I think there are lots of alternatives to animal testing. With the help of new genetic engineering techniques you can do lot of tests without real animal organs and tissues.
Animals should be used only when it’s really essential. Mostly lot of tests can be done without harming animals but they use animals because its cheap, commonly available and less hi-tech skills required etc..for testing.
If you wanna know more about the alternatives and methods check these links..
http://www.allforanimals.com/alternatives1.htm
http://www.istl.org/00-summer/internet.html