Compound Feed Market Analysis by Mordor Intelligence
The compound feed market size reached USD 590 billion in 2025 and is projected to increase to USD 725 billion by 2030, growing at a 4.21% CAGR over the forecast period. Demand is buoyed by rising global meat and fish consumption, rapid industrialization of livestock, and the spread of precision nutrition technologies that reduce waste and boost profits. The increasing use of artificial intelligence in formulation and government programs that promote sustainable farming practices is reinforcing growth among major manufacturers. Ingredient diversification toward functional supplements and upcycled by-products is also reshaping supply chains, while tighter rules on antibiotics and carbon labeling push producers toward natural additives. Together, these forces underpin a robust outlook for the compound feed market despite periodic raw-material cost swings.
Key Report Takeaways
- By animal type, poultry held 38.5% of the compound feed market share in 2024, while aquaculture is set to expand at a 5.8% CAGR through 2030.
- By ingredient, cereals accounted for 41.5% of the compound feed market size in 2024, while supplements are projected to register the fastest 6.7% CAGR to 2030.
- By form, pellets led with a 46% revenue share in 2024, whereas liquid feeds are forecast to grow at a 6.2% CAGR over the same horizon.
- By geography, Asia-Pacific commanded 39.5% of 2024 revenue, and the Middle East is poised for the highest 5.9% CAGR to 2030.
- The top five players controlled 26.2% of global sales in 2024, indicating a fragmented market and room for regional entrants to scale.
Global Compound Feed Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Rising demand for animal-based protein | +1.2% | Global, strongest in Asia-Pacific and Middle East | Medium term (2-4 years) |
| Expanding global livestock population | +0.8% | Developing regions worldwide | Long term (≥4 years) |
| Industrialization of poultry and swine farming | +0.9% | Asia-Pacific core, spillover to South America | Medium term (2-4 years) |
| Adoption of precision-nutrition software in feed mills | +0.6% | North America and European Union, growing in Asia-Pacific | Short term (≤2 years) |
| Upcycling agri-waste into feed | +0.5% | Europe first, spreading globally | Long term (≥4 years) |
| Carbon-footprint labeling pressures on feed formulators | +0.3% | Europe and North America | Medium term (2-4 years) |
| Source: Mordor Intelligence | |||
Rising demand for animal-based protein
Urbanization and income gains in emerging economies are driving larger servings of meat, milk, and seafood, prompting feed manufacturers to expand capacity and refine nutrient density. Shrimp output alone surpassed 5 million metric tons in 2024, stimulating specialized functional diets rich in peptides and nucleotides that enhance growth and immunity. Precision amino-acid balancing technologies such as Skretting’s AmiNova line are also reducing nitrogen discharge in aquaculture ponds, helping producers meet environmental benchmarks.
Industrialization of poultry and swine farming
Integrated corporations now deploy sensor networks and automated feeders that adjust rations in real time. Charoen Pokphand Foods’ AI FarmLab in Thailand uses computer vision and climate mapping to maintain uniform bird weights and cut feed conversion ratios, while large Chinese operators have partnered with Huawei Cloud to roll out edge-computing modules that track barn conditions continuously. These platforms translate to leaner inventories and lower disease risk, strengthening profitability.
Adoption of precision-nutrition software in feed mills
Digital twins and algorithm-driven formulation platforms are reshaping mill economics. ADM's EQUADVICE model predicts the nutrient contribution of more than 420 raw materials with batch-level accuracy, lowering formulation costs by 1-3% and improving margins by up to 75% through tighter inventory control. BinSentry’s silo-mounted sensors further slash out-of-feed events by 75%, saving fuel and labor across truck fleets.
