Chicken Based Ingredients Market Expected to Reach $2,982.5 million by 2030-Allied Market Research

According to a new report published by Allied Market Research, titled, “Chicken Based Ingredients Market by Type, Application, and Distribution Channel: Global Opportunity Analysis and Industry Forecast, 2021–2030,”

The global chicken based ingredients market size was valued at $1,364.7 million in 2020, and is projected to reach $2,982.5 million by 2030, registering a CAGR of 8.4% from 2021 to 2030.

Chicken based ingredients are derived from chicken through a variety of processes, including rendering and extraction. Chicken based ingredients are used to enhance the flavors and textures of the dish. These are also used in pet food and as a food supplement.

The rapid evolution of consumer preferences is one of the major factors driving innovation in the food & beverage industry. At the moment, market trends for chicken based ingredients indicate that demand for these ingredients is expected to experience an increase in the coming years, owing to a steady rise in the number of health-conscious people around the world, as well as surge in awareness about the benefits of these ingredients. As a result, in recent years, chicken-based ingredients have grown in popularity.

Moreover, over the last decade, a large number of players have gradually entered the global chicken based ingredients market, resulting in the availability of these ingredients for a wide range of applications via various distribution channels. Another factor that has contributed to the popularity of chicken based ingredients in recent years is the digital boom, which has seen brands continue to promote their products via online sales channels such as social media, newsletters, and e-mail marketing. While the global chicken based ingredients market remains competitive, companies are expected to concentrate on packaging, pricing strategies, and marketing strategies to gain a competitive advantage in the current market landscape.

According to chicken based ingredients market analysis, the market is segmented on the basis of type, application, distribution channel, and region. On the basis of type, it is categorized into oil, broth, fat, and protein. As per application, it is divided into food & beverage, animal feed, biodiesel, and food supplement. According to distribution channel, it is fragmented into hypermarkets & supermarkets, convenience stores, specialty stores, and online sales channel. Region-wise, the chicken based ingredients market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

Various types of chicken based ingredients available in the market include protein powder, broth, fat, oil, bone broth, and protein.

By type, the fat segment was the highest revenue contributor in 2020 attributed to the fact that chicken fat is used in producing oil and protein which is used in food & beverage and food supplements industries.

By application, the food & beverage segment held the largest chicken based ingredients market share as chicken based ingredients are used in various dishes on a large scale. By distribution channel, the specialty stores segment led the market according to chicken based ingredients market forecast, owing to the availability of a large variety of chicken based ingredients in these stores.

Government initiatives to promote agricultural business have increased investment in agribusinesses. This is anticipated to aid in the combat against rise in food demand and may fuel the market for chicken based ingredients. Furthermore, the surge in preference for high protein intake from dietary products has increased the demand for chicken based ingredients, which may provide a positive outlook in this market.

In addition, the enhanced use of animal feed is expected to increase the demand for chicken based ingredients. The consumption of chicken based ingredients has increased due to the removal of traditional and cultural barriers, as well as the expansion of fast-food chains, which is expected to fuel the expansion of the market.

On the contrary, the market for chicken based ingredients is expected to be hampered by strict regulations governing quality standards and clean labelling. Furthermore, rise in health consciousness as a result of excessive consumption of chicken based ingredients, as well as surge in consumer awareness of ethical and religious beliefs, are likely to obstruct the growth of the chicken based ingredients market.

Nevertheless, rise in demand for processed foods flavored with various flavors is expected to create lucrative opportunities for the chicken based ingredients market. In contrast, the market for chicken based ingredients is confronted with challenges such as increase in prevalence of animal diseases such as bird flu and stringent product regulations by regulatory authorities such as the FDA.

Extraction of chicken based ingredients is a time-consuming and expensive process. Extensive maintenance of the extraction plant is required, which can only be accomplished with large capital investments.

Subsidies for such plants are provided by some governments, but they are not always sufficient to cover the costs. The vast majority of local players attempt to obtain loans to repay their debts. This leads to insolvency or debt for the manufacturers and processors. As a result, high capital investment is a necessary component of extraction, which limits the chicken based ingredients market growth.

An increase in the quantity and quality of chicken fats consumed in the diet is an important feature of the nutrition transition reflected in various countries' national diets. The total amount of fats available for human consumption varies greatly across the globe. The demand is lowest in Africa, while it is highest in parts of North America and Europe. The key point is that consumption of chicken fat has increased dramatically over the last three decades, with the exception of Africa, where consumption has remained stable. As a result, rise in demand for chicken based ingredients from developing countries is expected to create a favorable environment for market expansion.

The outbreak of the COVID-19 pandemic in 2020 impacted the growth of the global chicken based ingredients market. Retail stores, malls, supermarkets, and other sales channels have been closed or remain closed as a result of strict lockdowns imposed by governments around the world. During the lockdown, however, several brands have shifted their focus to e-commerce platforms to generate revenue and increase sales. There is an increase in the offline sales as government lockdown restrictions are gradually lifted in a number of countries.

Product launches, mergers & acquisitions, joint ventures, and geographical expansions are the key strategies adopted by players in the market. The key players in the global chicken based ingredients industry include Bare Bones, Borough Broth, Brodo, Broth of Life, Epic Provisions, International Dehydrated Foods Inc., Kettle and Fire Inc., Lonolife, Manischewitz, Pacific Foods of Oregon LLC, Piermen B.V., Proliver, Sanimax, Stara Foods and Symrise AG.

Key findings of the study

• The global chicken based ingredients market size was valued at $1,364.7 million in 2020, and is projected to reach $2,982.5 million by 2030, registering a CAGR of 8.4% from 2021 to 2030.
• By region, North America was the highest revenue contributor, accounting for $449.0 million in 2020, and is estimated to reach $1,055.8 million by 2030, with a CAGR of 9.3%.
• By type, the fat segment was the highest contributor to the chicken based ingredients market, with $458.6 million in 2020, and is estimated to reach $1,108.8 million by 2030, at a CAGR of 9.6% during the forecast period.
• By application, the food and beverage segment was the highest contributor to the chicken based ingredients market, with $459.5 million in 2020, and is estimated to reach $1,095.2 million by 2030, at a CAGR of 9.4% during the forecast period.
• By region, in North America, the U.S. was the highest revenue contributor with $194.0 million in 2020, and is estimated to reach $496.2 Million by 2030, registering a CAGR of 10.2%.