The pet industry in Canada

Canada’s latest statistics and trends highlight a growing pet population, booming pet industry, and shifting towards premium products and services.

Canada’s expanding pet demographics

In 2024, the pet population in Canada showcases the country’s enduring love for animals and the number of pets in the country is expected to exceed 28.5 million by 2025. 

As reported by Made in CA, nearly 80% of Canadian households have pets, ranging from dogs and cats to birds, fish, and even over 1.4 million wild animals, as most wild animals kept as pets are found in Ontario.

How big is the pet industry in Canada?

In 2023, the pet stores industry in Canada generated $3.8 billion in revenue. From 2018 to 2023, the industry’s market size grew at an average annual rate of 6.3%.

Canadian pet owner buying behavior

The shift towards online shopping has accelerated, with retailers like Amazon Canada and Chewy entering the market. In Canada, around four out of ten pet parents bought online due to fast delivery. 

However, online shopping can only partially replace stores like Pet Valu and Global Pet Foods. Their specialized service offerings necessitate personal visits.

Canadian pet owners seem to be concerned with sustainability, considering sustainability claims on packaging important when making purchasing decisions. The latest research indicates that ecological credentials significantly influence their buying behavior. 

This environmental concern was also shown in a 2022 survey by GlobalPETS and Yummypets, which showed that 18.3% of pet parents in the country regularly fed their dogs a plant-based or vegan meal, with an additional 20.6% having their dog’s diet be entirely vegan.

Inflation impact

More than half of Canadian pet owners have switched to more affordable pet food brands due to inflation, with four out of ten adjusting their spending on pet-related items, according to recent survey results from Yummypets x PETS International.  

According to Rover’s True Cost of Pet Parenthood in Canada Report 2024, costs for pet parents rose significantly in the past few years. Pet Owners worry about the rising costs of pet care, including veterinary services, food, toys, and gear. 

PETS International published a comparative data analysis covering these higher prices in the pet department in both Canada and the USA. Canadian pet owners spent 22% more in 2023 compared to 2019. US consumers had it a little tougher, at 32%. 

Canada’s role in the global pet market

Canada plays a crucial role in the global pet product market as both an importer and exporter. Last year, the country imported pet food products worth $1.80 (€1.66) billion. It exported pet food products totaling $960 (€883) million, primarily to the United States and China.

In 2023, Canada imported lots of pet food from the United States, accounting for the largest share of the $2.4 billion in U.S. pet food exports, with dog and cat food leading the category.

The Canadian Food Inspection Agency (CFIA) updated the import requirements for pet supplements in June this year, aiming to streamline the process and reduce the administrative burden on importers. 

Regulations and industry standards

There was a 22% growth in the pet health insurance industry in 2023. (According to the North American Pet Health Insurance Association). Surpassing $4 billion (€3.7 billion) in North America. In Canada, dogs remained the most insured pets at 75.5%, while cats accounted for 24.5%.”

The Canadian province Québec has introduced new regulations banning four cosmetic pet surgeries. Tail docking, vocal cord removal, aesthetic declawing, and ear cropping, except for specific programs like Trap-Neuter-Release-Maintain. These procedures are now only allowed for medical reasons. 

Other Canadian pet industry facts

• A new insect research center opened in Canada in August this year.
  The North American Insect Center (NAIC), led by Bühler and NRGene, aims to boost sustainable insect protein production for pet food and other industries. While also supporting startups developing innovative ingredients and processing technologies.
• A recent survey revealed that over half of the Canadian employees of companies offering pet-friendly policies report higher job satisfaction.
  84% of those with such benefits feel more content compared to 78% without. Moreover, 80% of HR professionals believe these policies are vital for attracting and retaining talent.
• One of the significant retail players is Global Pet Foods.
  It has 223 stores across Canada as of March 2024, maintaining a substantial presence with a focus on natural and holistic pet products.
• Another eminent retail player is Pet Valu.
  The company experienced a 3.9% increase in system-wide sales. It reached $257.2 million (€239.4 million) from January to March 2024, projecting over $1 billion (€919 million) in revenue and plans to open up to 50 new stores by the end of the year.