Market Overview
The North American eubiotics market has been witnessing significant growth in recent years, driven by the increasing demand for natural and sustainable animal feed additives. Eubiotics are a class of feed additives that promote the growth of beneficial gut microorganisms and improve the overall health and performance of animals. The market encompasses a wide range of products, including probiotics, prebiotics, organic acids, and essential oils, among others. These products are used in various animal species, including poultry, swine, ruminants, and aquaculture, to enhance their digestive health, immunity, and productivity.
The growing concerns over the use of antibiotics in animal feed and the increasing consumer preference for antibiotic-free meat products have been the major factors driving the growth of the eubiotics market in North America. The regulations banning the use of antibiotics as growth promoters in animal feed have further fueled the demand for alternative feed additives like eubiotics. Additionally, the rising awareness about the benefits of eubiotics in improving animal health, reducing the risk of diseases, and enhancing the overall meat quality has also contributed to the market growth.
The North American eubiotics market is highly competitive, with the presence of several key players, including Cargill, Incorporated, Koninklijke DSM N.V., Kemin Industries, Inc., Novus International, Inc., and Lallemand Inc., among others. These companies are focusing on product innovations, strategic partnerships, and mergers and acquisitions to expand their market presence and meet the evolving needs of the animal feed industry.
The COVID-19 pandemic has had a mixed impact on the North American eubiotics market. While the disruptions in the supply chain and the temporary closure of animal feed production facilities have affected the market growth to some extent, the increased demand for animal protein and the growing emphasis on animal health and nutrition have provided opportunities for market expansion.
Key Takeaways of the Market
- The North American eubiotics market is expected to witness significant growth during the forecast period, driven by the increasing demand for natural and sustainable animal feed additives.
- The probiotics segment is expected to dominate the market, owing to the growing awareness about the benefits of probiotics in improving gut health and immunity in animals.
- The poultry segment is expected to hold the largest share of the market, due to the high consumption of poultry meat and the increasing demand for antibiotic-free poultry products.
- The United States is expected to be the largest market for eubiotics in North America, followed by Canada and Mexico.
- The key players in the market are focusing on product innovations, strategic partnerships, and mergers and acquisitions to expand their market presence and meet the evolving needs of the animal feed industry.
Market Driver
The North American eubiotics market is primarily driven by the increasing demand for natural and sustainable animal feed additives. The growing concerns over the use of antibiotics in animal feed and the potential impact on human health have led to the development of alternative feed additives like eubiotics. The regulations banning the use of antibiotics as growth promoters in animal feed have further fueled the demand for eubiotics in North America. In 2017, the U.S. Food and Drug Administration (FDA) implemented the Veterinary Feed Directive (VFD), which prohibits the use of medically important antibiotics in animal feed for growth promotion purposes. This has created a significant opportunity for the growth of the eubiotics market in the region.
Moreover, the increasing consumer preference for antibiotic-free meat products has also been driving the demand for eubiotics in animal feed. Consumers are becoming more aware of the potential health risks associated with the consumption of meat products from animals raised on antibiotics. As a result, they are increasingly demanding antibiotic-free meat products, which has led to the growth of the eubiotics market in North America. The rising awareness about the benefits of eubiotics in improving animal health, reducing the risk of diseases, and enhancing the overall meat quality has also been driving the market growth.
Another key driver for the North American eubiotics market is the increasing demand for animal protein. The growing population and the changing dietary preferences have led to an increased consumption of animal protein, particularly poultry and swine, in the region. This has resulted in the expansion of the animal feed industry and the increased demand for feed additives like eubiotics to improve animal health and productivity. Additionally, the growing emphasis on sustainable animal farming practices and the need to reduce the environmental impact of animal agriculture have also been driving the adoption of eubiotics in animal feed.
