Animal Genetics Market

The transition from natural breeding to assisted reproductive techniques for genetic improvements in animals to drive market growth

Animal genetics studies how animals develop through genetic modification to create superior breeds or animals with desirable characteristics. In addition to natural breeding, animal genetics uses various breeding techniques, including embryo transfer, artificial insemination, and cryopreservation. Various types of testing, such as genetic traits, DNA, and genetic disease testing, are also conducted on animals using animal genetics. The advancement of techniques such as cryopreservation, artificial insemination, and embryo transfer in animals has resulted in a shift from natural breeding to assisted reproduction technology.

As per the National Institute of Food & Agriculture (NIFA), more than 60% of dairy cows in the United States are bred artificially, while beef producers account for less than 5% of artificial inseminations. Moreover, the advancement of the CRISPR/Cas9-based genome editing method has revolutionized the industry and enabled the modification of livestock genomes. These developments in animal genetics are also responsible for other recent scientific breakthroughs. The various advantages of these gene-editing tools have prompted market participants to develop and market gene-edited beef.

For example, in March 2022, the United States Food and Drug Administration approved gene-edited beef for sale in the United States. The agency stated that there are no health and safety issues with Acceligen's two gene-edited beef cattle.

Moreover, various companies focusing on launching many new, more safe, well-calibrated, and efficient genetic testing have revolutionized the portfolio of genetic testing, another critical factor contributing to the Animal Genetics Market revenue growth. For example, InfiniSEEK, a reasonably priced option for genome sequencing and focused Single Nucleotide Polymorphism (SNP) analysis, was introduced in May 2022 by Neogen Corporation and Gencove. The InfiniSEEK can manage more than 400 genetic conditions and traits specific to cattle.

Increased government animal genetics initiatives and innovative product launches are expected to meet the unmet demand for animal-derived proteins, driving the market CAGR of animal genetics through the forecast period. 

The market expansion is mostly attributed to the escalating population of livestock animals. Furthermore, the market is seeing expansion due to many factors, including the escalating prevalence of genetic illnesses necessitating genetic testing and the growing need for animal-derived protein. Moreover, the animal genetics market is projected to see expansion in the forecast period due to the introduction of innovative genetic technologies by industry participants, which have the capability to address existing obstacles.

The increasing global demand for animal-derived proteins, as well as the need for genetic testing and genetic material, has prompted several governments to initiate government projects aimed at enhancing the genetic quality of bovine and other animal populations. It is anticipated that the rise in governmental efforts will contribute to the expansion of the industry within the projected timeframe. The utilization of various procedures, including artificial insemination, cryopreservation, and embryo transfer, has demonstrated superior outcomes compared to conventional natural breeding practices in animals.

As a result, there has been a transition from natural breeding to the adoption of assisted reproduction technologies. Moreover, the progress in animal genetics, exemplified by the emergence of the CRISPR/Cas9-based genome editing technology, has brought about a paradigm shift in the discipline, enabling the manipulation of cattle genomes.

May 2023 saw the announcement of the successful implementation of Orbem's Genus Focus system at the Hendrix Genetics laying hen hatchery in Mûr-de-Bretagne, France. Orbem is a premier deep-tech image and AI technology business. The Genus Focus is a high-throughput, non-invasive method for determining the gender of chicken, duck, or turkey eggs in the incubator. Reliable and non-invasive real-time sex determination of chicken embryos on day 12 of incubation is made possible by the modular solution, which combines imaging and classification technology developed by Orbem with automation equipment developed by the Vencomatic Group (VMG).

The Global Animal Genetics Market Industry is experiencing a surge in demand for animal protein, driven by increasing global populations and changing dietary preferences. As consumers shift towards protein-rich diets, the need for genetically improved livestock becomes paramount. This trend is particularly evident in developing regions where meat consumption is on the rise. The market is projected to reach 4 USD Billion in 2024, reflecting the growing emphasis on sustainable and efficient animal production systems. Genetic advancements enable farmers to enhance productivity, improve feed efficiency, and reduce environmental impacts, thereby aligning with consumer expectations for quality and sustainability.

Emerging markets are becoming increasingly influential in the Global Animal Genetics Market Industry. Countries in Asia, Africa, and Latin America are witnessing rapid economic growth, leading to rising disposable incomes and changing consumption patterns. This trend is driving demand for high-quality animal products, necessitating the adoption of advanced genetic technologies. Globalization further facilitates the exchange of genetic materials and knowledge, enabling farmers to access superior breeding stock. As these markets expand, they present significant opportunities for growth, with the potential for the market to reach 8.35 USD Billion by 2035, reflecting the interconnectedness of global agricultural systems.

Government initiatives and support play a crucial role in the Global Animal Genetics Market Industry. Many countries are implementing policies that promote research and development in animal genetics, recognizing its significance for food security and agricultural sustainability. Funding for genetic research, subsidies for farmers adopting advanced breeding technologies, and educational programs are examples of government efforts to enhance the sector. These initiatives not only stimulate innovation but also encourage collaboration between public and private sectors. As a result, the market is likely to benefit from increased investment and a more robust infrastructure, facilitating growth and development in the coming years.

The Global Animal Genetics Market Industry is increasingly influenced by a heightened focus on animal welfare. Consumers are becoming more aware of the ethical implications of animal husbandry, prompting producers to adopt practices that ensure humane treatment. Genetic selection for traits that enhance animal well-being, such as stress resilience and improved health, is gaining traction. This shift not only meets consumer demands but also aligns with regulatory frameworks aimed at promoting ethical farming practices. As a result, the market is expected to expand, with projections indicating a potential growth to 8.35 USD Billion by 2035, reflecting the importance of welfare in breeding programs.

