Export of Shell Eggs and Products, January-April 2021.

USDA-FAS data collated by USAPEEC, reflecting export volume and values for shell eggs and egg products are shown in the table below comparing January-April 2021 with the corresponding months in 2020:-

U.S. SHELL EGG AND EGG PRODUCT EXPORTS DURING

JANUARY-APRIL 2021 COMPARED WITH 2020

Source USDA-FAS/USAPEEC

SHELL EGGS

Shell egg exports from the U.S. during January-April 2021 increased by 44.3 percent in volume and 44.9 percent in total value compared to 2020. Unit value was unchanged at $1.01per dozen for the comparison between 2020 and 2021. The top two importers, Hong Kong and Mexico combined, represented 56.7 percent of volume and 47.0 percent of total value.

Mexico was the leading importer of shell eggs during January-April 2021 with 19.6 million dozen representing 31.7 percent of volume and 25.4 percent of total value corresponding to a unit value of $0.81 per dozen. Prospects for additional sales will depend on continued acceptance of washed, white-shelled eggs held under refrigeration for retail sale, first announced in September 2018 but implemented in late 2019. For January-April 2021 imports of shell eggs by Mexico increased by 37.1 percent in volume and also 37.1 percent in value compared January-April 2020. For April export volume increased by 56.5 percent to 7.2 million dozen.

Hong Kong was the second-ranked importer of shell eggs in January-April 2021, with 15.5 million dozen representing 25.0 percent of volume and 21.5 percent of the $62.6 million total value of U.S. shipments of shell eggs. Average unit value was $0.87 cents per dozen, similar to the average prevailing nest-run USDA benchmark price during January-April 2021.

Status of 2021 Corn and Soybean Crops

The USDA Crop Progress Report released on June 14th documented corn and soybean crop condition to June 13th compared to the 5-year average. Corn planting is complete ahead of the 5-year average. Soybean planting is 6 percent ahead of the five-year average, advancing 4 percent this past week to 95 percent completed. Corn and soybean emergence parallels the rate of planting at 96 percent for corn and 86 percent for soybeans.

U.S. average surface moisture levels were generally lower over the past week over the corn belt with Iowa, Illinois and Michigan deteriorating compared to last week and corresponding weeks in 2020. The severe drought in Western states and the Dakotas continues. Texas as a state is no longer in drought following prolonged and heavy rains with flooding across the Gulf Coast in early June. Topsoil moisture in Iowa deteriorated to 70 percent from 39 percent in the “Very Short” and “Short” categories. Pennsylvania deteriorated slightly to 19 percent and Illinois attained 34 percent representing the sum of the two driest topsoil categories.

CHICK-NEWS and EGG-NEWS will report on the progress of the two major crops as monitored by the USDA through the end of the 2021 harvest in November.

Reference is made to the June 10th WASDE Report #613 accessible in this edition for projected 2021 acreage and yields. This data will be updated after Report #614 is released in mid-July when acreage and projected yields have firmed.

	WEEK ENDING
Crop	June 6th	June 13th	5-Year Average
Corn Planted (%) Corn Emerged (%)	95 90	100 96	100 91
Soybeans planted (%) Soybeans Emerged (%)	90 76	94 86	88 74

* Western States with categories of “Very Short and “Short” Topsoil moisture combined (with previous week in parentheses):-

NM 75% (stable, 75%)

SD 80% (deteriorated, 78%). This week 13% of corn and 12% of soybeans in “Poor” and “Very Poor” categories

ND 62% (improved 84%). This week 20% of corn and 30% of soybeans in “Poor” and “Very Poor” categories

TX 20% (deteriorated, 12%; decline following heavy rain in SE of State in early June)

CA 75% (stable 70%; low snow pack inadequate to support 2021 irrigation)

WY 64% (deteriorated 53%)

OR 80% (improved 82%)

The major corn and soybean-producing states (KS, OH, IL, IN, IA, PA) have an average of 28% in the “Very Short” and “Short” categories (last week 18%) with a range of 10% for OH to 70% for IA.

