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Animal Food Production

Animal Food Production

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Executive summary

The Animal Food Production industry produces food for animals such as livestock and pets. Over the five years to 2022, industry revenue is expected to increase amid rising input prices throughout the period. Additionally, industry demand has been supported by several positive trends, including pet ownership, as the number of domestic cats and dogs has increased at an annualized rate of 0.7% over the five years to 2022. Since the price of industry products is dependent on domestic grain supplies, animal feed costs and livestock prices, rises in the prices of these inputs have bolstered industry revenue. As a result of these trends, industry revenue is expected to rise at an annualized rate of 1.7% to $68.4 billion over the five years to 2022. This includes a 1.5% rise in 2022 alone as the economy continues to recover from the effects of the COVID-19 (coronavirus) pandemic.
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Each report includes:

industry revenue;

industry profit;

industry margin;

industry employment;

industry major players;

industry key external drivers;

industry product & structure segmentation;

industry key trends;

industry Life Cycle;

industry Geographic Breakdown;

industry Key Success Factors;

industry Key statistics for previous years;

forecast of industry Key statistics for the next 5 years;

Reference Wordlist

BARRIERS TO ENTRY
High barriers to entry mean that new companies struggle to enter an industry, while low barriers mean it is easy for new companies to enter an industry.

CAPITAL INTENSITY
Compares the amount of money spent on capital (plant, machinery and equipment) with that spent on labor. M-Ysland LLC uses the ratio of depreciation to wages as a proxy for capital intensity. High capital intensity is more than $ 0.333 of capital to $1 of labor; medium is $ 0.125 to $0.333 of capital to $1 of labor; low is less than $0.125 of capital for every $1 of labor.

CONSTANT PRICES
The dollar figures in the Key Statistics table, including forecasts, are adjusted for inflation using the current year (i.e. year published) as the base year. This removes the impact of changes in the purchasing power of the dollar, leaving only the "real" growth or decline in industry metrics. The inflation adjustments in M-Ysland LLC`s reports are made using the US Bureau of Economic Analysis’ implicit GDP price deflator.

DOMESTIC DEMAND
Spending on industry goods and services within the United States, regardless of their country of origin. It is derived by adding imports to industry revenue, and then subtracting exports.

EMPLOYMENT
The number of permanent, part-time, temporary and seasonal employees, working proprietors, partners, managers and executives within the industry.

Colloquial Terminology

BIOFUEL
A type of fuel which derives its energy from biological carbon fixation.

ETHANOL
A form of alcohol used as a fuel that is made primarily from grains such as corn and soybeans. It is considered to be a renewable fuel with fewer pollutants than gasoline.

PROBIOTIC
A live microorganism thought to be healthy for the host organism.

Details

Growing production has caused volatility in input prices largely as a result of a rising agricultural production index, which has, through rising demand for industry products, stimulated new entry into the industry. Enterprise growth has been driven primarily by the entrance of nonemployers, which comprise over 50.0% of total operations but account for less than 1.0% of industry revenue. Additionally, the industry has performed reasonably well with regard to international trade, as the value of exports has increased over the five years to 2022, despite an appreciation of the US dollar. Overall, the United States is a net exporter of industry products, accounting for 6.8% of industry revenue in 2022, while imports satisfy 5.0% of domestic demand. Overall, industry profit, measured as earnings before interest and taxes, is expected to account for 4.9% of industry revenue in 2022.

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