Press release
Animal Feed Additives Market Insights Highlights Key Food Drivers TILL2021
The key driver for all producers of animal feed additives for ruminants is the globally increasing demand for meat and dairy. This applies especially to developing countries, where the growing population densities and increasing disposable incomes are generating a vast consumer base for animal products.
A substantial portion of the animal feed additives for ruminants are intended for dairy animals over meat, due to the rapidly increasing demand for dairy and dairy products.
A lot of players – both top tier and regional – are looking into developments in coating technologies for animal feed. These coatings are increasing in importance as they help improve the effectiveness of the animal feed.
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The resulting effect of all the above factors is a CAGR of 4.3% from 2015 to 2021 in revenue for the global animal feed additives for ruminants market. This market is expected to reach US$4.7 bn by the end of 2016 and US$5.9 bn by the end of 2021.
Asia Pacific to Exhibit Leading Demand for Animal Feed Additives for Ruminants
By the end of 2021, Asia Pacific is expected to hold 32.6% of the revenue in the animal feed additives for ruminants market. This will account for the largest share in revenue, close to the percentage that the region held in 2014. A large part of this leading share is attributed to the high cattle population in the region. China and India are the two biggest regions in terms of demand for animal products demand owing to growing population densities. There is an especially high demand for dairy products from these countries. Additionally, the Asia Pacific region is ramping up its exports of meat to other regions, further increasing the demand for quality animal feed.
North America is also showing an increase in the demand for cattle-based meat and dairy. A large part of the increase in demand comes from the expanding cattle population of Canada. Furthermore, the animal husbandry industry in North America is guided by strict regulations that only allow meat and dairy above a specific grade to be sold. This has added to the demand for high-quality animal feed additives for ruminants.
The key players in the global animal feed additives market for ruminants include DSM, BASF SE, Danisco A/S, Elanco Animal Health, Evonik Industries, Novozymes, Alltech, Inc., Archer Daniels Midland Co., and Chr. Hansen Holding A/S.
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Most of Animal Feed Additives for Ruminants Continues to be Taken up by Cattle
Cattle were the leading animal type in terms of demand for animal feed additives for ruminants in 2014. By 2021, cattle are expected to take up 80.80% of the total animal feed additives revenue generation. Owing to the high demand for cattle meat and dairy across the world, the improvements in cattle feed additives is expected to generate large amounts of demand as well. This is drawing a greater number of players towards this sector and allowing them multiple opportunities of expansion.
Another key reason for the growing demand for animal feed additives for cattle is the growing concern over the health of the cattle and consequently, the quality of the meat and the health of the consumer.
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