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Fermented Pet Ingredient Market Set to Thrive at USD 1,040.9 million by 2035, Driven by Innovation from Established Leaders and Newcomers Alike

The Fermented Pet Ingredient Market is poised for steady growth, driven by rising demand for natural, gut-friendly nutrition solutions for pets.
Published 10 September 2025

The global pet food industry is undergoing a significant transformation, with fermented ingredients emerging as the next frontier in pet health and nutrition. A new report, "Fermented Pet Ingredient Market Size and Share Forecast Outlook 2025 to 2035," reveals a market poised for robust expansion, projecting a climb from a valuation of USD 567.2 million in 2025 to USD 1,040.9 million by 2035. This remarkable growth, representing an absolute increase of USD 473.7 million, is driven by a steady Compound Annual Growth Rate (CAGR) of 6.3%.

This period of growth will be marked by the powerful synergy of established industry giants and agile new players, all leveraging cutting-edge fermentation technologies to meet the evolving demands of pet owners.

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The report highlights how traditional powerhouses like ADM, Cargill, Evonik Industries, Lallemand Animal Nutrition, and Novonesis are leading the charge. These companies, with their deep-seated expertise and extensive infrastructure, are pioneering large-scale production and sophisticated technologies such as microencapsulation and precision fermentation. Their investments are focused on creating stable, bioavailable ingredients that can be seamlessly integrated into a wide range of products, from everyday kibble to specialized supplements.

Meanwhile, a new generation of innovators is carving out its own space by focusing on novel sources and targeted applications. Companies like Calysta, with its FeedKind protein made from fermented gas, are disrupting the traditional protein market with sustainable, non-GMO alternatives.

Similarly, Bond Pet Foods, in partnership with a major player like Hill's Pet Nutrition, is advancing precision fermentation to create animal-free proteins that are both nutritious and environmentally friendly. These new entrants are demonstrating that innovation isn't just about what you produce, but how you produce it, aligning their business models with consumer trends toward sustainability and ethical sourcing.

The report’s segmented analysis provides a clear roadmap for manufacturers. Probiotics and fermented proteins are projected to anchor the market, each holding a 20% share in 2025. Probiotics benefit from their strong association with digestive and immune health, while fermented proteins appeal to the growing demand for sustainable and hypoallergenic diets. Looking ahead, the fastest growth is anticipated from emerging segments like postbiotics, algae, and botanicals, which promise enhanced stability and unique functional benefits.

This growth is not confined to a single region. While established markets in North America (USA at 6.18% CAGR) and Europe (France at 6.36% CAGR) are expected to maintain their leadership, the fastest expansion is forecast in Asia-Pacific, with countries like India (5.89% CAGR) and China (5.14% CAGR) emerging as key drivers.

This geographic spread underscores a global shift in consumer mindset, where pet owners are increasingly "humanizing" their pets’ diets by prioritizing functional, natural, and scientifically-backed ingredients.

The market's momentum is further supported by a growing body of scientific research, particularly on postbiotics. Unlike their live probiotic counterparts, postbiotics offer greater stability, making them ideal for integration into dry pet foods without a loss of efficacy. This advantage, combined with advances in precision fermentation that allow for controlled and scalable production of specific compounds, is set to accelerate mainstream adoption.

In a dynamic landscape where competitive advantage is shifting from simple ingredients to integrated, evidence-backed solutions, both established and new players are finding fertile ground to expand. The report's findings confirm that the future of pet nutrition is fermented, and those who can master the technology—whether through decades of experience or a fresh, innovative approach—are best positioned to lead the way in this exciting new chapter.

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