Feed additives are defined in the study as materials used in animal nutrition to improve the quality of feed and food from animals, or to improve the performance and health of the animals, such as by increasing the digestibility of feed materials. Saudi Arabia has one of the fastest expanding feed markets in the Middle East. Growing consumption of raw and processed meat, as well as rising consumer health awareness, are driving demand for animal feed in the country.
Saudi Arabia, one of the Middle East's fastest-growing high-income economies, has seen sustained development in feed additive demand, owing to increased demand for high-quality meat products, westernisation, and increased consumer spending levels. Plans by the government to phase out the cultivation of water-intensive crops and livestock feeds have spurred market expansion even further. Furthermore, new inventions and breakthroughs in the industry have fueled growth and elevated. However, the region's arid climate makes agriculture and animal husbandry difficult to develop. Despite these obstacles, the Saudi Arabia feed additives market is a lucrative one that has seen an increase in both production and consumption in recent years.
Changes in food preferences and greater intake of animal-based protein increased livestock product consumption, which was fuelled by the global animal feed protein industry. Globally, continued growth for livestock products (milk, meat, and poultry products) as well as high-quality meat products is pushing up animal feed consumption. The primary player is investing in research and development to develop new products and enhance nutrient composition in order to increase animal growth around the world. Changes in lifestyle and increased awareness of animal-based protein products are driving up global demand for animal feed.
Many farmers are likely to discover that supplementing animal feed with essential vitamins, minerals, and other nutrients increases its quality and vigour. New opportunities for animal feed will arise as the demand of meat and meat-related products grows, as will animal health issues. This trend will be aided by the rising demand for finished goods. Market growth is expected to be fueled by companies' investments in research and development (R&D) to improve the nutritional content of their products.
Saudi Arabia Feed Additives Market Segment
By Product Type
Based on the product type, the segment is divided into Antibiotics, Acidifiers, Antioxidants, Vitamins, Minerals, Amino Acids, Enzymes, Binders, and others. The amino acids segment is dominate the feed additives product type market in Saudi Arabia. It helps minimise the amount of soybean meal in a monogastric animal's diet due to its high protein content. Animal feed amino acids are essential for improving the efficiency of animal protein production and contributing to increased protein supply. The recent technology in amino acids is helping to maintain a balanced daily diet, with the right amount of limiting amino acids which cannot be synthesized by dairy cows. Lower crude protein, lower amino acid market price, and should be given externally.
Based on the livestock, the segment is divided into Aquatic, Poultry, Swine, Cattle and Others. With the rising temperature in Saudi Arabia, which causes severe heat stress in broilers, the poultry segment leads the Saudi Arabia feed additives market. Furthermore, owners are using betaine in feed to cure epidemics in poultry by replacing choline chloride and methionine as the methyl donor in poultry diets, which reduces feed costs in the long term. Poultry meat is the most popular meat among GCC residents of all ages and financial levels. Chicken meat is less expensive than beef and lamb. White-appearing poultry meat is preferred by Saudi consumers because it is thought to be of excellent quality, has a genuine flavour when cooked, and is hence healthy.
Based on the form, the segment is divided into liquid and dry. Many farmers are likely to discover that supplementing animal feed with essential vitamins, minerals, and other nutrients increases its quality and vigour. New opportunities for animal feed will arise as the demand of meat and meat-related products grows, as will animal health issues. This trend will be aided by the rising demand for finished goods. Market growth is expected to be fueled by companies' investments in research and development (R&D) to improve the nutritional content of their products.
Farmers may be forced to utilise cheaper alternatives due to a lack of understanding and the expense of the feed. The feed market's growth is likely to be hampered by the high price fluctuations of raw materials, as well as the branding of fat and petroleum distillates and safety concerns.
Impact of COVID-19
The COVID-19 epidemic had a negative impact on the animal feed business in Saudi Arabia. Consumption of animal products has been interrupted as a result of the epidemic, with customers opting out of eating out. The country relies heavily on raw material imports, and with global trade restrictions, the country's animal feed business is likely to have difficulties in the near future. However, the country's severe restrictions have raised the demand for meat and other household products, allowing the wholesale price of feed to remain stable. In addition, the government is launching a support programme to help mitigate the impact of the epidemic on the market.
The feed market is moderately concentrated, with a few regional firms controlling more than 40% of the market. The market's top companies are concentrating on growing their businesses. Business expansion is the main strategy, whether it's through investing in a new production unit or acquiring established small businesses in the country. Another method used by manufacturers to keep ahead of the competition in the country is to invest in R&D efforts in order to introduce innovative, efficient products. Some market players are Alltech., Cargill, Incorporated, Kemin Industries, Inc, ARASCO, DSM, EVONIK. And BASF SE. For instance, Alltech has launched a human health subsidiary in March 2021, but it emphasises that animal agriculture will remain its primary focus.
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 Power of Buyers
4.3.3. The threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Function
4.4. Function Value Chain Analysis
5. Saudi Arabia Feed Additives Market Analysis, By Product Type
5.7. Amino Acids
6. Saudi Arabia Feed Additives Market Analysis, By Livestock
7. Saudi Arabia Feed Additives Market Analysis, By Form
8. Competitive Environment And Analysis
8.1. Major Players And Strategy Analysis
8.2. Emerging Players And Market Lucrativeness
8.3. Mergers, Acquisitions, Agreements, And Collaborations
8.4. Vendor Competitiveness Matrix
9. Company Profiles
9.2. Cargill, Incorporated
9.3. Kemin Industries,Inc
9.7. BASF SE
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