Veterinary Vaccines

Executive Summary:

Sales of veterinary vaccines have outgrown the animal health products market as a whole since the beginning of this decade, and contributed $3.2 billion, or 20%, to global animal health product revenues in 2004. This report examines the factors that have contributed to recent growth of the vaccines market and assesses prospects for expansion in the sector through the remainder of the decade.

One of the most significant drivers of value in the vaccines market has been the development and commercialisation of new immunological techniques. Chapter one of the study documents the development and application of new technologies that have enabled the successful commercialisation of new vaccine types, including gene-deleted, subunit and ? most recently ? naked DNA products, as well as vectored vaccines. The advantages that such approaches offer over classical vaccines are also described, and examples of commercial products in each category are identified.

Other new approaches that have yet to yield commercial products ? including synthetic vaccines ? are also discussed, along with developments in related fields such as adjuvant technology and vaccine delivery. Edible (plant-derived) vaccines could be a commercial reality before the end of the decade, and may eventually represent a further significant milestone in the transformation of the market.

Chapter two of the report identifies the viral, bacterial and parasitic pathogens that represent the main targets for veterinary vaccines in each of the main food and companion animal species. Where vaccines against individual pathogens already exist, examples and product types are highlighted, while significant research into new immunological approaches is described. Where no vaccines are currently available, prospects for the commercialisation of such products and likely timelines are discussed.

In chapter three, the report looks in detail at the world market for veterinary vaccines, charting recent growth in the sector and examining its structure by major market region and by species. This assessment of the sector at global level is followed by profiles of seven national markets that together generate annual veterinary vaccine sales of just under $2.1 billion ? equivalent to almost two-thirds of the global total. The relative contribution of vaccines to national animal health sales totals, the structure and recent development of individual vaccine markets, and vaccine sales growth prospects are examined for each of these seven markets.

Based on the outlook for growth in these key markets, together with an assessment of the broad drivers and constraints expected to have a significant impact on the sector at global level, prospective growth rates for the veterinary vaccines market have been calculated for the period between 2004 and 2009. Of the seven major markets profiled in detail, Brazil will post strongest growth, with vaccine sales expected to rise at double-digit rates during the forecast period. By contrast, sales in the sector will rise at a compound annual growth rate (CAGR) of just 1% in Germany. At global level, veterinary vaccine sales are forecast to rise at a CAGR of 4.8%, exceeding $4 billion in 2009.

Chapter four of the study examines trends in ownership of the global veterinary vaccines market, which has experienced a period of rapid consolidation over the past ten years. That trend has been driven partly by corporate-level restructuring, but the rising costs associated with involvement in the development, and the commercialisation of new immunological technologies, have also played important roles.

Finally, the report profiles six leading veterinary vaccine businesses which together generate almost three-quarters of all sales in the sector. The relative importance of vaccines as a source of revenues for each of the six companies is assessed, and recent changes in the structure of individual businesses are charted. Vaccine portfolios are described, with the emphasis on major recent additions to individual ranges, and involvement in vaccine research is examined, highlighting individual products and technologies likely to be commercialised by each of the six companies.