Explosive Growth in Pet Care Industry: Surging Demand, Regulatory Changes, and Innovative Treatments

Over the past 48 hours, the pet care industry has continued its strong growth, despite ongoing supply chain and regulatory challenges. The global pet food safety market is projected to grow at 8.2 percent annually, reaching 16.8 billion dollars by 2033, a trend confirmed by recent reports citing increased government regulations, testing innovation, and surging consumer demand for premium and specialty foods in 2025. The U.S. market is seeing significant movement, with expanded regulatory oversight and technology investment, such as rapid microbiological testing and blockchain for supply chain traceability. These measures address safety and transparency, but also drive up costs, especially impacting smaller manufacturers.

Deal activity remains robust. General Mills continued expansion with its fifth pet care acquisition since 2018, highlighting the race for scale and omni-channel reach. In veterinary services, Four Corners Property Trust acquired multiple long-term lease properties anchored by major players like Banfield Pet Hospital, responding to rising demand for non-discretionary pet care. Despite slightly fewer veterinary clinic visits since late last year, veterinary service prices jumped 8.24 percent in the past twelve months, outpacing overall U.S. inflation.

The latest product launches focus on health and science. Zoetis and Elanco advanced new monoclonal antibody treatments, with the monoclonal antibody segment in veterinary health reaching 1.45 billion dollars in 2025 and forecasted to grow 17 percent per year. These innovations target atopic dermatitis and pain in companion animals, securing new regulatory approvals and fueling further market growth.

Consumer behavior has shifted further toward regarding pets as family, with most U.S. owners now spending over 100 dollars a month on pet care. Demand for clean-label, health-oriented products is rising. Companies are responding with omnichannel distribution, boosting visibility both in stores and online, notably through Amazon and Chewy.

Supply chain pressures persist, with ongoing cost increases and digital transformation hurdles, but leading players maintain resilience through technology adoption and real estate strategy. Compared to late 2023, the sector today is marked by stronger regulation, higher prices in veterinary care, rapid innovation, and accelerated investment, reinforcing its essential status in U.S. households.

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Episode Transcript

Speaker 1 (00:00):
Over the past forty eight hours. The pet care industry
has continued its strong growth despite ongoing supply chain and
regulatory challenges. The global pet food safety market is projected
to grow at eight point two per cent annually, reaching
sixteen point eight billion dollars by twenty thirty three, a
trend confirmed by recent reports citing increased government regulations, testing innovation,

(00:23):
and surging consumer demand for premium and specialty foods. In
twenty twenty five. The US market is seeing significant movement
with expanded regulatory oversight and technology investment such as rapid
microbiological testing and blockchain for supply chain traceability. These measures
address safety and transparency, but also drive up costs, especially

(00:46):
impacting smaller manufacturers. Deal activity remains robust. General Mills continued
expansion with its fifth pet care acquisition since twenty eighteen,
highlighting the race for scale and omni channel reach. In
veterinary services. Four Corners Property Trust acquired multiple long term
lease properties anchored by major players like Banfield Pet Hospital

(01:09):
responded to rising demand for non discretionary pet care. Despite
slightly fewer veterinary clinic visits since late last year, veterinary
service prices jumped eight point twenty four percent in the
past twelve months, outpacing overall US inflation. The latest product
launches focus on health and science. Zotis and Elanco advanced

(01:30):
new monoclonal antibody treatments, with the monoclonal antibody segment in
veterinary health reaching one point four five billion dollars in
twenty twenty five and forecasted to grow seventeen percent per year.
These innovations target atopic dermatitis and pain in companion animals,
securing new regulatory approvals and fueling further market growth. Consumer

(01:53):
behavior has shifted further toward regarding pets's family, with most
US owners now spending over one hundred dollars a month
on pet care. Demand for clean label, health oriented products
is rising. Companies are responding with omni channel distribution, boosting
visibility both in stores and online, notably through Amazon and Chewy.

(02:14):
Supply chain pressures persist with ongoing cost increases and digital
transformation hurdles, but leading players maintain resilience through technology adoption
and real estate strategy. Compared to late twenty twenty three,
the sector today is marked by stronger regulation, higher prices
in veterinary care, rapid innovation and accelerated investment, reinforcing its

(02:37):
essential status in US households.