Since this year, our “petty economy” has developed into a fast-growing path, with many policies and organizational activities around the “petty economy”, and listed companies are accelerating the layout of related tracks. In the capital market, the relevant conceptual units are admired. The Wind data show that by 24 September, the round-up of the Wind pet economic index had increased cumulatively by over 37 per cent during the year.
Growth is strong.
According to reports published by Pimawi China, the size of the Chinese pet market has increased rapidly from $97.8 billion in 2015 to $59.28 billion in 2023, with a compound annual growth rate of 25.4 per cent, with a projected annual growth of $81.4 billion in 2025. According to the Report on Monitoring the Performance and Consumer Markets of the Chinese Petty Industry 2024-2025, published by the Aids Advisory, the size of the Chinese pet economy is expected to reach RMB 1.15 trillion by 2028.
Driven by strong market demand, a number of businesses focused on pet clothing, food and shelter, and health conservation were created. The pet food brand, Rodin, is one of them.
“In 2024, our brand sales were over billions of yuan and maintained a compound growth rate of 30 per cent per year, with net interest rates at the upper levels of the industry.” The founder of the meat mat Rodin brand, in his daytime interview with the Chinese Securities Journalist, stated, “There is no doubt that corporate performance has grown in the pet industry. At the same time, companies are properly aware of the characteristics of the various channels and utilize them in the light of macro-micro-changes. Seize the "fast" features of the fast-moving industry, constantly innovate products, produce quickly, experiment quickly, reproduce quickly."
It is widely accepted that the pet industry is in the middle of a decade of high-quality gold development, that markets continue to grow and that demand is still not fully exploited. According to the Advisory Committee, there is still room for doubling the size of the Chinese pet industry.
“There is still a gap between domestic domestic pet penetration and developed markets, and the growth dynamics of the future pet economy remain strong.” During the day, it was made clear that “in terms of areas of disaggregation, pet staple foods, medical care and cleaning materials are still the most marketed and growing core; areas of breakdown, such as pet insurance, ageing pet health care, will be the most promising growth track for the future”.
Multi-purpose release of policy dividends
Since September, there has been a growing focus on the pet economy and policy support.
For example, Jiangsu has proposed that traditional industries be involved in the development and production of products such as pet clothing, pet dry and wet foods, pet toys, pets wearing equipment, and that biomedicine enterprises be supported in the development and production of pet biological agents, medicines and medical equipment; by 2027, the city-wide pet-related industry will be over $3 billion. In its communication, Anhuizhou proposed the promotion of a major project, “Dual-tip” for the pet economy, the promotion of scientific and technological innovation in the pet industry, the promotion of pet electrician development and the strengthening of pet industry regulation.
Zhejiang, for its part, published its Opinions on Promoting the Economic Development of Pets (Approval Draft), proposing a major development of the pet smartware manufacturing industry. (b) Encourage pet production enterprises to use technologies such as AI mega-models, product networking, big data, precision manufacturing, etc., to enhance product development innovation and to ring the pet product "Zhejiang Jijiang" brand. Enterprises are encouraged to open smart experience shops, brand cabinets and access to large-scale commercial outlets.
As China's pet economy enters a new phase of booming development, local governments, using “physical hands” to refine their layouts and guide them, have, according to industry, become a necessary trend in driving industry to start a new round of growth.
Listed companies "hot"
Many listed companies are also active in this area. In recent days, a brilliant announcement has been made to buy 51 per cent of the shares of the frozen dry food manufacturing company for the construction of the Hungry Food Corporation. In responding to investors' questions at the point of view of the depth of the interaction, the brilliant mention states: “Today, some of the frozen dry products such as frozen dry yogurt, frozen dried fruit and vegetables, and frozen dry meat have been used in pet food brand enterprises.”
Three squirrels also invested in the establishment of three Squirrel Petty Foods Ltd. and two fully-funded subsidiaries of Meow Pet Foods Ltd. in January and June of this year, respectively. Of these, three Anhui Squirrel Petty Foods Ltd. have a registered capital of $5 million for the incubation brand of “Golden Dad”, focusing on pet foods.
On 20 August, the King River Biology Externally announced an investment in the establishment of a fully-funded subsidiary, the King River Ai (Shanghai) Biotechnology Company Ltd., with a registered capital of $10 million. On 1 September, the company released information on the Micro-Intelligence Public number, carrying the smart pet pet App-App-Epp-Appei officially launched the Andrea application market on 29 August.
In early August, Delis also announced that the company had signed a Strategic Cooperation Agreement with Xiamen Seafore Food Group Ltd. and Shinzo and Food Limited to develop in-depth cooperation in the areas of product supply and procurement, market expansion, technology synergy, specialty products and the development of frozen dried pet food.