Pet Food Manufacturing Industry Overview

Excerpt from Pet Food Manufacturing Report

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), Del Monte (9Lives, Gravy Train, Milk-Bone, and Meow Mix), Mars (Pedigree and Whiskas), and Procter & Gamble (Iams), all based in the US, along with Nestlé (Switzerland), Royal Canin (France), and Witte Molen (the Netherlands).

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 85 percent of sales.

Products, Operations & Technology

Major products include dry dog food, which accounts for about 45 percent of industry revenue, and canned cat food, which accounts for about 25 percent. Dry foods include semi-moist products. Canned cat foods may be fish-based or meat-based.