Global Feed Flavors Market - 2022-2029

Global Feed Flavors Market - 2022-2029

Market Overview

Feed Flavors Market was valued at USD YY million in 2021. It is forecasted to reach USD YY million by 2029, growing at a CAGR of 3.89% during the forecast period (2022-2029).

Feed flavors are the compound used to enhance the smell and taste of the feed. This improvement of the feed flavors stimulates the feed intake of the animal. Adding feed flavors to animal diets is useful to improve palatability and increase feed intake and performance parameters. Palatability is a feature of feed that summons a sensory response in the animal. Wide application in livestock feed, including ruminants, swine, poultry, aquatic animals, and others, drives the market growth. Increasing awareness of consumers and demanding quality meat products is forcing livestock producers to offer quality and healthy feed to fulfill the quality standards required by various consumers across the globe.

Market Dynamics: Growth in the demand for livestock amplifies demand for feed flavors market

Ruminants are sensitive to food palatability, so palatant additives, like flavors, have become very important in ruminant nutrition. The intake of vital food is important for the calf for making the transition from a pre-ruminant to a functioning ruminant. Early introduction to starter feed is key to achieving optimal rumen development and reducing weaning duration and costs. The vanilla flavor in the starter feeds on preweaning and post weaning calf enhance their performance. Moreover, the pre-weaning average daily gains increased significantly compared with calves fed unflavored starters. The starter consumption is also high, and they met the weaning criteria at a younger age. For dairy cows feed flavors are very useful. Dairy cows are sensitive to the taste or flavor of their diet. Off-odors or bitter tastes could lead to low feed intake and affect milk yields. Some studies show that older cows prefer citric tastes and aromas. Newly arrived calves suffer a lot of stress from weaning, transportation, and handling. This situation leads to low feed intake and higher disease incidence. Strategies to increase dry matter intake and nutrients played an important role in increasing feedlot performance. Improving diet palatability is one of the important factors in addressing the problem. Palatant additives like flavors are a cost-effective option to improve diet palatability.

Market Segmentation: Synthetic segment accounted for the highest share in global feed flavors market

Synthetic flavors are mostly obtained via chemical methods from raw materials or chemical synthesis. Compared to natural feed flavors, synthetic feed flavors are superior to natural feed flavors regarding consistency of quality, ability to endure processing methods, and cost-effectiveness. Regardless of the origin, a specific flavor is frequently the result of a complex mixture of chemicals. Numerous flavoring agents are present in natural feedstuffs and available as additives to improve the flavor and acceptance of feedstuffs. In synthetic feed flavors, multiple flavors are available such as caramel toffee, coconut essence, dairy essence, garlic, peppermint, citrus, strawberry, and others. Synthetic flavors are additives used in the animal feed industry to enhance the taste and flavor of feed. These factors positively impacted the synthetic flavors segment growth.

Geographical Penetration: Asia Pacific is the dominating region during the forecast period

The rising awareness among consumers about the high-quality feed provided to livestock is predicted to increase demand for feed flavors. The increase in the production of poultry and ruminant in developing countries like India and China is predicted to boost the use of feed flavors in the region that drives regional growth. The production volume of poultry meat in India amounted to over four million metric tons in 2020. This significantly increased from over 1.5 million metric tons in the fiscal year 2008. Maharashtra was the largest contributor to poultry meat production, followed by Haryana. The high profit associated with meat production is predicted to boost the use of feed flavors. The buyers in the region are more conscious about the quality of meat they consume and the benefits of consuming high-quality meat products. Therefore increasing the demand for healthy livestock production has become essential, leading to increased demand for quality food such as feed with flavors. Moreover, key regional players launched new feed flavors products in the market, driving the market growth in the forecast period

Competitive Landscape

There are several established participants in the industry and local manufacturers; hence, the market is fragmented. Some major market players are DuPont, Kemin Industry, BIOMIN Holding GmbH, Agri-Flavors, Alltech, Kerry Group Plc. Norel, Nutriad, Pancosm and Pestell Nutrition. Some major key players follow merger and acquisition strategies to expand their business. For instance, in January 2020, Pestell Nutrition acquired origination O2D, which operates as a value‐added distributor of animal feed ingredients and branded proprietary feed products across the Midwest and broader United States. This acquisition supports numerous facets of the Company's value creation and growth plan. O2D offers significant logistical advantages, with distribution capabilities across rail, river, and truck, creating opportunities to augment PN's supply chain and improve its cost. This acquisition helps augments PN's existing product portfolio by adding branded proprietary products with actionable opportunities for continued customer penetration, cross-sales, and international distribution. In May 2022, DSM merged with Firmenich to become the leading creation and innovation partner in nutrition, beauty and well-being. This merger accelerates innovation for the industry and generates new growth opportunities for customers. DSM's high-performing Health, Nutrition & Care and Animal Nutrition & Health businesses joined these newly combined businesses.

COVID-19 Impact Negative impact on the global feed flavors market

The Covid pandemic resulted in a decrease in the market growth of feed flavors in 2020 because of the disruption of national and international supply chains and lower consumer spending capacity in most parts of the world. Countries like Romania banned exporting to Non-European Union countries, creating severe demand-supply problems in the animal feed industry. The Indian Government ordered the closure of import and export, which disrupted the animal feed supply chain. The animal feed industry was badly affected by the closure of hotels and restaurants around the globe. Lamb production, beef, aquaculture, and veal sectors were worst affected due to the pandemic. The Netherlands also suffered a few disruptions in supply and feed delivery. The Government laid down new protocols to ensure the safety of farmers along with continual production and supply of feed additives. These factors negatively impacted the global feed flavors market.

The global feed flavors market report would provide an access to approximately 69 market data tables, 62 figures and 170 pages