Market Trends of Canada Compound Feed Industry
This section covers the major market trends shaping the Canada Compound Feed Market according to our research experts:
Growing Inclination Towards Meat and Increasing Exports
According to statistics from the Government of Canada, Retail sales of fresh meat in Canada were estimated at USD 11 billion (2.8 million Metric Ton) in 2021, indicating a 1% rise over USD 10 billion (2.6 million Metric Ton) in 2017. With USD 3.65 billion (1.4 million Metric Ton) in sales in 2021, poultry meat was the biggest category, followed by beef and veal. Between 2017 and 2021, sales of chicken meat increased at the fastest rate, with a CAGR of 4.2%. In terms of sales, pork meat was the third largest fresh meat category in 2021. The value of pork meat sales was USD 3.5 million which is propelling the market for animal rearing. This is anticipated to benefit the feed industry in the upcoming years.
An increase in demand for various animal products, such as milk, dairy products, meat products, eggs, and other non-food items, has led to the growth in the usage of feed additives, thereby, boosting the growth of compound feed in the animal feed market. According to ITC Trademap statistics, beef and veal, export was 108,296 metric ton in 2021. The export value totaled USD to 625,233 thousand which has doubled as compared to 2017. The rising demand for animal products and processed meat has created an opportunity for feed manufacturers to enhance animal productivity.
Commercial Livestock Production is Driving the Market
The per capita consumption of red meat and poultry products has increased rapidly, as it is actively considered an important source of nutrition/protein by consumers under different demographics. In response to globalization and the rising demand for animal-sourced foods, the livestock sector attained strong growth. The Commercialisation of Livestock has resulted in a higher volume of animals in recent years. According to Canadian statistics, the volume of chicken produced in the country stood at 1.3 Million metric ton. Canadian feed companies have lately been engaged in developing interesting new products for the poultry sector, including the addition of new feed components permitted for use in Canada in order to meet the market's strong demand for quality feed.
The diets of livestock, primarily poultry, and swine, contain highly digestible corn and soybean meal as base ingredients. Furthermore, in 2018, Enterra Feed Corporation received approval from the Canadian Food Inspection Agency (CFIA) to sell Enterra whole-dried larvae in the country, as a feed ingredient for tilapia and poultry, including chickens, ducks, geese, and turkey. These sustainable alternatives are in high demand from feed manufacturers around the country, as the market for salmon continues to grow.
