Feed Fats And Proteins - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The feed fats and proteins market size is projected to increase from USD 12.30 billion in 2025 to USD 13.00 billion in 2026 and reach USD 15.10 billion by 2031, growing at a CAGR of 7.15% over 2026-2031. This report is Segmented by Product Type (Animal Fats, Vegetable Oils, and Blended Specialty Lipids), by Form (Dry Meals and Powders, and Liquid Fats and Oils), by Livestock (Poultry, Swine, Ruminants, Aquaculture, and Pet Food), and by Geography (North America, South America, Europe, Asia-Pacific, Middle East, and Africa). The Market Forecasts are Provided in Terms of Value (USD).

Global Feed Fats And Proteins Market Trends and Insights

Surplus Animal-Fat By-Products from Renewable-Diesel Plants

Surplus animal-fat by-products from renewable diesel plants are becoming a significant driver of the feed fats and proteins market. The rise in renewable diesel production has increased the availability of animal by-products, which are now being effectively used as cost-efficient, nutrient-dense components in animal feed formulations. This approach not only promotes sustainability by minimizing waste but also helps stabilize the supply of feed ingredients. The Environmental Protection Agency’s 2026-2027 Renewable Fuel Standard fixed biomass-based diesel at 3.6 billion gal, locking in demand for feedstocks while guaranteeing steady coproduct availability.

Specialty Lipid Blends That Reduce Antibiotic Reliance

Global poultry and swine producers are eliminating antibiotic growth promoters, while functional lipids have emerged as viable substitutes. ADM and Berg+Schmidt GmbH & Co.KG (Stern-Wywiol Gruppe) precision blends that combine lauric acid with encapsulated omega-3s, offering integrators a premium solution that aligns with retailer antibiotic-free pledges. These specialty lipid blends not only support animal health but also contribute to sustainable farming practices by reducing reliance on antibiotics, a demand increasingly sought by consumers and regulatory bodies worldwide.

Consumer Backlash Against Animal-Based Feed Ingredients

A rising cohort of European pet-food buyers questions the sustainability of rendered animal inputs, pressuring brands to trial algal and insect oils even though scale and cost remain constraints. This sentiment could spill into mainstream livestock channels if marketing claims around “plant-based” meat continue to gain traction. This changing consumer sentiment extends beyond the pet-food segment and could influence the broader livestock feed market. If sustainability-focused marketing in the human food industry continues to grow, similar expectations may emerge in animal nutrition. Feed producers may face increased regulatory scrutiny and demands for reformulation, driving the industry toward innovative yet cost-effective alternatives to traditional animal-derived inputs.

Other drivers and restraints analyzed in the detailed report include:

• Aquafeed Milling Expansion in Southeast Asia
• Mandatory Deforestation-Free Soy Sourcing Spurring Alternative Fats
• Photo-Oxidation Losses in High-Polyunsaturated Fatty Acids (PUFA) Liquid Fats During Bulk Storage

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

Animal fats led the largest segment, with 44.5% of the feed fats and proteins market share in 2025, as renderers supplied cost-effective tallow and poultry fat to integrators. This dominance is largely due to their widespread availability as by-products of the meat processing and rendering industries, making them a cost-effective and sustainable option for feed formulations. Animal fats also provide a high calorific value, enhancing the energy density of feed and contributing to improved weight gain and feed conversion ratios in livestock. Their established supply chains and compatibility with existing feed processing systems strengthen their position, particularly in price-sensitive markets.

Blended specialty lipids are the fastest-growing segment and will post the highest CAGR of 9.8% through 2026-2031. These products are formulated by combining various fat sources, such as vegetable oils and marine oils, with functional additives to achieve customized nutritional profiles. Their increasing adoption is driven by the emphasis on precision nutrition, which optimizes feed for specific species, growth stages, and health outcomes. In aquaculture, blended lipids enhance omega-3 content and promote fish health, while in poultry and swine, they improve immunity, gut health, and overall productivity.

Complete Report Scope:

• By Product Type
  • Animal Fats
  • Vegetable Oils
  • Blended Specialty Lipids
• By Form
  • Dry Meals and Powders
  • Liquid Fats and Oils
• By Livestock
  • Poultry
  • Swine
  • Ruminants
  • Aquaculture
  • Pet Food
• By Geography
  • North America
    • United States
    • Canada
    • Mexico
    • Rest of North America
  • South America
    • Brazil
    • Argentina
    • Rest of South America
  • Europe
    • Germany
    • France
    • United Kingdom
    • Spain
    • Italy
    • Russia
    • Rest of Europe
  • Asia-Pacific
    • China
    • India
    • Japan
    • South Korea
    • Australia
    • New Zealand
    • Rest of Asia-Pacific
  • Middle East
    • Saudi Arabia
    • United Arab Emirates
    • Rest of Middle East
  • Africa
    • South Africa
    • Nigeria
    • Rest of Africa

Geography Analysis

Asia-Pacific is the largest region, with 34.2% of the feed fats and proteins market share in 2025. This dominance is driven by the region’s large and rapidly expanding livestock and aquaculture industries, particularly in countries such as China, India, Vietnam, and Indonesia. In 2025, China’s aim to cut soybean-meal inclusion to 10% by 2030 forces mills to secure alternative proteins and raise fat levels to maintain energy density, stimulating imports of poultry fat and canola oil. Rising population, increasing disposable incomes, and growing demand for animal protein are key factors supporting feed production in the region. Additionally, the strong presence of feed manufacturers, availability of raw materials, and continued investments in commercial farming and aquafeed infrastructure further reinforce Asia-Pacific’s leading position in the market.

Africa is the fastest-growing region, projected to log the highest regional CAGR of 7.2% through 2026-2031. This growth is mainly driven by rising urbanization, increasing protein consumption, and the gradual modernization of livestock and poultry farming practices. Both governments and private entities are investing in improving feed quality and supply chains to boost agricultural productivity. While the market remains less developed than in more established regions, growing awareness of balanced animal nutrition and the expansion of commercial farming are projected to sustain demand for feed fats and proteins in Africa.

South America is projected to experience steady growth in the coming years, driven by evolving oilseed processing dynamics and biofuel policies. In Brazil, robust soybean crushing activity has enhanced the availability of soybean meal and related by-products, bolstering feed production. In North America, market growth is supported by the expansion of renewable diesel production, which produces substantial volumes of animal fat and other lipid coproducts. These by-products are increasingly used in feed applications due to their cost-effectiveness and availability.

List of Companies Covered in this Report:

• Cargill, Incorporated.
• Archer-Daniels-Midland Company
• Darling Ingredients Inc.
• Bunge Global SA
• Wilmar International Limited
• AAK AB
• BASF SE
• Alltech, Inc.
• The Scoular Company
• GrainCorp Limited
• DSM-Firmenich AG
• Evonik Industries AG
• Berg + Schmidt GmbH & Co. KG
• Adisseo SAS
• SARIA SE & Co. KG

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support