Vietnam animal feed additives market was valued at USD 108.0 million in 2013. Increasing per capita meat consumption along with changing meat consumption pattern is expected to be a major factor driving the market growth over the forecast period. Meat consumption in Vietnam was 40 kg per capita in 2011 and is expected to increase to 56 kg per capita by 2020. According to Ministry of Agriculture and Rural Development (MARD), meat consumption in Vietnam is expected to grow at 2.9% by 2020, with cattle consumption witnessing 11.0% growth regarding per capita. Additionally, MARD has established a target to increase livestock production from 30% of total agricultural output to 45% of total agricultural output by 2020, further indicating the growing meat market in the region.
Animal feed additives consumption in poultry feed are expected to provide significant opportunities to market participants. Unlike other Southeast Asian nations where poultry consumption is dominant, Vietnam meat consumption has traditionally been dependent on pork, with poultry consumption at mere 5kg per capita. However, changing lifestyle and growing processed food industry are expected to drive meat consumption shift towards white meat products such as poultry and fish. Changing meat consumption patterns could provide market participants with significant opportunities regarding application development over the forecast period.
Vietnam animal feed additives market is governed by Ministry of Agriculture and Rural Development (MARD) and its affiliated departments such as Department of Livestock Production, Department of Animal Health and Department of Livestock Husbandry. The government is regularly involved in formulating and upgrading existing regulatory policies & legislations to standardize feed additives quality in line with U.N. recommendations. Additionally, evolving trade agreements and import-export policies are expected to further complement Vietnam animal feed additives market growth over the forecast period.
Vietnam animal feed additives market revenue by product, 2012 - 2022 (USD Million)
The report segments animal feed additive products into antibiotics, vitamins, antioxidants, amino acids, feed enzymes and feed acidifiers among others such as probiotics and amprolium. Antibiotics emerged as the leading animal feed additive product and accounted for over 36% of the total market revenue in 2014. Increasing incidences of animal disease outbreaks has been driving antibiotics consumption among animal farmers. Moreover, animal farmers in Vietnam are inclined towards antibiotics as growth promoters compared to probiotics owing to the former’s ease of availability and cheaper pricing compared to probiotics.
Vietnamese government initiative to promote domestic probiotics production is expected to challenge antibiotics demand. Antibiotics ban in various developed animal feed additive markets such as in U.S. and Europe might further reflect the same trend in Vietnam. Feed acidifiers are expected to be the fastest growing product segment over the forecast period owing to their increasing application to improve animal feed digestibility and animal growth. Increasing poultry consumption and subsequent feed acidifiers demand in poultry feed to control diseases such as Ascites are expected to further complement the market growth. Feed acidifiers are touted to be a potential substitute for antibiotics as growth promoters, thus further complementing its demand over the forecast period.
Application segments analyzed in the report include pork, poultry and cattle among others such as aquafeed and goat feed. Poultry emerged as the leading application segment and accounted for over 38% of the overall market revenue in 2014. Shifting meat consumption pattern that was traditionally been dependent on pork, towards white meat products such as poultry has been driving poultry feed demand. This trend is expected to further complement animal feed additives demand in poultry, exhibiting the application as the fastest growing over the forecast period. Animal feed additives consumption in pork is expected to witness significant growth over the forecast period on account of high pork consumption in the country. Increasing beef consumption and consequent cattle imports from Australia and India are expected to drive animal feed additives demand in cattle feed over the forecast period.
Vietnam animal feed additives market is highly dominated by overseas companies which account for over 70% of the market share. The easing of FDI norms and subsequent advancements in trade agreements with ASEAN nations has been instrumental in animal feed & feed additives market in Vietnam. Huge investments by companies such as Cargill Inc. has been witnessed in the market, indicating increasing presence of overseas animal feed additives producers. Major companies operating in this industry include Dabaco Group JSC, Vedan Enterprises Co. Ltd., EZ Nutrition Way Co., Hong Ha Nutrition JSC, Ajinomoto, Anova, Cargill Inc., CP Group, DSM and Anthruc Co. Ltd.
Avail customized purchase options to meet your research needs:
Get your queries resolved from an industry expert. Request for a free product review before report purchase.
Speak to the report author to design an exclusive study to serve your research needs.
A testimonial for service excellence represented in the form of BBB "A" Accreditation.
Your personal and confidential information is safe and secure.