Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 5.35 Billion |
| Market Size (2029) | USD 8.88 Billion |
| CAGR (2024 - 2029) | 8.10 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Analysis
The Veterinary Contract Development And Manufacturing Organizations Market size is estimated at USD 5.35 billion in 2024, and is expected to reach USD 8.88 billion by 2029, growing at a CAGR of 8.10% during the forecast period (2024-2029).
The rising adoption of CDMOs and technological adoption by veterinary CDMOs primarily drives the market. The key factors driving the growth of the veterinary contract development and manufacturing organizations (CDMO) market are the rising demand for veterinary products and drugs and increasing technological adoption by CDMOs. Digitalization, data analytics, and automation advancements have improved veterinary CDMOs and offered specialized expertise in manufacturing process and formulation development.
The rising adoption of outsourcing services due to the cost-effectiveness of veterinary pharmaceutical companies is the key factor driving the market growth. For instance, an article published by Pharma’s Almanac Nice Insights in June 2022 stated that outsourcing manufacturing services is a major factor in the growth of the veterinary health market. In a survey conducted, 94% of industry experts who were the respondents indicated that their companies outsource services and operations to CMOs or CDMOs.
Also, the major players in the veterinary CDMO market have focused on adopting strategic initiatives such as partnerships, mergers, acquisitions, etc. For instance, in May 2023, Argenta Limited announced the acquisition of Midwest Veterinary Services Inc., a CRO company providing services consulting, diagnostic laboratory, and regulatory services. This acquisition would strengthen and improve the company’s livestock production. As a result, CDMOs are in high demand for their manufacturing and development services.
Furthermore, the increasing adoption of companion animals is expected to increase the demand for the veterinary CDMO market, which is anticipated to fuel market growth. For instance, according to the 2023-2024 National Pet Owners Survey conducted by the American Pet Products Association (APPA), around 66% of United States households own a pet, which equates to 86.9 million homes, including 46.5 million cats and 65.1 million dogs. The most popular animals that are adopted worldwide are cats and dogs. Thus, the rising adoption of pet animals would further propel the demand for the veterinary CDMO market.
Moreover, the growing adoption of technological advancements by CDMOs is likely to propel market growth over the forecast period. CDMOs have started using predictive analytics, automated process monitoring, fault detection, and smart-automated bioprocessing to monitor, model, and regulate processes to lower costs and enhance product quality. For instance, according to an article published by Contract Pharma in 2023, AI-driven decision-making allows CDMOs to apply GMP at a higher level. Machine learning (ML) and predictive analytics can also be utilized for maintenance, and Augmented reality (AR) contributes to improved control over the manufacturing process. Thus, these advancements in the technologies mentioned above contribute to the veterinary CDMO market growth by increasing the quality of production and decreasing the time required.
However, the lack of standardized dosage forms and approaches for veterinary drugs can create complexities and higher costs during the manufacturing and development processes for CDMOs and are likely to hinder market growth over the forecast period.
Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Trends
Livestock Animal Is Expected to Have Significant Market Share During the Forecast Period
The livestock animal segment is expected to witness significant growth in the veterinary contract development and manufacturing organizations market over the forecast period, owing to factors such as the rising livestock population, increasing use of agricultural animals for the large production of veterinary vaccines, products, and drugs, and growing awareness of vaccine immunization campaigns. For instance, according to an article by Gavi, the Vaccine Alliance, in 2023, approximately 2.5 million sheep, cattle, and goats were vaccinated in 16 districts of the Ethiopia region, and 25,111 pastoralist members have benefited from the immunization campaign the regional agricultural bureau organized. Thus, the increase in awareness of immunization programs for livestock animals to prevent zoonotic diseases is expected to propel the segment growth, which is anticipated to fuel the Veterinary CDMO market growth.
Additionally, the rising investment by government and private entities in novel therapies and development for animal diseases also contributes to the segment’s growth. For instance, in March 2024, the Minister of Agriculture and Agri-Food invested up to CAD 1,697,850 in Animal Health Canada to support their role in foreign animal disease prevention and preparedness efforts in Canada, including for African swine fever (ASF) and Foot and Mouth Disease (FMD). Animal Health Canada brings together the agriculture industry and federal, provincial, and territorial partners to provide input on Canada's cohesive, functional, and responsive farmed animal health and welfare system. Thus, funding from government institutions can lead to the development and manufacturing new veterinary drugs, therapies, vaccines, and products, further contributing to the demand for veterinary CDMO services.
