Current Situation — 16 March 2026: As the Middle East conflict enters its third week, global commodity markets are facing increasing uncertainty due to rising energy prices, geopolitical tensions, supply chain disruptions, and higher risk premiums. These developments are beginning to influence the feed market across the Middle East, North Africa, and South Asia (MENASA) region, where livestock, poultry, and aquaculture production systems depend heavily on imported feed ingredients and stable logistics networks.

Feed Market Developments

Higher energy prices are raising the cost of transportation, processing, and feed manufacturing, which directly impacts feed producers and livestock integrators across the entire region. Increased freight rates and shipping uncertainties are creating additional pressure on feed supply chains, particularly for countries that rely on imports of protein meals, grains, and feed additives.

In many MENASA countries, feed demand remains strong due to the continued expansion of poultry, dairy, aquaculture, and pet food sectors. However, volatility in global markets may increase feed production costs and tighten profit margins for feed manufacturers who are already operating in challenging economic conditions.

Regional Implications

Feed industries across the Gulf and South Asia are closely monitoring geopolitical developments because of their potential effects on trade routes, energy supplies, and currency stability. Any disruption in shipping corridors or increases in fuel costs could further elevate feed prices and directly affect the cost of animal protein production across the entire MENASA region.

The poultry and aquaculture sectors are particularly sensitive to feed price changes because feed represents 60–70% of total production costs. As a result, fluctuations in feed ingredient availability and logistics costs may significantly influence farm profitability and production planning decisions across the region.

Industry Outlook

Despite current market volatility, demand for animal protein in the MENASA region continues to grow due to population growth, urbanisation, and increasing consumer demand for poultry, fish, dairy, and eggs. This sustained demand will keep the feed sector active and resilient, though producers may need to adopt more efficient feed formulations, alternative ingredients, and improved feed conversion strategies to manage rising costs and protect margins.

The ongoing Middle East conflict is creating uncertainty in the regional feed market through higher energy costs, logistical challenges, and supply chain risks. These factors may increase feed production costs and put pressure on poultry, livestock, and aquaculture sectors across the MENASA region. However, strong demand for animal protein is expected to keep feed demand stable despite ongoing market volatility.

Source: USSEC Market Intelligence Report, Vol. 32 (MENASA Region), 2026

From By-Product to Powerhouse

Rice protein meal — a by-product of the rice starch industry — has emerged as a nutritional goldmine that is reshaping both human nutrition and animal feed markets worldwide. As the global demand for sustainable, plant-based proteins continues to surge, this derivative of the world's most consumed grain is stepping into the spotlight as a credible and scalable alternative protein source.

The rice protein industry is experiencing significant transformation driven by evolving global dietary preferences and increasing health consciousness among consumers. The growing awareness of food allergies and intolerances has become a crucial factor shaping the market landscape, with approximately 68% of the global population being lactose intolerant. This has led to a substantial shift towards plant protein alternatives across both human food and animal feed sectors.

The global market value of rice protein products is around $800 million per year, with major production concentrated in Southeast Asia. The Rice Protein Market size is estimated at 0.88 billion USD in 2025, and is expected to reach 1.11 billion USD by 2030, growing at a Compound Annual Growth Rate (CAGR) of 4.74%.

The Science Behind the Product — Production Process

The transformation of rice into protein meal is a sophisticated industrial process that maximises the nutritional value of every grain. The production methodology involves several carefully controlled steps: Heating — rice undergoes controlled thermal treatment to prepare for enzymatic processing; Amylase Application — specialised enzymes are introduced to break down starch components; Incubation — the mixture undergoes a precise incubation period for optimal enzymatic activity; Filtration — the protein-rich fraction is carefully separated from starch; and Drying — the final product is dried to achieve optimal moisture content.

During processing, rice is fractionated into approximately 75% starch and 25% protein-rich meal. The final product is nutritionally comparable to corn gluten meal, making it an excellent alternative in both human nutrition and animal feed applications. Manufacturers are utilising advanced enzyme-assisted extraction to overcome the traditionally "gritty" texture of rice protein, allowing for better solubility and improved functional properties.

Standardised Ileal Digestibility (SID) of Amino Acids

Research published in Poultry Science (Iqbal et al., 2025) reveals critical data on amino acid digestibility in rice protein meal. Amino acid digestibility varies depending on chemical structure, protein source, and processing conditions:

The Bottom Line: While rice protein meal offers economic and sustainability advantages in rice-producing regions, its amino acid digestibility — particularly for critical sulfur-containing amino acids like methionine (44.2%) and cysteine (27.9%) — lags significantly behind soybean meal. Nutritionists formulating with RPM must account for these lower digestibility coefficients rather than treating rice protein as a 1:1 soy substitute, or consider blending strategies to compensate for the 40–50% reduction in key amino acid availability.

