The Netherlands animal feed market is projected to grow at a CAGR of 1.76% during the forecast period to reach US$3,813.993 million by 2027, from US$3,375.516 million in 2020.
Animal feed is a critical source of nutrients for livestock. Animals, like humans, require essential nutrients for their growth and survival. The value of animal feed has increased in the market as meat, dairy, and poultry consumption has increased. Different doses of feed are given according to the animal. Various animal feeds are available in the market, including protein-based meals, hay plants, mixed plant feeds, husk, pasture grasses, sugar beet pulp, and many others. The food safety rules are closely followed by animal feed manufacturers. The Netherlands animal feed market is segmented by type, livestock, raw materials, and production systems.
The rise of the Netherlands animal feed market is majorly due to rapid urbanization and rising demand for meat and other end-products.
The Netherlands has one of Europe's fastest-growing animal feed sectors, owing to the increasing demand for raw and processed meat, as well as increased health awareness. According to Wageningen University & Research, the average person in the Netherlands consumes 76 kg of meat per year. Approximately half of this is consumed as meat and animal products. Between 2010 and 2015, meat consumption decreased slightly. For the first time in ten years, the data for 2018 show a tiny uptick. The amount of meat and cold cuts consumed in the Netherlands grew in 2019, as it did in 2018. Since 2005-2009, this is the first time there has been a multi-year boost. In 2019, the Netherlands consumed 77.8 kg of meat and cold cuts per capita (based on carcass weight). This number is more than 500 g greater than what was consumed in 2018. The growth between 2018 and 2019 is the same as the increase between 2017 and 2018. This rise is mostly attributable to increased consumption of poultry meat, with a modest contribution from pork consumption.
Rapid urbanization is also expected to drive market growth in the country. According to World Bank data, 92.24 percent of the total population of the Netherlands lived in cities in 2020.
Expanding livestock coupled with investment and expansion strategies by key players will further propel market growth.
Disease outbreaks in animals are a significant reason driving the use of animal feed, which improves animal health and aids in the proper regulation of the food chain. High growth in the animal feed market is assisted by key companies' expansion and investment strategies, which also aid in the enhancement of product portfolios and reaching out to new target areas. For instance, Cargill Animal Nutrition announced in September 2021 that in Hasselt, the Netherlands, it would ally with Fuite, a Dutch animal feed manufacturer, to develop a concentrate, premix, and young animal nutrition manufacture facility.
In addition, the expanding livestock population is predicted to boost market growth potential in the upcoming years. The Netherlands exports the most meat in Europe. With over 100 million cattle, poultry, and pigs, it has one of Europe's major livestock sectors. In 2018, the country had an average of 14 goats, 93 cattle, 298 pigs, and 2372 poultry per km². The number of goats climbed by 12%, while the number of sheep remained relatively unchanged. These are preliminary numbers derived from Statistics Netherlands' 2018 Agricultural Census (CBS). Similarly, the average number of hens per hatchery has doubled in 13 years, while the cow population has increased by half to 1.5 million. The country's pig population has remained relatively constant over the last 13 years, at 12 million, but the average number of pigs per farm has nearly doubled to 2,200. The largest density is found in the country's southeast, where a district known as De Peel has at least 20 million chickens.
Moreover, the amount of milk produced by an average market cow has increased dramatically over time, from 6,000 liters per year 35 years ago to 9,000 liters per year in 2020, according to the data compiled by the USDA authors. Changing the diets of cows allowed for a significant increase in milk production. Farmers in the Netherlands have started feeding their livestock more feed concentrate in recent years.
The growing concern regarding nitrogen emissions and the plans by the government can act as restraints for the Netherlands animal feed market.
The Netherlands is developing ideas to reduce cattle numbers by 30% by compelling farmers to sell their emission rights and even their land to the state, which is the most radical of their kind in Europe. The Dutch government launched a €25 billion plan on December 15, 2021, to drastically cut the number of animals in the country as it battles an overabundance of animal manure. The concern about animals stems from the fact that they produce manure, which, when mixed with urine, produces ammonia, a nitrogen compound.
The outbreak of the novel coronavirus disease negatively impacted the market growth, notably during the year 2020, due to disruptions in supply chain activities caused by global trade restrictions. Furthermore, a considerable drop in meat consumption due to rising health concerns during the pandemic, as well as the closure of malls, restaurants, and other businesses, produced a depression in the food services industry in many areas of the world, including the Netherlands, which further impacted the market of animal feed.
|Market size value in 2020||US$3,375.516 million|
|Market size value in 2027||US$3,813.993 million|
|Growth Rate||CAGR of 1.76% from 2020 to 2027|
|Forecast Unit (Value)||USD Million|
|Segments covered||Type, Livestock, Raw Materials, And Production Systems|
|Companies covered||Nutreco NV, De Hues, ForFarmers, Purina Animal Nutrition (Land O’Lakes), Alltech, Cargill, Incorporated, Royal Agrifirm Group, Nusana, Novus International Inc, DufaMix|
|Customization scope||Free report customization with purchase|
Key Market Segments
1.1. Market Definition
1.2. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Powers of Buyers
4.3.3. Threat of Substitutes
4.3.4. The Threat of New Entrants
4.3.5. Competitive Rivalry in Industry
4.4. Industry Value Chain Analysis
5. NETHERLANDS ANIMAL FEED MARKET, BY TYPE
5.4. Compound Feed
6. NETHERLANDS ANIMAL FEED MARKET, BY LIVESTOCK
6.3. Aquatic Animals
7. NETHERLANDS ANIMAL FEED MARKET, BY RAW MATERIALS
7.4. Rendered Meal
8. NETHERLANDS ANIMAL FEED MARKET, BY PRODUCTION SYSTEMS
8.3. Commercial mills
9. COMPETITIVE ENVIRONMENT AND ANALYSIS
9.1. Major Players and Strategy Analysis
9.2. Emerging Players and Market Lucrative
9.3. Mergers, Acquisition, Agreements, and Collaborations
9.4. Vendor Competitiveness Matrix
10. COMPANY PROFILES
10.1. Nutreco NV
10.2. De Hues
10.4. Purina Animal Nutrition (Land O’Lakes)
10.6. Cargill, Incorporated
10.7. Royal Agrifirm Group
10.9. Novus International Inc
Purina Animal Nutrition (Land O’Lakes)
Royal Agrifirm Group
Novus International Inc
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