Animal Health Market Size, Share, Growth Analysis, By Animal Type(Production Animals ), By Product(Biologics ), By Distribution Channel, By End Use, By Region - Industry Forecast 2024-2031

Animal Health Market size was valued at USD 58.28 billion in 2022 and is poised to grow from USD 63 billion in 2023 to USD 117.48 billion by 2031, at a CAGR of 8.1% over the forecast period (2024- 2031).

The animal health market encompasses manufacturers and producers of various animal health products, including vaccines, diagnostics, antibiotics, digital technology, and other equipment. Global livestock production has been on the rise, as animals provide food, security, and companionship. Monitoring animal health is crucial, given that experts estimate at least 60% of all human diseases can be transmitted between humans and animals, with 75% of emerging human diseases in the past three decades originating from animals or being zoonotic. The dynamic and innovative animal health industry is dedicated to researching, developing, licensing, and distributing vaccines and other products for both companion animals (pets) and food animals, ensuring high-quality, safe, and effective solutions. Additionally, animals serve as models in biological research areas such as genetics and drug testing. The increasing awareness of animal diseases, stringent regulations, and a greater emphasis on preventing diseases from animal epidemics are driving the rapid expansion of the animal health products market across various sectors.

Top-down and bottom-up approaches were used to estimate and validate the size of the Animal Health Market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Animal Health Market Segmental Analysis

The global animal health market is categorized by product, animal type, end-user, and region. The product segments include vaccines, pharmaceuticals, diagnostics, and feed additives. The animal segments are divided into livestock animals and companion animals. The end-user segments encompass veterinary hospitals and clinics, animal care and rehabilitation centers, diagnostic centers, and others. Geographically, the market is segmented into North America, Europe, Asia-Pacific, South America, and the Middle East and Africa (MEA).

Drivers of the Animal Health Market

The animal health market is expected to be driven by the rise of zoonotic diseases, which are among the most contagious globally. The growing trend of pet adoption as companions contributes to the spread of these animal-borne diseases, highlighting the need for increased awareness of prevention strategies. Additionally, the expansion of therapeutic options is anticipated to boost the demand for veterinary care products. Zoonotic diseases, capable of transmission between animals and humans, present significant public health challenges, emphasizing the necessity for proactive measures to mitigate their spread.

Restraints in the Animal Health Market

Stringent government regulations concerning drug approvals may hinder market growth. In the United States, all veterinary drugs must receive approval from the Food and Drug Administration (FDA). According to the Animal Health Organization, developing a new veterinary drug can take up to a decade and cost over $100 million, while creating a new vaccine can take three to five years and cost around $80 million before gaining approval. Additionally, manufacturers of animal health products are required to pay user fees under the Animal Drug Use Act (ADUF) and the Veterinary Drug Use Fee Act. These regulatory requirements are expected to impede the growth of the global animal health market during the forecast period.

Market Trends of the Animal Health Market

Technological advances are revolutionizing the animal health industry, spurring significant growth and innovation. Sophisticated tools like gene editing, precision medicine, and digital health monitoring are transforming the sector. Our analysis predicts that the animal health market will reach $12.6 billion by 2025, growing at a rate of 8.8%. Innovations such as wearable devices for tracking vital signs and AI-powered diagnostic tools are enhancing disease prevention, recovery, and treatment, ultimately improving animal welfare and productivity at both farm and household levels.