"Designing Growth Strategies is in our DNA"
The global animal genetics market size was valued at USD 6.80 billion in 2021 and is projected to grow from USD 7.27 billion in 2022 to USD 11.82 billion by 2029, at a CAGR of 7.2% during the forecast period. Based on our analysis, the global market exhibited a decline of 7.5% in 2020 as compared to 2019. The global COVID-19 pandemic has been unprecedented and staggering, with animal genetics experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels.
Animal genetics deals with the development of animals by genetic modification in animals to produce superior breeds, which means producing animals with desirable traits. Animal genetics uses various methods for breeding, such as natural breeding, artificial insemination and cryopreservation, and embryo transfer. Animal genetics is also used for various types of testing, including genetic trait testing, DNA typing, and genetic disease testing.
The increasing population of livestock animals is one of the major factors responsible for market growth. Moreover, factors such as the rising burden of genetic disorders requiring genetic testing and the increasing demand for animal derived protein are driving the growth of the market. Furthermore, the emergence of new advanced genetic technologies by the market players with the potential to eliminate current challenges is expected to fuel the animal genetics market growth during the forecast timeframe.
Increased Demand for Genetic Diagnosis amid Pandemic to Positively Impact Market Growth
The COVID-19 pandemic has significantly changed the landscape of animal healthcare practices across the world. During the pandemic, the animals were also at a high risk of transmission of COVID-19, which increased the demand for genetic testing to understand the impact of coronavirus transmission.
Key players operating in the market experienced a significant increase in their revenues in the year 2020 due to increased pet adoption and higher consumer spending on pets during the COVID-19 pandemic. For instance, Neogen Corporation registered a growth of 13.6% in 2020 from 2019 due to increased demand for animal genetic tests for companion animals.
Request a Free sample to learn more about this report.
Shift from Natural Breeding to Assisted Reproduction Technology for Genetic Upgrades in Animals
The development of techniques, such as artificial insemination, cryopreservation, and embryo transfer, has shown better outcomes than traditional natural breeding among animals, resulting in the shift from natural breeding to assisted reproduction technology.
Furthermore, the advancement in animal genetics, including the development of the CRISPR/Cas9-based genome editing tool has revolutionized the field and led to the modification of livestock genomes.
Various benefits of these gene-editing tools have encouraged market players to develop and introduce gene-edited beef. For instance, in March 2022, the U.S. Food and Drug Administration paved the way for gene-edited beef to hit the U.S. market. The agency declared that there are no safety concerns about two gene-edited beef cattle produced by Acceligen.
Increasing Introduction of Products and Government Initiatives to Drive Market Growth
The growing demand for animal-derived proteins, genetic testing, and genetic material has stimulated many countries to launch government programs for the genetic improvement of bovine and other animals. The increase in government initiatives is expected to boost market growth during the forecast period.
Additionally, the government also provided several new technologies to the farmers under this Mission, including sex-sorted semen, IVF technology, and genomic selection.
Furthermore, various companies focusing on launching many new genetic tests with more well-calibrated, safe, and efficiency have revolutionized the portfolio of genetic testing, another critical factor attributable to the global market growth.
In May 2022, Neogen Corporation and Gencove launched InfiniSEEK, a cost-effective solution for genome sequencing and targeted Single Nucleotide Polymorphism (SNP) analysis. The InfiniSEEK can manage more than 400 bovine genetic traits and conditions.
Such an increase in government initiatives in animal genetics and growing innovative product launches are expected to meet the unmet demands for animal derived proteins during the forecast period.
Growing Adoption of Animal-derived Protein to Boost the Market Growth
The increasing human population and rapid global urbanization increase the adoption of animal-derived protein. Livestock is one of the major sources of protein and calcium for humans. This rising demand for animal-derived food products is expected to increase poultry and dairy production, thereby driving the market.
The increasing demand for animal-derived protein has led to an increase in awareness regarding animal welfare. This results in the greater adoption of animal health insurance, which has ultimately increased the demand for genetic testing by pet owners and breeders to produce modified animals to deliver animal-derived protein.
Such increasing demand for animal derived protein is expected to boost the demand for animal genetic upgrades, thereby propelling the growth of the market.
Shortage of Skilled Professionals in Veterinary Research and Limited Veterinary Infrastructure to Restrict Market Growth
Certain clinical drawbacks, including inadequately skilled professionals and lack of veterinary infrastructure are limiting the adoption of advanced animal genetics despite the increasing number of research and development studies in the veterinary healthcare industry, specifically for animal gene upgrades and evaluation.
Furthermore, emerging regions' lack of veterinary infrastructure is expected to hinder market growth. This is leading to minimum awareness about the genetic upgrades of animals, such as cattle, for maximizing milk production.
Thus, certain clinical limitations and shortage of veterinary professionals hinder the market growth.
