The organic feed market is projected to grow at a CAGR of 7.56% to reach US$8.413 billion by 2025.
Increasing focus among the market players in order to improve the produce quality to meet the rising demand for poultry and meat products.
In recent years, there has been an in increase in the consumption of the meat and poultry products in the regions like the Middle East and African regions and the Asia Pacific region and as the disposable income of the individuals is increasing, they are demanding better quality produce. This is encouraging the livestock owners to opt for more nutritional and organic feed for their animals in order to maintain their overall health and is thereby leading to a surge in the demand for organic feed and fuelling the market growth over the forecast period.
Different varieties of organic feed available by the market players with additives and new formulations to boost the health of different livestock and improve the produce quality.
The market players are increasingly involved in offering different varieties of organic animal feed in order to effectively cater to the different and rising concerns among the livestock owners such as improving the produce of the livestock, improving the health of the animals, protecting them from infections among others by preferring the products that containing antibiotics, additives and enzymes. For example, ADM Animal Nutrition offers “Fortress Certified organic Dairy Materials” which have been specially designed and developed for the dairy cows, which produce milk and are made using the organic products and are certified with organic manufacturing certification. This way they are able to provide the dairy cos with optimum nutrition, which is aiding them in maintaining the desired levels of production, reproduction, health and increasing the profits for the producers. The product line consists of three products called “Fortress Organic Lactation Mineral PL´, which is for lactating cows. “Fortress Organic Dry Cow Mineral PL” for the dry cows and “Fortress™ Organic Heifer Mineral”, for the needs of the dairy heifers.
The presence of stringent produce quality restrictions, which the market players have to strictly and must adhere to, in order to avoid the imposition of penalties
The prevalence of common flu diseases such as H5N1 (bird flu) and avian influenza that are spreading due to the unhealthy and livestock ridden with bacterial disease and birds are putting the consumers at risk of infection and this turning into an epidemic like in the year 2003-2009 when a total of 161 human cases of influenza were registered from the Western Pacific Region out of which 112 cases were from Vietnam, and 38 cases in China. This Has now increased to total 238 cases as of March 26, 2020, according to the World Health Organization which has prompted livestock owners to opt for top-quality organic feed products to combat this risk and also to adhere to regulations by the FDA and the certifications such as the HACCP (Hazard Analysis and Critical Control Point). Thus, this leads to a further increase in the market growth.
Major Market Developments
The launch of better-equipped and new and enhanced varieties of organic feed in order to cater to the increases cases of serious diseases and rare diseases by existing and new players in different markets is expected to propel the growth of this market in the forecast period.
Some of the examples of the product offerings are as follows:
The Asia Pacific region to hold a considerable share over the forecast period and increase investments in the agricultural and livestock industry and North America to show notable growth.
The Asia Pacific region is expected to hold a considerable market share over the forecast period owing to the fact that there are increasing investments in the agricultural and livestock industry in order to accelerate the development of these sectors further. In addition, the increasing concerns coming farmers in order to improve the health of their livestock and using plant-based animal or organic type of animal feed. Moreover, as countries such as India are among the largest exporters of cattle meat in the world, which makes them, take exceptional care of the meat quality in order to meet the burgeoning demand from different cattle meat consuming countries.
Moreover, the North American region is expected to show notable growth over the forecast period owing to the fact that there are increasing efforts by the market players in order to offer better organic products to the livestock owners and to improve and enhance the products by investing the R&D activities.
Poultry and Meat to increase their share over the forecast period.
Poultry and meat are expected to hold a considerable share and increase its share over the forecast period owing to the fact that, which is attributable to the fact that the consumption of poultry meat is increasing, owing to the fact that it is the most widely consumed type of animal-based food. In addition, more individuals in the lower and middle-income populations are able to afford it due to the increase in their disposable incomes. In addition, according to the OECD data, the world consumption of poultry meat stood at 27.8 kilograms per capita in the year 2018. Thus, the demand for organic feed is increasing among the livestock owners.