Market Restraint
Despite the positive growth prospects, the North American eubiotics market faces several challenges that may restrain its growth to some extent. One of the major challenges is the high cost of eubiotics compared to traditional feed additives like antibiotics. The production of eubiotics involves complex fermentation processes and requires specialized equipment and skilled labor, which adds to the overall cost of the products. This high cost may limit the adoption of eubiotics, particularly among small and medium-scale animal feed producers who may not have the financial resources to invest in expensive feed additives.
Another challenge faced by the North American eubiotics market is the lack of standardization and regulations for eubiotics products. Unlike antibiotics, which are regulated by the FDA, there are no specific regulations for eubiotics in animal feed in North America. This lack of standardization may lead to inconsistencies in product quality and efficacy, which may affect the overall market growth. Additionally, the absence of clear guidelines and regulations for the use of eubiotics in animal feed may also create confusion among animal feed producers and limit their adoption.
The limited awareness about the benefits of eubiotics among animal feed producers and farmers is another factor that may restrain the growth of the North American eubiotics market. Many animal feed producers and farmers may not be aware of the potential benefits of eubiotics in improving animal health and productivity and may continue to rely on traditional feed additives like antibiotics. The lack of scientific evidence and research on the long-term effects of eubiotics on animal health and productivity may also limit their adoption in the region.
Moreover, the availability of alternative feed additives like phytogenics and feed enzymes may also pose a challenge to the growth of the eubiotics market in North America. These alternative feed additives offer similar benefits to eubiotics in terms of improving animal health and productivity and may be preferred by some animal feed producers due to their lower cost and ease of use.
Market Opportunity
The North American eubiotics market presents several opportunities for growth and expansion in the coming years. One of the major opportunities is the increasing demand for species-specific eubiotics products. Different animal species have different gut microbiomes and nutritional requirements, which has led to the development of species-specific eubiotics products that are tailored to the specific needs of each animal species. For instance, the development of eubiotics products specifically designed for aquaculture species like shrimp and fish presents a significant opportunity for market growth, given the increasing demand for aquaculture products in North America.
Another opportunity for the North American eubiotics market is the growing demand for combination products that contain multiple eubiotics ingredients. The use of combination products that contain probiotics, prebiotics, organic acids, and essential oils has been shown to have synergistic effects on animal health and productivity. The development of such combination products presents a significant opportunity for market growth, as they offer a more comprehensive solution to improve animal health and productivity.
The increasing focus on animal welfare and the growing demand for sustainable animal farming practices also present an opportunity for the growth of the eubiotics market in North America. Eubiotics have been shown to improve animal welfare by reducing the risk of diseases and improving overall animal health. Additionally, the use of eubiotics in animal feed can reduce the environmental impact of animal agriculture by reducing the use of antibiotics and improving feed efficiency. The growing emphasis on sustainable animal farming practices and the need to meet the increasing demand for animal protein while minimizing the environmental impact presents a significant opportunity for the growth of the eubiotics market in the region.
Moreover, the increasing investment in research and development activities to develop novel eubiotics products and expand their applications presents an opportunity for market growth. The development of next-generation eubiotics products that offer enhanced efficacy, stability, and palatability can help expand the market and meet the evolving needs of the animal feed industry. Additionally, the exploration of new applications for eubiotics, such as their use in pet food and human nutrition, presents an opportunity for market diversification and growth.
Market Segment Analysis
- Probiotics Segment The probiotics segment is expected to dominate the North American eubiotics market, owing to the growing awareness about the benefits of probiotics in improving gut health and immunity in animals. Probiotics are live microorganisms that, when administered in adequate amounts, confer a health benefit on the host animal. The most commonly used probiotics in animal feed include Lactobacillus, Bifidobacterium, and Streptococcus species, among others.
The increasing demand for antibiotic-free meat products has been a major driver for the growth of the probiotics segment in North America. Probiotics have been shown to improve the gut health of animals by promoting the growth of beneficial gut microorganisms and reducing the risk of diseases. This, in turn, reduces the need for antibiotics in animal feed and helps in the production of antibiotic-free meat products.
