Pet & Animal Food Manufacturers NAICS 3111

Sep 29, 2025 - Report Highlights $267 Billion Impact, Regulatory Push in US Animal Food Sector

• According to Grain Journal, the American Feed Industry Association (AFIA) has released its 2024–25 State of the US Animal Food Industry Report, spotlighting a $267.1 billion economic footprint and over 80,000 jobs tied to nearly 5,650 manufacturers nationwide. Key policy efforts outlined by the report include modernizing ingredient approvals, supporting the Innovative FEED Act, and addressing trade and supply chain challenges. Safety remains a focus, with less than 1% of FDA inspections requiring corrective action and over 1,000 facilities certified under AFIA’s Safe Feed/Safe Food programs. Sustainability efforts also gained traction, with over half of pet food and 37% of livestock feed incorporating upcycled ingredients. In 2024, US animal food exports reached $11.6 billion in value, led by shipments to Canada, Mexico, China, and South Korea. The report reinforces the sector’s strategic importance in agriculture and global trade, while highlighting its stances on regulatory reform, safety, and environmental stewardship.
• Consumer mood indicators in the US declined, signaling growing economic unease. The Consumer Confidence Index fell 1.3 points in August 2025, driven primarily by younger consumers under 35, while confidence among those over 55 improved. Despite the dip, overall confidence remained consistent with recent months. Separately, the University of Michigan’s Consumer Sentiment Index dropped to 55.4 in preliminary September data, down from 58.2 in August and 21% below September 2024 levels. Inflation expectations held steady, though concerns about pricing pressures, particularly from tariffs, persist. These indices reflect consumers’ outlook on personal finances and the broader economy, serving as key predictors of future spending behavior.

• Premium pet food purchases regained strength in 2024 after declining in 2023, according to the 2025 Dog & Cat Report conducted by the American Pet Products Association (APPA). Forty-one percent of dog owners purchased premium food in 2024, up 5% year over year, and 38% of cat owners bought premium food, up 9% year over year. Those purchasing basic food declined 7% in 2024 for both cat and dog owners year over year. Sales of mixers/toppers have increased significantly since 2018. Nearly 20% of cat owners and 16% of dog owners reported purchasing mixers/toppers in 2024, growth of 138% and 129% respectively. Sales of pre- and probiotic diet products also saw sales growth in 2024, with13% of dog owners and 12% of cat owners purchasing the products, per the report.
• The US pet and animal food manufacturers industry is projected to grow at a CAGR of 3.54% between 2025 and 2029, slower than the overall economy's anticipated growth, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The nondurable goods manufacturing sector forecast indicates that the labor force is expected to diminish. However, new technologies could support labor productivity for the industry. Consumer sentiment is expected to improve in the forecast period, which bodes well for the sector. A factor that may curb consumer spending is substantially higher tariffs on consumer goods. In 2025 and into the forecast period, real disposable income may be supported by continuing nominal wage growth, lower inflation rates, and higher employment levels. Lower inflation supports a increase of real disposable income by 2% in 2025 and 1.9% in 2026. Real income could suffer if average prices rise due to tariff implementation.