Korea's hy Enters Pet Food: Why Functional Pet Food Is Booming Globally

# Why Functional Pet Food Is Booming Globally

On October 28, South Korean consumer giant hy launched its first pet food, Petcourt Wal RX, entering the functional pet food market. This is not an isolated move. Functional pet food is the fastest-growing segment worldwide.

What is functional pet food?

Beyond basic nutrition, functional food adds specific active ingredients:

• Joint support (glucosamine, chondroitin)
• Gut health (probiotics, prebiotics)
• Skin and coat (Omega-3, fish oil)
• Weight management
• Cognitive support for senior pets

Why now?

Consumers will pay

PetfoodIndustry reports 74% of dog owners and 67% of cat owners would cut personal spending to maintain pet health. 89% consider functional benefits important.

Big brands are entering

• Korea hy: Wal RX with dual-formula and freeze-dried probiotics
• US Fera Pets: longevity formula for dogs
• US Native Pet: expanded into cat supplements
• China: Hebei Nanhe cluster covers functional and therapeutic diets

Platforms are raising the bar

TikTok Shop lab testing requirements help legitimate brands by raising entry barriers.

What this means for OEM/ODM brands

Functional is where the margin is

Standard extrusion food is a price war. Functional food has formula barriers and better margins.

R&D capability is the core

Adding probiotics is not enough. Brands need evidence-based dosing, active ingredient protection during processing, and stability testing.

Choose a co-packer with R&D

• In-house formula team
• Microencapsulation for probiotics
• Palatability testing facilities
• Can support efficacy data

Niche opportunities for small brands

Big brands do generic functional food. Small brands can target: senior cat joints, brachycephalic dog gut, Ragdoll coat.

If you want to launch a functional food brand but are unsure where to start, Mixiaoqi pet food OEM/ODM operates fresh and freeze-dried lines and can help with formula sampling and active ingredient testing.

FAQ

What is the price premium for functional food?

Typically 30-80% higher retail price.

Can small brands do functional food?

Yes, but choose a co-packer with real R&D, not just concept stacking.

Special licenses needed?

No extra license required, but no therapeutic claims on labels.