PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1489433
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1489433
According to Stratistics MRC, the Global Feed Flavors and Sweeteners Market is accounted for $1.28 billion in 2023 and is expected to reach $2.09 billion by 2030 growing at a CAGR of 7.2% during the forecast period. Enhancing the palatability and uptake of animal feed is largely dependent on feed flavors and sweeteners. These additives are meant to cover up any bad flavors or smells found in feed components, which will make animals more likely to eat their food. Furthermore, the flavors of the feed can increase an animal's appetite, which will improve intake and nutrition in general. Conversely, sweeteners contribute to increased consumption by offering a pleasant taste experience and acting as an energy source. These additives help to improve feed efficiency and, in turn, support the productivity and health of livestock and companion animals by enhancing the flavor and aroma of animal feed.
According to the American Veterinary Medical Association (AVMA), Regular veterinary care is essential for the health and well-being of all animals.
Increasing production of livestock
The global increase in livestock production is primarily due to the growing demand for meat, dairy, and poultry products, which is being driven by urbanization and population growth. Growing numbers of middle-class consumers with more disposable income are entering emerging markets, especially in Asia and Africa, which calls for increased livestock production. Modern farming techniques, such as intensive farming and confined animal feeding operations (CAFOs), are used to meet this demand. Moreover, these techniques emphasize the need for effective feed utilization, and as a result, feed flavors and sweeteners are used to maximize productivity and consumption.
Hazards to health and safety
When used in moderation, feed flavors and sweeteners are generally regarded as safe for animal consumption; however, their long-term health effects may raise questions. Certain artificial additives may have unanticipated or poorly understood health effects on animals, which could result in negative reactions or unexpected outcomes. Additionally, during production, storage, or transportation, feed additives run the risk of becoming contaminated or adulterated, endangering animal health and possibly jeopardizing the safety of food that humans consume that comes from animal sources.
Growing consumer interest in natural and organic products
The market for feed flavors and sweeteners has a lot of potential due to consumers growing preference for natural and organic goods. By creating and promoting natural and organic feed additives made from plant extracts, essential oils, and other sustainable sources, manufacturers can profit from this trend. Moreover, businesses can take advantage of a growing market niche and set themselves apart from rivals by providing products that are in line with the values and preferences of their customers.
Rivalry from substitute remedies
The market for feed flavors and sweeteners is being challenged by substitute products that are meant to enhance animal performance and feed palatability. Alternatives that don't include flavors or sweeteners, like probiotics, enzyme supplements, and feed additives, might have comparable advantages or meet particular dietary requirements. Additionally, alternatives to conventional feed additives are offered by developments in feed formulation technology, such as the creation of coated pellets or extruded feeds. The availability of these substitutes could threaten feed flavor and sweetener market share, especially if producers looking for low-cost or multipurpose solutions start using them.
The market for feed flavors and sweeteners has seen a variety of effects from the COVID-19 pandemic. Supply chain disruptions, labor scarcities, and logistical difficulties first made it difficult to produce and distribute feed additives, which resulted in a shortage of the product and unstable prices. Furthermore, livestock production activities were hindered by lockdown measures and restrictions on movement and trade, which decreased the demand for feed additives. But as the pandemic spread, consumer behaviour changed to include more home cooking and more pet ownership, which raised the demand for animal products and prompted the need for improved feed formulations to support the health of livestock and companion animals.
The Natural Feed Flavors and Sweeteners segment is expected to be the largest during the forecast period
The market for feed flavors and sweeteners is expected to be dominated by the Natural Feed Flavors and Sweeteners segment. In order to meet the increasing demand from consumers for clean-label and sustainable products in animal nutrition, natural feed flavors and sweeteners are made from plant extracts, essential oils, and other naturally occurring substances. Enhanced feed intake, better palatability, and support for the general health and wellbeing of animals are just a few advantages that these additives provide. Moreover, this market is growing because consumers are becoming more concerned about artificial additives and chemical residues in animal feed, which is fueling the need for natural alternatives.
The Almond Kernels segment is expected to have the highest CAGR during the forecast period
In the feed flavors and sweeteners market, the almond kernel segment is projected to have the highest CAGR. Because almond kernels are high in protein, good fats, vitamins, and minerals, they are frequently used in animal feed formulations. By enhancing the nutritional profile and palatability of animal feed, these kernels help to improve feed intake and the general health of the animals. Additionally, the market for almond kernels is expanding significantly due to the rising demand for premium and functional feed ingredients, which is being driven by consumer preferences for animal products of the highest caliber and sustainable sourcing.
North America holds the largest market share for feed flavors and sweeteners. Because of the thriving livestock industries in North America-which include the swine, poultry, cattle, and aquaculture sectors-there is a high demand for feed additives that improve nutritional value and palatability. Furthermore, the region's strict laws governing animal nutrition and welfare place a strong emphasis on the necessity of feed formulation optimization for optimum animal health and performance. The sophisticated farming infrastructure in North America, along with the high level of consumer awareness regarding food safety and quality, encourages the use of novel feed additives, such as flavors and sweeteners, to satisfy changing market needs.
The Asia-Pacific region usually holds the highest CAGR in the feed flavors and sweeteners market. There is a growing demand for animal protein products in the Asia-Pacific region due to rapid urbanization, population growth, and rising disposable incomes. To satisfy the rising demand for premium meat, dairy, and poultry products, there is a growing focus on improving animal nutrition and feed efficiency. Moreover, the demand for feed flavors and sweeteners to improve feed palatability and animal performance is also being driven by the growth of the livestock industry in nations like China, India, and Southeast Asia.
Key players in the market
Some of the key players in Feed Flavors and Sweeteners market include Cargill, Norel S.A, Pancosma SA, DuPont, Solvay SA, Biomin Holding GmbH, Prinova Group LLC, Alltech Inc., Koninklijke DSM N.V., CBS Bio Platforms Inc, Kemin Industries, Inc., Archer Daniels Midland Company, Kerry Group and Ingredion Incorporated.
In April 2024, Archer Daniels Midland and Vikram Luthar entered into a Transition Agreement under which Mr. Luthar will resign effective September 30, 2024 (unless an earlier date is mutually agreed between Mr. Luthar and the Company). Until such resignation date, Mr. Luthar will be available to assist the Company and provide transitional support as needed, as a non-executive employee.
In August 2023, DuPont announced a definitive agreement to sell an 80.1% ownership interest in the Delrin(R) acetal homopolymer (H-POM) business1 to TJC LP (TJC) in a transaction valuing the business at $1.8 billion.TJC has received fully committed financing in connection with the transaction, which is expected to close around year-end 2023, subject to customary closing conditions and regulatory approval.
In June 2023, Singapore-based Cargill Metals has entered into a multiyear agreement with Sweden-based industrial startup H2 Green Steel for the supply of green steel. The companies say the agreement aims to accelerate global ferrous supply chain decarbonization. According to Cargill, the agreement marks another major step for the company toward its vision to shape a responsible and sustainable ferrous supply chain that helps the world thrive.
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.