Chapter1

ExecutiveSummary

IntroductiontotheDFMMarket1-1

Overview1-1

KeyApplicationSectors1-1

ResearchandDevelopment1-2

ScopeofResearch1-3

SummaryofMajorFindings1-3

MarketGrowthOpportunitiesandForecasts1-3

IndustryChallengesDriversandRestraints1-4

IncreasedCompetitionfromAlternativeFuelsIndustryforFeedRawMaterials1-5

CompetitionfromAlternativeProducts1-5

InexpensiveGenericProductsintheMarketplace1-5

KeyMarketDrivers1-6

KeyMarketRestraints1-6

CompetitiveAnalysis1-6

ConclusionsandRecommendations1-7

Chapter2

IntroductiontotheAnimalFeedDFMMarket

IntroductiontoDFM2-1

Introduction2-1

Definitions2-2

DFMasaPotentialReplacementforAntibiotics2-2

#N0B4-88?2007Frost&Sullivanwww.frost.comiii

ResearchScope2-2

AnimalFeedSupplyChain2-3

Overview2-3

MarketFactorsAffectingtheU.S.TradeSituation2-4

AnimalProductionintheU.S.2-4

BeefCattleProduction2-4

DairyCattleProduction2-5

LambProduction2-5

PoultryProduction2-6

PigProduction2-6

Aquaculture2-7

SilageProduction2-8

ProductTypes2-9

BacterialDFM2-9

LiveYeastDFM2-11

InactivatedYeastProducts2-12

SilageInoculants2-13

DFMandExternalEnvironmentalModifiersforAquaculture2-14

LegislationintheU.S.2-16

Riskmanagementstrategies2-17

AcademicResearchOpinions2-18

ResearchintoDFM2-18

IndustryDynamics2-19

CompetitiveFramework2-19

ThreatofNewEntrants2-20

DegreeofCompetition2-20

ThreatofSubstitutes2-21

SupplierBargainingPower2-21

BuyerBargainingPower2-22

ProductandTechnologyDevelopments2-22

NewProductDevelopments2-22

TechnologicalDevelopments2-23

IndependentServiceTesting2-23

HumanFoodIndustryInnovations2-24

JointVenturesandAlliances2-25

MergersandAcquisitions2-26

MajorSuppliersintheU.S.AnimalFeedDFMMarket2-27

ChrHansenA/S2-27

ProductProfiles2-27

Alltech2-28

LallemandAnimalNutrition2-29

OtherSuppliers2-30

AddconAgrarG.m.b.H.2-30

BiominGmbH2-31

BioarmorDeveloppementS.A.R.L.2-31

BioriginS.A.2-31

CerbiosPharmaS.A.2-32

ChevitaG.m.b.H.2-32

DiamondVMills，Inc.2-32

DSM2-32

DoxalS.p.A.2-33

EcosylProductsLtd.2-33

GenusBreedingPlc.2-34

INVEGroup2-34

LactosanStarterkulturenG.m.b.H&Co.KG2-35

OtherSuppliers(contd.)2-35

LeSaffre2-35

LohmannAnimalHealth&Co.KG2-35

MedipharmS.A.2-36

Norel&NatureNutricionS.A.2-36

PioneerHi-BredInternationalInc.2-36

PrinceAgriProducts，Inc.2-37

VolacInternationalLtd.2-37

GlossaryofTermsandDefinitions2-38

Glossary2-38

AnimalFeed2-38

Antibiotic2-38

AntibioticResistance2-38

Bacteria2-38

Bifidobacteria2-38

CompoundFeed2-39

DirectFedMicrobial(DFM)2-39

Enzymes2-39

GutFloraStabilisers2-39

FeedAdditives2-39

FeedEfficiency2-39

Micro-organisms2-39

Pathogens2-40

Prebiotics2-40

Probiotics2-40

Prophylactic2-40

Premix2-40

SilageAdditives2-40

SynbioticProducts2-40

ListofAbbreviations2-41

Chapter3

MarketChallengesandOpportunitiesfortheAnimalFeedIndustry

MarketChallenges3-1

KeyIndustryChallenges3-1

IncreasedCompetitionfromAlternativeFuelsIndustryforFeedRawMaterials3-2

CompetitionfromAlternativeProducts3-2

RemovalofCheapGenericProductsintheMarketplace3-2

