Global Feed Pelletizing Agents Market Overview
Feed Pelletizing Agents Market Size was estimated at 1.47 (USD Billion) in 2022. The Feed Pelletizing Agents Market Industry is expected to grow from 1.53(USD Billion) in 2023 to 2.2 (USD Billion) by 2032. The Feed Pelletizing Agents Market CAGR (growth rate) is expected to be around 4.13% during the forecast period (2024 - 2032).
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Key Feed Pelletizing Agents Market Trends Highlighted
The Feed Pelletizing Agents Market is witnessing a significant growth driven by rising demand for pelleted feed, particularly in the aquaculture and poultry industries. Pelleting agents minimize feed loss during processing and enhance feed utilization, leading to increased productivity and profitability for livestock and poultry producers. The growing awareness of animal health and welfare is also driving the demand for high-quality feed pelletizing agents. Key market drivers include the expansion of the livestock industry, the shift towards intensive animal production systems, and the increasing use of pelleted feed. Opportunities exist in the development of innovative and sustainable feed pelletizing agents that meet the evolving needs of the industry. Recent trends include the growing demand for organic and natural pelletizing agents, as well as the adoption of advanced technologies for feed production. The market is also witnessing increasing competition and consolidation among key players.
Feed Pelletizing Agents Market Drivers
Rising Demand for Efficient Feed Production
The rising population has led to greater food demand, including that of animal-based products. As such, the animal husbandry industry has been obligated to produce more meat, milk, and eggs. However, some ruminants and other animals are harder to feed at such a pace. This is where feed pelletizing agents have become important. These agents enhance the quality of the feed produced and the nutritional content in the feed. Pelleted feed makes it easier to digest animals, minimizes feed wastage, and improves animal growth.As such, the demand for feed pelletizing agents has and will continue to rise owing to the higher demand for animal-based products. The Feed Pelletizing Agents Market Industry is poised to expand over the forecast period with the high demand for pelleted feed in the animal husbandry sector. Pelleted feed has been known to improve feed efficiency, reduce feed wastage, and enhance animal productivity. Moreover, the increasing knowledge of these feeds will increase the demand for the agents.The improvement in the consumption of meat and dairy in the human population and the need to feed livestock will have a positive impact on the Feed Pelletizing Agents Market Industry. As such, the demand for feed pelletizing agents will grow as they are important to animal feed production. In addition, the demand in the industry will also grow owing to the increased awareness of animal welfare and good health. Agents aid in the digestibility of the produced feed and thus improve animal health.In addition, pelleted feed is not easily contaminated and is very important in the prevention of diseases. Over the forecast period, the Feed Pelletizing Agents Market Industry will undergo high growth.
Technological Advancements in Feed Production
The Feed Pelletizing Agents Market Industry is also being driven by technological advancements in feed production. The development of new and innovative feed pelletizing technologies is making it possible to produce higher-quality feed pellets more efficiently. This is leading to increased demand for feed pelletizing agents as they are essential for the production of high-quality feed pellets. In addition, the increasing adoption of automation and robotics in the feed production process is also expected to contribute to the growth of the Feed Pelletizing Agents Market Industry.Automation and robotics can help to improve the efficiency and accuracy of the feed production process, which can lead to reduced costs and improved profitability for feed producers. This is expected to make pelleted feed more affordable and accessible to livestock farmers, which could further drive the demand for feed pelletizing agents.
Government Regulations and Incentives
Government regulations and incentives also play a role in the growth of the industry. In many countries, there are regulations that require livestock feed to meet certain quality standards. These regulations often require the use of feed pelletizing agents to ensure that the feed meets the required standards. In addition, some governments provide incentives to livestock farmers who use pelleted feed. These incentives can include tax breaks, subsidies, and technical assistance.These incentives are designed to encourage farmers to use pelleted feed and to reduce the cost of feed production for livestock farmers. Overall, these are some of the main factors that will help to drive the growth of the industry over the next few years.
Feed Pelletizing Agents Market Segment Insights
Feed Pelletizing Agents Market Feed Form Insights
The Feed Form segment in the Feed Pelletizing Agents Market is divided into Pellets, Crumbles, and Mash. Pellets occupy a major portion of over 65% of the revenue in 2023. Pellets can be defined as feed formed into small, compact cylinders. This type of feed is widely used by livestock farmers, as it is convenient to store, handle, and transport. Their small size and compact shape also enable less feed wastage and more efficient feeding. The increasing demand for feed pelletized in the poultry and swine industry due to the advantages of reduced feed costs and improved feed conversion ratio would continue to drive the Feed Pelletizing Agents market over the forecast period in the Pellets segment.Crumbles are the smaller particles of feed that are softer than pellets, occupying a significant share of the Feed Form market. This feed is commonly used to feed young animals, including chicks and piglets. The growing adoption of intensive animal farming and the increasing focus on animal health conditions would drive the growth of this segment over the forecast period. Mash, the other form of feed, is a powder-type feed, occupying a small share of the Feed Form market. Cattle and sheep are mainly fed with Mash. This segment is expected to face moderate growth over the forecast period, largely due to the demand from small livestock farmers in developing regions.The Feed Form segment is expected to register significant growth due to rising demand for pelleted and crumbled feed in the poultry and swine industries. The increasing focus on feed efficiency and animal welfare would result in animal farming practices aided by intensive feeding practices.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Feed Pelletizing Agents Market Livestock Type Insights
The Feed Pelletizing Agents Market is segmented by livestock type into poultry, cattle, swine, and aquaculture. Poultry accounted for the largest share of the market in 2023, with a revenue of 635 million USD. The poultry segment is expected to continue to grow at a CAGR of 4.5% during the forecast period, reaching a value of 845 million USD by 2032. This growth is attributed to the increasing demand for poultry products due to the rising population and changing dietary preferences. Cattle and swine segments are also expected to witness steady growth during the forecast period, with a CAGR of 4.2% and 4.1%, respectively.Aquaculture, the smallest segment in terms of revenue, is estimated to grow at a CAGR of 3.9% during the forecast period. This growth is primarily driven by the increasing demand for seafood and the expansion of aquaculture practices globally.
