February 21, 2024
Veterinary Drugs Compounding Market

Veterinary Drugs Compounding Market Growth Is Driven By Rising Pet Adoption

Veterinary drugs compounding involves the customization of medication as per the medical needs of animals. Veterinary compounders customize medications by changing dosages, eliminating allergens, or flavors for easy administration. There has been a rise in pet adoption during the pandemic due to changing lifestyles and increased time spent at home. This has increased the demand for quality veterinary caregiving. Compounded drugs allow pet parents to provide personalized treatment to their pets by adapting medications according to the unique medical history, size, and condition of each pet. Compounding medications help address pets’ special medical requirements more effectively. This improves treatment outcomes.

The global Veterinary Drugs Compounding Market is estimated to be valued at US$ 1512.63 Mn in 2024 and is expected to exhibit a CAGR of 6.5% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the key trends in the veterinary drugs compounding market is the rising demand for species-specific formulations. Pets can respond differently to medications depending on their size, age, and medical history. Compounded drugs allow veterinarians to tailor medications according to each pet’s individual needs. This improves treatment efficacy and safety. Another important trend is the increasing availability of FDA-approved compounding outsourcing facilities. These facilities offer commercial-scale sterile compounding services to pharmacies and hospitals after meeting strict quality and safety standards. This eases logistics and allows more facilities to offer compounded drugs to pets.

Porter’s Analysis

  • Threat of new entrants: The threat of new entrants in the veterinary drugs compounding market is moderate. Developing novel compound formulations and obtaining regulatory approval requires significant financial capital.
  • Bargaining power of buyers: Buyers have moderate bargaining power due to lack of substitutes and importance of animal health. However, availability of generic products provides some leverage to buyers.
  • Bargaining power of suppliers: Suppliers have moderate power due to the specialized nature of APIs and other materials required for compounding. Establishing long term relationships and contracts maintains balance.
  • Threat of new substitutes: Threat from substitutes is low as compounding allows flexibility adapting medications to individual animal needs. However, innovation in drug delivery systems could impact certain segments.

Competitive rivalry: The market is competitive with presence of large contract manufacturers and private compounding pharmacies. Emphasis is on specialized services, quality, and price competitiveness.

Key Takeaways

The Global Veterinary Drugs Compounding Market Growth  is expected to witness high over the forecast period supported by rising pet population, demand for customized medications and ban on outsourcing by FDA. The global Veterinary Drugs Compounding Market is estimated to be valued at US$ 1512.63 Mn in 2024 and is expected to exhibit a CAGR of 6.5% over the forecast period 2024 to 2031.

North America currently dominates the market owing to stringent regulations regarding compounding, higher pet care spending and presence of major players. Europe is anticipated to grow at a significant rate in the veterinary drugs compounding market supported by growing awareness about animal health and welfare. Asia Pacific is projected to exhibit highest gains on back of increasing adoption of pets in developing nations such as India and China. Growth will be further favored by expanding veterinary services and rising per capita animal healthcare expenditure.

Key players – BASF SE is one of the leading API suppliers globally. The company offers an extensive portfolio of active ingredients for major therapeutic categories. Huntsman Corporation provides a broad range of chemical solutions for compounding through its performance products division. It is a reputed supplier of polymers and derivatives. The Dow Chemical Company and 3M Company are major industry players engaged in manufacturing excipients and pharmaceutical auxiliary materials in addition to APIs.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it