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Pet Food Ingredients: What is Healthy and What is Not?

14 June 2022 by Mordor Intelligence

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Pet Food Ingredients: What is Healthy and What is Not?

– The global pet food market is projected to register a CAGR of 4.6% during the forecast period 2022-2027.

– In 2021, North America held the largest share of the pet food market and accounted for around 41.7% of the overall market.

– Over the long term, premiumization and humanization trends are anticipated to remain the key drivers for market growth during the forecast period.

– The world’s largest pet food markets are the US, the UK, France, Brazil, Russia, Germany, and Japan.

Vital Insights in the Universal Pet Food Market Arena

– As stated by the Pet Food Manufacturers’ Association, in the United Kingdom, 51% of dogs, 44% of cats, and 29% of small mammals in the country are obese. As a result, pet food manufacturers are focusing on producing low-calorie, grain-free and low-fat pet food to reduce the risk.

– The shift among pet owners to take extra care in choosing pet products has positively affected the store-based pet food retailers in Japan. The most common distribution channel for pet foods in Japan is through importers and wholesalers to specialized pet food stores, and, in some cases, secondary wholesalers to retailers.

– The dry pet food segment of the Brazilian pet food market is projected to register a CAGR of 7.8% during the forecast period. An ounce of dry dog food contains nearly four times as many calories as an ounce of wet food — around 97 calories and 25 calories, respectively, though the water content in dry food is 10-12%.

Read more on: Japanese Pet Food Market

Impact of Premiumization & Humanization Trends

American Countries

– The US pet food market is projected to register a CAGR of 4.0% during the forecast period (2022-2027). A study conducted by the American Pet Products Association (APPA), under the National Pet Owners Survey (2021-22), revealed that pet ownership has increased from an estimated 67% of the United States households that own a pet to an estimated 70%.

– Canada has more than 2000 pet stores, with a major number in Ontario. The factors driving the Canadian pet food market are pet refinement/humanization, influencing the purchase decisions, increasing adoption of pets by elderly people, and increasing trend of the nuclear family.

– The South American pet food market is projected to witness a CAGR of 5.3% during the forecast period (2022-2027). Brazil dominates the market. According to Instituto Pet Brasil, the share of pet food in the Brazilian pet care market comprises 50%, making the pet food market.

– There has been a shift toward pet parenting from ownership, which has influenced the purchasing decisions of pet products for Brazilians. In Brazil, many consumers are turning to dogs and cats for companionship. The changes in the profile of Brazilian families have a significant impact on the relationship between humans and pets.

European Countries

– The rapid pace of economic and societal changes is driving pet ownership and pet food market trends in the United Kingdom. As per the Pet Food Manufacturer’s Association (PFMA), in 2021, 3.2 million households in the United Kingdom have acquired a pet since the start of the pandemic. Largely driven by Gen Z and Millennials, two-thirds (59%) of new owners are aged 16-34, and 56% of new pet owners have children at home. Most of the UK homes have a pandemic pet, with 38% admitting that it is just like having a new baby, suggesting the extent to which pet humanization has been adopted in the country.

– French consumers are increasingly careful about the health of their pets, and the pet food market has followed this trend of pet humanization. Most French hotels and restaurants allow dogs, and many also provide pets with food and water. There are even exclusive dog restaurants. Dog-sitters are charging USD 10 per hour, twice as much as babysitting infants, and clinics with scanners charging USD 133 to USD 266 each session are among the latest symptoms of what experts call an animal frenzy.

– According to the Industrial Association of Pet Care Producers, Germany is a leading market for pet food products, with 83.0 million of the world’s wealthiest consumers and 39.4 million pets. A major trend in the pet food market in Germany is the ‘humanization’ or anthropomorphism of pets. They are often considered beloved companions that enhance their owners’ well-being and quality of living.

– The trend of pet humanization continues to grow deeply in the Russian pet food industry. According to European Pet Food Federation, in Russia, 28% of households own either a cat or a dog. This suggests that the evolution of the category is becoming more premium, as consumers are prepared to spend more on pet food products that are healthy, nutritious, and improve living conditions.

Asian Countries

– The Chinese pet food market is projected to grow at a CAGR of 4.0% during the forecast period (2022-2027). Dogs are the most popular pets grown in China, with 9% of the country’s urban population owning a dog as their pet, followed by cats and fish. Dog food is the largest segment, occupying a share of 53.3% of the market in 2021 on account of the increased population of dogs among pet owners.

– Japanese customers do spend a huge amount on buying premium dry cat food. Cats are gaining popularity, particularly due to the increasing urbanization and apartment living trend. Gourmet products for cats are vital in driving growth as cat owners are also increasingly feeding their cats premium food treats and mixers, coupled with manufacturers entering the lucrative cat food market in Japan.

Latest Advancements in the Space of Petfood Market

– In January 2022, ROYAL CANIN®, a brand of Mars, launched a new product for specific sensitivities of cats and dogs. Among the innovations, the brand brings new foods with proven results to control the insatiable appetite of cats and help dogs feel more relaxed in times of stress.

– In December 2021, Mars Inc., along with SABIC and Huhtamaki, launched recycled polypropylene plastic into the primary pet food packaging brands.

– In August 2021, Mars Petcare launched its first 100% insect-based cat food formula exclusively in the United Kingdom.

– In July 2021, Nestlé Purina PetCare Co. invested USD 182 million to expand its pet care products’ manufacturing facility in King William County, Virginia, US.

 

This insight was contributed by knowledge partner: