Animal Feed Additive Market

Animal Feed Additive Market Outlook (2024 to 2034)

The global animal feed additive market is projected to increase from USD 55,842.2 million in 2024 to USD 109,184.5 million in 2034. The market is anticipated to surge at a CAGR of 6.9% by 2034.

Attributes	Key Insights
Estimated Global Animal Feed Additive Market Size (2024E)	USD 55,842.2 million
Projected Animal Feed Additive Market Value (2034F)	USD 109,184.5 million
Value-based CAGR (2024 to 2034)	6.9%

The demand for meat, milk, and egg products derived from animals is rising along with the world's population, driving the need for effective and optimal animal nutrition. The growing attention to animal health and well-being has led to the introduction of feed additives that support both development and general well-being.

Growth in feedstock production and industrial farming techniques contribute to the rising animal feed additive demand in the market. As producing meat is less expensive in developing nations like China, India, and Brazil, the growing global meat trade is expected to accelerate the demand for animal feed additives.

2019 to 2023 Global Animal Feed Additive Market Sales Outlook Vs. 2024 to 2034

The animal feed additive market grew at a CAGR of 5.8% from 2019 to 2023. By 2034, the market for animal feed additives is expected to rise at a CAGR of 6.9%.

Consumer awareness and the realization that healthier animals are more productive and produce higher-quality final goods are the driving forces behind the animal feed additive market. There has been a shift toward natural and organic feed additives, consistent with broader consumer preferences.

Concerns about artificial additives, chemical residues, and environmental sustainability are driving this trend. In response, producers created additives made of natural materials.

Technological advancements have aided the creation of more effective feed additive delivery methods. For instance, the stability and efficacy of some additives have been improved by using nanotechnology and microencapsulation.

Nutraceuticals and functional additives have gained popularity due to the need for feed additives that offer particular health advantages to animals. Probiotics, prebiotics, enzymes, and essential oils are among the ingredients that have gained appeal due to their ability to improve immune system function, digestion, and general animal health.

Key Trends in the Animal Feed Additive Market

• The inclination of consumers toward natural and organic products is influencing the animal feed sector. Natural feed additives are increasingly demanded over artificial ones.
• Rising technological advancements in the creation of more effective feed additives are gaining traction in the market. For instance, nanotechnology enhances the efficacy and delivery of specific additives.
• Environmental sustainability is an increasingly important factor in manufacturing additives for animal feed.
• Eco-friendly production techniques and sustainable raw material procurement are becoming increasingly important.

Restraining Factors in the Animal Feed Additive Market

• Variations in the cost of raw materials used to produce feed additives are set to affect production costs. Fluctuations in the prices of commodities such as minerals and cereals make it difficult for companies to control expenses.
• Feed additives with low residue levels are in high demand due to consumer concerns about chemical residues in animal products. This has led to a move toward organic and natural additives. It also presents difficulties for producers using synthetic additives.

Country-wise Insights

The table below shows the estimated growth rates of the top six countries. The United States, the United Kingdom, and India are set to record high CAGRs of 5.2%, 5.6%, and 4.9%, respectively, through 2034.

Countries	CAGR
United States	5.2%
United Kingdom	5.6%
Germany	2.8%
India	4.9%
Japan	3.9%
China	2.5%

Key Players in China Look for Environmentally Friendly Production Methods

The demand for animal feed additives is increasing in China, with a projected CAGR of 2.5% through 2034. Emerging patterns in China’s market are as follows:

• The international commerce of feed additives and animal feed is dominated by China. Leading international corporations and local firms both add to the market's innovation and competitiveness.
• Feed additive companies and livestock producers in China are looking for solutions to lessen the environmental impact of feed production and animal agriculture.
• The government is actively supporting the adoption of modern-day feed additives by providing subsidies and incentives to farmers and feed manufacturers.

Technological Innovations in India Paving the Road for Success

India’s animal feed additive market is assessed to register a CAGR of 4.9% through 2034. The deployment of animal feed additives is increasing on account of the following:

• Technological developments is observed in India for animal feed additives, specifically in the creation and distribution of feed additives. Advancements in microencapsulation technology and nanotechnology are being investigated to improve the efficiency and focused distribution of certain additives.
• India-based feed additives producers are expanding their product ranges to meet the unique requirements of several livestock and poultry industries.
• Growing awareness of the importance of nutrition in animal husbandry, advancements in technology, and the quest for improved animal health & productivity is driving the market growth.
• The government of India is playing a pivotal role in this transition by implementing several regulations that govern the use of different ingredients in animal feed. These regulations aim to ensure the safety & quality of feed and promote sustainable and ethical practices in the livestock industry.

Focus on Animal Welfare Creates Opportunities in the United States

The United States is expected to surge at a CAGR of 5.2% by 2034. The factors responsible for this growth are as follows:

• The global market for animal feed additives includes the United States as a key participant. The market is expanding due to the rising demand for products made from meat and poultry.
• There is a discernible change in favor of natural and sustainable feed additives in the United States, consistent with worldwide trends. Feed makers' decisions are influenced by consumer demand for clean-label products and the desire for ingredients that are obtained sustainably & ethically.
• In the United States, there is an increasing focus on animal welfare, which is influencing the usage of feed additives that support the general health and well-being of animals as well as growth and production.

