For decades, Europe has set the benchmark in the global aquafeed market, driven by sustained investment in research and development (R&D), advanced formulations and product quality. But as new players scale up and competition intensifies, Europe’s long-held dominance is no longer guaranteed. The next chapter may see its role evolve from market leader to something more contested — and more complex.
Europe has long been a significant aquafeed exporter, supplying high-value feed to aquaculture industries across a wide geographic span — from Russia and the Mediterranean to Latin America. The region accounts for roughly 21% of global aquafeed market revenue, according to Grand View Research. European firms are believed to hold an even larger effective share of the global market, because a significant portion of aquafeed in emerging markets is of European origin.
Europe’s strength today rests on three pillars: innovation capability, regulatory credibility and sustainability positioning, said Nandini Roy Choudhury, senior analyst with Future Market Insights.
“Europe has a very strong scientific and technical base in feed formulation, digestibility, performance optimization and alternative ingredients,” Choudhury said.
The regulatory environment, while often criticized, has also helped build trust around traceability, feed safety and product quality. Europe has additionally been ahead of many regions in integrating sustainability into aquafeed strategy, whether through circular ingredients, certification systems or climate-focused sourcing frameworks. FEFAC’s sustainability work and the European Commission’s (EC) aquaculture strategy both point in that direction.
Sustainability as a strategic advantage
Sustainability has further strengthened Europe’s position in the global aquafeed market in recent years. The EC authorized processed insect protein for aquaculture feed in 2017 and later broadened the use of processed animal proteins under strict conditions — moves that helped European firms stay ahead in functional and alternative-protein feed development, Choudhury said.
Innovation is a core advantage of the European aquafeed sector, but it is purpose-driven and science-based, supporting sustainability, circularity and competitiveness, said Valeria Simonte, a spokeswoman for FEFAC, the European feed industry federation.
“European feed manufacturers are increasingly focusing on sustainable sourcing of feed materials, improved production processes and better nutrient utilization in aquaculture systems,” Simonte said.
European producers are innovating to improve feed performance and attending to the environmental footprint of feed ingredients. That includes advancing circular feed ingredients — using more food-chain co-products and exploring alternative protein sources, particularly from marine origin — and developing more precise feed formulations tailored to specific species, life stages and farming conditions.
Cost pressures and strategic vulnerabilities
The European aquafeed industry is contending with rising feed material and energy costs amid global supply chain pressures. The risk, Simonte said, is that food price inflation could push sustainability priorities to the back burner as value chain partners and consumers struggle to absorb higher input costs.
FEFAC members have also raised concern about a growing competitive gap in energy and input prices between EU feed additive producers and third-country rivals, increasing the EU’s vulnerability on access to essential additives — particularly vitamins and amino acids — that are critical for minimizing environmental emissions, securing animal welfare and optimizing feed efficiency.
“The EU needs to address its strategic dependence on essential feed additives as a matter of urgency,” Simonte said.
Europe’s broader aquaculture production gap compounds the challenge. The European Court of Auditors has noted that EU aquaculture accounts for less than 1% of global production, while imports make up more than 60% of the EU seafood supply.
Cost competitiveness is another pressure point. European manufacturers face structurally higher energy, labor, compliance and documentation costs than many competitors. That is manageable in premium salmonid and specialized feed segments, but more difficult in standard-volume categories where margins are thinner and buyers are more price-sensitive.
“This is where European companies are under the most pressure: not in quality, but in the economics of scaling against Asia or Latin America,” Choudhury said.
Shifting roles in a global market
Competition in the global aquafeed market is intensifying, with new players emerging and production capacity expanding rapidly in high-growth regions, said Maarten Bijl, CEO of Skretting. European companies, however, are not competing on scale alone.
“Europe’s role in the global aquafeed market is likely to evolve from product to value: from being primarily a volume-driven region to an innovation, sustainability and standards-setting powerhouse,” Bijl said. “While the fastest growth in aquaculture production will continue to come from regions such as Asia and Latin America, Europe will remain highly influential in shaping how aquafeed is produced, regulated and valued globally.”
Choudhury agreed that European leadership is evolving. “It is becoming less about being the lowest-cost producer and more about being the benchmark setter,” she said. Companies such as Skretting, BioMar and Aller Aqua, she added, illustrate that European players remain deeply embedded in the global aquafeed system through international manufacturing footprints, nutritional research and sustainability-oriented product development.
Maintaining a strong global position will require continued investment in innovation and staying closely connected to where aquaculture is growing, Bijl said.
“European players must adapt solutions to local species, systems and conditions while leveraging global R&D platforms,” Bijl said. “European companies that continue to lead on sustainability, science-based innovation and customer intimacy are well positioned to maintain and, in some areas, strengthen their role in an increasingly competitive global market.”