USDA Weekly Egg Price and Inventory Report, June 17th 2021.

• Shell inventory was down by 2.5 percent, following a fall of 2.4 percent last week reflecting moderate depletion of old flocks. Prices although relatively stable at a below-breakeven value for three previous weeks retreated this past week. Wholesale prices have declined since early May to below breakeven given the combined costs of nest-run, grading, packaging and delivery. Chains spread their purchases and preempted anticipated price rises before the Memorial Day Weekend. A large number of molted hens that returned to production before the recent holiday weekend are still laying Medium-sized eggs relative to demand by QCs hence the drop in price compared to Large. Industry participants expect buyers to reenter the market guided only by retail demand and inventories in DCs and stores. Since the beginning of 2021 generic eggs have been consistently priced high by many chains to maximize margin but this strategy depressed volume of sales to the disadvantage of the industry. Market data suggests that chains have increased shelf prices for generic white eggs for the past week and are not featuring generic Large and Extra large.

• Currently inventory comprises close to five days of production. Price movement over the past five weeks defies conventional supply to demand relationships and indicates extraneous factors affecting price. This past four weeks wholesale price for Large and Extra-large were essentially stable with decreases in inventory this past two weeks compared to moderate increases in May. The commercial shell-egg price discovery system is obviously used by buyers to negotiate lower prices, serving as a self-fulfilling prophecy and a de facto instrument of potential indirect, but not necessarily intentional collusion. The current relationship between producers and chain buyers based on a single price discovery system constitutes an impediment to a free market. The benchmark price amplifies both downward and upward swings and functions to the detriment of the industry. A CME quotation based on Midwest Large, responding to demand relative to supply would be more equitable.

• The U.S. flock in production was down 0.2 percent (0.5 million) from the week of June 10th to 306.4 million following seasonal depletions, with about 3.0 million molted hens having resumed production during the past month. The Industry has demonstrated beneficial restraint in flock placement but continued depletions and non-restocking of some complexes or houses is anticipated as margins continue in an historically low range for commodity eggs.

• The USDA average Midwest benchmark price for generic Extra Large, Large and Medium sizes were down to at averages of 75.5 and 73.5 (2.6 percent lower) and 67.5 percent cents per dozen (down 10.0 percent) respectively. The 1st Quarter rise in prices reflected increased demand offset by a moderate increase in the U.S. flock in production. The trajectory in prices from May into June suggested stable to lower prices but with sharply reduced margins going forward into summer as feed, labor and fuel costs rise and unit revenue erodes.

• There is some prospect of a return in the food service sector although both frozen and dried-egg prices are static. The economy is reopening with a decline in COVID incidence rates and hospitalizations in many regions. There is waning optimism over deployment and acceptance of the three approved vaccines especially in rural areas Reopening of the economy in areas with low herd immunity will result in a surge in incidence rate of COVID especially with the introduction of the Delta variant of SARS-CoV-2 virus.

• The Midwest price for breaking stock was down 1.0 percent to an average of 48.0 cents per dozen. Checks in the Midwest were down to an average of 40.0 cents per dozen. It is anticipated that these prices will fluctuate in response to market trends and recovery of the breaking sector.

OVERVIEW

Prices

According to the USDA Egg Market News Reports released on June 14th the Midwest wholesale prices for Extra-large, Large sizes were down 2.6 percent on average from the previous week as delivered to DCs, attaining 75.5 and 73.5 cents per dozen respectively. Mediums were down 10.0 percent to an average of 67.5 cents per dozen reflecting excess production over demand. Prices should be compared with the USDA benchmark average 6-Region blended nest-run, (excluding provisions for packing, packaging materials and transport) cost of 75.6 cents per dozen in May 2021 but probably now up a further 3 cents per dozen on feed cost. The progression of prices during 2021 to date is depicted in the USDA chart reflecting three years of data, updated weekly.

