South America Animal Protein Market Size and Share

South America Animal Protein Market (2026 - 2031)
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South America Animal Protein Market Analysis by Mordor Intelligence

The South America animal protein market is expected to grow from USD 647.51 million in 2026 to USD 818.16 million by 2031, with a compound annual growth rate (CAGR) of 4.79% during the forecast period. This growth is driven by the region's role as both a major consumer and exporter of animal protein products. Processors in the dairy, meat, and aquaculture industries are utilizing surplus raw materials to produce value-added products such as whey, casein, collagen, gelatin, and egg-based ingredients. Brazil leads the market due to its well-established and vertically integrated poultry, beef, and dairy supply chains, which ensure consistent product quality at competitive prices. Meanwhile, Chile is experiencing the fastest growth in the region, as its protein shortages are driving up import demand. The market remains moderately fragmented, with opportunities for growth driven by innovation and increasing demand for high-quality animal protein products.

Key Report Takeaways

  • By protein type, casein and caseinates held 37.54% of the South America animal protein market share in 2025, whereas collagen is advancing at a 5.46% CAGR through 2031.
  • By category, conventional products commanded 85.25% of the South American animal protein market in 2025, yet the organic segment is expanding at a 6.43% CAGR through 2031.
  • By application, food and beverages led with a 52.83% share of the South American animal protein market in 2025; personal care and cosmetics are growing fastest at a 6.44% CAGR to 2031.
  • By country, Brazil accounted for 55.63% of South America animal protein market share in 2025, while Chile is projected to log a 5.17% CAGR between 2026 and 2031.

Note: Market size and forecast figures in this report are generated using Mordor Intelligence’s proprietary estimation framework, updated with the latest available data and insights as of January 2026.

Segment Analysis

By Protein Type: Collagen Gains on Beauty and Joint Health

Casein and caseinates accounted for 37.54% of the South American animal protein market in 2025, making them the largest segment by value. This dominance is due to the extensive dairy farming and milk-processing facilities in countries like Argentina and Brazil, which enable consistent production of casein-based ingredients. These proteins are widely used in industries such as cheese production, bakery, beverages, and sports nutrition, ensuring steady demand. The segment benefits from reliable supply chains and established industrial applications across the region, further solidifying its position.

Collagen is the fastest-growing protein segment, with a projected CAGR of 5.46% between 2026 and 2031. This growth is fueled by increasing use in dietary supplements, functional foods, beauty-enhancing products, and pet nutrition. Consumers are becoming more aware of collagen’s benefits, such as improving joint health, skin elasticity, and recovery, which is driving its popularity. Furthermore, innovations in hydrolyzed collagen and user-friendly formats are making it more accessible, contributing to its rapid adoption across South America.

South America Animal Protein Market: Market Share by Protein Type
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By Category: Organic Certification Drives Premium Growth

Conventional animal protein products held the largest share of the South American animal protein market in 2025, accounting for 85.25% of the total market. This is mainly due to the use of efficient feed and farming systems that rely on high-yield crops like corn and soy, which help large producers keep costs low. Conventional animal protein benefits from well-established supply chains, widespread availability in retail stores, and competitive pricing. These factors make it the most popular choice for consumers across various income levels in the region.

On the other hand, organic animal protein is a smaller segment but is growing quickly, with a projected CAGR of 6.43% through 2031. This growth is driven by increasing consumer interest in clean-label products, ethical animal treatment, and sustainable farming methods. Urban and higher-income consumers are willing to pay more for certified organic meat, dairy, and protein products. As certification processes improve and distribution networks expand, organic animal protein is becoming more accessible despite its higher production costs and is gaining popularity among health-conscious buyers.

By Application: Personal Care Outpaces Traditional Food Uses

The food and beverage sector holds the largest share in the South America animal protein market, accounting for 52.83% of the total market share in 2025. This dominance is due to the growing use of animal proteins, such as whey, casein, and egg-derived proteins, in products like dairy beverages, baked goods, snacks, and ready-to-eat meals. These proteins not only improve the nutritional value of food but also provide functional benefits, such as improved texture, enhanced emulsification, and greater satiety. As a result, animal proteins have become a key ingredient in everyday food products, driving consistent demand across the region.

The personal care and cosmetics sector is emerging as a rapidly growing application area, with a projected CAGR of 6.44% through 2031. Ingredients such as collagen, gelatin, and milk proteins are being increasingly incorporated into skincare, haircare, and nutricosmetic products due to their benefits, including hydration, strengthening, and anti-aging properties. The rising popularity of beauty-from-within concepts and premium personal care products is further boosting demand for these proteins. This trend is expanding the use of animal protein ingredients beyond food applications, creating new growth opportunities in the cosmetics industry.

South America Animal Protein Market: Market Share by Application
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Geography Analysis

Brazil is the largest contributor to the South America animal protein market, accounting for 55.63% of the regional market share. This strong position is due to its advanced poultry, dairy, and feed-grain industries, which allow for cost-effective production and robust export capabilities. Brazil has a high domestic demand for animal protein, driven by its growing food processing industry, increasing focus on nutrition, and expanding pet food sector. Over the forecast period, Brazil is expected to retain its leading position, with its growth rate closely following the regional average.

Although smaller in market size, Chile is one of the fastest-growing markets in South America, with a projected CAGR of 5.17% over the forecast period. The country relies heavily on imports of milk proteins and egg-based ingredients because of its limited domestic dairy production. However, innovations in aquaculture and functional nutrition are driving growth, as urban consumers increasingly prefer products like collagen-enriched foods and beverages. These developments make Chile a promising market with significant growth potential, even though its overall market size is smaller than that of other countries in the region.

Colombia, Peru, and Argentina together make up the remaining share of the South America animal protein market, each offering unique contributions. Colombia's poultry industry plays a key role in meeting local demand and supporting regional trade. Peru is a major player in marine protein and fishmeal production, which are essential components of the protein supply chain. Argentina, known for its dairy and beef production, faces challenges such as climate issues and trade restrictions that impact its growth. Despite these challenges, these markets are expected to grow steadily, supported by improvements in production efficiency and a gradual shift toward higher-value protein products.

Competitive Landscape

The South American animal protein market is moderately fragmented, with large multinational dairy companies like Fonterra, Glanbia, and Arla Foods leading in the production of high-quality whey and caseinate proteins, which are essential for nutrition and infant formula. At the same time, regional suppliers play a significant role by catering to both local and export markets with standard and specialized protein products. This combination of global and regional players creates a competitive environment across various product categories, ensuring diverse options for consumers and businesses.

Regional producers, particularly in Brazil, benefit from their proximity to major livestock and dairy hubs, which helps reduce raw material costs and improves supply chain efficiency. These advantages allow them to respond quickly to customer demands. In the collagen and gelatin segments, global companies dominate the premium market, supplying high-value products for pharmaceutical, nutraceutical, and beauty applications. Their expertise in advanced formulations and applications makes it challenging for new players to enter these high-end segments, maintaining their stronghold in the market.

The future of the market is increasingly driven by innovation and scalability rather than just production volume. Opportunities are growing in areas like alternative proteins, precision fermentation, and advanced feed solutions, especially for aquaculture and animal nutrition. The adoption of technologies such as genomic selection, AI-based farm management, and digital traceability systems is helping suppliers meet stricter regulatory requirements while commanding higher prices. Rising costs for compliance and certifications are also pushing the market toward consolidation, favoring vertically integrated companies that manage the entire supply chain, from breeding and feed production to processing and ingredient extraction.

