Rendered Products Market Size, Share & COVID-19 Impact Analysis, By Source (Sheep, Poultry, Cattle, Hogs, and Others), By Type (Tallow, Poultry Fat, Grease, Protein Meal, and Others), By Grade (Food Grade, Feed Grade, and Industrial Grade), and Regional Forecast, 2022-2029

The global rendered products market size was valued at USD 21.45 billion in 2021. The market is projected to grow from USD 21.87 billion in 2022 to USD 26.09 billion by 2029, exhibiting a CAGR of 2.55% during the forecast period. The global COVID-19 pandemic has been unprecedented and staggering, with rendered products experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. Based on our analysis, the global market exhibited a decline of -3.75% in 2020 as compared to 2019.

Rendering is a process in which animal waste tissue is transformed into useful and stable byproducts such as poultry fat and protein meals. The increasing utilization of these products in the animal feed and food industries and rising concerns regarding environmental sustainability are expected to drive the global market. To meet the increased demand for the products obtained from rendering, prominent players are investing profoundly in the market. For instance, in April 2022, Tyson Foods Inc., a leading manufacturer operating in the food industry, invested USD 208 million to build a new rendering facility in Hanceville, Alabama.

COVID-19 IMPACT

Disruption in the Global Supply Chain Hindered the Market Growth during COVID-19 Pandemic

The outbreak of COVID-19 halted the rendering industry globally. Attributed to gradual lockdowns, a shortage of labor and raw materials that interrupted ongoing production work and regulatory delays affected the new product approvals. The short-term shutdown of slaughterhouses across some countries due to the pandemic resulted in decreased production of raw materials required to manufacture rendered products. However, the rendering industry has faced challenges, owing to altered eating habits and decreased prices of animal byproducts.

Although demand for the products from the animal feed industry has been comparatively stable, the coronavirus crisis has hit the supply chain brutally. Raw material scarcity and government-mandated regulations led to interruptions and production decline. The prominent players operating in the market continuously try to retain their production supply levels. For instance, companies have established task forces to monitor the situation and take appropriate measures to reduce or eliminate production or supply hindrance that is prevalent or expected to emerge in the coming months.

LATEST TRENDS

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Development of Novel Products Using Animal Byproducts to Exhibit High Growth Trajectory

The manufacturing of novel products using animal byproducts is an innovative idea and is still in the initial stages of development. Intensifying research regarding the improvement in the quality of animal feed by increasing the application of the products obtained from rendering is an emerging trend in the global market. For instance, the new research has introduced the prospect of biotransformation of meat, bone meal, and leftover red blood cells into high-quality antioxidants and astaxanthin for animal feed.

DRIVING FACTORS

Rising Utilization of Rendered Products in Feed Industry to Play Vital Role in the Market Growth

The increasing utilization and application of various animal byproducts in food, animal feed, andpet food应用预测驱动市场the forthcoming years. With the evolution of the meat and fish processing industry, farmers are expanding their livestock production to fulfill consumers' demand. Henceforth, the demand for value-added animal feed has increased in recent years. The increasing popularity of protein meal and poultry fat as a cost-effective alternative to several plant-based ingredients is expected to positively impact the rendered products market growth. Moreover, the rising utilization of rendered products for the production of high-value or specialty pet food is anticipated to further support the growth of the market.

Increasing Concerns over Environmental Sustainability to Support the Market Growth

The rendering industry offers essential service by handling fallen stock from an extensive range of materials, such as bones, blood, feathers, and many others, from the meat processing industry and converting them into useful byproducts. The rendering process includes recycling animal waste from various sources. If these animal wastes are not processed properly, these materials could present serious health and environmental risk. The rendering industry offers several benefits to the environment, such as decreasing the amount of landfill space required for animal waste disposal and eradicating the excess release of carbon dioxide from animal waste, thereby limiting greenhouse gas emissions. Henceforth, rising concerns regarding environmental sustainability are expected to drive the global market.

RESTRAINING FACTORS

Strict Regulations on Rendering Animals Restrict Market Growth

Stringent regulations regarding the rendering of animals and their byproducts are expected to restrict market growth in the coming years. The trade of these products is subjected to rules imposed by exporting and importing regions. Therefore, the complication of approval for such transportation can hinder market growth. Moreover, the emerging trend of plant-based products has increased the demand for vegetarian protein sources, which, in turn, can restrict the utilization of the products from the food industry. It may shrink the market size during the forecast period.

