North America Oats Market Forecast to 2028 - COVID-19 Impact and Regional Analysis By Process (Rolled and Steel-Cut), Category (Organic and Conventional), Nature (Gluten-Free and Conventional), Form (Flakes, Flour, and Others), and Application (Food and Beverages, Animal feed, Personal Care, and Others)
The North America oats market size is expected to grow from US$ 1,448.56 million in 2022 to US$ 1,780.22 million by 2028; it is estimated to register a CAGR of 3.5% from 2022 to 2028.
Oats in pet food help in reducing allergies and gut discomfort. Oatmeal improves fur shine, reduces diarrhea, and is an ideal solution for gluten absorption issues. It aids in milk production because of its high-fat content and nutritional value. Due to all these factors, the demand for oats in the cattle feed business is increasing, surging the North America oats market growth. Reduced methane emissions are another advantage of feeding naked oats and naked/low lignin husked oat mix to animals.
Oats are increasingly being used as a replacement for high-energy cereals, such as barley and corn, establishing the animal feed industry as a key end user. Oats can also be found in a wide range of food & beverages, including extruded breakfast cereals and snacks, instant powders, dry soups and sauces, ready-to-drink beverages, bread, cakes, crispbread, biscuits, desserts, ice cream, pasta/noodles, health and medical food products, and sports bars/food/powder/drinks, for nutritional and functional purposes. It has a high concentration of total proteins, carbs (starch), crude fat, dietary fiber (nonstarch), a unique antioxidant, and vitamins and minerals. Such wide application scope of oats is the main factor driving the oats market.
The North America oats market is segmented based on process, category, nature, form, and application. Based on application, the market is segmented into food and beverages, animal feed, personal care, and others. The animal feed segment held the largest market share in 2022, whereas the personal care segment is expected to register the highest CAGR from 2022 to 2028. Oat forage is used as feed for livestock and poultry. The oat feed is ideal for both ruminants and monogastric animals due to its high-fat content, which boosts the energy value of the feed. It also aids in preventing allergies and gluten absorption issues and increasing milk yield in cows. According to Aberystwyth University research, ruminants fed with oats produced larger milk outputs than ones fed with other grains, with no negative impacts identified in the milk produced. There is a significant demand for oats in the North America animal feed ingredients market due to the growing awareness among farm producers regarding the benefits of oats as a feed ingredient. Oat feed is very nutritious and can be used instead of barley and wheat feed. It is available in the form of naked oat, whole oat, oatmeal, groats, and flakes. Oats also positively impact the environment by lowering greenhouse gas emissions. Therefore, the demand for oats as a feed ingredient is increasing. Thus, this factor further augmenting the North America oats market growth.
Based on country, the North America oats market is segmented into the US, Canada, and Mexico. In 2022, the US accounted for the largest share of the market. The growth of the oats market in the US is majorly driven by the rising preference for healthy meals and changing food habits. Besides, the massive demand for convenience food and the high nutrition content of oats are anticipated to boost the market growth. Oatmeal is widely consumed as breakfast cereal by many people in the US. Oats are consumed for their high nutrient content, including high starchy carbohydrates, protein, vitamins, dietary fiber, and minerals. The health benefits of oats are the other key factors projected to drive the market in the country. Oats, being rich in antioxidants and containing more than twenty-six bioactive substances, help the body safeguard against chronic diseases such as heart disease, diabetes, and cancer. Besides, oats are ideal for a hectic lifestyle since they are easy to cook and fulfill the body's daily nutritional requirements. Further, there is increased production of oats in the US. In 2020, the production of oats in the US amounted to nearly 65.35 million bushels.
However, the reduced number of dairy cattle and livestock for drayage, coupled with increased competition from other oilseeds and grains for livestock feed, has significantly lessened the demand for oats for use as a feed grain.
Avena Foods, Ltd.; Glanbia plc; Grain Millers, Inc.; Lantmännen; Richardson International Limited; American International Foods, Inc.; Small Valley Milling; Emerson Milling Ltd.; Buffalo Creek Mills; and Highland Milling, LLC. are among the major players operating in the North America oats market.
The overall North America oats market has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain more analytical insights into the topic. The participants of this process include industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the North America oats market.
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