To know how our report can help streamline your business, Speak to Analyst
Animal Type Segment to Dominate market owing to Increasing Population of Livestock Animals
Based on product & service, the market includes animal type, genetic material, and service type.
The animal type segment accounted for the largest share of the market in 2021. The increasing shift toward animal-protein consumption, government efforts to reduce environmental effects, and awareness across the world are expected to boost segmental growth during the forecast period.
The genetic material segment is anticipated to register the highest growth rate due to growing research studies for developing genetic material to enhance animal products and productivity.
The service type segment is expected to grow at a substantial CAGR during the forecast period due to the growing prevalence of several genetic disorders in livestock and companion animals, rising awareness of genetic disorder testing, and increasing introduction of advanced tests for companion animals in the market. For instance,
Research Centers & Institutes Segment Expected to Dominate the Market due to Growing Research on Advancement of Animal Breeding
Based on end-user, the market is segmented into veterinary hospitals & clinics, research centers & institutes, and others.
The research centers & institutes segment is anticipated to account for a higher share of the global market due to the growing research on advancement of genetic material coupled with the growing adoption of animal breeding practices for the production of modified breeds. Furthermore, the increasing focus of market players to establish new research centers for R&D of new products, which helped them to introduce new technology in animal genetics, is expected to propel the growth of the segment. For instance,
The veterinary hospitals & clinics segment is estimated to grow at a moderate CAGR during the forthcoming years due to increase in the number of livestock and companion animals and increased investment by governments and other organizations to improve veterinary hospitals & clinics.
North America Animal Genetics Market Size, 2021 (USD Billion)
To get more information on the regional analysis of this market, Request a Free sample
The North America market stood at USD 3.58 billion in 2021. The region is anticipated to be dominant during the forecast period due to the substantial number of animals in the U.S. suffering from genetic disorders and the presence of prominent players in the region. Factors such as research & development of better breeding practices that result in strong, healthy animals utilizing nutrients for adequate growth and reproduction are expected to drive the market growth in this region.
Europe is projected to hold the second position in the market. This is attributable to the increasing prevalence of disease resistance among animals, particularly poultry and pigs, which is expected to increase the demand for high-quality breeds by requiring sophisticated biotechnology methods.
The Asia Pacific market is projected to register the strongest CAGR during the forecast period due to increasing awareness amongst the general population regarding animal health. Additionally, the substantial animal population base and the increasing animal healthcare spending in the region are expected to favor the growth of the market in the region.
The rest of the world consists of regions such as Latin America and the Middle East & Africa, which accounted for a lower market share in the past. However, the animal healthcare ecosystem has been steadily improving in this region, creating chances for market participants to develop efficient animal testing protocols.
Presence of Genetic Material in Product Portfolios of Genus, Hendrix Genetics BV, and Urus Group LP Push Product Demand
In terms of the competition scenario, the market is highly fragmented. The key players in the global market include Genus, Hendrix Genetics BV, and Urus Group LP.
These companies have a moderate animal genetics market share which is attributed to diverse product & service portfolios, strong R&D initiatives, and robust geographical reach. Furthermore, these companies emphasize business expansion through strategic acquisition and collaborations of market players to upscale their R&D activities.
For instance, in August 2022, URUS Group LP acquired Trans Ova Genetics, a leading provider of bovine reproductive technologies, to create sustainable, productive, and profitable cow herds.
Other companies with new products and service launches include Mars, Incorporated, Genomia s.r.o., and TOPIGS NORSVIN. These companies adopting various strategies, such as geographical expansions and the development of genetic test kits and advanced genetic material, are expected to contribute to their efforts to expand their market share during the forecast period.
An Infographic Representation of Animal Genetics Market
To get information on various segments, share your queries with us
The global animal genetics market research report provides a detailed analysis of the market. It focuses on key industry developments such as mergers, acquisitions, partnerships, and new product launches. Besides this, the report offers insights into the overview of the animal population by key countries and advancements in R&D for animal genetics. In addition, it also encompasses the impact of COVID-19 on the market.
Value (USD billion)
By Product & Service, End-user, and Region
By Product & Service
Fortune Business Insights says that the global market size was USD 6.80 billion in 2021 and is projected to reach USD 11.82 billion by 2029.
In 2021, the North America market stood at USD 3.58 billion.
Registering a CAGR of 7.2%, the market will exhibit steady growth during the forecast period (2022-2029).
The animal type segment is expected to lead this market during the forecast period.
Growing consumption of animal-derived protein, growing population and rapid urbanization, and increasing focus of researchers to identify the superior breed are significant factors driving the growth of the market.
North America dominated the market in terms of share in 2021.
Genus plc, Hendrix Genetics BV, and Urus Group LP are some of the major players in the global market.
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry