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Growing End-application Demand Induced by Rising Health Awareness
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Docosahexaenoic Acid (DHA) and Eicosapentaenoic Acid (EPA) are essential nutrients but are not normally produced by animals in any significant quantity. Adding DHA + EPA to animal feed helps to enhance fertility, enhance sperm count, enhance the viability of young, improve skin conditions, improve growth rate, improve feed conversion, and increase omega-3 content of meat and eggs. The inclusion of omega-3 in animal feed helps reduce inflammation, thereby reducing the intensity of allergies from flea bites, through contact and food. This is a common scenario among pets, and the consumption of omega-3-rich food products resolves this concern. In addition, omega-3 lessens skin scaling disorders, thereby promoting healthy skin. The importance of omega-3 is also emphasized by animal health organizations such as the Association of American Feed Control Officials (AAFCO), which enforces regulations for manufacturers to indicate the required allowances of omega-3 in food supplements. This is expected to have a positive influence on the animal feed market. The global animal feed DHA+EPA market is forecast to witness robust growth and is expected to reach $86.8 million in 2021, registering a compounded growth rate of 4.5% during the forecast period. An increase in the number of reported health benefits backed by scientific findings is expected to drive the omega-3 adoption rate in the animal feed industry. Several governments from around the world have published dietary recommendations about the intake of omega-3 fortified foods to curb the rising cost of medical care. Asia-Pacific is an emerging market in terms of the consumption of omega-3 products in animal feed. The expanding health-conscious population and the rising disposable income are the major factors driving demand. Furthermore, due to increased awareness in countries such as the United States and Canada, North America prevails as the largest contributor in terms of consumption of omega 3 (DHA+EPA). Besides India and China, countries such as Malaysia, Indonesia, and Singapore in Southeast Asia are constantly innovating products to cater to regional demand. For instance, companies in Malaysia offer Halal products, thereby promoting their products to Southeast Asian countries, which is a distinct factor that other nations lack. However, increasing concerns about the safety and sustainability of fish omega-3 ingredient sources is expected to restrain overall market growth. Furthermore, rising ocean temperature is anticipated to limit the availability of global marine life; this will also be a challenge for the growth of the DHA+EPA ingredient market. In addition, the DHA+EPA market is relatively fragmented at the global level. However, with increasing demand, competitive pricing, and proven efficacy of products, the top 3 competitor’s market share will increasingly consolidate market leadership. Furthermore, manufacturers are constantly investing in R&D and innovative technologies that provide superior capabilities such as quality, purity, and high concentrates, besides catering to multiple end applications. Some of the leading producers in the segment include companies such as DSM, Alltech and Roquette, among others.
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