FeedInfo's Global Protein Outlook Webinar 2020 event

Ernest Tan, Head of Agribusiness and Animal Protein, Sector Solutions Group, was invited to be the Asia specialist at FeedInfo’s webinar on the Global Protein Outlook on 13 May 2020.

During the webinar, Ernest provided an Asian perspective on current consumer preferences in terms of meat consumption and how these are expected to change once COVID-19 isolation measures are relaxed. He also shared how countries in Southeast Asia have been hit by multiple overlapping events such as low oil price, low crude palm oil price and falling tourism rates, all of which impact demand of animal protein, in addition to the ASEAN countries’ lockdowns.

This positioned UOB as a leading bank that understands the animal protein industry and is able to develop and provide solutions that support businesses in the sector.

Ernest Tan, Head of Agribusiness and Animal Protein, Sector Solutions Group (SSG), UOB, spoke about the protein outlook in Asia during this COVID-19 pandemic as well as the changes in consumer behaviour which may remain even after social distancing measures are eased.

• While the impact across Asian countries may differ due to the varying degrees of the COVID-19 outbreak, government responses and state of the countries’ economies, overall consumption of all types of meat protein sectors is expected to be affected during this pandemic.
• The COVID-19 pandemic has also cast a spotlight on issues that were previously not widely discussed such as dependencies on supply chain and other ancillary businesses like those producing material for packaging which support the industry.
• The industry will see three phases of consumer behaviour: (1) panic stockpiling, (2) re-channelling of purchases, and (3) lower spending due to recession.
• Depending on how the easing takes place, there may be a meat shortage for certain segments and poultry is the most likely to recover the fastest.
• On the longer horizon, there are expectations for the focus to be on (1) food security / safety (local production); (2) digitalisation and mechanisation; and (3) innovation in products and nutrition.