Amino Plus Increases Hungarian Dairy Farmer Profitability (ASA illustration by Russ Robinson)

AGP Soy Product Used in Hungary  - Page 1 of 2


AminoPlus® Builds Loyal Following in Hungary

Would it surprise you to know that Midwest soybean producers share something in common with milk producers in Hungary? In this case, that common thread is a value-added high protein soybean product called AminoPlus®, a bypass dairy feed. 

Why would Hungarian dairy farmers source feed ingredients from 8,000 miles away? The answer is found in a proprietary manufacturing process owned by Ag Processing Inc (AGP) of Omaha, Nebraska, that is improving the profitability of dairy farmers in Hungary and in other markets around the world. 

To learn more about how this soy product provides profitable market opportunities for U.S. soybean farmers, American Soybean Association (ASA) staff met with AGP staff in Hungary and Slovakia. Special thanks are extended to Janos Nevai, a member of the board of AGP Hungary, who accompanied ASA staff and assisted with interviews and translations.

Play AminoPlus Introduction video 
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Meetings in Budapest and Pecs

The first day in Budapest, ASA met with AGP Hungary General Manger Andras Szucs who is responsible for managing AGP Hungary, as well as AGP Slovakia, which was formed last year. 

“When AGP Hungary was established, we started to launch our feed in our market,” Szucs said. “Roughly two years later, we started to introduce the Hi-Pro soymeal to our customers, and then again two years later we introduced a bypass product, which was called AminoPlus, which is a very good quality growth promoter for milk performance.” 

Click for Enlarged Map AGP Hungary staff outside the company’s office in Pecs, Hungary. Shown (L to R) in the front row are Marika Klovar, Agnes Schmidt, Rozsika Kovacs and Zsolt Sebok. In the back row are Agota Voros, ASA Hungary Consultant Sandor Zsarnoczay, Janos Nevai and Gyorgy Devai. (ASA photo by Bob Callanan, ASA map by Russ Robinson)  AGP Hungary staff

In addition to a reliable supply of quality U.S. Hi-Pro (48 percent) soymeal and AminoPlus, AGP provides a great deal of technical support to farmer-members of its Hungarian coops. 

“I think the success of Hi-Pro soymeal and AminoPlus was that both products could raise the performance of the animals,” Szucs said. “For example, AminoPlus can raise milk performance of cows by two or three liters per day. The Hi-Pro meal also raises the production of milk and the growth of broilers and pigs.”

AGP Hungary was established in 1995. Currently, about 90 percent of its sales are AminoPlus and soybean meal. 

At the company’s office in Pecs, AGP Hungary Acquisition Manager Agnes Schmidt, said, “Before 1999, there was no bypass protein in Hungary used by farmers. Now we have around 40-50 partners using AminoPlus, and they like it very much. They are really satisfied with AminoPlus and with the benefits they get. It’s a really unique product.” 

Since AGP Hungary has been importing AminoPlus from the U.S., its sales have been increasing 30-55 percent annually. Schmidt, who deals with the trading and importing of soybean meal, said that AGP Hungary imported quite a big quantity of U.S. Hi-Pro soymeal last year. 

 

AGP Hungary Commercial Director Zsolt Sebok said, “Since 2000, our company has been the sole representative of AminoPlus for the central European region. It is a major factor in our selling activities.” 

In addition to U.S. Hi-Pro soymeal and AminoPlus, the company also has a feed premix plant to help service the needs of their coop members. 

“I can tell you that throughout all of our activities we have been increasing our sales and that is our aim for the future as well,” Sebok added. 

 

Play AGP Hungary Staff video 
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ASA Hungary Consultant Sandor Zsarnoczay said, “ASA Hungary provides promotional support activities in Hungary and in neighboring countries. ASA works closely with the grower coop, and with AGP Hungary as well, to support their marketing and professional advisory activities.” 

