Spain Alfalfa Hay Market Size (2024 - 2029)

Spain Alfalfa Hay Market Analysis

The Spain Alfalfa Hay Market size is estimated at USD 1.59 billion in 2024, and is expected to reach USD 1.99 billion by 2029, at a CAGR of 4.60% during the forecast period (2024-2029).

• Spain plays a pivotal role in Europe's alfalfa production. The market flourishes due to alfalfa's nutritional benefits, especially with the surging demand for premium animal feed. Two regions, Castilla y Leon and the Ebro Valley (encompassing Aragon and Catalonia), dominate Spain's alfalfa cultivation. These areas account for 20% and 80% of Spain’s dehydrated fodder output, respectively. Agricultural practices differ between these hubs. In the Ebro Valley, the “Aragón” variety is predominant, and with about 75% of the land irrigated, farmers can achieve up to six harvests a year. The Ebro Valley primarily targets export markets, with the Port of Barcelona as its main exit. In contrast, Castilla y Leon, where roughly 70% of the alfalfa is grown without irrigation, focuses on meeting the needs of the domestic dairy herd.
• Spain's alfalfa market grapples with a few challenges. Central to the issue is a dwindling population of cattle and beef animals, exacerbated by surging production costs. These rising costs, primarily driven by heightened input expenses, can be traced back to the ramifications of the Russia-Ukraine conflict. Furthermore, Spain anticipates a downturn in cattle exports to countries beyond the European Union (EU). Concurrently, the number of cattle farms in Spain has been steadily declining, with figures plummeting to 115,558 in 2022—a notable 10% decrease over the past decade. To add to these woes, a severe drought that commenced in the fall of 2022 has curtailed the production of grains, pastures, alfalfa, and other fodders, further inflating input costs for cattle operations.
• In 2023, Spain emerged as the world's leading exporter of alfalfa. Yet, the trade value saw a significant decline, dropping from USD 110.4 million in 2022 to USD 79.2 million in 2023. The United Arab Emirates, Jordan, and Saudi Arabia stand out as the primary destinations for Spanish alfalfa exports. The rising domestic production, coupled with increasing hay demand from the Middle East highlights Spain's strong market for alfalfa.

Spain Alfalfa Hay Industry Segmentation

Alfalfa is a leguminous plant with clover-like leaves and bluish flowers, native to southwestern Asia and widely grown for fodder. It is used for grazing, hay, and silage. Alfalfa is also given to fed animals as pellets where alfalfa is dehydrated. The Spanish Alfalfa Hay Market is segmented by Type (Bales, Pellets, and Cubes) and Application (Meat/Dairy Animal Feed, Poultry Feed, Horse Feed, and Other Applications). The Report Offers Market Sizing in Terms of Values in USD and Volume in Metric Tons.