Market Size of Veterinary Reference Laboratory Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 4.97 Billion |
| Market Size (2029) | USD 7.86 Billion |
| CAGR (2024 - 2029) | 9.58 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Veterinary Reference Laboratory Market Analysis
The Veterinary Reference Laboratory Market size is estimated at USD 4.97 billion in 2024, and is expected to reach USD 7.86 billion by 2029, growing at a CAGR of 9.58% during the forecast period (2024-2029).
The COVID-19 pandemic disrupted the R&D activities of veterinary diseases and the logistics supply of various essential pharmaceutical products for pets. For instance, according to an article published by Frontiers in May 2022, in the United Kingdom, a dog's chronic illness diagnosis, including cancer, reduced the odds of seeking care during the pandemic, reportedly due to difficulties in accessing care for non-urgent issues and lack of access to veterinarians. However, with the declining COVID-19 cases and ease of restrictions, the studied market is expected to regain its full potential over the years.
The major factors driving the growth of the market are the increase in companion animal/pet adoption, the increasing demand for pet insurance, the growing animal healthcare expenditure, and the growing demand for PCR testing, rapid testing, and other testing procedures.
The rising adoption of companion animals is a major factor driving the market's growth. For instance, according to the data published by the European Pet Food Industry: Facts and Figures 2022 report, Germany had 10,300,000 dogs and 16,700,000 cats in 2021. As per the same source, the percentage of German households owning at least one cat was 21%, and one dog was 19% in 2021. This shows that the adoption of cats was higher among the population than dogs.
Additionally, as per the Pet Food Manufacturer's Association (PFMA)'s Pet Population 2022 data published in 2022, 34.9 million pets were estimated in the United Kingdom in 2022 (13 million dogs and 12 million cats). Similarly, according to the data published by the European Pet Food Industry: Facts and Figures 2021 in 2022, 12,000,000 dogs and 12,000,000 cats were reported in the United Kingdom in 2021. As per the same source, the estimated percentage of UK households owning at least one cat was 33%, and one dog was 27% in 2021. Thus, the increasing adoption of pets is expected to increase the demand for veterinary reference laboratories.
The developments by key market players are expected to increase the market's growth. For instance, in September 2021, Heska Corporation acquired majority ownership of Biotech Laboratories USA LLC, a leading developer of rapid assay diagnostics testing.
Thus, factors such as the rising pet adoption and the increasing developments by key market players are expected to boost the market's growth. However, rising demand for portable devices for point-of-care (POC) services and high pet care costs are expected to hinder this growth.
