Report: China animal vaccine market up by 26%

China's animal vaccine market grew a whopping 26% between 2004 and 2013, research from a new market report shows--and analysts say the market shows no sign of stopping anytime soon, forecasting further growth of 15% by 2016.

While the U.S. and Europe still account for up to 60% of the global market share, according to the report from Research and Markets, China stands out because it's nearly self-sufficient in its production of animal vaccines. Analysts put the country's self-sufficiency rate at around 90%.

The most recent growth spurt was brought on by a shift from the expansion of government-mandated vaccines, which propelled the animal vaccine market between 2007 and 2010, to the proliferation of local companies targeting a wider range of market-oriented vaccines in 2011. Chinese policy mandates vaccinations for "foot-and-mouth disease (FMD), bird flu, porcine reproductive and respiratory syndrome (PRRS), swine fever, and peste des petits ruminants (PPR); the latter refer to porcine circovirus (PCV), Newcastle disease, porcine parvovirus (PPV) and other varieties," according to the report's authors.

Since 2011, market-oriented vaccines have been developing as fast as government-mandated vaccines and last year comprised between 40% and 50% of the domestic market share. Last year, swine vaccinations dominated the domestic market, accounting for more than 80% of animal vaccines. The report says that an emerging pet market has prompted the development of some pet vaccines, but it's still relatively small and will most likely spark growth in the future.

The report identifies the company CAHIC as having the highest market share of 10.5% among Chinese listed animal vaccine companies. It is followed by the Jinyu Group, Tecon and Dahuanong, which add up to a total proportion of about 15%.

Analysts forecast China's future growth from its escalating agricultural output and estimate that from 2013 to 2016 the animal vaccine market will reach a value of about $2.82 billion in 2016, the report says.

- here's the release