The pet industry in South-East Asia: A growing market with promising prospects

The market for pet products in South-East Asia is growing: According to Euromonitor calculations, the market volume of USD 2.8 billion in 2023 will increase to USD 5 billion by 2028. According to the forecast, individual markets such as Thailand and Indonesia will even see double-digit annual growth rates. The main reason for the increase in the region, which also includes Malaysia, the Philippines, Vietnam and Singapore, is the growing pet food segment with a current market share of 90 per cent. Within the pet food segment, the growth is due to a projected increase in the segment of medium to high-priced dog and cat food.

Important factors influencing this development are a growing pet population and an increased professionalisation of pet nutrition combined with better access to high-quality, processed products. Specific trends such as the focus on premium food and wellness and care products for pets (e.g. grooming) can be observed in the Thai market in particular.

Focus on health and wellness

The pet as a genuine family member that is cared for, spoiled and safeguarded - this development, which also plays a significant role in other pet markets, is reflected in tangible data: According to Euromonitor, the market share of pet food with designated health-promoting ingredients has risen steadily from 2019 to 2023, with high protein content, vitamins, immune health and probiotics in particular being in high and growing demand from consumers. Manufacturers are responding to this with an expanding product range focussed on digestive, weight, immunity and joint support. Premium products with a different product focus are also very popular among a group of buyers that is willing to spend more money in the pet food segment. In comparison, however, lower-priced products are losing relevance, unlike in the European pet food market.

The South-East Asian pet market offers opportunities for growth and innovation, focussing on pet care, healthcare and accessories. However, companies need to navigate different cultural, economic and regulatory environments. In terms of trade regulations and consumer behaviour, the South-East Asian economic region is a rather heterogeneous compound of neighbouring nations with different local requirements and preferences.

A great opportunity to explore the pet industry in the Southeast Asia markets and connect with key industry players is the Pet Fair South-East Asia, which takes place from 30 October to 1 November in Bangkok, Thailand. For more information, visit www.petfair-sea.com. The third edition of the fair will provide a platform for 400 exhibitors from 45 countries and an expected 15,000 trade visitors from 75 countries.