The feed protein market is projected to expand at a 5.5% CAGR, attaining USD 468.473 billion in 2031 from USD 339.760 billion in 2025.
Approximately 70% of production expenditures go toward feed, which is the most expensive component. The highest-value feed component is protein. Proteins are essentially condensations of amino acids created by peptide bonds. Animal feed formulators search for components with high protein content and an acceptable balance of amino acids at reduced prices because it is an essential components in the manufacturing of feed. Research and development teams can offer answers for alternative protein sources that satisfy the requirements in these circumstances. The production animal can operate at its highest zootechnical level when new protein sources, including hydrolyzed proteins, are used. Additionally, they provide certain functions like anti-oxidant, anti-microbial, anti-fungal, anti-viral, and anti-parasitic properties.
It is anticipated that evolving economic trends, pricing, and enhancing agricultural financial conditions in developing nations would fuel the market for feed proteins to expand even more.
Demand for animal feed proteins is driven by the increase in demand for packaged and processed meat, as well as the major advancement of food processing technology. For poultry, protein is a crucial ingredient that is essential for development, immunity, egg production, environmental adaptation, and many other biological processes. Rising demand for the poultry meat business is another factor contributing to the increase in demand for insect protein in poultry animals. Protein feed supplements are the greatest choice for lowering dairy farm feed expenditures since they improve meal digestibility and feed conversion ratio while assisting in the efficient replenishment of necessary nutrients to livestock. The need for protein-rich feed products is expanding along with the number of livestock animals. For instance, 129 million dairy cows were estimated to be present in India in January 2022, according to official data.
Farmers who raise livestock are under intense pressure to raise the quality of their animals because of the rising global need for animal products like meat and dairy. However, growing feed costs are putting farmers in a difficult position where they must decide between increasing productivity and minimizing costs. Researchers in India discovered a method to improve crop residue's nutritional value so that it may be fed to cattle in December 2022, discouraging farmers from burning it on fire, a practice that depletes soil minerals and seriously pollutes the environment. According to the research published in December, the novel approach entails carefully calibrated urea spraying into straw residue during baling. After a time of curing, the product displayed better flavor, digestibility, and protein absorption, which aided in improving animal development and milk production.
Bunge stated in December 2022 that it will spend US$550 million to construct a fully integrated soy protein concentrate and textured soy protein concentrate factory in Indiana. The facility will be operational by mid-2025 once construction starts in 2023. The new facility is expected to provide for the growing demand from consumers for the essential components used in the manufacture of feed, processed meat, pet food, and plant-based meals. Nearly 4.5 million more bushels of soybeans are anticipated to be processed by it in the end.
Aker BioMarine, based in Oslo, Norway, declared in December 2022 that it intends to work with partners LetSea and Nofima to carry out a significant research study on the effectiveness of krill in salmon diets. According to Aker BioMarine CEO Matt Johansen, the study will evaluate seven new feed ingredients, including krill, with the aim of boosting the utilization of new raw materials in fish feed from 4% to 25% by 2030. According to Aker BioMarine, krill can be used as a source of protein, omega-3 fatty acids, and even as an attractant in fish feed.
Despite North America's dominance of the bulk of the world's non-GMO feed sector, the Asia Pacific region is predicted to grow at a large rate.
In North America, there is a sizable market for packed and processed meat, and there have been substantial advancements in the region's feed processing technology. Notably, rising demand for compound feed that enhances performance, fiber content, and animal efficiency, along with rising sales of feed protein in poultry diets due to rising end-user choice for broilers in the food and beverage industry, is expected to accelerate market growth.
In the Asia-Pacific region, agriculture and food production have been recognized as essential sectors. In order to feed a growing number of Asia-Pacific consumers, farmers have therefore kept up their practice of giving farm animals high-quality nutrition. Thus, due to growing demand for meat products across many Asian nations, improved farm animal yield and reliability, consistent studies and innovation to establish animal husbandry techniques, growing usage of technology, and rising disposable income, the Asia-Pacific market for feed proteins is expected to grow.
Feed Proteins Market Segmentation:
By Source
Plant Protein
Soybean
Oil Meal Crops
Legumes
Others
Animal Protein
By Feed Type
Compound & Blended Feed
Grains & Pellets
Silage
Others
By Livestock
Poultry
Swine
Cattle
Aquaculture
Others
By Geography
North America
USA
Canada
Mexico
South America
Brazil
Argentina
Others
Europe
Germany
France
United Kingdom
Spain
Others
Middle East and Africa
Saudi Arabia
UAE
Israel
Others
Asia Pacific
China
India
Japan
South Korea
Indonesia
Thailand
Taiwan
Others