AB Agri opens ninth animal feed manufacturing facility in China

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Newly opened AB Agri feed mill in Tongchuan City, Shaanxi Province, China. © AB Agri

AB Agri has opened a new 240,000 tons capacity feed mill in Tongchuan City, Shaanxi Province, China, to further expand production capacity in the region.

The new 34,000 square meter site is now AB Agri China’s second largest facility. The company said the mill comprises separate production lines for swine and ruminant feeds.

Nie Kuo, AB Agri China MD said: “As part of our responsible approach, production at the new site is free of antibiotic growth promoters (AGPs), which is important given the widespread restrictions on their use and potential impact on human health antibiotic resistance.”

The final stages of the facility’s construction were delayed by two months because of COVID-19 restrictions and also as a result of bad weather.

China is AB’s Agri’s largest manufacturing base outside the UK. 

The company said the Tongchuan mill is the latest in a series of investments over the years in China. It is AB Agri’s ninth production site in that country with its Chinese operations now producing over 1.7 million tons of compound feed equivalent. Its other feed mills in China are located in Harbin, Anshan, Tianjin, Rudong, Hefei, Tonggu, XinXiang and Zhumadian.

Local production of some other AB Agri products that are currently shipped to China is also being considered as part of its future growth strategy, a spokesperson told us.

Local insights

With headquarters in Shanghai, AB Agri China has been operating since 1996 and now has over 1,000 employees in operations across the North East, Central and Eastern regions. It maintains that, with more than 20 years of involvement in the country, it has developed a rich understanding of the domestic livestock and feed sector.

The group outlined how its Chinese division can also leverage the three decades of feed safety management experience in the UK. “This knowledge helps it to supply high performance, safe animal nutrition and services to feed producers, livestock farms and food processors in China.”

AB Agri is looking to grow its footprint globally, and has been training its sights on South East Asia. It wants to significantly increase its presence in that region, recently recruiting business development specialist, Graham Wong, to head up its operations targeting those markets.

“With a rapidly increasing population and higher levels of disposable income, the scope for growth in Asia is considerable,” noted José Nobre, AB Agri’s CEO.