Zsarnoczay, an agricultural engineer, said it is very important that ASA provide technical support to the farmers, to the end users, about how to incorporate U.S. Hi-Pro meal into their rations. ASA provides feed formulation advice, feeding demonstrations and market information. With the help of AGP, ASA promotes U.S. origin meals and specialty soybean derivatives like AminoPlus, and also helps customers understand the best times to purchase and contract for these products.

AGP-ASA Dairy Seminar in Slovakia

The country of Slovakia is north of Hungary, and the city of Komarno sits just across the Danube River. Here is the location of AGP’s newest international office, which was celebrating its first anniversary when ASA staff visited in October 2004. 

 

AGP Slovakia Managing Director Daniel Fekete said, “We are the newest soymeal importers in Slovakia. We can import the best quality of the U.S. soymeal, and we have a bypass protein, the AminoPlus, a special product of the AGP group.” 

Play The Slovakia Seminar video 
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With its proximity to the Danube River, Komarno provides economical access for barges bringing soy products from Rotterdam or Bremenhafen. And with many prospering and productive farms in this region of Slovakia, the customer base is also nearby. 

Samples of U.S. Hi-Pro soymeal, AminoPlus and competitive soymeal product were on display at the AGP-ASA Dairy Seminar in Slovakia. (ASA photo by Bob Callanan, ASA map by Russ Robinson)  Samples of U.S. Hi-Pro soymeal, ect.

“Many farms are purchasers for AminoPlus,” Fekete said. “It’s for ruminant for the cows, and in this area there are a lot of cows. A lot of farms are occupied with producing milk and they want to produce more and more milk, and become more effective in their production. We can say AminoPlus is the best product for this, especially for the milk producers, to give more and more milk, and more and more cud for the cows.” 

About 30 farm managers and economists from local farms attended the AGP-ASA Dairy Seminar, which was held in the nearby village of Zemianska Olca. Fekete knew it was critical for these decision makers to be persuaded with data from field trials and feeding demonstrations that illustrate the profitability of milk production with AminoPlus. 

One of the two specialists who made a presentation at the seminar was Mihaly Nyilas, who has been chairman of the board and managing director of the Somberek Agriculture Company for more than 13 years. Somberek is a founding member of AGP Hungary, and Nyilas, who serves as chairman of the Hungarian Holstein Association, also serves as chairman of the board of AGP Hungary. 

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Somberek agricultural land includes 2,500 hectares (about 6,200 acres) dedicated to row crop production, hogs and dairy cows. The company has 400 dairy cows that produce a total of 3 million kilograms (about five and a half million pounds) of milk. Milk revenues account for 30 percent of the total annual farm income. 

“The average volume quantity of milk by one cow by one year is 8,500 kilogram (18,700 pounds), which is quite a high quantity, not only in Hungary but, generally speaking, in European levels,” Nyilas said. “To have a profitable activity, we are looking at how to feed our cows, and we have found that AminoPlus, provided by AGP, Omaha, Nebraska, through the joint venture AGP Hungary, is the best source of protein and energy, and results in a very profitable operation.” 

Since Somberek started using AminoPlus a couple of years ago, the daily milk production per cow has increased by 1.6 kilograms (more than three and a half pounds). Although it is more expensive than ordinary ingredients in their feed, Somberek very quickly realized, first through field tests and later by day-to-day production, that the extra investment in AminoPlus was very quickly returned.

For the past five years, Somberek has experienced consistently good, positive results by adding AminoPlus into their feed. Nyilas, a well-known person in Hungarian agriculture, recommends AminoPlus to all of his friends, colleagues, business partners and acquaintances in agriculture. 

Sponsored by AGP. Visit AGP at www.agp.com
Photographs and video copyright © 2005 The American Soybean Association by Bob Callanan
No funding from either the Soybean Checkoff or USDA’s Foreign Agriculture Service 
was used in the production or distribution of these materials. 


Copyright © 2005 The American Soybean Association. All rights reserved. No portion of these contents may be reproduced or redistributed through any means without the expressed, written permission of the ASA. State affiliates and members of the media are hereby granted special permission to use ASA materials for non-commercial, educational and/or informational purposes only.