South Korean pharmaceutical companies are jumping into the animal medicine and diagnostics market to target the rapidly growing pet care market, which is estimated to grow to almost $5 billion over the next five years.
The animal drug products unveiled by domestic pharmaceutical companies last year vary from cognitive impairment treatment and nutritional supplements to diagnostic kits.
Now they are expanding into the market for complex diseases, including genetic diseases and healthcare through the life cycle of pets.
Daewoong Pharmaceutical Co. has signed a memorandum of understanding to develop veterinary medicine with Seoul National University (SNU), the country’s top academy, the company said on Thursday.
Both Daewoong and SNU plan to develop stem cell-based hereditary disease treatments for dogs and cats within the next three years, as well as eatable health functional food for pets.
Going forward, Daewoong targets pet healthcare services throughout their life cycle.
Back in 2016, Daewoong entered the veterinary medicine market with the launch of anthelmintic and a medication for improving their liver function. But it failed to build a presence in the animal medicine market controlled by veterinarians.
Korean pharmaceutical companies tended to promote their products mainly to pharmacists, who at the time were at odds with veterinarians to take control of the veterinary medicine market.
However, the rapid growth in the pet care market opened the door to the animal medicine market wider for pharmaceutical companies.
Ildong Pharmaceutical Co., Kwangdong Pharmaceutical Co and Chong Kun Dang Pharmaceutical Corp. are among domestic companies that sell probiotics for pets, or nutritional supplements.
Small-sized pharma companies have entered the growing market as well.
Daehan New Pharmaceutical Co. launched a brand for pet treatments prescribed by veterinaries, including lactic acid bacteria.
South Korea’s pet-related market is forecast to grow to 6 trillion won ($4.6 billion) by 2027 from the current 3.7 trillion won ($3 billion), according to the state-run Korea Rural Economic Institute.
Social-distancing trends during the pandemic era propelled the pet industry growth Yuhan Corp. introduced the country’s first cognitive impairment treatment last year, in addition to animal feed.
Dongkook Pharmaceutical Co. unveiled a dental disease treatment, while GC Cell Corp. runs a pet diagnostic service unit.
Animal drug development takes about half of the 10 years usually taken to develop human medicine. Some pharmaceutical companies have launched health functional food for pets under the same brand for humans'.
