April 24, 2024

The Growing Animal Nutrition Market is in Trends by Rising Meat Consumption

The animal nutrition market provides animal feed additives and nutritional supplements for livestock such as poultry, cattle, swine, and aquatic animals. Animal feed additives include vitamins, antibiotics, amino acids, enzymes, fatty acids, and minerals which enhance the nutritional value of feed and optimize growth performance. They are increasingly being used to prevent diseases and improve livestock production. A balanced diet promotes animal wellbeing and growth.

The Global Animal Nutrition Market is estimated to be valued at US$ 48100 Mn in 2024 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030.

Key Takeaways

Key players operating in the animal nutrition market are Archer-Daniels-Midland Company, Adisseo France SAS, Alltech, BASF SE, Cargill Inc., Dow Chemical Company, DuPont, Evonik Industries AG, Tata Chemicals, Novozymes A/S, Royal DSM N.V., Kemin Industries, Inc., and Nutreco N.V. These players are focusing on new product launches, expansions, and mergers & acquisitions to gain a competitive edge in the market.

The demand for animal nutrition is growing due to the rising consumption of meat, dairy, and seafood products around the world. As per the Food and Agriculture Organization (FAO), global meat consumption is projected to increase by over 13% between 2010 and 2050. This growing demand for animal protein is propelling the animal feed and nutrition industry.

Geographically, the Asia Pacific region dominates the animal nutrition market and is expected to exhibit the fastest CAGR during the forecast period due to the growing livestock industry in China and India. Various countries are also focusing on implementing modern livestock farming practices and feed production technologies to meet the increasing demand in the region.

Market Key Trends

Customized animal feed formulations tailored as per the specific nutritional requirements of different livestock species is one of the key trends in the animal nutrition market. With technological advancements in formulations, feed producers can now customize diets for different genders, ages, breeds, and physiological states of animals. Customized animal feed improves digestibility, immunity, and production performance. Leading players are focusing on developing specialized formulations for dairy cows, poultry layers and broilers, swine, aquatic animals, and other species. This trend allows animals to receive precisely what they need leading to enhanced productivity and profitability for farmers.

Porter’s Analysis
Threat of new entrants: The animal nutrition market is highly technical and capital-intensive to enter, requiring large investments in R&D and production facilities. Brand loyalty and economies of scale of existing market players also act as significant entry barriers.

Bargaining power of buyers: Buyers have moderate bargaining power due to the availability of a wide range of product choices from various manufacturers. However, buyers’ bargaining power is reduced due to the consistency and quality offered by major established brands.

Bargaining power of suppliers: Market players hold more bargaining power as there are fewer raw material suppliers. However, this power is balanced by the threat of forward integration by large animal nutrition companies.

Threat of new substitutes: Threat of substitutes is low as there is no direct substitute for animal nutrition and feed products that offer the same nutritional benefits.

Competitive rivalry: The market is highly competitive due to the presence of various global and local players offering a range of products. Price wars and new product development lead to intense competition.

Geographical Regions: North America currently dominates the global market, accounting for over 40% of overall consumption. Strong demand from the livestock industry due to established meat production and consumption habits drives high market value.

Asia Pacific represents the fastest growing regional market. With rising meat consumption tied to population and income growth, demand for quality animal feed and nutrients is surging across emerging economies like China and India. The shift to industrial farming practices further stimulates market expansion.

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  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it