The animal health industry in 2026 is shaped by three converging forces: the growing role of artificial intelligence, the increasing focus on companion animal health, and evolving regulatory approaches.
While many of these themes have been developing for years, their practical impact is now becoming visible across the full product lifecycle – from early discovery to post-marketing safety.
In this blog post, Medfiles’ animal health experts highlight three key trends currently influencing the sector and what they mean in practice for companies working with veterinary medicines and animal feed. These trends were visible in AHNTI-EU 2026 (Animal Health, Nutrition & Technology Innovation – Europe) event in London a few months ago, where Medfiles experts had many fruitful discussions with food producers, nutritionists, veterinarians, feed companies, technology providers, and industry specialists working across the animal agriculture sector. See also our post on the trends in 2025.
1. AI transforming animal health
AI-based diagnostic tools, data analysis solutions, drug discovery applications, and even tools supporting dossier preparation (e.g. CMC documentation) are reshaping the animal health landscape. These innovations are already entering the market and becoming part of everyday workflows.
The increasing use of data management tools and artificial intelligence is also changing how regulatory decisions are made. AI and machine learning can analyse large volumes of data, identify patterns in submissions, detect potential issues early, and support outcome prediction. These insights enable more informed, faster, and more consistent decision-making. AI is also becoming an increasingly valuable tool in pharmacovigilance, particularly in the detection and analysis of adverse events. Possible safety issues can be detected earlier than before, and necessary actions can be implemented.
In drug discovery, AI is becoming an essential part of the process. In silico tools complement traditional methods and support decision-making on which candidates have the potential to move forward. These technologies improve efficiency and enable faster, more accurate innovation with reduced uncertainty.
2. Companion animal health gaining importance
A clear and continuing trend in animal health is the shift from livestock to companion animals. The number of pet owners worldwide is growing, and pets are increasingly regarded as family members rather than solely as animals.
This humanisation is driving greater investment in companion animal health and well-being, leading to rising demand for safe and effective veterinary medicines tailored to pets. In response, animal health companies are expanding innovation across a wide range of therapeutic areas.
As treatments become more advanced, the need for robust pharmacovigilance systems intensifies, ensuring accurate monitoring and timely management of adverse events. At the same time, greater product complexity places higher demands on veterinary expertise in post-marketing safety activities, particularly when distinguishing between disease-related symptoms and potential adverse effects.
This shift is especially visible in the growing use of biologics, such as gene therapies, monoclonal antibodies, and biologic vaccines. These products offer new options in areas like immunology, oncology, and chronic disease management, but they also bring added regulatory and safety challenges. Compared to traditional small molecule medicines, biologics often require more detailed manufacturing controls, broader clinical data, and closer follow-up after approval.
As a result, regulatory planning and pharmacovigilance need to be considered early and managed together throughout the product lifecycle. Ongoing safety monitoring and tailored risk minimisation are essential to ensure that these therapies remain both effective and safe once they reach the market.
3. Regulatory shifts reshaping the animal health industry
Earlier collaboration shaping development pathways
In animal health, progress depends not only on strong science, but also on how development and regulation are aligned. Development timelines are often extended not due to a lack of innovation, but because regulatory engagement happens too late.
Earlier and more structured interaction between developers and regulators helps identify risks sooner, reduce uncertainty, and avoid delays later in the process. When regulation is integrated into development rather than treated as a final step, pathways to market become clearer and more predictable.
From an authority perspective, particularly in the United States, flexibility and collaboration are increasingly emphasised. Regulators are exploring ways to balance guidance and templates with adaptability, enabling innovative products such as gene therapies to progress more efficiently. At the same time, maintaining consumer confidence remains a key priority.
This is reflected in regulatory messaging that encourages companies not to halt development based on assumed barriers, but instead to engage early and explore possible pathways forward.
