Market Trends of Africa Feed Antioxidants Industry
This section covers the major market trends shaping the Africa Feed Antioxidants Market according to our research experts:
Rising Status of Compound Feed Production to Drive the Antioxidant Demand
The African compound feed production was peaked at 40.6 million metric tons during 2018-19, with the increasing availability of feed raw materials in the region. Maize is one of the most commonly used ingredients in the poultry production, with maize alone constituting approximately 55% of the produced feed. The poultry feed industry primarily uses yellow maize. For instance, during 2017-18, of the overall supply of yellow maize in the country, which peaked at 5 million metric tons, 89% was directed to the animal feeds, including the poultry segment. Despite the potential agricultural supply of feed raw materials, the country has begun to import it, primarily owing to the rising feed demand, thereby anticipated to accelerate the feed antioxidant sales in the years to come.
South Africa to Dominate the Feed Antioxidants Market
The estimates released by the Food and Agricultural Organization (FAO) in 2018, the poultry population in the country was nearly 176.3 million heads, of which broilers and layers together accounted for nearly 99.3% of the total poultry population. As per the estimates released by Alltech Inc., in 2019, the broiler feed production in the country peaked at 3.39 million metric tons. The year started with favorable feed prices and sustainable grain stocks in the country. However, at the beginning of 2018, a heavy spotlight was thrown on the meat sector, especially attributing to the outbreak of listeriosis. The declining imports of broiler products over the past few years have eroded the demand for locally produced broiler products. Thus, the industrial production growth of broilers had settled at 3.0% in 2016, and contracted by 0.9% in 2017, and further spiked up by 5.5% in 2018. A little spike in the poultry prices was observed during the same period, particularly owing to the contraction of the maize supply and the ongoing COVID-19 outbreak in the country. However, the rising efforts of the government to organize the broiler sector, coupled with the growing demand for poultry meat, are likely to enhance the feed antioxidant sales in the years to come.
