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Aqua Feed Market - Global Industry Analysis 2019

Food for fishes, which has been manufactured commercially through various industrial processes, is generally termed as aqua feed. Aqua feed is commonly available in the form of pellets which contain vital ingredients for fish administered externally. These pellets vary in size depending on the species to be fed. Additionally, properties of these feeds can be altered so that they can float on the surface of the water or sink to the bottom of the tanks where fish are reared. Furthermore, the content of various nutrients in the feed can be controlled which has led to the growth and increase in popularity for the aqua feed industry over the past few years. They are made for aquatic species such as fish, crustaceans and mollusks.

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Fish cultivated on farms which feed on pests found on crops are also classified under the aqua feed market segment. Growth of the aquaculture market due to high demand for fish in food and non-food applications is one of the key factors expected to drive the demand for aqua feed during the forecast period. Furthermore, growing human consumption of fish is likely to boost the demand for aquaculture, thereby driving the demand for aqua feed. However, price volatility of raw materials such as fish oil and fish meal is anticipated to hamper the growth of the market. Rise in demand for conventional and functional aqua feed in China and Rest of Asia is expected to provide new opportunities for the growth of the market within the forecast period.

Demand for aqua feeds was the highest in carps accounting for over 25% of the market share in 2012. Carps are expected to be one of the fastest growing species owing to their compatibility in less than ideal environmental conditions. Mollusks were the second largest end-users in the aqua feed industry and are expected to experience above-average growth during the forecast period owing to a rise in consumer awareness about its health benefits. Rising consumer demand for carps and crustaceans, on account of key factors such as changing food habits, changing lifestyles and rise in disposable income. Carps and crustaceans are expected to witness the highest growth within the aqua feed market over the next few years.

Demand for aqua feed was highest from Asia Pacific in 2012, accounting for over 65% of the global demand, followed by Europe and North America. Asia Pacific is expected to dominate the aqua feed industry over the next few years owing to significant growth in the aquaculture industry due to certain parameters such as ease of availability of natural resources, induced conditions for aquaculture and cheap labor. Asia Pacific is likely to witness the fastest growth during the forecast period on account of a rise in demand from regional markets and favorable climatic conditions. Demand for aqua feed is expected to grow significantly from regions present in Rest of the World, on account of growing aquaculture activities in this region within the forecast period. Furthermore, favorable regulations and rules are being established by various national governments for aquaculture and its related activities, which in turn are expected to boost the global market for aqua feed over the next few years.

Some of the leading aqua feed manufacturers include Alltech Inc., Aller Aqua A/S, Avanti Feeds Ltd., Beneo GmbH, BioMar A/S, Cargill Incorporated, Cermaq ASA and Dibaq Aquaculture among others. In addition, the aqua feed market is highly fragmented in nature due to the presence of several medium and small scale aqua feed manufacturers on a global as well as regional level.

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