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by sara James
on November 3, 2021
The Europe Veterinary Pharmaceuticals Market size is expected to reach USD 9.0 billion by 2028, according to a new report by Grand View Research, Inc. The market is expected to expand at a CAGR of 6.8% from 2021 to 2028. The key factors anticipated to fuel the market growth include increasing demand for companion animal products, pet expenditure, the prevalence of diseases in companion as well as livestock animals, and initiatives by the market players. For instance, in September 2020, Boehringer Ingelheim collaborated with the Fraunhofer Institute for Molecular Biology and Applied Ecology IME to develop sustainable veterinary antiparasitics that are safe and effective.
The COVID-19 pandemic significantly impacted the market leading to bottlenecks in the supply chain and reduced sales for several companies. Other impacts on the market include reduced R&D activities, low demand, and operational hurdles due to changing policies and restrictions. However, soon governments, regulatory bodies, and companies began implementing measures to help the economy and businesses recover. These measures included the easing of restrictions, monetary stimulus and policy changes, conditional exemptions, and other initiatives. As on-site GMP inspection visits were disrupted due to COVID-19, the EMA extended the validity of GMP certificates till the end of 2021 without any further action from the holder. These included manufacturing or import sites of active substances as well as finished products located in the EEA region.
In addition, to ensure an uninterrupted supply of veterinary medicines in the EU Member States, product information and labeling regulations were relaxed. For instance, during the pandemic and within the boundaries of Article 61(1) of Directive 2001/82/EC, member states may allow exemptions for labeling and packaging requirements for veterinary products such as not translating labels into the official language and so on.
The rising pet population and increasing expenditure on pets have led to a surge in demand for companion animal products, such as pet foods, pharmaceuticals, and veterinary services. This trend is estimated to continue over the forecast period. For instance, a 2020 report by FEDIAF estimated the annual sales of pet food products at about EUR 21.8 billion. Across the European region, the rise in single-person or small households, along with the rising geriatric population, is also expected to contribute to the growing pet population. In addition, the COVID-19 pandemic has catalyzed market growth with a surge in pet adoption. In January 2021, Deutsche Welle— a German media company reported an exponential rise in pet ownership in the country.
Competition in the European market for veterinary medicines is expected to remain high during the forecast period. The market is highly fragmented owing to the presence of several small and large players. This results in high competition among small players to sustain their market position. Moreover, companies are increasingly adopting various strategies, such as mergers & acquisitions, regional expansion, and product launches, to grow in the market. For instance, in August 2021, Elanco accelerated its expansion strategy in the pet health industry through the acquisition of Kindred Biosciences. This complemented the company’s Innovation, Portfolio, & Productivity (IPP) strategy and added three potential dermatology blockbusters estimated to be launched by 2025, to its lineup.
Related Press Release@ Europe Veterinary Pharmaceuticals Market Report
Europe Veterinary Pharmaceuticals Market Report Highlights
- The market is expected to remain innovation-led with frequent acquisitions and strategic alliances
- By product, the anti-infectives segment dominated the market in 2020. This can be attributed to the rising incidence of pathogenic infections in pets due to bacteria, viruses, or fungi
- The need to reduce the incidence of parasitic infections to secure food sources by safeguarding the health of livestock animals is also estimated to propel market growth in the coming years
- The growing pet market is anticipated to fuel demand for companion animal pharmaceuticals targeting various pathogens and conditions. The rising concerns over zoonoses, especially since the COVID-19 pandemic, have increased concerns among pet parents regarding their pet’s health
- Market players are investing in R&D activities and developing new as well as existing products for better animal health outcomes
- For instance, in 2019, Dechra pharmaceuticals launched 15 products from its Le Vet pipeline. Additionally, Norbrook has launched 5 R&D projects during 2020, with plans to develop 10 more products in the next 2 years
Posted in: healthcare