South America Animal Protein Industry Leaders

  1. Arla Foods amba

  2. Darling Ingredients Inc.

  3. GELITA AG

  4. Wilmar International

  5. Hilmar Cheese Company Inc.

  6. *Disclaimer: Major Players sorted in no particular order
South America Animal Protein Market
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Recent Industry Developments

  • December 2025: Brazil’s MAPA approved Lacprodan MFGM-10 for use in foods and beverages containing whey protein, which represented a significant milestone in Arla Foods Ingredients’ efforts to expand into the Brazilian market.
  • September 2025: Nestlé Brasil announced plans to invest BRL 1 billion by 2028 to expand and modernize its instant coffee factory in Araras, São Paulo. This initiative represented the largest investment among the company’s 18 operational units in Brazil. The investment was part of a broader BRL 7 billion package allocated for the period 2025-2028. Additionally, the company aimed to strengthen its production capabilities for various dairy products, including prato and mozzarella cheeses, whey protein, butter, cream cheese, and dairy blends, across its facilities in Ijuí, Teutônia, Santa Rosa, and Três de Maio.
  • January 2025: Piracanjuba announced an investment of BRL 499 million to establish a new whey protein and dairy processing facility in Brazil. This initiative aimed to significantly enhance the country's domestic whey production capacity to address the growing demand for high-quality dairy products.

Table of Contents for South America Animal Protein Industry Report

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET LANDSCAPE

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Rising health and nutrition awareness is encouraging higher protein intake
    • 4.2.2 Increasing use of animal protein in processed foods, snacks, and ready meals
    • 4.2.3 Growing demand for processed and value-added meat products
    • 4.2.4 Rising consumption of affordable protein sources such as poultry and eggs
    • 4.2.5 Rising demand for animal protein ingredients in pet food and animal nutrition
    • 4.2.6 Technological advancements in breeding, animal health, and feed efficiency
  • 4.3 Market Restraints
    • 4.3.1 High exposure to animal disease outbreaks such as avian influenza and foot-and-mouth disease
    • 4.3.2 Rising pressure from plant-based and alternative proteins
    • 4.3.3 Increasing compliance costs related to food safety, animal welfare, and sustainability standards
    • 4.3.4 Water scarcity and climate variability are impacting livestock productivity
  • 4.4 Value Chain Analysis
  • 4.5 Regulatory Outlook
  • 4.6 Technological Outlook
  • 4.7 Porter’s Five Forces
    • 4.7.1 Threat of New Entrants
    • 4.7.2 Bargaining Power of Buyers
    • 4.7.3 Bargaining Power of Suppliers
    • 4.7.4 Threat of Substitute Products
    • 4.7.5 Intensity of Competitive Rivalry

5. MARKET SIZE AND GROWTH FORECASTS (VALUE AND VOLUME)

  • 5.1 By Protein Type
    • 5.1.1 Casein and Caseinates
    • 5.1.2 Collagen
    • 5.1.3 Egg Protein
    • 5.1.4 Gelatin
    • 5.1.5 Insect Protein
    • 5.1.6 Milk Protein
    • 5.1.7 Whey Protein
    • 5.1.8 Others
  • 5.2 By Category
    • 5.2.1 Organic
    • 5.2.2 Conventional
  • 5.3 By Application
    • 5.3.1 Animal Feed
    • 5.3.2 Personal Care and Cosmetics
    • 5.3.3 Food and Beverages
    • 5.3.3.1 Bakery
    • 5.3.3.2 Beverages
    • 5.3.3.3 Breakfast Cereals
    • 5.3.3.4 Condiments/Sauces
    • 5.3.3.5 Confectionery
    • 5.3.3.6 Dairy and Dairy Alternatives Products
    • 5.3.3.7 RTE/RTC Food Products
    • 5.3.3.8 Snacks
    • 5.3.4 Nutritional Supplements
    • 5.3.4.1 Baby Food and Infant Nutrition
    • 5.3.4.2 Elderly and Medical Nutrition
    • 5.3.4.3 Sporta/Performance Nutrition
  • 5.4 By Country
    • 5.4.1 Brazil
    • 5.4.2 Colombia
    • 5.4.3 Chile
    • 5.4.4 Peru
    • 5.4.5 Argentina
    • 5.4.6 Rest of South America

