Industry Analysis & Industry Trends
The Farm Animal Feed Production industry's prospects have fluctuated over the past five year period alongside dramatic spikes in feed prices as well as increased demand from downstream farms supplies wholesalers. Global population growth and expansion of developing economies have boosted demand for meat, requiring greater supplies of feed to match growing production. At the same time, a severe drought caused commodity prices to increase dramatically in 2012. During the five years to 2019, IBISWorld forecasts industry revenue to increase. The emergence of a middle-class in developing countries around the world has increased demand for meat products.... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers to entry in the Farm Animal Feed Production industry are relatively low but depend on the scale of production the entrant wishes to pursue. The scale of entry defines the levels of capital, technology, labor and enterprise needed to commence operations. In the United States, farm animal feed manufacturing is generally characterized by large-volume production. Most feed products have low per unit values, making economies of scale necessary to minimize average production costs. Firms wishing to enter the market will therefore need to establish production of a similar scale to effectively compete against incumbent players.
Regardless of scale, the capital investment needed to establish certain industry operations can act as primary barriers for new participants... purchase to read more