Market Trends of South America Ruminant Feed Industry
This section covers the major market trends shaping the South American Ruminant Feed Market according to our research experts:
Growing Demand for Animal Feed
The highest growth for meat consumption is recorded in the South American region because of changing diet patterns, urbanization, rising population, and economic growth. In recent years there is an increasing awareness among the population, regarding the health benefits of protein intake. This brought several changes in dietary habits and consumption patterns, where the shift towards the increased consumption of meat and dairy products has been observed. Owing to this, the production quantity of ruminant meat has shown a positive growth rate of 8.3% from 2016 to 2019. Due to rising health consciousness among consumers, they are focusing on nutritious rich products, derived from cattle that are provided by enriched feed products. This increasing demand for various animal products is imposing a positive impact on the growth of the ruminant feed market in this region.
Brazil Dominates the Market
The Brazilian feed sector is the third-largest feed sector in the world, mainly due to the high amount of raw materials produced in this country and the size of the country. According to Alltech Global Feed survey data, Brazil produced a total of 69.5 million metric tons of animal feed in 2019, of which approximately 14 million metric tons accounted for feed produced for ruminants. The increasing demand for meat protein has triggered the ruminant meat production in the country, which in turn increased the uptake of ruminant feed and is expected to show a healthy growth rate further. Ruminant feed, apart from improving nutritional value, also plays a vital role in the quality improvement of meat and hence, gaining importance in the market. Furthermore, the growing population, increasing per capita consumption of meat, and the increasing adoption of intensive farming methods are the major factors driving the demand for ruminant feed in Brazil.