BuildingConfidenceintheSafetyofDFMProducts3-3

IncreasingtheEnd-UserAwarenessabouttheBenefitsofDFMProducts3-3

ContinuedThreatofDiseaseScares3-3

MarketOpportunities3-3

ExamplesofMarketOpportunities3-3

ExploitationofDFMbytheVeterinarySector3-3

TechnologicalAdvancementsandDevelopments3-4

BetterUnderstandingatEnd-UserLeveloftheBenefitsAssociatedwithDFM3-4

DevelopmentofMulti-functionalProductssuchasSynbiotics3-4

Chapter4

StrategicAnalysisoftheTotalU.S.AnimalFeedDFMMarket

MarketOverview4-1

Introduction4-1

ResearchScopeandMethodology4-2

ResearchScope4-2

ResearchMethodology4-2

ResearchScope4-3

MarketDriversandRestraints4-3

MarketDrivers4-3

ImpendingBanontheUseofAGPRelatedtothoseAntibioticsUsedinHumanMedicine4-4

IncreasedConcernsovertheDevelopmentofAntibioticResistance4-5

DemandforCheapAnimalProtein4-5

PotentialforSynbioticProductstoOptimiseProductEfficiency4-6

IncreasedEmphasisonNaturalProductsasPotentialAlternativestoAntibiotics4-6

GrowingInterestinProbioticshasLedtoCreationofNewSocietiesandForums4-7

ConcernsovertheSafetyofFoodProducts4-7

FarmersareLookingtoDiscoverReasonsandSolutionsforProblemsinProductivity4-8

ConsiderationthatUseofHormonesandGrowthPromotersisnowOutdated4-8

CombinationofDFMProductswithOtherLegalisedAntibioticsorOtherCompounds4-8

ChangeinFocustowardsanApplication-OrientatedPerspective4-9

MarketRestraints4-9

IncreaseinPriceofRawMaterialsforUseinAnimalFeeds4-10

RegulatoryEnvironmentUnsuitableforMarketDevelopment4-10

CompetitionfromOtherFeedAdditives4-11

GeneralLackofAwarenessofDFM4-11

ContinuedDependenceontheUseofAntibiotics4-11

InconsistencyofDFM4-12

GeneralLackofQualityResearchDataProvingEfficacy4-12

PriceofDFMasFeedSupplements4-12

DFMGenerallyTendnottobeUsedasRegularFeedAdditiveSupplements4-13

ProductPresentationandHandling4-13

ForecastsfortheU.S.DFMMarket4-13

MarketEngineeringMeasurementAnalysis4-13

MarketForecastsandTrends4-14

PricingAnalysisandTrends4-19

ProductandApplicationTrendsforDFM4-21

Bacteria4-21

Ruminants(DairyandBeefCattle)4-22

PigsandPoultry4-22

Aquaculture4-22

LiveYeasts4-23

DairyandBeefCattle4-23

Horses4-23

Pigs4-23

Poultry4-23

Aquaculture4-24

InactivatedYeasts4-24

SilageInoculants4-24

AquacultureDFMandEnvironmentalModifiers4-25

CompetitiveAnalysis4-26

CompetitiveStructure4-26

TiersofCompetition/TypesofCompetitors4-27

BasicBacteriaorYeastManufacturers4-27

TradingOrganisations4-28

Distributors/NutritionSupplyOrganisations4-28

FeedAdditiveManufacturers4-28

Premixers4-28

FeedCompounders4-28

EndUsers:LivestockFarmers4-29

CompetitiveFactors4-29

ApplicationAnalysis4-31

Chapter5

StrategicAnalysisoftheBacterialAnimalFeedDFMMarket

IntroductiontoBacterialDFM5-1

MarketOverview5-1

MarketDrivers5-3

BacterialDFMProventobeEquivalenttoAntibioticsinEfficacy5-3

BacterialDFMmaybeUsedinConjunctionwithManagementChange5-4

ImprovementsinProtectionMechanismsforBacteria5-4

TheBestDFMStrainsareTargetedToaParticularSpeciesofAnimalfromitsCommensalGutMicroflora5-4

