Goldman Sachs predicts pet ownership in China to exceed number of children by 2030
Date
8/12/2024 6:08:51 AM
(MENAFN) Goldman Sachs has projected that by the end of this year, the number of pets in urban areas of China will surpass the number of children under the age of four. This shift is expected to create a substantial USD12 billion market for pet food by the decade’s end. The investment bank's research highlights a significant trend of increasing pet adoption among younger Chinese individuals, who are choosing to keep cats and dogs rather than starting families. By 2030, Goldman Sachs estimates that pets will outnumber children under four by a ratio of 2 to 1, reflecting a broader demographic shift in China.
The analysis comes as China faces several demographic challenges, including a declining birth rate, an aging population, and overall population reduction. Valerie Zhou, a China consumer goods analyst at Goldman Sachs and author of the report, notes that these trends are expected to continue, with younger households increasingly adopting pets due to weaker expectations for birth rates. In 2017, China had approximately 90 million children aged zero to four, according to data from the National Bureau of Statistics. At that time, there were an estimated 40 million pets. Goldman Sachs forecasts that this year, the number of pets will rise to about 58 million, while the number of young children will fall to less than 40 million by 2030.
This growing trend in pet ownership is illustrated by individuals like Lara Lu, a 39-year-old teacher in Chengdu, who has adopted multiple pets, including cats, a crested gecko, and a pointy-nosed snake. Lu reports spending approximately 500 yuan (USD70) monthly on food for her cats and minimal amounts on her other pets, reflecting the increasing commitment to pet care amidst China's shifting demographic landscape.
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