Europe Veterinary Healthcare Market Size

Europe Veterinary Healthcare Market Analysis

The Europe Veterinary Healthcare Market size is estimated at USD 11.47 billion in 2024, and is expected to reach USD 16.01 billion by 2029, growing at a CAGR of 6.90% during the forecast period (2024-2029).

The disruption in the supply chain and delays in delivering diagnostic instruments, consumables, and reagents during the European pandemic have adversely impacted the market initially during COVID-19. Some significant issues faced by the market during a pandemic include trucking bottlenecks and port checkpoints slowing down their deliveries, including critical supplies; export bans were imposed in many countries, and only a few manufacturing units were functional. Therefore, such factors impeded the market growth rate initially. On the other hand, the outbreak of the pandemic increased the ownership of pets in Spain, which positively impacted the market growth. For instance, as per the report published by the International Trade Administration in March 2021, the pet sector in Spain increased tremendously by 25.0% during the pandemic. The same report also indicated that Spain is one of Europe's top five pet markets, with 28.0 million registered pets, including 6.7 million dogs and 3.8 million cats. The data suggested that the pandemic has increased the preference of people who have integrated one or more than one pet into their homes, mostly a dog or cat. Thus, as services got impacted during the early pandemic, it also affected the growth pace of the market. However, as there is better access to veterinary healthcare services compared to the initial pandemic times and the rise in the pet population, the market is expected to regain its growth over the coming 3-4 years.

The primary factor contributing to the growth of the European veterinary healthcare market is the rising animal adoption in European countries, coupled with increasing initiatives by various governments and improved animal healthcare. According to Pet Food Manufacturers Association, as of 2021, 3.2 million households in the UK had acquired a pet since the pandemic's start. There are 34 million pets in the UK, including 12 million cats, 12 million dogs, 3.2 million small mammals like guinea pigs and hamsters, 3 million birds, and 1.5 million reptiles. Moreover, an estimated 85 million European households own at least one pet animal. The trend is further expected to enhance during the forecast period due to factors like pet humanization and the rapid adoption of pets in emerging economies. Also, as per the Pet Food Manufacturers Association report in 2021, it is estimated that 59% of households will have pets in the United Kingdom in 2021. The report also mentioned that 2% of households own rabbits, 1.2% of households own Guinea pigs, 1% of households own tortoises and turtles, 1% own horses and ponies, o.6% of households own Gerbils, and 0.8% of households own pigeons. Thus, the high percentage of households owning a companion animal is expected to drive the demand for the veterinary healthcare market.

Furthermore, government initiative plays a prime role in market growth. For instance, in August 2022, British Equine Veterinary Association (BEVA) collaborated with British Equestrian (BEF) and the British Horseracing Authority to monitor the potential impact of a shortage of doses of vaccines for Equine Influenza. BEVA is liaising with the three vaccine manufacturers to estimate the shortage's effect and propose alternatives to lessen the threat to equine health and welfare and to avoid a disruption of equestrian competition.

In addition, technological developments in animal diagnostic technologies for accurate diagnostics and the increasing penetration of some of the key and giant players in the market are expected to propel the market growth. For instance, in February 2021, IVC Evidensia launched VetSoothe to all of its UK and Netherlands clinics, an exclusive range of dermatologist-recommended and clinically proven products, including innovative skin wipes that contain chlorhexidine, an ingredient proven to inactivate Coronavirus particles that may be present on pets coats.

Therefore, the factors such as rising animal adoption in European countries, government initiatives, and technological advancements in animal diagnostic technologies are attributing to the market growth. However, the increasing costs of animal testing and veterinary services, the shortage of farm workers and veterinarians, and the use of counterfeit medicines are restraining the growth of the Europe veterinary healthcare market over the forecast period.