Download Sample, Rising Demand for Sustainable Animal Feed is Creating Lucrative Opportunities for the Insect Feed Market Expansion
The rising meat consumption among consumers is one of the major driving factors of the insect feed market. In 2022, the Food and Agriculture Organisation of the United Nations had predicted that global meat production to reach 360 million tonnes (in carcass weight equivalent) in 2022, up 1.2 percent from 2021. To necessitate this growing demand for meat, insect feed was fed to livestock in order to increase its nutritional content. In addition, the growing environmental concerns are compelling consumers to adopt environment-friendly options in order to reduce the environmental impact. As a result, the animal feed industry has also undergone a significant transformation. There is an increase in demand for sustainable animal feed options with alternative protein sources such as insects.
Insect farming aligns with the environment-friendly requirements as it releases lesser greenhouse gas emissions and it also requires less water. Governments across various countries are also focusing on adopting insect farming as an alternative to animal nutrition. Regulatory bodies such as the U.S. Food and Drug Administration (FDA) or European Food Safety Authority are aimed at guaranteeing the quality and security of insect-based feed components, as well as addressing concerns about pollutants, infections and allergies. All these factors are propelling the insect feed market growth.
Insect farming aligns with the environment-friendly requirements as it releases lesser greenhouse gas emissions and it also requires less water. Governments across various countries are also focusing on adopting insect farming as an alternative to animal nutrition. Regulatory bodies such as the U.S. Food and Drug Administration (FDA) or European Food Safety Authority are aimed at guaranteeing the quality and security of insect-based feed components, as well as addressing concerns about pollutants, infections and allergies. All these factors are propelling the insect feed market growth.
Nutritional Benefits of Insect Feed and Ongoing R&D Activities are Driving the Market Growth
The rising demand for protein-rich foods in various segments such as aquaculture, livestock nutrition, and poultry nutrition among others is driving the insect feed market growth. Insect feed is considered to be rich in nutrients such as protein, healthy fats, and micronutrients. These nutritional benefits of insect feed enhance the immune system, improve gut health, and also help in digestion, thus creating a surge in demand for insect feed products. In addition, the production costs of alternative feed options such as soybean meal or fish meal are significantly higher as compared to insect feed.
Manufacturers are focusing on increasing the production of insect feed in order to reduce production costs. They are also producing insect feed for maintaining a continuous supply of feed for animal nutrition. Apart from this, continuous research and development have led to developments in the techniques for growing insects, feed formulas, and processing methods. These developments have resulted in enhanced quality of insect feed which is propelling the insect feed market expansion over the forecast period.
Manufacturers are focusing on increasing the production of insect feed in order to reduce production costs. They are also producing insect feed for maintaining a continuous supply of feed for animal nutrition. Apart from this, continuous research and development have led to developments in the techniques for growing insects, feed formulas, and processing methods. These developments have resulted in enhanced quality of insect feed which is propelling the insect feed market expansion over the forecast period.
Recent Trends in the Insect Feed Industry
- Increased demand for sustainable protein sources drives the insect feed market.
- Growing awareness of environmental benefits boosts insect feed adoption.
- Expansion of insect-based pet food products gains momentum.
- Insect-based aquafeed solutions have gained traction in the aquaculture industry.
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High Costs, Negative Consumer Perception and Availability of Alternatives can Hamper the Market Development
The insect feed market is growing significantly due to the increased adoption. However, there are some factors that are likely to restrain the market expansion. For instance, the production costs for the processing of insect feed are comparatively higher than traditional feed. This results in a decline in demand for insect feed in price-sensitive markets. In addition, the negative consumer perception regarding the use of insect feed is another limiting factor to the insect feed market growth. Some consumers may not prefer insect feed over traditional feed owing to cultural barriers. The availability of alternative feed options is also another factor contributing to the impediment of the insect feed market expansion over the forecast period.
New Product Launches, Corporate Recognitions and Investments Provide Traction to the Market Progress
Several key players are emphasizing research and development to create novel products that meet the market demand and in turn, enhance their product portfolio. They are also implementing various market strategies including new product launches, collaborations, and acquisitions in order to strengthen their market position. For example, in May 2023, Ÿnsect introduced a new B2B2C brand of insect-based ingredients: Spring which was designed exclusively for the pet food and treat sector. The new brand uses premium ingredients with health advantages and has a low environmental effect.
In November 2022, Innovafeed, the world's leading manufacturer of insect ingredients for animal and plant nutrition, announced that it had been accredited as a B Corporation by B Lab. This international certification demonstrated Innovafeed's greater emphasis on sustainability. In February 2022, Protix, the leading Dutch manufacturer of insect-based products, received EUR 50 million in equity from a consortium of investors that includes the European Circular Bioeconomy Fund (ECBF), BNP Paribas, the Prince Albert II Foundation, and The Good Investors.
