September 9, 2008
AgFeed opens premix store No. 900
AgFeed Industries, Inc., China's largest commercial hog producer and the largest premix feed company, today announced the opening of its 900th independently owned premix feed product distribution chain store in China.
AgFeed has two profitable business lines - premix animal feed and hog production.
AgFeed sells its premix feed products directly to large commercial hog farms and through a unique independently owned chain store distribution network targeting the vast individual backyard hog market.
AgFeedis on track to meet or exceed its previously announced goal of being associated with a total of 1,000 independently owned chain stores by year - end 2008.
Approximately 65 percent of AgFeed's total premix feed sales are generated through such retail channels.
The company said good corn harvests and low grain prices insulated the company from the high raw material prices seen in feed companies in other parts of the world. The low prices also enhanced the company's profit margins in hog production, which are currently commanding high prices relative to previous years.