While this approach is well established in the US, similar practices are still in their infancy in the EU. However, there are positive signs, including initiatives such as the European Biotech Act and broader food and feed regulatory simplification efforts (Omnibus).
GRAS and AFIC reshaping regulation in the US
Regulatory shifts in the US are impacting the animal health sector very concretely. The self-affirmed Generally Recognized as Safe (GRAS) pathway is expected to be phased out.
At the same time, the FDA has introduced the Animal Food Ingredient Consultation (AFIC) process. This voluntary consultation system provides companies developing animal food ingredients with a structured way to engage with the FDA and identify potential safety concerns early.
AFIC serves as an interim approach following the termination of the AAFCO–FDA collaboration and offers an alternative pathway for companies that previously relied on AAFCO ingredient definitions.
Above trends and changes are influencing not only how products are developed, but also how they are used in everyday practice. There is increasing recognition that success depends on understanding the full ecosystem, from pet owners and veterinarians to producers and distributors. This broader view reflects ongoing industry discussions around collaboration and shared responsibility, highlighting that innovation works best when science, regulation, and real-world use are aligned.
At Medfiles, we support companies in building practical, compliant pathways to market, as well as in post-marketing activities. Our cross-functional expertise across regulatory affairs, pharmacovigilance, and animal feed ensures a comprehensive service offering – from individual tasks to fully outsourced solutions.
Authors
Mari Eskola, Ph.D. | Team leader, Regulatory Science and Reports // Senior Regulatory Affairs Expert, Food and Feed
Mari Eskola joined Medfiles in 2021 and leads the Regulatory Science and Reports Team. Since starting at Medfiles, she has been involved in a wide range of projects relating to food, feed, and cosmetics safety.
Mari has nearly 30 years of broad international expertise in the chemical and regulatory safety of food and feed, acquired across the European Union, national authorities, and industry. At Medfiles, she brings over 15 years’ experience as a regulatory food and feed risk assessor. Mari developed her risk assessment expertise working for 10 years at the European Food Safety Authority (EFSA), where she conducted regulatory risk assessments of contaminants in food and feed. She also served as Acting and Deputy Head of the EFSA Contaminants Unit. She is a food chemist specialising in analytical chemistry and obtained her PhD in food science in 2002.
In addition, Mari has extensive food and feed research and regulatory experience from several European institutes, including the European Commission Joint Research Centre (EC JRC), the European Chemicals Agency (ECHA), Teagasc in Ireland, the University of Natural Resources and Life Sciences in Austria, and the former Finnish Food Safety Authority. She has international experience in project and people management and has authored numerous scientific publications, including many EFSA scientific opinions and risk assessments.
Saana Lamminjoki, M.Sc. Tox., Safety Manager
Saana Lamminjoki joined Medfiles Pharmacovigilance team in May 2021 and since then has been working with both human and veterinary PV activities in the EU and UK.
Currently Saana is responsible for operational leading of veterinary pharmacovigilance activities. Her day-to-day responsibilities for veterinary products include, for example, monitoring of published scientific literature, signal detection and management, risk management and evaluation and processing of adverse event reports from the EU, UK and third countries. Saana is actively involved in the maintenance of the Pharmacovigilance System Master File (PSMF) and the Quality Management System, ensuring that all veterinary SOPs and processes are compliant. She has also contributed to the set-up of the veterinary PV system.
With a bachelor’s degree in pharmacy and a master’s degree in general toxicology, Saana brings her knowledge and expertise to her role.
Elina Krannila, M.Sc. Pharm., Senior Regulatory Affairs Expert
Elina is a pharmacist and has been working at Medfiles since 2011. She supports pharmaceutical companies throughout the entire product lifecycle, from new marketing authorisation applications to post-authorisation maintenance and regulatory compliance activities. Her daily work includes lifecycle management activities such as variations and notifications, as well as regulatory compliance tasks including medical, editorial and ethical review of marketing materials and quality tasks related to reporting of shortages and product defects.
