Written by Stella Meehan from Agriland
Global animal feed production remained steady in 2023 at 1.29 billion metric tonnes (BMT), a slight decrease of 2.6 million metric tons (MMT) — or 0.2% — from 2022’s estimates.
That’s according to the 2024 Agri-Food Outlook, released today (Tuesday, April 2) by Alltech.
The annual survey, now in its 13th year, includes data from 142 countries and more than 27,000 feed mills.
The overall lower demand for feed was due, in part, to the more efficient use of feed, according to Alltech.
This was made possible by intensive production systems that focus on using animal nutrition, farm management and other technologies to lower feed intake while producing the same amount of protein, or more.
A slowdown in the overall production of animal protein, in response to tight margins experienced by many feed and animal protein companies, also contributed to lower feed demand, the publication states.
Changing consumption patterns caused by inflation and dietary trends, higher production costs and geopolitical tensions also influenced feed production in 2023, according to Alltech.
The top 10 feed-producing countries are:
Together, the top 10 countries produced 63.1% of the world’s feed production (same as in 2022), and almost half of the world’s global feed production is concentrated in four countries – China, the US, Brazil and India.
Feed mills by region. Source: Alltech 2024 Agri-Food Outlook
Poultry experienced an increase in broiler feed production (385.04 MMT, +13.10 MMT, +3.5%) and remained steady with a slight increase for layers.
Broiler feed now accounts for 29.9% of the total feed tonnage in the world thanks to a 3.5% increase in overall tonnage in 2023.
While this growth was not uniform across all regions, the poultry sector is poised to keep holding strong in 2024 thanks to a combination of regional successes and global market dynamics.
Some of the biggest factors that will contribute to the resilience of the broiler sector include reduced costs for inputs, such as feed and energy, and increases in margins and profitability.
For layers, there are industry-wide efforts to optimise feed efficiency and to keep pace with changing dietary trends and new purchasing power.
Some markets around the globe were significantly impacted by macroeconomic challenges and disease outbreaks, which can disrupt production cycles.
Still, the general outlook for the layer industry remains positive thanks to its resilience in the face of difficult circumstances, when other protein sectors often struggle to adapt, according to the Alltech report.
The global pig feed production sector faced many challenges in 2023, which led to an overall decrease in pig feed production of 1.23% (320.80 MMT, -4.01 MMT).
Latin America stood out as the only region that achieved an increase in pig feed production in 2023, while Europe, Asia-Pacific and North America — which have traditionally been the top pig-feed-producing regions in the world — all faced challenges.
African swine fever (ASF) continues to wreak havoc on pig production in China and Southeast Asia, where repopulation efforts are slowly proceeding, according to Alltech.
The trends highlight the complex relationship between economic factors, supply dynamics and disease management in the global pig feed industry.
Addressing these challenges will be crucial for sustaining animal agriculture and ensuring food security, according to the report.
Dairy feed tonnage decreased by 2.3% (126.23 MMT, -2.28%), primarily due to the high cost of feed combined with low milk prices, which led farmers to make strategic adjustments that included reducing their cow numbers and/or relying more on non-commercial feed sources.
In Europe, dairy producers will continue to grapple with stricter environmental policies in the years ahead, and they will need to find new ways to continue growing, the report has outlined.
Asia-Pacific managed to buck the downward trend and emerged as the only region that increased its dairy feed tonnage in 2023.
This growth was fuelled by a continued increase in the consumption of milk products there, as well as an expansion of feed production in cooperatives.
This shift reflects the delicate balance between economic factors and the need to sustain dairy production. Lower feed costs and higher milk prices would help right the ship, the Alltech outlook stated.
Beef feed production decreased by 4.36% (117.49 MMT, -5.35 MMT) globally – the most pronounced downward change among all species sectors last year.
Changes in cattle cycles in the US and stricter sustainability policies in Europe had major impacts, with the Asia-Pacific beef sector notably surpassing Europe’s in 2023.
The substantial decline in North America was the result of lingering droughts and high production costs, among other issues.
While the European and North American beef industries are expected to continue declining in 2024, growth is expected in China, Brazil and Australia.
