HKScan Oyj Press Release Nov 11, 2015 2:00 PM

HKScan has signed an agreement with Hankkija and Schothorst Feed Research on the joint development of poultry feed and feeding solutions. As a further move to upgrade its poultry production, HKScan's associate company DanHatch Finland is investing to expand its Mynämäki hatchery.

The poultry segment is one of HKScan's strategic focus areas. The Group is investing in this expanding segment by for instance building a wholly new facility specializing exclusively in poultry products in Rauma, Finland. It is therefore important for HKScan to guarantee a high-quality, competitive supply of feed raw material. The Group is accordingly also investing in its primary production and hatchery operations.

Collaboration in feed development

HKScan and Finnish agricultural company Hankkija have signed an agreement to jointly develop poultry and pork feeds and feeding solutions together with Dutch-based Schothorst Feed Research.

Schothorst Feed Research is one of the world's leading feed research institutes, specializing in poultry, pork and dairy cattle feed. Schothorst offers its partners top-level expertise on the dietary needs of agricultural livestock and the optimization of feed recipes. The institute has its own R&D centre where feeds and feeding solutions are field-tested.

The partnership between HKScan, Hankkija and Schothorst will kick off with the development of a new broiler feed concept. The first sub-project will focus on developing new feed solutions for broiler dams in cooperation with DanHatch Finland Oy. The new broiler dam feed offering will be launched in spring 2016.
'Developing and improving the efficiency of our poultry feed solutions is a major focus area since feed expenditure accounts for roughly 60 per cent of all broiler production costs,' says Ulf Jahnsson, VP Feeding Business at HKScan.

DanHatch Finland to upgrade and increase hatchery capacity

HKScan Finland Oy and Danish DanHatch AS signed an agreement in March 2015 on the sale of HKScan Finland's hatchery business and real estate assets to their jointly owned associate company, DanHatch Finland Oy. HKScan Finland owns a 20% stake in the company.

'DanHatch has solid expertise in the hatchery business. We have been very happy with our partnership,' says Veli-Matti Jäppilä, SVP, Animal Sourcing and Producer Services at HKScan.

DanHatch Finland owns two Finnish hatcheries, one in Mynämäki and the other in Kokemäki. The company is currently in the process of investing roughly EUR 5 million in a project to upgrade and increase the capacity of its Mynämäki hatchery. The investment will bring a significant capacity increase. Expansion work is already in progress, with automation scheduled to be installed in summer 2016.

The improved technology will promote good animal health and biosecurity. It will also enable better optimization of variables such as humidity, heat and carbon dioxide levels. The technology for instance initiates a sequence of modifications to the incubation environment to stimulate the synchronized hatching of chicks.

After the investment is completed and increased capacity is harnessed in full at the Mynämäki hatchery, the Kokemäki hatchery can begin producing chicks for export. The investment is scheduled for completion by the end of August 2016.

Lisätietoja:

Feed: Ulf Jahnsson, VP Feeding Business, HKScan, tek: 0400 784193, ulf.jahnsson(at)hkscan.com
Hatchery: Veli-Matti Jäppilä, SVP, Animal Sourcing and Producer Services, HKScan, tel: 0400 522 692, veli-matti.jappila(at)hkscan.com

HKScan is the leading Nordic meat expert. We sell, market and produce high-quality, responsibly-produced pork, beef, poultry and lamb products, processed meats and convenience foods under strong brand names. Our customers are the retail, food service, industrial and export sectors, and our home markets comprise Finland, Sweden, Denmark and the Baltics. We export to close to 50 countries. HKScan's net sales in 2014 were EUR 2.0 billion and we have some 7,700 employees, making us one of Europe's leading meat companies.


distributed by