Animal Parasiticides Market

Market Overview

The global animal parasiticides market size was valued at USD 11.2 billion in 2023 and is projected to reach USD 19.1 billion by 2032, registering a CAGR of 6.1% during the forecast period (2024-2032). The growing number of livestock animals worldwide and the growing awareness of animal health management is expected to drive the global animal parasiticides market.

Animal parasiticides are chemicals or medications that prevent, treat, or manage animal parasite illnesses. These parasites can be internal (endoparasites), such as worms, or external (ectoparasites), such as fleas, ticks, mites, and lice. Parasitic infections in animals can cause a variety of health problems, ranging from minor annoyance to severe illnesses and even death if left untreated.

The growing number of livestock animals worldwide is one of the primary drivers of the global animal parasiticides industry. Furthermore, growing awareness of animal health management is expected to drive the global animal parasiticides market. Improved accessibility to veterinary services due to an increase in the number of veterinary practitioners, combined with ongoing advances in animal parasiticide products, is expected to drive the worldwide animal parasiticides market growth. 

Highlights

• Ectoparasiticides generate the highest revenue share by product type.
• Poultry dominates the market by livestock.

Market Dynamics

Global Animal Parasiticides Market Drivers

Increasing Pet Ownership

The expanding global population of companion animals, such as dogs, cats, and horses, has increased the demand for parasiticides. Pet owners are becoming more concerned about their pets' health and well-being, contributing to an increase in parasite-prevention techniques. There is a notable tendency to treat pets as family members, which has increased spending on pet healthcare items, particularly parasiticides. Pet owners are likelier to invest in things that keep their pets healthy and comfortable.

According to the 2023-2024 American Pet Products Association (APPA) National Pet Owners Survey, 66% of U.S. households (86.9 million) own a pet. This is a 10% increase since the beginning of the survey period in 1988. Dogs are the most popular pets in the United States, with 65.1 million homes owning one, followed by cats (46.5 million households) and freshwater fish (11.1 million households). Horses and saltwater fish are the least popular pets, each owned by approximately 2.2 million households. 

Furthermore, pet owners are becoming more eager to spend money on medical supplies for their dogs. In the United States, 45% of pet owners spend as much or more on their pets' healthcare than they do on their own. Preventive treatment has become popular among Gen Z pet owners in India as disposable incomes have increased. Thus, the demand for effective parasiticides will increase as more households adopt pets and emphasize their health. 

Global Animal Parasiticides Market Restraints

Regulatory Hurdles

Animal health products, particularly parasiticides, are subject to severe approval procedures from regulatory organizations such as the United States Food and Drug Administration (FDA), the European Medicines Agency (EMA), and other national bodies. Before receiving marketing permission, companies must present detailed product safety, efficacy, and quality data and undergo a rigorous evaluation procedure. Delays or obstacles in obtaining regulatory approval can substantially influence product launch and market access.

In 2023, the CVM modified animal drug regulations to reflect application-related activities for new animal drug applications (NADAs), abbreviated new animal drug applications (ANADAs), and conditionally authorized new animal drug applications (cNADAs) submitted in April, May, and June. The FDA's approval process for animal pharmaceuticals often takes 7-10 years and costs up to USD 100 million. The FDA's approval process for animal medications is similar to that for human drugs and is extensive in both cases. The procedure includes extensive research and testing to assure the drug's safety, purity, and efficacy.

Furthermore, the EMA's Committee for Medicinal Products for Veterinary Use (CVMP) oversees veterinary pharmaceuticals in the European Union (EU). Companies must follow the EU's severe regulatory requirements, including submitting detailed dossiers providing product quality, safety, and efficacy data. The EMA establishes rules and procedures for evaluating and approving veterinary medications, including parasiticides. Furthermore, the European Medicines Agency (EMA) takes up to 210 active days to review a marketing authorization application for a novel animal treatment. This is the period required for EMA specialists to assess the applicant's evidence. The registration process for animal pharmaceuticals might last up to two years. 

