Probiotics improve animal intestinal health, support the digestive system, and speed up biological digestive processes. Therefore, they are widely used as essential ingredients in animal feed products and this contributes to the growth of the market. We compared the reports of 5 different research companies to determine the current size and growth prospects of the global feed probiotics market. Based on the data in all these reports, average market size for 2021 is estimated about US$ 2.7 billion. Considering that the average growth prospects are at the level of 7.5% CAGR, it can be estimated that the market will reach a size of about US$ 5.2 billion by 2030.
By Ozlem Akatay
Probiotics are expressed as good microorganisms (bacteria, yeast and fungi) that provide various health benefits to consumers. These good microorganisms improve intestinal health, support the digestive system, and speed up biological digestive processes in both humans and animals. Therefore, probiotics are widely used as essential ingredients in animal feed products and are regarded growth and health stimulators.
Also, probiotics are considered a safe and efficient alternative to antibiotics. According to the Natural Resources Defense Council, in the U.S., antibiotic resistance causes more than 2.8 million infections and leads to between 35,000 and 162,000 deaths of animals each year. Thus, alternative control and management measures are required to effectively manage antibiotic resistance. The increasing need for alternative control and management measures boosts the demand for environmentally friendly treatments to control antibiotic-resistant diseases in animals, driving the demand for probiotics.3
Today, most probiotics used in animal nutrition are generated commercially and sold in liquid and solid forms. The various sources of probiotics in animal feed include bacteria, yeast, and fungi. They are used in the feed of cattle, poultry, swine, aquaculture, etc.
MARKET GROWTH EXPECTATIONS
We compared the reports of 5 different research companies to determine the current size and growth prospects of the global feed probiotics market. While growth prospects are similar on a percentage basis, forecasts for market size in 2021, and therefore the results of growth-related expectations, differ widely.
For example; according to the Global Feed Probiotics Market report prepared by SkyQuest, the global feed probiotics market was valued at US$ 1.19 billion in 2021, and it is expected to reach a value of US$ 1.93 billion by 2028, at a CAGR of 7.2% over the forecast period (2022-2028).
The report titled Global Feed Probiotics Market prepared by Dataintelo also points to a similar market size. According to the report; the global feed probiotics market size was valued at US$ 1.2 billion in 2021 and is projected to reach US$ 2.3 billion by 2030, growing at a CAGR of 7.5% during the forecast period.
Business Research Company’s report titled Probiotics in Animal Feed Global Market refers to a much higher size. According to the report; the market is expected to grow from US$ 3.8 billion in 2021 to US$ 4.2 billion in 2022 at a CAGR of 9.6%. And the market is expected to reach US$ 5.6 billion in 2026 at a CAGR of 7.5%.
Another report that supports this size is Animal Feed Probiotics Market by Future Market Insights. According to the report; the animal feed probiotics market value is expected to total US$ 3.1 billion in 2021. The overall animal feed probiotics market value is expected to reach US$ 6.9 billion by 2031, growing at a CAGR of 8.4%.
There are also reports that refer to higher figures on market size. One of them was prepared by Reserved Meticulous Market Research. According to the company’s report titled Animal Feed Probiotics Market; the probiotics in animal feed market (the market size of around US$ 4.2 billion in 2021) is expected to reach US$ 6.07 billion by 2029, at a CAGR of 7.1% during the forecast period 2022 to 2029.
A similar market size is indicated in the report titled Global Probiotics in Animal Feed Market prepared by Verified Market Research. According to the report; probiotics in animal feed market size was valued at US$ 4.9 billion in 2021 and is projected to reach US$ 7.7 billion by 2030, growing at a CAGR of 7.1% from 2022 to 2030.
Based on the data in all these reports, average market size for 2021 is estimated about US$ 2.7 billion. Considering that the average growth prospects are at the level of 7.5% CAGR, it can be estimated that the market will reach a size of about US$ 5.2 billion by 2030.
MARKET DRIVERS & RESTRAINTS
Factors such as animal performance, gut health, and restriction of antibiotic use are key factors in the increase in the use of feed probiotics. According to the SkyQuest’s report, an increase in cattle and pet owners’ knowledge of the positive effects of probiotics on livestock’s overall performance is the main driver driving the global feed probiotics market. Probiotics have taken center stage in the animal feed industry as a result of the strict regulatory approach taken against synthetic feed additives, which are known to have negative health effects on both humans and animals. This has accelerated feed probiotics market growth.