Thus, the rising demand for animal products produced ethically and regulations about livestock producers are expected to drive the market’s growth over the forecast period.
North America Holds the Largest Market Share of the Veterinary Contract Development and Manufacturing Organizations Market
North America is expected to dominate the veterinary CDMO market over the forecast period owing to the adoption of innovative technologies in manufacturing and development, a rise in drug and development activities, and the launch of veterinary products.
In addition, the strong presence of large CDMO players providing veterinary services, growing awareness of animal health and welfare, and strict regulatory compliance and quality standards are also contributing to the market growth in the region.
With the growing demand for drugs and veterinary products, CDMOs are entering into collaborative partnerships with pharmaceutical firms to improve the effectiveness and speed of drug development in the country. These partnerships support collaboration as well as innovation in the field of animal health. For instance, in February 2024, Blacksmith Medicines Inc. collaborated with Zoetis to discover and develop novel antibiotics to selectively target bacteria for animal health.
Additionally, the major players in the animal health industry prefer contract outsourcing over in-house due to its benefits. For instance, Zoetis, one of the key players in the veterinary field, has its manufacturing facilities and collaborated with 132 Third-party contract manufacturing organizations. This strategic outsourcing allows CDMOs to minimize the risks and encourage more development in the field.
Furthermore, in the US, there is an increase in pet adoption, which has directly or indirectly enhanced people’s willingness to spend more money and time on their pet’s healthcare. For instance, according to the 2023-2024 National Pet Owners Survey conducted by the American Pet Products Association (APPA), around 70% of United States households own a pet, which equates to 90.5 million homes, including 69 million dogs. These factors have had a major impact on the rise in end-user demand for medical products, which resulted in increased production volumes by players and increased involvement of contract development and manufacturing organizations.
Therefore, the region's veterinary CDMO market is expected to grow over the forecast period due to the abovementioned factors.
Veterinary Contract Development And Manufacturing Organizations (CDMO) Industry Overview
The veterinary contract development and manufacturing organizations (CDMO) market is highly competitive. The key market players include Charles River Laboratories, Aenova Group, Argenta Limited, Vetio, and TriRx Pharmaceutical Services. Furthermore, major players frequently use different strategies such as mergers and acquisitions, collaborations, and the launch of new products in order to maintain share and broaden the product range and services.
Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Leaders
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Charles River Laboratories
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Vetio
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LABIANA Group
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TriRx Pharmaceutical Services
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Aenova Group
*Disclaimer: Major Players sorted in no particular order
Veterinary Contract Development And Manufacturing Organizations (CDMO) Market News
• April 2024: Curida Holding AS announced a significant growth investment from Signet Healthcare Partners. This strategic partnership enables Curida to accelerate its expansion plans, including enhancing facility capabilities and growing its industry position.
• August 2023: Biotechnology and Biological Sciences Research and the Department for Environment, Food and Rural Affairs announced a EUR 4 million investment into 10 innovative projects focused on international animal health research.
Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
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4.2 Market Drivers
- 4.2.1 Increasing Adoption of Advanced Technologies by Veterinary CDMOs
- 4.2.2 Increasing Outsourcing Services by Veterinary CDMOs
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4.3 Market Restraints
- 4.3.1 Stringent Regulations
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4.4 Porter's Five Forces Analysis
- 4.4.1 Bargaining Power of Buyers/Consumers
- 4.4.2 Bargaining Power of Suppliers
- 4.4.3 Threat of New Entrants
- 4.4.4 Threat of Substitute Products
- 4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size by Value - USD)
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5.1 By Animal Type
- 5.1.1 Companion Animals
- 5.1.2 Livestock Animals
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5.2 By Services
- 5.2.1 Contract Development
- 5.2.1.1 Early phase/preclinical
- 5.2.1.2 Late phase/clinical
- 5.2.2 Contract Manufacturing
- 5.2.3 Packaging & Labelling Services
- 5.2.4 Market Approval and Post-Marketing Services
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5.3 Geography
- 5.3.1 North America
- 5.3.1.1 United States
- 5.3.1.2 Canada
- 5.3.1.3 Mexico
- 5.3.2 Europe
- 5.3.2.1 Germany
- 5.3.2.2 United Kingdom
- 5.3.2.3 France
- 5.3.2.4 Italy
- 5.3.2.5 Spain
- 5.3.2.6 Rest of Europe
- 5.3.3 Asia-Pacific
- 5.3.3.1 China
- 5.3.3.2 Japan
- 5.3.3.3 India
- 5.3.3.4 Australia
- 5.3.3.5 South Korea
- 5.3.3.6 Rest of Asia-Pacific
- 5.3.4 Middle East and Africa
- 5.3.4.1 GCC
- 5.3.4.2 South Africa
- 5.3.4.3 Rest of Middle East and Africa
- 5.3.5 South America
- 5.3.5.1 Brazil
- 5.3.5.2 Argentina
- 5.3.5.3 Rest of South America
6. COMPETITIVE LANDSCAPE
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6.1 Company Profiles
- 6.1.1 Charles River Laboratories
- 6.1.2 Vetio
- 6.1.3 Aenova Group
- 6.1.4 LABIANA Group
- 6.1.5 IDEXX Laboratories Inc.
