Animal Health Industry

Animal Health Industry

In the beginning of 2016, the European Investment Forum for Animal Health said about the Animal Health industry, that it was the next big investment opportunity. Why?

Driving factors for innovation in Animal Health:

  • The demand for animal protein increases with the number of the world’s population
  • This often leads to the lack of space to meet the needs of meat, eggs or milk
  • Livestock breeding on crowded spaces results in higher frequency of infectious diseases
  • Farmers therefore increasingly use feed additives and vaccinations

Other influences by a growing world population…

…a growing middle class.

Countries with a large middle class spend a lot of money on their pets. In the UK, this amounted last year to more than 7 billion US Dollars. Most of it for feeding and medical supplies. A lot is expected in this regard from countries like China with their ever-growing middle class. In the USA, the sales for medical supplies in the pet sector is estimated to reach about 15 billion US Dollars in 2016.

A further decisive aspect, which Animal Health could be even more interesting than the pharma or biotech industry lies in the regulatory requirements. Or rather, the lack of them. Due to much less strict guidelines, when developing a new animal vaccines, you do not need to conduct lengthy clinical trials or observational studies, which can take years and years when developing a human drug.

And many pharma companies also have an Animal Health division, which could promise synergies.

The composition of Animal Health


In general, one can differentiate between pets and livestock (farm animals). With 60% the largest share is attributable to the livestock segment. 60% of the profit comes from pharmaceuticals, 25% from biotech and the rest from feed additives.

In the global context, Animal Health industry is already worth 24 billion US Dollars and growth rates about 3% are expected until 2020.

So, there is a lot to do in the Animal Health industry. Should you need Freelancers for that, we are happy to deliver for all topics along the value chain of you company. Have a look here.

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