Africa Animal Protein - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2017 - 2029

Africa Animal Protein - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2017 - 2029

The Africa Animal Protein Market size is estimated at USD 768.66 million in 2024, and is expected to reach USD 946.92 million by 2029, growing at a CAGR of 4.26% during the forecast period (2024-2029).

Rising influx of affordable and high-quality products drive the food and beverages and personal care and cosmetics segment in the market

• By application, the food and beverages segment was the region's leading end-user segment for animal protein in 2022. The bakery and snacks sub-segment accounted for the major volume shares in the food and beverage segment, i.e., 27.14% and 23.58%, respectively, in 2022. Healthy snacking, rising demand for frozen snacks, and increased influx of affordable and high-quality private label products contribute to the growth of the snacks sub-segment. The health and wellness trend continued to support the growth of yogurt and other frozen snack products in South Africa since gelatin and whey protein is supposed to be highly nutritious and good at improving digestive health. Thus, the snacks sub-segment is projected to record a CAGR of 3.55% by value during the forecast period.
• However, the personal care segment is set to register the fastest CAGR of 5.95% by value during the forecast period. The increasing number of beauty clinics, rising per capita expenditure on personal appearance, robust regulatory framework, and the growing beauty and cosmetics market propel the region's demand for collagen ingredients.
• Supplements held the second position in the market. The sports and performance nutrition sub-segment, the fastest-growing sub-segment, aids the growth of supplements. It is projected to record a CAGR of 4.05%, by value, during the forecast period. African consumers are actively into sports, such as running and football, among other activities. There is a considerable portion of consumers in the region with gym memberships. For instance, in 2020, there were around 2,450 health clubs in South Africa. The increasing number of health and fitness centers has been positively influencing the growth of the sub-segment.

Rising demand for protein-enriched foods in countries like Nigeria and Rest of Africa segment draw the segmental demand

• The Rest of Africa (including Ethiopia, Kenya, Ghana, Guinea, and Ivory Coast) led the animal protein market in 2022. By protein type, whey protein dominated the market with a 32.30% volume share in 2022. The highest market demand was for whey protein-based functional snacks. Consumers in these countries are becoming increasingly concerned about healthy eating and prefer whey protein-based diets. They are opting for products like snack bars, protein-enriched cookies, and others to fulfill their nutritional requirements, thereby boosting the sub-segment's growth.
• However, Nigeria is projected to be the fastest-growing country for animal proteins, recording a CAGR of 6.94% during the forecast period. Gelatin was the most consumed protein in the country in 2022, with a value share of 27%. Gelatin is an easily digestible protein that caters to weight management and maintains a healthy immune system. These benefits have promoted its demand in the Nigerian animal protein market. Animal-based gelatin, particularly grass-fed beef gelatin, dominates the market as it contains no dangerous contaminants such as GMOs, pesticides, hormones, antibiotics, or chemical additives.
• South Africa held a minor share in the African animal protein market. It is projected to record a CAGR of 3.20% during the forecast period. Whey protein emerged as one of the country's major protein types among other animal proteins. It has major applications in the supplements segment, especially in the sports nutrition sub-segment, as it is ideal for muscle rehabilitation and pre-workout exercises.

Africa Animal Protein Market Trends

Per capita consumption of animal protein to witness significant growth

• The market is primarily driven by growing health awareness and recent consumer preference for nutritious and healthy eating. Furthermore, consumers' perception of the high nutritional content of infant formulas due to their understanding of their children's health drives growth in the consumption of infant formulas made from milk protein. However, the increasing prevalence of veganism and the high incidence of lactose intolerance hold back the market's growth. Since 2017, the market has been growing slowly due to changes in South African legislation, primarily regarding dietary supplements, as manufacturers are charged additional costs for product certifications.
• Sub-Saharan Africa's per capita milk consumption has declined over the last two decades. However, the per capita consumption of animals increased to 105.7 g in 2022 from 88 g in 2017. However, considering that the population of Africa will grow from 1.3 billion to 2.5 billion in 2050. This means that more animal protein will be consumed.
• South African manufacturers have embraced innovative production techniques to gain market cost leadership. Increasing demand from working women for high-quality protein infant formulas and the nutritional needs of athletes drive growth rates. With a mature and organized retail sector, it is expected to increase shelf space for protein products, maintaining a large share in the African region. As a result, consumers are increasingly buying protein bars and supplements to meet their nutritional needs and maintain their health. Changing consumer lifestyles and rising healthcare expenditures also play a vital role in the growth of the plant protein market in Africa.

Meat and milk production contributes majorly as raw material for animal protein ingredients manufacturers

• Milk is the raw material for manufacturing animal proteins such as milk proteins, whey proteins, casein, and caseinates. The top five African milk-producing countries in terms of milk volume are Sudan, Egypt, Kenya, South Africa, and Algeria. Meanwhile, the first four countries produce 52% of total African milk. Local milk production in West Africa has already risen by 50% between 2000 and 2016 to about 4 billion liters in 2019. The production of whey protein has increased due to rising fitness enthusiasts in the region. For instance, in South Africa, 2.26 million people had a fitness and health club membership in 2019.
• Local production cannot yet meet 100% of the demands in the sector. Around 65-70% of consumption comes from local production, and imported milk powder helps meet the remaining needs. In 2018, the European Union exported 92,620 tons of milk powder to West Africa and 276,982 tons of fat-filled milk powder. That is an increase of 234% since 2008. Kenya is the leading milk producer in East Africa. Dairy is the largest agricultural sub-sector in Kenya in terms of income and employment creation contributing to 4% of the overall GDP.
• Based on the current per capita animal product consumption, the feed required for South Africa is 13.3 million tons in 2021, which is projected to increase further in the forecast period due to the rising demand for insect proteins for animal feed in the region. While other animal proteins, such as collagen and gelatin, are manufactured using animal and marine waste in Africa, pigs consume less feed to reduce the extra heat produced by the digestion of feed and metabolism of nutrients, which affects the protein content in them, making it not very preferable for protein collagen production.

Africa Animal Protein Industry Overview

The Africa Animal Protein Market is fragmented, with the top five companies occupying 11.97%. The major players in this market are Fonterra Co-operative Group Limited, Hilmar Cheese Company Inc., Kerry Group plc, Lactoprot Deutschland GmbH and Royal FrieslandCampina N.V (sorted alphabetically).

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