Brazil Animal Nutrition Market - Forecast(2023 - 2028)

Brazil Animal Nutrition Market size is estimated at $11.2 billion in 2021, growing at a CAGR of 4.1% during the forecast period 2022-2027. Animal nutrition products are designed specifically to meet the dietary needs of animals. Some of the vital components found in animal nutrition products necessary for animals to maintain health and enhance productivity include amino acids, trace minerals, probiotics and phytobiotics. Some of the most common additives used to make animal feed include Pichia yeast, soybean and feed binders. Feed binders are used to glue the various additives and ingredients of the animal nutrition product to maintain pellet integrity. Rapid growth in the livestock population of Brazil is one of the major factors that is anticipated to drive the growth of Brazil Animal Nutrition industry during the forecast period 2022-2027.

The “Brazil Animal Nutrition Market Forecast (2022-2027)” by Industry ARC, covers an in-depth analysis of the following segments in the Brazil Animal Nutrition Market.

Based on Species, the Brazil Animal Nutrition market can be segmented into Aquaculture, Poultry, Ruminant, Swine, Pet Animal, Equine and Others. The Poultry segment accounted for the largest share of the market in 2021 and is poised to grow at a CAGR of 3.6% during the forecast period 2022-2027. The rapid growth of the segment can be attributed to the growth in Brazil’s export of poultry products during the forecast period. According to the United States Department of Agriculture (USDA), Brazil was the world’s largest exporter of chicken in 2021. Besides, chicken exports grew at a rate of around 5% in 2021. The Pet Animal segment is also anticipated to witness robust growth during the forecast period owing to the massive rise in the adoption of pet cats and dogs among the Brazilian population during the COVID-19 pandemic.

Based on Nutrient Products, the Brazil Animal Nutrition market can be further segmented into Eubiotics, Organic Acid, Enzymes, Vitamin D3 and Others. The Eubiotics segment accounted for the largest share of the Brazil Animal Nutrition market in 2021 and is projected to dominate the market during the forecast period 2022-2027. Eubiotics are feed additives that play a crucial part in enhancing animal performance and animal wellbeing by supporting gut health. The nutrient helps maintain a correct balance of microflora in the intestine tracts, thereby improving the gut performance of the animal. However, the Vitamin D3 segment is anticipated to witness the fastest growth at a CAGR of 5.2% during the forecast period 2022-2027. Vitamin D3 plays a vital role in bone formation and calcium and phosphorous regulation in cattle.

Based on Application, the Brazil Animal Nutrition market can be further segmented into Digestion Booster, Immune System Booster, Mycotoxin Binder and Others. The Digestion Booster segment dominated the Brazil Animal Nutrition Market in 2021 with a share of 36%. Products such as amino acids, trace minerals, probiotics, phytobiotics, enzymes and eubiotics are most commonly used to enhance animal digestion. Although the gut of livestock animals typically produces some quantity of digestive enzymes, they do not produce all the enzymes in sufficient quantities to enable absorption of all nutrients. Therefore, digestion boosters are used to increase the efficiency of digestion, thereby eliminating wastage, increasing efficiency and reducing costs for the farmers. The Immune System Booster segment is anticipated to register the fastest growth during the forecast period 2022-2027 owing to the rising prevalence of diseases among livestock animals in Brazil.

Growth in Brazil’s meat exports is anticipated to drive the market for animal nutrition as the higher exports are increasing the domestic livestock population, thereby increasing product consumption in the region. According to the United Nations COMTRADE database, Brazil exported around US$18.23 Billion worth of meat and poultry products in 2021. Besides, according to data from Secex (Foreign Trade Secretariat), Brazil exported 4.2 million tons of chicken meat between January and November 2021. This was 9.1% higher than what was shipped during the same period in 2020. 

Rising pet adoption in Brazil after the start of the COVID-19 pandemic is another major factor that is driving the demand for animal nutrition products in the country during the forecast period. According to Agence France-Presse, Brazil had the world’s second-largest market for dog food after the U.S. and the third largest market for pet food in general in 2021. This growth in the adoption of pets in the country caused the sale of pet food products to increase by 13.5% in 2020.

A surge in the Prices of Animal Nutrition Products is Likely to Challenge the Brazil Animal Nutrition Market Share 

Growing prices of animal nutrition products in Brazil are projected to challenge the growth of the market. According to Brazilian cooperatives, soybean prices have increased by 73%, while corn prices increased by around 140% between 2021 and 2022. Both these products combine to form around 51% of the production cost of poultry farms. In addition, the production of animal nutrition products has also declined in the country in 2021, which is further deteriorating the situation.

Product launches, mergers and acquisitions, joint ventures and R&D activities are key strategies adopted by players in the Brazil Animal Nutrition Market. In 2021. The top 10 companies in the Brazil Animal Nutrition Market are: