Report Description

India Pet Food Market is anticipated to project robust growth in the forecast period on account of increasing pet population, government initiatives regarding the importance of pet nutrition, new product launches by pet food companies, etc.

Pet food is a type of specialized food, specifically made for domesticated animals and is created to meet their dietary requirements. Meat, meat byproducts, cereals, grains, vitamins, and minerals are typically found in pet food.

The market is growing due to various other reasons such as expanding distribution channel, improved marketing strategies, etc. Moreover, increasing product launches by market players are also contributing to the overall demand of this market. For instance, in 2022, IAMS, a Mars pet care brand, launched its dry cat-food products in India. The launch included IAMS' Proactive Health Cat Food line, which consists of three kinds and formulas to address particular health issues in kittens and adult cats. It also includes a special formula created for kittens and their mothers.

The rise in pet ownership, which increased following the COVID-19 induced national lockdown in 2020, also led to the rise in demand for pet food. Due to the lockdown, individuals were spending extra time with their dogs. They were adopting more pets, feeding stray dogs and cats, realizing they were hungry, or giving food to non-profit organizations. Also, several people used pet adoption to fill their emptiness during the lockdown. During the pandemic, this pattern also saw an increase in demand from tier II and III cities, in addition to metro areas.

Rising Pet Adoption Fueling the Market Growth

India has seen a substantial increase in pet ownership over the last few years. There are 32 million pets in India, as of 2022, and the country's population is expanding at a rate of more than 12% annually. It increased to thirty-two million during the pandemic, which is nearly a two-fold increase over the previous few years. The increase in pet adoption rate is further leading to increase in the growth of pet food market. Less than 1000 rupees a month is the minimum basic need to keep a pet in good health. Moreover, the millennials and Gen Z perceive pets in entirely different ways. When it comes to buying food, snacks, and toys for their pets, they are more prepared to splurge. Since they are active on various platforms, they are aware of the different products offered in the market. Hence, these factors are projected to further boost the market growth during the forecast period.

Increasing Number of Market Players Aiding the Market Growth

The pet food market in India has been observing an increase in the number of market players. For instance, in 2021, Cosmo Films, a leading solution provider in the packaging, lamination, and labeling, forayed into the pet care business with the brand Zigly. Zigly offers a wide range of pet care products, including food, snacks, grooming tools, medical items, and much more. Also, companies are opting strategies such as mergers and acquisitions to enter the pet food business. For instance, in 2022, Nestle India acquired Purina Petcare for around USD16.87 million. Moreover, existing players are focusing on expanding their presence in the market as well as cater to the demand of manufactured pet food products in the country. For instance, in 2021, Mars Petcare announced investment of USD68.02 million to expand its Hyderabad factory in Telangana. These factors are anticipated to further enhance the market growth of the Pet Food market in the forecast period.

Government Initiatives Boosting Market Growth

About 45–50% of the pet food used throughout the nation is manufactured domestically, with the majority coming from imports. As a result, the government is taking steps to alleviate the demand-supply imbalance and helping the private sector engage in the development of  animal feed mill through the USD2.04 billion, AHIDF (Animal Husbandry Infrastructure Development Fund) programme. Under the programme, individuals, MSME (Micro, Small and Medium Enterprises), FPOs (Farmer Producer Organizations), and Section 8 firms can receive up to 90% loan from scheduled banks at a cheaper rate, for the development of infrastructure. Such factors are anticipated to fuel the market growth of pet food during the forecast period in India.