Brazilian pet industry hits $13.8 billion in 2023
Pet food accounts for over half of the industry’s business, while the pet care and vet sectors increased turnover.
According to data from Instituto Pet Brasil (IPB), the Brazilian pet industry brought in R$68.6 billion ($13.8B/€12.8B) in 2023. This is an increase of 14.2% compared to the previous year.
Pet food, which accounted for 55.5% of the industry’s turnover last year, represented R$38.1 billion ($7.6B/€7.1B).
The veterinary sector registered a turnover of R$6.6 billion in 2023, while pet care hit R$3.93 billion ($770M/€720M). Both categories registered an increase of 18% in their yearly performance.
The pet retail sector ended 2023 with a turnover of R$7.26 billion ($1.42B/€1.33B), representing 10.6% of the revenue brought in through pet industry sales and services.
Compared to previous years, the increase seen in 2023 was slightly lower than in 2022 (16.4%) and 2021 (27%).
Taxes on pet products
According to the IPB, the main reason the local industry’s growth has slowed in recent years is the tax pressure on pet food.
“The tax burdens on pet food are the same as beverages and cigarettes, reaching 51.2% on the final price,” says Nelo Marraccini, president of IPB’s Advisory Board.
Marraccini warns that the South American country by far applies the highest tax on pet products and urges Brazil’s federal government to consider pet food an essential product.
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