Fermented Soybean Meal (FSBM) Market Summary

Introduction
Fermented Soybean Meal (FSBM) is a high-protein feed ingredient produced by fermenting soybean meal to enhance its digestibility, reduce anti-nutritional factors, and improve palatability, making it a valuable alternative to traditional protein sources like fishmeal. Used in swine, ruminants, aquaculture, and poultry feeds, FSBM is available in granule and powder forms, catering to diverse feed formulations. The global FSBM market is driven by the rising demand for sustainable and cost-effective protein sources, particularly in response to fishmeal price volatility and sustainability concerns. FSBM’s enhanced nutritional profile, including higher protein bioavailability and lower trypsin inhibitors, supports animal growth and health, making it a preferred choice in intensive livestock and aquaculture systems. Key industry trends include the adoption of advanced fermentation technologies, the development of non-GMO and organic FSBM, and the integration of FSBM with other feed additives to optimize performance. Regulatory frameworks, such as the European Union’s feed safety regulations and the U.S. Food and Drug Administration (FDA) guidelines, ensure product quality and safety, promoting market adoption. Strategic developments, such as Mexico’s exploration of FSBM as a fishmeal alternative in July 2025 and increased U.S. soybean production in 2024, highlight the market’s focus on sustainability and supply chain stability. The FSBM market operates in a highly competitive environment, with key players investing in R&D, strategic partnerships, and regional expansion to meet the growing demand for sustainable feed solutions.

Market Size and Growth Forecast
The global Fermented Soybean Meal market was valued at USD 1.4–2.6 billion in 2024, with an estimated compound annual growth rate (CAGR) of 6.0%–8.5% from 2025 to 2033. Growth is propelled by the increasing shift toward sustainable protein sources, the expansion of global livestock and aquaculture production, and advancements in fermentation technologies that enhance FSBM’s nutritional value.

Regional Analysis
The FSBM market exhibits distinct regional trends, driven by soybean production, livestock and aquaculture growth, and regional agricultural policies. Asia-Pacific is projected to grow at a CAGR of 6.5%–9.0%, with China, India, and Vietnam as key markets. China’s market is driven by its massive swine and aquaculture industries, with trends emphasizing non-GMO FSBM to meet consumer demand for sustainable and high-quality animal products. India’s growing poultry and dairy sectors support FSBM adoption, with trends focusing on cost-effective protein sources for small-scale farmers. Vietnam’s expanding aquaculture industry drives demand for FSBM as a fishmeal alternative, with trends toward specialized formulations for shrimp and fish feeds.

North America is anticipated to grow at a CAGR of 5.5%–7.5%, led by the United States and Canada. The U.S. market is supported by strong soybean production, with 2024 yields reaching 4.37 billion bushels, up 5% from 2023, ensuring a robust supply for FSBM production. Trends include the adoption of FSBM in swine and poultry feeds to enhance feed efficiency and reduce costs. Canada’s market is driven by its dairy and poultry sectors, with trends emphasizing sustainable feed solutions to support intensive farming systems.

Europe is expected to grow at a CAGR of 5.0%–7.0%, with Germany, France, and the Netherlands as leading markets. Germany’s focus on sustainable livestock farming drives demand for organic FSBM, aligning with EU regulations that prioritize feed safety and environmental sustainability. France’s market benefits from its advanced feed industry, with trends toward FSBM in ruminant and poultry diets. The Netherlands, a hub for feed innovation, supports FSBM adoption, with trends emphasizing high-protein feeds for intensive livestock production.

Rest of the World, including Latin America and the Middle East, is projected to grow at a CAGR of 5.5%–8.0%. Brazil’s expanding poultry and swine industries drive FSBM demand, with trends toward sustainable protein sources to support export-oriented production. Mexico’s aquaculture sector, as highlighted by research into fishmeal alternatives in July 2025, supports FSBM adoption, with trends focusing on cost-effective and sustainable feed formulations. In the Middle East, the UAE’s growing aquaculture industry drives demand, with trends emphasizing high-performance feeds for fish and shrimp. The absence of specific regional market share data limits precise allocation, but these regions are key growth areas due to their expanding livestock and aquaculture sectors.

Application Analysis
The FSBM market is segmented into four primary applications: swine, ruminants, aquaculture, and poultry, each with unique growth trends and characteristics driven by nutritional needs and market demands.