According to the report, cattle owners and producers are now more likely to choose natural options that increase the productivity of their animals as a result of the strong growth in the consumption of animal-derived products and its optimistic future growth trajectory. Such advancements are in line with the probiotics market’s sustainable rise in animal feed.
The production amount and prices of feed raw materials can have restrictive effects for the probiotic market, according to SkyQuest’s report. This restriction is explained in the report as follows: The global rise in raw material prices and the stricter government requirements in industrialized nations have a significant impact on the expansion of the compound feed business. The kind and quantity of feed raw materials used in feed probiotics are heavily influenced by their cost and nutritional value. The production, nutrient content, and price of plant-based raw materials like corn, soybeans, and others are significantly impacted by changes in the weather. With every change in the production and consumption of animals and their products, respectively, the cost of meals made from animal by-products also varies.
In the Reserved Meticulous Market Research’s report, the growth of animal feed probiotics market is attributed to the growing demand for animal protein, the increasing use of probiotics as an alternative to antibiotics, the rising incidence of intestinal disorders in livestock, and the increasing production of compound feed. Furthermore, the shift toward natural growth promoters is expected to create lucrative opportunities for players operating in this market. However, the complex regulations regarding the use of probiotics in animal feed products are expected to hinder the growth of this market to a notable extent.
MARKET STATUS BASED BY TYPE
The global feed probiotics market is segmented by type into Lactobacillus, Bifidobacterium, Saccharomyces, Streptococcus, Enterococcus, Escherichia, and Bacillus.
According to the SkyQuest’s report, the bulk of probiotics in animal feed sold worldwide use the bacterial genera Lactobacillus and Bifidobacterium. The use of bacterial strains as growth promoters has shown to be a feasible and sustainable alternative to antibiotics. However, the use of yeast and other fungi has gained popularity; Saccharomyces cerevisiae, for example, helps animals manufacture enough protein and has shown immunostimulatory activity in addition to enhancing digestive physiology. Through the forecast period (2022-2028), it is anticipated that the growing use of yeast and fungus in probiotics for animal feed would have a beneficial effect on market share. One of the most popular uses of yeast-based probiotics is in ruminant feed.
Based on source, the probiotics in animal feed market is segmented into bacteria and yeast. According to Reserved Meticulous Market Research’s report; the yeast segment is expected to grow at a higher CAGR during the forecast period of 2022-2029. The growth of this segment is attributed to the stringent regulations on the use of antibiotics in animal feed in several European and North American countries. Furthermore, the use of yeast strain probiotics in animal feed improves fiber digestibility and animal performance, which increases milk and egg production.
MARKET STATUS BASED BY LIVESTOCK TYPE
Based on animal type, the probiotics in animal feed market is segmented into poultry, ruminants, swine, aquaculture, pets, and other animals. The poultry segment is projected to hold the most substantial share in the market. According to the SkyQuest’s report, due to favorable demand dynamics and equally solid production conditions, the poultry industry continues to be one of the most attractive application areas for probiotics in the animal feed business. However, due to poor hygiene and sanitation management, poultry flock are frequently exposed to infections such Salmonella enterica, Escherichia coli, and Campylobacter jejuni. The development of natural alternatives has been encouraged by the rising worries about antibiotic resistance.
Lactic acid bacteria (LAB), one of the most common strains in poultry feed, has an impact on the market for probiotics in animal feed. The use of probiotics in animal feed includes strains of Bifidobacterium, Enterococcus, Lactobacillus, Bacillus, Pediococcus, and Streptococcus has expanded in the swine and ruminant sectors as well.
Business Research Company’s report also draws attention to the importance of the poultry segment in the market. According to the report, the growing demand for eggs and poultry meat contributes to the growth of probiotics in the animal feed market. The demand for eggs and poultry meat is increasing because of the rise in population, greater purchasing power, and urbanization. Moreover, increasing awareness about the nutrients and protein from eggs and meat is contributing towards their demand. Probiotics are used as an additive in the poultry feed, which keeps the poultry farm animals disease-free and boosts their immunity to produce more eggs and meat. For instance, in 2020, according to the Food and Agricultural Organization of the United Nations (FAO), the global production of poultry meat increased from 9 to 133 million tons, and egg production increased from 15 to 93 million tons between 1961 and 2020. Poultry meat accounted for 40% of the total meat produced worldwide in 2020. Egg production has increased by 150% in the last three decades. Thus, increased demand for eggs and poultry meat is expected to boost the demand for probiotics in animal feed during the forecast period (2022-2026).
