Over the past decade, equine sports have undergone rapid globalization more than any other sport. It was once a regionally defined industry, and now it operates on the world stage. This has changed every aspect of the sport, including racing, showjumping, eventing, endurance, and Arabian racing.
The shift is also noticeable for breeders who have had to adjust the most. For them, there’s also an ongoing revolution brought about by bringing the latest scientific discoveries of genetics to the sport.
A Growing Global Market Racing, Breeding & Tech T
The global horse racing economy is now valued at over USD $115 billion, and projections indicate it will grow further by the end of the decade. The breeding market, on the other hand, is worth an additional $12–13 billion and could grow to $18 billion by 2030.
The biggest driver of this growth is changing technology. Equine reproductive science has changed so much in just a few decades. Breeders can achieve results once unimaginable. The techniques include embryo transfer, semen freezing, and AI-supported selection. There are also breeding farms that can achieve such results on a massive scale.
Digitalization also plays a big role. It provides the public with global racing data and high-definition live streaming from anywhere in the world, and allows punters in Asia or the Middle East to wager on races in real time. The best crypto casinos offer live odds, and players from all over the world can safely wager in crypto.
New Hotspots: Gulf States, Asia-Pacific & China’s Slow Burn
Racing was traditionally a sport of Europe and North America, but that changed a couple of decades ago. The Gulf States have developed a complex breeding and racing market, and they are now among the most influential in the sport. Ruling families and governments of these countries have invested in acquiring carnivals, training facilities, logistics networks, and prizes. Events like the Dubai World Cup and the Saudi Cup attract the strongest fields from around the world.
Japan is also an important part of the industry and a regional powerhouse. South Korea and Singapore have also stepped up in the last couple of years, and show jumping is especially popular in Southeast Asia.
China is the most important opportunity for the sport. It has a growing upper class that’s very interested in European sports and culture in general. However, it also faces restrictions on gambling and a growing animal rights movement that could slow the sport.
How Foreign Capital Enters Equine Sport
Foreign investments have shaped almost every aspect of the sport. This is most noticeable in the bloodstock auctions. Sales in Newmarket, Keeneland, Deauville, and Sydney draw buyers from the Middle East, Asia, and North America. Breaking records at every auction is now commonplace.
Infrastructure projects also require foreign capital, often from sovereign funds of foreign governments. Gulf States have built racecourse upgrades, training complexes, and veterinary centers. There’s also a growing focus on equine sports tourism.
What Globalization Means for Breeders: New Opportunities
Breeders, in particular, are affected by all the changes we mentioned, and globalization is, in itself, an opportunity for the industry. Export markets have expanded, and foals, yearlings, and in-training horses are now commonly sold from Europe to Japan, China, and the Gulf States.
There’s also a growing demand for buying within certain bloodlines in particular. The focus is on qualities such as endurance and even more niche breeding efforts than that. For instance, horses are often bred to thrive in specific climates or altitudes.
The Flip Side: Risks, Inequality & Pressure on Local Producers
There’s also a downside to all the innovations we mentioned. Operational costs are much higher when servicing the whole world, which means some who have been in the business for generations won’t be able to catch up anymore.
It also creates a market polarization between those specializing in elite bloodstock for clients worldwide and local producers who produce somewhat subpar products.
Regulatory pressures are also mounting for the breeders. These come from animal welfare activists and ecologists, as well as from those concerned about the transparency and fairness of the breeding process.
To Sum Up
Equine sports have undergone many changes in recent decades. The sport is now truly globalized, with huge markets in the Gulf States, Japan, and, recently, China. The sport is now also very much dependent on technology and data collection, making it more precise and competitive.
Breeders in particular are affected by these changes. They are now creating products for the global market and have to compete globally as well. There’s an inequality in this innovation, and small, local breeders are being pushed out and marginalized. The industry will also get more regulated now that it includes so many sophisticated and moving parts.
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