The livestock feed industry is always looking for new sources of protein that will deliver production results and reduce costs for farmers.
A promising option is hemp, and Alberta-based AltaGreen is working to bring a hemp-based poultry feed to market in Canada.
Why it matters: Hemp offers a sustainable protein source for animal feed.
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Hemp is rich in omega fatty acids, plant proteins and other phytonutrients that can play key roles in supporting bird health. This is particularly important as poultry production transitions away from preventive use of antibiotics.
“One of the things that becomes very apparent is that current feed does nothing to strengthen the immune system naturally,” says AltaGreen CEO and co-founder Doug Kirillo.
“In Canada, we have 2.5 to five per cent mortality in chicks in their first 45 days and if you can reduce that by even one to two per cent by naturally strengthening immune systems, that is significant.”
According to Kirillo, some plant-based proteins like soy are also high in estrogen, which can have negative health impacts in humans if too much is consumed. This is not an issue with hemp, he notes. Product trials have also found that hemp has good feed conversion properties, meaning birds can eat less feed while putting on more weight.
Prior to the COVID-19 pandemic, Kirillo and his chief science officer were involved in a vertical farming project near Edmonton, growing kale and leafy greens, when they began experimenting with industrial hemp in hopes of making hemp oil. The pandemic put an end to their fresh produce sales, but they managed to maintain hemp research.
“We started by introducing products for the pet food and equine market,” says Kirillo, adding this was a strategic decision as the company didn’t need to seek Canadian Food Inspection Agency approval for those markets because their meat isn’t destined for human consumption.
“We now have eight or nine SKUs (stock keeping units) in those areas with some small distribution and we’re looking to raise capital to increase manufacturing capacity or move to a licensing scenario.”
Kirillo sees the biggest opportunity for hemp in the livestock industry. Poultry is a major meat source for hundreds of millions of people around the world. Swine is also a big potential market and interest is growing from the aquaculture industry.
AltaGreen has been working with the University of Alberta and InnoTech Alberta to develop hemp-based feed formulations that can be adapted from poultry to swine and fish feed with only small modifications. They have three products for chicks, broilers and hens and will seek CFIA approval to move to market in Canada once the research is completed, which is expected in the next three months.
Once approval is in place, the company will take a phased-in approach to entering the Canadian market, said Kirillo. At the same time, the team is following up on international interest in its products, including from the United States, where the Food and Drug Administration has just recommended approval of hemp seed meal as a protein source in poultry rations.
Many farmers in Alberta, Ontario and Manitoba are already growing industrial hemp that goes into materials markets like concrete and board. The human food market is growing as well.
“There is no lack of hemp today in the Canadian market. The supply chain is good here and many existing hemp producers are excited to get another avenue to sell their hemp,” Kirillo says.
“Hemp is also one of the best carbon sequestering plants in the world, and the offset with carbon credits will do nothing but increase the outlook for industrial hemp in Canada.”
The company has received funding from Natural Products Canada to help develop a business plan, a go-to market strategy and an intellectual property strategy to support commercialization. They’re key elements that investors and granting agencies look for when making funding and investment decisions, notes Kirillo.
