Cattle & Poultry Feed Manufacturing Business

Cattle & Poultry Feed Manufacturing Business. Production of Livestock Feed Manufacturing. Profitable Premix and Animal Feed Industry

Animal feed plays a vital role in the food chain as feed is one of the most crucial contributor in ensuring safe, abundant and affordable animal protein. Incessant population growth and rising affordability has surged demand for animal protein in India. Animal feed industry deals with food given to animals in cattle, poultry and aquaculture sector as part of animal husbandry. Indian feed industry predominantly caters to cattle and poultry feed segment.

The feedstock is of different types depending on the end product such as for eggs or meat. Poultry feedstock is almost Poultry is the fastest growing livestock sector both in developed and developing countries. Poultry feed is the feedstock used for feeding the poultry for obtaining high quality, improves growth rate and lower the mortality rate. used in every poultry farm owing to its cost effective and desired results.

Poultry feed market is a part of vast animal feed market and makes an important part of it as poultry is invariably consumed in most parts of the world. The concept of animal feed has been there in the market for several years especially in the developed markets. However, with the advent of globalization and rise in the standard of living of consumers, companies are expanding in the emerging markets of the world with improved products and wide range of options for each animal group. Poultry meat is the highest among others such as pork, beef and fish meat. Therefore, vast opportunity lies in the poultry feed segment.

Demand for poultry feed in India has been increasing consistently over the last five years on account of rising population, growing demand for healthy poultry products such as broiler meat and surging demand for compound poultry feed. Growing demand for poultry products in India is being witnessed on account of increasing poultry population, and this is further anticipated to drive growth in India poultry feed market in the coming years.

Growth of Indian animal feed market is propelled by rise in demand for animal protein, surge in dairy products consumption and growth of livestock population. However, there are various factors restraining growth of the market which includes high import duties on feed ingredients, vague regulatory regime, volatility in raw material prices and frequent disease outbreak. The market is characterized by leading trends such advent of non-traditional feed ingredients, genetically modifies animal feed and technological innovation in the industry.

The poultry feed market to grow at a CAGR of around 8% till 2019-20. In the coming years, packaged poultry feed is expected to grow at a higher pace compared to the traditional poultry feed. In the coming years, packaged poultry feed is expected to grow at a higher pace compared to the traditional poultry feed.

The Indian poultry feed industry, dependent on the sound growth of poultry has a great untapped potential, with southern part of India holding the maximum share of poultry production and consumption.

Feed industry in India is about 50 years old. It primarily consists of cattle feed and poultry feed segments. Cattle feed industry in India is gradually evolving into an organized sector and the feed manufactures are increasingly using modern and sophisticated methods that seek to incorporate best global practices. Indian cattle feed industry has got high growth potential, given the country's top position among the world nations in respect of livestock population and also the high expected growth rate of about 4 per cent.

Cattle feed encompasses of various type of forages such as grass, legumes, silage which is mainly used as dairy cattle feed along with soy, grain and other elements which upsurges energy density of diet. Cattle feed is edible and rich source of nutrients for growing, adult, milk producing and pregnant cattle.

The global cattle feed market is anticipated to be driven by the increasing demand of milk products in developing nations, as cattle feed always aids to enhance the optimum level of milk production. Increasing demand of dairy product in Asia pacific region is anticipated to stimulate the global cattle feed market. Milk products are used widely in the various beverages and bakery products which in turn positively intensifies the sales of cattle feed. Due to the increasing awareness of the organic livestock farming, the sales of cattle feed will intensify in the near future. Also, the increasing demand for high protein food products, is anticipated to fuel the sales of cattle feed during the forecast period.

Cattle feed market has been segmented on the basis of feed ingredients which comprises of Corn, soybean meal, wheat, oilseeds and others. Corn is accounting maximum market proportion during the forecast period. Cattle Feed market has been segmented on the basis of application which comprises of Dairy, Beef, Calf, swine and others. Among the application dairy is holding highest market proportion during the review period. Cattle Feed market has been segmented on the basis of additive which comprises of vitamins, minerals, amino acids, feed antibiotics, feed acidifiers, feed enzymes, antioxidants and others.

The global Cattle Feed market is segmented into North America, Europe, Asia Pacific, and rest of the world (ROW). Among these, North America is estimated to retain its dominance throughout the forecast period of 2017-2022. This is attributed by the presence of key players in the North America region. Also, the technological advancement of the products and also the awareness of the new product development is also propelling the sales of cattle feed. Europe region is estimated to account healthy market proportion during the review period of 2017-2022. Asia Pacific is projected to grow at a higher pace as compare to the other region. Especially China and India offer a lucrative opportunity in the Asia Pacific region for the Cattle Feed manufacturers.

Feed Premix Market size is projected to exceed USD 10.5 billion by 2023, at more than 2.9% CAGR. Rising consumer awareness about product health benefits may drive premix market. Rise in animal production for meat consumption in India, China and Brazil should favor market size growth. U.S. and China are key producing countries. The U.S. market is focused on innovating cost-effective production process.

Global poultry feed premix market is expected to exceed over USD 2.1 billion by 2023, at more than 3.5% CAGR. Global aqua feed premix market is projected to exceed USD 400 million by 2023, at more than 4% CAGR. Increase in processed cattle meat consumption coupled with growing concern for animal safety from diseases may pave way for feed premix market growth. U.S. is the leading producer of poultry products. Increase in processed poultry consumption led to high demand of quality meat in industry. Key elements, vitamins and minerals are important for animal metabolism. Vitamin premix dominated the overall consumption and may witness significant gains up to 2023.

Global feed premix market is huge and has variety of feed premix available in the market. Each animal needs different nutrients and the feed premix are segregated accordingly. There is poultry feed, cow feed, and other related feed as per the animal needs. Just in the poultry segment, you have poultry vitamin premix, vitamin B12 feed supplement, multi vitamin mineral feed supplement etc., and just in the poultry industry you have so many varieties. One can imagine how many varieties will be available for different livestock farmers. It is essential to choose the right kind of feed premix for the animal so that livestock farming industry can do well and survive for a long period.

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Annexure 1:: Cost of Project and Means of Finance
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