Global Rice Production Landscape

To understand the potential of rice protein meal, one must appreciate the sheer scale of global rice production. Rice remains the staple food for over half of humanity. Based on recent estimates, the top leading rice-producing countries are: China (~208–217 million tonnes), India (~190–196 million tonnes), Bangladesh (~57 million tonnes), Indonesia (~53–54 million tonnes), Vietnam (~42–43 million tonnes), Thailand (~34 million tonnes), Myanmar (~24 million tonnes), Philippines (~19–20 million tonnes), Cambodia (~11–12 million tonnes), and Pakistan (~10–11 million tonnes). The Asian nations collectively form the backbone of the global rice export market, supplying millions of tonnes to Africa, the Middle East, and beyond.

Market Dynamics and Future Outlook

Between 2025 and 2030, the rice protein market is projected to expand from USD 1.5 billion to USD 2.2 billion, resulting in a value increase of USD 0.7 billion. The global growth outlook reflects a strong upward trajectory through 2035, with China leading expansion at a 7.8% CAGR, followed closely by India at 7.4%. In the Americas, Brazil is anticipated to grow at 6.3%, while the USA maintains a steady 5.8% CAGR.

The rice protein market is transitioning from a "secondary" plant protein to a primary ingredient in mainstream food formulations. Valued at USD 1.1 billion in 2026, the market is expected to reach USD 1.5 billion by 2029 as the dairy-alternative and meat-analogue sectors expand their use of rice-based blends. Rice Protein Isolates will dominate with a 46.0% market share, while sports nutrition will lead the application segment with a 42.0% share.

Key Considerations for Optimal Use in Poultry Diets

1. Amino Acid Digestibility: Amino acid digestibility needs further evaluation to optimise formulation strategies. Understanding bioavailability is crucial for maximising nutritional benefits in poultry applications.

2. Enzyme Supplementation: Enzyme supplementation may improve nutrient availability and digestibility. Research continues into novel enzymatic approaches that can enhance functional attributes.

3. Maximum Safe Inclusion Levels: Determination of the maximum safe inclusion level is necessary for optimal performance in poultry feed formulations. Working with nutritionists ensures balanced diets that maximise animal health and productivity.

4. Market Challenges: Higher production costs compared to other plant proteins and limited consumer awareness may pose challenges. Raw material price fluctuation is anticipated to restrain market growth during forecast years.

Source: USSEC Market Intelligence Report, Vol. 32 (MENASA Region), 2026 · Iqbal et al., 2025, Poultry Science

Overview — Connecting Farmers with Industry

The feed ingredient market in the Gulf Cooperation Council (GCC) region — including the United Arab Emirates, Saudi Arabia, Oman, Qatar, and Kuwait — continues to expand due to rising demand for poultry meat, eggs, dairy products, and aquaculture. The region is highly dependent on imported feed ingredients, with approximately 80–95% of raw materials sourced from international markets such as Brazil, the United States, Argentina, and the European Union.

Major feed ingredients include corn (maize), soybean meal, barley, wheat bran, DDGS, fishmeal, and a wide range of feed additives such as enzymes, amino acids, vitamins, and mycotoxin binders. Increasing government focus on food security and local poultry production is driving growth in feed manufacturing capacity across the GCC.

Saudi Arabia — Largest GCC Poultry Feed Market

Saudi Arabia represents the largest poultry and feed market in the region. Poultry production has reached approximately 1.5–1.6 million tons annually, creating a feed demand of nearly 7–8 million tons per year. Major integrated companies such as Almarai, Al Watania, Fakieh, and Tanmiah dominate the sector, while government initiatives under Vision 2030 aim to increase poultry self-sufficiency to about 80%. As a result, demand for high-quality feed ingredients and performance-enhancing additives continues to grow strongly.

United Arab Emirates

The UAE represents an important regional trading and distribution hub for feed ingredients. Although domestic poultry production is smaller compared with Saudi Arabia, the UAE imports significant quantities of corn and soybean meal to support poultry, dairy, and aquaculture industries. Feed demand in the UAE is estimated at around 1.8–2.0 million tons annually. Companies in the country increasingly focus on advanced feed technologies, precision nutrition, and specialty additives to improve animal performance and feed efficiency.

Oman

The poultry sector in Oman is gradually expanding, with companies such as A'Saffa Foods and Oman Poultry playing key roles in domestic production. Feed demand is estimated at approximately 600–700 thousand tons annually, with corn and soybean meal forming the core ingredients. The country is also investing in aquaculture development, which is expected to further increase demand for specialised feed ingredients and nutritional solutions in coming years.

Qatar

The poultry industry in Qatar has grown significantly following the 2017 regional blockade, which prompted strong government support for local food production. Companies such as Baladna have expanded poultry and dairy operations, resulting in an estimated feed demand of around 450–500 thousand tons annually. Qatar continues to rely heavily on imported feed ingredients, but ongoing investments in feed mills and livestock production are strengthening the country's food security strategy.

Kuwait

Kuwait maintains a smaller but stable poultry sector with high dependence on imported feed ingredients. The country's annual feed demand is estimated at approximately 350–400 thousand tons. Poultry companies such as Kuwait United Poultry contribute to domestic production, although most feed raw materials — including corn and soybean meal — are imported through international suppliers.

Regional Outlook and Challenges

Across the GCC region, the feed ingredient market is influenced by several global factors, including fluctuations in grain prices, geopolitical tensions affecting shipping routes, and disruptions in global supply chains. Despite these challenges, the outlook for the region remains positive, driven by population growth, increasing consumption of animal protein, and government policies aimed at improving food security.

These trends create significant opportunities to expand technical services, supply innovative feed ingredients, and support feed manufacturers and livestock producers with advanced nutritional solutions across the entire GCC region.

References: FAO FAOSTAT 2024 · USDA World Markets and Trade Reports 2024–2025 · Gulf Cooperation Council Agricultural Reports 2024 · International Grains Council 2024 · OECD-FAO Agricultural Outlook 2024–2033 · Rabobank Global Animal Protein Reports · Alltech Global Feed Survey 2024 · Ag Intel Soybean Market Summary Vol. 31, March 2026

India's Livestock and Poultry Sector

India's livestock sector plays a crucial role in the country's agricultural and economic landscape, supporting the livelihoods of millions by providing employment, income, and nutritional security. The poultry and livestock sector provides essential inputs for sustainable farming practices, ensuring the country's food security. However, this sector grapples with a range of impediments, such as inadequate feed and fodder, frequent occurrences of disease, and the escalating impacts of climate change.

Maintaining high quality and nutritional value throughout the feed-to-food chain is vital to supporting optimal performance. With the rising global population giving a boost to demand for animal protein, countries are focusing on producing high quality feed with limited resources. Poultry farmers should get the right price for their final produce throughout the year for making businesses sustainable.

Industry Scale and Current Position

The poultry industry is valued at USD 30 billion currently and engages 2.5 million people from farm to retail outlets. The current Indian poultry sector is estimated to employ more than 6 million people either directly or indirectly. Small and medium size poultry farms are mostly engaged in contract farming systems under larger integrators.

At present India is the second largest producer of eggs in the world with production of 149 billion eggs annually and is the fifth largest producer of poultry meat with chicken consumption of around 10 million metric ton per year. In India, the per capita consumption of eggs is 106 units per person per year and the per capita consumption of chicken is 7.4 kg per person per year.

Total broiler placement in India is approximately 5.5 billion per year, total layer placement is approximately 300 million, and rural poultry (backyard poultry) in India is approximately 45 million. Broiler breeder placement is approximately 55 million and layer breeders placement is approximately 24 million.

Feed Demand Projections to 2047

India's population is around 1.4 billion and is projected to be approximately 1.53 billion by 2047. This increase in population directly correlates with higher demand for food including eggs and chicken. Per capita poultry meat and eggs are expected to be 15 kg live weight and 200 eggs annually by 2047. Around 38 million tonnes (MT) of broiler feed and 34 MT of layer feed will be required in 2047. At 30% penetration rate, cattle feed requirement will be around 90 MT in 2047. Fish and shrimp feed required will be around 7 MT in 2047.

During 2025, India is estimated to produce around 28 million tonne of poultry feed. Most of the raw materials required for poultry feeds are produced in India. But shortages may be faced in future, as the animal husbandry sector is growing much faster than the crop sector.

Feed Ingredient Challenges and Policy Needs

Availability of good quality feed ingredients and their prices are major challenges for manufacturing good quality compound feeds. Maize and soybean meal prices act as benchmarks for prices of other feed ingredients. Soybean meal is the main protein source in poultry feeds. Government present policies will continue to divert significant volumes of maize to ethanol production which will put pressure on maize prices.

The industry associations have urged the Indian government to allow imports of GM maize and soybean/soybean meal with a fixed quota during off or non-harvesting seasons so that it does not adversely impact the farmers' price realisation. Reduction in import duties on these feed ingredients in the poultry feed should be announced. Several South Asian countries including Bangladesh, Nepal, Pakistan, and Sri Lanka have already allowed imports of GM soybean/soymeal and maize.

When domestic feed prices go up, the government must allow imports of GM maize and soybean/soybean meal. In 2021, the Indian government had allowed imports of genetically modified soybean meal for a limited period to control prices.

Quality Control and Infrastructure Gaps

Adulteration of feed ingredients is a major issue. There are not enough quality control labs to test it. The futures trading and hedging of these agricultural commodities is not substantial. There is a lack of National Accreditation Board for Testing and Calibration Laboratories (NABL)-accredited food and feed testing labs across the country.

