Veterinary Reference Laboratory Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Veterinary Reference Laboratory Market is projected to expand from USD 5.96 Billion in 2025 to USD 8.21 Billion by 2031, registering a CAGR of 5.47%. These laboratories function as specialized hubs providing comprehensive diagnostic services - ranging from clinical pathology and microbiology to toxicology - that exceed the in-house capabilities of standard veterinary clinics. Growth in this sector is largely fueled by the rising incidence of zoonotic diseases and the increasing ownership of companion animals, which drive the need for precise diagnostic tools. According to the American Pet Products Association, total U.S. pet industry expenditures hit $152 billion in 2024, with veterinary care and product sales contributing $39.8 billion, highlighting the significant financial commitment to animal welfare and the essential role of diagnostics.

Despite this growth, the market encounters hurdles, specifically a severe scarcity of qualified veterinary professionals and pathologists. This workforce deficit limits laboratory throughput and slows diagnostic turnaround times, potentially compromising animal health management. Additionally, the substantial expense of advanced diagnostic testing can restrict access for certain pet owners and livestock producers, thereby hindering market growth in economically constrained regions.

Market Drivers

The expansion of the market is heavily influenced by the increasing uptake of pet insurance and rising veterinary spending, which make complex diagnostic procedures more affordable. As owners increasingly treat pets as family members, there is a stronger inclination to fund comprehensive healthcare, including specialized reference lab services for managing chronic and zoonotic diseases. Although the high price of these tests can be a deterrent, insurance coverage effectively removes financial barriers, leading to higher sample volumes. Data from the North American Pet Health Insurance Association’s 'State of the Industry Report 2025' indicates that the number of insured pets in North America rose by 12.2% to 7.03 million by the end of 2024, allowing veterinarians to order necessary diagnostics without budget constraints.

Technological progress in molecular diagnostics and the integration of diagnostic information ecosystems also drive industry growth by improving accuracy and efficiency. The adoption of digital pathology facilitates rapid turnaround times and precise identification of infectious agents, addressing the growing demand for specialized testing. Leading companies are leveraging this by enhancing instrument platforms and extending laboratory networks; for instance, IDEXX Laboratories reported a full-year 2024 revenue of $3.898 billion in February 2025, attributed to strong demand for companion animal diagnostics. Furthermore, the sheer scale of the market supports this growth, with FEDIAF reporting in 2025 that roughly 139 million European households own at least one pet, indicating immense potential for service penetration.

Market Challenges

A critical bottleneck for the Global Veterinary Reference Laboratory Market is the severe shortage of skilled veterinary professionals and pathologists. Reference laboratories rely on specialized expertise to interpret complex diagnostics, such as histopathology and molecular testing, which are beyond the scope of general clinics. A lack of board-certified pathologists significantly hampers operational efficiency, resulting in delayed test results. This lag diminishes the market’s value proposition, as veterinarians depend on rapid diagnostic insights to implement timely and effective treatment strategies for their patients.

This workforce limitation imposes a tangible cap on market scalability and revenue generation. According to the Federation of Veterinarians of Europe, 49 percent of veterinary professionals surveyed in 2024 identified recruitment difficulties and staff shortages as major operational challenges. Such widespread personnel deficits mean that laboratories often struggle to increase testing volumes or expand geographically, even as demand for advanced diagnostics grows. Consequently, the inability to recruit and retain essential staff prevents the industry from fully leveraging the rising financial investment in animal healthcare.

Market Trends

The incorporation of Artificial Intelligence and Machine Learning into pathology is transforming diagnostic workflows by automating the analysis of complex samples, thereby mitigating the shortage of available pathologists. Laboratories are increasingly utilizing algorithmic tools to pre-screen cytological and histological slides, identifying abnormalities with high precision prior to human verification to speed up case processing. This shift utilizes deep learning to bolster diagnostic confidence and scalability; a survey cited by GlobalPETS in April 2024 noted that 39.2% of veterinary professionals have adopted AI tools, with 34.1% specifically applying them for diagnosis and disease detection.

Concurrently, strategic market consolidation through mergers and acquisitions is aggressively reshaping the competitive environment as major entities acquire regional laboratories to gain proprietary testing portfolios and wider reach. This trend enables the swift integration of specialized providers, particularly those focused on advanced genetic and molecular testing, effectively centralizing diagnostic expertise. Such consolidation permits multinational corporations to unify testing standards and streamline supply chains; for example, Mars, Incorporated finalized its acquisition of the French networks Cerba Vet and ANTAGENE in July 2024 to broaden its diagnostic capabilities across Europe.

Key Players Profiled in the Veterinary Reference Laboratory Market

• IDEXX Laboratories, Inc.
• VCA, Inc.
• GD Animal Health
• Zoetis Inc.
• NEOGEN Corporation
• LABOKLIN GmbH
• SYNLAB International GmbH
• Heska Corporation
• Virbac inc.
• Vaxxinova Gmbh
• Thermo Fisher Scientific, Inc.

Report Scope

In this report, the Global Veterinary Reference Laboratory Market has been segmented into the following categories:

Veterinary Reference Laboratory Market, by Services Type:

• Clinical Chemistry
• Immunodiagnostics (ELISA
• Lateral Flow Assays
• Other Immunodiagnostics Services)
• Molecular Diagnostics (PCR Tests
• Microarrays
• Other Molecular Diagnostics Services)
• Hematology
• Urinalysis
• Other Services

Veterinary Reference Laboratory Market, by Application:

• Clinical Pathology
• Bacteriology
• Parasitology
• Virology
• Productivity Testing
• Pregnancy Testing
• Toxicology Testing

Veterinary Reference Laboratory Market, by Animal Type:

• Companion Animals (Dogs
• Cats
• Horses
• Other Companion Animals)
• Livestock Animals (Cattle
• Swine
• Poultry
• Other Livestock Animals)

Veterinary Reference Laboratory Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Veterinary Reference Laboratory Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

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