Carbon-footprint labeling pressures on feed formulators
Retailers and quick-service chains increasingly request verified climate impacts on livestock products. Feed makers respond with phytogenic additives, enzymes, and probiotic blends that lift digestibility and cut methane or nitrous oxide emissions. U.S. Department of Agriculture (USDA) guidelines issued in 2024 emphasize third-party certification for any low-carbon label, accelerating the adoption of life-cycle analysis tools among premix suppliers.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Volatility in cereal and soybean prices | -0.7% | Import-dependent economies worldwide | Short term (≤2 years) |
| Grain diversion to bio-ethanol and bio-chemicals | -0.4% | North America and Brazil | Medium term (2-4 years) |
| Stringent caps on antibiotic usage in feed | -0.3% | Europe, North America, global spread | Long term (≥4 years) |
| Climate-driven variability in feed-crop yields | -0.5% | Weather-sensitive regions globally | Long term (≥4 years) |
| Source: Mordor Intelligence | |||
Volatility in cereal and soybean prices
Corn futures softened from USD 187 per metric ton in 2023 to USD 173.20 in 2024, while soybeans slipped from USD 494 to USD 441, reflecting shifting acreage and freight disruption around the Black Sea. Feed formulators hedge through diversified ingredient matrices, yet cost swings still pressure margins, especially in regions that rely on imports. The Ukraine-Russia conflict continues to influence global grain markets, with low stocks-to-use ratios affecting distillers-to-corn price relationships and creating uncertainty in feed ingredient procurement strategies.
Stringent caps on antibiotic usage in feed
Regulatory restrictions on antibiotic growth promoters necessitate substantial reformulation investments as the FDA's (Food and Drug Administration) Veterinary Feed Directive requires veterinarian prescriptions for medicated feeds, while the European Union implements strict cross-contamination limits for antimicrobial substances at 1% maximum levels.[1]Source: European Commission, “Delegated Regulation 2024/1229,” eur-lex.europa.eu Alternative feed additives, including essential oils, probiotics, prebiotics, and herbal formulations, require extensive validation and higher per-unit costs, though they offer improved animal health outcomes and reduced antimicrobial resistance risks.
Segment Analysis
By Animal Type: Faster growth in aquaculture amid poultry dominance
Poultry represented 38.5% of the compound feed market share in 2024, confirming its anchor position within the compound feed market. Robust demand for chicken protein and established industrial infrastructures keep volumes high. In contrast, aquaculture posted the strongest 5.8% CAGR outlook to 2030, signaling its rising strategic weight. Functional shrimp diets fortified with beta-glucans, carotenoids, and single-cell proteins now command premiums, elevating the compound feed market size for aquatic species. Precision nutrition platforms paired with water-quality sensors trim feed conversion ratios and reduce nitrogen loading, enhancing farm profitability and reinforcing environmental compliance.
Ruminant operators adopt radio-frequency identification (RFID) tags and facial-recognition cameras that track individual intake, allowing millers to offer custom concentrates that limit refusals and bolster daily gains. Swine integrators follow circular models that incorporate bakery waste, distillers' dried grains with solubles, and insect meal to offset soybean imports. Together, these shifts widen formulation complexity and create new niches for specialized premix blends across the compound feed market.
Note: Segment shares of all individual segments available upon report purchase
By Ingredient: Supplements outpace staples as health focus intensifies
Cereals still commanded 41.5% of the compound feed market share in 2024, but growth is flattening as cost volatility steers nutritionists toward alternative energy sources. Supplements are projected to rise 6.7% annually to 2030, the sharpest among ingredient categories. Adoption is fueled by zero-antibiotic programs and retailer sustainability scorecards that value feed efficiency. Cakes and meals derived from oilseeds retain importance yet face price swings linked to biofuel demand.
Circular economy initiatives accelerate the uptake of by-products such as citrus pulp, brewers' grains, and feather-derived keratin hydrolysate, offering fiber and functional peptides at competitive prices. Emerging proteins from algae, black soldier fly larvae, and methane-fed single-cell biomass also diversify supply. These innovations expand supplier pools, intensify quality-control demands, and transform procurement patterns within the compound feed market.
Note: Segment shares of all individual segments available upon report purchase
By Form: Liquid feed gains momentum while pellets stay dominant
Pellets captured the largest slice at 46% in 2024 due to durability, low dust, and compatibility with automated feeders. Moisture-controlled conditioning and post-pellet liquid application systems improve nutrient stability and cut pathogen load, reinforcing pellet appeal.[2]Source: Feed and Additive, "Innovations in pelleting technology for improved quality control in animal feed," feedandadditive.com Yet liquid feed is forecast to grow 6.2% annually, driven by fish and nursery-pig diets that benefit from higher digestibility and uniform additive dispersion.
