MARKET REPORT FEED & ADDITIVE MAGAZINE July 2022 69 market. The increasing demand in the food industry for livestock has significantly increased the demand for feed preservatives. In feed preservatives market, the natural preservatives segment is thought to offer significant opportunities. According to the report, feed preservatives are used to improve the efficacy of the feed and enhance its shelf-life. However, the extensive use of antibiotics has led to antibiotic-resistant pathogens and their residue in animal products, because of which they can no longer be used to preserve the feeds. The European Union (EU) has imposed a ban on using antibiotics as a growth promoter. The ban of antibiotics has emerged as a growth opportunity for natural feed preservatives. The players operating in market have huge growth prospects and are investing in developing newer and natural feed preservatives. Maximize Market Research, on the other hand, focuses on the health and safety element in its report. According to the company’s report, the incidences of animal feed damage caused due to fungal and bacterial contamination are driving the market during 2022-2027 forecast period. Further, the feed shows harmful effects which are made without addition of feed preservatives led to increase in demand for preservatives. Moreover, rising demands for eggs and food industry for livestock has significantly increased the demand for food preservatives. But there are also various restraints that can negatively affect the market. Low-profit margin and lesser availability of end products is one of them. According to the report of MarketsandMarkets, in the animal nutrition industry, it is difficult to achieve high margin. In the last few decades, high-margin products are sold at a lesser volume, which has shrunk the sales volume. Principles of oversupply, over-promising, and under delivering has diminished the available margins and shrunk the sales volume. Under-delivering principles have diminished the available profit and eventually lowered the demand for feed preservatives. There is a similar assessment in the report of Maximize Market Research. According to the report, in the feed preservatives industry, it is difficult to keep a high margin. Over the last decade, it has been found that high margin seems to decrease the sales volume of the product. Other restraints, according to Maximize Market Research’s report, is cost and regulations: the changing cost of raw materials such as maize, biomass, dextrose, which are used for making feed preservatives and rules and regulations about the usage of feed preservatives are expected to inhibit the growth of feed preservatives. MARKET STATUS BASED BY TYPE Based on type; feed preservatives market is classified into feed acidifiers, mold inhibitors, feed antioxidants, and anticaking agents. According to the report of Maximize Market Research, feed acidifiers segment is dominating the market with largest market share, and predicted to expand during 2022-2027 forecast period. Europe is the largest market for feed acidifiers. On the other hand, MarketsandMarkets draws attention to the anticaking agents that absorb excess moisture or repel water and oil, thus keeping the feed dry for a long time. According to the company’s report; based on type, anticaking agents segment is projected to grow at the highest CAGR in the market during 2022-2027 forecast period. MARKET STATUS BASED BY LIVESTOCK TYPE Based on livestock, feed preservatives market is segmented into cattle, poultry, swine and aquaculture. According to many reports, the cattle segment has the largest market share on a global scale. However, in some reports, the poultry segment also stands out. For example, MarketsandMarkets explains in its recently updated report that the largest market share in the feed preservatives market belongs to the poultry segment. According to the report, based on livestock, the poultry segment is estimated to hold the highest market share during 2022-27 forecast period. The increasing demand for eggs for appropriate vitamins and protein is expected to increase the demand for poultry. Additionally, the rise in awareness regarding
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