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    US Distillers Dried Grains Solubles Market

    ID: MRFR/AGR/16633-HCR
    128 Pages
    Garvit Vyas
    September 2025

    US Distillers Grains Market Research Report: By Type (Wet Distillers' Grains, Dried Distillers' Grains with Solubles, Dried Distillers' Grains), By Source (Wheat, Corn) and By Application (Animal Feed, Others) - Forecast to 2035.

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    US Distillers Dried Grains Solubles Market Research Report - Forecast Till 2035 Infographic
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    US Distillers Dried Grains Solubles Market Summary

    The United States distillers grains market is projected to grow from 2.03 USD billion in 2024 to 3.38 USD billion by 2035.

    Key Market Trends & Highlights

    US Distillers Grains Key Trends and Highlights

    • The market is expected to experience a compound annual growth rate of 4.74 percent from 2025 to 2035.
    • By 2035, the market valuation is anticipated to reach 3.38 USD billion, reflecting robust growth in demand.
    • In 2024, the market is valued at 2.03 USD billion, indicating a strong foundation for future expansion.
    • Growing adoption of sustainable agricultural practices due to increasing environmental concerns is a major market driver.

    Market Size & Forecast

    2024 Market Size 2.03 (USD Billion)
    2035 Market Size 3.38 (USD Billion)
    CAGR (2025-2035) 4.74%

    Major Players

    Pacific Ethanol, CHS Inc., United Grain Corporation, Louis Dreyfus Company, Flint Hills Resources, Valero Energy, Bunge North America, The Andersons, Gavilon Agriculture, Green Plains, Cargill, POET, Nutrien, Archer Daniels Midland, Quad County Corn Processors

    US Distillers Dried Grains Solubles Market Trends

    In the US Distillers Grains Market, the demand for high-protein animal feed continues to drive significant growth. Distillers grains, a byproduct of ethanol production, are increasingly recognized for their nutritional value in livestock diets, particularly for cattle and poultry. The rising emphasis on sustainable agriculture is another key market driver, as distillers grains offer an eco-friendly alternative to traditional feed sources. Many US farmers are adopting distillers grains to enhance livestock performance while reducing feed costs, reflecting a shift toward more sustainable farming practices.

    Recent trends indicate a growing acceptance of distillers grains in the aquaculture sector, opening new avenues for market expansion.This diversification presents opportunities for suppliers to capture a wider customer base and promote innovation in animal nutrition. As aquaculture demands continue to rise, distillers grains are being explored as a viable protein source, particularly in regions with established fish farming industries. Moreover, regulatory support for ethanol production aligns with the continued growth of the distillers grains market, as US policies encourage renewable energy sources and the concurrent production of animal feed.

    Another notable trend is the increasing import of distillers grains from the US by international markets, bolstering the country’s position as a leading exporter.As countries seek reliable feed sources to meet their agricultural needs, US distillers grains are becoming a sought-after commodity. This trend enhances the market's potential while reinforcing the importance of US agriculture in the global supply chain. Overall, the US Distillers Grains Market is evolving with multiple growth factors, driven by increasing awareness of sustainable practices, diversification into new sectors, and international demand.

    US Distillers Dried Grains Solubles Market Drivers

    Market Segment Insights

    Distillers Grains Market Type Insights

    The US Distillers Grains Market is an essential part of the agricultural and animal feed industries, characterized by its diverse Type segment comprising Wet Distillers' Grains, Dried Distillers' Grains with Solubles, and Dried Distillers' Grains. The market is witnessing significant growth driven by the rising demand for livestock feed and high-protein feed alternatives. The Wet Distillers' Grains segment, known for its high moisture content, offers an energy-rich feed option for ruminants, particularly cattle.

    This type is crucial due to its nutrient density, which helps in improving the weight gain and overall health of the livestock.Simultaneously, Dried Distillers' Grains with Solubles is gaining traction as it provides a balanced blend of nutrients including proteins and essential amino acids, making it increasingly favored among poultry and swine producers. The inclusion of solubles enhances the value of this feed by retaining the energy content, thus playing a significant role in feeding dairy herds and other livestock.

    Dried Distillers' Grains, with a lower moisture content, represent another essential category in the market; their long shelf-life and ease of transportation make them an advantageous option for feed manufacturers and animal nutritionists.Overall, the classification of products within the Distillers Grains Market reflects tailored nutritional strategies to fulfill the needs of various livestock, supporting optimal health and productivity in the US agricultural landscape. As consumer trends shift towards sustainable and efficient animal husbandry practices, the demand for these products is further solidified, paving the way for continued growth and innovation within this segment.

