The report found that the annual turnover of pet food products was €21bn (£19.2bn), while the annual sale of pet food products reached 8.5 billion tonnes.
Pet-related services and products were valued at a further €19.7bn (£18bn), while the overall pet food industry saw an annual growth rate of 2.6%.
In addition, it found that 85 million households own a pet, which represents 38% of all households.
Thomas Meyer, FEDIAF secretary general, said: “We are delighted – although not surprised – to read this positive pet data. Pets are wonderful companions and enhance our lives in so many ways.
“In addition to offering unconditional love and companionship, science has proven the numerous ways pets are good for our health.”
He added: “During recent months, we have faced unprecedented challenges to our physical and mental health. Through these tough times, 85 million European households / 195.5 million people will have been grateful for the love their pets provided.”
Joeri Van den Bergh of InSites Consulting said: “The term ‘pet’ has frequently been replaced by ‘companion’ over recent years, with their value recognized throughout the world.
“Moreover, it is clear that owners have no intention of cutting back spending on their companions.”
He added: “I was interested to read that in addition to a massive €21bn (£19.2bn) turnover for pet food, €8bn (£8bn) is spent on accessories and €11bn (£10bn) on services. Our latest research at InSites shows that we care for them as members of the family.”