Swine applications are estimated to grow at a CAGR of 6.0%–8.5% from 2025 to 2033. FSBM’s high digestibility and reduced anti-nutritional factors make it an ideal protein source for swine diets, supporting faster growth rates and improved feed conversion ratios. The segment benefits from the global rise in pork consumption, particularly in Asia-Pacific, where China’s swine industry dominates. Trends include the development of non-GMO FSBM to meet consumer demand for clean-label pork products and the integration of FSBM with palatants to enhance feed intake.

Ruminant applications, encompassing cattle, sheep, and goats, are projected to grow at a CAGR of 5.5%–7.5%. FSBM’s high protein content and improved digestibility support milk production in dairy cattle and growth in beef cattle, making it a valuable feed ingredient in regions like Europe and North America. Trends include the adoption of organic FSBM in sustainable farming systems, particularly in Germany, where clean-label feed products are in demand. Innovations in fermentation technologies are enhancing FSBM’s nutritional profile, driving its use in ruminant diets.

Aquaculture applications are estimated to grow at a CAGR of 6.5%–9.0%, driven by the need for sustainable protein sources to replace fishmeal in fish and shrimp feeds. FSBM’s high protein bioavailability and low anti-nutritional factors improve feed efficiency and reduce waste, making it a preferred choice in high-growth markets like Asia-Pacific and Latin America. Mexico’s exploration of FSBM as a fishmeal alternative, noted in July 2025, underscores its growing role in aquaculture. Trends include the development of species-specific FSBM formulations to optimize growth in fish like salmon and shrimp.

Poultry applications are projected to grow at a CAGR of 5.5%–7.5%, fueled by the global rise in poultry production, particularly in broilers and layers. FSBM enhances feed efficiency and supports growth and egg production, making it a valuable protein source in poultry diets. Trends include the adoption of non-GMO and organic FSBM in Europe and North America, aligning with consumer preferences for clean-label poultry products. Advances in fermentation processes are improving FSBM’s consistency and nutritional value, driving market growth.

Type Analysis
The FSBM market is divided into two main types: granules and powder, each catering to different feed formulations and market preferences.

Granule FSBM is estimated to grow at a CAGR of 6.0%–8.0% from 2025 to 2033. Granules are valued for their ease of handling, uniform distribution in feed, and compatibility with pelleted and extruded diets, making them ideal for swine and poultry applications. Trends include advancements in granulation technologies to improve particle size consistency and nutritional stability, enhancing FSBM’s appeal in intensive farming systems. The segment’s growth is supported by the increasing demand for granule FSBM in Asia-Pacific, where large-scale livestock production is expanding.

Powder FSBM is projected to grow at a CAGR of 5.5%–7.5%. Powder forms are used in specialized feeds, particularly for aquaculture and ruminants, where fine particle sizes allow precise incorporation into wet or high-moisture diets. Trends include the development of non-GMO and organic powder FSBM to meet consumer demand for sustainable feed ingredients, particularly in Europe and North America. The segment benefits from innovations in fermentation and drying processes, which enhance protein bioavailability and shelf life.

Key Market Players
The FSBM market is highly competitive, with a mix of global agribusiness leaders, specialized feed producers, and regional players competing to meet growing demand. Below is a detailed overview of select key players:

DaBomb Protein, based in China, specializes in FSBM for aquaculture and swine, with a strong presence in Asia-Pacific. The company focuses on high-protein, sustainable feed solutions, leveraging advanced fermentation technologies to enhance FSBM’s nutritional profile. DaBomb collaborates with feed manufacturers to develop customized FSBM formulations, catering to the region’s growing livestock and aquaculture sectors.

GBW, headquartered in China, produces FSBM for poultry and swine, serving Asia-Pacific markets. The company emphasizes cost-effective and sustainable protein sources, investing in R&D to improve fermentation processes and reduce anti-nutritional factors. GBW’s focus on affordable FSBM solutions supports its expansion in emerging markets like India and Vietnam.

Myande, based in China, specializes in FSBM production for aquaculture and ruminants, with a strong presence in Asia-Pacific. The company leverages its expertise in processing equipment to produce high-quality FSBM, focusing on sustainability and nutritional optimization. Myande’s investments in advanced fermentation technologies enhance its market position.