Category-wise Insights

The section below shows the organic acid segment dominating based on preservative type. It is anticipated to hold a market share of 50.8% in 2024. Based on additive type, sweetener is anticipated to exhibit a CAGR of 6.5% during the forecast period.

Demand for Organic Acid to Remain High in the Market

Preservative Type	Value Share (2023)
Organic Acid	50.8%
Inorganic Acid	49.2%

• Rising concerns over the quality & safety of animal feed additives and an increasing desire for food products that last longer are surging the demand for preservatives.
• Global urbanization trends and an increasing number of working folks are set to drive the demand for convenience food for animals.
• Food processing firms are set to respond to this need by increasing market expansion and adding preservatives to their products to lengthen their shelf life without sacrificing quality.
• Consumers focus on more dependable and easily understood ingredients, and hence, clean-label products are gaining traction.
• As the food industry tries to fulfill the demands of the label-conscious consumer base, it is quickly implementing clean-label preservatives that assist food formulators.
• In response to end-user demand, manufacturers use organic acid as a preservative that works great with animal food compositions.
• The rising prevalence of animal diseases is making customers more concerned about the quality of the meat they are buying. As a result, animal feed producers are working to provide feed that contains natural elements to appeal to customers. This is anticipated to accelerate the use of organic acid preservatives, propelling the market's expansion.

Sweetener Sub-segment to Lead in Terms of Additive Type by 2034

Additive type	CAGR
Sweetener	6.5%

• Sweeteners are regularly used in animal feed to improve palatability. They help ensure that feed is appetizing and that optimum feed intake is achieved.
• Animals find some feed additives or treatments unappealing due to their bitter or disagreeable flavors. In such circumstances, the meals are made more palatable by using sweets or flavoring compounds to cover up undesirable tastes.
• Sweeteners make new feed more enticing and increase consumption when animals switch to new diets, particularly when weaning piglets or switching to high-fiber diets.

Powder Form is the Preferred Form over Granules and Liquid

• Compared to liquid equivalents, powder additives frequently offer superior stability and a longer shelf life.
• Since powder additives are less likely to deteriorate, degrade, or become contaminated, powder form is significant for storage and transportation.
• Powder additives allow for the distribution of the meal uniformly and with more exact control over the dosage. This is essential to guarantee that each animal feed contains the right amount of nutrients, vitamins, minerals, and other additives.
• Compared to liquid substitutes, powder additions are cheaper to make, package, and ship.

Competitive Landscape

Several manufacturers & distributors and their geographic locations all have a significant impact on the level of competition in the global market. Participants and stakeholders are focusing on expanding their manufacturing capabilities in the market. Leading players are working on research and development to provide consumers with effective items, which is expected to boost market expansion.

For instance,

• In 2023, Amlan® International, the animal nutrition and health business of Oil-Dri® Corporation of America, acquired Agromex Importaciones, S.A. de C.V.
• In 2023, Novus International acquired biotech company Agrivida.
• In 2023, Evonik launched its new generation Biolys®, which provides a high concentration of L-lysine for animal feeds.
• In 2023, Biochem introduced a new RumiPro product line for ruminants. This portfolio comprises three high-quality products formulated to meet the specific nutritional requirements of the ruminants.
• In 2023, OCP Group and Fertinagro Biotech S.L. acquired a 50% stake in GlobalFeed S.L.

Key Companies Profiled

• Cargill Inc.
• Archer Daniels Midland Company
• DSM
• Nutreco (Owned by SHV)
• Alltech Inc
• Adisseo
• BASF SE
• Novus International Inc.
• Kemin Industries Inc.
• Evonik Industries AG
• International Flavors & Fragrances Inc.
• Ajinomoto Animal Nutrition North America
• Phibro Animal Health Corporation
• Danish Agro
• Chr.Harsen Holding A/S
• Pestell Nutrition (Barentz)
• Solvay Group

Animal Feed Additive Market Segmentation by Category

By Additive Type:

• Technological Additives (Preservatives, Emulsifiers, and Others)
• Sensory Additives (Sweeteners, Lutein, and Others)
• Nutritional Additives

By Form:

• Powder
• Granules
• Liquid

By Livestock:

• Ruminant
• Poultry
• Swine
• Aquaculture
• Pets

By Region:

• North America
• Europe
• Latin America
• South Asia
• East Asia
• Oceania
• Middle East and Africa

Frequently Asked Questions

How big is the animal feed additive market?

The market is expected to reach USD 55,842.2 million in 2024.

What is the forecast for the animal feed additive market?

Demand for animal feed additives is slated to expand at a 6.9% CAGR by 2034.

What is the outlook for the animal feed additive market?

The market is set to reach USD 109,184.5 million in 2034.

Who are the key players in the animal feed additive market?

Cargill Inc. and Archer Daniels Midland Company are the key players.

Which region is set to lead the animal feed additive market?

East Asia is estimated to hold a leading market share in 2024.