Nutraceutical Market Robustly Burgeoning: Expected to Reach USD 712.63 Billion by 2027
Published | March 2021
A study, recently conducted by the strategic
consulting and market research firm, BlueWeave Consulting, revealed that the global nutraceutical market reached USD 410.20
billion in 2020 and is further projected to reach USD 712.63 billion by 2027, growing
at a stellar CAGR of 8.28% during 2021-2027 (forecast period). The growth of
the global nutraceutical market has been driven by the growing public awareness
of a healthy lifestyle. The recently introduced nutraceutical products are
highly effective and easy to consume, which is boosting their adoption among health-conscious
consumers. Additionally, over-the-counter supplements, such as energy drinks, sports
drinks, gummies, lozenges, and fortified juices available in the market are highly preferred by consumers.
The greatest advantage of consuming nutraceutical products is that they are not perceived as medicines but as nutrition supplements. The nutraceutical market is categorized into functional food, functional beverages, dietary supplements, personal care, and pharmaceuticals. To increase the nutrition value of daily food, nutraceutical products are fortified with various types of functional ingredients like carotenoids, dietary fibers, fatty acids, minerals, probiotics, prebiotics, and vitamins. These ingredients are good for weight management, sports nutrition, immunity-boosting, clinical nutrition, digestive and cardiovascular health.
Increase in demand for Health and Wellness Products
The importance of leading a healthy lifestyle is becoming more apparent in the general public, which in turn is driving the growth of the nutraceutical industry. Additionally, the positive attitude of the consumers towards functional foods & beverages owing to the health and wellness benefit offered by these products are boosting the market growth. At the same time, market players are investing in research & development activities to develop new foods and drinks that are nutritionally sound. Thus, the global nutraceutical industry is witnessing key developments due to product innovation and portfolio expansion.
Nowadays, an increasing number of people are falling victim to different lifestyle diseases owing to their hectic schedules and unhealthy diet habits, which in turn is increasing the prevalence of non-communicable & chronic diseases. For instance: cancer, psychological disorders, and diabetes are the most common non-communicable diseases prevailing these days. The rise in incidences of non-communicable diseases has compelled consumers to move towards a healthy lifestyle. Especially, after the COVID-19 outbreak, the demand for immunity-boosting products has increased significantly. Vitamin supplements such as zinc and Vitamin C are in huge demand across the globe. While Zinc helps reduce the risk of acute lower respiratory tract infections like SARS-CoV-2, Vitamin C acts as an antioxidant, limiting inflammation and tissue damage besides contributing to immune defense. For instance, Lincoln Pharmaceuticals Ltd. has launched Vitamin C + Zinc oral tablets to boost immunity in the fight against COVID 19. Similarly, EuceeVitamin C chewable tablets are a great source of antioxidants that help make skin healthier besides boosting immunity.
Increase in demand for Natural Personal and Beauty Care Products
The increasing importance of quality of life, the positive effects of beauty and personal care on self-esteem, growing concern over side-effects of chemical-based skincare products, and a gradual consumer shift towards natural wellness care are likely to propel the market growth. According to a report, the Asia-Pacific is likely to dominate the nutraceuticals market during the forecast period. The nutraceutical market is now gripping its root in Asia-Pacific as nutraceuticals are associated with traditional Ayurvedic medicines that help combat problems like aging, hair-fall, and skin-related allergies. Thus, the trend of Ayurvedic nutraceuticals has been creating ample opportunities for this market to overcome various health problems naturally. For instance: Biotique is an Indian-based company that sells a range of ayurvedic beauty and health products in collaboration with a Swiss company. Similarly, Chyawanprash, manufactured by Dabur—an Indian-based company is a commonly used nutraceutical of Ayurveda.
Dietary Supplementssegment is the largest in by Product Type
The growth of the dietary supplement segment can be attributed to the rise in chronic,non-communicable diseases, as well as aging, and skin-related problems. Change in lifestyle due to globalization and urbanization has led to an increase in non-communicable diseases such as cancer, diabetes, heart ailments, joints ailments, allergies, obesity, and lungs disorder. Poor nutrition or unbalanced nutrition is one of the factors that is leading to these non-communicable diseases. Another reason is rising healthcare costs. Since treatment costs are high these days, health-conscious consumers are increasingly relying on dietary supplements to maintain their health. For instance: DuPont Nutrition & Biosciences has collaborated with BY-HEALTH to majorly focus on the research & development of probiotic dietary supplements to produce probiotic supplements for all life stages.
Global Nutraceutical Market: Regional Insights
Based on region, the market is segmented into North America, Europe, the Asia Pacific, Latin America, and the Middle East and Africa. The nutraceutical market has reached the maturity phase in developed economies. International market players are now diversifying their businesses into developing regions. The Asia-Pacific market is expected to grow at the fastest rate in the global nutraceutical market during the forecast period. The growing concern about chronic, non-communicable diseases, as well as an increase in disposable income, are boosting the nutraceutical market in the Asia-Pacific region. These factors are highly relevant in India where access to publicly funded healthcare is limited. Around 30.5% of all health expenditure in India comes from the government as compared to 47.0 % in the United States, 47.5 % in Brazil, 56.0 % in China, 67.0 % in Australia, and 76.7 % in Germany.
Impact of COVID-19 Outbreak
The COVID-19 outbreak has had a positive impact on the global nutraceuticals market as it includes food ingredients that provide health and medical benefits for boosting the immune system and preventing chronic and non-communicable diseases. This sector is projected to be fuelled by rising consumer education levels and growing health awareness among customers. Due to the ongoing pandemic, many over-the-counter nutraceutical products have been launched in the market. Moreover, the increasing sale of such products creating opportunities for new players as well. Nevertheless, the pandemic has paved the way for some fraudulent companies to make false and deceptive marketing claims. Thus, the FSSAI (Food Safety and Standards Authority of India) and ICMR (Indian Council of Medical Research) are now at non-negotiable terms with the invalid claims and therefore, demanding clinical validation of the nutraceutical products. Thus, the pandemic has accentuated the rightful use of nutraceutical products.
Key Market players includeCargillIncorporated,ADM, DuPont, Nestle, Danone, DSM, General Mills Inc., Kellogg’s Company, Herbalife International of America, Inc., Matsun Nutrition, Amway Corporation, W.R. Grace & Co-Conn., Innophons Inc., AOR Inc., Arkopharma, BactolacPharmaceuticals, Inc., E.I.D. Parry, Mead Johnson & Company LLC, Natrol LLC, and Hain Celestial.
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The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of the global nutraceutical market.It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends of the global nutraceutical market and industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyses the growth drivers, challenges, and competitive dynamics of the market.
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