Firstly, our seminar on the MILLSMART^TM programme, presented by our new associate product manager Chew Kin Ken, saw a good response and was well-appreciated by customers.

 

Secondly, as in most other tradeshows, we had a demo product applicator at our booth for our Feed Technology Unit, which oversees the MILLSMART^TM programme.

 

It might also be meaningful to look at our MILLSMART^TM programme more broadly as a key part of our Feed Technology Unit, which additionally includes grain treatment and feed hygiene.

 

In particular for the MILLSMART^TM programme, product-wise, we are basically looking at mould inhibitors and different types of surfactants through our Kemin Online moisture application technology that helps the feed millers to increase the overall efficiency of the feed mill and at the same time produce quality feed with targeted and consistent moisture levels. We have two main market segments for the programme. The first are integrators which generally don't need to have longer shelf life and the feed produced are consumed within a short duration of less than two to four weeks. The second are commercial feed manufacturers which often supply feed to farms through distributors, meaning that feed has to be stored for a long time, like two to three months. The objectives and value proposition for these two segments are different, and can be met with different product lines or programs of MILLSMART^TM.

 

For the MILLSMART^TM programme, customers can look forward to new products, new product application systems, and additional expertise from new people to the team. We expect a couple of product launches by year end.

 

 

 

Led by the demand from Indonesian's growing population and middle class, feed production in the country is growing rapidly at 10 to 12%, with new feed mills being built. However, customers are no longer looking at just producing feed efficiently; they are increasingly looking at producing quality feed. 

 

Indonesian customers often switch between using local and imported corn. With the variation in moisture content of different sources of corn, they typically suffer process losses of 1 to 2%, which can translate to substantial financial losses in absolute terms. Downstream, this means that farmers' output would also be affected by inconsistent nutrient densities fed to their livestock. Accordingly, the MILLSMART^TM programme enables moisture optimization to produce feed with a target moisture level and at the same time with a higher feed quality and throughput.

 

Separately, we also see the rising potential of the contribution of feed hygiene in producing quality feed for the benefit of the Indonesian market.

 

 

 

Before a feed grain such as corn enters the feed silo, we can spray one of our products on the corn to preserve the corn in silo for longer duration, keeping it free from moulds and weevils. Following which, the MILLSMART^TM program allows for the real-time monitoring of feed samples for moisture in order to produce target moisture consistently using Kemin products. The program is also supported through our Customer Laboratory Service, that will help to analyze the samples for moisture, mould, propionic acid recovery, water activity, microbiology, PDI and starch gelatinization etc. on a weekly basis, based on the shelf life of the customer feed, to demonstrate the return on investment.

 

In fact, even before a customer starts their customised MILLSMART^TM programme, I often urge them to go through a trial run first, so that they can see the benefits of MILLSMART^TM to their feed milling operation, and familiarise themselves with how the programme works. We will then install the product applicator on site, and conduct a validation trial every one to three months, to ensure that the customer continues to benefit from the programme.