2/2016

A N E W S L E T T E R B Y B I O V E T ( P V T ) L T D .Biovet News

Lahore, Pakistan

Meyn and GEA-CFS already have a well-established market in Pakistan’s meat

industry. They attained further sustainability through the contracts of spare parts. Meyn deals in automated poultry processing plants. It provides complete solutions as

well as individual equipment to integrate. GEA deals in further food processing of poultry, fish, cheese and other products. It also provides packaging solutions.

Maintenance Contracts of Meyn and GEA

GENETICS& HATCHERY

ENVIRONMENT CONTROL FARMING & MANAGEMENT

FEED MACHINES& INGREDIENTS

CONTROL& SYSTEMS

PROCESSING& PACKAGING

PRIMARYPROCESSING

GREENSOLUTIONS

INNOVATIVE RECIPES & INGREDIENTS

REFRIGERATION& STORAGE

CONFECTIONARY & READY MEALS

Bingshan Joint Venture in Pakistan

SASSO eggs win order from Sadiq Brothers

Bingshan provides state-of-the-art refrigeration solutions and is the largest refrigeration company in China. It combines refrigeration technology, engineering and trading to provide consulting, design, sales,

installation, commissioning and maintenance of the refrigeration equipment on customized basis. Bingshan has undergone a joint venture with Bio-Vet. It was led by Ms. Sandy (Zhao Yue) the Vice President of Bingshan who performed the signing ceremony in Lahore. Mr. Samuel

from Bingshan is appointed as country manager in Pakistan to promote Bingshan and provision of services. Both companies hope to bring advance technology of HVARC and cold storage in Pakistan.

Lahore, Pakistan

Lahore, Pakistan

SASSO’s slow growing chicken breeds have gained recognition in the Pakistani

market. These chicken have a unique taste and good feed conversion ratio. After successful trials and order from Asia Feeds, Sadiq Brothers did trial of SASSO eggs.

The trails were successful and SASSO secured an order of the slow growing chicken eggs.

01

PAKISTAN

BK Giulini sold its first ingredient-Brifisol to Seagreen Enterprises. BK Giulini (Germany), is renowned in food specialty ingredients and phosphates. It offers food additives and natural products for dairy,

beverage, baked goods, meat, poultry, sea food, potato and cereal based foods. It promises potential market of the innovative ingredients in the food industry. Located at the Arabian Shore in Karachi, Seagreen Enterprises is the major exporter of seafood. BK Giulini provided Seagreen

Enterprises the required solution for the shrimps. Seagreen has shown its complete satisfaction upon the product results.

Lahore, Pakistan

Karachi, Pakistan

Bio-Vet becomes an exclusive representa-tive of Rademaker for the provision of advance bakery industry lines. Based in Netherlands, the company boasts of high

expert based penetration in the global market to processors associated with high quantity products. The confectionaries lines offered by Rademaker are engineered to integrate a wide array of products in one time for midsized to large industrial baker-

ies. Its main production lines are:• Crusto Breadline

• Sigma Laminator

• Croissant Line

• Pastry Make-up Line

• Flatbread Sheeting Line

Rademaker exclusively joins hands with Bio-Vet

BK Giulini’s first Sale in Pakistan

02

03

Aqua Company Installation in FML

Big Bird and Simply Sufi Choose Newly Weds Foods Again

AQUA Industrial Watertreatment plant is successfully installed in Fauji Feeds Ltd. It

is a subsidiary of Meat Processing Systems and specialized in the solutions for waste-water treatment. It covers the sector of poultry, dairy, fish, rendering and other. Best

suited treatment relies upon wastewater and purity level.

Lahore, Pakistan

Big Bird is one of the major contributors in the poultry industry and now it has moved to the further food products. Newly Weds Foods kept its quality promise again and

delivered successful trials for Big Bird. The results ensured recipes of enriched taste and texture, making Big Bird choose their products again. Simply Sufi, another major group in the further food industry also selected Newly Weds Foods recipes.

Karachi, Pakistan

04

Lahore, Pakistan

Bio-Vet conducted an international confer-ence with the collaboration of BK Giulini on 29th April, 2016 at Faletti’s Hotel, Lahore. The topic of the conference was “Role of the ingredients in the Dairy Industry”.

Mr Dieter and Mr. Uli Nau gave elaborated presentation on the topic.The conference was attended by the market leaders of the dairy industry. Mr. Sakhawat Ali, the director general of PCSIR was the honorable chief guest. Bio-Vet achieved to spread the information of

potential usage of the ingredients provided by BK Giulini and their applications in the dairy industry.

BK Giulini Dairy International Conference on

“Role of the Ingredients in the Dairy Industry”

05

IFTEC was held from August 18th, 2016 to 20th August, 2016 at Expo Center Lahore. It was an international exhibition, where Food and Beverage industry equipment and

technology products were displayed. The executives of Bio-Vet warmly attended their clients. Also, Mr. Samuel of Bingshan, Mr. Atilla Demirci and Mr. Onno Kuiper of Rade-maker were there to personally share their

company’s scope and to handle related queries. IFTEC provided a large platform to explore and meet new business clients.

