According to Fortune Business Insight, the global pet food market size is expected to gain momentum by reaching USD 136.82 billion by 2028 while exhibiting a CAGR of 4.96% between 2021 to 2028.
The ongoing COVID-19 pandemic situation has adversely impacted the market. These disruptions in the supply chain occurred due to a shortage in raw materials, workers, and restrictions on transport. However, the operations were back to normal on the upliftment of lockdown. Additionally, higher pet adoption, rising demand for premium dog & cat food, and change in strategies by pet animal food manufacturers have positively impacted the global sales of dog & cat food
In recent times, people are working from home, therefore, many used this as an opportunity to get a family pet. Several studies have shown that people who adopt pets are less likely to suffer from loneliness and depression. As the pets bring companionship to their owners. Besides, in tough times of pandemic demand for pets increased. For instance, as per report published by Mars Petcare, a leading pet (dog& cat) food manufacturer, stated that the combined sales of cat and dog treats grew by 6.5% in the 12 weeks between February and May 2020.
Rising Pet Ownership across Developing Economies to Aid Growth
The increasing adoption rate of pets worldwide, especially in the developing regions is expected to drive the pet food market growth. The emergence of nuclear families, rising urbanization and pet humanization is making owners to go for nutritious and quality food for their pets, is further fueling the market growth. Additionally, the rising per capita income of the consumer is allowing them to spend on organic food products for pet animals. Moreover, the easy availability pets’ products at varied price is also generating traction, as it offers customers range of options.
North America to Dominate Backed by Increasing Adoption of Pets in the Region
North America is expected to remain at the forefront and hold the highest position market during the forecast period. This is attributable to increased adoption of pets in the U.S. households. For instance, according to survey done by the American Pet Products Association (APPA), around 85 million U.S. households i.e. around 67% of the total households present in the U.S. own a pet. The region’s market stood at USD 36.22 billion in 2020.
Europe is expected to show significant pet food market share owing to increased spending on sustainable and safe pet animal food. Additionally, in Europe pet owners demand for transparency in pet animal food product ingredients. U.K. is the largest pet animal food market in Europe; and is followed by Germany and France.
Competitive Landscape
Key Players to Focus on Facility Expansion & Investment to Strengthen their Market Prospectus
The global market contains a large number of prominent companies that are constantly trying to develop unique devices to cater to the demand from patients across the globe. To do so, they are joining hands with local or reputed firms, launching new solutions to strengthen their portfolio in the market.
Below are two industry developments:
March 2021: A leading pet food manufacturer based in the U.S., Mars, Inc, made an investment of USD 200 million for facility expansion of its Royal canin plant in Lebanon.
December 2020: Nestle Purina Petcare declared that it invested USD 550 million to expand its food manufacturing facility in Georgia.