- 6.1.6 CZ Vaccines
- 6.1.7 Kela Health
- 6.1.8 TriRx Pharmaceutical Services
- 6.1.9 Argenta Limited
- 6.1.10 AB7 Group
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablityVeterinary Contract Development And Manufacturing Organizations (CDMO) Industry Segmentation
The Veterinary Contract Development & Manufacturing Organizations (CDMO) market is segmented by animal type (companion animals and livestock animals), services (contract development, contract manufacturing, packaging & labeling services, market approval, and post-marketing services), and Geography (North America (United States, Canada, and Mexico), Europe (Germany, United Kingdom, France, Italy, Spain, and Rest of Europe), Asia-Pacific (China, Japan, India, Australia, South Korea, and Rest of Asia-Pacific), Middle East and Africa GCC, South Africa, and Rest of the Middle East and Africa), and South America (Brazil, Argentina, and Rest of South America)). The market report also covers the estimated market sizes and trends for 17 countries across major regions globally. The report offers a value of USD for the above segments.
| By Animal Type | Companion Animals | |
| Livestock Animals | ||
| By Services | Contract Development | Early phase/preclinical |
| Late phase/clinical | ||
| By Services | Contract Manufacturing | |
| Packaging & Labelling Services | ||
| Market Approval and Post-Marketing Services | ||
| Geography | North America | United States |
| Canada | ||
| Mexico | ||
| Geography | Europe | Germany |
| United Kingdom | ||
| France | ||
| Italy | ||
| Spain | ||
| Rest of Europe | ||
| Geography | Asia-Pacific | China |
| Japan | ||
| India | ||
| Australia | ||
| South Korea | ||
| Rest of Asia-Pacific | ||
| Geography | Middle East and Africa | GCC |
| South Africa | ||
| Rest of Middle East and Africa | ||
| Geography | South America | Brazil |
| Argentina | ||
| Rest of South America |
Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Research FAQs
How big is the Veterinary Contract Development And Manufacturing Organizations Market?
The Veterinary Contract Development And Manufacturing Organizations Market size is expected to reach USD 5.35 billion in 2024 and grow at a CAGR of 8.10% to reach USD 8.88 billion by 2029.
What is the current Veterinary Contract Development And Manufacturing Organizations Market size?
In 2024, the Veterinary Contract Development And Manufacturing Organizations Market size is expected to reach USD 5.35 billion.
Who are the key players in Veterinary Contract Development And Manufacturing Organizations Market?
Charles River Laboratories, Vetio, LABIANA Group, TriRx Pharmaceutical Services and Aenova Group are the major companies operating in the Veterinary Contract Development And Manufacturing Organizations Market.
Which is the fastest growing region in Veterinary Contract Development And Manufacturing Organizations Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Veterinary Contract Development And Manufacturing Organizations Market?
In 2024, the North America accounts for the largest market share in Veterinary Contract Development And Manufacturing Organizations Market.
What years does this Veterinary Contract Development And Manufacturing Organizations Market cover, and what was the market size in 2023?
In 2023, the Veterinary Contract Development And Manufacturing Organizations Market size was estimated at USD 4.92 billion. The report covers the Veterinary Contract Development And Manufacturing Organizations Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Veterinary Contract Development And Manufacturing Organizations Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Veterinary Contract Development And Manufacturing Organizations (CDMO) Industry Report
Statistics for the 2024 Veterinary Contract Development And Manufacturing Organizations (CDMO) market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Veterinary Contract Development And Manufacturing Organizations (CDMO) analysis includes a market forecast outlook for 2024 to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Report Snapshots
- Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Size
- Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Share
- Veterinary Contract Development And Manufacturing Organizations (CDMO) Market Trends
- Veterinary Contract Development And Manufacturing Organizations (CDMO) Companies
