How the Animal Nutrition Market has Changed
The animal nutrition market is a fast growing, and highly profitable industry. As of 2018, the APAC animal nutrition market size was around 5.2 billion and is forecast to grow each year by 5% between 2019–2025.
Growing consumer demand is driving manufacturers to produce an increasing range of animal food product to meet a variety of needs and nutritional preferences. There are now specific recipes for different breeds and ages, for weight loss, stomach sensitivity and even versions containing additives to prevent certain ailments. The number of SKUs that manufacturers are expected to produce is quickly expanding.
Along with growing consumer demand comes increased attention and scrutiny over quality and standards. Buyers consider their animals’ health as important as their own. Because of this, they have the expectation that manufacturers provide clear labeling of ingredients, and that manufacturers fully explain what is contained within the food. Visit PFMA to learn more about pet food labeling.
With all these changes in the animal food industry, how can manufacturers be expected to keep up with the pace of change? In this article we’ll explain the changes in the market, FEDIAF legislation and what manufacturers need to look out for. We’ll also explain how Matcon Technology can increase productivity while enabling animal food manufacturers to produce consistent, traceable product with no cross-contamination.
Trends in the changing dog food market
The dog food market has changed dramatically in the past few years. The Pet Food Manufacturers’ Association (PFMA) claims that the demand for complete dry dog food has increased by 90% in the last 10 years. They also state that sales of dog treats have doubled, whilst moist dog food and mixers have seen dramatic decline.
So how do pet food manufacturers meet these demands, maintain legislative standards, and remain profitable? Manufacturers that can answer these challenges have been able to capitalise on the opportunities presented by the changing market. But those that cannot quickly fall behind their competitors and their profit margins are squeezed.
The solution is innovative manufacturing technology and lean production processes. Manufacturers that can handle short production runs, and can facilitate multiple ingredient variations without cross contamination of recipes are the ones that keep costs lower and margins as high as possible.
Learn more about Lean Manufacturing using Matcon IBCs.
Changes to legislation for animal food manufacturers
As market demand pushes animal food companies to change their approach to manufacturing, the European Pet Food Industry Federation (FEDIAF) adopted an internal set of guidelines for manufacturers to follow.
The Guide to Good Practice for the Manufacture of Safe Pet Food provides manufacturers with a set of procedures that help prevent potential difficulties in their production processes and to help them meet their commitment to nutrition, safety and quality.
The guidelines help manufacturers in two ways:
- How to improve manufacturing efficiency
- How to increase marketability and drive higher price points
How Matcon products help animal food producers
If you’re able to meet legislative requirements and production demands in a profitable way, then you’re on a trajectory for ongoing success. Even small changes can yield huge returns and often don’t require large capital investments.
Matcon technology helps pet food manufacturers in a variety of ways. From augmenting existing production lines with new equipment to boost efficiency, to replacing an entire production line with innovative leading-edge technology, Matcon can offer the best solution for better processes and higher productivity.
Read: Matcon Technology Allows for more Flexibility in Animal Nutrition Manufacturing.
To learn more, contact a Sales Engineer for a free consultation.