Veterinary Pharmaceutical Manufacturing in Australia Industry Market Research Report Now Available from IBISWorld

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The Veterinary Pharmaceutical Manufacturing industry has been somewhat buoyed lately by the break of the drought conditions that have plagued Australia's agricultural sector since the previous century. This break in 2010 led to increased attempts by farmers to replenish their livestock numbers and has resulted in greater investment in animal health products by the sector. Furthermore, increasing levels of expenditure on pets by pet owners, as animals are increasingly perceived as a part of the family, is also assisting the industry to replenish revenue levels. For these reasons, industry research firm IBISWorld has added a report on the Veterinary Pharmaceutical Manufacturing industry in Australia to its growing industry report collection.

IBISWorld Market Research

IBISWorld Market Research

Farmers are currently replenishing their livestock numbers, which has resulted in greater investment in animal health products

The Veterinary Pharmaceutical Manufacturing industry experienced a tumultuous past five years, although the industry grew at an annualised 1.2% over the five years to 2012-13. According to IBISWorld industry analyst Craig Shulman, “industry revenue is expected to continue its growth in 2012-13 increasing by 2.4% to reach $543.1 million”.

Industry market share concentration is high. The industry’s major players are Virbac (Australia) Pty Limited, Pfizer Australia Holdings Pty Limited, Intervet Schering-Plough Animal Health Pty Ltd and Jurox Pty Ltd. Shulman adds, “the past five years was marred by industry consolidation”. Pfizer acquired Wyeth and its Fort Dodge animal business, drastically shifting the industry's landscape. Major players have increased their share of the industry, which suggests that many smaller players either shifted their operations to supply or completely exited the industry. However, improving weather conditions over the five-year period, with the drought breaking over 2010, supported industry growth. Increased rainfall levels led to a shift in farming activity, whereby farmers decreased their turn-off rates, instead focusing on rebuilding low herd numbers. As a result, demand for the industry's products increased.

Although the Veterinary Pharmaceutical Manufacturing industry experienced a return to favourable weather conditions over the past five years, these conditions are expected to change over the next five-year period. The performance of the Veterinary Pharmaceutical Manufacturing industry is partially linked to Australia's climate as periods of little rainfall reduce demand for the industry's products, as evidenced over the five-year period to 2012-13. Moreover, the industry is expected to experience a shift in consumer spending behaviour as more emphasis is being placed on natural alternative treatments, even for animals. For instance, Blackmore's 2010 acquisition of Pure Animal Wellbeing has increased the awareness of non-pharmaceutical products for pets. IBISWorld expects industry revenue to contract over the next five years to 2017-18.

For more information, visit IBISWorld’s Veterinary Pharmaceutical Manufacturing report in Australia industry page.

Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau

IBISWorld industry Report Key Topics

This industry is mainly engaged in manufacturing drugs, medicines, medicinal chemicals, vaccines, serums and other pharmaceutical products for veterinary use. Primary activities include veterinary drug manufacturing and veterinary medicinal preparation manufacturing.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
International Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Industry Globalisation
Major Companies
Operating Conditions
Capital Intensity
Technology & Systems
Revenue Volatility
Regulation & Policy
Industry Assistance
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.

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Gavin Smith
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