Algae-based Animal Feed Market Global To Hit USD 6.8 Bn

Updated · May 28, 2025

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Table of Contents

Overview
US Tariff Impact on Algae-based Animal Feed Market
Key Takeaways
Report Scope
Key Market Segments
Regional Analysis
Top Use Cases
Recent Developments
Conclusion

Overview

New York, NY – May 28, 2025 – The Global Algae-Based Animal Feed Market is gaining popularity as a sustainable and nutritious alternative to traditional feed, with its size expected to grow from USD 4.6 billion in 2024 to USD 6.8 billion by 2034, at a CAGR of 4.0%.

Feed preservatives captured a 24.4% share of algae-based animal feed sales in 2024, leading the By Additive Type segment. Dry Algae-Based animal feed dominated the By Form segment, holding a 61.3% market share. Its preference is driven by longer shelf life, ease of transport, and minimal storage needs compared to liquid or wet forms. The poultry sector led the livestock segment in 2024, accounting for 45.9% of algae-based animal feed consumption. This dominance is fueled by the demand for sustainable, nutrient-rich feed that enhances poultry growth and egg production.

US Tariff Impact on Algae-based Animal Feed Market

The U.S. and China have reached a temporary agreement to reduce reciprocal tariffs, alleviating trade tensions affecting the pet food and animal feed industries. For the next 90 days, the U.S. will lower tariffs on Chinese imports to 30%—comprising a 10% baseline and a 20% penalty tied to chemical ingredient sourcing—while China will decrease its tariffs on U.S. goods to 10%.

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The American Feed Industry Association (AFIA) praised the move, noting its benefits for the U.S. animal food sector, which exported USD 1.27 billion to China in 2024. The U.S. also imported USD 549 million in animal food products and ingredients from China, including vitamin E, amino acids, and pet food.

Meanwhile, U.S. trade officials reported progress on a trade deal with the United Kingdom, the 19th-largest market for U.S. animal food exports. As negotiations proceed, the U.S. will maintain a 10% tariff on British imports, while the U.K. will reduce or eliminate certain non-tariff trade barriers.

Key Takeaways

Global Algae-based Animal Feed Market is expected to be worth around USD 6.8 billion by 2034, up from USD 4.6 billion in 2024, and grow at a CAGR of 4.0% from 2025 to 2034.
In the Algae-based Animal Feed Market, feed preservatives account for 24.4%, driven by rising demand.
Dry form dominates the Algae-based Animal Feed Market, comprising 61.3%, ensuring extended shelf life effectively.
Poultry segment captures 45.9% of the Algae-based Animal Feed Market, reflecting strong adoption for nutrient enhancement.
The Asia-Pacific region generated USD 1.6 billion in algae-based animal feed revenue.

Report Scope

Market Value (2024)	USD 4.6 Billion
Forecast Revenue (2034)	USD 6.8 Billion
CAGR (2025-2034)	4.0%
Segments Covered	By Additive Type (Feed Preservatives, Feed Emulsifiers, Feed Acidifiers, Feed Additives, Feed Probiotics, Feed Enzyme, Feed Colorants, Feed Flavors, Feed Sweeteners, Nutritional Additives, Others), By Form (Liquid, Dry, Granules), By Livestock (Poultry, Ruminant, Swine, Aquaculture, Pet Animals)
Competitive Landscape	Cargill Inc., Archer Daniels Midland Company, DIC Corporation, Koninklijke DSM NV., Cellana LLC, Algama Foods, Corbin (Terra Via Holdings), HOWND, Algaecytes, Corbion

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Key Market Segments

By Additive Type Analysis

Feed preservatives captured a 24.4% share of algae-based animal feed sales in 2024, leading the By Additive Type segment. This strong market position stems from the growing need to maintain feed quality and extend shelf life, particularly in regions with variable climates. Feed preservatives are increasingly used to prevent microbial growth and spoilage, preserving nutritional value. The rising popularity of algae-based feed in the aquaculture and poultry sectors further drives preservative use. Additionally, the shift toward natural preservative alternatives, spurred by demand for sustainable and organic feed, enhances market growth for this segment.

By Form Analysis

In 2024, Dry Algae-Based animal feed dominated the By Form segment, holding a 61.3% market share. Its preference is driven by longer shelf life, ease of transport, and minimal storage needs compared to liquid or wet forms. Dry feed’s concentrated nutrient profile makes it cost-effective for large-scale poultry and aquaculture operations. Its compatibility with existing feed systems, without requiring specialized storage, further boosts its adoption. As the livestock industry prioritizes nutrient-dense, low-moisture feed, dry algae-based formulations maintain their leading position.

By Livestock Analysis

The poultry sector led the livestock segment in 2024, accounting for 45.9% of algae-based animal feed consumption. This dominance is fueled by the demand for sustainable, nutrient-rich feed that enhances poultry growth and egg production. Algae-based feed, rich in protein, omega-3s, and micronutrients, supports healthier birds and higher-quality poultry products. Growing consumer preference for organic, antibiotic-free poultry further accelerates algae-based feed adoption. This aligns with industry trends toward natural feed sources, solidifying poultry’s significant market share.

Regional Analysis

In 2024, the Asia-Pacific region led the Algae-based Animal Feed Market with a 35.3% share, valued at USD 1.6 billion. Its dominance is driven by a robust livestock sector and increasing adoption of sustainable feed in countries like China and India, particularly in aquaculture and poultry. North America sees growth due to rising awareness of functional feed additives and investments in sustainable nutrition. Europe’s market is bolstered by regulations favoring eco-friendly feed alternatives. The Middle East & Africa and Latin America are gradually adopting algae-based feed as their livestock sectors prioritize high-quality, nutrient-rich options.

Top Use Cases

Poultry Nutrition Enhancement: Algae-based feed boosts poultry health with high protein and omega-3 content. It improves growth rates, egg quality, and yolk color. Farmers use it to meet the demand for organic, nutrient-rich poultry products, ensuring healthier birds and better meat quality while aligning with sustainable farming trends.
Aquaculture Feed Sustainability: In aquaculture, algae-based feed provides essential nutrients like proteins and omega-3 fatty acids, mimicking fish’s natural diet. It promotes faster growth and stronger immunity in fish, reducing reliance on unsustainable fishmeal. This eco-friendly option supports the growing global demand for high-quality seafood.
Ruminant Methane Reduction: Algae feed, especially red seaweed, cuts methane emissions in cattle. It’s added to diets to make livestock farming more eco-friendly. This supports climate goals while maintaining animal health, offering a sustainable solution for farmers aiming to reduce environmental impact.
Pet Food Nutritional Boost: Algae-based ingredients enrich pet food with proteins, antioxidants, and omega-3s. They improve pet immunity, skin health, and coat quality. This meets the rising demand for premium, natural pet food, appealing to health-conscious pet owners seeking sustainable, high-quality nutrition for their animals.
Swine Growth and Immunity: Algae feed enhances swine diets with proteins, vitamins, and minerals. It supports faster weight gain and stronger immunity, reducing the need for antibiotics. This cost-effective, sustainable feed option helps farmers produce healthier pigs and meet consumer demand for high-quality pork products.

Recent Developments

1. Cargill Inc.

Cargill has partnered with BioMar to incorporate Schizochytrium algae (rich in omega-3 DHA) into aquaculture feed, reducing reliance on fish oil. Their AlgaPrime DHA product supports sustainable shrimp and salmon farming. Cargill also invests in Corbion’s algae-based solutions for livestock feed.

2. Archer Daniels Midland (ADM) Company

ADM expanded its algae-derived feed portfolio with Novel Ingredients, focusing on spirulina and chlorella for poultry and swine nutrition. They collaborate with Algenuity to enhance protein-rich algae strains for better digestibility in livestock.

3. DIC Corporation (Spirulina Producer)

DIC’s subsidiary Earthrise Nutritionals produces spirulina-based feed supplements for poultry and dairy cows, improving immune response. They launched LINABLUE, a spirulina extract that reduces methane emissions in cattle.

4. Koninklijke DSM NV.

DSM’s Veramaris joint venture produces algae-based omega-3 (EPA/DHA) for aquaculture, replacing fish oil. They also developed AlgaPur, a high-protein algae meal for poultry and swine.

5. Cellana LLC.

Cellana’s ReNew Algae provides high-protein, non-GMO algae meal for aquaculture and poultry. Their ALDUO cultivation system boosts yield while reducing land/water use.

Conclusion

Algae-Based Animal Feed is transforming the livestock and aquaculture industries with its nutrient-rich, sustainable solutions. Its high protein, omega-3 content, and eco-friendly benefits meet the growing demand for natural, high-quality feed. With strong adoption in poultry, aquaculture, and other sectors, especially in Asia-Pacific, the market is poised for continued growth as farmers prioritize sustainability and animal health.