Veterinary Pharmaceuticals

Veterinary Pharmaceuticals is an essential health care industry affected largely by rising incidence of zoonotic diseases, increasing pet ownership, and higher standards in animal care, and the industry is reacting to the new disease conditions threatening livestock production through DVM360, with the development of specialty therapeutics like the H5N1 pharmaceutical vaccine for dairy cattle from Elanco Animal Health and Medgene.

In our full report on veterinary pharmaceuticals, we highlight many therapeutic segments worthy of discussion that are changing the delivery of animal health care. The market size of the animal vaccines industry achieved USD 9.9 billion in 2024 and is set to grow from USD 10.4 billion in 2025 to USD 19 billion by 2034, fueled by the adoption of preventive healthcare and regulation compliance needs. The market for animal parasiticides was worth USD 12.9 billion in 2024, expected to grow from USD 13.7 billion in 2025 to USD 21.8 billion in 2034, growing at a CAGR of 5.3%, meeting the essential demand for parasite management in both companion animals and livestock.

Active pharmaceutical ingredients are a niche segment, with anti-parasitics leading the way with 25% in 2022 owing to strict regulatory conditions involving high compliance investments. The European region contributes over 24% of the revenue generated by the veterinary API market worldwide and is a key hotspot fueled by increased awareness and sophisticated veterinary infrastructure.

Supporting market segments are veterinary regenerative medicine worth USD 344.9 million in 2024 to reach USD 1.1 billion by 2034 at 12.3% CAGR and veterinary CRO and CDMO services worth USD 6.2 billion in 2023 with 8.7% CAGR. New therapeutic areas, niche formulations, and custom veterinary medicine are transforming treatment methodologies in all the animal healthcare segments.