Market Trends of North America Swine Feed Industry
Cereals are the Significant Segment by Ingredients Type
In recent years the consumer demand for animal protein rich in the form of meat products has increased significantly in North America. This influences the feed to produce delicious, disease-free, and healthy meat. Furthermore, the demand for pig meat-based products such as ham, salami, bacon, and others has contributed to market growth. Additionally, pork is the most popular and widely consumed meat source worldwide, mostly in North American countries. Pork is cheaper than other meat sources, which is a major factor in its high consumption. In addition, its palatability, fat content, and texture fascinate the consumer. The large middle-class population, growing disposable income, and changing consumer preferences are levitating pork demand.
Pork production and consumption are very high in developed countries, such as the United States, Canada, and Mexico. For instance, according to USDA, the production of pork meat in the year 2023 in Canada and the United States was observed at 2.11 million metric tons and 12.39 million metric tons respectively. This high amount of pork meat produced in the country has led to an increase in the consumption of swine feed leading to the high production of feed including cereals in the region.
In North America, cereals are the most common and widely used ingredient in swine feed worldwide. Cereals are a primary energy source, and they are used extensively in feed manufacturing. Corn, barley, and sorghum are the most common types of cereal ingredients used in the manufacturing of swine feed. Wheat and wheat gluten are the most efficient and cost-effective feed-binding ingredients. The glutinous nature of wheat makes it an excellent pelleting aid, and it often enhances pellet durability (particularly in rations), with little need for other natural binders. The several uses of cereals in swine feed increase the demand for the same in the feed industry, thereby driving the market's growth.
United States Dominates the Market
In North America, the U.S. stands out as a leading pork consumer, alongside Canada and Mexico, driving a heightened demand for swine feed. As the third-largest pork producer, the U.S. is experiencing a surge in demand for premium pork. This uptick is largely attributed to the growing popularity of Asian dishes—like char siu, bulgogi, and banh mi—and an escalating appetite for bacon and pork sausages. Consequently, this rising domestic consumption is likely to amplify the demand for swine feed. Though the country is among the major pork meat producers, they import pork meat to fulfill the consumer's demand. The import of pork meat in the country has also been observed to be increasing for the past two years due to the high demand for pork meat in the country. For instance, according to ITC Trade Map, the total import volume of pork meat was 316,796 metric tons which increased to 409,805 metric tons in the year 2022.
The government in the United States is also focusing on boosting the production of meat including pork meat in the country which will further drive the market for Swine Feed in the country. For instance, in April 2023, the government announced the availability of up to USD 125 million through a new grant program to the meat farmers including pork meat that will create more options for the farmers in the country.