The June 14th 2021 edition of the USDA Egg Market News Report (Vol. 68: No. 24) documented a USDA Combined Region value rounded to the nearest cent, of $0.85 per dozen delivered to warehouses for the week ending June 9th 2021. This average price lags current Midwest weekly values by one week. The USDA Combined range for Large in the Midwest was $0.76 per dozen. At the high end of the range, price in the South Central Region attained $0.90 per dozen. The USDA Combined Price last week was 20 cents per dozen above the 3-year average. This past week Midwest Large was almost the same as during the corresponding week in 2020 reflecting a sharp decline from exceptionally high prices stimulated by panic buying at the onset of COVID restrictions.

The USDA Economic Research Service issued an updated forecast of egg production on June 16th 2021 revising the previous May 18th 2021 report. The June projection of production for 2021 was increased by 0.4 percent to 8,090 million dozen with a per capita consumption of both shell eggs and liquid of 285.5 up 0.3 percent compared to 2020. The average 2021 benchmark New York bulk unit price was lowered to 112 cents per dozen despite higher prices during the first quarter. The USDA provided a long-term forecast for 2022 of 8,185 million dozen produced with a consumption of 287.6 per capita. Subsequent USDA forecasts will provide greater clarity on reopening of the economy that is still depressed with moderate unemployment attributed to COVID restrictions.

June 2021 data is shown in the table below:-

Source: Livestock, Dairy and Poultry Outlook  released June 16th 2021

Subscribers to EGG-NEWS are referred to the postings depicting weekly prices, volumes and trends and the monthly review of prices and related industry statistics.

WEEKLY COMMODITY REPORT: June 17th 2021.

• Markets declined sharply this past week influenced by upward pressure on the U.S. Dollar as a result of anticipated inflation; China tightening fiscal policy and stabilizing prices of pork and corn and China raising corn output by 4 percent to 271.8 million metric tons (10.709 billion bushels). There was little impact on prices from the June 10th WASDE Report that left areas and yields unchanged. Report #613 adjusted ending stocks for corn down by 10.0 percent and raised stocks for soybeans by 10.7 percent. Projected harvests and ending stocks will be restated in the July WASDE especially when there is greater clarity on the effect of weather.

• Producers are now receiving and conversely livestock producers in the Midwest are paying above $6.50 per bushel for corn and crushers are paying $3.50 per bushel for soybeans plus transport and basis. Corn was a noteworthy 10.2 percent lower this week and the price of soybeans was 14.4 percent lower compared to the previous week. Soybean meal was down 5.5 percent for July delivery but will soon reflect the decrease in price of soybeans.

• According to the USDA FAS Export Report for the week ending June 10th 2021, reflecting market year 2020-2021, outstanding export orders for corn for this market year amounted to 14.7 million metric tons (579 million bushels) with 54.6 million metric tons (2,151 million bushels) actually shipped. During the past week a net quantity of 0.18 million metric tons (7.1 million bushels) of corn was sold for delivery during the 2020-2021 market year. A total of 1.7 million tons (67.0 million bushels) of corn was shipped. For the succeeding 2021-2022 market year commencing in September, 0.3 million metric tons (12 million bushels) was ordered this past week with outstanding sales amounting to 15.4 million metric tons (607 million bushels) of new crop corn.

• Outstanding export orders for soybeans for the 2020-2021 market year stand at 3.7 million metric tons (136 million bushels) with 57.9 million metric tons (2,125 million bushels) actually shipped. Weekly sales of soybeans attained <0.1 million metric tons (<3.7 million bushels) with 0.15 million metric tons (5.5 million bushels) shipped. For the 2021-2022 market year outstanding sales for soybeans amount to 7.6 million metric tons (279 million bushels) with 0.07 million metric tons (2.6 million bushels) sold this past week

• During the past week 177,300 metric tons of soybean meal and cake were ordered, up 30.0 percent from the previous week. The quantity shipped attained 199,000 metric tons, 26 percent less than the previous week.

