Nutraceutical Ingredients Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 7.10 % |
| Fastest Growing Market | North America |
| Largest Market | Asia-Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Nutraceutical Ingredients Market Analysis
The global nutraceutical ingredients market is projected to register a CAGR of 7.1% over the next five years.
The high progression of the nutraceuticals segment, like the probiotic segment, can be considered the reason for volatile lifestyle and eating practices, rising consciousness about the physical fitness benefits of probiotics over digestive health, and increasing utilization of probiotics in animal feed for the nutrition of animals. With a high number of COVID-19 cases in major countries like the United States, China, Canada, India, Germany, the United Kingdom, and others, the requirement for nutraceutical ingredients remained high due to their functional benefits, and it was supposed to remain high on demand in the upcoming years as well. The dietary supplement was popular over other nutraceutical ingredients during COVID-19 due to its functional benefits.
Innovation and new product development are likely to drive the demand for nutraceutical products such as power gummies, which are chewable dietary supplements that offer various health benefits. Nutraceutical ingredients are derived from animal, plant, microbial, and synthetic sources and provide health benefits, adding the primary nutritional value and functional benefits to various applications such as food, beverages, dietary supplements, animal nutrition, and personal care products.
Nutraceutical ingredients are useful in the pharmaceutical industry because of their medical benefits in treating or curing diseases and promoting better health. According to the World Health Organization, cardiovascular diseases are the leading cause of death globally, taking an estimated 17.9 million lives each year. Thus, the rising healthcare costs and benefits of preventive healthcare solutions have encouraged consumers to take their health into their own hands by equipping themselves with health information and making well-informed purchasing decisions on nutraceutical ingredients.
Nutraceutical Ingredients Market Trends
This section covers the major market trends shaping the Nutraceutical Ingredients Market according to our research experts:
Growing Consumption of Neutraceutical Products
Consumers are more concerned about improving their health than paying huge medical bills for treatment, so most people are inclined toward nutraceutical ingredient products. Nutraceuticals are becoming more important around the world, and the average consumer is starting to eat them every day.Also, more people are becoming less active, which could lead to digestive problems like constipation, bloating, and indigestion.Customers are mostly requesting digestive health supplements to address these medical problems. According to the analysis of the Organization for Economic Co-operation and Development (OECD), the percentage of health expenditure spent on overweight and related conditions is predicted to account for 14% of health expenditure in the United States from 2020 to 2050. Nowadays, amendments to the products are made as per the current trend in the market. Thus, technology and innovation enable giant producers to manufacture functional and nutraceutical foods aimed at both general and specific health problems. The spread of COVID-19 worldwide inspires people to be inclined toward nutraceutical-based products that will boost their immune systems and keep them fit and healthy. However, adopting precautionary healthcare measures is considerably increasing product sales in every region. Functional beverages are one of the fastest-growing segments, and developing markets have growth potential for these beverages. Within the functional beverage segment, enhanced water and ready-to-drink beverages are seeing increased consumer demand.
Moreover, the growing working population and hectic lifestyle have adversely affected lifestyle-related diseases. Thus, the rising healthcare costs and benefits of preventive healthcare solutions have encouraged consumers to take their health into their own hands, equipping themselves with health information and taking well-informed purchasing decisions on nutraceuticals.
Asia-Pacific Holds the Largest Market Share
The Asia-Pacific region dominates the market, with the largest share and the highest growth rate projected in the forecast period. In Asia-Pacific, Japan holds the major share in the nutraceutical ingredients market, followed by China and India. Increased working hours and a sedentary lifestyle are factors impacting consumers' overall health and well-being, leading to metabolic stress. Thus, consumers turned to nutraceuticals for self-managed therapy. Customers are looking for nutritional solutions as they become more conscious of the significance of gut health. The economy is projected to improve in some regions with an increase in disposable income in the coming years. This would boost the market, as people tend to spend a good amount of their income on health-related aspects.
In Japan, foods or nutraceuticals with gastrointestinal tract improvement-related health claims are the most prevalent. After cholesterol reduction, triglyceride reduction is the second-most prevalent claim. According to the World Bank, the healthcare expenditure of Japan accounted for 10.74% of the GDP in 2020, making it one of the top countries in health expenditure. As a result of the increase in health-care spending, these ingredients have seen great success in the Japanese market.
Additionally, the functional beverage segment in the nutraceuticals ingredient market is expected to have a steady growth rate during the forecast period as the enhancement in the adoption of health and fitness drink commodities among consumers is high on demand, particularly in the regions of China, Japan, India, and Malaysia. The population growth rate in the Oceania nations, such as Australia and New Zealand, is not very high. Nutraceutical products are highly consumed by athletes and sportspeople, and the sports and energy segment in Asia-Pacific is projected to have the fastest-growing segment with the increasing consciousness of the organic benefits and the acquisition of supplements made up of nutraceutical ingredients.
Nutraceutical Ingredients Industry Overview
The global nutraceutical ingredients market is moderately competitive, with a few major players like Archer Daniels Midland Co., Cargill Inc., Ajinomoto Co., Nutraceutix, Inc., and Ingredion Incorporated. With increased industry regulation worldwide, new product launches, mergers, and acquisitions have also increased, which are the primary causes of acquiring a vast market share. The manufacturers are concentrating on enhancing their product quality to obtain a competitive edge over other players in the market. Advanced distribution network and manufacturing expertise give the manufacturers an upper edge to expand their range of products worldwide.