BacterialFermentationofLiquidDietsmaybeCheaperandEasierthanUsingAcidProducts5-4

PotentialforQuorum-SensingMechanisms5-5

MarketRestraints5-5

CompetitionfromOtherFeedAdditives5-5

LowDegreeofVisibilityofBacterialStrainProducers5-6

BacterialDFMhavebeenAdverselyAffectedduetoInefficientUseinDietary

FormulationandVariableEfficacy5-6

HighDegreeofProtectionRequiredtoEnsureEfficacy5-6

BacterialStrainshavetheAbilitytoProduceEnterotoxins5-7

CostsofBacterialDFMDevelopmentLimitsResearch5-7

ForecastsfortheMarketforBacterialDFM5-7

MarketEngineeringMeasurementAnalysis5-7

MarketForecastsandTrends5-8

PricingAnalysisandTrends5-10

CompetitiveAnalysisintheBacterialDFMMarket5-11

CompetitiveStructure5-11

TypesofCompaniesandTiersofCompetition5-12

ExpansionsandAcquisitions5-13

KeyEnd-UserGroups5-13

CompetitiveFactors5-13

MarketShareAnalysis5-13

Chapter6

StrategicAnalysisoftheLiveYeastAnimalFeedDFMMarket

IntroductiontoLiveYeast6-1

MarketOverview6-1

MarketDrivers6-2

DevelopmentofTrace-MineralEnrichedYeastProducts6-2

NutritionalElementofYeastProvidesanAdditionalbenefittotheDFM6-2

IncreasedLevelofAwarenessofYeastDFMamongNutritionists6-3

AdditionalUseofYeast-basedProductsinOtherMarkets6-3

ApplicationofYeastforVeterinaryReferralCases6-3

MarketRestraints6-4

RegistrationProcessDiscouragesStrainDevelopment6-4

LackofVisibilityoftheMajorManufacturers6-4

UncertaintyoverYeastPromotionandUsage6-4

FarmerUnabletoDistinguishbetweenLiveandInactivatedYeastProducts6-5

ForecastsfortheLiveYeastDFMMarket6-5

MarketEngineeringMeasurementAnalysis6-5

MarketForecastsandTrends6-6

PricingAnalysisandTrends6-8

CompetitiveAnalysisintheLiveYeastDFMMarket6-8

CompetitiveStructure6-8

TypesofCompaniesandTiersofCompetition6-9

ExpansionsandAcquisitions6-10

KeyEnd-UserGroups6-10

CompetitiveFactors6-10

MarketShareAnalysis6-11

Chapter7

StrategicAnalysisoftheInactivatedYeastMarketforAnimalFeed

IntroductiontoInactivatedYeast7-1

MarketOverview7-1

MarketDrivers7-2

InactivatedYeastdoesnotRequireSameProtectionTechnology7-2

LessExpensiveinTermsofStorageandPrice7-2

DoesnotRequireNutrientsorUseResources7-2

MarketRestraints7-3

LackofAwarenessoftheDifferencesbetweenLiveandInactivatedYeast7-3

IncreasedInterestinLiveYeastDFMmayRestricttheDevelopmentoftheInactivatedYeastMarket7-3

ForecastsfortheInactivatedYeastMarket7-4

MarketEngineeringMeasurementAnalysis7-4

MarketForecastsandTrends7-4

PricingAnalysisandTrends7-6

CompetitiveAnalysisfortheInactivatedYeastMarket7-7

CompetitiveStructure7-7

TypesofCompanies7-7

TiersofCompetitionandDistributionStructure7-8

MarketShareAnalysis7-9

Chapter8

StrategicAnalysisoftheAquacultureDFMMarket

IntroductiontoAquacultureDFM8-1

MarketOverview8-1

MarketDrivers8-3

FurtherDeclineinthePopulationofOceanFishwillIncreasetheDemandsPlacedontheAquacultureIndustry8-3

ResearchNeededintoFindingAlternativestotheUseofAntimicrobials8-3

RegulationstoImproveEnvironmentalQualityareExpected8-4

AdvantagesofDFMoverVaccines8-4

NeedtoOvercomeAntimicrobialResistance8-4

MarketRestraints8-5

MajorConstraintsinAquacultureFeedSupply8-5

CompetitionfromVaccinesasthePredominantFormofDiseaseControlinFarmedFish8-5

LackofInvestmentCapitalRestrictingGrowthinAquaculture8-6

IneffectiveDFMProductshaveDecreasedConfidenceintheseProductsataFarmLevel8-6

R&DNeededonSuitableChoicesofBacterialStrains8-6

RestraintsinTechnologyforDFMApplication8-6

ForecastsfortheAquacultureDFMMarket8-7

MarketEngineeringMeasurementAnalysis8-7

MarketForecastsandTrends8-7

PricingAnalysisandTrends8-9

CompetitiveAnalysisfortheAquacultureDFMMarket8-10

CompetitiveStructure8-10

TypesofCompaniesandDistributionStructure8-11

Competition8-11

MarketShareAnalysis8-12

Chapter9

StrategicAnalysisoftheSilageInoculantsMarket

IntroductiontoSilageInoculants9-1

MarketOverview9-1

MarketDrivers9-2

RisingCostsofOrganicAcidsasIngredients9-2

IncreasedCommitmenttoMarketingandEducation9-3

InnovationsinProductDevelopment9-3

InoculantProductsReduceDryMatterLosses9-3

Corrosion，SafetyandEnvironmentalCostsAssociatedwithOrganicAcids9-4

IncreasedTechnologicalAwarenessofFarmers9-4

IncreasingTrendtowardMoreExtensiveProductionSystemsforRuminants9-4

MarketRestraints9-5

RogueProducts9-5

UseofSilageInoculantsislessEffectiveonCorn-basedSilage9-6

ResearchonSilageInoculantProductsNeeded9-6

VariableLabellingonSilageInoculantProducts9-6

LackofEducationoftheFarmer9-7

SilageInoculantsareViewedasInsuranceProductsOnly9-7

LackofInnovationintheSilageInoculantSector9-7

QualityControlattheDistributionLevel9-8

InconsistencyofSilageProducedEachYear9-8

ForecastsfortheSilageInoculantsMarket9-8

MarketEngineeringMeasurementAnalysis9-8

MarketForecastsandTrends9-9

PricingAnalysisandTrends9-11

CompetitiveAnalysisintheSilageInoculantsMarket9-12

CompetitiveStructure9-12

TypesofCompanies9-13

TiersofCompetitionandDistributionStructure9-14

MarketShareAnalysis9-14

Chapter10

DatabaseofKeyIndustryParticipants

Manufacturers10-1