North America saw a decrease of 2.8 MMT (259.26 MMT, -1.1%), with beef feed tonnage down significantly, according to Alltech.
The pig and dairy sectors also slipped slightly, but the broiler, layer and pet sectors more than made up the difference. Feed tonnage in the broiler sector was up nearly 2.9%.
Latin America experienced growth in 2023 by 2.46 MMT (200.67 MMT, +1.24%).
Despite high production costs, geopolitical tensions and changing consumer behaviour due to economic reasons, the region continues to lead global growth, mainly because of its export-driven aquaculture, poultry and pork markets.
Europe continued its downward trend in feed production, with a decrease of 10.07 MMT (253.19 MMT, -3.82%) due to issues that included the invasion in Ukraine and the spread of animal diseases such as African swine fever (ASF) and avian influenza (bird flu).
Asia-Pacific led feed production growth in 2023, with an increase of 6.54 MMT (475.33 MMT, +1.4%). Feed production growth in the region’s ruminant sectors offset a setback in the aqua sector.
The region is home to several of the top 10 feed-producing countries, including China, India, Vietnam and Japan.
Alltech worked together with feed mills and industry and government entities around the world to compile data and insights to provide an assessment of feed production each year.
Compound feed production and prices were collected by Alltech’s global sales team in partnership with local feed associations in the first quarter of 2024.
The figures are estimates and are intended to serve as an information resource for industry stakeholders.
The post Global feed production in 2023 down marginally appeared first on Agriland.co.uk.
Continue reading on the Agriland Website...
Global animal feed production remained steady in 2023 at 1.29 billion metric tonnes (BMT), a slight decrease of 2.6 million metric tons (MMT) — or 0.2% — from 2022’s estimates.
That’s according to the 2024 Agri-Food Outlook, released today (Tuesday, April 2) by Alltech.
The annual survey, now in its 13th year, includes data from 142 countries and more than 27,000 feed mills.
The overall lower demand for feed was due, in part, to the more efficient use of feed, according to Alltech.
This was made possible by intensive production systems that focus on using animal nutrition, farm management and other technologies to lower feed intake while producing the same amount of protein, or more.
A slowdown in the overall production of animal protein, in response to tight margins experienced by many feed and animal protein companies, also contributed to lower feed demand, the publication states.
Changing consumption patterns caused by inflation and dietary trends, higher production costs and geopolitical tensions also influenced feed production in 2023, according to Alltech.
Top 10 feed-producing countries
The top 10 feed-producing countries are:
- China (262.71 MMT, +0.76%);
- The US (238.09 MMT, ‑1.13%);
- Brazil (83.32 MMT, +1.84%);
- India (52.83 MMT, +13.43%);
- Mexico (40.42 MMT, +0.02%);
- Russia (35.46 MMT, +3.83%);
- Spain (27.53 MMT, -11.88%);
- Vietnam (24.15 MMT, -9.63%);
- Japan (23.94 MMT, -1.15%);
- Turkey (23.37 MMT, -11.48%).
Together, the top 10 countries produced 63.1% of the world’s feed production (same as in 2022), and almost half of the world’s global feed production is concentrated in four countries – China, the US, Brazil and India.
| Country | Number of mills 2023 | Number of mills 2022 | Difference |
|---|---|---|---|
| Africa | 2,188 | 2,038 | 150 |
| Asia-Pacific | 7,627 | 7,146 | 481 |
| Europe | 6,288 | 6,553 | -265 |
| Latin America | 4,080 | 4,266 | -186 |
| Middle East | 872 | 813 | 59 |
| North America | 6,147 | 6,300 | -153 |
| Oceania | 195 | 195 | – |
| Total | 27,397 | 27,311 | 86 |
Outlook for feed sectors
Poultry experienced an increase in broiler feed production (385.04 MMT, +13.10 MMT, +3.5%) and remained steady with a slight increase for layers.
Broiler feed now accounts for 29.9% of the total feed tonnage in the world thanks to a 3.5% increase in overall tonnage in 2023.
