The Global Insect Processing Systems Market is projected to grow from approximately USD 305 million in 2025 to USD 401 million by 2032, exhibiting a moderate Compound Annual Growth Rate (CAGR) of around 4.2%.
The Global Insect Processing Technology Market is experiencing strong growth, driven primarily by the rising demand for sustainable, high-protein food and feed alternatives, as insects offer low environmental impact, high nutritional value, and efficient resource utilization. Increasing adoption of insect-based proteins in animal feed, pet food, and human nutrition is pushing manufacturers to invest in advanced processing technologies such as automated drying, grinding, oil extraction, and protein isolation systems.
The Global Insect Processing Technology Market is witnessing several emerging trends driven by advancements in automation, sustainability, and expanding commercial applications. One of the key trends is the rapid adoption of automated and AI-enabled processing systems, which improve efficiency in sorting, drying, grinding, and protein extraction while reducing labor costs. There is also growing interest in high-value insect-derived ingredients such as purified proteins, chitin, chitosan, insect oils, and bioactive peptides, fueling innovation in extraction and refinement technologies.
Segmentation: Global Insect Processing Technology Market is segmented By Technology Type (Drying & Dehydration Systems, Grinding & Milling System, Oil Extraction Technologies), By Insect Type (Black Soldier Fly, Mealworms, Crickets, Grasshoppers), Application (Animal Feed & Aquaculture, Pet Food, Food & Beverage Ingredients, Pharmaceuticals & Nutraceuticals), End User (Insect Farming Companies, Feed Manufacturers, Food & Beverage Companies, Nutraceutical & Pharma Companies), and Geography (North America, Europe, Asia-Pacific, Middle East and Africa, and South America). The report provides the value (in USD million) for the above segments.
Market Drivers:
The strongest drivers of the Global Insect Processing Technology Market is the increasing global demand for sustainable, nutrient-rich protein sources. For instance, in November 2020, InnovaFeed implemented breakthrough technology to achieve industry-leading production capacity of 15,000 tons of insect protein and 100,000 tons of ingredients annually with minimal environmental impact. A EUR 140 million fundraising, bringing total financing to EUR 200 million, supported international expansion, including the first U.S. production site in partnership with ADM, targeting 60,000 tons annually. This advancement strengthened the global insect processing technology market and met rising demand for sustainable, high-protein alternatives in food and feed industries.
With population growth, food security concerns, and pressure on conventional protein industries, insects are emerging as a viable solution for both human consumption and animal feed. This shift is pushing producers to adopt advanced processing technologies that ensure safety, hygiene, consistency, and scalability, resulting in greater investment in specialized equipment for drying, grinding, protein extraction, oil separation, and packaging.
Another major driver is the rapid uptake of insect-based ingredients in aquaculture, poultry, and pet food industries, where high-quality protein is essential. Black Soldier Fly (BSF) meal and other insect-derived products are increasingly recognized as efficient, sustainable alternatives to fishmeal and soy-based feed. With aquaculture expanding globally and facing rising costs and environmental pressures, demand for insect protein is accelerating.
This drives the need for reliable, high-volume processing technologies capable of producing standardized, nutritionally rich feed ingredients. Companies are therefore investing in automated and continuous processing systems to meet regulatory standards, ensure safety, and maintain competitive production costs, further propelling technological advancements in the market.
Market Restraints:
The growth of the Global Insect Processing Technology Market is restrained by several key challenges, starting with the high initial investment costs associated with setting up modern insect processing facilities. Technologies such as automated drying systems, protein extraction units, and hygienic food-grade processing lines require substantial capital, making it difficult for small and emerging insect farming companies to scale. Additionally, regulatory uncertainty and slow approval processes in many countries hinder market expansion, as insect-based food and feed products are still subject to evolving safety, hygiene, and labeling standards.
The global insect processing technology market has notable socioeconomic impacts by promoting sustainable protein production and reducing reliance on traditional livestock, thereby addressing food security and environmental concerns. It generates employment opportunities across farming, processing, and distribution, while fostering innovation in alternative protein products for human and animal consumption. Additionally, widespread adoption supports rural economies, encourages circular economy practices, and contributes to reduced greenhouse gas emissions, creating economic, environmental, and social benefits that align with global sustainability goals and growing demand for eco-friendly, high-protein food sources.
Segmental Analysis:
Drying & dehydration systems represent one of the most critical technologies in insect processing, as they help preserve nutritional value, extend shelf life, and prepare insects for downstream processing such as grinding or protein extraction. Efficient drying technologies—such as microwave drying, freeze-drying, and hot-air dehydration—are increasingly adopted to ensure hygienic, high-yield, and energy-efficient processing, making this segment a core contributor to market growth.
Black Soldier Fly dominates the insect type segment due to its high protein content, rapid growth cycle, and ability to be farmed on organic waste streams, making it extremely cost-effective and sustainable. BSF is widely used in aquaculture and animal feed industries, driving the need for specialized processing technologies tailored to its unique composition, particularly in protein meal and oil extraction.
Animal feed & aquaculture is the leading application segment, driven by the need for sustainable, nutrient-dense alternatives to conventional feed ingredients like fishmeal and soy. Insect-based protein offers high digestibility, essential amino acids, and better environmental performance, prompting major feed manufacturers and aquaculture producers to adopt insect-derived ingredients, which in turn fuels demand for advanced processing technologies.
Insect farming companies represent the primary end users of insect processing technologies, as they require efficient, scalable, and automated solutions to transform raw insects into protein meal, oil, and other value-added products. With rapid increases in commercial insect farming across Europe, North America, and Asia, these companies are investing heavily in integrated processing systems to improve throughput, maintain quality consistency, and adhere to regulatory standards.
The North America region is expected to witness the highest growth over the forecast period in the Global Insect Processing Technology Market, driven by increasing adoption of sustainable protein sources, advanced insect farming practices, and the growing integration of insect-derived ingredients in animal feed, pet food, and nutraceutical industries. For instance, in November 2025, Biocentis secured USD 19 million in seed funding and a Wellcome grant, including USD 13 million led by The Grantham Foundation and Algebris Investments, to advance its biological insect-control platform. The company initiated field trials for mosquito and fruit-fly solutions in the U.S., Brazil, and other markets, using genome engineering and AI-driven digital twins. This funding supported platform expansion to additional species and applications, bolstering North America’s insect processing technology market and responding to growing demand for sustainable, high-protein alternatives in food and feed industries.
Similarly, in September 2025, Full Circle Biotechnology announced funding to build a new 7,000-tonne-per-year insect meal facility in Thailand, targeting alternative aquafeed and sustainable protein solutions. This expansion strengthened the North American insect processing technology market by increasing global supply capacity and supported rising demand for high-protein, eco-friendly ingredients in food and feed applications.
Moreover, the strong regulatory support, technological advancements in automated processing systems, and rising awareness about environmental benefits of insect-based products further accelerate the market expansion in this region.
The competitive landscape of the Global Insect Processing Technology Market is shaped by a combination of legacy industrial-scale equipment manufacturers, specialized biotech firms, and vertically integrated insect farming companies, all vying to deliver scalable, efficient, and regulatory-compliant solutions for insect processing. Key players such as Bühler Group, ANDRITZ, Marel, and GEA are leveraging their broad experience in food- and feed-industry process technologies to offer advanced systems for drying, grinding, and fractionation tailored to insect biomass.
Key Players:
Recent Development
Q1. What are the main growth-driving factors for this market?
The primary drivers are the massive global demand for sustainable and alternative protein sources, particularly for animal feed (aquaculture and livestock) and pet food. Insects, like black soldier fly larvae and mealworms, offer high nutritional value and a much lower environmental footprint compared to traditional livestock. Increased investments in automated insect farming and supportive government regulations, especially in Europe, further boost market growth.
Q2. What are the main restraining factors for this market?
The biggest obstacle is consumer resistance and negative perception in Western countries due to cultural aversions or the "yuck factor" associated with eating insects. Additionally, the industry currently faces a lack of standardized global regulatory frameworks and certifications for insect-derived products, which makes scaling up production and ensuring consistent food safety standards difficult for processors.
Q3. Which segment is expected to witness high growth?
The Animal Feed segment, particularly for aquaculture and poultry, is expected to see the highest short-term growth. Insects offer an environmentally friendly alternative to fishmeal and soy, addressing sustainability concerns in fishing and farming. Technological systems for processing Black Soldier Fly (BSF) larvae into protein meal and oils are growing rapidly to meet this expanding industrial demand globally.
Q4. Who are the top major players for this market?
The market leaders are companies focused on large-scale insect farming and processing, such as Ÿnsect (France), Protix (Netherlands), Innovafeed (France), and Darling Ingredients (EnviroFlight) (USA). These key players are driving innovation in automated processing technologies, including high-efficiency drying, grinding, and oil extraction systems to produce insect-based ingredients for global distribution.
Q5. Which country is the largest player?
The United States, within the broader North American region, currently holds the largest market share in terms of revenue and innovative activity. This dominance is supported by rising consumer awareness of sustainable food, large investments in food-tech startups, and a strong foundational market for pet food and specialty animal feed applications, which are major buyers of insect protein.
Data Library Research are conducted by industry experts who offer insight on industry structure, market segmentations technology assessment and competitive landscape (CL), and penetration, as well as on emerging trends. Their analysis is based on primary interviews (~ 80%) and secondary research (~ 20%) as well as years of professional expertise in their respective industries. Adding to this, by analysing historical trends and current market positions, our analysts predict where the market will be headed for the next five years. Furthermore, the varying trends of segment & categories geographically presented are also studied and the estimated based on the primary & secondary research.
In this particular report from the supply side Data Library Research has conducted primary surveys (interviews) with the key level executives (VP, CEO’s, Marketing Director, Business Development Manager and SOFT) of the companies that active & prominent as well as the midsized organization
FIGURE 1: DLR RESEARH PROCESS
Extensive primary research was conducted to gain a deeper insight of the market and industry performance. The analysis is based on both primary and secondary research as well as years of professional expertise in the respective industries.
In addition to analysing current and historical trends, our analysts predict where the market is headed over the next five years.
It varies by segment for these categories geographically presented in the list of market tables. Speaking about this particular report we have conducted primary surveys (interviews) with the key level executives (VP, CEO’s, Marketing Director, Business Development Manager and many more) of the major players active in the market.
Secondary ResearchSecondary research was mainly used to collect and identify information useful for the extensive, technical, market-oriented, and Friend’s study of the Global Extra Neutral Alcohol. It was also used to obtain key information about major players, market classification and segmentation according to the industry trends, geographical markets, and developments related to the market and technology perspectives. For this study, analysts have gathered information from various credible sources, such as annual reports, sec filings, journals, white papers, SOFT presentations, and company web sites.
Market Size EstimationBoth, top-down and bottom-up approaches were used to estimate and validate the size of the Global market and to estimate the size of various other dependent submarkets in the overall Extra Neutral Alcohol. The key players in the market were identified through secondary research and their market contributions in the respective geographies were determined through primary and secondary research.
Forecast Model
