Save on costs, not on investment

Optimise your ROI with AntaPhyt MO

Achieving more with less usually comes with a cost. This is fundamental in sustainable animal nutrition geared towards productivity. As feed costs typically account for about 60 to 70% of total costs of animal production, a typical question that begs an answer in every farmer’s mind on a decision on additional input costs is: “What is the return on investment (ROI)?”

Return on investment is usually the ratio of profit or loss of an investment relative to the investment cost and is frequently calculated to assess the cost-effectiveness of additional input. In other words: What do we get back? At first glance, the use of special additives seems to drive up feed costs. But the opposite is true: because highly effective phytogenes can demonstrably reduce feed and medical costs and thus more than make up for the investment in their use. The ROI calculation shows how it is possible to achieve better yields with Anta®Phyt MO while promoting animal’s performance, health and welfare.

 

Phytogenics – the sustainable solution

With rising feed commodity prices and other production costs around the globe, feed manufacturers and livestock producers need solutions that make the best use of their resources. Simply saving on inputs, however, is the wrong way to go, because it will, in all probability, lead to poorer feed quality, poorer feed conversion and thus to poorer results and higher losses. Better to invest in the right phytogenic feed additives. They are not only beneficial for animal health and welfare, but also for the farm’s bottom line.

Phytogenics are natural bioactive compounds derived from plants, and it is acknowledged that the mode of action of phytogenics is associated with their antioxidant and antimicrobial properties with a broader range of beneficial effects on gut functions. In a nutshell, the beneficial effects of phytogenics include:

  • Modulation of the gut microbiome and activity
  • Immunomodulation of the gut
  • Stimulation and improvement of digestive functions
  • Improvement of gut barrier function

These benefits enhance animal production by strengthening host defence against microbial infections and improved feed efficiency. Besides, as an alternative to antibiotic growth promoters (AGP), phytogenics foster sustainable animal production.

 

Maximizing ROI: Anta®Phyt MO

Feed efficiency is generally assumed to be an indirect indicator of assessing ROI in animal production. One way to determine feed efficiency is through feed conversion ratio (FCR), the ratio of feed intake to average daily weight gain. Since feed costs represent the largest proportion of the total cost of production in an animal enterprise, the ideal way to increase profitability is to reduce FCR. Anta®Phyt has proven to enhance nutrient absorption, gut health, antimicrobial activity, growth performance and litter quality. This improves overall performance and reduces feed cost per unit of animal’s final product. A 40 day trial conducted with broilers showed a significant improvement in the average daily weight gain and FCR as well as reduced mortality of animals fed with Anta®Phyt MO compared to the groups fed with AGP and receiving a diet without any additive (Fig 1).

Fig 1. Performance of broilers fed diets with or without Anta®Phyt MO

 

Facts on the table: what’s that in figures?

Applying 300 g of Anta®Phyt MO per ton of compounded feed for fattened broilers of 40 days increased feed efficiency from 1.52 to 1.49. This means that although feed costs per ton increase with Anta®Phyt MO, the economic benefit outweighs the investment. Let’s have an example: We have a compounded feed price of € 485.50/ton and € 1.09/kg of live weight for fattened broilers. Including AntaPhyt MO into the feed will raise the costs by € 4/ton resulting in an ROI of 2:1. When comparing the total diet cost over the production cycle, approximately € 3.50/ton of feed was saved by using Anta®Phyt MO due to its lower intake. With the higher daily weight gain for Anta®Phyt MO, consumption of the same amount of feed in comparison with feed without additive would yield extra net profit of € 53 for every 1,000 birds produced due to additional body weight.

 

Further prospects

The calculations show that AntaPhyt MO can reduce FCR to an extent that farmers will benefit from a return on investment of a minimum of 2:1 in broiler fattening production. In addition, Anta®Phyt MO leads to reduced veterinary costs due to improved footpads and litter conditions. This can raise the ROI value even higher subject to the prevailing situations. Anta®Phyt MO proves that phytogenics in animal feeding can not only improve nutritional physiology and animal welfare but also economic viability.