Saudi Arabia Feed Additives Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 345.92 Million |
| Market Size (2029) | USD 466.61 Million |
| CAGR (2024 - 2029) | 6.17 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Saudi Arabia Feed Additives Market Analysis
The Saudi Arabia Feed Additives Market size is estimated at USD 345.92 million in 2024, and is expected to reach USD 466.61 million by 2029, at a CAGR of 6.17% during the forecast period (2024-2029).
Saudi Arabia is one of the wealthiest countries in the globe. According to the World Bank data, in 2023, the country’s GDP soared to USD 1,110 billion, as compared to 734.2 billion in 2020. This growth cements positioning as the 15th largest economy in the world and the dominant economy in the Middle East. As urbanization rises and disposable incomes swell, Saudi consumers increasingly prioritize protein in their diets. This shift has spurred a heightened demand for animal meat, meat products, and processed meats. Concurrently, with feed costs on the rise, farmers are under pressure. Many have turned to incorporating feed additives into animal diets to maintain meat quality without shouldering escalating input costs.
The rising concerns over livestock meat quality and ensuring the safety of meat products after the outbreak of different diseases have compelled producers across the chain to focus on the quality of feed for animals. Animals are constantly stressed out, which weakens their immune systems and makes them more susceptible to illnesses. Livestock and meat producer participants are using probiotics due to increased awareness, rising demand for animal nutrition, and the widespread prohibition of antibiotics. These factors are anticipated to propel the market for feed additives in Saudi Arabia.
Industrial-scale livestock production makes optimum use of high-quality feed to improve efficiency in the production process, improve feed conversion ratios, and enhance animal muscle mass and protein content. With the adoption of industrial-scale livestock production by a larger number of farmers, feed additives' production needs to improve to cater to this large production base of high-quality compound feed. According to the Saudi Ministry of Environment, Water and Agriculture (MEWA), in 2021, poultry meat production in Saudi Arabia was 930,221.9 metric tons with that total jumping to 1,130,095.6 metric tons in 2022. This is anticipated to boost the feed additives market in Saudi Arabia during the forecast period. Thus, the increasing poultry production is driving the feed additives market growth.
With animal protein becoming a staple in Saudi Arabia's diet, leading industry players are increasingly developing enzyme, photogenic, and amino acid-based animal feeds. These innovations aim to meet farmers' rising demand for high-quality feeds that enhance animal weight, production, and immunity. With the increase in investments in commercial animal production, the Saudi Arabian feed additives market is poised for significant growth during the forecast period. According to the Food and Agriculture Organizaion, among all animal types, poultry birds held the largest share of the feed additive market by value in Saudi Arabia, accounting for 52.8% in 2022. This is attributed to the increasing demand for poultry meat and higher feed production. Ruminants are the second-largest animal type in the country, accounting for 44.6% of the total market by value in 2022. The poultry section of Saudi Arabia is one of the largest sections in the country. For curing diseases in poultry, owners are using betaine in animal feed, which saves feed costs by replacing choline chloride and methionine as the methyl donor in poultry diets.
Saudi Arabia Feed Additives Market Trends
Increasing Use of Amino Acids in Animal Feed
Amino acid availability is one of the important factors that may determine the protein digestibility of the formulated feed. The most used amino acids in the Saudi Arabia compound feed industry include lysine, methionine, threonine, valine, glycine, and serine, among others. The ileal digestibility coefficient of these amino acids is one of the important factors that determine amino acid inclusion in the feed formulation. The ideal digestibility coefficients of methionine are observed to be the highest, ranging between 90-92, and the least is observed in glycine, ranging between 80-84. With rising feed costs and economic pressure, an optimum balance of crude protein content in the feed mix has become more important than ever. A wide array of factors are considered when matching protein to animal requirements. For instance, chickens have specific amino acid requirements for ideal egg and muscle protein synthesis. Supplemental amino acids, such as tryptophan, play a key role in addressing these challenges.
The challenge of reducing the feed cost by balancing the optimum amino acid composition in livestock diets is driving the demand for lysine as a feed additive. As demand for meat is on the rise, the meat industry is under immense pressure to supply the demand at a faster rate. According to the FAOSTAT, the production of chicken meat was 0.9 million metric tons in 2021 which increased to 1.13 million metric tons in 2022. To meet the increasing demand, meat companies are shifting to feed additives, like lysine, to support animal nutrition, health, and development. In poultry, 22 amino acids are needed to form body protein, some of which can be synthesized by the bird (non-essential), whereas others can not be made at all or in sufficient quantities to meet metabolic needs (essential).
Furthermore, feed-grade amino acids and feed emulsifiers have been extensively used as alternatives, to intact the protein in grow-finish diets and to maintain animal performance at an optimized cost. Thus, increasing awareness regarding the protein supplementation of amino acids, coupled with the unprecedented growth of the compound feed industry, is likely to further accelerate the sales of feed-grade amino acids in the future.
Poultry Leads as the Largest Growing Animal Category
Saudi Arabia stands as the prominent producer of poultry meat in the GCC. The rising demand for poultry meat in the country can be largely attributed to the increased consumption of processed poultry. Saudi consumers prefer white-appearing poultry meat as the meat is believed to be of high quality, which offers an authentic taste when cooked and is thus, good for health. This upward trend in poultry consumption, fueled by a growing population and an escalating appetite for protein-rich diets, is projected to bolster the demand for animal feed. Consequently, this surge in feed demand is likely to drive an increased use of feed additives across various poultry farms.