FRAmelco (Adisseo NL)
Archer Daniels Midland (ADM)
Danisco Animal Nutrition (IFF)
DSM Animal Nutrition & Health
Phileo by Lesaffre
Mitsui & Co.
Provita Animal Health
H. Wilhelm Schaumann
UAS Laboratories (Chr. Hansen)
MARKET STATUS ON REGIONAL BASIS
Asia-Pacific is reported to be the largest market for feed probiotics in 2021. According to the SkyQuest’s report, the Asia Pacific is expected to remain the leading consumer of feed probiotics in the coming years. The heavy reliance on animal-based food products in dietary patterns in developing countries including the Asia Pacific, the Middle East, and Africa is a major driving force. Further two regions that are likely to dominate the probiotics market for animal feed are North America and Europe. These make up the lion’s share of the probiotics used in animal feed.
According to Reserved Meticulous Market Research’s report, Asia-Pacific’s large market share is attributed to factors such as increased consumer awareness about various diseases, the large production of poultry and cattle meat in countries such as China and India, and the rising number of innovations in probiotic formulations.
In addition, the growing demand for safe and nutritional animal feed and the stringent regulations on the use of antibiotics in feed supplements are expected to offer lucrative opportunities for key players operating in this market.
GLOBAL MAJOR PLAYERS
The prominent players operating in the feed probiotics market are constantly adopting various growth strategies in order to stay afloat in the market. Product launches, innovations, mergers, and acquisitions, collaborations and partnerships, and intensive R&D are some of the growth strategies that are adopted by these key players to thrive in the competitive market. The key market players are also constantly focused on R&D in order to supply industries with the most efficient and cost-effective solutions.
According to the SkyQuest’s report, with a strong presence of internationally renowned companies like Chr. Hansen, Danisco A/S, Koninklijke DSM N.V., Lallemand Inc., and Calpis Co. Ltd., the global market for probiotics in animal feed has a structure that is somewhat consolidated. By enhancing their R&D infrastructure, expanding into emerging regions, and innovating their product offerings, these players are projected to boost the probiotics in animal feed market revenue by 2026.
1. SkyQuest Technology Consulting Pvt. Ltd.; Global Feed Probiotics Market; Published Date: September, 2022; https://skyquestt.com/report/feed-probiotics-market
2. The Business Research Company; Probiotics In Animal Feed Global Market Report 2022 – By Form Type (Dry, Liquid), By Source Type (Bacteria, Yeast And Fungi), By Application Type (Cattle, Poultry, Swine, Aquaculture, Other Applications) – Market Size, Trends, And Global Forecast 2022-2026; Published : September 2022; https://www.thebusinessresearchcompany.com/report/probiotics-in-animal-feed-global-market-report
3. Reserved Meticulous Market Research Pvt. Ltd.; Animal Feed Probiotics Market by Source (Bacteria [Lactobacillus, Bifidobacterium, Streptococcus thermophilus, Bacillus]), Animal Type (Poultry, Ruminants, Swine, Aquaculture, Pets, Other Animals), Form (Liquid), and Geography – Global Forecast to 2029; Jun-2022; https://www.meticulousresearch.com/product/animal-feed-probiotics-market-5288
4. Dataintelo; Global Feed Probiotics Market by Type (Lactobacilli, Bifidobacteria, Other Types), By Application (Equines, Ruminants, Poultry, Swine, Aquatic Animals, Pets, Others) And By Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast From 2022 To 2030; https://dataintelo.com/report/feed-probiotics-market/
5. Verified Market Research; Global Probiotics In Animal Feed Market Size By Source (Bacteria, Yeast), By Application (Poultry, Cattle, Agriculture, Swine), By Geographic Scope And Forecast; Published Date: May 2022; https://www.verifiedmarketresearch.com/product/probiotics-in-animal-feed-market/
6. Future Market Insights; Animal Feed Probiotics Market; March 2022; https://www.futuremarketinsights.com/reports/animal-feed-probiotics-market