According to the Global Feed Processing Market report published by Verified Market Research; global feed processing market was valued at USD 21,34 billion in 2019 and is projected to reach USD 26,50 billion by 2027, growing at a CAGR of 3.92% from 2020 to 2027. According to the report; the surge in demand and consumption of livestock-based products such as meat, dairy & dairy-based products, and eggs are expected to drive the demand for feed among the farm animals. However, owing to the growing demand to feed, the adoption of automatic and semi-automatic feed processing equipment is estimated to increase in the coming years.
By Derya Yıldız
Feeds are important and the most deciding factor in animal production. Feed processing involves breaking down the physical nature of the feed commodities such that it results in optimum utilization by animals and in addition to improve the mixing and stability of their diet. The finely processed feed particles are better digested as compared to coarse or whole feed ingredients. This procedure helps to improve the digestibility and bioavailability of feed. Feed processing not only enhances the feed quality but also minimizes the loss during feeding. The common goals of feed processing include improved feed conversion or efficiency, increased feed intake, and faster average daily gain, improved carcass quality or yield grade, reduced feed waste, and many others. The feed preparatory methods that are used for swine and poultry are relatively simple and few as compared to the variety of methods available for ruminant feeds.
GLOBAL FEED PROCESSING MARKET OUTLOOK
According to the Global Feed Processing Market report published by Verified Market Research; global feed processing market was valued at USD 21,34 billion in 2019 and is projected to reach USD 26,50 billion by 2027, growing at a CAGR of 3.92% from 2020 to 2027.
The Feed Processing Market report prepared by Market Data Forecast also supports the growth expectation in question. According to the report; feed processing market was at USD 20.86 billion in 2021 and is anticipated to reach over USD 26.62 billion, rising at a CAGR of 4.4% throughout the foreseen period (2021-2026).
According to the report of Verified Market Research; the surge in demand and consumption of livestock-based products such as meat, dairy & dairy-based products, and eggs are expected to drive the demand for feed among the farm animals. According to the FAO data, global meat production is predicted to be 16% higher by 2025. Poultry meat is the primary factor for the growth of global meat production, due to its high demand, low production cost, and lower product prices, both in developing and developed countries. According to the FAO statistics, the production of swine meat recorded 118.7 million tons in 2017, poultry meat reached 120.5 million tons, whereas bovine meat recorded 70.8 million tons. Moreover, owing to the growing demand to feed, the adoption of automatic and semi-automatic feed processing equipment is expected to increase in the coming years. The fast feed processing is anticipated to propel the market growth in the coming years.
GLOBAL FEED PROCESSING MARKET BY FORM OF FEED
Based on form of feed, the market is divided into pellets, mash, and others. According to the report of Verified Market Research; pellets accounted for the largest market share in 2019. The demand for feed pelletizing is primarily fueled by the benefits of pelleted feed, such as better feed consumption and animal weight gain. Owing to the rising demand for nutritious feed, pellet production is growing substantially, which also boosts business investment in the animal feed pellet processing industry. Furthermore, reducing the wastage during the eating process, providing total mixed nutrients in every pellet, improving storage capacity, decreasing transportation cost, and improving feed handling are some of the benefits that have boosted the adoption of animal pellets. Moreover, increasing awareness about the efficiency of the product in developing regions has created an opportunity for the growth of the market.
GLOBAL FEED PROCESSING MARKET BY LIVESTOCK
On the basis of livestock, the global feed processing market has been segmented into poultry, swine, and others. According to the report of Verified Market Research; the poultry segment accounted for the largest market share in 2019. The poultry meat is one of the highest among others such as pork, beef, and fish meat. Hence, a major opportunity lies in the poultry feed segment. Manufacturers are making significant investments in developing innovative feed equipment technologies for the production of various forms of high-quality poultry feed. The process of poultry feed production is generally categorized into the steps such as feed raw materials receiving and cleaning, raw materials crushing, batching, mixing, pelleting, and packaging of finished feed products.
GLOBAL FEED PROCESSING MARKET BY MODE OF OPERATION
On the basis of mode of operation, the global feed processing market has been segmented into manual, semi-automatic, and automatic. According to the Global Feed Processing Market report published by Verified Market Research; manual accounted for the largest market share in 2019. The manually operated feed pelleting machines are designed and fabricated using locally available materials and this makes the pelleting machine to be quite affordable. The manual mode of operation does not require any highly technical expertise. The main features of the machine include hopper, extrusion barrel, screw auger, bearing housing, crank arm, compression plate, flat die, pulley, sprout (gravity chute) knife cutter, and the supporting frame. The performance of the manually operated machine is determined from the parameters such as pelleting efficiency, percentage of mechanical damage, percentage of feed loss, throughput capacity.
GLOBAL FEED PROCESSING MARKET BY TYPE
On the basis of type, feed processing market has been segmented into conditioning & expanding, cleaning & sorting, grinding, mixing, and others. The report of Verified Market Research explains that the conditioning & expanding accounted for the largest market share in 2019. According to the report; many animal species have a poor capacity to digest starch, but they can digest ripe starch to a great degree. Under the operation of hydrothermal via conditioner, the level of gelatinization of starch increases dramatically. At the same time, it facilitates the thermal denaturation of protein in the product. Conditioning foodstuffs at a certain temperature level can kill bacteria such as Salmonella and ensures feed hygiene quality. Low cost, pollution-free, no drug residue, and side effects compared with drug-disease prevention are some of the benefits that have boosted the adoption of conditioning & expanding machinery.
