Summary
Cheap cheap: Slowed demand for animal feed and falling feed prices have hurt revenue
Abstract
Farm Animal Feed Production in the US
Farm animal feed producers have enjoyed soaring revenue over the past five years, though revenue has begun to taper off from its peak in 2022. A major drought across the continental US severely cut crop yields in 2020 and 2021, pushing feed costs to historic highs, which forced feed manufacturers to up prices to preserve profitability. Imports skyrocketed in 2021 to supplement domestic production but have remained minuscule as a share of domestic demand. Overall meat consumption has continued to expand, despite slumps in beef consumption. Thanks to the industry’s ability to pass on most heightened input costs to downstream industries, industry-wide revenue has been growing at a CAGR of 2.9% over the past five years and is expected to total $46.4 billion in 2023, when revenue will sink by an estimated 2.3%.
This industry includes animal feed manufacturers that make food for livestock. Producers use remnants of flour milling, sugar production and other food processing as ingredient inputs to animal feed.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.