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Concentration
  • 6.2 Strategic Moves
  • 6.3 Market Share Analysis
  • 6.4 Company Profiles (includes Global-level Overview, Market-level Overview, Core Segments, Financials (if available), Strategic Information, Market Rank/Share, Products and Services, Recent Developments)
    • 6.4.1 Arla Foods amba
    • 6.4.2 Darling Ingredients Inc. (Rousselot)
    • 6.4.3 GELITA AG
    • 6.4.4 Wilmar International Ltd.
    • 6.4.5 Hilmar Cheese Company Inc.
    • 6.4.6 Kerry Group plc
    • 6.4.7 Lactoprot Deutschland GmbH
    • 6.4.8 Royal FrieslandCampina N.V.
    • 6.4.9 Saputo Inc.
    • 6.4.10 Tyson Foods Inc.
    • 6.4.11 Tangará Foods S.A.
    • 6.4.12 Fonterra Co-operative Group
    • 6.4.13 Glanbia plc
    • 6.4.14 Archer Daniels Midland Company
    • 6.4.15 Agropur Inc.
    • 6.4.16 CJ Selecta
    • 6.4.17 BRF Ingredients
    • 6.4.18 Novus International
    • 6.4.19 Bunge Ltd.
    • 6.4.20 Lauridsen Group Inc.

7. MARKET OPPORTUNITIES AND FUTURE OUTLOOK

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South America Animal Protein Market Report Scope

The South American animal protein market is segmented by protein type, category, application, and country. Based on protein type, the market is classified into casein and caseinates, collagen, egg protein, gelatin, insect protein, milk protein, whey protein, and others. Based on category, the market is classified into organic and conventional. Based on application, the market is classified into animal feed, personal care and cosmetics, food and beverages, and nutritional supplements. By country, the market covers Argentina, Brazil, Colombia, Chile, Peru, and the Rest of South America. The market forecasts are provided in terms of value (USD).   

By Protein Type
Casein and Caseinates
Collagen
Egg Protein
Gelatin
Insect Protein
Milk Protein
Whey Protein
Others
By Category
Organic
Conventional
By Application
Animal Feed
Personal Care and Cosmetics
Food and Beverages Bakery
Beverages
Breakfast Cereals
Condiments/Sauces
Confectionery
Dairy and Dairy Alternatives Products
RTE/RTC Food Products
Snacks
Nutritional Supplements Baby Food and Infant Nutrition
Elderly and Medical Nutrition
Sporta/Performance Nutrition
By Country
Brazil
Colombia
Chile
Peru
Argentina
Rest of South America
By Protein Type Casein and Caseinates
Collagen
Egg Protein
Gelatin
Insect Protein
Milk Protein
Whey Protein
Others
By Category Organic
Conventional
By Application Animal Feed
Personal Care and Cosmetics
Food and Beverages Bakery
Beverages
Breakfast Cereals
Condiments/Sauces
Confectionery
Dairy and Dairy Alternatives Products
RTE/RTC Food Products
Snacks
Nutritional Supplements Baby Food and Infant Nutrition
Elderly and Medical Nutrition
Sporta/Performance Nutrition
By Country Brazil
Colombia
Chile
Peru
Argentina
Rest of South America
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Market Definition

  • End User - The Protein Ingredients Market operates on a B2B basis. Food, Beverages, Supplements, Animal Feed, and Personal Care & Cosmetic manufacturers are considered to be end-consumers in the market studied. The scope excludes manufacturers buying liquid/dry whey to be used for application as a binding agent or thickener or other non-protein applications.
  • Penetration Rate - Penetration Rate is defined as the percentage of Protein-Fortified End User Market Volume in the Overall End User Market Volume.
  • Average Protein Content - Average protein content is the average protein content present per 100 g of product manufactured by all end-user companies considered under the scope of this report.
  • End User Market Volume - End-user market volume is the consolidated volume of all types and forms of end-user products in the country or region.
Keyword Definition
Alpha-lactalbumin (α-Lactalbumin) It is a protein that regulates the production of lactose in the milk of almost all mammalian species.
Amino acid It is an organic compound that contains both amino and carboxylic acid functional groups, which are required for the synthesis of body protein and other important nitrogen-containing compounds, such as creatine, peptide hormones, and some neurotransmitters.
Blanching It is the process of briefly heating vegetables with steam or boiling water.
BRC British Retail Consortium
Bread improver It is a flour-based blend of several components with specific functional properties designed to modify dough characteristics and give quality attributes to bread.
BSF Black Soldier Fly
Caseinate It is a substance produced by adding an alkali to acid casein, a derivative of casein.
Celiac disease Celiac disease is an immune reaction to eating gluten, a protein found in wheat, barley, and rye.
Colostrum It is a milky fluid that’s released by mammals that have recently given birth before breast milk production begins.
Concentrate It is the least processed form of protein and has a protein content ranging from 40-90% by weight.
Dry protein basis It refers to the percentage of "pure protein" present in a supplement after the water in it is completely removed through heat.
Dry whey It is the product resulting from drying fresh whey which has been pasteurized and to which nothing has been added as a preservative.
Egg protein It is a mixture of individual proteins, including ovalbumin, ovomucoid, ovoglobulin, conalbumin, vitellin, and vitellenin.
Emulsifier It is a food additive that facilitates the blending of foods that are immiscible with one another, such as oil and water.
Enrichment It is the process of addition of micronutrients that are lost during the processing of the product.
ERS Economic Research Service of the USDA
Extrusion It is the process of forcing soft mixed ingredients through an opening in a perforated plate or die designed to produce the required shape. The extruded food is then cut to a specific size by blades.
Fava Also known as Faba, it is another word for yellow split beans.
FDA Food and Drug Administration
Flaking It is a process in which typically a cereal grain (like corn, wheat, or rice) is broken down into grits, cooked with flavors and syrups, and then pressed into flakes between cooled rollers.
Foaming agent It is a food ingredient that makes it possible to form or maintain a uniform dispersion of a gaseous phase in a liquid or solid food.
Foodservice It refers to the part of the food industry which includes businesses, institutions, and companies which prepare meals outside the home. It includes restaurants, school and hospital cafeterias, catering operations, and many other formats.
Fortification It is the deliberate addition of micronutrients that are not found in them naturally or which are lost during processing, to improve a food product's nutritional value.
FSANZ Food Standards Australia New Zealand
FSIS Food Safety and Inspection Service
FSSAI Food Safety and Standards Authority of India
Gelling agent It is an ingredient that functions as a stabilizer and thickener to provide thickening without stiffness through the formation of gel.
GHG Greenhouse Gas
Gluten It is a family of proteins found in grains, including wheat, rye, spelt, and barley.
Hemp It is a botanical class of Cannabis sativa cultivars grown specifically for industrial or medicinal use.
Hydrolysate It is a form of protein manufactured by exposing the protein to enzymes that can partially break the bonds between the protein's amino acids and break down large, complicated proteins into smaller pieces. Its processing makes it easier and quicker to digest.
Hypoallergenic It refers to a substance that causes fewer allergic reactions.
Isolate It is the purest and most processed form of protein which has undergone separation to obtain a pure protein fraction. It typically contains ≥ 90% of protein by weight.
Keratin It is a protein that helps form hair, nails, and the outer layer of skin.
Lactalbumin It is the albumin contained in milk and obtained from whey.
Lactoferrin It is an iron‑binding glycoprotein that is present in the milk of most mammals.