Lahore, Pakistan

TATA Best Foods (Karachi), selected refrig-eration solution from the Bingshan. TATA Best Foods deals in the meat processing

and exporting area. They bought contact freezer for their meat. Bingshan’s contact freezer not only provides fast freezing but also stores different type of products.

Bio-Vet participated in IFTEC, 2016

Bingshan secures another order from TATA

Best Foods Ltd. PAKISTANKarachi, Pakistan

Lahore, Pakistan

AméricaPampa in Pakistan’s Market

VIV Middle East, Abu Dhabi, 2016

Mavitec Area Sales Manager Mr. Helmus Damen

Visits Lahore Customers

AmericaPampa is emerging in Pakistani market by proudly marking its first sale to a local food processor which is one of the leading groups in the food industry and has

quite diversified business profile. They bought textured soy protein from America-Pampa. It is used in the elaboration of meat based products to give them elasticity properties.

AmericaPampa provides premium soy protein products carefully manufactured to meet customers’ needs. The proteins have wide applications in the industry of bakery, ready meals and dairy.

Admec, Abu Dhabi

VIV hosted a tradeshow in Abu Dhabi on 15-17th February,2016; related to all the areas of animal processing and production. It is a platform where consumers’ needs are

put forth in order to come up with a solution of better food quality. On behalf of Bio-Vet, Mr. Sufwan Ali Usmani- business develop-ment manager and Mr. Zulfiqar Ali- assis-tant manager after sales attended the

tradeshow and were at the stalls of SASSO, La Meccanica and Meyn. They also visited other stalls to attain information of current advancement in the animal processing industry

Lahore, Pakistan

06

Based in Netherlands, Mavitec provides automated machinery for rendering process of animal’s by-products. It provides complete solutions which add nutritive values to the products. These solutions can be customized according to the customer’s needs. Mr. Helmus Damen, area sales manager of Mavitec, came to Lahore and conducted meetings with the interested customers to explore the market needs of rendering industry and supply as per demand.

Bio-Vet’s participation in International Poultry

Exhibition (IPEX), 2016

Lahore, Pakistan

IPEX annually brings the pioneers and businessmen of the poultry industry under the same roof. Bio-Vet exhibited its innova-tive stall in the IPEX from 22nd September, to 24th September. Mr. Helmus Damen from Mavitec, Mr. Marc Schipper from GEA

and Mr. Karel De Waal from Meyn, Mr. Paolo Pallota from La Meccanica and Bio-Vet team directly interacted with the interested clients. The tagline of SASSO “Desi Murghi Hazir Hai” at Bio-Vet’s stall was a hot topic and raised curiosity of the visitors. The exhibition attracted many new

potential clients as well as fruitful for the existing clients. Farmers showed keen interest in SASSO breeds and followed up for orders.

07

Bio-Vet dedicated a whole day to meet and discuss business opportunities with the customers at Pearl Continental Hotel, Lahore. Mr. Ahmed Waqas, CEO of Bio-Vet elaborated the scope of Bio-Vet and AIQ in the meeting. Mr. Anwar Dar; Chairman of

Bio-Vet, also attended the meeting. Mr. Karel De Waal of Meyn, Mr. Marc Schipper of GEA, Mr. Samuel of Bingshan and Mr. Helmus Damen of Mavitec introduced their respective companies to the customers. The big group like Hi-Tech Group, Tazij Meats & Food, Islamabad Feeds and SM

Foods executives attended the meeting. They are already in the poultry business and were interested to further diversify their business in the same area. Bio-Vet was successful to grab the attention of the customers through their versatile portfolio.

08

Bio-Vet Meeting at Pearl Continental Hotel, Lahore “C

lient

Cor

ner”

Lahore, Pakistan

Marc Hugs Pakistani Chicken

“I am here on behalf of Bingshan to cater the marketing needs and provide technical assistance to the refrigeration industry in Pakistan. I have a worldwide exposure

and already worked in Russia and South Africa. I hope this venture is promising for

both the parties.” -Mr. Zhou Sai (Samuel)

Country Manager (Pakistan)Dalian Bingshan Engineering & Trading Co., Ltd.

PAKISTAN

" Desi Hug" Marc Schipper (General Manager)GEA Middle East FZE

09

As the graph shows, baked goods continue to be dominated by domestic artisanal products in 2015. One of the major reasons of dominating the market is proximity- artisanal products are easily available as well as approachable in every neighbor-

hood stores in both rural and urban areas; therefore, people buy the unpackaged bakery goods from the nearest stores. Since unit prices exceeded due to inflation, artisanal bakery products are considered “still in budget”. Furthermore, consumers

believe artisanal products being “fresh on the table” as compared to packaged products.

