Marine ingredients are gaining the desired traction and are resonating with the consumer preferences, in light of their rare essential constituents. Demand for unique protein and fat content outside of their daily routine is increasingly setting eyes of consumers upon marine ingredients. However, the unbridged gap between the demand and supply ascending from the limited production of fishmeal and significant impact on exports with El Niño climate patterns lead to fluctuations in fishmeal prices, which has offered a center stage to the marine ingredients substitutes.
Marine Ingredients Market: Opportunities in ‘Infant Food’ Favor Gains
Buzz for organic foods and beverages can be seen in the Western markets excluding Latin America, where both large and small players are expending heavily in their production structure to get ‘organic’ and ‘antibiotic-free’ certified – our recent report finds that the marine ingredients market grew in excess of the CAGR 4.5% between 2013 and 2018 and is anticipated to advance at a rate closing in on 5.5% over the course of the forecast period.
Trends of adopting organic products over conventional ones as witnessed among the health aspirant demography are likely to come into play in helping the marine ingredients market march towards new records. Marine ingredients have to face-off only their partial substitutes, owing to their nutrient competent profile, which displays their monopoly as a rich-source of protein and paves way for their applications in the animal feed industry.
The marine ingredients market is significantly governed by the aquaculture manufacturers but crucial segments in the market are the health-driven marine ingredients – animal and pet foods and pharmaceutical industry; there is enormous growth potential for the nascent segment of marine ingredients enriched infant formula over the course of the forecast period.
A shift from animal nutrition to human health will also contribute towards steering the marine ingredients market towards record-breaking levels. Although the pharmaceutical and nutraceutical application of marine ingredients is specifically targeted at extracting the high protein contents and enhancing the nutritional value of food, ash as a crucial marine ingredient possesses impressive potential in the animal feed industry, in light of its effectiveness in feed intake and gut digestibility.
Since end-user industries leverage marine ingredients as an additive to their products, powdered marine ingredients acquire a majority of the market share. However, the emergence of liquid marine ingredients has been gaining them grounds and creating a favorable growth scenario. With the ever-growing demand for marine ingredients from numerous end-use industries, manufacturers are reliant on growing aquaculture as a means to produce more by-products from farmed species.
Marine Ingredients Market – Growing Focus on Clean Label and Sustainability
The marine ingredients market is characterized by its fragmented nature with a number of multinational, regional, and local players. The multinational players enjoy a well-established position and acquire a sizeable share of over 40% of the marine ingredients market. However, on a regional level, the marine ingredients market remains under the influence of regional players procuring a share of over 35% and local players securing a share of over 20%. Marine ingredients companies are heavily investing in research and development activities to develop precautionary cure as a high frequency of diseases affect species like shrimp and tilapia and adversely impact the aquaculture businesses.
With the rising resonance of consumers for organic marine ingredients, multinational players and new entrants are heavily expending in their production structure to get ‘organic’ certified. As the aquaculture landscape is crowding at a rapid pace, key players leverage branding and labelling activities as a means to appeal to consumers and secure a significant position in the marine ingredients market.
Marine Ingredients Market – Geographical Expansion Remains a Key Strategy
The multinational players foresee enormous growth potential in Asia Pacific and Europe region, owing to which they partner with other companies operating in the marine ingredients market to develop new product lines or expand their geographic reach. For example, in March 2019, Cargill Incorporated – a player operating in marine ingredients market, joined forces with Archer Daniels Midland Company (ADM) to launch Grainbridge LLC. The aim behind the launch of this joint venture is to develop digital tools that compile information on grain marketing initiatives, eCommerce, and economies to farmers based in North America.
This post was originally published on Market Reports