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Boosting Demand for Animal Feed Additives in Central and Eastern Europe, Says Frost & Sullivan


News provided by

Frost & Sullivan

13 Dec, 2012, 09:00 GMT

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- Feed additives are the answer to rising costs of raw materials, and enable safe and wholesome produce

LONDON, Dec. 13, 2012 /PRNewswire/ -- The rising costs of wheat, barley and soybean, used to feed livestock, are motivating farmers to replace these raw materials with more feed additives. Such feed additives usually complement an animal's diet, but are now being used in greater quantities. This is because crops traditionally used as livestock feed, are turning towards more lucrative biofuel applications.

New analysis from Frost & Sullivan (http://www.food.frost.com), Analysis of the Central and Eastern European Animal Feed Additives Market, finds that the market earned revenues of €798.6 million in 2011, and estimates this to reach €1,029.9 million in 2018. The segments covered in the research include vitamins, trace minerals, amino acids, essential fatty acids, acidifiers, enzymes, prebiotics, probiotics, antioxidants and mycotoxin inhibitors.

Feed additives increase animal growth, reduce environmental pollution and decrease production costs. Moreover, they enhance the physical characteristics of the feed material, improve nutrients' digestibility and eliminate pathogens.

"Additives can regulate growth, modify the rumen's activity and improve feed efficiency with increases in meat, milk and egg production of up to 15 per cent annually," noted Frost & Sullivan Chemicals, Materials and Foods Global Program Manager, Christopher Shanahan. "These improvements translate into safe and wholesome products for sale to consumers at lower costs."

However, the high price of selected feed additives, such as fatty acids, has restricted market penetration in the short term. With increasing awareness and affluence on the demand side, the impact of price is likely to decline.

"Compound feed often does not deliver all the necessary nutrients needed for the expected level of health and wellness of the animals," explained Shanahan. "Heightened awareness about the need and benefits of feed additives, along with farmers' openness towards new products, will undoubtedly drive the market in the future."

Product differentiation will play a key role in cutting through clutter. Participants offering customised, efficient and cost-effective products, backed by strong technical support will hold a strong advantage over their competitors.

"End users prefer a one-stop shop experience," concluded Shanahan. "Feed additive suppliers, therefore, need to develop innovative products that can be customised to address issue-specific challenges and that meet the needs of farmers."

If you are interested in more information on this study, please send an e-mail with your contact details to Chiara Carella, Corporate Communications, at chiara.carella@frost.com.

Analysis of the Central and Eastern European Animal Feed Additives Market is part of the Food and Beverage Ingredients Growth Partnership Service programme, which also includes research in the following markets: Aquaculture Feed Ingredients Market, European Animal Feed Ingredients Market and, Asia-Pacific Animal Feed Ingredients Market. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organisation prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us:     Start the discussion

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Analysis of the Central and Eastern European Animal Feed Additives Market
M712-88

Contact:
Chiara Carella
Corporate Communications – Europe
P: +44 (0) 20 7343 8314
M: +44 (0) 753 3017689
E: chiara.carella@frost.com

http://www.frost.com

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