SEGMENTATION

By Source Analysis

Increasing Consumption of Chicken to Support the Poultry Segment Growth

By source, the market is fragmented into sheep, poultry, cattle, hogs, and others. The poultry segment holds the largest share in the global market. The slaughter of chickens is at an all-time high and is expected to grow considerably during the forecast period. For instance, according to the National Chicken Council (NCC), a national association dedicated to the chicken industry, the average American consumed an estimated 96.4 pounds of chicken in 2020. The averagebeefand pork consumption for the year was only 56.9 and 50.1 pounds, respectively. Moreover, according to the forecast by the USDA and Economic Research Service, per capita, chicken consumption is anticipated to reach 101.1 pounds by 2030. The increasing chicken consumption, abundant availability of poultry byproducts, such as feather meal, blood meal, poultry fat, and many others, and their increasing application in the rendered industry are predicted to aid the demand for rendered products.

By Type Analysis

Tallow Segment to Dominate the Global Marketplace Owing to its Rising Usage in Several Industries

Based on type, the market is classified into tallow, poultry fat, grease, protein meal, and others. Increasing end-user application of tallow is predicted to surge its demand in the forthcoming years. Tallow has been used in several ways in the food as well as feed industry. It is widely used as an ingredient and ascooking oilin food preparation due to its high smoke point. Moreover, it has been used to make candles, soaps, and lubricants for the wood, metal, and leather industries.

The protein meal segment is predicted to grow at the highest CAGR in the global marketplace. Increasing utilization of protein meal in the animal feed industry due to its contribution to the healthy growth of animals is predicted to support the segment's growth.

By Grade Analysis

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Increasing Popularity of the Products in Animal Feed Application Drives the Feed Grade Segment to Grow in the Upcoming Years

基于等级,市场三叉的food grade, feed grade, and industrial grade. Due to several hygiene reasons, many rendered products are rejected from the food grade segment. Therefore, the feed grade category secured a larger revenue share in 2021, followed by industrial grade. The rising demand for high-value animal feed and the growing sale of specialty pet foods are predicted to boost the utilization of the products to produce value-added animal feed and specialty pet foods. Furthermore, increasing utilization of rendered fats and other ingredients for the production of soap, creams, and other personal care products is predicted to surge the demand for industrial grade rendered products.

REGIONAL INSIGHTS

North America Rendered Products Market Size, 2021 (USD Billion)

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North America is the leading market for rendered products at present, and it is projected to account for a significant proportion of the market during the forecast period. The tremendously increasing demand for high-quality animal feed to maximize the potential of ranch animals is likely to boost the utilization of these products for value-added animal feed. Furthermore, the increasing popularity of specialty pet food is expected to further propel market growth. For instance, according to the report published by the Institute for Feed Education and Research (IFEEDER), North Americans Renderers Association (NARA) and Pet Food Institute (PFI) in 2020, the U.S. pet food producers use almost 3.8 million tons of rendered products from meat and poultry and 200 thousand tons ofseafoodproducts.

The market in Asia Pacific is expected to grow at a speedy pace, owing to rising population, evolving economies, and growth of the food animal sector in the region. The region has experienced a substantial increase in the consumption and production of livestock products, which, in turn, can strengthen the rendering activities in meat-producing countries such as China and India. In addition, the growing utilization of the products to manufacture aquaculture feed due to the growing demand for high-value aquaculture feed is predicted to support the growth of the regional market.

The market in South America is predicted to grow at a crucial pace, owing to the rising number of rendering facilities in Brazil and Argentina.

Europe is one of the major markets that generates notable demand for rendering products. The growing demand for high-quality animal feed and the rising adoption of animal byproducts in pet foods are likely to expand the Europe rendered products market share in the coming years. According to the Global Feed LCA Institute (GFLI), approximately 18 million tons of animal materials are processed every year in Europe.

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The demand for the products obtained from rendering in the Middle East & African market is accelerated by the growing demand for animal &aquaculturefeed and biofuel. The increasing demand for animal products in the region has increased the demand for value-added animal feed that increases the efficiency and output of farm animals. The investment in the production of low-cost and high-quality animal feed manufactured by using rendered ingredients will support the market growth in the region.