Moreover, the growing emphasis on sustainable animal farming practices has also been driving the adoption of probiotics in animal feed. Probiotics have been shown to improve feed efficiency and reduce the environmental impact of animal agriculture by reducing the excretion of nutrients like nitrogen and phosphorus in animal waste. This has led to the increased use of probiotics in animal feed as a sustainable alternative to traditional feed additives.
The development of novel probiotic strains and the increasing investment in research and development activities to expand the applications of probiotics in animal feed present significant opportunities for the growth of the probiotics segment in North America. Additionally, the growing demand for species-specific probiotic products that are tailored to the specific needs of each animal species presents an opportunity for market expansion.
- Poultry Segment The poultry segment is expected to hold the largest share of the North American eubiotics market, due to the high consumption of poultry meat and the increasing demand for antibiotic-free poultry products. Poultry is one of the most widely consumed meat products in North America, and the demand for poultry meat is expected to continue to grow in the coming years.
The increasing consumer preference for antibiotic-free poultry products has been a major driver for the growth of the eubiotics market in the poultry segment. The use of antibiotics in poultry feed has been a concern for consumers due to the potential impact on human health. As a result, there has been a growing demand for antibiotic-free poultry products, which has led to the increased adoption of eubiotics in poultry feed.
Moreover, the high susceptibility of poultry to diseases like coccidiosis and necrotic enteritis has also been driving the demand for eubiotics in poultry feed. Eubiotics have been shown to improve the gut health of poultry and reduce the risk of diseases, which can help reduce the economic losses associated with disease outbreaks in poultry farms.
The development of novel eubiotics products specifically designed for poultry and the increasing investment in research and development activities to expand the applications of eubiotics in poultry feed present significant opportunities for the growth of the poultry segment in North America. Additionally, the growing demand for organic and free-range poultry products presents an opportunity for the growth of the eubiotics market in the poultry segment, as eubiotics are considered a natural and sustainable alternative to traditional feed additives.
Regional Analysis
The North American eubiotics market is expected to witness significant growth in the coming years, driven by the increasing demand for natural and sustainable animal feed additives in the region. The United States is expected to be the largest market for eubiotics in North America, followed by Canada and Mexico.
The United States is the largest producer and consumer of animal protein in North America, and the increasing demand for antibiotic-free meat products in the country has been a major driver for the growth of the eubiotics market. The regulations banning the use of antibiotics as growth promoters in animal feed have further fueled the demand for alternative feed additives like eubiotics in the United States. Moreover, the growing emphasis on sustainable animal farming practices and the need to reduce the environmental impact of animal agriculture have also been driving the adoption of eubiotics in animal feed in the country.
Canada is another significant market for eubiotics in North America, driven by the increasing demand for natural and sustainable animal feed additives in the country. The Canadian government has been promoting the use of alternative feed additives like eubiotics to reduce the use of antibiotics in animal feed and improve animal health and productivity. The growing demand for antibiotic-free meat products and the increasing emphasis on sustainable animal farming practices have also been driving the growth of the eubiotics market in Canada.
Mexico is expected to be a growing market for eubiotics in North America, driven by the increasing demand for animal protein and the growing emphasis on animal health and nutrition in the country. The Mexican government has been promoting the use of alternative feed additives like eubiotics to improve animal health and productivity and reduce the use of antibiotics in animal feed. The growing demand for antibiotic-free meat products and the increasing investment in animal agriculture have also been driving the growth of the eubiotics market in Mexico.
Competitive Analysis
The North American eubiotics market is highly competitive, with the presence of several key players operating in the market. These players are focusing on product innovations, strategic partnerships, and mergers and acquisitions to expand their market presence and meet the evolving needs of the animal feed industry.
