Report Summary

The global animal feed market is anticipated to grow at a CAGR of 4.7% between 2018 to 2026. The rise in consumption of animal meat, increasing demand of meat and meat products of several other livestock animals and a mounting increase in production of oilseed are the primary factors that are driving the worldwide animal feed industry.

Rising of livestock and consumption of meat and animal derived products have made a crucial contribution to the nutritional and economic wellbeing of several nations globally. Animal feeds have played the foremost role in the worldwide food industry and feed these products been the largest and vital component for ensuring safety, affordable and abundant animal proteins. In the past few years there have been rise in demand for animal derived protein globally, including for dairy, livestock and fish. Normally the International Feed Industry Federation (IFIF) has recorded the growth in production especially in the developing regions, with the developed regions reported to be more/less stable. The worldwide feed industry has expanded in production value and volume with a response to an increase in the global population, rate of urbanization and the growing consumer purchasing power. Commercial production and sales of the manufactured feed stuffs is currently active in over 130 nations and employs directly approximately a quarter of one million skilled employees, managers, technicians and professionals. This has pushed the overall animal feed market globally.

A challenge faced by the animal feed market in the present scenario is that, more than 1 billion tons of feed manufactured by the industry participants, approximately 300 million tones of it is manufactured directly from on-farm mixing. This poses challenges as the food safety bodies do not frequently audit this mixing of feed by the farmers and they only examine whenever any problem arise. International Feed Industry Federation (IFIF) believes that it is crucial for the feed manufacturers and for the industry’s sustainability including encompassing the entire feed to food value chain. These standards are relevant throughout the entire feed chain, and both the on farm mixers and industrial must be inspected and controlled on regular basis.

Segment Analysis

The global animal feed market is segmented into types of products, animal types and region. Product segment is further segmented into compound feed, fodder and forage. The types of animals included in the report include livestock and pet animals. Livestock segment further includes poultry, cattle, pigs and other livestock animals.

Poultry feed is expected to be the fastest growing segment in the animal feed market during the forecast period. Poultry has always been one of the leading meat production sources globally and contributes considerably to the worldwide meat industry. Resources for high quality poultry feed and requirements of feeding have increased substantially in the past few years. Generally, crop residues, household wastes, fodder, by-products of cereal etc. were utilized as feed within the small scale and traditional poultry farming. In large and commercial scale poultry farming, high quality and nutritionally balanced feeds are demand as these helps in enhancing the quality of meat and also increases productivity. The increasing demand for poultry meat globally with rising food chain business offering variety of nutrition rich meat, need for commercially developed and high quality feed have experienced a demand and is expected to further increase over the forecast period.

Regional Analysis

Asia Pacific region was the largest region in the animal feed market in 2017. China’s is the world’s largest feed producer. Its requirements for feed ingredients in order to support its mounting production along with the increase in consumption of protein rich food have numerous consequences for the worldwide agricultural markets. The country’s demand for animal feeds has increased and evolved during the last decade in parallel to the nation’s reforms and developments. The feed industry in China is anticipated to take up a more moderate pace of growth in the near future. Urbanization is expected to propel increase in consumption of animal protein. Modernization and growth of aquaculture and livestock sectors are anticipated boost the use of commercial feedstuffs.

India is the fourth largest feed producer globally. It is also among the rapidly expanding compound feed industry worldwide. Feed industry in the country is currently increasing at a CAGR of over 7% Poultry, dairy and aqua industry dominate major shares in the country’s overall demand for feed products. The potential requirement for these products is enormous and recorded over 95 million tones, but only around 22 million tones was manufactured annually during the past three years. The nation offers colossal scope for this industry’s growth with the sector getting more and more organized in the present scenario.

Competitive Analysis

Some of the leading industry participants currently operating in the animal feed market include DaChan Food (Asia) Ltd., Smithfield Foods, Yuetai Group, NongHyup Feed Inc., Nutreco, De Heus, Tangrenshen Group (TRS), Haid Group, Shuangbaotai Group (Twins Group), Agrifirm Group, JA Zen-Noh, East Hope Group, ForFarmers N.V., Tyson Foods (broiler), BRF, Wen's Food Group, Purina Animal Nutrition, New Hope Liuhe, Cargill, CP Group.