Veterinary Healthcare Market

Veterinary Healthcare Market Size (2022 to 2027)

The global veterinary healthcare market is expected to value USD 49.76 billion by 2027 from USD 33.96 billion in 2022, growing at a CAGR of 7.94% during the forecast period. Increased love for pets leads to an upsurge in animal ownership, raising awareness about animal health, few animal health drug approval requirements, and the growing number of foodborne diseases propel the animal healthcare market growth.

Veterinary Healthcare Market Share Insights:

• Based on product, the pharmaceuticals segment dominated the veterinary healthcare market in 2021.
• Based on animal type, the livestock animals segment had the largest share of the global market in 2021.
• Based on region, the North American region held the major share of the global market in 2021.
• The Europe region is expected to be valued at USD 14.15 billion by 2027.
• The Asia-Pacific region is anticipated to grow at a CAGR of 12.6% from 2022 to 2027.

Veterinary healthcare, also known as animal healthcare, can be defined as the science associated with diagnosing, treating, and preventing animal diseases. The scope of veterinary healthcare is broad, covering various animal species, both domestic and wild. The increasing importance of the production of livestock animals is generating growth in the animal healthcare market. In addition, an ever-increasing population and a stable economy are expected to increase protein-rich foods, especially in developing countries. Veterinary healthcare involves providing proper treatment for the animals. There are many key players associated with animal welfare to improve market shares. For example, the cattle health and welfare group, a welfare association, looks after cattle health and welfare issues in the United Kingdom. Also, in the United States, many welfare associates like Winter Haven support the human-animal bond, where they provide high-quality treatment services.

In developing countries like India, government and non-government organizations are taking initiatives to improve veterinary healthcare services. For instance, the government and MSD Animal Health collaborated to control foot and mouth diseases by continuously monitoring the health of livestock animals.

MARKET DRIVERS:

Rising insurance policies for pet healthcare are a significant factor driving the growth of the veterinary healthcare market.

Penetration of new policies for pet owners is significantly influencing the demand of this market. In the developed market, the penetration rate of pet insurance policies is very high. For example, in the United States, the need for pet insurance policies is growing at a high CAGR during the forecast period. Similarly, in the U.K., the penetration rate of pet insurance is 20%. Introducing various pet insurance policies increases visits to veterinary healthcare centers or clinics.

The growing meat consumption rate is anticipated to fuel market growth.

In emerging countries, there is a vast for livestock animals where there is substantial demand to take care of the health of those animals. These animals should be taken care of to prevent infectious diseases. In addition, livestock animals need vaccines that provide immunity to fight against infections. Rising demand for meat consumption across the globe is one major factor driving the market's growth rate.

An increasing number of initiatives from various governments to promote healthcare services for animals are propelling the veterinary healthcare market.

Many government organizations are taking the initiative to provide excellent veterinary healthcare services. These organizations also monitor the launch of various vaccines to avoid infectious diseases like foot and mouth diseases among animals. In addition, to raising funds to develop new vaccines, the government is expanding the growth rate of the veterinary healthcare market to an extent.

Furthermore, increasing investments in veterinary hospitals to ensure quality services is a significant factor anticipated to present growth opportunities for the market. The rise in the concern towards animal healthcare is lavishing the demand in the veterinary healthcare market. Also, growing animal health disorders bolsters the market's growth rate. Pet lovers seek the best treatment procedure at any cost, positively impacting the market's growth. Increasing the livestock population is another attribute focused on expanding the market's demand. Furthermore, people's need for quality poultry products for a healthy lifestyle will likely outshine the market's growth extensively.

MARKET RESTRAINTS:

The shortage of veterinarians is slowly hindering the growth of the veterinary healthcare market.

There is a decreasing number of veterinarians due to fewer training programs. Reluctance to adopt new technologies in undeveloped countries is a significant attribute of the veterinarians' shortage in these places. Stringent rules and regulations are a significant challenge. Government authorities are imposing strict rules and regulations to approve a vaccine. It remains a major challenging factor for the key players. Some vaccines are unavailable against livestock vector-borne pathogens, hampering the market's growth rate. Fluctuations in the availability of raw materials and the unavailability of vaccines for some diseases restrict the market's growth rate. Additionally, increasing regulation on antibiotics is expected to remain a major restraint for the market. Apart from that, growing cost regulation related to animal testing is also a significant hurdle for the growth of the animal healthcare market.

COVID-19 impact on the global veterinary healthcare market:

The COVID-19 pandemic has negatively impacted the first half of 2020 due to lockdown restrictions and a ban on international flights. However, with the increasing prevalence to avoid the spread of infectious diseases among animals, there is a significant growth rate for the market during the COVID-19 outbreak. In addition, there is an increasing demand to develop a vaccine to prevent chronic diseases from pet owners. Therefore, protecting livestock animals from these infectious diseases is essential, which positively impacts the growth rate of the veterinary healthcare market. However, the market is projected to fall into a normal position by the end of 2021 and is anticipated to grow at a decent pace during the forecast period.

REPORT COVERAGE:

This research report on the global veterinary healthcare market has been segmented and sub-segmented into the following categories and evaluated market size and forecast for each segment until 2027.

Veterinary Healthcare Market – By Product:

• Pharmaceuticals
  • Vaccines
  • Antibiotics
  • Parasiticides
  • Others
• Feed Additives
  • Medical Feed Additives
  • Nutritional Feed Additives

Based on the product, the pharmaceuticals segment held a significant share of the global veterinary healthcare market in 2021. The increasing production rate of vaccines and drugs in pharmaceutical companies mainly prompts the demand for this segment. In addition, rising awareness of manufacturing different products in significantly less time and increasing incidences of various health disorders among animals is increasing demand for this segment. Furthermore, increasing pet ownership is bolstering the need for this market.

On the other hand, the veterinary vaccines sub-segment is anticipated to register a promising CAGR during the forecast period.

The feed additives segment is estimated to have significant growth opportunities in the coming years owing to the increasing demand for quality meat production.

Veterinary Healthcare Market – By Animal Type:

• Livestock Animals
  • Cattle
  • Swine
  • Sheep
  • Poultry
  • Aquatic
  • Others
• Companion Animals
  • Dogs
  • Cats

Based on animal Type, the livestock animal segment has been growing faster in the past few years and is expected to have a significant growth rate in the coming years. The shifting trend towards protein-rich foods, which are directly available from poultry products like eggs and others, is leveraging the demand of the veterinary healthcare market. Also, growing capita income in developed and developing countries boosts the growth rate of this market. The rising meat consumption rate is the key factor fuelling the market's growth. In addition, growing awareness of the availability of different treatment procedures for animals enhances the growth rate of this market. Also, the companion animals segment will have the fastest growth opportunities in the coming years.

Veterinary Healthcare Market – By Region:

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East and Africa

Geographically, North America and Europe are promising markets for veterinary healthcare and account for a combined share of around 60% of the global market due to several pet owners. However, Asia-Pacific is one of the significant producers of animal meat and is estimated to be the fastest-growing region during the forecast period.

North America was the most dominant region for veterinary healthcare worldwide in 2021, owing to increasing chronic diseases among animals. The U.S. is the leading country with the highest share of the North American market. The introduction of pet insurance policies and awareness of the availability of the different treatment processes for pet animals are anticipated to fuel the market's growth rate. Escalating expenditure on veterinary healthcare in the U.S. is accelerating market demand. According to the American Pet Product Association, the pet market demand increased by 4.1% during 2016-2017. Canada is next to the U.S. in leading the shares of the veterinary healthcare market. Some people also treat animals as family members in these countries, hugely impacting the market's growth rate.

Europe was just behind North America, accounting for a significant market share, and was the second-largest regional market worldwide in 2021. Active participants from the market and the strategies being implemented are widening the scope of the market in this region and helping the market grow faster. Launching generic drugs due to increasing demand from pet owners is to propel the demand growth rate of the market. The expanding portfolio of key players in developed and developing countries also tremendously emphasizes market growth.

Asia Pacific is thriving to hit the highest CAGR in the foreseen years. The rise in the support from government organizations through funds and focus on developing new drugs or vaccines in favor of the end-user is majorly lavishing the growth rate of the veterinary healthcare market.

KEY MARKET PLAYERS:

A few of the notable companies that occupied most of the share of the global veterinary healthcare market profiled in this report are Merck & Co., Inc., Bayer AG, Boehringer Ingelheim GmbH, Cargill, Inc., Ceva Santé Animale, Novasep, Eli Lilly and Company, Koninklijke DSM N.V., Novartis AG, Nutreco N.V., Sanofi S.A., Sequent Scientific Ltd., Virbac S.A., Vétoquinol S.A., and Zoetis Inc.

RECENT HAPPENINGS IN THIS MARKET:

• In 2020, the Veterinary Public Health program (VPHP) launched the Healthy Pets Healthy Families Initiative (HPHF) to level up healthcare services for animals. This initial step is launched at the Los Angeles County Department of Public Health.
• In 2019, the swine vaccine Ingelvac® PRRS MLV product was launched by a global health company named Boehringer Ingelheim. The product was manufactured in a plant located in China.
• In 2018, Wageningen Bioveterinary Research (WBVR) and Ceva Santé Animale (Ceva) announced their new collaboration to develop a veterinary vaccine to avoid re-infections in animals with Rift Valley fever and Influenza.
• In 2017, Zoetis Inc. launched the first monoclonal antibody therapy named Cytopoint to treat atopic dermatitis in dogs.
• In 2017, Tata Trusts and People for Animals collaborated to serve all the needs of domestic and farm animals by initiating multi-specialty veterinary hospitals and clinics.
• In March 2017 - Merck Animal Health Completed the acquisition of Vallée S.A.