Feed Pelletizing Agents Market Raw Material Insights
The raw material segment of the Feed Pelletizing Agents Market is expected to witness significant growth in the coming years. The segment includes lignocellulosic biomass, starch, animal proteins, and synthetic polymers, each with its unique characteristics and applications. Lignocellulosic biomass, a major component of plant cell walls, offers high fiber content and is commonly used as a binding agent in feed pellets. Starch, derived from corn, wheat, or potatoes, provides energy and aids in pellet formation. Animal proteins, such as meat meal and blood meal, contribute essential amino acids to the pellets.Synthetic polymers, such as polyvinyl acetate and polyethylene, act as binders and improve pellet durability. The demand for lignocellulosic biomass in the feed pelletizing agents market is driven by its cost-effectiveness and availability. Starch is also widely used due to its energy-providing properties. The increasing use of animal proteins in pet food applications is expected to drive the demand for this segment. Synthetic polymers find application in specialized feed pellets, offering enhanced pellet quality and moisture resistance. In 2024, the feed pelletizing agents market revenue is projected to reach approximately USD 1.6 billion, with a significant contribution from the raw material segment.The market is expected to grow at a steady pace, driven by the rising demand for processed feed and the need for efficient and cost-effective pelletizing solutions.
Feed Pelletizing Agents Market Binder Type Insights
The Feed Pelletizing Agents Market is segmented by binder type into organic binders, inorganic binders, and synthetic binders. Organic binders, such as molasses and starch, are derived from natural sources and are widely used in feed pelleting due to their cost-effectiveness and nutritional value. Inorganic binders, such as bentonite and lignosulfonates, are minerals that are added to feed to improve pellet quality and durability. Synthetic binders, such as polyethylene glycol and polyvinyl alcohol, are man-made chemicals that are used to enhance pellet binding properties.In 2023, the organic binders segment accounted for the largest share of the Feed Pelletizing Agents Market revenue, owing to their widespread availability and low cost. The inorganic binders segment is projected to grow at a significant rate during the forecast period, driven by increasing demand for high-quality feed pellets. The synthetic binders segment is expected to witness moderate growth, as it offers advantages such as improved pellet durability and water resistance.
Feed Pelletizing Agents Market Regional Insights
The regional segmentation of the Feed Pelletizing Agents Market offers crucial insights into the market's geographical distribution and growth dynamics. North America, Europe, APAC, South America, and MEA are the key regions analyzed in this segmentation. North America holds a significant share of the market, driven by the presence of large-scale livestock production and the adoption of advanced feed manufacturing technologies. Europe follows closely, with a well-established feed industry and strict regulations promoting animal welfare. APAC is expected to witness robust growth in the coming years, owing to the increasing demand for animal protein and the expansion of the livestock sector in countries like China and India.South America also presents growth opportunities, with expanding livestock production and increasing awareness of feed quality. MEA, while having a smaller market share, is projected to grow steadily, fueled by government initiatives to enhance livestock productivity. In 2023, the Feed Pelletizing Agents Market revenue is estimated to be around USD 1.53 billion. These regional insights are crucial for market players to identify growth opportunities and tailor their strategies accordingly.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Feed Pelletizing Agents Market Key Players and Competitive Insights
Major players in the Feed Pelletizing Agents Market are focused on expanding their presence and product portfolio. They are also investing in research and development to develop new and innovative products. The industry is characterized by intense competition due to the presence of numerous domestic and international players. Leading Feed Pelletizing Agents Market players are adopting various strategies to gain a competitive advantage, such as mergers and acquisitions, partnerships, and new product launches. The Feed Pelletizing Agents Market development is driven by the increasing demand for high-quality feed pellets for livestock and poultry. The Feed Pelletizing Agents Market Competitive Landscape is expected to remain highly competitive in the coming years.Cargill, a leading company in the Feed Pelletizing Agents Market, is committed to providing high-quality feed solutions to its customers. The company has a wide range of feed pelletizing agents that are designed to meet the specific needs of different livestock and poultry operations. Cargill also provides technical support and consulting services to help customers optimize their feed pellet production processes. The company has a strong presence and a well-established distribution network. Cargill is continuously investing in research and development to develop new and innovative feed pelletizing agents.Wenger Manufacturing, a competitor company in the Feed Pelletizing Agents Market, is a leading manufacturer of feed processing equipment. The company's feed pelletizing agents are known for their high quality and reliability. Wenger Manufacturing has a presence and a strong customer base. The company is focused on providing innovative feed-processing solutions to its customers. Wenger Manufacturing is continuously investing in research and development to develop new and improved feed pelletizing agents. The company also provides technical support and consulting services to help customers optimize their feed production processes.
