The global yeast extracts for animal feed market size was valued at USD 298.3 million in 2021 and is anticipated to expand at a compound annual growth rate (CAGR) of 7.1% from 2022 to 2030. The demand for the product is due to the shift in the trends towards naturally-derived materials in animal feed. The market is marked by the presence of many prominent manufacturing companies that have established their strong regional presence. It is also highly dependent on the movement of the end-use applications worldwide. In addition, the growing trend of ingredients alternative to toxic additives can drive the inclusion of yeast extracts in the formulation of several animal feed products.
Major market players dominate with a strong presence throughout the entire value chain. These players have the advantage of acquiring raw materials necessary for manufacturing the final product from a single source, thus sustaining the economies of scale to the finest level. The value chain of the market consists of feedstock providers, product manufacturers, distributors, and end-users. The key raw material suppliers include manufacturers of sugar. Molasses can be procured from sugar mills. Companies that are mostly involved in similar business operations are forward integrated for manufacturing yeast extract to reduce their operating costs. Yeast extract is an eco-friendly method to moderate the exposure of animals to mycotoxins, such as zearalenone, aflatoxins, avocados, fumonisins, and others. Mycotoxins are metabolites of molds of Aspergillus, Penicillin, and fungi, which can contaminate food products and, in turn, have adverse effects on animal health and function, such as decreased milk production, increased free radical production, morality, reduced feed intake, and other diseases. Increasing concerns regarding the harmful effects of chemical-based feed on animal health have propelled the use of bio-based raw materials to manufacture and produce animal feed. The animal feed companies have shifted focus towards the development of biodegradable products using bio-based raw materials to enhance animal growth and gut health.
The poultry application segment dominated the market with a revenue share of more than 39.5% in 2021 and is projected to expand further at the fastest growth rate during the forecast period. This growth can be attributed to the increasing demand for broiler meat globally. Broiler meat is a good source of protein, minerals, and vitamins, and supports muscle building along with strengthening of bones. The consumption is expected to increase due to the mentioned benefits. The swine segment accounted for the second-largest revenue share in 2021 due to a rise in the consumption of and demand for swine meat.
β-glucan is one of the key pre-biotics obtained from Saccharomyces cerevisiae. β-glucan has been known to aid growth performance and health in swine. It is beneficial by modulating immunity and through the absorption of mycotoxin, which improves the health of pigs. The presence of β-glucan from Saccharomyces cerevisiae can prevent Enterotoxigenic Escherichia Coli (ETEC) infection in swine. Pork is the second-largest consumed meat across the globe. However, flu-related pandemics, such as swine flu, can impact its consumption in the future, which is anticipated to restrain the product demand in the long run.
Asia Pacific dominated the market with a revenue share of more than 31.00% in 2021. This is attributed to the increasing production of livestock products in the region due to various factors, such as dietary changes, population growth, and rapid urbanization. Asia Pacific is one of the major pig-breeding regions and thus, requires a high quantity of animal feed. China has the largest live pig population in the world accounting for 415.9 million pigs. In recent years, China’s livestock industry has grown rapidly as the diets have shifted toward animal proteins. China is one of the prominent manufacturers of animal feed and livestock products owing to which, the feed production for sheep, aquaculture, egg-laying poultry, and cattle has increased rapidly.
This growth in China has boosted the demand for effective and quality feed ingredients, further propelling the market growth over the forecast period. Europe accounted for the second-largest revenue share in 2021 due to the increasing consumption of processed food in the form of meat and meat products coupled with the growing livestock production. European countries, such as the U.K., Germany, Italy, and France, have witnessed a rise in meat consumption over the past few years. The increasing use of yeast extract in animal feed for improving animal growth performance, digestibility, and others is anticipated to drive the market. In addition, increasing demand for high-quality meat and meat products is anticipated to boost the market growth in the region.
The global market is competitive owing to the strong presence of multinational companies operating to gain a strategic and competitive advantage over the others. The competitive nature of yeast extracts in the animal feed market has motivated players to implement various growth strategies. Key strategies adopted by yeast extract producers include new product launches, distribution agreements, and mergers & acquisitions. Companies in the market space have been increasingly venturing into various business strategies to expand their product reach and market presence in the country and on international grounds. Manufacturers have been actively collaborating with market leaders to produce yeast extracts to enhance their market penetration and product positioning.
Furthermore, the manufacturing process of yeast varies as per the requirements of end-users, such as food & beverage, cosmetics, cattle feed, and pharmaceutical industries. Therefore, companies engaged in the production of yeast mostly prefer a value-based pricing strategy to attain more profitability. Emerging players in the market have integrated their production and technical activities to provide advanced yeast products for use in end-use industries with a focus on expanding the distribution channels. These companies have attained a significant development in the formulation of yeast extracts along with the adaptation of product differentiation strategy. Some prominent players in the global yeast extracts for animal feed market include:
Garzanti Specialties S.p.A
AngelYeast Co., Ltd.
Phileo by Lesaffre
Market size value in 2022
USD 319.4 million
Revenue forecast in 2030
USD 553.2 million
CAGR of 7.1% from 2022 to 2030
Base year for estimation
2018 - 2020
2022 - 2030
Revenue in USD million/billion, volume in tons, and CAGR from 2022 to 2030
Revenue forecast, volume forecast, company ranking, competitive landscape, growth factors, and trends
North America; Europe; Asia Pacific; Central & South America; Middle East & Africa
U.S.; Canada; Mexico; Germany; U.K.; Italy; France; China; India; Japan; South Korea; Thailand; Brazil; Argentina; Saudi Arabia; South Africa
Key companies profiled
Lallemand Inc.; Garzanti Specialties S.p.A; AngelYeast Co., Ltd.; Leiber; Alltech; Biorigin; Ohly; Phileo by Lesaffre
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This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global yeast extracts for animal feed market report on the basis of application and region:
Application Outlook (Volume, Tons; Revenue, USD Million, 2018 - 2030)
Regional Outlook (Volume, Tons; Revenue, USD Million, 2018 - 2030)
Central & South America
Middle East & Africa
b. The global yeast extract for animal feed market size was valued at USD 298.3 million in 2021 and is anticipated to reach USD 319.4 million in 2022
b. The global yeast extract for the animal feed market is anticipated to grow at a compound annual growth rate (CAGR) of 7.1% from 2022 to 2030 and reach USD 553.2 million by 2030
b. The poultry application segment dominated the yeast extract for animal feed market with a revenue share of 39.6% in 2021. This is attributed to the increasing demand for broiler meat globally.
b. Some prominent players in the yeast extract for animal feed market include Lallemand Inc, Garzanti Specialties S.p.A, AngelYeast Co., Ltd., Leiber, Alltech, Biorigin, Ohly, Phileo by Lesaffre
b. The demand for yeast extracts is driven by the shift in the trend towards naturally derived materials in animal feed.
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