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Animal Health News & Notes for June 20, 2008 6/20/2008

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Brakke Consulting's
Animal Health News & Notes for June 20, 2008
Copyright © Brakke Consulting, Inc.
 
Editor: Lynn Fondon, DVM, MBA
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IN THE NEWS:
 
other news
Bayer
Camp Bow Wow
Cargill
Evialis
Hill's
Lohmann Animal Health
Merial
Oculus
PETCO
 
 
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COMPANY NEWS RELEASES
 
> Merial announced the introduction of a combination radio frequency identification (RFID) tag and tissue collection device for use with the IGENITY profile. Producers can now collect a tissue sample needed for the comprehensive IGENITY profile and apply an RFID tag in one simple and efficient step. (company press release) 
 
> The University of Guelph received a $5 million, 10-year commitment from Hill’s Pet Nutrition Inc. to support a unique educational center at the Ontario Veterinary College (OVC). The center, part of the overall redevelopment of OVC and its teaching hospital, is also supported by the Ontario government.  The Hill's Pet Nutrition Primary Healthcare Centre will be an international center of excellence for teaching and research in primary companion animal health care and service delivery. (company press release) 
 
> Evialis announced the acquisition of Cargill Animal Nutrition's business in Brazil, including the entire Purina brand range. Financial terms were not disclosed. (Feedstuffs) 
 
> Lohmann Animal Health (LAH) announced the opening of its US Feed Division headquarters in Winslow, Maine. The new division supplies a complete range of quality feed additives such as vitamins, minerals, antioxidants, colorants and flavors for livestock animals and pets. (Feedstuffs)
 
> At the request of the FDA, US Marshals seized various animal food products stored under unsanitary conditions at the PETCO Animal Supplies Distribution Center located in Joliet, Illinois. US Marshals seized all FDA-regulated animal food susceptible to rodent and pest contamination. The distribution center provides pet food products and supplies to PETCO retail stores in 16 states. FDA has no reports of pet illness or death associated with consumption of animal food distributed by PETCO, and does not have evidence that the food is unsafe for animals. (FDA)
 
> Camp Bow Wow, a premier doggy day and overnight camp, has launched a fund raising effort on behalf of Morris Animal Foundation (MAF) and its campaign to cure dog cancer and fight other major dog diseases. Beginning June 16 at 26 Camp Bow Wow locations across the nation, doggy campers will be wearing a complimentary campaign bandana provided by Camp Counselors. Dog owners will have the opportunity to make a donation to MAF and their effort to cure and treat dogs with cancer, as well as other serious canine diseases. (company press release)
 
> AUSTRALIA   Oculus Innovative Sciences, Inc. announced an agreement with Bayer Australia’s Animal Health division for the development of the Microcyn Technology for use in the Australian animal market. Bayer will be responsible for securing Australian regulatory approvals; upon receipt of the regulatory approvals, Bayer retains right of first negotiation to enter into a distribution agreement for Oculus’ Vetericyn animal brand in Australia. (Business Wire) 
 
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ANIMAL HEALTH NEWS
 
> US - BRUCELLOSIS   The Wyoming State Veterinary Laboratory (WSVL) has cultured Brucella abortus out of tissues from two cows from Daniel, Wyoming, confirming that the herd is infected with brucellosis. Official confirmation is pending culture results from the National Veterinary Services Laboratory. If the herd is not depopulated, the state may lose its brucellosis-free status granted by APHIS; the producer may choose to undergo a repeated testing and removal program. (Feedstuffs)
 
> US - BRUCELLOSIS GENES   Researchers at the Virginia Bioinformatics Institute (VBI) and the National Animal Disease Center in Ames, Iowa, sequenced the genome of the nonvirulent S19 strain of Brucella abortus, the strain used as a vaccine to protect cattle from brucellosis. The researchers were able to identify a group of 24 genes that are linked to virulence by comparing the newly sequenced S19 genome with the genomes of two disease-causing strains. Four genes in particular showed consistently large sequence differences in S19 compare with the virulent strains, and these will be the target of further research. (Pharm Fresh)
 
> US - NAIS MEAT FOR SCHOOL PROGRAMS   a provision in the 2009 annual agricultural appropriations bill would require the USDA's national school lunch program to buy meat from animals that can be traced back to premises registered in the National Animal Identification System. The provision would go into effect in July 2010 if it becomes law. (Feedstuffs)
 
> US - NAIS   Contrary to many news stories and organizations' statements, the National Animal Identification System (NAIS) remains up and running. The USDA has been enjoined from tying NAIS premises records to the US Privacy Act until a judge can have a hearing on a lawsuit concerning a request for records that USDA has denied. Privacy Act data are not subject to the Freedom of Information Act (FOIA), and USDA had planned to tie NAIS premises records to the Privacy Act earlier this month. (Feedstuffs)
 
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BRAKKE CONSULTING VIEWPOINT
 
It’s turning out to be a most interesting year in animal health.  The heavy rains, resulting in flooding in the Midwest, are driving feed grain prices even higher than was previously anticipated.  These record prices will have a negative impact in the production of animal protein and milk.  Also, those firms using high grain content in their pet foods or other products are looking at commodity prices significantly higher than just 12 months ago. 
 
How rapidly companies can recover their increased cost of goods in new pricing remains to be seen.  We're clearly in an inflationary period that appears to have no end at the present time.  It's amazing how weather has impacted the relatively bright outlook for 2008 in just a few short months.
 
We're now approaching the end of the 2nd quarter of 2008.  While sales revenues will likely be positive for the period, the cost of doing business is sure to negatively impact the bottom lines of most companies. 
 
Have a great weekend and wear plenty of insect repellant!! 
 
Ron Brakke
 
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