CJ BIO, headquartered in Seoul, South Korea, is a global leader in bio-based feed ingredients, producing FSBM for swine, poultry, and aquaculture. Serving Asia-Pacific, North America, and Europe, CJ BIO emphasizes high-protein FSBM with enhanced digestibility, collaborating with feed manufacturers to develop tailored solutions. The company’s focus on innovation and sustainability strengthens its competitive edge.

Shandong Jiurui Agricultural Group, based in China, produces FSBM for swine and poultry, serving Asia-Pacific markets. The company focuses on cost-effective protein sources, leveraging regional soybean supply chains to meet the growing demand for sustainable feeds. Jiurui’s emphasis on quality and affordability supports its market presence.

Wilmar Group, headquartered in Singapore, is a global agribusiness leader producing FSBM for swine, aquaculture, and poultry, with a strong presence in Asia-Pacific. The company’s integrated model, encompassing soybean cultivation and processing, supports its expansion into sustainable feed markets. Wilmar invests in fermentation technologies to enhance FSBM’s nutritional value.

Shandong Taishan Sheng Li Yuan Group, based in China, produces FSBM for ruminants and poultry, serving Asia-Pacific markets. The company focuses on high-quality, sustainable feed solutions, leveraging regional supply chains to meet demand. Its investments in R&D enhance FSBM’s digestibility and palatability.

Nutraferma, headquartered in the U.S., specializes in FSBM for aquaculture and swine, serving North America and Asia-Pacific. The company emphasizes innovative fermentation technologies to produce high-protein FSBM, collaborating with feed manufacturers to develop customized solutions. Nutraferma’s focus on sustainability strengthens its market position.

ADM, based in Chicago, Illinois, USA, is a global leader in animal nutrition, producing FSBM for swine, ruminants, and poultry. Serving North America, Europe, and Asia-Pacific, ADM leverages its extensive supply chain and advanced processing facilities to produce sustainable FSBM. The company invests in R&D to enhance FSBM’s nutritional profile, positioning itself as a market leader.

Shanghai Yuanyao Agricultural, based in China, produces FSBM for aquaculture and poultry, serving Asia-Pacific markets. The company focuses on cost-effective and sustainable feed solutions, leveraging regional soybean supplies to meet demand. Yuanyao’s emphasis on quality and affordability supports its market growth.

Yihai Kerry, headquartered in China, is a major agribusiness player producing FSBM for swine and poultry, serving Asia-Pacific and global markets. The company emphasizes sustainable protein sources, investing in advanced fermentation technologies to enhance FSBM’s digestibility and nutritional value.

Xipu Biological, based in China, specializes in FSBM for aquaculture and ruminants, serving Asia-Pacific markets. The company focuses on high-protein, sustainable feed solutions, collaborating with feed manufacturers to develop customized FSBM formulations. Xipu’s investments in R&D enhance its competitive position.

Shandong Bangji Technology, based in China, produces FSBM for swine and poultry, serving Asia-Pacific markets. The company emphasizes cost-effective and sustainable feed solutions, leveraging regional supply chains to meet demand. Bangji’s focus on quality and affordability supports its market presence.

Bio-zhinong, headquartered in China, produces FSBM for ruminants and aquaculture, serving Asia-Pacific markets. The company focuses on sustainable feed solutions, investing in fermentation technologies to enhance FSBM’s nutritional profile. Bio-zhinong’s emphasis on regional supply chains strengthens its market position.

Shandong Heshi Group, based in China, produces FSBM for swine and poultry, serving Asia-Pacific markets. The company focuses on high-quality, sustainable feed solutions, leveraging regional soybean supplies to meet demand. Heshi’s investments in R&D enhance FSBM’s digestibility and palatability.

Porter’s Five Forces Analysis
The FSBM market’s competitive dynamics can be analyzed through Porter’s Five Forces model, reflecting its structure and growth drivers.

● Threat of New Entrants: The threat of new entrants is moderate. High R&D costs for developing advanced fermentation technologies and stringent regulatory requirements for feed safety create barriers to entry. Established players like ADM and CJ BIO leverage economies of scale, strong brand recognition, and extensive distribution networks, deterring new entrants. However, regional players can enter by leveraging local soybean production, particularly in Asia-Pacific.