There have been numerous outbreaks of disease resulting from infected animals being consumed. In Saudi chicken farms, high mortality rates were predominantly linked to viral diseases, including Newcastle Disease (NCD), Gumboro (IBD), Infectious Bronchitis (IB), and the H9N2 subtype of Avian Influenza. Additionally, the highly pathogenic avian influenza (H5N8) has posed significant challenges during winter months. Notably, in February 2020, H5N8 was detected in Riyadh Province. Beyond veterinary interventions to prevent such outbreaks, the judicious use of specific animal feed additives such as antibiotics has shown promise in bolstering poultry health. Consequently, this has spurred a growing demand for these feed additives across the nation.
As poultry meat is one of the most consumed meat, most of the major players are focusing on creating enzyme, photogenic, and amino acid-based poultry feeds to cater to the increasing demand from the farmers for high-quality, efficient feeds to increase the weight, production, and immunity of birds. For instance, in 2021, Cargill introduced an improved poultry feed infused with enzymes to enhance the production and size of eggs and improve feed intake.
Saudi Arabia Feed Additives Industry Overview
The animal feed additives market is moderately concentrated, with major players including, Alltech, Cargill, Incorporated, Arasco, Al Muhaidib Group, and Saudi Mix. New product launches, mergers and acquisitions, and partnerships are the major strategies adopted by these leading companies in the market. Market players are focusing on making investments in innovation, collaborations, and expansions to increase their market share.
Saudi Arabia Feed Additives Market Leaders
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Alltech
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Arasco
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Saudi Mix
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Cargill, Incorporated
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Al Muhaidib Group
*Disclaimer: Major Players sorted in no particular order
Saudi Arabia Feed Additives Market News
- February 2023: The Arabian Agricultural Services Company (ARASCO) partnered with NEOM focused on innovation and sustainability, and Cargill to support the sustainable expansion of the Saudi aquacultural sector and its aspiration to achieve self-sufficiency in aquaculture protein demand by 2030 in an environmentally friendly manner.
- November 2022: Calysta and Adisseo have partnered to construct a feed protein plant in Saudi Arabia. The facility will produce FeedKind, a protein ingredient for animal feed, using Calysta's fermentation technology. The plant aims to meet the increasing demand for sustainable protein sources in the region, enhance food security, and reduce dependence on conventional feed ingredients.
Saudi Arabia Feed Additives Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumption & Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Rising Concern for Animal Health
4.2.2 Increasing Demand for Animal Protein
4.2.3 Increasing Production of Compound Feed
4.3 Market Restraints
4.3.1 Challenging Regulatory Conditions
4.3.2 Volatility in Raw Material Prices
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitutes
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Type
5.1.1 Acidifier
5.1.2 Amino Acids
5.1.3 Antibiotics
5.1.4 Antioxidants
5.1.5 Feed Binders
5.1.6 Enzymes
5.1.7 Flavors and Sweeteners
5.1.8 Minerals
5.1.9 Mycotoxin Detoxifiers
5.1.10 Pigments
5.1.11 Prebiotics
5.1.12 Probiotics
5.1.13 Vitamins
5.2 Animal Type
5.2.1 Ruminant
5.2.2 Poultry
5.2.3 Aquaculture
5.2.4 Other Animal Types
6. COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Alltech
6.3.2 Cargill, Incorporated
6.3.3 Evonik
6.3.4 Brenntag SE
6.3.5 Saudi Mix
6.3.6 Arasco
6.3.7 Al Muhaidib Group
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Saudi Arabia Feed Additives Industry Segmentation
Feed additives are used in animal nutrition to achieve an effect on the feed itself, improve the performance and health of animals, and enhance the nutritional value of animal products. The Saudi Arabia feed additives market is segmented by Additive Type ( Acidifiers, Amino acids, Antibiotics, antioxidants, Feed Binders, Enzymes, Flavors and Sweeteners, Minerals, Mycotoxin Detoxifiers, Pigments, Prebiotics, Probiotics, and Vitamins) and Animal Type (Ruminants, Poultry, Aquaculture and Other Animal Types). The report offers market estimation and forecasts in Value (USD) and Volume (Metric Tons) for all the above segments.
| Type | |
| Acidifier | |
| Amino Acids | |
| Antibiotics | |
| Antioxidants | |
| Feed Binders | |
| Enzymes | |
| Flavors and Sweeteners | |
| Minerals | |
| Mycotoxin Detoxifiers | |
| Pigments | |
| Prebiotics | |
| Probiotics | |
| Vitamins |
| Animal Type | |
| Ruminant | |
| Poultry | |
| Aquaculture | |
| Other Animal Types |
Saudi Arabia Feed Additives Market Research FAQs
How big is the Saudi Arabia Feed Additives Market?
The Saudi Arabia Feed Additives Market size is expected to reach USD 345.92 million in 2024 and grow at a CAGR of 6.17% to reach USD 466.61 million by 2029.
What is the current Saudi Arabia Feed Additives Market size?
In 2024, the Saudi Arabia Feed Additives Market size is expected to reach USD 345.92 million.
Who are the key players in Saudi Arabia Feed Additives Market?
Alltech, Arasco, Saudi Mix, Cargill, Incorporated and Al Muhaidib Group are the major companies operating in the Saudi Arabia Feed Additives Market.
What years does this Saudi Arabia Feed Additives Market cover, and what was the market size in 2023?
In 2023, the Saudi Arabia Feed Additives Market size was estimated at USD 324.58 million. The report covers the Saudi Arabia Feed Additives Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Saudi Arabia Feed Additives Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Saudi Arabia Feed Additives Industry Report
Statistics for the 2024 Saudi Arabia Feed Additives market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Saudi Arabia Feed Additives analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Saudi Arabia Feed Additives Market Report Snapshots
