Growing demand for poultry in five Southeast Asian countries is necessitating stricter animal-health regulations and higher hygiene standards which, in turn, is driving increased use of pest control products.
According to our just-published Global Pest Control in Production-Animal Health reports, poultry is, by far, the largest category for chemical pest control in Thailand, Indonesia, Philippines, Vietnam, and Malaysia. The most commonly used product type is premise spray, which is effective in keeping a poultry farm pest-free; it’s also popular in cattle and swine farms in the region. Baits, used to control rodents, are also important product types. Injections are mainly used on cattle, swine, sheep, and goats, broadly protecting them from both endo- and ecto-parasites. Pour-on products are not popular in the region, as they are perceived as possibly harmful to the animals if they come in direct contact with the chemicals.
South Korea is a unique market
South Korea has a very different animal share and product-type share in the pest control market. Despite poultry accounting for 92% of the livestock population there, the market for pest control in poultry is smaller than in cattle and swine. The country faced a poultry contamination scandal in 2017; since then, poultry farms are abundantly cautious and prefer to use non-chemical or traditional methods, such as tapes and lamps, to keep pests away. Chemical pest control is used on a larger scale on farms for larger animals such as cattle and swine. Consequently, on-animal sprays are used on the country’s animal farms more than premise sprays.
The market has an interesting supplier mix
Although a large part of the pest control market in the five Southeast Asian countries is served by global suppliers, there are a significant number of local and regional suppliers present. Among the multinational leaders are Bayer, BASF, Syngenta, Elanco, Sumitomo, and Zagro. The important regional suppliers are Korean companies Choong Ang Biotech and Daesung Microbiological Lab, Thailand-based Lily FoodAnSci, Indonesia-based Medion Farma, and Malaysia-based Hextar, among others.
Different factors power growth in different countries
Pest control product growth in the Philippines is expected to be strongest due to new commercial farms on the horizon, along with the expansion of many existing farms. Growth will also be strong in Vietnam, with governmental efforts to restructure and better organize the livestock industry. On the other hand, the market is expected to be stable in South Korea, mainly because of meat demand stagnation caused by population decline. Another reason: the non-commercial style of animal farming is still widespread in South Korea.
U.S. poultry market trends
The U.S. ranks as the world’s second-leading meat-producing country behind China and, like many of the Southeast Asian countries profiled in this report, poultry has become a significant market there in recent years. In 2021, U.S. poultry production value increased by 31% year-on-year, reaching a value of USD 46 billion. Most poultry producers apply insecticides, predominantly aiming to control ecto parasites. Flies, in general, rank as the most prevalent insect, accounting for 96% of targeted pests. While many options are available for treatment, premise sprays and baits are the most popular choices. Premise sprays are used by around 54% of farmers, with many citing the ease of application and the full coverage these products offer as the biggest advantages to using them. Baits are used by around half of producers and are popular due to their easy setup and use.
For more information, check out our recently published Global Pest Control in Production-Animal Health 2021 report. Covering Thailand, Indonesia, the Philippines, Vietnam, Malaysia, South Korea, and the United States, the study provides a detailed analysis of each country’s animal type market segments, along with the impact of the COVID-19 pandemic, key trends, latest developments, challenges, and opportunities.
