Alfalfa Hay Market Size, Share, Industry, Forecast and outlook (2024-2031)

Alfalfa Hay Market is segmented By Product Type (Bales, Pellets, Cubes), By Application (Meat/Dairy Animal Feed, Poultry Feed, Horse Feed, Others), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031

Alfalfa Hay Market Overview

Report on Global Alfalfa Hay analyses the market size, shares, recent trends, competitive intelligence, and future market outlook. The Market is expected to grow at a CAGR of 7% during the forecasting period 2024 - 2031. The competitive rivalry intensifies with Alfalfa Monegros SL, Cubeit Hay Company, Knight AG Sourcing and others operating in the market.

Alfalfa hay is the legume hay in the pea family. It is obtained from the Alfalfa plant, also known as the Lucerne and Medicago Sativa. It is cultivated as a forage crop in many countries across the globe. Alfalfa hay is rich in protein, fiber, calcium, vitamins and minerals. It is fodder palatable, easy to consume, and digest, and free from harmful components. It comprised the most feed value of all the perennial pasture forages. It is an essential feed for horses, dairy cows, beef cattle, sheep, chickens, turkeys and other farm animals. It is useful for balancing rations for broodmares and young growing horses. Alfalfa hay can be harvested several times a year. The best harvesting stage for alfalfa hay is at 25-50% flowering, as it experiences a decrease in its nutritional value after this stage. The best quality of the alfalfa hay is obtained during the dry period so that the swathe dries quickly. Rising awareness about animal health among consumers drives market growth.

Alfalfa Hay Market Scope and Summary

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Alfalfa Hay Market Dynamics

Rising consumption of dairy and meat products is driving the growth of the market

The demand for alfalfa hay is increasing with the rising consumption of dairy and meat products across the globe. According to the World Health Organization (WHO), livestock is witnessing high growth with the increasing population, income and urbanization. There is increasing consumption of meat, milk and eggs worldwide. In 2022, the world's poultry production is projected to amount to approximately 136 million metric tons, up from about 115 million metric tons in 2016. During this time period, poultry has overtaken pork as the most produced type of meat worldwide. Different types of meat such as beef and buffalo, poultry, pig meat and others are produced. Globally, pigmeat is one of the largest consumed worldwide, followed by poultry, beef, and buffalo meat. The production of beef and buffalo meat was 72.1 million thousand tonnes in 2020. According to the Our World Data Organization, around 209.96 million tons (MT) of milk will be produced during 2020-21.

Growing Funding & Investment are expected to boost the market growth over the forecast period. Several organizations, associations, and institutes are raising the funding & investment for the alfalfa hay. For instance, National Alfalfa & Forage Alliance (NAFA)'s alfalfa checkoff program funded the research for the topics within the alfalfa community. This program has generated 15 research projects from a broad geographic area stretching from California to Virginia, demonstrating continued demand among researchers for alfalfa research funding. The University of Arizona had received funding to re-establish the integrated pest management recommendations for aphids in alfalfa hay in the low desert.

Alfalfa Hay Market Segmentation Analysis

Bales segment is projected to be the dominant segment in the market during the forecast period.

The alfalfa hay market is classified based on the product type as bales, pellets, and cubes.

The bales segment is anticipated to hold the largest share in the alfalfa hay market as the bales can be consumed in larger quantities than most forages. Bales are easy to transport in comparison to pellets and cubes. It is rich in proteins, fiber, vitamin E, calcium, amino acids, selenium, and potassium. It is the most preferred feed for dairy cows, sheep and goats, horses, camels, rabbits, and other livestock animals. It has been observed that consuming the bales improves the production and quality of milk and meat. The market is dominated by the availability of bales of different sizes and weights, such as two-string bales, three-string bales up to six-string bales weighing up to half tons, square bales weighing 25 to 35 kg, and round bales with a diameter of 1.4 to 1.8 meters weighing 500 to 100 kg.

By Application, the Meat/Dairy animal feed segment held a significant market share in the forecast year as there is high consumption of alfalfa hay as the feed for dairy animals due to its high dry matter yield, high protein and mineral content, and excellent palatability. According to the University of California, approximately 75% to 80% of alfalfa hay is used as dairy animal feed in the United States. A higher proportion of alfalfa hay as dairy animal feed is used in several states, such as California, Idaho, Wisconsin, New York, and New Mexico in the United States. It is most preferred by dairy cattle nutritionists due to its high energy content, ability to digest rapidly in the rumen, and high protein value. It is included in the appropriate amounts in balanced ratios to meet the nutritional requirement of dairy animals.