    The increased emphasis on using by-products from the biofuel industry underlines a growing focus on sustainability while highlighting the opportunity for the distillers grains to serve as a critical raw material in the feed industry.With advancements in processing techniques and R&D efforts aimed at improving feed formulations, there is a substantial potential for market expansion and enhanced utilization of distillers grains across various livestock operations in the US.

    Overall, the US Distillers Grains Market segmentation by Type serves as a clear reflection of the industry's adaptability and responsiveness to changing market demands and agricultural practices, reinforcing its important position in the broader landscape of animal nutrition and economics.

    Distillers Grains Market Source Insights

    The Source segment of the US Distillers Grains Market encompasses key ingredients such as Wheat and Corn, which play a pivotal role in distillers' grain production. Corn, being the primary raw material, dominates the landscape due to its widespread availability and high starch content, making it ideal for fermentation processes. Wheat also holds significant importance, often utilized for producing specific distiller's grains that cater to niche markets, such as animal feed.

    The variety in sources allows manufacturers to optimize the nutritional profiles of their products, enhancing their appeal in diverse applications, including livestock feed.The US, as one of the largest corn and wheat producers, benefits from established agricultural practices and infrastructural advantages, which support the growth of the Distillers Grains Market. Moreover, the increasing demand for sustainable feed alternatives in the livestock sector presents a favorable opportunity for continued expansion within this segment. As dietary preferences shift and more focus is placed on protein sources in animal nutrition, the Source segment is poised for substantial development in the coming years.

    Distillers Grains Market Application Insights

    The Application segment of the US Distillers Grains Market plays a vital role in the overall industry dynamics, with various applications driving market growth. Animal Feed represents a significant share of this segment, primarily due to its cost-effectiveness and high nutritional value, making it a preferred ingredient in livestock diets. The demand for protein-rich animal feed is rising, fueled by the growing meat consumption in the US, which positions this segment as crucial for both beef and dairy cattle production.

    Moreover, 'Others' in the Application segment also encompasses various uses of distillers grains, such as biofuels and other industrial applications, which contribute to market diversity and innovation.Trends such as the sustainable use of by-products and the integration of distillers grains into more extensive agricultural practices further enhance market potential. Overall, the US Distillers Grains Market segmentation reflects a robust framework catering to diverse applications, driven by trends in animal nutrition and renewable resource utilization within the industry. These factors collectively furnish opportunities for enhancement in the efficiency and sustainability of agricultural practices in the United States.

    Get more detailed insights about US Distillers Dried Grains Solubles Market Research Report - Forecast Till 2035

    Regional Insights

    Key Players and Competitive Insights

    The US Distillers Grains Market is an integral component of the agricultural sector, providing a vital source of protein-rich animal feed derived from the process of ethanol production. The competitive landscape encompasses various players who are leveraging strategic initiatives, including product innovation and sustainability practices, to enhance their market positions. As demand for more sustainable feed options rises, competition intensifies, leading companies to invest in technology and research to improve the efficiency and nutritional content of distillers grains.

    Collaboration among producers, distributors, and end users is crucial in addressing challenges such as fluctuating commodity prices and regulatory compliance, ultimately shaping the market dynamics.Pacific Ethanol, a key player in the US Distillers Grains Market, has made significant strides in developing and marketing quality distillers grains as a byproduct of ethanol production. The company’s focus on producing high-protein feed ingredients positions it effectively in a competitive landscape that increasingly values sustainable and nutritious animal feed solutions.

    Pacific Ethanol's geographic footprint across numerous ethanol plants in the United States allows it to maintain a robust supply chain and meet the diverse needs of its customers in the livestock sector. The company's commitment to quality control and innovation has enabled it to carve out a strong presence in the market, enhancing its reputation among livestock producers looking for reliable feed sources.CHS Inc. operates as a prominent player within the US Distillers Grains Market, offering a wide range of products and services tailored to the needs of the animal feed industry.

    The company’s emphasis on producing high-quality distillers grains enables it to cater to the growing demand for sustainable feed options, bolstered by its extensive distribution network throughout the United States. CHS Inc. continuously seeks opportunities for expansion through strategic mergers and acquisitions, which enhance its operational capabilities and market reach. The company not only focuses on the sale of distillers grains but also integrates complementary services such as feed formulation and logistics, thereby creating added value for its customers.

