The Japan compound feed market is projected to register a CAGR of 3.7% during the forecast period. Meat consumption in Japan is witnessing a healthy growth rate. The majority of meat consumed in Japan is, however, imported. The continuous rise in imported meat prices and the increasing demand for meat is exerting pressure on local producers to increase production to meet the demand. Under these circumstances, the demand for compound feed is rising, as animal farming is seeing a healthy growth rate during the forecast period. The major companies like Cargill Inc, Nutreco NV, KYODO INTERNATIONAL, INC., Alltech Inc., JAPAN NUTRITION Co. Ltd, Nosan Corporation., Feedone Co., Ltd. are dominating the market. In 2018, Nutriad established a partnership with Watanabe Chemicals to distribute its products in the Japanese market. With the help of a strong distribution network of Watanabe Chemicals, Nutriad introduced Adimix and Apex range in poultry, swine, and ruminants segment.
Key Market Trends
Growing Demand for Meat and Animal Sourced Products
Japan is becoming a nation of carnivores, as consumption of meat continues to rise amid changing lifestyles. Especially the pork and chicken meat consumption is gaining more popularity in the country is driving the animal feed market. Changing lifestyles are driving the shift towards a meat-heavy diet. According to OECD, in 2019, per capita, pork consumption was 16.2 Kg and poultry meat consumption was 17 Kg and the meat consumption is expected to grow further during the forecast period. Growing demand for processed meat and protein diet due to the rise in household income levels would continue to drive the demand for animal feed indirectly. According to the ITC Trade, in 2016 Japan imported swine meat which accounted for USD 4.17 billion which increased to USD 4.6 billion in 2019. Growing meat consumption is driving the market in the country.
Increase in Animal Farming Drives the Compound Feed Market
Animal farming is becoming very popular as the demand is rising due to the increasing meat consumption by the consumers to full fill the dietary requirements. According to the Food and Agriculture Organisation (FAO), in 2016 the poultry population was 310.13 million heads which increased to 323.12 million in 2018. The rise in the number of animals stimulates the demand for compound feed positively. According to the Alltech feed survey in 2019, feed production in the country reached 25.3 million metric tons of which poultry feed production is the highest at 10.4 million metric tons of production. Additionally, according to the ITC Trade, in 2019, Japan imported USD 445.5 million worth of feed ingredients as compared to USD 367.6 million in 2016. However, the Ministry of Agriculture is aiming to increase the self-sufficiency in the overall feed ingredients to 38% by 2020. In order to meet the demand of the growing population, animal farming is gaining popularity which in turn drives the compound feed market.
The Japanese compound feed market is fragmented with companies focused on acquiring feed mills and small manufacturing for expansion of the business in local as well as foreign markets. Some of the players have been expanding their geographical presence by acquiring or merging with the manufacturers in the foreign market. The leading companies focused on the expansion of the business across regions and setting up a new plant for increasing production capacity as well as a product line. The companies are also increasing production capacities of their existing plants. The major companies like Cargill Inc, Nutreco NV, KYODO INTERNATIONAL, INC., Alltech Inc., JAPAN NUTRITION Co. Ltd, Nosan Corporation., Feedone Co., Ltd. are dominating the market.
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1.1 Study Assumptions & Market definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Porter's Five Force Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5 MARKET SEGMENTATION
5.1 Animal Type
5.1.5 Other Animal Types
5.2.2 Cakes & Meals
6 COMPETITIVE LANDSCAPE
6.1 Most Adopted Competitor Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Cargill Inc.
6.3.2 Alltech Inc.
6.3.3 JAPAN NUTRITION Co.,Ltd
6.3.4 Feedone Co., Ltd.
6.3.5 Nosan Corporation.
6.3.6 Archer Daniels Midland
6.3.7 Charoen Pokphand Foods PCL
6.3.8 Kyodo Shiryo Company
6.3.9 Nutreco NV
6.3.10 KYODO INTERNATIONAL,INC.
6.3.11 CJ CheilJedang Corp.
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
8 IMPACT OF COVID-19
Secondary Research Information is collected from a number of publicly available as well as paid databases. Public sources involve publications by different associations and governments, annual reports and statements of companies, white papers and research publications by recognized industry experts and renowned academia etc. Paid data sources include third party authentic industry databases.
Once data collection is done through secondary research, primary interviews are conducted with different stakeholders across the value chain like manufacturers, distributors, ingredient/input suppliers, end customers and other key opinion leaders of the industry. Primary research is used both to validate the data points obtained from secondary research and to fill in the data gaps after secondary research.
The market engineering phase involves analyzing the data collected, market breakdown and forecasting. Macroeconomic indicators and bottom-up and top-down approaches are used to arrive at a complete set of data points that give way to valuable qualitative and quantitative insights. Each data point is verified by the process of data triangulation to validate the numbers and arrive at close estimates.
The market engineered data is verified and validated by a number of experts, both in-house and external.
REPORT WRITING/ PRESENTATION
After the data is curated by the mentioned highly sophisticated process, the analysts begin to write the report. Garnering insights from data and forecasts, insights are drawn to visualize the entire ecosystem in a single report.