Pet
Food
Review

Industry News and Press Releases

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Summer 2009

In May the Pet Food Manufacturers Association, (PFMA) produced its annual report on the condition of the pet food industry in the UK. Despite difficulties in the wider economy, PFMA says sales are better than expected, showing a 7% increase in value terms for 2008. Two big pet food producers Colgate-Palmolive and Nestle also reported last month.

On April 30th Hill's Pet Nutrition (which accounts for 14% of Colgate sales) reported that sales by unit volume were down 7% in its 1st Quarter. Nevertheless, due to pricing increases, sales were up 0.5% during the quarter. Despite the overall volume shrinkage, Hill's saw growth in Russia, Germany, Turkey, the Benelux countries and Austria. Volumes were down in the UK, France and the US.

Meanwhile, in the same Quarter, Nestle PetCare saw 11.5% organic growth and 5.0% real internal growth. The company described its performance in the sector as 'excellent', reflecting resilient demand for its key premium and super premium Purina brands. The company described strong product category organic growth in Europe.

PFMA, in its annual report says both cat and dog populations have increased since last year, with cats growing in population by 7%, overtaking dogs in popularity (both now close to 8m each in number).

In the UK, almost 1 in 2 households own a pet (43% = 11.2M), with a total 23 million pets owned excluding fish):

# 8.0 million dogs: An increase of up to 6% on last year

# 8.0 million cats: An increase of up to 6% on last year

# 2.3 million small animals: Around 1.0 million rabbits, 0.5 million guinea pigs

# 1.6 million birds: Including caged, fowl and pigeons

# 2.7 million others: Including exotic pets, horses and insects

The Association says that the UK pet food industry is now valued at just under £2bn. It reports a 'marked' increase in sales through specialist shops and a switch in production to the UK away from continental Europe, which it says is encouraging for our home-based manufacturers.