Market Trends of United Kingdom Compound Feed Industry
This section covers the major market trends shaping the UK Compound Feed Market according to our research experts:
Increasing Demand for Animal Sourced Products
The per capita consumption of meat and other animal products has increased rapidly, as it is actively considered as an important source of nutrition/protein. According to the Organisation for Economic Co-operation and Development (OECD), poultry meat is the highest consumed followed by pork in the country. In 2016 the per capita consumption of poultry meat was 27.1 Kg which has increased to 28.3 by 2019. Also, in 2016 pork consumption was 17.2 which has slightly decreased to 17 Kg by 2019. According to the latest data released by The Department for Environment, Food and Rural Affairs (Defra), in April 2020, United Kingdom clean pig slaughter totaled 910,300 head, 2% more than in April 2019, with the meat quantity amounting to 81700 tons which is a 4% increase during the same period. Growth pork meat is a result of the campaigns and promotions over the previous two years for British pork, as a convenient and healthy midweek meal. This will further drive the market for animal feed during the study period.
Poultry Segment Dominates the Market
Meat products are growing rapidly due to the increasing health concern which is driving the commercial livestock production. According to the Food and Agriculture Organisation((FAO), in 2016 the poultry bird population was 167.3 million heads which increased to 184.3 million heads in 2018. According to the Agriculture and Horticulture Development Board (AHDB), in 2019, feed production in the country increased by 2.0% for poultry. An increase in demand for meat has led to the growth in production thereby, boosting the growth of the compound feed market. The rising demand for animal products and processed meat has created an opportunity for feed manufacturers to enhance animal productivity. The European Feed Manufacturers' Federation (FEFAC) estimated that in 2018 the production of compound feeds in the United Kingdom at 16.79 million metric tons, an increase of 3.3% from 16.26 million metric tons in 2017.