The following quotations for delivery in the months as indicated were posted by the CME at close of trading on June 17th 2021 compared with values posted at 13H00 on June 10th 2021 (in parentheses) reflecting specified months for delivery.

Changes in the price of corn, soybeans and soybean meal over five trading days this past week were:-

COMMODITY CHANGE FROM PAST WEEK

Corn: July quotation down 72 cents per bushel (-10.2 percent)

Soybeans: July quotation down 224 cents per bushel (-14.4 percent )

Soybean Meal: July quotation down $21 per ton (- 5.5 percent )

• For each 10 cent per bushel change in corn:-

The cost of egg production would change by 0.45 cent per dozen

The cost of broiler production would change by 0.25 cent per pound live weight

• For each $10 per ton change in the price of soybean meal:-

The cost of egg production would change by 0.44 cent per dozen

The cost of broiler production would change by 0.25 cent per pound live weight

This week the downward change in the prices of corn and soybean meal would decrease nest-run production cost for eggs by 4.1 cents per dozen and for broilers 2.3 cents per live pound. Over the past 23 weeks, escalation in the prices of major ingredients have added 10.6 cents per dozen and 6.6 cents per live-weight lb. to production cost

The USDA weekly wholesale feedstuffs prices expressed per short ton posted on June 16th (with previous week in parentheses) were:-

• Corn: $238 ($242), Chicago
• Soybean Meal: $374 ($391), Central Illinois
• Meat and Bone Meal: $425 ($415), Central Midwest
• DDGS: $213 ($215), Eastern corn belt

According to the June 10th WASDE, corn harvested in calendar 2021 will attain 14,990 million bushels with ending stocks projected at 1,357 million bushels, down 10.0 percent from the 1,507 million bushels in the May 2021 WASDE Report. Values will be updated reflecting production, ongoing export volumes and domestic use in the July WASDE report. Compared with the June 10th value, the CME quotation for corn at close of trading on June 17th was down 72 cents per bushel for July delivery to 633 cents.

The restrictions imposed in the U.S. as a result of COVID-19 will reduce ethanol demand by 1.5 billion gallons or 10 percent of projected 2020-2021 requirement accepting a nominal ten percent addition to gasoline. This past week 82.1 percent of the U.S. ethanol fermentation capacity was operational, based on January U.S. Energy Information Administration (US EIA) data. The outlook for increased production will depend on higher domestic demand with approximately ten percent of production exported. According to the U.S. EIA, for the week ending June 11th the industry produced on average 1,025,000 barrels per day down 3.9 percent above the week ending June 4th 2021. On June 11th ethanol stock was 3.0 percent above the previous week at 20.6 million barrels, (an approximately 20-day reserve).

Ethanol was priced at $2.48 per gallon on June 17th unchanged from the previous week and should be compared with a five-year low of $0.92 per gallon on March 26th 2020 during COVID restrictions. Concurrently RBOB gasoline at $2.15 per gallon (quoted, New York Harbor) was down 7 cents per gallon (3.2 percent) from the previous week presumably due to reduced demand, since WTI crude price ($70.97 per barrel) was fractionally higher than last week. Gasoline is 33 cents per gallon lower than ethanol but with a 63 percent higher BTU rating.

With most plants among the 201 that were operational on January 1st 2021 now functioning, DDGS is freely available but commanded a higher price than in the first quarter of 2021. Eastern Corn-belt DDGS was priced at $215 per ton on June 16th 2021, $4 per ton lower than the previous week but $63 per ton more expensive than on June 9th 2020. Generally DDGS is incorporated at low inclusion levels in egg-production formulas based on high price relative to the nutrient contribution of corn and other ingredients.

 Soybeans continue to be the beneficiary of export demand by China and other nations. The CME price at close of trading on June 17th lost 224 cents per bushel over the week to 1,325 cents per bushel for July delivery. The USDA documented a 2021 crop of 4,405 million bushels. 6.5 percent higher than for 2020. Ending stocks according to the June 10th 2021 WASDE projection will attain 155 million bushels, up 15 million bushels from the May Report. This is however close to a seven-year low and possibly represents an over-estimate.

According to a release on June 15th by the National Oilseed Processors Association, 164 million bushels of soybeans were crushed in May compared to an estimate of 165 million bushels. The May crush value was 2.9 percent lower than in April partly due to disruption caused by maintenance and a disinclination to purchase high-priced soybeans. On June 16th 2021 soybean meal quoted central Illinois attained $374 per ton, $17 per ton lower than the previous week and compared to $289 per ton on June 9th 2020.

On June 16th 2021 Meat and Bone meal quoted Central U.S. attained $425 per ton, $10 per ton higher than the previous week and compared to $290 per ton on June 9th 2020 when a surplus prevailed due to COVID-related disruption of packing operations requiring euthanasia and disposal of hogs.

On June 17th the conversion of CNY 1 to the BRL was 0.82 BRL, up CNY 0.03 from the previous week. The conversion of US$1 to the CNY was set at CNY 6.25 (up CNY 0.14, from the previous week.

For consecutive calendar years 2017 through 2019 the U.S. supplied 34.4 percent of soybean requirements for China amounting to 95.5 million metric tons. This was followed by a decline to 16.9 percent of 88.5 million metric tons in 2018 and 16.6 percent of 88.0 million metric tons in 2019. The USDA anticipates that soybean imports by China will amount to 95 million metric tons during the 2020-2021 market year.

For the 2019/2020 market year China imported 2.1 million metric tons of corn from the U.S., 4.8 percent of total exports of 43.3 million tons, but 12 percent less than in the 2018/2019 market year. The U.S. Grains Council documented sales of U.S. corn to China through December 31st 2020 during the 2020/2021 year amounting to 11.7 million metric tons (460 million bushels) with 65 percent yet to be shipped.

For the 2019/2020 market year China imported 16.3 million metric tons of soybeans from the U.S., 36.2 percent of total exports of 44.9 million metric tons, but 3.9 percent less than in the 2018/2019 market year.

COMMENTS

Subscribers are referred to the June 10th 2021th WASDE #613 under the Statistics TAB.

Consistent with the need for self-sufficiency China announced on January 8th that an additional 1.7 million acres would be planted to corn in 2021. China intends to rehabilitate 6.8 million acres of “polluted land” to be brought into production.

The Bob Evans Foods division of Post Holdings has announced that Bob Evans Egg Bites and Bob Evans Omelette Rolls will be available in grocery stores nationwide. Bob Evans Omelette Rolls will be marketed in three varieties and the Omelette Rolls allow consumers to add any filling desired.  Bob Evans Egg Bites are prepared from eggs laid by cage-free hens and are presented in a versatile microwaveable tray.  Three varieties are available.

Thyme Hill, Chief Marketing Officer for Bob Evans Farms, stated “In only one minute, breakfast lovers have the convenient, protein-packed wholesome breakfast they are craving during the week day.”  Hill added, “These products are the perfect way for retail grocers to attract motivated shoppers to the refrigerated aisles.”

The American Egg Board (AEB) made available Nielsen data reflecting 52-week rolling sales and consumption of eggs and egg products for the week ending May 22nd 2021.  Nielsen data captures retail volume and sales value of shell eggs, consumer-packed liquid and cooked peeled eggs. Data is derived from supermarkets, groceries, dollar outlets, drug and convenience stores all with annual sales in excess of $2 million. Some club warehouses provide data but Costco is excluded.
 

The data assembled by Nielsen and distributed by the AEB for the current month covers 3.26 billion dozen egg-equivalents over the 52-week period. This represents 40.4 percent of 2020 egg production totaling 8.06 billion dozen or capture of approximately 65 percent of the shell egg segment of the industry.

