With rising disposable incomes and better living standards, poultry consumption is being increasingly favoured over pork or beef, spelling robust potential for the choline chloride market.
Future growth is primarily driven by the developing markets of Central and South Americas and the Far Eastern countries, particularly China.
Choline chloride, a derivative of methylamine is primarily used as a vitamin substitute or supplement in animal feed additives for poultry, swine feed and fish farming.
Choline deficiency in growing chick or poultry results in poor growth, perosis (slipped tendon) and inefficient use of feed.
In swine, lack of choline leads to spraddle or splayed legs in new borns, poor reproduction and lactation, and fatty infiltration of liver besides effecting growth.
Choline chloride is also classified as a vitamin B-complex, essential for a number of important biological functions. Choline chloride is also used as a catalyst, a neutralizing agent, and as a curing agent.
Methionine and lysine
Most popular amino acids in the feed sector include lysine and methionine. The market for methionine, which is widely used as poultry feed additive, is expected to grow steadily on account of increasing demand for poultry products worldwide.
Lysine is another important feed additive. There has been a significant increase in demand for lysine, primarily due to increased usage in the growing swine and poultry markets.
Among all the vitamins, choline accounts for a major share in terms of volume consumption. Other important vitamins in feed additives include vitamin A and vitamin E.
Central and South Americas and the Far Eastern countries, particularly China, primarily constitute the fastest growing markets for choline chloride.
However, during the recent years, demand in all the regions including the developing as well as mature markets declined marginally, mainly due to the global meltdown.
Going forwards, the market is expected to grow robustly in the ensuing years, particularly in the developing regions.
Existing capacity for feed additive production in rapidly growing markets such as China is insufficient to meet the growing demand for lysine, and vitamins and other animal health care products.
Asia-Pacific, driven by incessant growth in China emerges as the key market for choline chloride, garnering the largest share of the global market, as stated by the new market research report on choline chloride
The Asian market is also slated to drive home maximum gains at a sturdy compounded annual growth rate of 6.3% through 2017.
Rapid development of Chinese feed industry has led to significant demand expansion for choline chloride, as the chemical is largely used as a nutrient substitute in animal feeds.
China, by virtue of being the most populous country and one of the rapidly developing economies in the world, offers substantial scope for development, particularly in the broiler and swine feed markets.
By end-use, Poultry feed
segment constitutes the largest and fastest growing market, driven by surging demand for methionine, widely used as poultry feed additive.
Key participants profiled in the report include Balchem, BCP Ingredients, BASF, Be-Long, DSM Nutritional Products, JJ Choline Limited, Taminco, and Xuzhou Havay Feed.