Feed additive is supplement added to animal feed to improve the nutritional value of the feed, boost animal health, and performance, and ensure the safety and quality of animal-derived products for human consumption. This additive can be categorized into sensory, nutritional, zootechnical, and coccidiostats, each serving a specific purpose in maintaining animal health and promoting weight gain. By utilizing this, producer can optimize animal productivity and the quality of animal products, which can result in higher profitability for the livestock industry. Therefore, this is a crucial tool for animal nutritionists and producers in the business of animal agriculture.
The rising demand for livestock products and the subsequent increase in livestock population has led to the adoption of capital-intensive technologies in industrial-style production facilities across regions like North America, Europe, and Asia-Pacific. As per the USDA Foreign Agricultural Service, the global cattle population has crossed 996 million in 2021, with India leading the way, followed by Brazil, China, and the U.S.. Similarly, the poultry and sheep stocks have also seen significant growth, majorly due to the use of productive feed additives and technological innovations. These factors are expected to drive the growth of the feed additives market over the forecast period. Moreover, these market is also being driven by the outbreak of diseases in animals, as well as high awareness, growing demand for animal nutrition, and the ban of antibiotics in many regions.
Probiotics are increasingly being used by players in the livestock industry and meat manufacturers to address these challenges. Furthermore, the global increase in population and demand for meat and animal-based products is leading to a continuous expansion of the livestock population, further driving this market. Along with this, governments globally, particularly in North America and Europe, have prioritized food safety. The U.S. food and drug administration and the European food safety authority are implementing stringent measures on meat quality, which creates opportunities for improved meat quality and drives growth in these market.
Several factors are expected to hinder the growth of the feed additives market, including a heavy reliance on locally available crop residues for animal feed, low purchasing power among farmers, inadequate extension and awareness programs, poor infrastructure, and high costs of feed additive products compared to farm-grown feed materials. The rising cost of extraction, coupled with stringent regulations for waste biomaterials and wastewater treatment, has been restraining the growth of these market.
The trend towards natural growth promoters is on the rise in the feed additives market. This is due to the growing demand for antibiotic-free animal products, increased consumer awareness regarding the safety and quality of animal-based products, and the emergence of antibiotic-resistant bacteria. Natural growth promoters such as prebiotics, probiotics, essential oils, and organic acids are gaining popularity among feed manufacturers and livestock producers as an alternative to antibiotics. The shift towards natural growth promoters is expected to continue to drive the growth of this market.
Key developments and launches to feed additives market.- In January 2022; BASF announced the expansion of its feed enzymes production capacity at its plant in Ludwigshafen, Germany. The expansion of the existing plant has resulted in a significant increase in the company's annual production capacity. This will enable BASF to cater to the growing global demand from customers for a dependable and high-quality supply of its feed enzymes, including Natuphos E, Natugrain TS, and the newly launched Natupulse TS.
- In June 2022, Cargill completed the acquisition of Delacon expands its product portfolio with plant-based feed additives. The acquisition is expected to help Cargill offer more nutritious food production solutions to its customers, while also strengthening its position in the feed additives market.
- In June 2021, Biomin GmBH joined a four-year, USD 11.9 Mn EU-funded research project, 3D'omics, to enhance pig and poultry production by developing a novel technique for analyzing animal microbiome interactions at the microscale, providing 3D visuals.
Segment Overview:By product type: The feed additives market is categorized into amino acids, enzymes, antioxidants, vitamins, antibiotics, mycotoxin detoxifiers, prebiotics, probiotics, flavours and sweeteners, pigments, binders, minerals, acidifiers, preservatives, and others. Here is a breakdown of the various segments:
- Amino acids: These are essential building blocks of proteins and are commonly added to animal feed to promote growth and development.
- Enzymes: These are biological catalysts that help to break down complex nutrients in feed, making them more digestible and available to animals.
- Antioxidants: These are added to animal feed to prevent oxidation and spoilage, thereby extending the shelf life of the feed.
- Vitamins: These are added to animal feed to ensure that animals receive the necessary vitamins required for optimal growth and development.
- Antibiotics: These are added to animal feed to prevent and treat bacterial infections in animals.
- Mycotoxin Detoxifiers: These are added to animal feed to remove harmful mycotoxins that can contaminate the feed and cause health issues in animals.
- Prebiotics: These are nondigestible substances that promote the growth of beneficial bacteria in the gut, helping to improve digestive health in animals.
- Probiotics: These are live bacteria and yeast that are added to animal feed to improve gut health and boost the immune system.
- Flavors and sweeteners: These are added to animal feed to improve palatability and increase feed intake.
- Pigments: These are added to animal feed to improve the colour of animal products, such as egg yolks and flesh.
- Binders: These are added to animal feed to improve pellet quality and reduce feed wastage.
