Pet Food Manufacturing
Description
Companies in this industry manufacture food for dogs and cats, using grains, oilseed products, and meat products. Major companies include divisions of Colgate-Palmolive (Hill's Pet Nutrition); General Mills (Blue Buffalo Pet Products); JM Smucker (Big Heart Pet Brands); Mars (Iams, Pedigree, and Royal Canin), and Nestlé Purina PetCare (all based in the US); along with Affinity Petcare (Spain), Heristo (Germany), and Unicharm (Japan).
Global pet food industry revenue, which is at nearly $160 billion in 2025, is expected to grow with a compound annual growth rate (CAGR) of about 5% by 2029, according to Statista. The US are among the top countries that dominate the pet food market in terms of revenue.
The US pet food manufacturing industry includes about 400 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $23 billion.
COMPETITIVE LANDSCAPE
Pet ownership drives demand. The profitability of individual companies depends heavily on effective marketing. Large companies have advantages of scale in manufacturing, marketing, and distribution. Small companies can compete effectively by offering specialized products or by serving a local market. The US pet food manufacturing industry is highly concentrated: the eight largest companies account for about 75% of sales.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major products include dry and semi moist cat food, which accounts for about 10% of industry revenue, followed by complete dairy cattle and swine feed supplements, concentrates, and premixes at nearly 10% of industry revenue. Other products include canned dog food, canned cat food, and specialty pet feed.
Pet food manufacturing is highly automated. Ingredients are mixed, cooked, and canned, or may be extruded under heat and pressure, shaped, dried, and packaged. Dies allow manufacturers to change the shape of products. Flavorings and additional nutrients for dried foods are often sprayed on after extrusion.
Major raw materials are grains (corn, wheat, soybeans); chicken meal; meat meal; fish meal; fats and oils; metal cans; and plastic or paper bags. Because many of the ingredients are waste products (like chicken feathers) from human food manufacturing operations, costs are low. Companies buy most ingredients from commodity companies, grain cooperatives, and processors of meat byproducts (rendering plants).
Packaging is a significant cost factor for companies. Technology in plastic material has allowed some companies to use pouches and plastic film, according to Food & Beverage Packaging. Plastic pouches are faster to sterilize and easier to open than cans. Plastic film bags can be resealed, and are more durable than paper bags. Although more expensive than paper, plastic packaging can be cut into different shapes and offers improved graphics.
Pet food companies invest significant amounts of capital in manufacturing equipment. Large plants that produce multiple product lines require skilled engineers and maintenance workers. Smaller companies that lack the financial resources to operate their own production facilities may use contract manufacturers. To minimize freight costs, companies often locate their plants near suppliers and distributors.
Finished products are usually shipped from warehouses to customer distribution centers, retail stores, or regional pet supply distributors. Small companies often ship via a common carrier like UPS. Distributor relationships are important for small companies that may lack the resources to service a large customer base. Protecting a company's position with a distributor can be a challenge, as the average pet supply distributor stocks thousands of products.
Global pet food industry revenue, which is at nearly $160 billion in 2025, is expected to grow with a compound annual growth rate (CAGR) of about 5% by 2029, according to Statista. The US are among the top countries that dominate the pet food market in terms of revenue.
The US pet food manufacturing industry includes about 400 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $23 billion.
COMPETITIVE LANDSCAPE
Pet ownership drives demand. The profitability of individual companies depends heavily on effective marketing. Large companies have advantages of scale in manufacturing, marketing, and distribution. Small companies can compete effectively by offering specialized products or by serving a local market. The US pet food manufacturing industry is highly concentrated: the eight largest companies account for about 75% of sales.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major products include dry and semi moist cat food, which accounts for about 10% of industry revenue, followed by complete dairy cattle and swine feed supplements, concentrates, and premixes at nearly 10% of industry revenue. Other products include canned dog food, canned cat food, and specialty pet feed.
Pet food manufacturing is highly automated. Ingredients are mixed, cooked, and canned, or may be extruded under heat and pressure, shaped, dried, and packaged. Dies allow manufacturers to change the shape of products. Flavorings and additional nutrients for dried foods are often sprayed on after extrusion.
Major raw materials are grains (corn, wheat, soybeans); chicken meal; meat meal; fish meal; fats and oils; metal cans; and plastic or paper bags. Because many of the ingredients are waste products (like chicken feathers) from human food manufacturing operations, costs are low. Companies buy most ingredients from commodity companies, grain cooperatives, and processors of meat byproducts (rendering plants).
Packaging is a significant cost factor for companies. Technology in plastic material has allowed some companies to use pouches and plastic film, according to Food & Beverage Packaging. Plastic pouches are faster to sterilize and easier to open than cans. Plastic film bags can be resealed, and are more durable than paper bags. Although more expensive than paper, plastic packaging can be cut into different shapes and offers improved graphics.
Pet food companies invest significant amounts of capital in manufacturing equipment. Large plants that produce multiple product lines require skilled engineers and maintenance workers. Smaller companies that lack the financial resources to operate their own production facilities may use contract manufacturers. To minimize freight costs, companies often locate their plants near suppliers and distributors.
Finished products are usually shipped from warehouses to customer distribution centers, retail stores, or regional pet supply distributors. Small companies often ship via a common carrier like UPS. Distributor relationships are important for small companies that may lack the resources to service a large customer base. Protecting a company's position with a distributor can be a challenge, as the average pet supply distributor stocks thousands of products.
Table of Contents
- Industry Overview
- Quarterly Industry Update
- Business Challenges
- Business Trends
- Industry Opportunities
- Call Preparation Questions
- Financial Information
- Industry Forecast
- Web Links and Acronyms
Pricing
Currency Rates
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