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Nutraceutical Ingredients Market size is estimated to grow by USD 11.16 billion between 2022 and 2027 accelerating at a CAGR of 4.48% during the forecast period. The growth of the market depends on several factors, including the health benefits of nutraceutical ingredients, increasing demand for plant-based diets, and the growing aging population.
The report includes an in-depth analysis of drivers, trends, and challenges.
Nutraceutical ingredients are those that provide both nutritional and pharmaceutical properties to nutraceutical products that are beneficial for human health. As a result of the several benefits offered, such as overall health benefits and energy boosting, among others, they are used in several end-user industries. These can be a portion of food, or food, on the whole, having a health or medical benefit, which aid in the prevention, diagnosis, and treatment of several chronic diseases such as obesity, cancer, high blood pressure, and diabetes. They also have a wide range of applications in the personal care and animal nutrition industries.
Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers, trends, and challenges will help companies refine their marketing strategies to gain a competitive advantage.
The health benefits of nutraceutical ingredients is a major market driver. These encompass supplements and functional meals that offer additional health benefits beyond basic nutrition. It has a wide range of beneficial properties for the human body. Increasing health concerns and growing safety awareness worldwide have fueled the demand for these products.
Given the rise in chronic diseases, people are becoming increasingly conscious of their eating habits and seeking food and beverage products that offer a balance of nutrition and taste. Consequently, the demand for such substances has surged globally, driven by health concerns and awareness of their numerous benefits. This trend is expected to significantly propel the growth of the global market in the forecast period.
Focus on personalized nutrition is a major trend in the market. The market in focus is expected to experience growth due to the increasing consumer preference for personalized nutrition. This approach involves analyzing factors like genes, lifestyle, and health goals to develop customized diets and supplements. There is a growing demand that can be tailored to support personalized nutrition. Advancements in technology and a better understanding of the role of nutrition in preventing and treating health conditions are driving this trend. Market players are investing in research and development to create products that can be customized for individual needs.
Additionally, new delivery systems and dosage forms are being developed to make personalized nutrition more practical and accessible. These factors are anticipated to drive market growth during the forecast period.
Stringent regulations pertaining to food safety is a major challenge in the market. The global market is regulated to ensure the safety of ingredients used in food products. Manufacturers face challenges in complying with these stringent regulations while maintaining quality standards. Government bodies impose and monitor regulations on ingredient safety, product classification, labeling, and quality control tests. For example, in the US, manufacturers must notify the FDA on ingredient usage and adhere to the FD&C Act and DSHEA guidelines. Non-compliance can result in product recalls and fines. Similar regulations exist in Canada, the EU, and China. Non-compliance with food safety regulations may negatively impact the market's growth during the forecast period.
The market share growth by the functional food and beverage segment will be significant during the forecast period. These ingredients used in a variety of functional foods and beverages typically include ingredients that are consumed as part of the normal diet. These dietary supplement ingredients contain certain biologically active ingredients that offer the potential to improve health and reduce disease risk. Some functional foods and beverages, such as milk, contain certain minerals, vitamins, fatty acids, and fiber.
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The functional food and beverage segment was valued at USD 24.93 billion in 2017 and continued to grow until 2021. Nutraceutical ingredients, including phytochemicals, antioxidants, probiotics, and flavonoids, offer diverse health benefits and are increasingly used in functional foods and beverages. For instance, phytonutrients found in plant-based foods provide detoxification and immune system support. With a rise in health conditions, changing consumer lifestyles, and increasing prevalence of cardiovascular disease, cancer, and diabetes, consumers are opting for healthier choices. This trend is driving the incorporation of beverage products, leading to the growth of this market segment during the forecast period.
The global market is experiencing increased popularity of dry forms due to their longer shelf lives, convenience in storage and transportation, and growing demand. Dry-form ingredients, particularly powders and tablets, are expected to be highly sought after between 2023 and 2027, driven by the rising demand for convenient and user-friendly nutraceutical products. The APAC region, fueled by the growing demand in economies like China and India, is projected to have the largest market. These trends and preferences are anticipated to drive the growth of the market focused on dry-form ingredients during the forecast period.
APAC is estimated to contribute 32% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional market trends and analysis and drivers that shape the market during the forecast period.
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The demand for herbal ingredients is driving the market in the APAC region, particularly in countries like China and India, where consumers associate herbal ingredients with essential nutrients and health benefits. The rapid economic development and population growth in the APAC region have contributed to the increased demand for herbal ingredients. Additionally, rising health awareness among consumers and the demand for nutritious food products with dietary supplements have further fueled the demand for herbal ingredients in the region.
Companies are implementing various strategies by analyzing factors such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product or service launches, to enhance their presence in the market.
Natrol LLC- The company offers melatonin health supplements which help to mitigate sleep disorders in children.
The market report also includes detailed analyses of the competitive landscape of the market and information about 15 companies, including:
Qualitative and quantitative market growth analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.
The report forecasts market growth and forecasting by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
The nutraceutical ingredients market analysis growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
The market is experiencing robust growth, influenced by organizations like the World Health Organization and the United Nations’ Food and Agricultural Organization. With preventive healthcare gaining traction, the demand for nutraceutical products is rising amidst concerns over cardiovascular diseases, digestive issues, and overweight conditions. Both established players and new entrants are leveraging technology and innovation to offer personalized solutions such as power gummies and functional beverages. Nutritional studies and scientific advancements are driving consumer interest in alternative cures, particularly as lifestyle-related diseases become more prevalent. Governmental organizations are actively promoting fortified products across health and wellness food & beverage categories, further propelling market expansion.
Nutraceutical Ingredients Market Scope |
|
Report Coverage |
Details |
Page number |
174 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 4.48% |
Market growth 2023-2027 |
USD 11.16 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
3.36 |
Regional analysis |
APAC, Europe, North America, South America, and Middle East and Africa |
Performing market contribution |
APAC at 32% |
Key countries |
US, China, Japan, Germany, and France |
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
Key companies profiled |
Ajinomoto Co. Inc., Amway Corp., Archer Daniels Midland Co., Arla Foods amba, Associated British Foods Plc, BASF SE, Cargill Inc., Danone SA, DuPont de Nemours Inc., EID Parry India Ltd., General Mills Inc., Herbalife International of America Inc., Koninklijke DSM NV, Natrol LLC, Nestle SA, Reckitt Benckiser Group Plc, Tate and Lyle Plc, The Lubrizol Corp., Valensa International, Advanced Orthomolecular Research Inc., and |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID 19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our Market forecasting report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Form Factor
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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