Global Animal Parasiticides Market Opportunity

Emerging Markets

Emerging economies in Asia-Pacific, including China, India, and Southeast Asian countries, provide considerable potential opportunities for animal parasiticide makers. Rapid urbanization, rising disposable incomes, and rising pet ownership rates in these nations all contribute to increased demand for pet healthcare products, especially parasiticides. For example, China's pet population is expected to proliferate in 2023. As of August 2023, China had 323 million pet fans, and the urban pet market was worth 279.3 billion yuan (USD 39.1 billion) in 2023, up 3.2% from 2022. This means that almost one in every eight Chinese residents in metropolitan areas owns a dog or a cat. 

Additionally, a World Bank-funded project in India aims to strengthen animal health management systems across five states. The project aims to improve 75 district laboratories and 300 veterinary clinics and train 9,000 para-veterinarians and 5,500 veterinary professionals. It will also reach 600,000 homes to promote pandemic preparedness and zoonotic disease avoidance. Further, The United Nations Food and Agriculture Organization (FAO) predicts that the total output of live meat in developing nations will reach 7.27 million tons in 2023, representing a 4.1% rise. This includes an increase of 4.0% in live swine output, 4.8% in poultry meat production, 3.8% in egg production, and 8.0% in milk production.

Moreover, as economies grow, pet ownership rates rise, and demand for animal protein increases, the need for effective parasiticides to protect animal health and welfare becomes more apparent, driving market expansion in these areas.

Regional Analysis

The global animal parasiticides market analysis is conducted in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Asia-Pacific Dominates the Global Market

Asia-Pacific is the most significant global animal parasiticides market shareholder and is estimated to grow at a CAGR of 6.4% over the forecast period. The industry is primarily affected by the growing trend of pet adoption. Further, the rising expenditure on animal health and rising GDP have boosted demand for the animal parasiticide market throughout the region. 

According to the 20th Livestock Census, India's livestock population grew by 4.6% between 2012 and 2019, from 512.06 million to 535.82 million, with an annual growth rate of 0.66%. According to the census, the bovine population climbed by 1%, milch animals increased by 6%, and poultry increased by 16.8%. Aspects such as the rapid increase in livestock population, rising awareness of animal health, and the increasing frequency of animal disease outbreaks are expected to fuel the growth of the APAC animal health market.

North America is anticipated to exhibit a CAGR of 6.5% over the forecast period. Due to increased animal adoption and rising per capita animal healthcare expenditure, the United States is expected to continue its significant market share among other countries. The rising trend of pet adoption in North America is also projected to propel the market forward. For example, the American Veterinary Medical Association (AVMA) predicts that the number of US homes with dogs will rise from 38% to 45% by 2030. The dog population is projected to increase from 85 million in 2020 to more than 100 million by 2030. The cat population is anticipated to increase from 65 million to over 82 million. 

Furthermore, pet ownership has recently expanded in other regions, such as Canada and Mexico. More than a million Canadians are predicted to add a pet to their household by 2023, potentially increasing the pet population even further. As of 2024, 58% of Canadians own a pet, more than the global average. Between 2020 and 2022, the Canadian dog and cat populations grew, reaching 7.9 million dogs and 8.5 million cats. Alberta has the highest pet ownership rate, whereas Ontario has the most pet supply stores. As a result, pet adoption and ownership in the region are expected to increase parasite infection rates because these animals are more susceptible to parasite infection. 

In addition, inflation has caused Canadian pet owners to spend more on their pets. According to Rover.com's March 2024 report, the average Canadian pet owner spends USD 210 per month on pet care, up from USD 140 in 2023. This equates to almost USD 2,500 per year, which is equal to the amount a Canadian family spends on groceries every two months. As a result, pets are more likely to become parasite-infected, and higher spending on animals may lead to increased spending on parasite treatment, supporting market growth.

Moreover, to contribute to market growth, the key players continually prepare strategic advancements such as product launches, mergers, acquisitions, and collaborations. In June 2022, for example, Zoetis Inc. disclosed its agreement to buy Basepaws, a privately held petcare genetics firm. The acquisition will help Zoetis grow its portfolio in precision animal health while also informing and shaping its future pipeline of petcare breakthroughs in dermatology and parasiticides. As a result, the factors listed above contribute to the veterinary parasiticides market in North America, which is expected to develop over the projected period. 

