The pet industry in the Nordics

From raw food diets like BARF to cutting-edge biotech ingredients, the Nordic pet market is experiencing a wave of innovation. Companies are investing heavily in research, technology and sustainability to meet pet owners’ evolving needs.

The pet population in the Nordic region

The pet population in the Nordic region is anticipated to keep growing alongside an increasing number of households in the coming years. Trends like pet parenting, which encourages treating pets as family members, and shifts in lifestyle (e.g., increased remote work since COVID-19) have significantly driven the pet population growth.

The Nordic pet population shows varying trends over the 13 years from 2010 to 2023. According to Statista, cats are generally more popular than dogs in Sweden and Norway, with Sweden’s cat population growing to 1.72 million in 2023, while Norway’s peaked at 783,000 in 2021-2022.

In Denmark, dogs gained popularity, rising to 670,000 by 2020, though cats remained steady at around 669,000. Overall, cats dominate across the region, though dogs have seen growth in some areas.

Pet industry in the Nordics

The Nordic pet care market, valued at $3 billion (€2.9B) in 2022, is projected to grow at a compound annual growth rate (CAGR) of 13.28%, reaching $6.7 billion (€6.53B) by 2029.

According to Musti’s research, this growth is fueled by urbanization, technological advancements, and changing consumer preferences toward premium, eco-friendly and locally sourced products.

Pet owners are increasingly drawn to convenient solutions like subscription services and specialized pet food tailored to specific needs. Innovations in functional foods, grooming services, and luxury pet care are driving demand, alongside the rise of e-commerce platforms that enhance accessibility.

The pet food segment, valued at $1.8 billion (€1,72B) in 2025, reflects a growing interest in organic, natural and sustainable options, with a focus on personalized diets.

Despite some challenges, such as limited online services and regulatory standards, the market benefits from high disposable incomes and a cultural focus on sustainability.

Imports & exports

Imports

• Total Nordic Imports: Between January and October 2022, Nordic countries imported approximately $728 million (€671.3M) worth of pet food, reflecting a 47% increase from the previous year.
• Sweden: In 2018, Sweden’s pet food imports totaled approximately $177.8 million (€163.2M).
• Denmark: Denmark’s pet food imports fluctuated between 2016 and 2023, reaching over $291.9 million (€268.1M) in 2023.
• Norway: In 2021, Norway imported 3 million kilograms of pet food, valued at $168.3 million (€155.6M). The main suppliers were:
  • Germany ($30.8M/€28.5M)
  • Denmark ($24.2M/€22.4M)
  • Poland ($22.7M/€21M)
  • France ($18.8M/€17.4M)
  • Netherlands ($16.3M/€15.1M)

Exports

• Norway: In 2021, Norway exported approximately 20 million kilograms of pet food. By 2028, this is projected to reach 23 million kilograms, with an annual growth rate of 1.9%.
• Sweden: Sweden’s pet food exports are expected to grow steadily between 2024 and 2028, with a CAGR of 0.81%.
• • In 2023, the export volume was 36 million kilograms.
  • The year-on-year (YoY) growth rate is projected to decline gradually from 0.94% in 2024 to 0.75% in 2028.
• Denmark: Denmark’s export value fluctuated between 2016 and 2023. Key figures include:
  • 2016: $175.2 million (€160.8M)
  • 2018: $160.6 million (€147.4M)
  • 2023: Peaked at $248.2 million (€227.8M)

Other industry stats

In the Nordic region, pet supply prices have been significantly impacted by inflation, with Finland experiencing the highest increases in 2023. In June 2023, Finnish pet owners were paying 17.6% more for pet products and 18.5% more for pet food, with March seeing the peak inflation rate of 20.1% for pet products and 21% for pet food. Similar inflation trends have been observed in other Nordic countries too.

Retail landscape

The Nordic pet retail market is growing, with a shift to online shopping and specialized pet care. Market leader Musti Group expanded by acquiring Pet City for €18.2 million ($19.7M), entering Estonia, Latvia and Lithuania. With 351 stores, Musti focuses on omnichannel offerings and increasing its own brand products, which now make up over 50% of sales.

In 2024, Pet Pawr Group merged with Norwegian retailer PetXL, becoming the second-largest pet retailer in the Nordic region. The company plans to streamline costs, restructure and expand while focusing on a “Nordic Omni-vision” for sustainable growth. The continued investments and mergers in the industry signal a strong future for the Nordic pet market.

Meanwhile, Alvar Pet, a Finnish pet food start-up, has emerged as the largest Nordic online pet retailer after acquiring Verkkokauppa Kivuton. By combining expertise in personalized, veterinarian-developed diets with a strong online presence, Alvar Pet aims to meet the growing demand for tailored pet nutrition.

Trends/Latest news

In the pet insurance sector, the market in the Nordics is on the rise, driven by millennials adopting pets and the growing humanization trend.

In Sweden alone, SEK5.3 billion ($530M/€490M) in premiums were paid for pet insurance in 2021, with the market expected to grow to SEK8.9 billion ($890M/€823M) by 2027 at a CAGR of nearly 8%.

This growth aligns with broader European trends, as the European pet insurance market is projected to reach $4.9 billion (€4.8) by 2028, driven by an increasing pet population, including 66 million dogs and 79 million cats across Europe. According to a 2022 report by the Swedish Animal Vocational Board, animal insurance and healthcare for small animals each reach around $443 million (€434.2M) in Sweden.

From booming pet insurance to the rapid expansion of omnichannel retail strategies, the Nordic pet market is adapting to new consumer trends, with businesses leveraging innovation and sustainability to meet the rising demand for high-quality products and services.