- Minerals: These are added to animal feed to ensure that animals receive the necessary minerals required for optimal growth and development.
- Acidifiers: These are added to animal feed to lower the pH of the gut, helping to prevent the growth of harmful bacteria and improve nutrient absorption.
- Preservatives: These are added to animal feed to prevent spoilage and extend the shelf life of the feed.
- Others: This segment includes other types of feed additives that are not included in the above categories, such as growth promoters and performance enhancers.
By source: The market is segmented into natural and synthetic.
- Natural feed additives: These are derived from natural sources such as plants, herbs, and minerals. They are preferred by some consumers and producers due to their perceived health benefits and environmentally-friendly production methods. Natural feed additives include essential oils, herbs, and other botanicals, as well as mineral-based additives such as calcium and magnesium.
- Synthetic feed additives: These are chemically synthesized in laboratories and are often cheaper and more consistent in quality compared to natural additives. Synthetic feed additives include amino acids, vitamins, and antibiotics.
By form: The market is divided into dry and liquid.
- Dry feed additives: These are commonly available in the form of powders, granules, or pellets, and are generally added to dry animal feed or mixed with other dry ingredients. Examples of dry feed additives include amino acids, enzymes, antioxidants, and minerals.
- Liquid feed additives: These are available in the form of solutions or suspensions, and are generally added to liquid animal feed or mixed with water before feeding. Examples of liquid feed additives include vitamins, probiotics, and acidifiers.
By livestock: The market is divided into poultry, swine, ruminants, aquatic animals, and others.
- Poultry: This includes chickens, turkeys, ducks, and other birds raised for their meat or eggs. Common feed additives used in poultry production include amino acids, vitamins, minerals, and enzymes.
- Swine: This includes pigs raised for their meat. Common feed additives used in swine production include antibiotics, enzymes, and acidifiers.
- Ruminants: This includes cattle, sheep, and goats, which have a unique digestive system that allows them to break down fibrous plant material. Common feed additives used in ruminant production include ionophores, probiotics, and prebiotics.
- Aquatic animals: This includes fish, shrimp, and other aquatic animals raised for their meat or other products. Common feed additives used in aquaculture include antioxidants, probiotics, and enzymes.
- Others: This includes animals such as horses, pets, and zoo animals, which have specific dietary requirements. Common feed additives used in these animals include vitamins, minerals, and probiotics.
By region: The market is distributed in the region including North America, Europe, Asia-Pacific, and Latin America.
- North America: This includes the U.S., Canada, and Mexico. The North American feed additives market is driven by the high demand for animal products, such as meat and dairy, and the increasing trend of natural and organic feed additives.
- Europe: This includes countries in the European Union and the UK. The European feed additives market is driven by strict regulations on animal health and welfare, which promote the use of natural and sustainable feed additives.
- Asia-Pacific: This includes countries such as China, India, Japan, and Australia. The Asia-Pacific feed additives market is driven by the increasing demand for animal protein due to the massive livestock population and growth rate, along with a rising number of feed mills and feed production.
- Latin America: This includes countries such as Brazil, South Africa, Saudi Arabia, and Argentina. The Latin American feed additives market is driven by the growth of the livestock industry and the increasing demand for high-quality animal products.
Competitive analysis and profiles of the major players in the feed pelletizing agents market, such as Adisseo, Alltech (US), Archer Daniels Midland Company, BASF SE, Cargill, Incorporated, DSM, DuPont de Nemours, Inc. Evonik Industries AG, Kemin Industries, Inc., Novozymes A/S, Nutreco, and Palital Feed Additives B.V.
Key Market Segments
- By Product Type
- Amino acids
- Enzymes
- Antioxidants
- Vitamins
- Antibiotics
- Mycotoxin Detoxifiers
- Prebiotics
- Probiotics
- Flavors and Sweeteners
- Pigments
- Binders
- Minerals
- Acidifiers
- Preservatives
- Others
- By Source
- By Form
- By Livestock
- Poultry
- Swine
- Ruminants
- Aquatic Animals
- Others
- By Region
- North America
- Europe
- France
- Germany
- Italy
- Spain
- UK
- Russia
- Rest of Europe
- Asia-Pacific
- China
- Japan
- India
- South Korea
- Australia
- Thailand
- Malaysia
- Indonesia
- Rest of Asia-Pacific
- LAMEA
- Brazil
- South Africa
- Saudi Arabia
- UAE
- Argentina
- Rest of LAMEA
Key Market Players
- Evonik Industries AG
- Cargill, Incorporated
- DuPont de Nemours, Inc.
- Archer Daniels Midland Company
- Alltech (US)
- Novozymes A/S
- BASF SE
- Kemin Industries, Inc.
- Adisseo