Nutraceutical Ingredients Market Leaders
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Cargill Incorporated
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BASF SE
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Archer Daniels Midland Company
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International Flavors & Fragrances, Inc
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Koninklijke DSM NV
*Disclaimer: Major Players sorted in no particular order
Nutraceutical Ingredients Market News
December 2022: Nutrilitius, a startup brand owned by Pune-based Shover Foods International, India, expanded its product portfolio with a foray into nutraceuticals. The range of nutraceutical products has been formulated to promote good health and immunity. As per the company, it has chosen to introduce its offerings in capsule form, considering that gummy supplements have fewer quantities of vitamins and minerals. Furthermore, the company claims the ingredients are vegan, sugarless, and approved by the Food Safety and Standards Authority of India (FSSAI).
January 2022: DSM Group, a global science-based company, launched its latest integrated Food & Beverage functional structure, which combines three sections of DSM's business based on nutrition, i.e., hydrocolloids, food specialties, and a few portions of the nutritional commodities group, on demand of emerging customers and current needs of the market.
November 2021: ArchiMed acquired SUANFARMA, a key manufacturer and distributor of active nutraceutical ingredients and pharmaceuticals, to outsource their vital products globally, which will boost their sales and profit growth.
Nutraceutical Ingredients Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Ingredient Type
5.1.1 Prebiotic
5.1.2 Probiotic
5.1.3 Vitamins
5.1.4 Minerals
5.1.5 Protein
5.1.6 OMEGA 3 Structured Lipids
5.1.7 Phytochemicals & Plant Extracts
5.1.8 Fibers and specialty Carbohydrates
5.1.9 Other Ingredient Types
5.2 By Application
5.2.1 Functional Foods
5.2.2 Functional Beverages
5.2.3 Dietary Supplements
5.2.4 Animal Nutrition
5.2.5 Cosmetics
5.2.6 Other Applications
5.3 Geography
5.3.1 North America
5.3.1.1 United States
5.3.1.2 Canada
5.3.1.3 Mexico
5.3.1.4 Rest of North America
5.3.2 Europe
5.3.2.1 United Kingdom
5.3.2.2 Germany
5.3.2.3 France
5.3.2.4 Russia
5.3.2.5 Italy
5.3.2.6 Spain
5.3.2.7 Rest of Europe
5.3.3 Asia-Pacific
5.3.3.1 India
5.3.3.2 China
5.3.3.3 Japan
5.3.3.4 Australia
5.3.3.5 Rest of Asia-Pacific
5.3.4 South America
5.3.4.1 Brazil
5.3.4.2 Argentina
5.3.4.3 Rest of South America
5.3.5 Middle-East and Africa
5.3.5.1 South Africa
5.3.5.2 Saudi Arabia
5.3.5.3 Rest of Middle-East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Cargill, Incorporated
6.3.2 International Flavors & Fragrances, Inc.
6.3.3 BASF SE
6.3.4 Archer Daniels Midland Company
6.3.5 Associated British Foods PLC
6.3.6 Ajinomoto Co.
6.3.7 Koninklijke DSM N.V.
6.3.8 Ingredion Incorporated
6.3.9 Nutraceutix, Inc.
6.3.10 FMC Corporation
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. IMPACT OF COVID-19 ON THE MARKET
Nutraceutical Ingredients Industry Segmentation
Nutraceutical ingredients are food commodities that prevent or significantly impact medical conditions or illnesses.
The Global Nutraceutical Ingredients Market is divided into two sections: ingredient type and application. By ingredient type, the market is segmented into prebiotics, probiotics, vitamins, minerals, proteins, omega-3 structured lipids, phytochemicals and plant extracts, fibers, and specialty carbohydrates. Based on application, the market is segmented into functional foods, functional beverages, dietary supplements, animal nutrition, personal care and cosmetics, and others. By geography, the market is segmented into North America, Europe, Asia-Pacific, South America, and the Middle East and Africa. The report offers the market size and forecast for nutraceutical ingredients in terms of value (USD million) for all the above segments.
| Ingredient Type | |
| Prebiotic | |
| Probiotic | |
| Vitamins | |
| Minerals | |
| Protein | |
| OMEGA 3 Structured Lipids | |
| Phytochemicals & Plant Extracts | |
| Fibers and specialty Carbohydrates | |
| Other Ingredient Types |
| By Application | |
| Functional Foods | |
| Functional Beverages | |
| Dietary Supplements | |
| Animal Nutrition | |
| Cosmetics | |
| Other Applications |
| Geography | |||||||||
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Nutraceutical Ingredients Market Research FAQs
What is the current Nutraceutical Ingredients Market size?
The Nutraceutical Ingredients Market is projected to register a CAGR of 7.10% during the forecast period (2024-2029)
Who are the key players in Nutraceutical Ingredients Market?
Cargill Incorporated, BASF SE, Archer Daniels Midland Company, International Flavors & Fragrances, Inc and Koninklijke DSM NV are the major companies operating in the Nutraceutical Ingredients Market.
Which is the fastest growing region in Nutraceutical Ingredients Market?
North America is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Nutraceutical Ingredients Market?
In 2024, the Asia-Pacific accounts for the largest market share in Nutraceutical Ingredients Market.
What years does this Nutraceutical Ingredients Market cover?
The report covers the Nutraceutical Ingredients Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Nutraceutical Ingredients Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Nutraceutical Products Industry Report
Statistics for the 2024 Nutraceutical Products market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. Nutraceutical Products analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
