The animal drugs market is projected to showcase exponential growth by 2027 owing to mounting demand for online veterinary pharmacies across the globe.

According to a 2019 study published in Amber Waves: The Economics of Food, Farming, Natural Resources, and Rural America, antibiotics and antimicrobial drugs play an essential role in veterinary medicine and are also added to animal feed as additives. The study highlighted the risk of the spread of antimicrobial-resistant organisms from animals to human beings, which may cause some undesirable long-term effects.

This phenomenon has prompted scientists to develop alternative pharmaceutical products that restrict the spread of antimicrobial-resistant organisms by reducing or replacing antibiotics commonly used to treat infections in humans. Thus, increasing R&D efforts and favorable government policies supporting pet healthcare have propelled industry uptake in recent years.

The animal drugs market has been segregated based on end-use, product, route of administration, animal type, and region. With respect to product, the market has further been divided into medicated feed additives, drugs, and vaccines. The vaccines sub-segment registered a sizable market share with a valuation of more than USD 7.8 billion in 2020 and is expected to witness optimistic expansion through 2027. Increasing incidences of zoonoses among the livestock animal population are set to bolster segmental growth.

On the basis of animal type, the animal drugs market has been classified into companion animals and livestock animals. In 2020, the companion animals sub-segment attained a valuation of around USD 11.8 billion and is anticipated to develop at a steady pace over the forecast period. Growing adoption of pets and rising incidences of zoonotic diseases among them are likely to drive segmental expansion in the next few years.

In terms of route of administration, the market has been bifurcated into topical, oral, injectable, and others. The oral sub-segment held a significant share in the animal drugs market with a valuation of nearly USD 7.8 billion in 2020 and is slated to exhibit sturdy growth through 2027. Oral route of administration offers several clinical benefits to animals, which is set to fuel product demand over the analysis timeframe.

With respect to end-use, the animal drugs market has been segmented into e-commerce, veterinary hospitals, pharmacy and drug stores, and veterinary clinics. The veterinary hospitals sub-segment is expected to observe robust growth to reach a valuation of above USD 16.8 billion by the end of 2027. Increased accessibility to veterinary facilities, coupled with mounting animal health expenditure, is estimated to support revenue growth of the segment over 2021-2027.

From the regional perspective, the LATAM animal drugs market surpassed a valuation of USD 2.8 billion in 2020 and is speculated to amass considerable gains by 2027. Surging occurrences of zoonotic and food-borne animal diseases, along with growing product adoption across various countries in Latin America, is likely to augment regional market development.