PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1054267
PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1054267
The Asia-Pacific Compound Feed Market is estimated to register a CAGR of 4.2% during the forecast period. China and India are the leading markets in this region contributing a major part to the growing demand. China is one of the largest compound feed manufacturers in the world accounting for half of the production in this region. The market for compound feed is growing due to increasing demand for dairy products, growing inclination towards animal-based food, and increase in feed demand around the globe. Compound feed maintains the health of animals and thus helps to increase the quality of end products such as eggs, milk, meat and fish.
Animal farming is becoming very popular as the demand is rising to full fill the dietary requirements of the growing population. Animal farming includes cattle, swine, poultry, birds, etc for milk, meat and eggs. The rise in the number of animals stimulates the demand for compound feed positively. The number of cattle in Asia in 2018 is 454 million, which is 6 million more than the previous year. Such a drastic increase in farm animals which requires huge amounts of compound feed for their growth rises the demand for compound feed.
China is one of the largest producer of compound feed in the world, with the production at around 168 million metric tons in 2019, of which poultry is the largest sector accounting for nearly 90.5 million metric tons, followed by swine at 51.7 million metric tons, ruminants at 20.1 million metric tons and aquaculture at 16.5 million metric tons. Demand for meet from the increasing population is the key market driver in China. The lingering effects of US-China trade war could possibly offset the plummeting trend of commercial feed prices in the country, particularly owing to the shortage in the supply of feed raw material.
Asia Pacific Compound Feed Market is fragmented with major companies holding a small part of market share. Major companies concentrated on acquisitions of small feed mills and increasing the production capacity. Some companies increased their geographic presence by expanding their sales to other regions. These companies are also working on research to launch new products into the market. Cargill Inc., Charoen Pokphand Foods, Archer Daniels Midland Company, Nutreco and Alltech Inc., are some of the major players in this region.