Animal Drug Compounding Market Size, Share & Trends Analysis Report By Product (Anti-infective Agents, CNS Agents), By Animal Type (Companion Animal, Livestock Animals), By Route Of Administration, By Dosage Form, By Region,- Industry Analysis, Share, Growth, Regional Outlook and Forecasts, 2025-2034

Animal Drug Compounding Market Size and Growth

The animal drug compounding market size was exhibited at USD 1.65 billion in 2024 and is projected to hit around USD 3.66 billion by 2034, growing at a CAGR of 8.29% during the forecast period 2025 to 2034.

Animal Drug Compounding Market Key Takeaways:

• The CNS agents segments led the market with the largest revenue share of 33.38% in 2024.
• The hormones & substitutes segment is anticipated to grow at the fastest CAGR of 9.62% during the forecast period.
• Based on animal type, the companion animal segment led the market with the largest revenue share of 73.65% in 2024.
• Based on route of administration, the oral segment led the market with the largest revenue share of 54.0% in 2024.
• The topical segment is anticipated to grow at the fastest CAGR of 9.15% during the forecast period.
• Based on dosage form, the suspension segments led the market with the largest revenue share of 49.03% in 2024.
• The solutions segment is anticipated to grow at the fastest CAGR of over 8.76% during the forecast period.
• North America animal drug compounding market dominated the global market with the largest revenue share of 41.0% in 2024.

U.S. Animal Drug Compounding Market Size and Growth 2025 to 2034

The U.S. animal drug compounding market size is evaluated at USD 0.510 million in 2024 and is projected to be worth around USD 1.13 million by 2034, growing at a CAGR of 7.5% from 2025 to 2034.

North America animal drug compounding market dominated the global market with the largest revenue share of 41.0% in 2024. The presence of well-established compounding pharmacies such as Summit Veterinary Pharmacy Ltd., PETSCRIPTIONS.CA, Victoria Compounding Pharmacy, and others in countries like Canada have significantly contributed to the region's market growth. In addition, several strategic initiatives undertaken by t. For instance, in December 2024, Grey Wolf Animal Health Corp, a Toronto-based company, acquired the Compounding Pharmacy of Manitoba. By expanding its pharmacy business unit and increasing its capacity to serve both veterinary and human compounding markets, Grey Wolf enhances its ability to meet the growing demand for customized veterinary medications. This acquisition, along with Grey Wolf’s previous purchase of Trutina, allows the company to broaden its customer base and improve access to specialized compounded drugs for animals and fuel market growth.

U.S. Animal Drug Compounding Market Trends

The animal drug compounding market in the U.S. accounted for the largest revenue share in North America in 2024, due to consistent expansion by key players in the region. For instance, in December 2024, Covetrus, Inc. expanded its pharmaceutical compounding facility in Phoenix, Arizona. The company has nearly doubled its footprint and has adopted new facilities with modern, automated equipment to meet regulatory compliance and ensure the delivery of high-quality, customized treatments to a broader market. Covetous has significantly enhanced its ability to meet the growing demand for customized veterinary medications, offering a wide variety of flavor and dosage form options for both veterinarians and pet owners. With more centralized production, Covetrus can serve veterinary clinics and homes across the U.S., thus contributing to market growth.

Europe Animal Drug Compounding Market Trends

The animal drug compounding market in Europe was identified as a lucrative region, driven by several factors, including the increasing demand for personalized veterinary care and the need for tailored medications that address specific health conditions in animals. With a limited number of FDA or EMA-approved veterinary drugs for certain species or medical conditions, compounded drugs play a crucial role in providing effective alternatives. In addition, regulations within the European Union, such as the Veterinary Medicinal Products Regulation, support the safe use of compounded medications, ensuring that veterinary pharmacies maintain high standards of quality and safety, which helps build trust in compounded animal drugs. This regulatory environment, along with advancements in compounding technology, contributes to the expansion of the market.

The UK animal drug compounding market is experiencing growth driven by strategic partnerships and the introduction of innovative, life-saving treatments. For instance, in May 2024, Stokes Pharmacy and the Bova Group entered into a collaboration to offer a U.S.-made oral treatment for FIP. This treatment is now available in the UK, filling a gap in the market for effective, high-quality FIP medications that were previously unavailable. The growing demand for specialized treatments like GS-441524 tuna-flavored tablets, which are backed by clinical research, highlights the increasing reliance on compounded medications to address conditions that lack FDA-approved alternatives. As these treatments gain credibility, their availability strengthens the UK's market, providing veterinarians with reliable, scientifically-backed solutions and enhancing the standard of care for animals.

Asia Pacific Animal Drug Compounding Market Trends

The animal drug compounding market in Asia Pacific is anticipated to grow at the fastest CAGR of 10.18% during the forecast period, driven by growing investment by global players to expand their presence in this region. For instance, in November 2024, My Compounding Pharmacy expanded its services by introducing bespoke veterinary compounding services across major cities and regions in Australia. The pharmacy provides tailored solutions such as custom dosages, innovative delivery systems, and allergy-friendly formulations for a wide range of animal patients, including domestic pets, exotic animals, and livestock. This initiative demonstrates a commitment to bridge the gap in veterinary care for hard-to-treat cases and unique species. Such strategic expansions bolster market growth by meeting the rising demand for personalized and specialized animal health solutions, ensuring better compliance and treatment outcomes.

The Japan animal drug compounding market is anticipated to grow at a significant CAGR during the forecast period. The emergence of research studies and innovations related to potential veterinary treatment in Japan underscores a key market driver for the animal drug compounding industry in the region. For instance, research led by Dr. Okihiro Sase at the You-Me Animal Clinic in Japan demonstrated significant remission rates in FIP-affected cats treated with molnupiravir, with minimal side effects, marking a pivotal step in addressing this once-fatal condition. These findings spurred interest among global players, such as Wedgewood Pharmacy, to explore compounded formulations that align with such research outcomes. This growing focus on innovative treatments for niche veterinary conditions positions Japan as a hub for advancements in veterinary drug compounding and, thereby, propelling market growth.

Latin America Animal Drug Compounding Market Trends

The animal drug compounding market in Latin America is anticipated to grow at a substantial CAGR during the forecast period. The growing demand for customized veterinary treatments in Latin America is a significant driver for the market growth in the region. The increasing ownership of companion animals, coupled with rising awareness among pet owners about personalized care, has created a robust need for compounded medications tailored to specific species, conditions, and preferences. The veterinary compounding sector in Latin America benefits from a lack of widespread regulatory barriers compared to developed markets, enabling pharmacies to meet the diverse needs of veterinarians across urban and rural areas. This flexibility in addressing unmet medical needs not only enhances veterinary care standards but also positions the region as a growing market for global and local players in the compounding pharmacy space.

The Brazil animal drug compounding market is anticipated to grow at a significant CAGR during the forecast period, due to the country’s significant agricultural and livestock sectors, combined with the growing pet ownership trend. Brazil has one of the largest populations of companion animals globally, with a high demand for tailored veterinary medications that address specific needs, such as dosage adjustments and palatable formulations. The livestock industry, critical to Brazil’s economy, also drives the need for compounded medications to manage diseases and improve productivity in cattle, poultry, and swine.

MEA Animal Drug Compounding Market Trends

The animal drug compounding market in the Middle East and Africa is primarily driven by the region's growing focus on improving veterinary care for both livestock and companion animals. The Middle East's robust livestock industry, particularly in countries like Saudi Arabia and the UAE, underscores the need for customized medications to address region-specific challenges such as heat stress and endemic diseases. The market is poised for growth as governments and private entities invest in modernizing veterinary services.

The Saudi Arabia animal drug compounding market is fueled by the country’s significant investment in veterinary healthcare and its focus on ensuring the health of livestock and companion animals. As a major global player in the livestock and poultry sectors, Saudi Arabia emphasizes disease management and the prevention of outbreaks, creating a demand for customized medications tailored to the specific needs of animals in the region. In addition, the growing popularity of companion animals in urban areas has led to increased awareness among pet owners about the benefits of personalized veterinary treatments. These factors present substantial growth opportunities for compounding pharmacies in the coming years.

Report Scope of Animal Drug Compounding Market

Animal Drug Compounding Market By Product Insights

The CNS agents segments led the market with the largest revenue share of 33.38% in 2024, as CNS agents are the most frequently prescribed medications for treating neurological conditions such as a change in behavior, blindness, seizures, etc. in pets. Several categories of drugs are used as CNS agents or psychotropic agents in veterinary medicine. Some include anticonvulsants, tranquilizers, analgesics, sedatives, antidepressants, antipsychotics, mood-stabilizing drugs, and anxiolytics, among others. Companies such as Wedgewood Pharmacy have enormous CNS agents compounded for specific medical needs.

The hormones & substitutes segment is anticipated to grow at the fastest CAGR of 9.62% during the forecast period, since compounded bioidentical hormones and substitutes are both better and more potent in veterinary hormonal replacement therapy. Compounded hormones are gaining traction globally among veterinary practitioners for various therapeutic use, regulating reproduction or enhancing production, and largely used to interfere with physiological function. Some commonly used veterinary hormones include endogenous steroids, testosterone, synthetic steroids, synthetic non-steroidal estrogens, progesterone, and several other hormones.

Animal Drug Compounding Market By Animal Type Insights

Based on animal type, the companion animal segment led the market with the largest revenue share of 73.65% in 2024 and is expected to grow at the fastest CAGR of 8.50% during the forecast period. The growing companion animal population, rising pet care expenditure, growing awareness among pet parents and veterinarians about animal drug compounding, and several benefits associated with it for pet animals all contribute to this segment's growth.

Moreover, the need for customized veterinary medication to increase patient compliance is also expected to boost market growth during the forecast period. For example, a member of the AVMA compounding task force claims that medicating cats can be difficult for many owners and, occasionally, for vets as well. Thus, the demand for compounding in feline medicine is fueled by the need to have medications accessible in a way that maintains the human-animal bond while increasing and ensuring patient compliance in administering it. This could necessitate compounding the medicine into a small, palatable chew, a transdermal gel, or a palatable liquid form.

Animal Drug Compounding Market By Route Of Administration Insights

Based on route of administration, the oral segment led the market with the largest revenue share of 54.0% in 2024. Oral formulations are the preferred, easiest, and most acceptable route of drug administration. It is preferred widely due to its advantages, such as non-invasiveness, patient compliance, and simplicity of medication distribution. The oral route of administration is used in both livestock and companion animals frequently, owing to their systemic effects after rapid drug absorption in the GI tract. However, oral drugs require careful formulations as they can lead to irregular absorption, slow onset of action, and other possible side effects.

The topical segment is anticipated to grow at the fastest CAGR of 9.15% during the forecast period, as its gaining popularity in recent years due to its advantages in pets that cannot or refuse to take pills. This route serves as a local treatment of skin, transdermal delivery of therapeutic drugs, parasite controls, and other conditions. The topical drugs include ointments, gels, creams, pastes, dusting powders, and other semisolid based veterinary drugs. These are commonly used for conditions like skin infections, wound care, and dermatological disorders, which are prevalent among companion and farm animals. These formulations are easier to apply, reduce stress for animals compared to oral or injectable routes, and allow for targeted drug delivery directly to the affected area. In addition, advancements in compounding techniques and the increasing demand for customized topical medications, including those incorporating anti-inflammatory or antimicrobial agents, are driving growth in this segment. 

Animal Drug Compounding Market By Dosage Form Insights

Based on dosage form, the suspension segments led the market with the largest revenue share of 49.03% in 2024. Several veterinarians formulate drug suspensions to enhance the drug’s efficacy and shelf life as well as to increase patient compliance. When it's necessary for the material to be present in a finely divided form in the GI system or to administer insoluble or poorly soluble drugs, suspensions are known to be a useful method. In addition, most medications taste less detectable in suspension than in solution, making suspensions a commonly recommended dosage form in the compounding of animal medications.

The solutions segment is anticipated to grow at the fastest CAGR of over 8.76% during the forecast period. Compared to other dosage types, solutions have several benefits. Solutions are usually more GI mucosa-friendly than solid dosage forms as they are more quickly absorbed. In addition, unlike suspensions, phase separation during storing is not an issue with solutions. Thus, solutions are expected to gain popularity during the forecast period.

Some of the prominent players in the animal drug compounding market include:

• WEDGEWOOD PHARMACY
• Vimian
• Pharmaca.
• Akina Animal Health
• Triangle Compounding.
• Davis Islands Pharmacy and Compounding Lab
• Custom Med Compounding Pharmacy
• Central Compounding Center South
• Wellness Pharmacy of Cary
• Miller's Pharmacy

Animal Drug Compounding Market Recent Developments

• In November 2024, My Compounding, a leading compounding pharmacy based in Brisbane, announced its nationwide expansion, offering personalized medication solutions across the country. This development positions the pharmacy as a key player in advancing customized healthcare for patients nationwide.
  
  
• In May 2024, Mixlab acquired NexGen Animal Health and expanded its state-of-the-art compounding pharmacy services beyond companion animals into large animals. Mixlab plans to utilize its proprietary technology platform to enhance the pharmacy experience for large animal practitioners and owners while improving production efficiency and driving continued growth. 

Segments Covered in the Report

This report forecasts revenue growth at country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2021 to 2034. For this study, Nova one advisor, Inc. has segmented the animal drug compounding market

By Product

• Anti-infective Agents
• Anti-inflammatory Agents
• Hormones & Substitutes
• CNS Agents
• Other Products

By Animal Type

• Companion Animal

• • Dogs
  • Cats
  • Horses
  • Others

• Livestock Animal

By Route of Administration

• Oral
• Injectable
• Topical
• Other Routes

By Dosage Form

• Suspensions
• Solutions
• Capsules

By Regional

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa (MEA)