• For the 52-week period, retail sales of all eggs expressed as egg-equivalents decreased 0.4 percent.  Dollar value was 2.2 percent higher than the previous 52-week period.  Per capita consumption in 2020 advanced to 286.5 eggs representing a 2.4 percent decline as a result of COVID restrictions during the 1st Quarter of 2020. Direct comparisons are distorted by the late March and April 2020 panic buying in response to COVID restrictions. The projected per capita consumption of 285.1 eggs in all egg forms in 2021, is down 0.5 percent from 2020.

• On a rolling 52-week basis, the volume captured by Nielsen comprising retail shell-egg sales attained 3.14 billion egg equivalent dozens representing a 0.7 percent decrease in volume and a 2.0 percent increase in dollar value to $6.0 billion.  Egg alternatives including liquid, frozen and powdered egg products converted to equivalent dozens attained 93.6 million a 10.4 percent increase over the previous 52-week period and a 9.5 percent increase in value to $303.8 million. Rolling 52-week hard boiled egg sales attained 29.7 million dozen equivalents amounting to a 2.3 percent decline in volume and a disproportionate 2.2 percent rise in value.

• In classifying retail sales by product segment, conventional eggs represented 84.9 percent, cage-free 12.2 percent and organic 2.9 percent by proportion. Rolling 52-week conventional egg sales decreased 11.2 percent in volume and 4.8 percent in value.  Cage-free eggs increased 0.2 percent in volume and 16.3 percent in value.  Organic eggs decreased 6.8 percent in volume and fell 4.0 percent in value.

• With respect to volume of other than generic shell eggs, 52-week rolling branded egg sales comprised 29.1 percent of retail sales compared to 70.9 percent for private label.  Branded eggs generated 42.7 percent of dollar value compared to private label at 57.3 percent.  Branded eggs declined by 8.6 percent in volume and 9.1 percent in value.

• In analyzing retail channels for shell eggs, 52-week rolling values compared to the previous period, supermarkets and groceries decreased by 12.0 percent, drugstores declined by 28.6 percent, convenience stores were down by 11.9 percent and the combination of club stores and dollar stores (excluding Costco) decreased by 6.4 percent presumably with the largest contribution from big-box clubs.

In reviewing May USDA data there are 68.5 million hens in bans and aviary houses producing cage-free eggs, excluding 17.5 million non-confined hens under the Certified Organic program. The complement of cage-free hens represents 30.4 percent of an assumed population of 225 million hens in the shell egg segment of production. If USDA data on hens under cage-free housing (aviaries and barns) are accurate and accepting the Nielsen data indicating a sales proportion of 12.2 percent for this category, more than half of cage-free eggs are down-marketed to conventional. If the Nielsen data is accurate the situation with Certified Organic is even more extreme with 7.8 percent of 225 million hens producing under the category but representing 2.9 percent of shell egg sales YTD. The differences between potential production and recorded sales cannot be ascribed to use of cage-free and organic eggs in egg liquids. The nominal (pre-COVID) complement of hens producing eggs for the breaking segment is estimated at 95 million, predominantly as generics.

In a recent press release, Sanovo Technology Group announced release of the Sanovo GraderPro Range with capacities of 75-220 cases per hour.

The smaller packers incorporate features offered on larger installations including:

• Fabrication using food-contact material

• Cleaning-in-place capability

• Available egg traceability software

• Modular construction with potential to expand throughput

• Ergonomic design

• Reduced impact on eggs with optimized track speed and synchronization of orienters with the main track.

• Cost-efficient design reflected in competitive cost

The GraderPro 75-220 range has been tested under practical conditions to ensure efficient operation from the completion of an installation.

The American Humane Association is making available Escape from Extinction as a video-on- demand platform.  The program narrated by Dame Helen Mirren features efforts made by accredited zoos to preserve species in danger of extinction.  For information on viewing Escape from Extinction access

<www.americanhumane.org/program/escape-from-extinction>.

Michaeli Bakery has filed an intended class-action lawsuit against Grubhub Inc., DoorDash and Uber Eats claiming overcharging, inconsistent with New York City ordinances.

