Compound Feed Ingredients Market Competitive Dynamics & Global Outlook

Compound Feed Ingredients Market: Feed Ingredients Improve Meat Yield

  • Compound feed ingredients or feed ingredients present in compound animal feed help improve the nutritional value of animal feed. The compound animal feed is palatable and is considered a good source of nutrients.
  • Compound feed ingredients can be consumed by animals of different categories such as growing, adult, milk producing, and pregnant. Commonly used compound feed ingredients include grains, brans, protein, minerals, and vitamins.
  • Grains are one of the highly preferred cattle feed, as they possess high nutritional content such as proteins, minerals, vitamins, carbohydrates, and fibers
  • Proper intake of compound feed ingredients helps maintain animal health and promotes the improved yield of milk, which is rich in fat and protein
  • Based on type, the compound feed ingredients market can be classified into grain, bran, mineral, vitamin, and others such as fat & oil and agro-industrial byproducts. Common applications of compound feed ingredients include swine feed, poultry feed, aquaculture feed, cattle feed, and other animal feed such as rabbit feed and horse feed. Compound animal feed is considered a source of concentrate supplements. It is available in the form of mash, pellets, crumbles, and cubes.

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Rise in Consumption of Livestock and Animal Derived Products to Bolster Market

  • Global consumption of animal products has been increasing steadily. This is boosting the demand for compound feed ingredients market.
  • Livestock production, which accounts for significant percentage share of total agricultural production in China, has been rising at a rapid pace due to the substantial growth of pig and poultry industries
  • Increase in consumption of meat, milk, and dairy products is estimated to boost the demand for compound feed ingredients. In developed regions such as Europe and North America, per capita consumption growth of meat is on the rise, due to the increase in demand for poultry meat.
  • Global production and consumption of meat has increased by around 20% in the last 10 years. This growth can be ascribed to the rise in demand for meat products such as pork, poultry, beef, and mutton.
  • Globalization, cultural shift, increasing disposable income and rise in human population are the various other factors triggering the demand for meat & dairy products and hence, animal feed ingredients market.

Lucrative Opportunities to Improve Yield of Milk and Dairy Products

  • Incorporation of animal feed ingredients in compound feed in order to improve the yield of milk is likely to offer promising growth opportunities to the compound feed ingredients market.
  • Addition of feed ingredients is also anticipated to improve the overall health of animals, thus improving the milk yield
  • Milk and dairy products play an important role in a healthy and balanced diet for humans. The industry is considered one of the key agricultural segment in the emerging economies of the Asia Pacific region.
  • Rise in per capita consumption of milk and dairy products in developing countries and increase in production of milk and dairy products in Southeast Asian countries are anticipated to offer lucrative opportunities for the global compound feed ingredients market.

Mycotoxin Contamination of Compound Feed Ingredients to Hamper Market

  • Compound feed ingredients such as grains and brans are susceptible to fungal attack caused by the presence of mycotoxins. Presence of mycotoxins in feed grains or ingredients can cause illness or death in livestock.
  • Dust emitted while handling contaminated compound feed ingredients may also contain mycotoxins. This poses a health threat to individuals exposed to these contaminants.
  • The U.S Food and Drug Administration (FDA) recommends an action level of 0.5 parts per billion of mycotoxins in food other than milk
  • Presence of a commonly found mycotoxin known as aflatoxin in compound feed ingredients can lead to poor animal reproduction, growth suppression, and eventually animal death. Therefore, mycotoxin contamination of compound feed ingredients is likely to hamper the market.

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Asia Pacific Projected to Hold Significant Share of Global Compound Feed Ingredients Market

  • In terms of region, the global compound feed ingredients market can be split into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
  • Asia Pacific is anticipated to account for prominent share of the global compound feed ingredients market during the forecast period owing to the rise in demand for meat  including pork, poultry, beef, and mutton
  • Significant presence of animal feed manufacturers as well as expansion in the agriculture sector in Southeast Asia are anticipated to boost the consumption of compound feed ingredients  in Asia Pacific

Key Players in Compound Feed Ingredients Market

The global compound feed ingredients market is moderately fragmented, with the top manufacturers accounting for major share. Prominent players operating in the global compound feed ingredients market seek to enter into partnerships for the development and manufacture of compound feed ingredients. In 2019, the animal nutrition and health division of Royal DSM announced that the company launched Balancius, a new poultry feed ingredient for improving the gastrointestinal functionality of the poultry.

Key players operating in the compound feed ingredients market include:

  • Alltech
  • ADM Animal Nutrition,
  • DuPont de Nemours, Inc
  • Burcon
  • Nutraferma, Inc.
  • CHS Inc
  • Calysta, Inc.
  • Royal DSM
  • Titan Biotech.
  • Proliver
  • CropEnergies AG
  • A. Costantino & C. spa
  • GFR Ingredients Ltd.
  • Evershining Ingredient Co., Ltd.
  • Imcopa Food Ingredients B.V.

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