Bakery industry in Pakistan

RESEARCH

3%

0.30%

75%

0.50%

0.90%

10%

5%

2.30%

2 .20%

1.40%

Others

Artisanal

Productos Casado SA

Do Feeze LLC

UG Food

Pick ‘n’Bite

Rasul Floor Mills

Vita

Bunny’s

Golden Hervest

NBO Company Share of Baked Good % value of 2015-5-% retail

Value RSP

When it comes to the companies’ shares in the bakery industry, 75% of the market share is held by the artisans in Pakistan. While, in the list of the bakery companies, Golden Harvest (Pvt.) Ltd. producing multiple bakery products under the brand name Dawn leads the market with 10% share and an overall growth of 24% from 2011-2015. In 2015, bakery goods sales touched PKR 66 billion and escalated 15%. The average unit prices within baked goods increased by 9% in 2015. Bunny’s (Pvt.) Ltd. also contributes to the market of the baked goods by currently holding 5% of share. The remaining companies share percentage of 2015 of the baked goods are shown in the graph:

La Meccanica again sold a couple of pellet mills (Model: 935) to Rawal Feeds in Rawal-pindi and FB Feeds in Multan. Not only dies of La Meccanica have a speedy market in Pakistan but pellet mills sales are increasing as well. The company already has success stories of selling projects to leading groups like

Gulzar Feeds, Sadiq Group (Sadiq Feeds), Rawal Feeds, National Group (Supreme Feeds), Jadeed Group, Bahoo Industries, Bilal Feeds, Sadiq Group and Chenab Group (Asia Feeds). Being smart investors like always, these companies chose product quality & efficiency over price. Other edges of the products are European-based research

products with an effective operational cost and local presence of after sales services.

Rawalpindi-Multan, Pakistan

La Meccanica astounds Pakistan’s Market Again

In the competitive landscape, baked good is dominated by local players. However, premium brands offer high quality products and packaging. Their biggest strength is their well- established brand name. On the other hand, economy brands compete on the basis of low price by marketing their products as value for money for all income segments. The distribution of baked goods is expected to be same in future due to local bakeries and retailers. However, with the growth of supermarkets and hypermarkets,

the sales share of modern retailing is expected to grow. Need is to launch impres-sive marketing campaigns with some innovation in packaging. Dawn by Golden Harvest recently launched its Vitamin Enriched bread. This product claims to help children maintain a balanced diet because it includes calcium, vitamin, folic acid and iron. As the current consumer is becoming more aware due to globalization; Dawn Vitamin bread is forecasted to do well in the market.

Baked goods has a projected forecast period constant 2015 price value CAGR of 5%. This represents a decline from the review period average which can be attributed to rising prices. The energy crisis is likely to continue and will impact produc-tion costs. In response, companies will increase their prices – a development which will negatively impact growth within baked goods. Inflation and energy crises will also impact unit prices and result in higher raw material prices.

10

RESEARCH

Despite of negative impact on growth within bakes goods, the industry still has wider scope. The recent market analy-sis has shown a slight decrease of -2.23% from 2011-15 in the artisanal shares. In the coming years, this decrease is expected to continue because the buying trends will shift to the modern retailers and packaged products. Moreover, a good mix of qualitative & quantitative research is needed to thoroughly understand consumer life style, needs and preferences, brand positioning and factors affecting or shaping their buying behavior towards the category.

Among variety of bakery items, bread holds a major position being the highest selling product up to 28.1% from 2010-2015. Among bread, the packaged bread holds bigger share (36.9%) as compared to unpackaged bread (26.5%). To consumers, bread is a best substitute of tradition-al Roti (flat bread). It is also a convenience product in fast paced lifestyle where preparation of Pratha is gradually declining (particularly urban areas). The bread is consumed with butter or jam, hence, creating cross-merchandising opportunities. The consumption trend is followed by pastries and cakes with a volume growth of 27.3% and 26.5% respectively in the same time series.

% Vo l u m e G r o w t h

2015/16

4.8

6

7.5

4.3

5.4

4.8

6.2

--

--

5.8

--

5.8

4.8

Bread

Bread Substitutes

Packaged Bread

Unpackaged Bread

Cakes

Packaged Cakes

Unpackaged Cakes

Dessert Mixes

Frozen Baked Goods

Pastries

Packaged Pastries

Unpackaged Pastries

Baked Goods

2010-20 CAGR

5.1

4

6.5

4.8

4.8

4.1

6

--

--

4.9

--

4.9

5.1

2015/16 Total

28.1

21.4

36.9

26.5

26.5

22

33.8

--

--

27.3

--

27.3

28.1

% Vo l u m e G r o w t h F o r e c a s t

2015/16

4.2

5.7

6

3.8

4.5

3.8

5.5

--

--

5.2

--

5.2

4.2

Bread

Bread Substitutes

Packaged Bread

Unpackaged Bread

Cakes

Packaged Cakes

Unpackaged Cakes

Dessert Mixes

Frozen Baked Goods

Pastries

Packaged Pastries

Unpackaged Pastries

Baked Goods

2010-20 CAGR

3.9

5.5

4.9

3.7

4.1

3.4

5.1

--

--

4.8

--

4.8

3.9

2015/16 Total

21

30.4

27

19.7

22.2

18.2

28

--

--

26.4

--

26.4

21.1