Feeding Resistance: Antimicrobial Stewardship In The Animal Health Industry

Generated Summary

This report, titled “Feeding Resistance: Antimicrobial stewardship in the animal health industry,” is an executive summary of a larger thematic report by FAIRR (Farm Animal Investment Risk & Return) Initiative. It examines the role of the animal health industry in mitigating the risks associated with antimicrobial resistance (AMR). The report aims to foster dialogue between the industry and its stakeholders, including investors, policymakers, and civil society, to promote responsible antimicrobial use in animal agriculture. The research methodology included over twenty interviews with key stakeholders and draws from various sources such as academic journals, media, industry and government publications, and public disclosures from ten publicly listed animal health companies. The report focuses on the animal health sector’s contribution to AMR, the current practices of leading companies in antimicrobial production, and the actions the sector must take to ensure long-term sustainability and reduce the spread of AMR. The research emphasizes the urgent need for greater transparency across antimicrobial supply chains and accelerated efforts to promote the responsible use of antimicrobials.

Key Findings & Statistics

• An estimated 70% of antibiotics are used in farmed animals.
• Antimicrobial-resistant infections are responsible for an estimated 700,000 deaths each year.
• The World Bank warns that AMR will induce a possible 11% loss to livestock production in low-income countries by 2050.
• Sales of antibiotics represent approximately 24% of the total animal health market.
• The total animal health market is valued at $47.1 billion.
• Farm animal health is estimated to represent 62% of the total animal health market.
• The top ten publicly listed animal health companies had a total revenue of $18.2 billion in 2020, making up 40% of the global animal health market.
• An estimated 70% of global antimicrobial use by volume occurs in animal agriculture.
• In 2019, India, China, the EU, the USA, and Brazil accounted for 58% of global protein production.
• Use for prophylaxis can account for as much as 84% of total antibiotic use in animal agriculture in areas such as the Mekong Delta region of Vietnam.
• In China, use for growth promotion accounted for an estimated 53% of total usage of antibiotics in food producing animals in 2018.
• In 2019, animal health companies and organisations spent more than $3.2 million lobbying in the US and EU on issues including tax, trade, antimicrobials, and agriculture.
• Flexitarians, or people restricting the number of animal-based products they consume, made up 42% of consumers globally in 2020.

Other Important Findings

• The report highlights the need for greater transparency across antimicrobial supply chains and accelerated efforts to promote responsible use of antimicrobials within animal agriculture worldwide.
• The animal health sector is a $47 billion sector essential for the prevention, control, diagnosis, and cure of diseases affecting farmed animals.
• The report identifies “Antibiotic overuse” as “a pandemic accelerator hidden in plain sight.”
• The G7’s recent commitment to “curb the silent pandemic of antimicrobial resistance” will likely help accelerate existing regulatory momentum and scrutiny.
• The report notes that all companies lack a strategic approach to antimicrobial stewardship that covers all elements of their business, including supply chain transparency, manufacturing standards, responsible use, and innovation.
• Some companies’ efforts are undermined by lobbying activities and marketing practices promoting antimicrobial use.
• The report emphasizes the implications of a lack of consistency around the classification and usage of ionophores.
• The report stresses the importance of investor engagement to encourage better stewardship and disclosure.
• The report details the link between antimicrobial production and AMR hotspots, specifically China and India.
• The report emphasizes that the G7 have urged the WHO to “accelerate the adoption of changes to relevant Good Manufacturing Practice (GMP) guidance sections applicable to waste and wastewater from antimicrobial production and for industry to take these standards into account as part of their Environmental, Social and Corporate Governance responsibilities.”
• The report addresses how the current marketing and packaging of antimicrobials contributes to growing AMR, particularly in emerging markets.
• The report details the increasing consumer awareness and civil society pressure and the growing interest in alternatives to antibiotics.

Limitations Noted in the Document

• The report does not explicitly state any methodological limitations. However, as it is an executive summary of a larger report, the depth of discussion on methodology is limited.
• The report notes that the assessment of AMR risk exposure is based on four key factors, without specifying the exact criteria or weighting used.
• The report also mentions that data on the end-use of antibiotics is lacking, which could limit the scope of analysis.
• The report acknowledges that the lobbying expenditure data may not be fully comprehensive, as some companies are reluctant to release detailed information.
• The report does not provide detailed analysis of the specific stewardship programs.
• The study is limited in its geographic scope, focusing primarily on the practices of ten publicly listed animal health companies.
• The report notes that the EU will ban the prophylactic use of antibiotics in farming. It is unclear whether the UK will adopt these regulations post-Brexit

Conclusion

The FAIRR Initiative’s report underscores the critical role of the animal health industry in addressing antimicrobial resistance (AMR), emphasizing the urgency of the situation. The report advocates for a comprehensive approach to antimicrobial stewardship, encompassing better supply chain transparency, manufacturing standards, responsible use, and innovation. A key takeaway is that the current practices within the animal health sector are insufficient to mitigate the growing risks of AMR. There is a notable lack of strategic approaches across companies to address the AMR issue, highlighting the need for greater action. The report emphasizes the importance of investor engagement to drive meaningful change. It encourages investors to actively engage with companies to promote better stewardship, R&D investment in alternatives, and enhanced disclosure of risks. This calls for a shift towards a more sustainable approach to animal agriculture. The findings underscore the need for a change in the sector, especially in light of the G7’s commitment to curb AMR. The report also highlights how marketing and packaging practices, particularly in emerging markets, can contribute to the overuse of antibiotics. Furthermore, the report points out the limitations of current stewardship efforts, specifically, the lack of integration of stewardship activities across businesses and limited attention to manufacturing processes. It highlights that the current regulatory landscape is evolving, with increasing pressure from consumers, investors, and governments to reduce antibiotic use. The report emphasizes the importance of the “One Health” approach, which promotes multisectoral collaboration and a holistic approach that addresses animals, humans, and the environment. The report warns that a failure to address the AMR issue proactively could result in significant risks. The report highlights that the sector needs to develop strategies for future growth that do not rely on increased antibiotic sales, and actively work against regulations that could lower antibiotic use. In conclusion, the report serves as a call to action for the animal health industry, investors, and policymakers to prioritize and accelerate efforts to combat AMR. It stresses that addressing this issue is essential to safeguarding the long-term sustainability of the food system and protecting public health.