The market was valued at USD 25 billion in 2015 and is expected to reach USD 39.7 billion by 2021, registering a CAGR of 8.06%, during 2017-2023 (the forecast period). Veterinary medicines are associated with treatment, diagnosis, and prevention of diseases among animals. It covers a variety of animal species, both, in domestic and wild.
INCREASING PRODUCTIVITY AT THE RISK OF EMERGING ZOONOSIS
The growing meat consumption, especially, for chicken and pork, is adding to the exposure of dangerous foodborne pathogens. The E. coli and Salmonella infections cause serious diseases among people, and can even be fatal at times, which is possible during the intensive production systems. Moreover, there is a risk of emerging new strains of influenza viruses, due to the long distance transportation of animals. The farms are often in the same area, with a concentration of confined animals, which potentially enhances the risk of avian influenza transferring to pigs. The reassortment of the virus can lead to new strains and cause infections among humans. Further, these farms increase the risk of spreading and mixing of virus strains. Intensive farm practices are causing the risk of emergence of these bacteria in the food, as stressed animals become more susceptible to infection. The risk from zoonotic diseases is fuelling the market for veterinary health care. Inter-Governmental Organizations and the food production are making reforms to ensure health by the process of surveillance and vaccination, investing in R&D, and transfer with respect to vet health.
WAVE OF CORPORATIZATION IS HITTING THE VETERINARY INDUSTRY
Mars acquiring Veterinary Medicine Company concerned some parts of the veterinary community. Small market players feel disenfranchised and restricted by the corporatization. Banfield pet hospitals, acquired by Mars in 2007, faced a criticism from vets as their practices were purchased and brought under the corporate management. Further, Mars expanded into the pet healthcare industry in 2015, with the acquisition of Blue
Pearl. Zoetis, one of the largest players in the animal healthcare space, develops and manufactures animal health medicines and vaccines for, both, animal husbandry and companion pets. The company was spun off from Pfizer in 2013 and benefits from the limited competition and relatively benign regulatory standards. Zoetis has been a target for acquisition by larger drugmakers, such as Valeant Pharmaceuticals Novartis AG, which recently completed a divestiture of its animal health business to Eli Lilly for USD 5.4 billion in January 2015. Meanwhile, MWI Veterinary Supply was acquired by, a drug wholesaler, Amerisource
Bergen Corp. for USD 2.5 billion in February 2015. The corporatization could work as a positive force by centering the veterinarian agency and autonomy; further, support the infrastructure and business training to the veterinarians, without rigidly dictating the smaller players. As the animal healthcare industry consolidates, the margins are expected to witness some resiliency. Potential acquisition targets also offer some interesting investment opportunities.
BOOMING PET HEALTH-CARE BUSINESS OF AMERICA
With more pet owners willing to pay for veterinary care, the demand for supplements and other treatment options for companion animals is growing. Further, the increasing consumer concern for where, and how their food is produced is leading to a tougher scrutiny of feeding and rearing practices of farm animals. As the pet humanization increases, the veterinary health care market players take utmost care of the services that are rendered, which is racking up greater vet payments for the pet owners. The best example of this trend is the clinic in Hollywood owned by VCA, an animal hospital chain, where advanced health care services, such as stem-cell remedy, hip alternative, and underwater treadmill for cats, are available. Veterinary healthcare focuses on providing safer food sources to the end consumers, instead of equipping producers with tools for better livestock productivity. This shift in priorities, as a result of demand pressures, has fuelled the market to a great extent. Stringent regulations and testing procedures in North America have prompted the innovation in animal healthcare.
The United States is the largest market in North America, owing to the ownership trends that favor higher spending on preventative pet health care products, such as parasiticides and supplements with nutritional chemical content.
Key Players of the North American Animal Healthcare Market Include:
Bioniche Animal Health Canada, Inc.
DEATHS OF 500 DOGS BLAMED ON JERKY TREATS
Jerky Treats sickened around 6,200 dogs and killed 1,140 among them, which also involved 26 cats and three people. This illness was being reported to the US Food and Drug Administration (FDA) from 2007 to December 31, 2015. In that same time span, around 5,200 similar complaints, associated with consumption of chicken, duck, and sweet potato Jerky Treats were received. Most cases involved products imported from China, however, some treats were labeled as US-made. Many similar instances have made government concentrate on the quality of pet food by imposing regulations for the manufacture. Even consumers are focused on choosing healthy food for their pets. Manufacturers are being forced to navigate a complex web of rules and requirements while formulating, labeling and offering their products for sale in the retail establishments, in order to curb the chances of pet allergy. Leading companies of the market are actively producing and manufacturing animal healthcare products, and pharmaceuticals, thus, keeping safety as the primary concern under government regulations.
Major Market Players Include:
Bayer Animal Health
Ceva Animal Healthcare
Elanco Animal Health
Merial (Animal Health division of Sanofi)
Zoetis Animal Healthcare
NOTABLE MARKET DEVELOPMENTS
Scientists Develop New Flu Vaccines For Dogs
Dogs can catch flu just like humans. Two new vaccines are developed by scientists for canine influenza, to curb the spread of flu in shelters and kennels, and prevent the further transmission of dog flu virus to people.
Model Assesses Interventions for Bovine Tuberculosis in Morocco
In several developing countries, a major fraction of the tuberculosis burden comes from the tuberculosis bacteria carried by animals, like cattle. Efforts to reduce this tuberculosis burden, include strategies to reduce incidence of the bacteria in animals. Researchers have used a disease modeling approach to analyze the cost and effectiveness of interventions aimed at bovine tuberculosis among cattle in Morocco.
Spread Of Diseases in Farmed Animals Shown using Social Network Analysis
Researchers have shown that the movements of operators and vehicles between farms are in the same way we look at contacts in social networks can help explain the spread of dangerous infectious diseases of livestock, such as foot-and-mouth disease and avian influenza.
Chinese Vaccine Lab To Move Into KC Animal Health Corridor
Jinyu Bio-technology Co. will open a vaccine research lab and office and partner with Kansas State University, the City of Manhattan and the State of Kansas to develop new animal health products.
Topics and Questions Covered in the Report
Latest News & technological developments
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1.1 Study Deliverables
1.2 General Study Assumptions
2. Research Methodology
2.2 Analysis Methodology
2.3 Study Phases
2.4 Econometric Forecast Model
3. Executive Summary
4. Market Dynamics
4.4 Porter's Five Forces Framework
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Consumers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products and Services
4.4.5 Competitive Rivalry Within the Industry
5. Segmentation - by Product Type
5.4 Medical Feed Additives
5.5 Other Pharmaceuticals
6. Segmentation - by Animal Type
6.1 Farm Animal
6.2 Companion Animal
7. Segmentation - by Diagnostics Type
7.1 Immunodiagnostic Tests
7.2 Molecular Diagnostics
7.3 Diagnostic Imaging
8. Segmentation - by Geography
8.1 North America
8.1.1 the United States
8.2.5 the United Kingdom
8.4 South America
8.5 Middle East & Africa
8.5.2 South Africa
9. Competitive Landscape
9.2 Market Share Analysis
10. Company Profiles
10.1 Zoetis Animal Healthcare
10.3 Merial (Animal Health Division of Sanofi)
10.5 Bayer Healthcare
10.6 Ceva Animal Health, Inc.
10.8 Boehringer Ingelheim