Global Alfalfa Hay Market Geographical Share

North America is the dominating region during the forecast period.

In terms of region, the global Alfalfa Hay market has been segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

The North America region dominated the global alfalfa hay market and accounted for the largest market share in 2021. There presence of a large number of market players producing alfalfa hay. Advanced technologies are being used to produce good quality and better yield alfalfa hay. The United States is expected to hold the largest share in this region owing to the higher demand for alfalfa hay. The USDA National Agricultural Statistics Service (NASS) estimates the value of alfalfa hay and haylage produced in the United States at $8.8 billion per year. There are 16.8 million acres of alfalfa cut for hay, with an average yield of 3.45 tons per acre. The estimated value of alfalfa hay is $128.25 per ton. California, Idaho, Montana, Minnesota, Colorado, South Dakota, Wisconsin, Iowa, Arizona, and other states produced the high amount of alfalfa hay in the United States. The United States is the major exporter of alfalfa hay to various countries. The United States exports a large amount of alfalfa hay to China, Japan, Saudi Arabia, and the United Arab Emirates. According to the United States Department of Agriculture (USDA), the United States exported 1.51 billion metric tons of hay in 2021.

The Asia-Pacific region is expected to hold a significant market share in the forecast period. The Asia-Pacific region is estimated to be the fastest-growing region in the global alfalfa hay market owing to the increasing demand for alfalfa hay with the changing production practices in China’s dairy industry. There is an increase in the number of dairy cows being raised by large and modern dairy farms that prefer imported alfalfa hay feeds. A large amount of alfalfa hay is imported to China. According to QingbinWANG et al., 2020 alfalfa hay imports increased from 9,601 metric tons in 2008 to 1.38 million metric tons (mmt) in 2018. It is further expected that the imports of alfalfa hay will increase over the forecasted period with the growing transition toward larger-scale commercial dairy production, with enhanced feed and cost management, quality and safety control, and limited resources for high-quality alfalfa production. China imports a large amount of alfalfa hay from the United States. Also, an increase in research and development for improving the quality & yield of alfalfa hay will boost the market growth in the forecast period. These trials evaluated the S&W dormant varieties concerning the growing environments affecting the quality, yield and persistence of alfalfa hay. The increasing domestic income and purchasing power of the people shall stimulate market growth over the forecasted period.

Alfalfa Hay Market Companies and Competitive Landscape

The Alfalfa Hay market studied is a fragmented market with the presence of a large number of market players. Al Dahra ACX Global Inc., Alfalfa Monegros SL, Anderson Hay & Grain Inc., Glenvar Hay, Green Prairie International, Grupo Osés, Gruppo Carli, Hay USA, Haykingdom Inc., Knight AG Sourcing, M&C Hay, SL Follen Company, and Standlee Hay Company is the major players with the significant market share. The major players are adopting several growth strategies, such as product launches, mergers, licensing, acquisitions, and collaborations, which are contributing to the growth of the Alfalfa Hay market globally. For instance, in October 2021, Kverneland Group, a subsidiary of Kubota Corp., acquired 80% shareholding in ROC, an Italian manufacturer of reel-and-belt type hay mergers. ROC further strengthens Kverneland - and Kubota Group’s strategic commitment to hay and forage harvesting by adding the important merger product line and achieving synergies between the companies. In June 2022, Anderson Hay & Grain (Anderson), the leading exporter of premium hay and straw products, is expanding to offer U.S. Department of Agriculture (USDA) certified organic Timothy hay through its sister company, Andy by Anderson Hay, a new company that offers high-quality hay and all-natural products for rabbits, guinea pigs, chinchillas, and other small pets. As demand for organic food products increased from the owners of pets for the good health of the pet. The company offers certified organic and eco-friendly options for the small pet market.

COVID-19 Impact on Alfalfa Hay Market

Negative impact on the global alfalfa hay market.

The global alfalfa hay market has been impacted due to the COVID-19 pandemic as the demand and production of alfalfa hay have been affected by the increasing number of people suffering from COVID-19 worldwide. It has created a supply chain and market disruption for alfalfa hay. The exports of alfalfa hay have witnessed a decrease in various countries. The COVID-19 pandemic has disrupted the shipping container availability for alfalfa hay, as many shipments were waylaid in China.