discuss the current status and future prospects of the US Companion Animal Industry

 

Companion animals play an important role in our lives and are now considered to be and treated as family members in a majority of households in the United States. This is because of the high number of pets that now exist, an increasingly stronger pet-human bond, and the importance placed on health and longevity, the pet food industry has realized steady growth over the last few decades. Despite past successes and opportunities that exist in the future, there are also challenges that must be considered. Training the future workforce for the pet food industry is also of great importance. Recent trends on student demographics and their species and careers of interest, changing animal science department curricula, and technology's impact on instruction are provided. Finally, the sustainability of the pet food industry is discussed. Focus was primarily placed on the disconnect that exists between opinions and trends of consumers and the nutrient recommendations for dogs and cats, the desire for increasing use of animal-based and human-grade products, the overfeeding of pets and the pet obesity crisis, and the issues that involve the evaluation of primary vs. secondary products in terms of sustainability. Moving forward, the pet food industry will need to anticipate and address challenges that arise, especially those pertaining to consumer expectations, the regulatory environment, and sustainability. Given the already strong and increasingly dynamic market for pet foods and supplies, an academic environment primed to supply a skilled workforce, and continued industry support for basic and applied research initiatives, the future of the pet food industry looks very bright.

Step-by-step explanation

The U.S. companion animal health market size was valued at USD 5.5 billion in 2018 and is expected to register a CAGR of 5.2% during the forecast period. The market is primarily driven by growing adoption of companion animals in the country, coupled with increasing awareness among pet owners regarding animal diagnostics.

Dogs are the most commonly owned companion animal, followed by cats. According to the U.S. Census Bureau's American Housing Survey in 2018/2019, 49.0% households have at least one pet. Growing pet ownership has upped concerns regarding their health, thereby driving the market. Advent of AI has enabled early and accurate diagnosis, providing promising growth opportunities in the coming years. In April 2019, PetSensus and Insilico Medicine collaborated to provide animal longevity with their biomedical data platform.

Increasing availability as well as adoption of insurance for companion animals with widening coverage for accidents and illnesses is also anticipated to boost market growth. As per the North American Pet Health Insurance Association in 2019,the average monthly charge of pet insurance is USD 27.9 for cats and USD 44.7 for dogs, covering both accidents and illnesses. The association also states that in 2014, dogs accounted for 83% of insurance premiums while cats held a 17% share. As the cost of surgeries and diagnostics continues to increase, the inclination of pet owners toward insurance is also on a rise.

Rising incidence of cancer, especially in dogs, is anticipated to provide a growth platform for the market. As per the Animal Cancer Foundation, 65 million dogs and 32 million cats are suffering from cancer in the U.S. Dogs are more prone to suffer from malignant neoplasia (tumor) and lymphoma, as per the American Veterinary Medical Association in 2019. The market is supported by numerous health initiatives, especially for cancer treatment, by government and private organizations. For instance, in May 2016, the Blue Buffalo Foundation and the Petco Foundation announced an investment of USD 2.35 million in order to support companion animal cancer research and treatment.