The distillers' grains market is estimated to be valued at USD 10.78 billion in 2018 and is projected to reach 14.95 billion by 2023, at a CAGR of 6.8% from 2018.
The market is driven by distillers' grains being used as a favorable alternative to traditional feedstock and growth of the organized livestock sector. Lack of awareness in developing countries, fluctuating prices of grains and Ill-effects of excess consumption are the major restraints for the growth of this market.
The DDGS segment is estimated to dominate the market for distillers' grains in 2018. It is also projected to grow at the highest CAGR during the forecast period. Properties such as high protein content, energy, and highly digestible phosphorus content in DDGS are responsible for its growing use as a partial replacement for some more expensive traditional animal feed such as corn and soybean meal.
The distillers' grains market, by source, is estimated to be dominated by the corn segment in 2018. The corn segment is mainly driven by the fact that this is the key grain used in ethanol production, resulting in an increasing supply of corn-based distillers' grains, as a by-product. Further, the high availability of phosphorus content in corn-based distillers' grains provides high energy and protein to livestock, and it is an economical alternative to other feed ingredients.
The North American market is estimated to be the largest in 2018. The market in North America is majorly driven by the high production and consumption of distillers' grains in the US market. Further growth can be attributed to the growing trade of distillers' grains from the US to Canada and Mexico, due to North American Free Trade Agreement (NAFTA). This agreement allows duty-free access to all products promoted by the United States Grains Council (USGC), which include distillers' grains.
The Asia Pacific market is projected to grow at the highest CAGR from 2018 to 2023. The increase in demand for animal-based products; growth of the regional population; the rise in disposable incomes; the rise in urbanization, especially in China, India, and Japan; and continuous modernization in the feed industry drive the distillers' grains market in Asia Pacific.
The key players in the distillers' grains market adopted mergers & acquisitions as their key growth strategy to increase their market share and profits. Expansions and investments accounted for the second most important form of growth strategy to be adopted by market players.
Key Topics Covered
1 Introduction 1.1 Objectives of the Study 1.2 Market Definition 1.3 Study Scope 1.4 Periodization Considered for the Study 1.5 Currency Considered 1.6 Units Considered 1.7 Stakeholders
2 Research Methodology 2.1 Research Data 2.1.1 Secondary Data 18.104.22.168 Key Data From Secondary Sources 2.1.2 Primary Data 22.214.171.124 Key Data From Primary Sources 126.96.36.199 Breakdown of Primaries 2.2 Market Size Estimation 2.3 Data Triangulation 2.4 Research Assumptions & Limitations
3 Executive Summary
4 Premium Insights 4.1 Attractive Opportunities in the Distillers' Grains Market 4.2 Distillers' Grains Market, By Key Country 4.3 Asia Pacific: Distillers' Grains Market, By Type & Key Country 4.4 Distillers' Grains Market, By Source & Region 4.5 Distillers' Grains Market, By Livestock & Region
5 Market Overview 5.1 Introduction 5.2 Market Dynamics 5.2.1 Drivers 188.8.131.52 Favorable Alternative to Traditional Feedstock 184.108.40.206 Growth of the Organized Livestock Sector 5.2.2 Restraints 220.127.116.11 Lack of Awareness in Developing Countries 18.104.22.168 Fluctuating Prices of Grains 22.214.171.124 Ill-Effects of Excess Consumption 5.2.3 Opportunities 126.96.36.199 Increase in Awareness About Precision Nutrition Techniques 5.2.4 Challenges 188.8.131.52 Incidences of Mycotoxin Contamination in Feed 5.3 Value Chain 5.4 Feed Raw Material Analysis 5.4.1 Total Production of Feed Ingredients and Their Usage in Feed 184.108.40.206 Corn 220.127.116.11 Wheat 18.104.22.168 Barley 22.214.171.124 Sorghum 126.96.36.199 Oats 188.8.131.52 Rye 184.108.40.206 Millet 5.5 Pricing Analysis
6 Distillers' Grains Market, By Type 6.1 Introduction 6.2 Dried Distillers' Grains With Solubles (DDGS) 6.3 Dried Distillers' Grains (DDG) 6.4 Wet Distillers' Grains (WDG) 6.5 Others
9 Distillers' Grains Market, By Region 9.1 Introduction 9.2.1 US 9.2.2 Canada 9.2.3 Mexico 9.3 Asia Pacific 9.3.1 China 9.3.2 Vietnam 9.3.3 India 9.3.4 Japan 9.3.5 Australia & New Zealand 9.3.6 Rest of Asia Pacific 9.4 Europe 9.4.1 France 9.4.2 Germany 9.4.3 Spain 9.4.4 Netherlands 9.4.5 UK 9.4.6 Hungary 9.4.7 Rest of Europe 9.5 Rest of the World (RoW) 9.5.1 South America 9.5.2 Middle East 9.5.3 Africa
11 Company Profiles 11.1 ADM 11.2 Valero 11.3 Husky Energy 11.4 Green Plains Inc. 11.5 Bunge Limited 11.6 Pacific Ethanol, Inc. 11.7 Cropenergies AG 11.8 Purina Animal Nutrition (Land O' Lakes) 11.9 Flint Hills Resources 11.10 Poet, LLC 11.11 Didion Milling Inc. 11.12 Greenfield Global