● Bargaining Power of Suppliers: Suppliers of soybeans and fermentation inputs have moderate bargaining power. The market relies on a stable supply of soybeans, which are subject to price volatility due to global commodity markets. However, diversified supply chains and vertical integration by players like Wilmar Group reduce supplier leverage. Long-term contracts further mitigate supplier power.

● Bargaining Power of Buyers: Buyers, including feed manufacturers and livestock producers, have high bargaining power due to the availability of alternative protein sources, such as fishmeal, soybean meal, and corn gluten meal. Price sensitivity in the livestock and aquaculture industries, particularly in cost-conscious markets like Asia-Pacific, pressures FSBM producers to maintain competitive pricing. Buyers can switch to substitutes if FSBM costs rise, although its enhanced digestibility provides a competitive advantage.

● Threat of Substitutes: The threat of substitutes is high. Alternative protein sources, such as fishmeal, non-fermented soybean meal, and corn gluten meal, compete directly with FSBM, particularly in price-sensitive markets. However, FSBM’s improved digestibility, reduced anti-nutritional factors, and sustainability benefits mitigate some substitution risks, particularly in aquaculture and swine applications.

● Competitive Rivalry: Competitive rivalry is high. Major players like ADM, CJ BIO, and Wilmar Group compete on innovation, product quality, and pricing, driving significant investment in R&D and fermentation technologies. Regional players like Shandong Jiurui and Bio-zhinong intensify competition in Asia-Pacific by offering cost-effective solutions. Differentiation through non-GMO and organic FSBM, as well as customized formulations, is a key competitive strategy.

Market Opportunities and Challenges
The FSBM market presents numerous opportunities and challenges, shaped by global agricultural trends, sustainability demands, and supply chain dynamics.

Opportunities

● Sustainable Feed Demand: FSBM’s eco-friendly profile as a fishmeal alternative supports its adoption in aquaculture and swine feeds, particularly in markets like Mexico and Asia-Pacific, where sustainability is a priority.

● Emerging Markets: Growth in Latin America, Asia-Pacific, and the Middle East offers opportunities for FSBM producers to expand distribution networks, as seen with Mexico’s exploration of FSBM in aquaculture.

● Technological Advancements: Innovations in fermentation technologies enhance FSBM’s protein bioavailability and palatability, providing opportunities for premium products that improve feed efficiency.

● Rising Livestock and Aquaculture Production: The global increase in pork, poultry, and fish production drives FSBM demand, particularly in China, Brazil, and Vietnam.

Challenges

● Raw Material Volatility: Fluctuations in soybean prices, driven by global commodity markets, impact FSBM production costs, affecting profitability for players like GBW and Shandong Heshi Group.

● Regulatory Compliance: Stringent feed safety regulations, such as EU and FDA standards, increase production costs and complexity, requiring significant investment in compliance and testing.

● Competition from Alternatives: Fishmeal, non-fermented soybean meal, and other protein sources compete with FSBM in cost-sensitive markets, challenging adoption in regions like Latin America.

● Supply Chain Disruptions: Global supply chain issues, such as soybean shortages, affect FSBM production timelines, posing challenges for manufacturers like Myande and Xipu Biological.

Growth Trend Analysis
The FSBM market is experiencing robust growth, driven by increasing soybean production and the shift toward sustainable protein sources. Key developments, arranged chronologically, highlight this trend:

- 2024: U.S. soybean production totaled 4.37 billion bushels, up 5% from 2023, with an average yield of 50.7 bushels per acre and a harvested area of 86.1 million acres, up 5% from the previous year. This increase ensures a stable supply of raw materials for FSBM production, supporting market growth in North America and globally.

- July 24, 2025: Mexico, a leading aquaculture producer, is actively exploring FSBM as a fishmeal alternative due to price volatility, supply instability, and sustainability concerns. Research institutions and enterprises are optimizing feed formulations with FSBM, enzymatically hydrolyzed fish soluble, and corn gluten meal to reduce production costs, driving FSBM adoption in Latin America’s aquaculture sector.

These developments reflect a market focused on sustainability and supply chain stability, with the projected CAGR of 6.0%–8.5% through 2033 supported by the growing demand for sustainable feed ingredients, particularly in aquaculture and swine applications.