PLAYERS ON THE MARKET
The report titled Global Feed Processing Machinery Market published by Modor Intelligence explains that feed processing machinery market is highly consolidated, with major players accounting for 59.8% of the market share. Most of the major companies in the market are concentrating on developing single screw extruders, which are mostly used in aquatic feed. Major players in the market are focusing on partnerships and mergers, to achieve a competitive edge over other market players.
Some key technology suppliers:
• Amandus Kahl GmbH (Germany)
• Anderson International Corp (US)
• Andritz AG (Austria)
• Avantron Micro & Idah Co., Ltd. (Taiwan)
• B.K. Allied Industries (India)
• Bratney Companies (US)
• Bühler Holding AG (Switzerland)
• Clextral S.A.S (France)
• CPM (US)
• Dinnissen BV (Netherlands)
• Famsun (China)
• GEA Group AG (Germany)
• Henan Longchang Machinery (China)
• Henan Richi Machinery Co, Ltd. (China)
• HET Feed Machinery (China)
• Jiangsu Muyang Group Co., Ltd. (China)
• La Meccanica Srl (Italy)
• Skiold Group (Denmark)
• Triott Group (The Netherlands)
• Van Aarsen (The Netherlands)
• Wenger Manufacturing (US)
• Yemmak Feed Mill Machines (Turkey)
• Yemsa Machine (Turkey)
• Yemtar Feed Mill Machines (Turkey)
GLOBAL FEED PROCESSING MARKET BY GEOGRAPHY
On the basis of regional analysis, the global feed processing market is classified into North America, Europe, Asia Pacific and Rest of the World (RoW) in the market reports. According to these reports; Asia Pacific is expected to hold the largest market share of the feed processing market over the forecast period (2020-2027) followed by Europe. The Asia-Pacific region is home to several of the top-10 feed-producing countries, including China, India, and Japan. China maintains its hold as the global leader in feed production, with a lead of about 10 million metric tons over the United States.
Owing to the feed production leading countries and a large number of feed manufacturers in the region, Asia Pacific maintained a leading position in the global feed processing machinery market. China remains the top feed producer and user of feed processing machinery due to an increase in economic growth and rapid development. The major driver for the market is growing the attention of domestic feed processing machinery companies, technological advancements, and government subsidies for mechanization as a result of the growing population. North America comprises of three countries – the USA, Mexico, and Canada. The prosperity of this region is an outcome of its tightly integrated markets. The market shows a sturdy growth in terms of its revenue. Due to its highly diversified industrial market, the United States is dominating the North American region’s economy.
FEED PROCESSING MARKET DRIVERS AND RESTRAINTS
According to the report titled Feed Processing Market prepared by Market Data Forecast; boom in aquaculture has attracted a lot of attention among aquaculture feed manufacturers around the world. For the aquaculture sector to maintain its current growth rate, the supply of nutrients and food inputs may need to grow at a similar rate, while the production of aquatic ingredients remains static and other sectors are downsizing and competing for them food resources. However, the constant growth of aquaculture and the demand for more feed, especially for tilapia and catfish, has sparked the interest of most smallholders in processing their own feed, rather than buying complete fish feed. This, in turn, encourages small farmers to install feed processing machines.
Rising compound feed costs and growing awareness among farmers of the benefits associated with feed processing equipment is driving demand for feed processing machinery in the world. The global demand for feed processing is increasing dramatically due to the growing awareness of food nutrition and health, technological advancements in the equipment industry, personalized services and the increasing demand for food in the world. The poor infrastructure of the crushing and granulating equipment is hampering the growth of the global feed processing market. The other important restraining factor for the growth of the feed processing market is the consolidation of the market.
Similarly, Persistence Market Research’s report titled Feed Processing Market draws attention to the fact that the higher consumption of the feed in livestock industry has increased the demand for feed processing in the global market. According to the report; growth in the animal husbandry industry and the higher consumption of feed additives have increased the demand for feed processing in the global market. Higher consumption of meat, advancement in technology and increase in the demand for feed in worldwide are the factors that drive the growth of feed processing in the global market. The higher consumption of livestock products as people have more concern of nutritional wellbeing of animals is also the one of the factors that drives the growth of feed processing market. However, higher maintenance cost of equipment is one of the major restraints of the market. Pellet feed is more consumed in comparison to any other feed due to its high protein content, easy to digest, and degraded the higher protein in smaller amounts. Pellet is sub segmented in crumbles, flour, mills, and others. The key producers invest in their technology to develop the new device which increases the production and develop new various types of feed in the global market. In the livestock industry, aquaculture has a higher demand for feed in the global market.
Resources:
1. Verified Market Research, Global Feed Processing Market Report, Published Date: Jun 2021, Base Year for Estimate: 2019, https://www.verifiedmarketresearch.com/product/feed-processing-market/
2. Modor Intelligence, Global Feed Processing Machinery Market, Base Year: 2020, https://www.mordorintelligence.com/industry-reports/feed-processing-machinery-market
3. Persistence Market Research, Feed Processing Market, https://www.persistencemarketresearch.com/market-research/feed-processing-market.asp
4. Market Data Forecast, Feed Processing Market, Pulished: February, 2021, https://www.marketdataforecast.com/market-reports/feed-processing-market
