solutions for livestock farming, where a healthy balance between work, revenue and welfare plays a significant role. In the coming period the Dutch government, Wageningen University and other Dutch companies will become involved in this initiative.