Key Companies in the Feed Pelletizing Agents Market Include
- Viterra
- Wilmar International
- JBS S.A.
- Smithfield Foods
- Archer Daniels Midland Company
- Bunge Limited
- Louis Dreyfus Company
- CHS Inc.
- ADM
- Marubeni Corporation
- Cargill
- Tyson Foods
- Cofco Corporation
- Cargill, Incorporated.
- Olam International
Feed Pelletizing Agents Market Industry Developments
The Feed Pelletizing Agents Market is projected to reach a valuation of USD 2.2 billion by 2032, exhibiting a CAGR of 4.13% during the forecast period of 2024-2032. Recent advancements in the market include the development of eco-friendly and cost-effective pelletizing agents driven by the rising demand for sustainable solutions in the animal feed industry. Moreover, strategic partnerships and acquisitions among key players are shaping the market landscape, with companies focusing on expanding their product portfolios and geographical reach.
Feed Pelletizing Agents Market Segmentation Insights
Feed Pelletizing Agents Market Feed Form Outlook
Feed Pelletizing Agents Market Livestock Type Outlook
- Poultry
- Cattle
- Swine
- Aquaculture
Feed Pelletizing Agents Market Raw Material Outlook
- Lignocellulosic Biomass
- Starch
- Animal Proteins
- Synthetic Polymers
Feed Pelletizing Agents Market Binder Type Outlook
- Organic Binders (e.g., Molasses, Starch)
- Inorganic Binders (e.g., Bentonite, Lignosulfonates)
- Synthetic Binders (e.g., Polyethylene Glycol, Polyvinyl Alcohol)
Feed Pelletizing Agents Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
1.47(USD Billion) |
| Market Size 2023 |
1.53(USD Billion) |
| Market Size 2032 |
2.2(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
4.13% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Viterra, Wilmar International, JBS S.A., Smithfield Foods, Archer Daniels Midland Company, Bunge Limited, Louis Dreyfus Company, CHS Inc., ADM, Marubeni Corporation, Cargill, Tyson Foods, Cofco Corporation, Cargill, Incorporated., Olam International |
| Segments Covered |
Feed Form, Livestock Type, Raw Material, Binder Type, Regional |
| Key Market Opportunities |
Rising demand for pelletized feed Growing livestock population Increasing awareness of feed quality Development of novel feed pelleting agents Technological advancements in pelletizing processes |
| Key Market Dynamics |
Rising demand for pelletized feed Increasing awareness of animal nutrition Technological advancements in feed pelleting Fluctuating raw material prices Growing adoption of sustainable practices |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Feed Pelletizing Agents Market size was valued at USD 1.53 billion in 2023 and is projected to reach USD 2.2 billion by 2032, exhibiting a CAGR of 4.13% during the forecast period.
North America region is expected to dominate the feed pelletizing agents market throughout the forecast period. The growth of the market in this region can be attributed to the increasing demand for animal protein, particularly in countries such as China, India, and Southeast Asian countries.
Major factors driving the growth of the feed pelletizing agents market include:- Rising demand for pelleted feed in the livestock industry- Growing awareness of the benefits of feed pelletizing- Increasing focus on animal health and welfare- Government regulations promoting the use of pelleted feed.
Feed pelletizing agents are primarily used in the production of pelleted feed for various livestock animals, including:- Poultry- Swine- Cattle- Aquaculture.
Key players in the feed pelletizing agents market include:- Cargill- Archer Daniels Midland Company- Evonik Industries- BASF SE- DowDuPont.
The feed pelletizing agents market faces certain challenges, such as fluctuations in raw material prices, stringent regulations on the use of certain feed additives, and competition from alternative feed binders.
Emerging trends in the feed pelletizing agents market include the development of eco-friendly and sustainable feed binders, the growing demand for organic and natural feed additives, and the increasing adoption of precision feeding technologies.
The COVID-19 pandemic had a moderate impact on the feed pelletizing agents market. Disruptions in supply chains and production facilities led to temporary shortages and price fluctuations. However, the market is expected to recover as the economy stabilizes.
The future outlook for the feed pelletizing agents market is positive. The increasing demand for pelleted feed, coupled with the growing awareness of the benefits of feed pelletizing, is expected to drive market growth. Furthermore, advancements in feed technology and the development of innovative feed binders are expected to create new opportunities in the market.
Key strategies adopted by players in the feed pelletizing agents market include product innovation and development, capacity expansion, strategic partnerships and acquisitions, and geographic expansion.
