October 5, 2007

Artificial insemination cooperatives to merge in The Netherlands

Dutch artificial insemination (AI) cooperatives are coming together to create one Dutch national cooperative, according to Agrarisch Dagblad.

The day the Dutch AI cooperatives - Varkens Activiteiten Centrum (VAC) and the Pigture Group - announced their intention to merge, it was revealed that discussions are being held with two other cooperatives Varkens KI Limburg and Varkens KI Twenthe, to create one national cooperative.

Topigs, a worldwide player on the AI market, is a subsidiary of the Pigture Group.

Previous merger talks have failed as differences between AI cooperatives in the north and the south of the Netherlands prevented the creation of a national organisation.

The merger between VAC and the Pigture Group would create the Netherlands' biggest AI cooperative, yielding almost 2.8 million doses of semen each year.

The merger was carried out increase production efficiency and semen distribution, while bringing about lower semen prices.

Another rationale for the merger was so that the new organisation would be better prepared to meet the demand for semen with a high health status.

Thirdly, the organisation hopes to be better in providing service to the market.