Europe has a sizable share of the market. Regarding regional share, Germany is expected to maintain its dominance in Europe for animal parasiticides, with a market share of about 30%. This might equate to one-third of the total European market share. The CNS agents sector is driving market growth due to the scarcity of branded medications with the necessary proportion of active components for specific pharmaceutical treatments for companion animals. The Veterinary Medicinal Products Regulation (Regulation (EU) 2019/6) directs new measures. It establishes new standards for stimulating innovation and boosting the supply and accessibility of safe and high-quality veterinary pharmaceuticals for veterinarians, farmers, and pet owners. 

However, the primary goal is to treat and prevent animal diseases while supporting the European Union's (EU) antimicrobial resistance initiative. These variables are expected to increase the demand for animal parasiticide in the region.

Segmental Analysis

The global animal parasiticides market is segmented based on product type and livestock.

The market is further segmented by product type into Ectoparasiticides, Endoparasiticides, and Endectocides.

Ectoparasiticides will dominate the market during the forecast period. Ectoparasiticides are specifically developed to target and control external parasites on animals' skin, hair, or feathers. These parasites are fleas, ticks, mites, lice, and flies. Ectoparasiticides are available in various forms, including topical spot-on treatments, sprays, shampoos, collars, and oral medicines. They act by directly killing or repelling ectoparasites or disrupting their life cycle, thereby preventing infestations and lowering the risk of vector-borne diseases. Ectoparasiticides are routinely used to keep companion animals, cattle, and other animals healthy.

Endoparasiticides are animal parasiticides that target and control internal parasites found in animals' gastrointestinal tracts, respiratory systems, and other internal organs. These parasites include roundworms, tapeworms, hookworms, whipworms, lungworms, and flukes. Endoparasiticides are available in a variety of formulations, including oral pills, liquids, pastes, and injections. They eliminate or remove internal parasites, reduce organ damage, increase nutritional absorption, and enhance overall health. Endoparasiticides are critical for controlling parasitic infections in companion animals and livestock, ensuring appropriate growth, reproduction, and productivity.

The market is further bifurcated based on Livestock into Ruminants, Poultry, and Porcine.

Poultry refers to domestic birds farmed for meat, eggs, or both, such as chickens, turkeys, ducks, and geese. Parasites, such as mites and lice, and endoparasites, like roundworms and coccidia, cause problems in poultry production. In poultry flocks, parasitic diseases can cause lowered growth rates, lower egg output, poor feed conversion, and higher mortality. Poultry parasiticides include topical sprays, dusts, oral treatments for ectoparasite control, feed additives, and water-soluble formulations for endoparasite management. Effective parasite management is critical for improving poultry health and production in commercial farming operations.

Furthermore, in 2023, worldwide poultry meat output is predicted to reach 142 million metric tons, accounting for 40% of total meat production. In the United States, poultry output in 2023 was 52.58 billion pounds, up 439.663 million pounds from 2022. The USDA reports that most of this was chicken (46.975 billion pounds) and turkey (5.457 billion pounds). 

Ruminants include cattle, sheep, goats, and deer. This segment depicts animals having a unique digestive system capable of fermenting plant-based foods in a stomach with four chambers. Ruminants are vulnerable to various parasitic illnesses, including gastrointestinal worms, liver flukes, and external parasites such as ticks and lice. Parasitic infestations can cause reduced feed efficiency, weight loss, decreased milk output, anemia, and, in severe cases, death. Endoparasiticides and ectoparasiticides are used in ruminants to control and prevent parasitic diseases while maintaining the animals' health and productivity. They can be delivered orally, topically, or via injection.

Recent Developments

• February 2024- Merck Animal Health acquired Elanco's Aqua Business.
• May 2024- Meiji Holdings and dsm-firmenich will improve dairy sustainability with the methane-reducing feed additive Bovaer®.