European Protein, Yenher partner to boost sustainable animal feed production in Southeast Asia

MALAYSIA – Danish biotechnology company European Protein has partnered with Malaysia’s Yenher Holdings Berhad to establish two fermentation plants in Southeast Asia.

 The alliance, formalised at the MAHA 2024 trade fair, aims to produce eco-friendly, high-value animal feed. It will transform plant proteins and agricultural byproducts into locally sourced and sustainable feed ingredients.

This joint venture is critical for Southeast Asia, which has become increasingly dependent on soy imports. By 2028, the region will account for one-third of global soy derivative imports. 

Indonesia and Malaysia, which together dominate 83% of the global palm oil market, produce 8.9 million tons of low-value palm kernel meal annually. 

Due to its high fibre content and low digestibility, this byproduct is often exported, making the region heavily reliant on imported soy for animal feed.

The new venture plans to use European Protein’s patented fermentation technology to convert palm kernel meal into highly digestible feed for monogastric animals and farmed fish. 

This innovation aims to reduce Southeast Asia’s dependence on imported proteins while enhancing the nutritional value of locally available feedstock. 

The technology will also be applied to soy, rapeseed, and seaweed, increasing processing efficiency and minimising environmental impacts.

European Protein’s proprietary solid-state lacto-fermentation process, patented by its parent company, Fermentation Experts, stands out for its low environmental footprint. 

A third-party study revealed that this method uses up to 63% less water and energy than traditional techniques. Additionally, the process improves the digestibility and nutritional value of feed while reducing the presence of anti-nutrients.

The first fermentation plant, a €13.5 (approximately US$15) million investment, will begin operations in Penang by the fourth quarter of 2025. 

This facility will produce fermented proteins from rapeseed meal, soy, and seaweed and will be converted into a GMP+-certified manufacturing plant. 

The second plant, still under review, will focus on upgrading palm kernel meals into high-quality animal feed.

By tapping into local resources and leveraging innovative technology, European Protein and Yenher Holdings aim to provide a sustainable and scalable solution to Southeast Asia’s growing demand for animal feed, helping the region reduce its reliance on imported soy and other proteins.

Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE.