Market Overview:
The global animal biotechnology market comprises products and services that help modify an organism's biological characteristics through genetic engineering techniques. This includes vaccines, pharmaceuticals, genetically modified crops, and diagnostics for animals. The growing demand for animal proteins and dairy products has driven research into genetically enhancing traits such as growth rate, disease resistance, and milk production in livestock. Key products in this market include vaccines, transgenics, animal testing and research models, reproduction, and genomic tests.

The Global Animal Biotechnology Market is estimated to be valued at US$ 45.70 Bn in 2024 and is expected to exhibit a CAGR of 8.9% over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the global animal biotechnology market are Heska Corporation, Indian Immunologicals Ltd., HESTER BIOSCIENCES LIMITED, Zoetis Inc. , Boehringer Ingelheim International GmbH, Biogénesis Bagó, Merck & Co., Inc., Virbac, Elanco, Cadila Pharma, Thermo Fisher Scientific Inc. , Idexx Laboratories, Randox Laboratories Ltd. , Gold Standard Diagnostics. , Bionote USA Inc., Meiji Holdings Co., Ltd., Kemin Industries, Inc., and Pfizer Inc. The growing demand for animal protein and dairy products is driving research and development in animal biotechnology. Several companies are focusing on introducing new vaccines, genetically modified crops, and genomic tests to enhance production outputs.

The global demand for meat, eggs, and dairy is projected to increase significantly over the forecast period. Developing nations in Asia Pacific and Latin America are expected to account for a major share of this rising demand. Several national governments and animal biotechnology companies are increasingly focusing on global expansion plans in high growth regions to tap into new revenue opportunities.

Market Drivers
The primary growth driver for the Global Animal Biotechnology Market Growth is the rising global consumption of animal protein. With increasing incomes, urbanization, and population growth, the demand for meat, eggs, and dairy is surging worldwide. Animal biotechnology products help increase the efficiency of livestock production and enhance output quantities to meet this rising global demand for animal-based food products. This is expected to drive ongoing research and development into new vaccines, genetically engineered crops, and precision livestock farming tools over the forecast period.

How current geopolitical situation is impacting on the growth of Global Animal Biotechnology Market:
The current geopolitical landscape is characterized by a rising number of conflicts, security challenges and economic uncertainties around the world. This is negatively impacting the growth of the global animal biotechnology market in the following ways:

- Trade restrictions and barriers: Escalating trade tensions between major economies like US-China are resulting in the imposition of higher tariffs and non-tariff barriers on import and export of goods. This includes agricultural/animal products and related technologies. Increased trade restrictions make it difficult for animal biotech companies to access new markets globally and hinders the free flow of products, technologies and investments across borders.

- Volatility in commodity prices: Geopolitical conflicts and economic instability tend to cause volatility in commodity prices like grains which are key inputs in animal feed. Sudden spike in feed costs put pressure on margins and profitability of livestock farmers and producers. This acts as a deterrent for adoption of new animal biotech solutions.

- Supply chain disruptions: Security issues and conflicts near major agricultural/livestock production centers can disrupt local/regional supply chains. This leads to uncertainties and higher operation costs for animal biotech firms. Instabilities also challenge large-scale commercialization of new technologies and products.

- Lower business confidence: Prevailing geopolitical risks and economic uncertainties make companies wary about undertaking big capital investments, expanding operations or entering new international markets. This affects medium to long term growth plans of animal biotech players.

Future strategies of animal biotech companies must consider ways to minimize dependence on volatile global trade and supply chains. Building resilience through diversification, localized/regionalized production and partnerships will be crucial to navigate ongoing geopolitical challenges.

Geographical regions where market in terms of value is concentrated:
The global animal biotechnology market is currently dominated by North America and Western Europe regions in terms of value. In 2024, North America accounted for over 30% market share and continues to be the highest revenue generator. Significant growth has been witnessed across developed countries like the US, Canada, Germany, UK, France etc. due to rising adoption of advanced animal biotech solutions in livestock farming here. Growing focus on animal welfare, food safety along with robust healthcare infra makes the demand for new animal biotherapeutic products and genetic engineering technologies stronger in these regions.

The fastest growing region for Global Animal Biotechnology Market:
However, going forward the Asia Pacific region is expected to rise as the fastest growing regional market during the forecast period of 2024-2031. This can be attributed to rising meat consumption, growing organized farming sector and increasing government investments in animalhusbandry/dairy development projects across emerging economies like India and China. Population growth, rising incomes and expansion of veterinary services are also propelling the uptake of livestock biotechnologies in other developing Asian markets like Indonesia and Vietnam. Overall, the APAC region provides huge untapped opportunities for animal biotech companies and its growth rates are projected to surpass mature North American and European markets during the forecast timeframe.

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