Brazil Animal Feed Market - Forecasts from 2023 to 2028

Brazil's animal feed market is estimated to grow at a CAGR of 3.20% to reach US$22,313.782 million in 2028 from US$17,899.241 million in 2021.

Brazil has the world's third-largest feed sector for animals, mostly due to the nation's high raw material output and increased meat consumption. The country is the center of meat production and has high domestic feed consumption.

The growing livestock population is boosting the animal feed demand.

The potential expansion of the industry is sparked by the increased production and import of animal feed in Brazil. According to a USDA report on Brazil's livestock and products, swine growers have started to boost their piglet production as pork and swine meat prices rose in 2020. As a result, the swine population surged in 2021, and the slaughter rate increased in both 2021 and 2022. However, Brazilian beef production declined from 10.1 million tons of Carcass Weight Equivalent (CWE) in 2020 to 9.5 million tons in 2021, a six percent decrease due to the lack of available slaughter and high cost. The growing price of beef in Brazil is influencing customers to switch to cheaper meat like pork and swine, which is helping surge the overall growth of animal feed in the country.

Many producers intend to speed up the adoption of some innovative production technologies into their manufacturing processes to increase competitiveness in the local market. For instance, Altech Brazil started using total replacement technology in animal feed. Alltech Brazil claims that despite an increase in grain prices worldwide, the business would continue to support the expansion of the animal protein supply chain. As technology improves the profitability and quality of output, the emphasis is made on collaborating with farmers to enhance feed optimization. In the interim, Trouw Nutrition intends to quickly continue implementing its merger and acquisition (M&A) program in the Latin American area and the Brazilian animal feed market.

Increasing meat consumption and investments by manufacturers are expected to fuel the growth.

The growing desire for more dietary variety and protein consumption has led to the demand for foods with better nutritional content and quality, such as meat, eggs, and milk. The entire market for animal products in Brazil has increased significantly because of these changes in consumption patterns and significant population expansion.

Brazilian chicken meat output may increase by 1% in 2022 compared to 2021, reaching 14.5 million tonnes, according to the Brazilian Association of Animal Proteins (ABPA). It produced more chicken and pig meat in 2022, while sales of hog meat fell by 3%. Brazil's beef consumption is declining as people switch to less expensive protein options like chicken and eggs, and this is anticipated to persist in the upcoming years.

Market Developments:

December 2021:

AVANT AQUADIS, launched a disinfectant in Brazil and was marketed as 100% safe, biodegradable, and broad-spectrum for use in aquaculture, was created through technological collaboration with Adisseo SAS France.

October 2021:

Cargill and Integral Animal Nutrition, a Brazilian producer of cow feed, came to an agreement. Depending on Administrative Council for Economic Defense regulatory approvals (CADE), the acquisition was anticipated to close within the following two months.Market expansion and technological advancements by manufacturers in Brazil is also key factor propelling the growth of the animal feed market. For instance, in January 2022, Archer Daniels Midland Co. expanded its international research and development capabilities by opening its Aquaculture Innovation Lab at the Animal Nutrition Technology Centre (ANTC) in Illinois. This expansion builds on the company's existing aquaculture research facilities in Brazil, Mexico, and Vietnam. Furthermore, in June 2022, Prodap was bought by Royal DSM. Prodap is a Brazilian startup that combines technology, consulting services, and tailored nutritional products to promote efficiency and sustainability in the animal farming industry.

Market Segmentation:

By Type

• Fodder and Forage
• Compound Feed

By Livestock

• Swine
• Aquatic Animals
• Cattle
• Poultry
• Others

By Source

• Organic
• Conventional

By Production Systems

• Integrated
• Commercial mills

By Form

• Liquid
• Dry

By Raw Material

• Soya
• Corn
• Rendered Meat
• Others