Adapted from a press release
A new market research report published by Meticulous Research forecast the pet food ingredients market to reach US$73.3 billion by 2031, at a CAGR of 8.5% from 2024 to 2031.
According to the report, the growth of the pet food ingredients market is driven by the rising pet population coupled with increasing expenditure on pet food, the growing demand for premium pet food, and an increasing focus on pet health and wellness. Stringent regulatory structures and fluctuating raw material prices, however, will restrain the growth of this market.
The report noted key trends that will generate growth opportunities for the pet food marketing, including the increasing availability and growing acceptance of novel pet food ingredients and the proliferation of direct-to-consumer (D2C) brands and start-ups in the pet food space. The report noted the risk of counterfeit products will be a challenge impacting the growth of the pet food ingredients market.
North America is still a hotspot for pet food ingredients, but Brazil and Latin America are regions to keep an eye on as their pet populations continue to significantly grow.
Key findings in the global pet food ingredients market
- The animal-based ingredients segment is expected to account for the largest share (72%) of the global pet food ingredients market. This can be attributed to the widespread adoption of animal byproducts in pet food manufacturing due to their high protein content, balanced amino acid profiles, easy digestibility and palatability.
- The novel ingredients segment is projected to register the highest CAGR during the forecast period of 2024–2031 due to its growing acceptance, easy availability, and health benefits. The fast growth of this market is further supported by a growing number of novel food ingredient manufacturers, increasing R&D investments from pet food ingredients manufacturers to develop novel ingredients, rising demand for premium pet food products, and growing consumer interest in sustainable pet food sources.
- Among all the applications studied in this report, the veterinary diets segment is projected to register the highest CAGR during the forecast period of 2024–2031, with the increasing demand for health-oriented pet food products, specialized pet food products for different breeds, and products specifically formulated for pets of different ages and physiological needs.
- Among all the pet types studied in this report, in 2024, the dogs segment is expected to account for the largest share of the pet food ingredients market. This segment is projected to reach US$52 billion by 2031. The ornamental fish segment, however, is projected to register the highest CAGR of more than 10% during the forecast period of 2024–2031, owing to the rising disposable incomes and growing consumer interest in aquarium fish, increasing awareness of the therapeutic benefits of keeping fish, the hospitality sector's demand for ornamental fish to enhance aesthetics, and rising adoption and ownership of ornamental fish.
Latin America will grow significantly
Based on geography, the global pet food ingredients market is majorly segmented into five regions: North America, Europe, Asia-Pacific, Latin America and the Middle East & Africa.
- In 2024, North America is expected to account for the largest share (32%) of the pet food ingredients market. The North America pet food ingredients market is estimated to be worth US$13.4 billion in 2024 due to the rising number of millennials as pet owners in the region, the presence of a large number of pet food manufacturers, the growing focus on the health and diets of pets, and the presence of major pet food manufacturers in the region.
- The Latin America pet food ingredients market is expected to witness significant growth during the forecast period of 2024–2031, because of the region's rising awareness about pet health and nutrition, increasing spending on pet food products, increase in per capita disposable income, rapid urbanization, and rising trend of nuclear families.
- Brazil is slated to register the highest CAGR during the forecast period of 2024–2031. Currently, Brazil ranks second in the pet dog population in the world. The country had approximately 54.2 million dogs and 23.9 million cats in 2022. In the past few years, the middle class in Brazil has grown significantly, which has resulted in increased pet ownership in the country that is expected to drive the growth of the pet food ingredients market in the country.
