Animal Health Market Summary

The global animal health market size was valued at USD 62.89 billion in 2024 and is projected to reach USD 112.33 billion by 2030, growing at a CAGR of 10.46% from 2025 to 2030. Factors driving this market growth include rising expenditure on animal health, increasing adoption of Artificial Intelligence across veterinary technologies, evolving regulatory frameworks, and the growing prevalence of animal diseases. Additional contributors include rising concerns over zoonotic infections, greater involvement of leading companies in innovation, expanding uptake of pet insurance, and the ongoing shift toward pet humanization, which has significantly increased demand for advanced healthcare solutions.

However, the most influential factor shaping the market is the rapid incorporation of AI into various areas of the animal health sector. In January 2025, Absci and Invetech announced a partnership to leverage Absci's generative AI drug creation platform, known as Half-Life Extension (HLE), to develop next-generation veterinary medicines. This collaboration aims to accelerate the creation of novel therapeutics by using advanced AI capabilities to streamline the drug discovery and optimization process. By combining their technological and scientific strengths, both companies intend to enhance treatment options for animals, offering improved solutions for pet owners, livestock producers, and the broader veterinary ecosystem. This initiative underscores the growing integration of AI and biotechnology in addressing complex animal health challenges across species.

Key Market Trends & Insights

• North America animal health market held the highest share of about 35.69% in 2024, supported by strong veterinary infrastructure and high pet ownership rates.
• The animal health market in the U.S. held the dominant share of the North American market in 2024, driven by increased spending on companion animals and early adoption of advanced healthcare technologies.
• Based on product, the pharmaceutical segment dominated the market with a share of about 43.42% in 2024, reflecting rising demand for therapeutics, vaccines, and preventive care solutions.
• Based on animal type, the companion animal segment is expected to grow at a lucrative rate during the forecast period, supported by pet humanization and increasing focus on long-term animal wellness.
• Based on distribution channel, the hospital and clinic pharmacy segment accounted for the largest revenue share in 2024, as these facilities remain primary sources for veterinary medications and specialized treatments.

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Market Size & Forecast

• 2024 Market Size: USD 62.89 Billion
• 2030 Projected Market Size: USD 112.33 Billion
• CAGR (2025-2030): 10.46%
• North America: Largest market in 2024

Key Companies & Market Share Insights

The market is highly fragmented and competitive in nature due to the presence of numerous companies. Companies that excel in product development, market understanding, strategic decision-making, and regulatory compliance hold a substantial share in the dynamic and evolving animal health industry.

Animal health market share by a company is determined by factors such as product penetration, regional presence, strategic initiatives, and the company’s financial performance. Leading companies in the market include Zoetis, Merck, Mars, IDEXX, and Boehringer Ingelheim. Leading companies have a diverse portfolio of effective and innovative veterinary pharmaceuticals, biologics, diagnostics, and other solutions that enable them to hold a notable market share by addressing a wider spectrum of animal health needs. These companies also have a strong and well-established presence in key markets and are better positioned to capture significant market share. They also engage in effective strategic planning to expand their capabilities, enter new markets, or enhance their product offerings, which supports positive shifts in market share.

Key Players

• Zoetis
• Ceva Santé Animale
• Merck & Co., Inc.
• Vetoquinol S.A.
• Boehringer Ingelheim Gmbh
• Elanco
• Virbac
• Mars Inc.
• Dechra Pharmaceuticals Plc
• Idexx Laboratories, Inc.

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Conclusion

The global animal health market is set for strong growth as rising pet ownership, technological advancements, and greater awareness of animal well-being drive sustained demand for innovative healthcare solutions. The increasing integration of AI in drug discovery, diagnostics, and treatment enhancement is transforming the industry and enabling faster, more precise veterinary care. With expanding investments in pharmaceuticals, preventive medicine, and advanced therapies, key regions like North America will continue to lead market development. As regulatory support strengthens and pet humanization trends deepen, the industry is expected to evolve rapidly, offering improved healthcare outcomes for both companion animals and livestock worldwide.