China's veterinary drug industry embarks on a new journey of transformation and upgrading

In recent years, the international veterinary drug market has entered a period of monopolistic development, with multinational companies successively merging and reorganizing. Data shows that the market share of the world's top five animal health product companies rose from 34% in 1998 to 65% in 2009; over 11 years, concentration increased by 31%.

In recent years, China's veterinary drug enterprises have grown rapidly, with their number increasing sharply. Although the number of enterprises has partially decreased over the past two years, the overall scale remains huge.

According to statistics from the China Veterinary Drug Association, as of the end of 2011, China had a total of 1,713 veterinary drug manufacturers, including 84 biological product enterprises. Compared with 2007, this represents an increase of 367 and 30 respectively. As of the end of 2012, there were 1,791 veterinary drug manufacturers nationwide, including 68 biological product enterprises. The latest data shows that by the end of 2013, there were 1,661 veterinary drug enterprises, including 72 biological product enterprises and 1,589 chemical drug enterprises.

The data clearly shows that China has numerous veterinary chemical drug enterprises, with small and medium-sized enterprises and small enterprises accounting for about 90% of the total. From 2008 to 2010, the CR10 sales concentration indicators for chemical drug enterprises were 15.13%, 16% and 18.75% respectively. Although there has been some increase, the absolute concentration remains very low.