USSEC, PPA sign deal to boost soybean trade

KARACHI: The U.S. Soybean Export Council (USSEC) and the Pakistan Poultry Association (PPA) signed a memorandum of understanding (MoU) to boost cooperation and trade in the poultry sector, aiming to enhance food and nutrition security in Pakistan.

The MoU, signed in Dubai, outlines key areas of collaboration between the two parties, such as information sharing, program development, demand creation, and capacity building, according to a joint statement issued on Thursday.

Pakistan's poultry industry has been a major buyer of U.S. soybean meal, a key ingredient in poultry feed. U.S. soybeans are known for their high protein content, energy levels, and digestibility, which translate to higher yield and performance for poultry farmers.

However, the industry has faced challenges in 2023 due to record high food inflation, which made poultry products less affordable for many consumers. Pakistan ranked 102 out of 125 countries in the Global Hunger Index, indicating a serious level of hunger and malnutrition.

The statement said the MoU aims to address these challenges by fostering a more collaborative and transparent relationship between USSEC and PPA, as well as increasing the demand and utilization of U.S. soybean meal in poultry feed formulation.

"Collaborative efforts like the MoU between USSEC and the PPA will steer us in achieving our collective goal of food and nutrition security," said Stan Born, Chairman of USSEC. "I am positive that this MoU is only the beginning. Together we can nourish and build a more resilient, food secure Pakistan."

PPA Chairman, Chaudhry Muhammad Ashraf, said the MoU would help the poultry industry of Pakistan prosper and grow, as well as provide the common man of Pakistan with easy access to the cheapest source of protein, chicken meat and table eggs.

"PPA looks forward to the sustained and continuous support and help of U.S. Soy to educate our Association members about the appropriate use of soybean meal in poultry feed which will help in the continuous growth of Pakistan's Poultry Industry," he said.

"PPA together with USSEC focuses on the expeditious growth of poultry grass root farmers' productivity which is the main strength of the industry and can only grow once the common man of Pakistan can have easy access to the cheapest source of protein that is, chicken meat and table eggs."

Key areas identified for joint collaboration between USSEC and PPA include, transparency and information sharing, program development to boost soybean demand in poultry consumption, increasing utilization of U.S. soy and capacity building.

USSEC and PPA will work together to foster an environment of collaboration and transparency. This includes sharing key market trends and insights to work in unison and ensure success. USSEC will continue to provide knowledge-sharing about strategic partnerships focused on benefitting Pakistan’s poultry industry’s business leaders. This will empower them to provide chicken and table eggs at an affordable price to the people of Pakistan.

USSEC and PPA will also work together to increase the demand for soybean meal in poultry feed formulation for industry expansion and to meet Pakistan’s demand for protein. This collective effort aims to increase the feed conversion rate to an optimum level.

PPA will educate its members on the benefits of extended protein content of U.S. Soy in poultry feed. PPA will also focus on arranging capacity-building sessions to educate its members on the benefits of soy from U.S. origin in poultry feed due to its high-quality and superior nutritional bundle. In partnership, USSEC will train PPA members about the extrinsic and intrinsic benefits of U.S. soybeans. This initiative will create a more reliable and consistent supply chain fostering economic integration between the U.S. and Pakistan.

PPA will identify opportunities for capacity building and USSEC will help facilitate the training and knowledge-sharing process. This will allow the industry to stay competitive and sustain success.