Veterinary CRO and CDMO Market, Opportunity, Growth Drivers, Industry Trend Analysis and Forecast, 2024-2032

Veterinary CRO and CDMO Market, Opportunity, Growth Drivers, Industry Trend Analysis and Forecast, 2024-2032

The Veterinary CRO and CDMO market is estimated to register 8.7% CAGR over 2024-2032. The surging demand for specialized veterinary services and products, spurred by rising pet ownership and an expanding livestock industry, is a primary catalyst. For instance, the American Pet Products Association reported that 70% of U.S. households owned a pet in 2023, up from 67% in 2019. As animal health concerns intensify, pharmaceutical and biotech firms are relying on CROs and CDMOs for expertise in developing, testing, and manufacturing new veterinary drugs and biologics. The regulatory compliance and the complexities of animal health research further highlight the importance of these specialized service providers.

Moreover, a global focus on food safety and sustainable agricultural practices is fueling the growth of the veterinary CRO and CDMO market. The agricultural sector faces pressure to boost productivity and uphold safety standards, leading to an intensified emphasis on pioneering animal health solutions. The adoption of cutting-edge technologies and a growing trend toward personalized veterinary care are bolstering the demand for CRO and VDMO services.

The veterinary CRO and CDMO industry is segmented based on animal type, service type, product, and region.

The CRO services segment is gaining substantial traction, driven by the growing complexity of veterinary research and the need for specialized expertise. CROs offer a comprehensive range of services, including preclinical testing, clinical trial management, and regulatory compliance support, which are essential for the development of new veterinary drugs and biologics. As veterinary pharmaceutical and biotech companies seek to streamline their development processes and adhere to rigorous regulatory requirements, the demand for outsourced research services has surged. CROs support in designing and conducting studies, analyzing data, and ensuring that new products meet the highest standards of safety and efficacy. The need for specialized knowledge, cost efficiency, and accelerated development timelines is pushing the segment growth.

The medicated feed and supplements segment will hold a decent industry share by 2032. Medicated feeds and nutritional supplements are critical in managing and preventing diseases, optimizing growth, and improving overall livestock performance. CROs and CDMOs provide specialized services such as formulation development, efficacy testing, and regulatory compliance for these products. As the agricultural sector emphasizes the need for sustainable and effective health management solutions, there is a growing reliance on CROs and CDMOs to support the development of innovative medicated feeds and supplements that meet stringent quality and safety standards.

The Middle East and Africa (MEA) veterinary CRO and CDMO industry size will expand significantly over the forecast period, driven by increasing investments in animal health infrastructure and rising awareness about veterinary care. With a surge in livestock production and pet ownership, there is a growing demand for advanced veterinary products and services. CROs and CDMOs in the MEA region are expanding their offerings to cater to local needs, including the development of tailored veterinary drugs, vaccines, and nutritional products. Additionally, the increasing focus on improving food security and animal health standards is prompting regional governments and private sector players to collaborate with CROs and CDMOs for research, development, and manufacturing.