Animal Health Market Size, Share & Trends Report

Animal Health Market Size, Share & Trends Analysis Report By Animal Type (Production, Companion), By Distribution Channel (E-commerce, Pharmacy), By Product (Diagnostics, Feed Additives), By End Use, And Segment Forecasts, 2021 - 2028

  • Published Date: Jan, 2021
  • Base Year for Estimate: 2020
  • Report ID: GVR-1-68038-763-6
  • Format: Electronic (PDF)
  • Historical Data: 2016 - 2019
  • Number of Pages: 200

Report Overview

The global animal health market size was valued at USD 50.89 billion in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 8.8% during the forecast period. The market is largely driven by a significant rise in demand for protein food and an increase in the incidence of zoonotic and food-borne diseases globally. This unprecedented rise in disease prevalence has triggered companies to produce advanced vaccines and pharmaceuticals. The high demand has also resulted in a subsequent increase in the number of companies undertaking consistent efforts to control pathogen contamination risks and food-borne diseases, which is contributing to the market growth. In addition, the rising number of government initiatives to promote animal health products is presumed to drive the overall market.

The U.S. animal health market size, by product, 2016 - 2028 (USD Billion)

According to the UN Department of Economic and Social Affairs, the global population is approximately 7.3 billion and it is anticipated to reach around 9.7 billion by 2050; of which, 795 million people are undernourished, as per the estimations of the International Fund for Agricultural Development (IFAD). The aforementioned statistics exemplify the urgent requirement to expand food supply through large-scale adoption of livestock.

The heightened production of animal-based food products will lead to a significant price reduction, facilitating easy access to food at affordable prices. The market is also driven by technological advancements in veterinary health care, and this is anticipated to offer future growth opportunities. These advancements include the advent of efficient information management systems, animal owner mobile technology, and vaccine banks.

Growing focus on innovation in animal health has given rise to certain measures that are strengthening market growth prospects. For instance, the Innovative Medicines Initiative (IMI) is a public-private partnership to support collaborative research to boost innovation in veterinary pharmaceuticals in Europe.

Product Insights

The feed additives segment led the market in 2020 accounting for the highest revenue share of over 39%. It is estimated to retain its dominant position throughout the forecast period on account of consistent advancements in feed additives, including the use of metabolic modifiers, enzymes, minerals, and probiotics. The aforementioned additives facilitate a significant increase in muscle growth, thereby optimizing feed utilization.

In addition, the growing focus of government healthcare organizations on the enhancement of agricultural practices and animal health is presumed to be responsible for the segment growth. For instance, certain additives are permitted and recommended by the European Union to use in feed, which includes vitamins, antioxidants, and performance promoters. However, the diagnostics segment is expected to register the fastest CAGR from 2021 to 2028.

Distribution Channel Insights

Pharmacies at veterinary hospitals & clinics accounted for the dominant share of more than 50% in 2020. The increasing number of hospital pharmacies, coupled with high procedural volume as a consequence of frequent readmission of pets for treatment, has supported the segment growth. Retail channels and e-commerce platforms also accounted for significant shares of the global market.

The retail pharmacy segment is expected to grow at a moderate rate during the forecast period. Major manufacturers rely on only licensed veterinarians and authorized distributors for the distribution of medications and vaccines. This is anticipated to propel the segment growth over the forecast period. E-commerce is estimated to be the fastest-growing distribution channel segment from 2020 to 2028 due to various advantages, such as increased convenience.

End-use Insights

The veterinary hospitals & clinics end-use segment accounted for the largest share of 71.0% in 2020. The dominant share captured by this segment is a result of various applications, such as clinical pathology, toxicology tests, and therapy. The availability of a wide range of treatments as well as diagnostic options in veterinary hospitals and clinics is a high impact rendering growth driver for this segment.

Certain vaccines are only available in accredited veterinary hospitals and clinics, which is also fueling the segment growth. Moreover, various government animal welfare organizations have issued guidelines for safety practices and standards to be implemented in veterinary hospitals and clinics, which has broadened the scope for the growth of the segment over the past few years.

An increase in the incidence of zoonotic diseases caused by globalization and climate changes is expected to drive the demand for diagnostic procedures, which is expected to drive the point-of-care testing/in-house testing segment in the coming years. Increasing awareness among companion animal owners about the benefits and value of preventive care in pets is also one of the key factors driving the in-house testing segment. Tests, such as ELISA, have been proven an effective point-of-care test for heartworm diagnosis.

Animal Type Insights

The production animal segment dominated the global market with a revenue share of over 62% in 2020. Policymakers in various countries are striving to achieve total food security due to rising concerns regarding food safety and sustainability, which propels large-scale food production and results in greater rearing of livestock.

Global animal health market share, by animal type, 2020 (%)

The policies are focused on long-term sustainability, which can be achieved through a combination of improved productivity and greater attention to livestock veterinary healthcare. According to the Food and Agriculture Organization, in the emerging economies, animal-based food products account for one-third of human protein consumption, leading to an increase in livestock productivity, which is critical to meet the dietary needs of the growing human population. These factors cumulatively are responsible for the significant share captured by the production animals segment.

Regional Insights

North America captured the maximum revenue share of the global market of over 32% in 2020 owing to the wide range of definitive measures adopted by various government animal welfare organizations that are consistently working for overall improvement in animal health. Furthermore, technological advancements, the rising incidence of zoonotic diseases, and the increasing number of pet owners are expected to boost the market growth in this region. Several collaborative efforts were undertaken by major companies to enhance their R&D capabilities and ensure high-quality standards are also anticipated to drive the regional market. Moreover, the majority share can also be attributed to the high disease burden in this region.

On the other hand, Asia Pacific is expected to be the fastest-growing regional market over the forecast years. This growth is attributed to the factors, such as consistent R&D investments by prominent players in the field of animal health and their efforts to commercialize branded and generic therapeutics at a relatively inexpensive price. Moreover, rising awareness about pet nutrition and supplies and increasing disposable income levels are projected to augment market growth in the region.

Key Companies & Market Share Insights

Major companies have undertaken several business strategies, such as regional expansion strategies, mergers and acquisitions, and collaborative research initiatives, to gain a competitive edge. For instance, in December 2016, Bayer AG entered into an agreement with Boehringer Ingelheim Vetmedica, Inc. (BIVI) to acquire BIVI’s Cydectin ovine and bovine endectocide products. This acquisition was carried out to widen Bayer’s product portfolio. In January 2018, Zoetis aquaculture division, PHARMAQ acquired Norland Sett Vaks to increase its product portfolio for vaccines. In March 2018, Merck completed the acquisition of Vallee S.A. This acquisition was carried out to expand the former company’s animal health product portfolio and strengthen its presence in Brazil. Some of the prominent players in the global animal health market include:

  • Merck Animal Health

  • Ceva Santé Animale

  • Vetiquinol S.A.

  • Zoetis

  • Boehringer Ingelheim GmbH

  • Bayer AG

  • Elanco

  • Nutreco N.V.

  • Virbac

  • Heska Corp.

Animal Health Market Report Scope

Report Attribute


The market size value in 2021

USD 54.96 billion

Revenue forecast in 2028

USD 99.51 billion

Growth Rate

CAGR of 8.8% from 2021 to 2028

Base year for estimation


Actual estimates/Historical data

2016 - 2019

Forecast period

2021 - 2028

Quantitative units

Revenue in USD million/billion and CAGR from 2021 to 2028

Report coverage

Revenue forecast, company share, competitive landscape, growth factors, and trends

Segments covered

Animal type, product, distribution channel, end-use, region

Regional Scope

North America; Europe; Asia Pacific; Latin America; MEA

Country Scope

U.S.; Canada; U.K.; Germany; France; Italy; Russia; Spain; The Netherlands; Switzerland; Sweden; Ireland; Poland; Japan; China; India; Indonesia; Thailand; Australia; South Korea; Philippines; Malaysia; Singapore; Mexico; Brazil; Argentina; South Africa; Saudi Arabia; Turkey; Iran; United Arab Emirates; Israel

Key companies profiled

Merck Animal Health; Ceva Santé Animale; Vetiquinol S.A.; Zoetis; Boehringer Ingelheim GmbH; Bayer AG; Elanco; Nutreco N.V.; Virbac; Heska Corp.

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Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2028. For the purpose of this study, Grand View Research has segmented the global animal health market report on the basis of animal type, product, distribution channel, end-use, and region:

  • Animal Type Outlook (Revenue, USD Million, 2016 - 2028)

    • Production Animal

      • Poultry

      • Swine

      • Cattle

      • Sheep & Goats

      • Fish

    • Companion Animal

      • Dogs

      • Cats

      • Horses

      • Others

  • Product Outlook (Revenue, USD Million, 2016 - 2028)

    • Vaccines

      • Live Attenuated Vaccines

      • DNA Vaccines

      • Recombinant Vaccines

      • Inactivated Vaccines

      • Others

    • Pharmaceuticals

      • Parasiticides

      • Anti-infectives

      • Anti-inflammatory

      • Analgesics

      • Others

    • Feed Additives

      • Nutritional

      • Medicinal

    • Diagnostics

      • Instruments

      • Consumables

    • Others

  • Distribution Channel Outlook (Revenue, USD Million, 2016 - 2028)

    • Retail

    • E-commerce

    • Veterinary Hospitals & Clinics

  • End-use Outlook (Revenue, USD Million, 2016 - 2028)

    • Reference Laboratories

    • Point-of-care Testing/In-house Testing

    • Veterinary Hospitals & Clinics

    • Others

  • Regional Outlook (Revenue, USD Million, 2016 - 2028)

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

      • France

      • Italy

      • Russia

      • Spain

      • The Netherlands

      • Switzerland

      • Sweden

      • Ireland

      • Poland

    • Asia Pacific

      • Japan

      • China

      • India

      • Indonesia

      • Thailand

      • Australia

      • South Korea

      • Philippines

      • Malaysia

      • Singapore

    • Latin America

      • Mexico

      • Brazil

      • Argentina

    • Middle East & Africa

      • South Africa

      • Saudi Arabia

      • Turkey

      • Iran

      • United Arab Emirates

      • Israel

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