Global Veterinary Infectious Disease Diagnostics Market Size

Veterinary Infectious Disease Diagnostics Market Analysis

The Veterinary Infectious Disease Diagnostics Market is projected to register a CAGR of 7.5% during the forecast period.

During the COVID-19 pandemic, the veterinary infectious disease diagnostics market was moderately affected, as most countries and their states treat pet care/ animal care as an essential service. Therefore, the growth wasn't significantly declined during the pandemic. Since most countries treat veterinary practices as essential businesses, this allows the services to remain open even during pandemic-related restrictions and shutdowns. Still, some veterinary hospitals and clinics experienced a drop in pet care compliance in many key areas during the first few months of the pandemic. However, veterinary services resumed to some extent as the lockdown lifted. For instance, AmerisourceBergen Corporation 2020 reported that since December 2020, many veterinary services had shown signs of significant improvement. Moreover, the pandemic has seen a surge in pet adoption; for instance, according to the Insurance Research Council's October 2020 report, during the COVID-19 pandemic, nearly one in three (30 percent) of Americans adopted a pet. In March 2021, According to American Pet Products Association, around 67% of United States households own a pet, which is about 84.9 million homes. This increase in pet adoption is expected to increase the procurement and demand for veterinary infectious disease diagnoses soon.

Certain factors that are driving the market growth include increasing advanced diagnostic devices for animals, growing demand for pet insurance, and an increasing companion animal population. The North American Pet Health Insurance Association (NAPHIA) states that in 2020, pet health insurance for the United States showed gross written premiums of USD 1.99 billion. The market has been growing at an average annual growth rate of around 24.2% from 2016 to 2020. In December 2020, the total number of pets insured reached 3.4 million.

According to NAPHIA, around 20 pet insurance companies are in the North American region. With the increase in pet insurance, owners are more likely to take their pets for diagnostic testing. Similarly, the rise in zoonotic diseases is also one of the key reasons to increase diagnostic tests as it prevents diseases from spreading. According to the world wildlife fund research paper published in August 2020, 60.3% of all new emerging diseases are zoonoses.

Additionally, most infectious diseases originate in wildlife and are further spread to the companion animals and humans. This is one of the key issues in the Asia Pacific region, as most of the zoonotic diseases originate from the region. One of the notable examples is COVID-19. In Europe, many countries have favorable laws to support companion animals. The Commission Laws of the French National Assembly in 2014, the Czech Republic Civil Code of 2012, the United Kingdom Animal Welfare Act of 2006, the Austrian Constitution in 2004, the German Constitution in 2002, and Switzerland's Law of October 4, 2002, are a few notable examples. Due to these laws, there is a favorable approach to the diagnosis of animals, which incites a positive growth in the number of these animals. Hence, the increasing number of companion animals in households and farms will show positive growth for the market during the forecast period.

Therefore, owing to the aforementioned factors, the studied market is anticipated to witness growth over the analysis period. However, high pet care costs is likely to impede market growth.