Lupin It is the yellow legume seeds of the genus Lupinus.
Millenial Also known as Generation Y or Gen Y, it refers to the people born from 1981 to 1996.
Monogastric It refers to an animal with a single-compartmented stomach. Examples of monogastric include humans, poultry, pigs, horses, rabbits, dogs, and cats. Most monogastric are generally unable to digest much cellulose food materials such as grasses.
MPC Milk protein concentrate
MPI Milk protein isolate
MSPI Methylated soy protein isolate
Mycoprotein Mycoprotein is a form of single-cell protein, also known as fungal protein, derived from fungi for human consumption.
Nutricosmetics It is a category of products and ingredients that act as nutritional supplements to care for skin, nails, and hair natural beauty.
Osteoporosis It is a medical condition in which the bones become brittle and fragile from loss of tissue, typically as a result of hormonal changes, or deficiency of calcium or vitamin D.
PDCAAS Protein digestibility-corrected amino acid score (PDCAAS) is a method of evaluating the quality of a protein based on both the amino acid requirements of humans and their ability to digest it.
Per-capita consumption of animal protein It is the average amount of animal protein (such as milk, whey, gelatin, collagen, and egg proteins) that is readily available for consumption by each person in an actual population.
Per-capita consumption of plant protein It is the average amount of plant protein (such as soy, wheat, pea, oat, and hemp proteins) that is readily available for consumption by each person in an actual population.
Quorn It is a microbial protein manufactured using mycoprotein as an ingredient, in which the fungus culture is dried and mixed with egg albumen or potato protein, which acts as a binder, and then is adjusted in texture and pressed into various forms.
Ready-to-Cook (RTC) It refers to food products that include all of the ingredients, where some preparation or cooking is required through a process that is given on the package.
Ready-to-Eat (RTE) It refers to a food product prepared or cooked in advance, with no further cooking or preparation required before being eaten.
RTD Ready-to-Drink
RTS Ready-to-Serve
Saturated fat It is a type of fat in which the fatty acid chains have all single bonds. It is generally considered unhealthy.
Sausage It is a meat product made of finely chopped and seasoned meat, which may be fresh, smoked, or pickled and which is then usually stuffed into a casing.
Seitan It is a plant-based meat substitute made out of wheat gluten.
Softgel It is a gelatin-based capsule with a liquid fill.
SPC Soy protein concentrate
SPI Soy protein isolate
Spirulina It is a biomass of cyanobacteria that can be consumed by humans and animals.
Stabilizer It is an ingredient added to food products to help maintain or enhance their original texture, and physical and chemical characteristics.
Supplementation It is the consumption or provision of concentrated sources of nutrients or other substances that are intended to supplement nutrients in the diet and is intended to correct nutritional deficiencies.
Texturant It is a specific type of food ingredient that is used to control and alter the mouthfeel and texture of food and beverage products.
Thickener It is an ingredient that is used to increase the viscosity of a liquid or dough and make it thicker, without substantially changing its other properties.
Trans fat Also called trans-unsaturated fatty acids or trans fatty acids, it is a type of unsaturated fat that naturally occurs in small amounts in meat.
TSP Textured soy protein
TVP Textured vegetable protein
WPC Whey protein concentrate
WPI Whey protein isolate
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Research Methodology

Mordor Intelligence follows a four-step methodology in all our reports.

  • Step-1: Identify Key Variables: The quantifiable key variables (industry and extraneous) pertaining to the specific product segment and country are selected from a group of relevant variables & factors based on desk research & literature review; along with primary expert inputs. These variables are further confirmed through regression modeling (wherever required).
  • Step-2: Build a Market Model: In order to build a robust forecasting methodology, the variables and factors identified in Step-1 are tested against available historical market numbers. Through an iterative process, the variables required for market forecast are set and the model is built on the basis of these variables.
  • Step-3: Validate and Finalize: In this important step, all market numbers, variables and analyst calls are validated through an extensive network of primary research experts from the market studied. The respondents are selected across levels and functions to generate a holistic picture of the market studied.
  • Step-4: Research Outputs: Syndicated Reports, Custom Consulting Assignments, Databases & Subscription Platforms
research-methodology
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