KEY INDUSTRY PLAYERS

Increasing Consolidation in the Industry due to Collaborations and Mergers & Acquisitions

The global market is becoming more consolidated, owing to brand loyalty, a wide range of product offerings, and a strong distribution network of prominent companies in developed as well as developing economies. Furthermore, key players are embarking on mergers & acquisitions to increase their global prominence. For instance, Tyson Foods Inc. is one of the leaders operating in the industry. Mergers & acquisitions and collaboration are some of the key strategies adopted by Tyson Foods to compete in the global market.

January 2020 –Tyson Foods Inc. created a coalition for global protein that will focus on efforts to advance the future of sustainable protein. The purpose of the coalition is aimed to get groups in the food and agriculture sector to identify and implement creative solutions to sustainably feed the world’s growing population and address issues such as food waste and conservation.

LIST OF KEY COMPANIES PROFILED:

• Darling Ingredients Inc (U.S.)


• West Coast Reduction Inc. (Canada)


• Nordfeed (Turkey)


• JBS S.A.(Brazil)


• Tyson Foods Inc (U.S.)


• Valley Proteins Inc.(U.S.)


• Sanimax (Canada)


• Allanasons Pvt. Ltd. (India)


• Leo Group Ltd.(英国)


• SRC Companies Inc. (U.S.)

关键行业的发展:

• March 2022:Darling Ingredients Inc., a leading company engaged in the manufacturing of rendering products andrenewable energy, acquired a Brazilian leading rendering company, FASA Group, for approximately USD 560 million. FASA Group processes more than 1.3 million metric tons annually through its 14 rendering plants.


• March 2022:Tomra Foods designs and manufactures sensor-based sorting machines for the food industry and develops modern sorting machines to eliminate the non-toxic foreign bodies in meat byproducts. TOMRA 5B effectively detects and sorts various foreign materials, including stones, hard and soft plastics, metal, wood, glass, rubber, and bones in the finished products.


• January 2020:Friboi, owned by JBS SA, started a new plant in Mato Grosso, Brazil, with an initial capacity to process 500 animals daily. The company aims to meet the domestic demand at the initial stage by gradually expanding its business.


• January 2020:Damate Group of Companies, in collaboration with Mavitech, LLC’s rendering equipment, built a new rendering plant-based in Penza, Russia for processing turkey byproducts (fat, skin, bone) and will process 20,000 birds per day that will yield fat and protein for producing poultry meat meal, feather meal, and blood meal.


• January 2019:Buenos Aires, one of the major rendering companies in Argentina, installed the largest rendering continuous cooker in South America, built by Dupps do Brasil. This cooker can process up to 35 MT of raw material per hour, increasing its rendered ingredients production capacity.

REPORT COVERAGE

An Infographic Representation of Rendered Products Market

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The research report provides qualitative and quantitative insights into the market along with a detailed analysis of market size and growth rate for all possible segments in the market. In addition, the report provides an elaborative rendered products industry analysis of different countries’ markets. Various key insights provided in the report include the overview of related markets, market dynamics, SWOT analysis, recent industry developments, such as mergers & acquisitions, a regulatory scenarios in key countries, key market trends, and competitive landscape.

Report Scope & Segmentation

ATTRIBUTE	DETAILS
Study Period	2018-2029
Base Year	2021
Estimated Year	2022
Forecast Period	2022-2029
Historical Period	2018-2020
Unit	Value (USD Billion)
By Source	Sheep Poultry Cattle Hogs Others
By Type	Tallow Poultry Fat Grease Protein Meal Others
By Grade	Food Grade Feed Grade Industrial Grade
By Geography	North America (By Source, Type, Grade, and Country) U.S. (By Grade) Canada (By Grade) Mexico (By Grade) Europe (By Source, Type, Grade, and Country) Germany (By Grade) U.K. (By Grade) Spain (By Grade) France (By Grade) Italy (By Grade) Rest of Europe (By Grade) Asia Pacific (By Source, Type, Grade, and Country) China (By Grade) Japan (By Grade) Australia (By Grade) India (By Grade) Rest of Asia Pacific (By Grade) South America (By Source, Type, Grade, and Country) Brazil (By Grade) Argentina (By Grade) Rest of South America (By Grade) Middle East and Africa (By Source, Type, Grade, and Country) South Africa (By Grade) Turkey (By Grade) Rest of ME&A (By Grade)