Market influenced by financial, regulatory, environmental components
7 June 2024
2 minute learn
The outlook for EU compound feed manufacturing in 2024 presents a blended image, reflecting various developments throughout livestock sectors and influenced by financial, regulatory, and environmental components, in response to a latest press launch from FEFAC.
The primary market drivers for 2024 embrace financial uncertainty, regulatory modifications, and ongoing environmental and animal welfare insurance policies. These components will proceed to form manufacturing dynamics throughout the EU, with assorted impacts on completely different animal feed sectors. Based mostly on information collected by FEFAC, industrial compound feed manufacturing throughout the EU27 is predicted to lower in 2024 by 0.3 % in comparison with 2023, to 147 million tons.
Poultry feed manufacturing is the one sector exhibiting progress prospects in 2024, with an anticipated enhance of 1.6%. This rebound follows a difficult 2023 pushed by recovering poultry manufacturing in a number of key member states. Nations like France, Spain and Portugal, in addition to Italy, already skilled some restoration from avian influenza impacts in 2023, and are anticipated to proceed main this progress. Nonetheless, considerations about imported poultry meat and shifts from natural manufacturing in the direction of normal standard manufacturing could have an effect on general market dynamics.
The pig feed sector will face continued challenges, with a projected decline of app. 1-2% in 2024. Components corresponding to a lower within the variety of pigs and financial and illness pressures on farmers, together with African swine fever, will proceed to adversely affect manufacturing. Nonetheless, Eire and Poland anticipate a modest restoration (+3% & 2.7%) in pig numbers, contributing to a slowdown of the lower of the sector’s output. Different nations like Germany, Belgium and The Netherlands check with continued political strain to scale back farm emissions or the size of animal husbandry, leading to a excessive degree of uncertainty for the sector’s outlook.
Cattle feed manufacturing is predicted to stay comparatively steady, with minor progress or discount relying on regional situations. Eire expects modest progress in cattle feed on account of a delayed grazing season. Conversely, The Netherlands anticipates additional decreases in dairy and beef sectors (app. -5%), pushed by ongoing regulatory and environmental challenges.
