August 19, 2014
Research: global compound feed market to grow steadily in 2014-2020
According to a research report by Mordor Intelligence, the global market for compound feed is projected to grow at a compounded annual rate (CAGR) of 1.5% between 2014 and 2020.
Asia-Pacific and South America are expected to the fastest growing regions with estimated CAGR of 1.7% and 1.8% respectively.
The global compound feed production totalled 950 million tonnes in 2013 and the market was worth about US$480 billion.
The report says increased consumption of meat and aquatic products, coupled with growing incomes among the middle class in emerging economies such as China, Brazil and India, is the major growth factor. In addition, Increasing industrial livestock production and technological innovations in the meat industry are creating demand for high quality meat, thereby driving the market for compound feed.
The report also says that the increasing cost of raw materials is restricting the growth of the compound feed market, but it is driving the market for feed additives. Rising demand for organic meat has also created an opportunity for organic feed.
The compound feed additives market is expected to grow at a CAGR of 4.1% in value terms during the forecast period and will reach US$44.34 billion by 2020.
Major players in the compound feed market including US-based Cargill and ADM, the Dutch company Nutreco and Thailand's CP Group, among others.