The yeast market for animal feed application is set to grow exponentially by 2027 on account of rising adoption of yeast in animal feed due to its high nutritional value. Additionally, prominent demand for livestock and poultry worldwide is expected to further support market growth through the forecast period.
Yeast is deemed to be highly beneficial for the health of the livestock, especially the ruminants. In ruminants, yeast products like Saccharomyces cerevisiae and Aspergillus oryzae are commonly used to increase nutrient utilization, rumen fermentation characteristics, milk output, and daily gain. Yeast additions may improve digestibility, particularly for fiber components, by boosting cellulolytic microbial populations in the rumen.
Moreover, with the rising global population, there is a mounting demand for livestock products, such as milk, eggs, and meat. As a result, the yeast market for animal feed application has seen massive growth in key regions.
Furthermore, industry players have evolved new techniques to tap into developing marketplaces through product launches, collaborations, mergers, and acquisitions, which has altered market dynamics positively. For instance, in January 2021, Novus International Inc., a global leader in animal agriculture nutrition and health solutions, announced plans to restructure the organization with a stronger focus on gut health and innovation by entering into a partnership with Agrivida, a U.S.-based biotech innovator.
Citing another instance, in June 2021, France-based Biospringer by Lesaffre announced significant investments for the expansion of its yeast extract facility in Iowa. The expansion was intended to aid the company's operations and enhance its production capacity to meet the surging demand for yeast components offered by Lesaffre. This investment was also aimed at supporting the prevalent market trend for fermentation-derived natural origin ingredients.
The yeast market for animal feed application has been differentiated based on product, application, and region. In terms of product, the market has further been divided into dried inactive yeast, live yeast, hydrolyzed yeast, yeast beta-glucan, autolyzed yeast, yeast culture, and active dry yeast.
The yeast culture product segment is expected to grow at a CAGR of over 6% through the study timeline. Meanwhile, the yeast beta-glucan product segment is set to amass profitable gains through 2027, growing at approximately 7% CAGR over the forecast period.
With respect to application, the yeast market for animal feed application has further been bifurcated into swine (grower, sow, and starter), poultry (layer, turkey, broiler, and others), aquaculture (trouts, shrimps, salmon, carps, and others), equine, pet food, cattle (calf, dairy, and others), and others.
The broiler poultry application segment is anticipated to expand at over 7.5% CAGR through the assessment time period. The turkey poultry application segment is calculated to grow at a CAGR of around 6% through the projected time span.
Under the swine application, the starter segment is likely to expand at over 7% CAGR through the review period. The sow swine application segment is projected to register steady growth at a CAGR of more than 6.5% over the forecast period.
Under cattle application, the dairy segment is slated to progress at a notable pace at nearly 7% CAGR through the assessment timeline. The others cattle application segment is estimated to see profitable growth by 2027, delivering a CAGR of above 6% through the assessment timeline.
Under aquaculture application, the trouts segment and the carps segment are anticipated to expand at a CAGR of more than 6% over the analysis period. The equine application segment is likely to progress at a considerable CAGR of over 4.5% through the stipulated timeframe.
From the regional perspective, the LATAM yeast market for animal feed application is estimated to witness steady growth at a CAGR of around 4.5% through the study timeframe. Meanwhile, the Middle East and Africa yeast market for animal feed application is likely to grow at a CAGR of approximately 5% over the projected period.