Coated animal feed agglomerates

Coated animal feed agglomerates such as pellets are made starting with uncoated agglomerates or pellets that may be formed of easily agglomerated or pelleted ingredients but which may be lacking in desirable nutritional or other ingredients. A binder such as a viscous aqueous gel is coated onto the uncoated agglomerates or pellets. Thereafter, the damp binder coated agglomerates or pellets are dusted with a powder containing ingredients having a substantial lactose content e.g. whey products which usually are not amenable to being extruded. After the dusting powder has been applied, the coated and dusted pellets undergo a curing step before they are dried and cooled, the curing step comprising agitating the agglomerates for a period of time sufficient to render the end product free flowing upon drying.