While this growth was not uniform across all regions, the poultry sector is poised to keep holding strong in 2024 thanks to a combination of regional successes and global market dynamics.
Some of the biggest factors that will contribute to the resilience of the broiler sector include reduced costs for inputs, such as feed and energy, and increases in margins and profitability.
For layers, there are industry-wide efforts to optimise feed efficiency and to keep pace with changing dietary trends and new purchasing power.
Some markets around the globe were significantly impacted by macroeconomic challenges and disease outbreaks, which can disrupt production cycles.
Still, the general outlook for the layer industry remains positive thanks to its resilience in the face of difficult circumstances, when other protein sectors often struggle to adapt, according to the Alltech report.
The global pig feed production sector faced many challenges in 2023, which led to an overall decrease in pig feed production of 1.23% (320.80 MMT, -4.01 MMT).
Latin America stood out as the only region that achieved an increase in pig feed production in 2023, while Europe, Asia-Pacific and North America — which have traditionally been the top pig-feed-producing regions in the world — all faced challenges.
African swine fever (ASF) continues to wreak havoc on pig production in China and Southeast Asia, where repopulation efforts are slowly proceeding, according to Alltech.
The trends highlight the complex relationship between economic factors, supply dynamics and disease management in the global pig feed industry.
Addressing these challenges will be crucial for sustaining animal agriculture and ensuring food security, according to the report.
Dairy feed tonnage decreased by 2.3% (126.23 MMT, -2.28%), primarily due to the high cost of feed combined with low milk prices, which led farmers to make strategic adjustments that included reducing their cow numbers and/or relying more on non-commercial feed sources.
In Europe, dairy producers will continue to grapple with stricter environmental policies in the years ahead, and they will need to find new ways to continue growing, the report has outlined.
Asia-Pacific managed to buck the downward trend and emerged as the only region that increased its dairy feed tonnage in 2023.
This growth was fuelled by a continued increase in the consumption of milk products there, as well as an expansion of feed production in cooperatives.
This shift reflects the delicate balance between economic factors and the need to sustain dairy production. Lower feed costs and higher milk prices would help right the ship, the Alltech outlook stated.
Beef feed production decreased by 4.36% (117.49 MMT, -5.35 MMT) globally – the most pronounced downward change among all species sectors last year.
Changes in cattle cycles in the US and stricter sustainability policies in Europe had major impacts, with the Asia-Pacific beef sector notably surpassing Europe’s in 2023.
The substantial decline in North America was the result of lingering droughts and high production costs, among other issues.
While the European and North American beef industries are expected to continue declining in 2024, growth is expected in China, Brazil and Australia.
Feed production regional results
North America saw a decrease of 2.8 MMT (259.26 MMT, -1.1%), with beef feed tonnage down significantly, according to Alltech.
The pig and dairy sectors also slipped slightly, but the broiler, layer and pet sectors more than made up the difference. Feed tonnage in the broiler sector was up nearly 2.9%.
Latin America experienced growth in 2023 by 2.46 MMT (200.67 MMT, +1.24%).
Despite high production costs, geopolitical tensions and changing consumer behaviour due to economic reasons, the region continues to lead global growth, mainly because of its export-driven aquaculture, poultry and pork markets.
Europe continued its downward trend in feed production, with a decrease of 10.07 MMT (253.19 MMT, -3.82%) due to issues that included the invasion in Ukraine and the spread of animal diseases such as African swine fever (ASF) and avian influenza (bird flu).
Asia-Pacific led feed production growth in 2023, with an increase of 6.54 MMT (475.33 MMT, +1.4%). Feed production growth in the region’s ruminant sectors offset a setback in the aqua sector.
The region is home to several of the top 10 feed-producing countries, including China, India, Vietnam and Japan.
Alltech worked together with feed mills and industry and government entities around the world to compile data and insights to provide an assessment of feed production each year.
Compound feed production and prices were collected by Alltech’s global sales team in partnership with local feed associations in the first quarter of 2024.
The figures are estimates and are intended to serve as an information resource for industry stakeholders.
The post Global feed production in 2023 down marginally appeared first on Agriland.co.uk.
Continue reading on the Agriland Website...
