June 18, 2019

ForFarmers to transfer feed production from Helmond, Netherlands plant


ForFarmers Netherlands has announced that it will transfer feed production from its Helmond location to other ForFarmers mills in Almelo, Deventer, the Netherlands, and Rees, Germany, in the fourth quarter of 2019.

Ruminant and horse feed are being produced at the Helmond mill.

The production of ruminant feed will be transferred to Deventer and Rees, Germany. In addition, part of the Helmond mill's production will be transferred to a third party under a toll milling agreement.

Capacity of ForFarmers' mill in Almelo, the Netherlands, is currently being expanded to take over its horse feed production. Capacity of the mill in Rees is also being enhanced, with investments being made in a new bulk loading system based on contra sets to enable a more flexible use of the mill.

The decision to end the production in Helmond is in line with the announced efficiency plans, earlier this year, to save EUR10 million costs (US$11.2 million; 2021 compared to 2018) by rationalising the supply chain, amongst others.

Wherever possible, production will be combined in existing mills, ForFarmers said. This entails that some mills will be enhanced and/or modernised.

No decision has not been made on how the mill in Helmond can be utilised in the future, for instance, for servicing special segments. For an example, an existing mill in Deventer, the Netherlands, was reopened to be fully dedicated to meeting the growing demand for the production of non-GMO feeds for ruminants and goats, according to ForFarmers.

- ForFarmers