The global aquafeed market size is anticipated to reach USD 85.17 billion by 2028 and exhibit a CAGR of 5.59% during the forecast period. The increasing popularity of aquafeed and the rising investments in the research and developments activities are projected to foster growth for the market. The market’s growth is also ascribable to the increasing seafood trade due to the soaring seafood consumption and consumer expenditure on fish and fish products such as fish meal, fish oil, and fish silage. Fortune Business InsightsTMhas presented this information in its report titled “Aquafeed Market, 2023-2028”. The market size was USD 55.71 billion in 2020 and reached USD 58.19 billion in 2021.
Supply Chain Disruptions to Hamper Market Growth
The coronavirus pandemic has drastically impacted the market. The disruptions in sea and air traffic and global supply chains have negatively impacted the market’s growth. The closure of several manufacturing plants has affected the market’s growth. However, the market is recovering due to the uptick in vaccination drives worldwide. It is expected to witness tremendous growth post-pandemic.
On the basis of type, the market is categorized into mollusks, crustaceans, fish, and others. On the basis of ingredient, the market is segmented into additives, fish oil, fishmeal, soybean, corn, and others. On the basis of form, the market is bifurcated into dry and wet. Geographically, the market is classified into South America, North America, Europe, Asia Pacific, and the Middle East & Africa.
Drivers & Restraints-
Increasing Seafood Trade to Favor Market Growth
The growing popularity of organic fish farming is anticipated to offer lucrative growth opportunities for the market. Though organic fish farming is still in nascent phase, the rising consumer inclination towards it is likely to favor market growth.
Increasing animal protein demand in major western nations and the rising seafood trade worldwide are projected to bolster the global aquafeed market growth. The increasing seafood consumption and consumer expenditure on fish & fish products including fish silage, fish meals, and fish oils are predicted to boost aquaculture production, and therefore stimulate market growth.
Lastly, the rising investments in research and development activities to develop innovative products by key players are expected to complement market growth.
However, the volatile prices of raw materials may hamper market growth.
Increasing Fish Production to Amplify Growth in Asia Pacific
Asia Pacific is anticipated to dominate the global aquafeed market share due to the swift market development during the last decade. India and China account for more than half of the region’s sales. The increasing fish production in China is likely to complement the market’s growth. Moreover, the rising business expansions in China and India are likely to amplify the growth of the market in Asia Pacific.
Europe is expected to witness substantial growth due to the soaring aquaculture production and the growing consumer inclination towards the production of salmon.
North America is projected to gain considerable growth due to the presence of prominent market players including Archer Daniels and Cargill Incorporated. Additionally, the high profits gained on exports of aquaculture are likely to complement the region’s market growth.
Key Players Emphasize Product Portfolio Diversification to Expand Market Share
The key players in the market emphasize product portfolio and distribution network diversification to augment their market reach and consumer bases. They adopt ingenious growth strategies including mergers and acquisitions, new product launches, technological advancements, and others. For instance, in January 2020, BioMar A/S expanded its production capacity through the inaugural of its new aquafeed plant in Wesley Vale, Tasmania. The new plant offers an annual production capacity of 110,000 tonnes of aquafeed.
- May 2021: BP Milling, a U.K.-based company, launched a new pelleted blend of fish attractants called SmartMix. The blend is packed with vital minerals and vitamins and immune boosting amino acids.
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