Crumbles and mash retain roles in starter and layer diets where beak size or gut development demands specific textures. High-moisture extrusion is opening hybrid formats that blend plant and animal proteins without chemical binders, broadening formulation options and sustaining product innovation cycles across the compound feed market.
Geography Analysis
Asia-Pacific generated 39.5% of global revenue in 2024, anchored by China’s massive poultry and aquaculture complexes. Government grants that promote enzyme use and antibiotic reduction, together with aggressive smart-farming adoption, give regional players scale advantages. Vietnam, Indonesia, and Thailand are magnets for European joint ventures that introduce functional additives and cloud-based formulation services, extending market sophistication. The Middle East, though smaller in absolute terms, is on track for a 5.9% CAGR through 2030. Subsidized credit for feed plants, expanding dairy and poultry operations, and tighter food-safety mandates catalyze investment. Countries such as Saudi Arabia and the United Arab Emirates now require mycotoxin certificates on imported raw materials, lifting demand for certified premixes.
South America’s compound feed market benefits from merger and partnership deals that blend local distribution reach with European or North American technology. Brazil produced more than 81 million metric tons of compound feed in 2024, and new mineral-based toxin binders are entering swine and poultry diets to address mycotoxin hotspots in tropical storage environments. Europe shapes global policy through stringent residue limits and the Good Manufacturing Practice Plus (GMP+) Feed Safety Assurance scheme, pushing mills toward hazard analysis and risk-based auditing.
North America leads digital transformation, cloud analytics platforms integrating mill-sensor data with enterprise resource planning systems, cutting downtime and scaling multi-site control. Africa’s feed sector remains fragmented yet is pivoting toward climate-smart crops and drought-resistant sorghum and millet. Development agencies sponsor modular mill installations and mobile testing labs to ensure quality in remote regions. These initiatives, combined with fertilizer and seed subsidies, are raising feed reliability and lifting livestock yields, broadening the customer base for the compound feed market.
Competitive Landscape
The compound feed market exhibits fragmentation, with the top five manufacturers, Cargill, Incorporated, ADM, Nutreco (SHV Holdings), ForFarmers Group, and Charoen Pokphand Foods PCL (Charoen Pokphand Group), holding a significant portion of the combined revenue in 2024. Cargill, Incorporated, divested its Malaysian feed unit for RM 231 million (USD 49.3 million) to streamline Asian operations, while acquiring two U.S. mills to strengthen domestic network depth. ADM bought PT Trouw Nutrition Indonesia for USD 15 million to boost local premix capacity and cater to Halal-certified demand.
Nutreco’s management shake-up coincides with alliances focused on novel proteins and data services, signaling a pivot toward agile Research and Development. ForFarmers recorded 7% volume growth in 2024 through acquisitions in Poland and the Netherlands alongside a push for climate-aligned feeds. Charoen Pokphand Foods layers digital twins across its vertically integrated pork and poultry systems, translating sensor data into feed reformulations that lift feed conversion efficiency.
Innovative challengers are ascending. Novonesis agreed to buy DSM-Firmenich’s stake in the Feed Enzyme Alliance for EUR 1.5 billion (USD 1.61 billion), creating an integrated enzyme platform that quickens product cycling.[3]Source: Novozymes Press Office, “Novonesis to Acquire dsm-firmenich’s Share of the Feed Enzyme Alliance,” ft.com Calysta commercialized a methane-derived protein that displaces fish meal in shrimp diets, while BinSentry and other sensor firms monetize software-as-a-service models by guaranteeing mill uptime. Regional producers gain traction by blending imported know-how with local raw materials, intensifying competition and pressuring incumbents to localize quickly in growth hotspots.
Compound Feed Industry Leaders
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Charoen Pokphand Foods PCL (Charoen Pokphand Group)
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ForFarmers Group
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ADM
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Nutreco (SHV Holdings)
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Cargill, Incorporated
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- July 2025: Cargill, Incorporated, has reached an agreement to sell its Malaysian animal feed subsidiary, Cargill Feed Sdn Bhd, to CAB Cakaran Corporation Berhad for USD 54 million. The acquisition enables CAB to integrate feed production into its poultry operations, reducing its dependence on external feed suppliers.