In November 2022, Innovafeed, the world's leading manufacturer of insect ingredients for animal and plant nutrition, announced that it had been accredited as a B Corporation by B Lab. This international certification demonstrated Innovafeed's greater emphasis on sustainability. In February 2022, Protix, the leading Dutch manufacturer of insect-based products, received EUR 50 million in equity from a consortium of investors that includes the European Circular Bioeconomy Fund (ECBF), BNP Paribas, the Prince Albert II Foundation, and The Good Investors.
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Increased Meat Consumption, Adoption of Protein-Rich Insect Feed and Expanding Aquaculture is Boosting the Market Expansion
Asia Pacific is anticipated to hold a significant share in the insect feed market owing to the large-scale meat consumption in the region. China is considered to be a lucrative market for insect feed market. Owing to the growing meat demand, there has been a significant rise in the adoption of protein-rich insects in livestock nutrition. This has led to the growth of insect feed market expansion over the forecast period. Additionally, India is also adopting insect feed for livestock nutrition in order to reduce production costs and maintaina continuous feed supply.
On the other hand, North America is likely to witness substantial growth in the insect feed market during the forecast period. This growth is influenced by the increasing demand for sustainable animal feed in the region. Furthermore, the rising aquaculture in Europe is responsible for the increasing demand for insect feed market expansion. This rising demand has resulted in increased revenue sales for the insect feed market.
On the other hand, North America is likely to witness substantial growth in the insect feed market during the forecast period. This growth is influenced by the increasing demand for sustainable animal feed in the region. Furthermore, the rising aquaculture in Europe is responsible for the increasing demand for insect feed market expansion. This rising demand has resulted in increased revenue sales for the insect feed market.
The report provides a detailed overview of the insect feed market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for insect feed market has been offered for all regional market share, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the insect feed market. These Y-o-Y projections on regional and country-level markets brighten the political, economic and business environment outlook, which are anticipated to have a substantial impact on the growth of the insect feed market. Some key country and region included in the insect feed market report as follows:
| North America | United States, Canada |
| Latin America | Brazil, Mexico, Argentina, Colombia, Chile, Central America Countries, Caribbean Countries, Rest of Latin America |
| Europe | Germany, United Kingdom, France, Italy, Spain, Russia, Poland, Netherlands, Switzerland, Belgium, Sweden, Austria, Norway, Denmark, Czech Republic, Rest of Europe |
| Asia Pacific | China, India, Japan, South Korea, Australia & New Zealand, Indonesia, Singapore, Malaysia, Philippines, Vietnam, Thailand, Bangladesh, Rest of Asia Pacific |
| Middle East and Africa | GCC Countries, South Africa, Nigeria, Egypt, Turkey, Morocco, Ethiopia, Algeria, Israel, Iran, Iraq, Kenya, Rest of MEA |
Insect Feed Market Research Report Covers In-depth Analysis on:
- Insect feed market detailed segments and segment-wise market breakdown
- Insect feed market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in insect feed industry)
- Current, historical, and forthcoming 10 years market valuation in terms of insect feed market size (US$ Mn), volume (Tons), share (%), Y-o-Y growth rate, CAGR (%) analysis
- Insect feed market demand analysis
- Insect feed market pricing analysis over the forecast period (by key segment and by region)
- Insect feed market regional insights with the region-wise market breakdown
- Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
- Latest developments and innovations in the insect feed market
- Regulatory landscape by key regions and key countries
- Supply chain and value chain analysis in insect feed market
- Insect feed market sales and distribution strategies
- A comprehensive overview of the parent market
- A detailed viewpoint on insect feed market forecast by countries
- Mergers and acquisitions in the insect feed market
- Essential information to enhance market position
- Robust research methodology
- Frequently Asked Questions -
What factors are driving the growth of the insect feed market?
The insect feed market is expanding due to rising demand for sustainable protein sources, cost-effectiveness compared to traditional feed, government support, and increasing awareness about its environmental and nutritional benefits.
What are the main challenges in the insect feed market?
Regulatory restrictions, consumer acceptance, high initial production costs, and limited large-scale infrastructure are major challenges. However, technological advancements and policy support are helping to overcome these barriers.
What are the future trends in the insect feed market?
Innovations in automation, increased investments, diversification of applications, and wider regulatory acceptance are shaping the future of the insect feed market. Growing consumer preference for sustainable protein sources will also drive demand.
