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Major Driving Factors for Compound Feed Market & Feed Additives Market

Major Driving Factors for Compound Feed Market & Feed Additives

The compound feed industry has a vital role in the food chain, as it provides nutritious and sustainable food to animals raised in captivity. Feed additives are primarily supplements used in compound feed to enhance the total productivity and health of animals. In 2012, the global compound feed market and feed additives market stood at US$15.1 billion and is estimated to touch US$18.3 billion by the end of 2017, growing progressively at a 3.72% CAGR from 2013 to 2019.Rapidly increasing meat consumption, growing population, and rising consumer awareness are some of the factors expected to boost demand for compound feed in the coming years across the globe. Moreover, growth in GDP of economies and technological advancements are proving to be great opportunities for the market players.On the flip side, increase in ethanol production and quality control during manufacturing and processing are some of the factors that are anticipated to hamper growth of the global compound feed market in the near future.

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Swine Feed Segment of Global Compound Feed Market to Record 3.92% CAGR from 2012 to 2017

On the basis of products, the global compound feed market is segmented into pet food, swine food, poultry food, cattle food, and aqua food. Among these segments, the swine feed segment dominated the global compound feed market in 2011, accounting for approximately 31% of the overall market. It is expected that this segment will touch US$81.1 billion by the end of 2017, growing significantly at a 3.92% CAGR from 2012 to 2017. The other segments will collectively boost the demand for compound feed in the near future and witness steady growth.

On the other hand, the global feed additives market is segmented on the basis of products into feed acidifiers, amino acids, antioxidants, enzymes, antibiotics, and vitamins. In 2012, the amino acid segment led the global feed additives market, accounting for 30% of the overall market. It is anticipated that the amino acid segment will reach US$5745 million by the end of 2017. However, the highest growth rate will be showcased by feed acidifiers, growing at an expected 5.98% CAGR from 2012 to 2017.

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North America Led the Global Compound Feed Market in 2010

The global compound feed market and feed additives market has been geographically segmented into Latin America, North America, the Middle East and Africa, Europe, and Asia Pacific and Japan. In 2010, the compound feed market was dominated by North America, which stood at US$72.3 billion in terms of revenue. On the other hand, Asia Pacific has a promising growth potential in this industry in the coming years, owing to the fact that consumption of animal-based and animal-derived products is rapidly increasing in this region due to high disposable incomes of the average consumer. In 2012, Europe held the largest share of the global market, accounting for 33.5% of the global feed additives market. The market for compound feed and feed additives in Europe stood at US$5078.7 million. This is due to the importance of meat and dairy in the traditional meals in many European countries.

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