The global Veterinary Active Pharmaceutical Ingredients Manufacturing market size is expected to reach USD 17.36 billion by 2033, registering a CAGR of 7.24% from 2025 to 2033, according to a new report by Grand View Research, Inc. The key factors driving market growth include rising animal population & pet humanization, high pet expenditure, initiatives by key market players, outsourcing of manufacturing functions to third parties, and a high prevalence of diseases in animals. Suanfarma, for instance, is involved in the veterinary manufacturing of a wide range of APIs across therapeutic categories, target species, and synthesis types. The company manufactures two proprietary APIs, namely, Tiamulin and Tetracycline HCl.
Outsourcing the manufacturing function to third parties is a significant driver of the market growth. This enables pharmaceutical companies to concentrate on their core competencies, such as R&D, regulatory affairs, and marketing. This strategic focus on core functions enhances overall operational efficiency and accelerates the development and commercialization of new veterinary APIs.Outsourcing to CMOs with expertise in animal health allows pharmaceutical companies to tap into the specialized skills of experienced professionals. This can improve product quality, compliance with regulatory standards, and enhanced manufacturing processes.Contract manufacturers with efficient processes can expedite the production timeline, allowing companies to launch their products more quickly and respond promptly to emerging market needs.
Initiatives by regulatory agencies and animal health organizations are also expected to drive market growth. For instance, in September 2023, the U.S. FDA released an agenda to promote innovation in animal biotech and veterinary products as part of the Animal and Veterinary Innovation Agenda. Thesesteps are intended to modernize the agency’s approach to evaluating and supporting the development of innovative veterinary products thereby increasing regulatory efficiency, flexibility, and predictability. An increase in the number of government initiatives, that help promote animal health, is also expected to fuel the overall market growth. The launch of One Health Initiative for enhancing animal healthcare standards has improved growth prospects for the industry. This joint project unified clinical care, disease surveillance, and education & research areas for better control of diseases.
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On the basis of service, in house segment dominated the market with largest revenue share of 61.98% in 2024. The segment is driven by major animal health companies producing APIs internally to maintain quality control, ensure supply chain reliability, and protect intellectual property.
On the basis of synthesis, chemical-based API segment dominated with the largest revenue share in 2024, driven by its extensive use in livestock and companion animal medications
On the basis of animal, the production animals segment held the largest revenue share in 2024, owing to high demand for veterinary drugs to maintain health, productivity, and disease prevention in livestock such as cattle, poultry, and swine.
On the basis of therapeutic category, anti-infectives constituted the largest revenue segment in 2024. The segment’s dominance can be attributed to factors related to the critical role of anti-infective agents in ensuring the health and well-being of animals.
North America veterinary active pharmaceutical ingredients manufacturing market dominated with the largest revenue share of 39.42% in 2024. The market is driven by the presence of leading animal healthcare companies and well-developed veterinary healthcare infrastructure
Grand View Research has segmented the global veterinary active pharmaceutical ingredients manufacturing market report based on service, synthesis, animal, therapeutic category, and region:
Veterinary Active Pharmaceutical Ingredients Manufacturing Animal Outlook (Revenue, USD Million, 2021 - 2033)
Companion Animals
Production Animals
Veterinary Active Pharmaceutical Ingredients Manufacturing Service Outlook (Revenue, USD Million, 2021 - 2033)
In House
Contract Outsourcing
Contract Development
Preclinical Development
Clinical Development
Contract Manufacturing
Veterinary Active Pharmaceutical Ingredients Manufacturing Synthesis Outlook (Revenue, USD Million, 2021 - 2033)
Chemical Based API
Biological API
HPAPI
Veterinary Active Pharmaceutical Ingredients Manufacturing Therapeutic Category Outlook (Revenue, USD Million, 2021 - 2033)
Antiparasitics
Anti-infectives
NSAIDs
Others
Veterinary Active Pharmaceutical Ingredients Manufacturing Regional Outlook (Revenue, USD Million, 2021 - 2033)
North America
U.S.
Canada
Mexico
Europe
UK
Germany
France
Italy
Spain
Denmark
Sweden
Norway
Asia Pacific
Japan
China
India
Australia
Thailand
South Korea
Latin America
Brazil
Argentina
Middle East & Africa
South Africa
UAE
Saudi Arabia
Kuwait
Qatar
Oman
List of Key Players in Veterinary Active Pharmaceutical Ingredients Manufacturing Market
Zoetis
Alivira Animal Health Ltd.
Ofichem Group
Chempro Pharma Pvt. Ltd.
Siflon Drugs
Qilu Animal Health Products Co., Ltd.
Vetpharma
SUANFARMA
MENADIONA
Excel Industries Ltd.
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