The plaintiff claims that excessive fees were charged beyond the 15 percent for delivery and five percent for other services as determined by the City Government.  Under New York City law, ordering and delivery services can charge a credit-card processing fee in addition to the combined 20 percent cap but only as a "pass through" fee.  It was alleged that during COVID restrictions, delivery services abused their position in the chain between restaurants and consumers by charging excessive fees.

McDonald's Corporation has confirmed an intrusion of computer systems in Asia.  According to a recent report, data including customer and employee details were exfiltrated from databases reflecting operations in South Korea, Taiwan, South Africa and Russia.  According to the statement, there was no disruption in operations as a result of the intrusion and there was no ransom demand.

McDonald's Corporation has hired external consultants to assist internal IT personnel to strengthen protection and the company has increased investment in cybersecurity defense.  Recent improvements apparently helped in the response to the attack that allowed unauthorized access for a week.  The company confirmed that customers and employees in the U.S. were not affected by the intrusion.

The Office of the Attorney General of the state of Massachusetts is apparently compiling regulations in terms of the 2016 ballot loosely based on California Propositions #2 and #12.  Rules should have been issued in 2019 but were delayed by COVID restrictions.

The sticking point is a requirement of 1.5 square feet of house floor area per hen.  By adopting a non-standard requirement, the Office of the Attorneys General has created a situation in which eggs will be an expensive source of food in the state. Since there are no producers of appreciable size in Massachusetts the state must introduce eggs from Connecticut, Maine, New York and Pennsylvania.

The high area requirement dictates more expensive housing that may not necessarily provide a higher standard of welfare.  Regulations covering six pages issued by the Office of the Attorney General reflect the 1.5 square foot as incorporated in the 2016 ballot question.  As with all ballots, voters are unaware of the financial consequences of their decisions.  It is understandable that as worded, the ballot was carried with a 7 to 3 majority. This is about the same response that would be obtained if seven year olds were asked they were in favor of ice cream.

It would be appropriate for legislators to adjust the ballot to conform to other states that have adopted the UEP standard.  In any event, establishing a standard floor area is irrelevant with aviary systems where birds are able to use the cube volume of a structure and are not confined to a single level.  Unless the Legislature becomes involved, eggs will become an endangered and expensive commodity to the determe

According to a recent report in the New Zealand Herald, a routine safety audit detected Salmonella (serotype presumed to be Enteritidis) in a supply flock for a hatchery distributing pullets to producers.  Appropriate responses involving depletion of the affected flock, tracing forward to detect infection in rearing pullets and in 64 commercial-level farms. The belated action was initiated to prevent release of potentially contaminated eggs tothe market.

Two commercial farms were identified with affected flocks and their product withheld.  Four additional farms that were not in production were identified as infected and flocks were culled and facilities decontaminated. 

A spokesperson for the Ministry for Primary Industries confirmed that surveillance has been intensified across the industry. It is apparent that the regulations to suppress SE in New Zealand do not require three week sampling of parent flocks or alternatively, this precautionary procedure was ignored with evident consequences.

Following the April 2021 sentence of two owners of companies involved in distributing and applying fipronil in poultry farms in the Netherlands between 2015 and 2017, their compatriots in Belgium have now also been sentenced to prison terms.  The sentences culminate an investigation initiated in 2017 to determine how fipronil manufactured in Romania was incorporated in illegally manufactured insecticides used in Dutch and Belgian chicken houses to treat mite infestation.

The principals of a Belgian company AgroRemijsen that prepared and distributed the illegal insecticide Dega-16 were sentenced in one case to a year in prison and a nominal fine with the second person involved receiving a suspended sentence.  The fines and action by the government of Belgium were inconsistent with the damage caused by fipronil contamination.  Farmers received more than $5 million in compensation for the loss of their flocks.  The Federal Agency for the Safety of the Food Chain was granted $21 million and the Public Waste Agency of Flanders received $2 million to compensate for their response to the massive recall and disposal of eggs and contaminated hens.