    Strengths such as a well-established brand, strong financial positioning, and a commitment to sustainability contribute to CHS Inc.'s competitive advantage, solidifying its role as a key player in the US Distillers Grains Market.

    Key Companies in the US Distillers Dried Grains Solubles Market market include

    Industry Developments

    Recent developments in the US Distillers Grains Market showcase a dynamic and evolving landscape. In October 2023, Valero Energy announced its expansion plans for its biofuel facilities, anticipating an increase in the production of distillers grains, which will serve as high-value animal feed. Similarly, in September 2023, Pacific Ethanol reported a strategic partnership with Cargill to enhance distribution channels for their distillers grains products. The current market is also witnessing favorable growth driven by increasing demand in livestock feeding as producers seek high-protein alternatives.

    An essential acquisition occurred in early 2023 when Archer Daniels Midland acquired a smaller competitor, significantly boosting its market share in the distillers grains sector. Additionally, companies like Green Plains and POET continue to innovate in their sustainable practices, aligning with governmental support for the biofuels industry. The overall market value for US distillers grains has seen substantial growth over the past couple of years, reflecting increased production from major players such as Flint Hills Resources and CHS Inc., indicating a positive trajectory and reinforcing the sector's importance in the agricultural and renewable energy markets.

    Market Segmentation

    Outlook

    • Animal Feed
    • Others

    Distillers Grains Market Type Outlook

    • Wet Distillers' Grains
    • Dried Distillers' Grains with Solubles
    • Dried Distillers' Grains

    Distillers Grains Market Source Outlook

    • Wheat
    • Corn

    Distillers Grains Market Application Outlook

    • Animal Feed
    • Others

    Report Scope

    Report Scope
    Report Attribute/Metric Source: Details
    MARKET SIZE 2018 1.74(USD Billion)
    MARKET SIZE 2024 2.03(USD Billion)
    MARKET SIZE 2035 3.38(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 4.721% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED Pacific Ethanol, CHS Inc., United Grain Corporation, Louis Dreyfus Company, Flint Hills Resources, Valero Energy, Bunge North America, The Andersons, Gavilon Agriculture, Green Plains, Cargill, POET, Nutrien, Archer Daniels Midland, Quad County Corn Processors
    SEGMENTS COVERED Type, Source, Application
    KEY MARKET OPPORTUNITIES Increased demand for animal feed, Growth in biofuel production, Expansion of plant-based protein industry, Rising exports to international markets, Adoption of sustainable farming practices
    KEY MARKET DYNAMICS Increasing livestock feed demand, Ethanol production growth, Rising export opportunities, Regulatory enforcement and compliance, Price volatility in commodities
    COUNTRIES COVERED US

    Market Highlights

    Author
    Garvit Vyas
    Analyst

    Explore the profile of Garvit Vyas, one of our esteemed authors at Market Research Future, and access their expert research contributions in the field of market research and industry analysis

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    FAQs

    What is the expected market size of the US Distillers Dried Grains Solubles Market in 2024?

    The US Distillers Dried Grains Solubles Market is expected to be valued at 2.5 billion USD in 2024.

    What is the projected market size for the US Distillers Dried Grains Solubles Market by 2035?

    By 2035, the market is projected to reach a valuation of 4.5 billion USD.

    What is the expected CAGR for the US Distillers Dried Grains Solubles Market from 2025 to 2035?

    The market is expected to grow at a CAGR of 5.489% from 2025 to 2035.

    Who are the key players in the US Distillers Dried Grains Solubles Market?

    Major players include The Andersons Inc, Green Plains Inc, Dreyfus Company, and Valero Energy Corporation among others.

    What is the market value for Organic Distillers Dried Grains Solubles in 2024?

    The Organic segment of the market is valued at 1.2 billion USD in 2024.

    What market value is expected for Synthetic Distillers Dried Grains Solubles by 2035?

    The Synthetic segment is projected to reach 2.2 billion USD by 2035.

    What are the growth drivers for the US Distillers Dried Grains Solubles Market?

    The growth drivers include increasing demand for sustainable animal feed and nutritional supplements.

    What challenges does the US Distillers Dried Grains Solubles Market face?

    Challenges include fluctuating raw material prices and regulatory constraints in various regions.

    What applications are seeing heightened demand in the US Distillers Dried Grains Solubles Market?

    Applications in animal feed and pet food are witnessing significant growth in demand.

    Which segment is projected to dominate the market share by 2035?

    Both Organic and Synthetic segments are expected to contribute significantly, with Organic potentially leading due to higher growth rates.

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