The rise in the number of companion animals, the rising incidence of transboundary and zoonotic diseases, the rise in demand for animal-derived food products, the rise in demand for pet insurance, the rise in animal health expenditure, and the rise in the number of veterinary practitioners and income levels in developed economies are all contributing to the industry's growth. Rising petcare expenditures, on the other hand, are likely to hinder overall industry growth. One of the key challenges restricting veterinarians' adoption of sophisticated diagnostic technologies is a dearth of skilled veterinarians and diagnostic infrastructure, particularly in developing countries. Another key impediment to wider adoption is the expensive cost of modern diagnostic tests.
[Report with 434 Pages] The veterinary diagnostics market is predicted to grow at a 9.4% compound annual growth rate (CAGR) from USD 2.5 billion in 2021 to USD 3.9 billion in 2026.
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Growth in the companion animal population is a market driver for veterinary diagnostics.
On a global scale, there has been an increase in the overall companion animal population and adoption rate. Having a companion animal has been linked to a variety of health benefits, including reduced cardiac arrhythmias, normalised blood pressure, decreased anxiety, higher psychological stability, and enhanced well-being, according to various studies. Demand for pet care products and services is predicted to rise as the pet population grows, supporting the expansion of related businesses such as veterinary diagnostics.
North America (North America):
According to the American Pet Products Association's (APPA) National Pet Owners Survey (2019–2020), around 67 percent of US homes, or 84.9 million families, owned a pet.
In 2018, 63.4 million homes in the United States had dogs, 42.7 million had cats, and 1.6 million had horses.
In 2019, the canine population was 87.5 million, while the feline population was 106.4 million, according to the European Pet Food Industry Federation (FEDIAF) Other Countries and Emerging Regions:
Australia has one of the highest pet ownership rates in the world, at 62 percent. In 2018, there were an estimated 24 million pets in approximately 5 million households (out of a total of 7.6 million in the country).
In 2016, Brazil has 52 million dogs, 38 million birds, 22 million cats, 18 million fish, and 2 million tiny animals, making it the fourth-largest pet population in the world.
Every year, 600,000 pets are adopted in India, according to the India International Pet Trade Fair (2017). The country's pet population grew from 11 million in 2014 to 19.5 million in 2018.
Costs of pet care are rising, so there's a limit to how much you can spend.
Although the pet insurance industry is growing, the number of animals covered for treatment remains low. As a result, animal owners are typically responsible for the majority of treatment costs. In addition, the cost of veterinary treatment is rising at a high rate, according to the Society for Practicing Veterinary Surgeons, along with the rising cost of pet insurance.
Another factor contributing to rising pet healthcare expenditures is the amount of appointments with veterinary professionals for pet care. Furthermore, veterinary practitioners are under pressure to raise their prices due to the lower income in this sector compared to other advanced-degree professions such as dentistry and law. High pet care expenses have a direct impact on the number of visits pet owners make to veterinary facilities, limiting the market's growth.
Increased use of PCR testing panels to rule out COVID-19 virus in animals is an opportunity.
Animal health authorities have been conducting testing to determine how the virus is impacting animals in the current COVID-19 outbreak. According to study and testing, felines are more vulnerable than other animals. The virus also travels less from animal to animal than from human to human or human to animal, according to tests. The need for PCR panels for virus testing is projected to rise as more pet owners begin testing their animals for the absence of these diseases. This will open the door for new molecular diagnostics panels to enter the market.
Key Market Players
Some of the major players in the veterinary diagnostics market include Thermo Fisher Scientific Inc. (US), Zoetis Inc. (US), IDEXX Laboratories Inc. (US), NEOGEN Corporation (US), Bio-Rad Laboratories Inc. (US), bioMérieux SA (France), Virbac (France), Heska Corporation (US), Agrolabo S.p.A. (Italy), INDICAL BIOSCIENCE GmbH (Germany), Randox Laboratories Ltd. (Ireland), IDvet (France)