The Food Safety and Standard Authority of India (FSSAI) issued a directive specifying that all commercial feeds intended for meat and milk-producing animals must comply with the Bureau of Indian Standard (BIS) specifications. As more feed manufacturing companies start adopting the regulations, the lab infrastructure also needs to be further developed.

There is also a need to enhance efficiency in usage of available poultry feed resources. Scientists and feed industries must ensure that the quality control systems and good laboratory practices are used in feed analysis. Prominent feed players have started building new feed mills with 40 to 60 tons per hour capacity. Starting degree courses in feed milling technology in veterinary colleges is the current need for the poultry industry.

Sustainability and Climate Considerations

India is making strides towards achieving the target of net zero carbon emissions by 2070 through many initiatives. These include areas like solar energy, green hydrogen, electric vehicles (EVs), waste-to-wealth, organic and natural farming. The country is also launching a domestic compliance carbon market to facilitate trading of carbon credits. Animal husbandry sector contributes to global warming due to the emission of greenhouse gases like methane and nitrous oxide.

There is also a need to change crop patterns due to climatic change. Scientists have done studies on many unconventional raw materials but their availability and safety is more important. As animal nutrition must get due attention, especially at the policy level — the production of safe animal feeding should be the focus of an efficient livestock production system.

Editorial Meetup — Global Leader Talk · Gulf Poultry Magazine, April 2026

NestBorn: Enhancing Welfare, Quality & Operational Security

The benefits of NestBorn in achieving Optimal Chick Welfare and Optimal Chick Quality are already widely recognised within the poultry industry. By enabling chicks to hatch directly on the farm, the system eliminates early-life stressors such as handling, transport, and delayed access to feed and water. This results in stronger, more uniform chicks with improved immunity, better gut development, and enhanced early growth performance.

Consequently, on-farm hatching not only improves animal welfare standards but also contributes to higher productivity and efficiency in broiler production systems. The elimination of the traditional hatchery-to-farm transport step removes a critical stress period that has long been known to negatively affect early chick performance and long-term flock uniformity.

Operational Security During Disease Outbreaks

A less widely discussed, yet increasingly critical advantage of On Farm Hatching is its contribution to security of operations, particularly during disease outbreaks such as Avian Influenza or Newcastle Disease. In such situations, movement restrictions can disrupt traditional hatchery operations and chick placement — creating production gaps that ripple through the entire supply chain.

However, European legislation allows controlled derogations for transporting pre-incubated eggs into restricted zones, where they can safely hatch under optimal farm conditions. This approach minimises the risk of culling at hatcheries and ensures continuity in production even during the most severe biosecurity lockdowns.

Real-World Implementation — Sweden Case Study

The use of NestBorn© by Blenta Gruppen in Sweden enabled the successful placement of approximately 300,000 eggs during a restriction period, preventing production losses across multiple sheds and maintaining supply chain stability for Guldfågeln — one of Sweden's leading poultry brands.

With strong stockmanship, this strategy not only safeguards operations but also supports resilient and sustainable poultry production systems. The case demonstrates that on-farm hatching is not merely a welfare improvement tool, but a genuine operational risk management strategy that protects producers from regulatory-forced production halts.

Benefits Summary

Animal Welfare: Chicks access feed and water from the first moment of hatch, eliminating the nutritional deprivation period associated with traditional hatchery-to-farm transport — which can last 24–72 hours in conventional systems.

Chick Quality: Stronger, more uniform flocks with improved passive immunity transfer, better gut microbiome development at hatch, and enhanced early growth performance metrics throughout the production cycle.

Biosecurity Resilience: Pre-incubated eggs can move under derogation where day-old chick movement is prohibited, protecting producers from complete production shutdowns during avian disease outbreaks that trigger movement restrictions.

Production Continuity: Integration of NestBorn technology allows producers to maintain flock placement schedules even when traditional hatchery logistics are disrupted by regulatory restrictions, extreme weather events, or logistical failures.

Industry Adoption Across Europe

Germany, Denmark, and Sweden have all demonstrated practical implementation of on-farm hatching at commercial scale, with results consistently showing improvements across welfare scoring, flock uniformity metrics, and early body weight gain. The technology is increasingly being evaluated by progressive producers across other European markets and is gaining recognition in the MENA and Gulf region as awareness of both welfare regulations and operational resilience requirements grows.

NestBorn Sweden continues to invest in next-generation machine technology, with the latest iterations offering improved environmental control within the on-farm hatching unit, enhanced connectivity for remote monitoring, and greater scalability for large integrated broiler production systems.

Gulf Poultry Magazine · April 2026 · Technology & Welfare Feature