Cargill, Incorporated is one of the leading players in the North American eubiotics market, offering a wide range of eubiotics products for various animal species. The company’s eubiotics portfolio includes probiotics, prebiotics, organic acids, and essential oils, among others. Cargill has been focusing on strategic partnerships and acquisitions to expand its market presence and strengthen its position in the eubiotics market. For instance, in 2018, Cargill acquired Diamond V, a leading manufacturer of fermentation-based animal feed additives, to expand its eubiotics portfolio and enhance its research and development capabilities.
Koninklijke DSM N.V. is another significant player in the North American eubiotics market, offering a wide range of eubiotics products under its Animal Nutrition & Health business segment. The company’s eubiotics portfolio includes probiotics, prebiotics, and organic acids, among others. DSM has been focusing on product innovations and strategic partnerships to expand its market presence and meet the evolving needs of the animal feed industry. For instance, in 2019, DSM launched Balancius, a novel feed ingredient that combines a unique strain of Bacillus subtilis with a proprietary protease enzyme to improve the gut health and performance of poultry.
Kemin Industries, Inc. is a leading player in the North American eubiotics market, offering a wide range of eubiotics products under its Nutrisurance brand. The company’s eubiotics portfolio includes probiotics, prebiotics, organic acids, and essential oils, among others. Kemin has been focusing on product innovations and strategic partnerships to expand its market presence and meet the evolving needs of the animal feed industry. For instance, in 2020, Kemin launched KemTRACE Chromium, a novel organic chromium propionate product that improves the gut health and performance of poultry and swine.
Other significant players in the North American eubiotics market include Novus International, Inc., Lallemand Inc., Chr. Hansen Holding A/S, Lesaffre Group, and Alltech, Inc., among others. These companies are focusing on product innovations, strategic partnerships, and mergers and acquisitions to expand their market presence and meet the evolving needs of the animal feed industry.
Key Industry Developments
- In 2021, Cargill, Incorporated launched Previda, a novel eubiotics product that combines a unique strain of Bacillus subtilis with a proprietary blend of essential oils to improve the gut health and performance of poultry.
- In 2020, Kemin Industries, Inc. launched KemTRACE Chromium, a novel organic chromium propionate product that improves the gut health and performance of poultry and swine.
- In 2019, Koninklijke DSM N.V. launched Balancius, a novel feed ingredient that combines a unique strain of Bacillus subtilis with a proprietary protease enzyme to improve the gut health and performance of poultry.
- In 2018, Novus International, Inc. launched CIBENZA DP100, a novel protease enzyme that improves the digestibility and utilization of protein in poultry and swine diets.
- In 2017, Lallemand Inc. acquired the animal nutrition business of Laboratoires Humeau, a leading manufacturer of probiotics and other natural feed additives, to expand its eubiotics portfolio and strengthen its position in the European market.
Future Outlook
The North American eubiotics market is expected to witness significant growth in the coming years, driven by the increasing demand for natural and sustainable animal feed additives and the growing emphasis on animal health and nutrition. The market is expected to be driven by the increasing demand for antibiotic-free meat products, the growing emphasis on sustainable animal farming practices, and the rising demand for animal protein in the region.
The probiotics segment is expected to dominate the market, owing to the growing awareness about the benefits of probiotics in improving gut health and immunity in animals. The poultry segment is expected to hold the largest share of the market, due to the high consumption of poultry meat and the increasing demand for antibiotic-free poultry products in the region.
The United States is expected to be the largest market for eubiotics in North America, driven by the increasing demand for antibiotic-free meat products and the growing emphasis on sustainable animal farming practices in the country. Canada and Mexico are also expected to witness significant growth in the coming years, driven by the increasing demand for animal protein and the growing emphasis on animal health and nutrition in these countries.
Market Segmentation
- By Product Type:
- Probiotics
- Prebiotics
- Organic Acids
- Essential Oils
- Others
- By Animal Type:
- Poultry
- Swine
- Ruminants
- Aquaculture
- Others
- By Form:
- Dry
- Liquid
- By Function:
- Gut Health
- Immunity
- Productivity
- Others
- By Geography:
- United States
- Canada
- Mexico
