134 A. N. Tanner and N. Strøm-Andersen
and BHJ (part of LGI Group). These are also a result of the cooperative
movement and have roots that date back to the beginning of the 1900s.
During the last decade, dedicated by- product companies have likewise diversified by founding subsidiaries with a focus on specific types of ABP as a
strategy to increase the value of ABPs. For example, BHJ’s subsidiary Essentia
Protein Solutions has its main focus on food ingredients produced from
Category 3 material. Essentia produces functional proteins to improve the
functionality, taste and nutritional character of food products. DAKA has
built similar business areas within ingredients, pet food, biodiesel, organic
fertiliser, etc.
The two main interest organisations representing the industry’s interests in
Denmark are the Confederation of Danish Industry and the Danish Agriculture and Food Council, which also comprise SEGES, a research and
innovation centre for agriculture and the food industry in Denmark.
However, more importantly for the internationalised Danish industry is the
European Fat Processors and Renderers Association (EFPRA) that lobby for
the industry’s interest at the EU level.
Finally, a low number of new technology developers have entered into
partnership with some of the larger players in the industry to demonstrate and
develop their technologies. These include, for instance, Lihme Protein Solutions, Dacofi and Upfront Technology.
It is difficult to estimate the exact volume of ABPs in the Danish industry.
Based on our interviews we estimate >500,000 tons of ABPs are produced and
handled in Denmark. Danish Crown produces 375,000 tons of ABPs per year.
Besides this, Farmfood handles 140,000 tons of poultry by- products from
Denmark, Sweden and Norway (including 80% of Norwegian ABPs). Interviews with actors in the industry disclose fallen volumes of ABPs, which results
in increased competition on ABPs. For example, DAKA has recently (August
2018) closed their smallest processing facility because of reduced volumes of
blood. The decreasing volumes are caused by new valorisation paths of ABPs
(e.g. mink food and ingredients); an increasing export of live animals (e.g.
piglets); and an increasing sale of products that were previously Category 3
material but are now sold to Asian markets (e.g. pig ears, gallstones).
7.4.2 Norway
The meat processing and ABP industry is the biggest sector by employment
(25%) and the second largest sector by revenue (21%) in the Norwegian food
and beverage industry (2016 statistics presented in Prestegard, Pettersen,
Nebell, Svennerud & Brattenborg, 2017). All Norway’s meat consumption is
covered by Norwegian producers, with the exception of some beef that is
imported duty- free from Botswana and Namibia. The sector is organised by a
few large companies and a number of small- and medium- sized enterprises,
with a total of 319 companies. In 2016, the sector had a revenue of US$6.1
billion and 11,477 employees (Prestegard et al., 2017). The key actors in
and BHJ (part of LGI Group). These are also a result of the cooperative
movement and have roots that date back to the beginning of the 1900s.
During the last decade, dedicated by- product companies have likewise diversified by founding subsidiaries with a focus on specific types of ABP as a
strategy to increase the value of ABPs. For example, BHJ’s subsidiary Essentia
Protein Solutions has its main focus on food ingredients produced from
Category 3 material. Essentia produces functional proteins to improve the
functionality, taste and nutritional character of food products. DAKA has
built similar business areas within ingredients, pet food, biodiesel, organic
fertiliser, etc.
The two main interest organisations representing the industry’s interests in
Denmark are the Confederation of Danish Industry and the Danish Agriculture and Food Council, which also comprise SEGES, a research and
innovation centre for agriculture and the food industry in Denmark.
However, more importantly for the internationalised Danish industry is the
European Fat Processors and Renderers Association (EFPRA) that lobby for
the industry’s interest at the EU level.
Finally, a low number of new technology developers have entered into
partnership with some of the larger players in the industry to demonstrate and
develop their technologies. These include, for instance, Lihme Protein Solutions, Dacofi and Upfront Technology.
It is difficult to estimate the exact volume of ABPs in the Danish industry.
Based on our interviews we estimate >500,000 tons of ABPs are produced and
handled in Denmark. Danish Crown produces 375,000 tons of ABPs per year.
Besides this, Farmfood handles 140,000 tons of poultry by- products from
Denmark, Sweden and Norway (including 80% of Norwegian ABPs). Interviews with actors in the industry disclose fallen volumes of ABPs, which results
in increased competition on ABPs. For example, DAKA has recently (August
2018) closed their smallest processing facility because of reduced volumes of
blood. The decreasing volumes are caused by new valorisation paths of ABPs
(e.g. mink food and ingredients); an increasing export of live animals (e.g.
piglets); and an increasing sale of products that were previously Category 3
material but are now sold to Asian markets (e.g. pig ears, gallstones).
7.4.2 Norway
The meat processing and ABP industry is the biggest sector by employment
(25%) and the second largest sector by revenue (21%) in the Norwegian food
and beverage industry (2016 statistics presented in Prestegard, Pettersen,
Nebell, Svennerud & Brattenborg, 2017). All Norway’s meat consumption is
covered by Norwegian producers, with the exception of some beef that is
imported duty- free from Botswana and Namibia. The sector is organised by a
few large companies and a number of small- and medium- sized enterprises,
with a total of 319 companies. In 2016, the sector had a revenue of US$6.1
billion and 11,477 employees (Prestegard et al., 2017). The key actors in