EU compound feed production saw limited growth in the past 12 months, according to the latest forecast from the EU Feed Manufacturers' Federation (FEFAC).
While the overall market shows resilience, the data reflects a nuanced picture, with the sector’s fortunes closely tied to external pressures and regional dynamics.
Industrial compound feed production in the EU27 is expected to reach 147.6 million tons in 2024, marking a marginal year-on-year increase of 0.50%.
The results are varied according to livestock categories given the differing impact that economic uncertainty, regulatory pressures, environmental challenges, and animal health concerns has had on the EU pig, poultry and cattle sectors.
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Poultry feed recovery gains momentum
Poultry feed is anticipated to see the most growth, with production forecast to increase by 1.3% to 49.7 million tons. This hike is driven by a resurgence in poultry farming in countries such as France, Spain, and Portugal, following significant disruptions caused by bird flu outbreaks in 2023.
However, regions like Hungary and Italy continue to grapple with H5N1 avian influenza, which could temper growth.
Pig feed sector stabilizes
While the pig feed sector remains under pressure, signs of stabilization are emerging.
Modest recovery is expected in Ireland (+3%), Spain (+5%), and Poland (+1.9%), despite a continuing decline in pig populations across the EU27.
African swine fever (ASF) and economic pressures remain significant challenges, exacerbated by emissions reduction policies in Germany, Belgium, and the Netherlands that have led to reduced herd sizes and uncertainty for producers.
Cattle feed production steady
The EU cattle feed sector is forecast to remain relatively stable at 42.2 million tons, with minimal fluctuations dependent on regional conditions, particularly the availability of roughage.
Snapshot of EU industrial feed production
FEFAC represents 21 national associations in the EU-27, as well as associate members in the UK, Norway, Switzerland, and Turkey.
The European compound feed industry employs over 100,000 people on about 3,200 production sites, often in rural areas, which offer few employment opportunities, notes the trade group.
Farm and pet animals in the EU-27 consume an estimated 644 million tons of feed per year, of which about 23% are produced by compound feed manufacturers, as per FEFAC data. The turnover of the European compound feed industry is estimated at €50bn annually.
Stay tuned for our upcoming interview with FEFAC president, Pedro Cordero.