- September 2024: Cargill, Incorporated, acquired two United States feed mills to enhance its production and distribution capabilities. The acquisition strengthens Cargill's Animal Nutrition and Health business operations in the United States by expanding its manufacturing and distribution network.
- August 2024: Charoen Pokphand Group and COFCO established a strategic partnership on August 8, 2024, to enhance collaboration in agriculture, food production, and global supply chains. This partnership strengthens CP Group's feed operations in China by improving access to raw materials and logistics networks, expanding its presence in the compound feed market.
- June 2024: Cargill established a technology center in Atlanta, Georgia, with plans to employ 400 professionals specializing in data engineering, artificial intelligence, and digital systems. The technology center enhances Cargill's compound feed operations by improving feed formulation, logistics management, and market response capabilities through data analytics.
Global Compound Feed Market Report Scope
Compound feed is a mixture of raw materials and supplements fed to the livestock, sourced from either plant, animal, organic or inorganic substances or industrial processing, whether or not containing additives.
The compound feed market is segmented by animal type (ruminants, poultry, swine, aquaculture, and other animal types), Ingredients (cereal, cakes and meals, by-products, and supplements (vitamins, amino acids, enzymes, acidifiers, probiotics, and prebiotics, and other supplements)), and Geography (North America, Europe, Asia-Pacific, South America, and Africa). The report offers market size and forecasts for compound feed in terms of value (USD) and volume (metric tons) for all the above segments.
| Ruminants |
| Poultry |
| Swine |
| Aquaculture |
| Other Animal Types (Equine, etc.) |
| Cereals |
| Cakes and Meals |
| By-products |
| Supplements |
| Pellets |
| Mash |
| Crumbles |
| Liquid |
| North America | United States |
| Canada | |
| Mexico | |
| Rest of North America | |
| South America | Brazil |
| Argentina | |
| Rest of South America | |
| Europe | Spain |
| United Kingdom | |
| France | |
| Germany | |
| Russia | |
| Italy | |
| Rest of Europe | |
| Asia-Pacific | China |
| India | |
| Japan | |
| Thailand | |
| Rest of Asia-Pacific | |
| Middle East | Saudi Arabia |
| Turkey | |
| Rest of Middle East | |
| Africa | South Africa |
| Egypt | |
| Rest of Africa |
| By Animal Type | Ruminants | |
| Poultry | ||
| Swine | ||
| Aquaculture | ||
| Other Animal Types (Equine, etc.) | ||
| By Ingredient | Cereals | |
| Cakes and Meals | ||
| By-products | ||
| Supplements | ||
| By Form | Pellets | |
| Mash | ||
| Crumbles | ||
| Liquid | ||
| By Geography | North America | United States |
| Canada | ||
| Mexico | ||
| Rest of North America | ||
| South America | Brazil | |
| Argentina | ||
| Rest of South America | ||
| Europe | Spain | |
| United Kingdom | ||
| France | ||
| Germany | ||
| Russia | ||
| Italy | ||
| Rest of Europe | ||
| Asia-Pacific | China | |
| India | ||
| Japan | ||
| Thailand | ||
| Rest of Asia-Pacific | ||
| Middle East | Saudi Arabia | |
| Turkey | ||
| Rest of Middle East | ||
| Africa | South Africa | |
| Egypt | ||
| Rest of Africa | ||
Key Questions Answered in the Report
How large is the global compound feed market in 2025?
The compound feed market size hit USD 590 billion in 2025 and is on course to reach USD 725 billion by 2030.
Which animal type is projected to grow fastest to 2030?
Aquaculture feed is forecast to post the highest 5.8% CAGR, driven by functional diets and sustainable protein initiatives.
What share of revenue do the top five feed manufacturers hold?
Industry leaders hold roughly 26.2% of worldwide sales, signaling fragmentation.
Which ingredient category is expanding quickest?
Supplements including enzymes and amino acids are projected to grow 6.7% yearly as producers focus on animal health and regulatory compliance.
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