The Global Animal Genetics Market Industry is characterized by dynamic trends and growth projections. The market is expected to reach 4 USD Billion in 2024, with a robust CAGR of 6.92% anticipated from 2025 to 2035. Key trends include the adoption of precision breeding techniques, increased investment in genetic research, and a growing emphasis on sustainability. These factors collectively contribute to the market's expansion, as stakeholders recognize the importance of genetic advancements in addressing global food security challenges. The interplay of these trends is likely to shape the future landscape of the animal genetics sector, fostering innovation and collaboration.

Technological innovations in genetic engineering are reshaping the Global Animal Genetics Market Industry. Techniques such as CRISPR and genomic selection are enabling more precise breeding methods, leading to healthier and more productive animals. These advancements not only enhance disease resistance but also improve growth rates and reproductive performance. As a result, the market is poised for significant growth, with a projected CAGR of 6.92% from 2025 to 2035. The integration of these technologies is likely to attract investments and foster collaborations among stakeholders, further driving the evolution of animal genetics and ensuring food security.

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American Animal Genetics market accounted for USD 1.6 billion in 2022 and is likely to exhibit a significant CAGR growth over the study period.The region is expected to be dominant during the forecast timeframe due to the large number of animals in the United States suffering from genetic diseases and the existence of prominent players in the region.

Factors such as the R&D of better breeding practices that results in strong, healthy animals that use nutrients for adequate reproduction and expansion are further expected to drive regional animal genetics market growth.

Further, the major countries studied in the global market report are the U.S., Germany, Canada, France, the UK, Spain, Italy, Japan, India, Australia, China, South Korea, and Brazil.

Source: Primary Research, Secondary Research, Market Research Future Database, and Analyst Review

The European animal genetics market has the second-largest market share, owing to increased animal welfare awareness and veterinary service expenditure. In the region, over 79 million households have pets, according to a 2019 publication from the European Pet Food Industry Federation. This is due to increased disease resistance in animals, especially poultry and pigs, which will likely boost demand for high-quality breeds by necessitating sophisticated biotechnology methods. Additionally, improved animal welfare awareness and the progression of cutting-edge technology solutions in animal genetics testing propel market growth in this region.

Further, the German market of animal genetics held the largest market share, and the UK market of animal genetics was the fastest-growing market in the European region.

The Asia-Pacific Animal Genetics Market is projected to expand at the fastest CAGR from 2022 to 2030, owing to rising public awareness about animal health. Besides, the region's large animal population base and increasing animal healthcare spending are expected to favor market growth. The increased availability of animal care services at veterinary hospitals and community-based facilities is expected to drive market growth. In this region, there is an increasing need for accurate tests and other genetic services for analyzing animal disorders, which is anticipated to support the adoption of animal genetics in the upcoming years.

Moreover, China’s market of animal genetics held the largest market share, and the Indian market of animal genetics was the fastest-growing market in the Asia-Pacific region.

Major market players are inclined towards animal genetics to breed high-quality livestock and guarantee large-scale production to satisfy the increasing demand for animal products globally. One of the key trends in the animal genetics industry is the rise in R&D projects being carried out by competitors to develop healthier milk and food products from livestock animals through genetic modifications. Leading companies engage in mergers and acquisitions, vital R&D initiatives, partnerships, regional expansion, and the market developments of new live animals to increase their revenue share.

The animal genetics market’s major players, such as Neogen Corporation, URUS, Hendrix Genetics B.V., CRV Holding B.V., and others, are working to increase market demand by investing in R&D. Competitors in the global animal genetics industry must provide products at reasonable prices to grow and survive in a global market that is becoming more and more dynamic.

Neogen Corporation (Neogen) creates, produces, and sells various animal and food safety products. The company's principal offerings include diagnostic test kits for the detection of foodborne pathogens, spoilage organisms, animal safety, natural toxins, food allergens, genetic modifications, meat speciation, pesticide residues, drug residues, ruminant by-products, sanitation concerns, and related products, as well as pharmaceuticals, veterinary products, topicals, rodenticides, vaccines, disinfectants, cleaners, and insecticides. In addition, the company provides genetic testing for animal safety. Sales representatives, domestic and foreign distributors, and large farm retail chains are all ways that Neogen markets its products.

Genetic Veterinary Sciences Inc, a provider of animal genetic testing, was purchased by Neogen Corporation in December 2021.

Zoetis is a leading animal health company that discovers, develops, manufactures, and sells animal health vaccines, medicines, and diagnostic products for livestock and companion animals. Biodevices, genetic tests, and precision livestock farming complement its animal genetics products. The business sells parasiticides, antibiotic feed additives, and anti-infective products. Additionally, it offers contract manufacturing services to outside parties via its client supply services (CSS) organization. The new genomic test INHERIT Select, which provides genomic expected progeny differences (GEPDs), was introduced by Zoetis in May 2020. 

December 2022: To better understand the risks of canine diseases, Urban Animal has released DNA testing kits for over 130 different disorders. In order to process and analyze the DNA of the dogs through these tests, Urban Animal employs Next Generation Sequencing (NGS) technology. The business's long-term goals include expanding into new markets and developing cat genetic testing in addition to pet breed purity analysis.

August 2023: Igenity® Enhanced Dairy, a cutting-edge genetic data management system, was released by Neogen Corporation in August 2023. Better selection and mating decisions may now be made by dairy farmers with the help of a brand-new digital solution called Igenity Enhanced Dairy. The platform provides a genomic assessment of dairy cattle through the combination of in-herd phenotypic data, pedigree information, and current anticipated transmitting abilities (PTAs) from the Council on Dairy Cattle Breeding (CDCB).

Producers may use the information offered by Igenity Enhanced Dairy to evaluate the genetic potential of their herd by comparing the performance records of individual animals with the findings from an Igenity Select profile.