VALUE OF THE PET INDUSTRY

The social benefits of companionship and the positive physical and psychological effects gained from owning pets, though difficult to quantify in monetary terms, are well documented.

The overwhelming popularity of companion animal ownership has created one of the largest industries in Australia, contributing around $2.2 billion to the economy annually and employing over 30,000 people.

Comparisons of Australian industries show:

  • Flour mills and cereal products turn over $2.6 billion p.a., employing around 8,500 people.

  • The poultry industry turnover is $1.5 billion p.a., employing less than 10,000 people.

  • Paper and board packaging manufacture contributes around $2 billion p.a. and employs 8,400 people.

    Of the total annual expenditure on pets, 60% is spent on dogs and 33% is spent on cats.

    The average yearly expenditure for each household owning one or more dogs is $531.00. For each household with one or more cats, the figure is $399.00.

    Table 3: Summary of Expenditure on Pets by Service Type ($ millions)

    Expenditure type Dogs Cats Other* Total % Total
    Nutrition (all food types) 619 442 95 1,156 52
    Veterinary services** 280 150 28 458 21
    Pet care products/equipment 165 88 14 267 12
    Pet services (non vet) 145 40 - 185 8
    Other expenditure items 122 20 13 155 7
    Total 1,331 740 150 2,221 100
               
    *Other includes pleasure horses, rabbits, guinea pigs and so on. **Including drugs, prescriptions, other products and services. Source: BIS Shrapnel Contribution of the Pet Care Industry to the Australian Economy.

    Table 4: Summary of Australian Expenditure on Pet Care by State ($ millions)

    State Dogs Cats Other Pets* Total % of Total
    NSW 442 227 51 720 33
    VIC 334 191 38 563 25
    QLD 225 120 27 372 17
    SA 140 83 12 235 10
    WA 111 76 14 201 9
    TAS 41 23 4 68 3
    ACT 25 15 3 43 2
    NT 13 5 1 19 1
    Total 1,331 740 150 2,221 100
               
    *Other pets include pleasure horses, rabbits, guinea pigs and so on. Source: BIS Shrapnel Contribution of the Pet Care Industry to the Australian Economy.

    Food for pets accounts for a little over 50% of this expenditure and veterinary services total 21% of money spent by owners.

    In assessing the value of the pet care industry to the overall national economy, all States benefit. The market shares of the various States are roughly equivalent to their share of total population.

    Exports of processed pet food are significant to Australia's overseas earnings. These exports totalled $204 million in 1994 and showed a 72% increase over 1992 figures.

    Exports of pets and pet related products totalled $260 million and again showed significant percentage increases.

    The pet industry therefore is a large sector that contributes significantly to Australia's economy. Most importantly, the pet care industry is growing, so the contribution will increase even further.

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    PETNET HOMEPAGE

    Denise Humphries (petcare@interconnect.com.au)