According to a Thursday, June 3rd release by the U.S. Attorney’s Office for the Western District of Pennsylvania, Stephen Kaufman was charged with multiple counts including fraud, conspiracy, money laundering, embezzlement, and willful failure to file tax returns.  The indictment involves theft of approximately $6.8 million during his tenure with the company extending from October 2005 through January 2019.  During this time he diverted company funds to a series of companies that he controlled and laundered illegally acquired money to support real estate purchases and “lavish personal expenditures”. 

In the face of extreme competition, USAPEEC consistently promotes U.S. eggs and egg products to support domestic volume and value.  For the first four months of 2021, Japan was the leading importer of egg products receiving 3,861 metric tons representing 31.2 percent of total U.S. exports of products and an increase of close to 20 percent compared with the corresponding period in 2020.  Egg product exports during the first four months of 2021 attained $13 million, but it is significant that the unit value for Japan was significantly higher than the average attaining $3,367 per metric ton.  Since conclusion of a bilateral trade agreement with Japan, the U.S. will no longer be at a competitive disadvantage with respect to the E.U.

On June 3rd and 4th, USAPEEC and the AEB jointly organized an educational seminar in Yokohama City to educate future chefs about U.S. egg products, the industry and quality.  The program was presented in collaboration with the Seishin International Food Confectionary School.  Approximately 120 students participated to hear presentations from guest speakers representing leading food companies.  Yukako Sakai of the Kewpie Corporation was the featured guest.  Her company is responsible for manufacturing and distribution of 10 percent of eggs and egg products consumed in Japan.  Ms. Sakai discussed egg structure and composition, functional properties, dried eggs and their application in manufacturing

Additional seminars are planned incorporating hands-on-cooking demonstrations by prominent chefs featuring U.S. dried egg products.

The following programs will be offered by USPOULTRY during 2021:

• Financial Management Seminar; June 28-30, Amelia, FL

• Hatchery Breeder Clinic; July 7-8, Nashville, TN

• National Safety Conference for the Poultry Industry; August 16-18, Destin, FL

• Women’s Leadership Conference; Aug 19-20, Destin, FL

• Live Production, Welfare and Biosecurity Seminar; September 15-16, Nashville, TN

• Environmental Management Seminar; September 16-17, Destin, FL

• Human Resources Seminar; September 20-22, Destin, FL

• Poultry Protein and Fats Seminar; October 6-7, Nashville, TN

• Feed Mill Management Seminar; November 3-4, Nashville, TN

• Poultry Processor Workshop; November 16-17, Nashville, TN

The Air Cargo Seminar, Grower Relations Seminar and Poultry Wastewater Operations Training Program will be scheduled on industry request.

For additional information access www.uspoultry.org/educationprograms

Since Ovotrack IT systems are modular, customers can select packages to effectively monitor inventory or to manage the entire chain of production from egg collection on farms through to delivery of packed product. 

Ovotrack now provides end-of-line automated printing module for labeling.

Ovotrack systems are pivotal to traceback and are based on bar-code recording at all stages of handling.  A mock recall during an audit of any large packing plant requires approximately 15 minutes using Ovotrack technology.

Ovotrack has developed a return on investment calculator to demonstrate the value of a comprehensive installation to provide accurate data on stock level without physical recording requiring keyboard entry or archaic paperwork.

Big-Dutchman USA technical specialists recently presented an informative program at the  2021 virtual Midwest Poultry Federation educational program

The video contains management suggestions to improve productivity of egg-prodution flocks housed in aviaries both during rearing and after transfer to laying aviaries

The program is reproduced for the benefit of subscribers 

https://www.dropbox.com/sh/1uau8eamt7wmvkr/AACeVvurhZ2Esjnv50vxYrifa?dl=0&preview=8+Tips+to+Managing+Your+Aviary_Midwest.mp4
 

8 Tips to Managing Your Aviary_Midwest.mp4