Nutraceuticals Market Size (2024-2030)

The Global Nutraceuticals market size is valued at USD 463.23 billion in 2023, and is projected reach USD 605.49 billion by 2030, registering a CAGR of 3.9% from 2024 to 2030.

Nutraceuticals, encompassing non-precise biological treatments, serve to enhance overall health, manage symptoms, and prevent malignancies. The elucidation of nutraceuticals or related products is primarily contingent on their origin, natural foundation, pharmacological conditions, and chemical composition. Functional foods, dietary supplements, and pharmaceuticals are the primary classifications of nutraceuticals. The market anticipates growth over the forecast period, propelled by an escalating demand for functional foods and dietary supplements. A favorable outlook for medical nutrition, driven by the increasing use of dietary supplements for cardiovascular disorders and malnutrition, is expected to stimulate market expansion. The global functional food industry is poised to thrive due to escalating healthcare expenses and an aging demographic. Consumer perception of functional foods as contributors to health and well-being augments market growth, complemented by a rising geriatric population and escalating healthcare costs.

Key Market Insights:

The global nutraceuticals market has sustained a growth trajectory, further augmented by the onset of the COVID-19 pandemic. Nutraceuticals, offering diverse health benefits that support overall health and bolster the immune system, constitute a pivotal growth factor. Heightened consumer awareness of the convenience, flexibility, and health advantages associated with specific dietary supplements is expected to persist. The pandemic underscored the importance of maintaining a robust immune system, benefiting the nutraceuticals industry. Studies by Fairfield Market Research underscore a sustained focus on personalized nutrition, accelerating the demand for nutraceutical products. The report emphasizes the growing significance of specialty sports nutrition in driving demand and provides insight into the market's future progression.

Global Nutraceutical Market Drivers:

Growing Geriatric Population Drives Market Growth:

The increasing geriatric demographic significantly contributes to market expansion. Beyond the age of 65, individuals require additional nutrients to fortify immunity against various age-related ailments. Nutraceuticals serve as daily supplements to meet these nutritional needs. The United Nations reports a global population of approximately 727 million individuals aged 65 or older in 2020, projected to reach around 1.5 billion by 2050. The expanding geriatric population acts as a catalyst for the nutraceuticals industry's forward momentum.

Rising Popularity of Nutrient Enriched Diets Facilitates Market Growth:

Enhanced healthcare opportunities, reduced mortality rates, and consumer willingness to invest in health and wellness contribute to a growing regional population, propelling the global nutraceuticals sector. The International Food Information Council (IFIC) notes that healthfulness significantly influences nearly two-thirds of U.S. adults' food and beverage purchase decisions. Shifting consumer preferences towards functional foods and beverages, especially during the global pandemic, have spurred sales. The realization of the significance of nutraceuticals in supporting immune and physical health further augurs well for global market growth.

Increased Expenditure on Technological Advancement Drives Growth:

Elevated investment in research and development positively impacts manufacturing technology and product quality in the nutraceutical industry. In response to growing demand for health-benefiting products, there has been a rapid evolution in nutraceutical launches in functional beverages and dietary supplements. The adverse effects of antibiotic overuse have prompted the development of nutraceutical products fostering microbiota diversity, thereby enhancing immunity and overall well-being.

Global Nutraceutical Market Constraints and Challenges:

Challenges in Market Growth Stemming from Stringent Regulatory Laws:

The market, despite experiencing heightened demand, confronts impediments to its growth, with one notable factor being the intricate and highly strict regulatory framework governing the commercialization of nutraceutical products. Global markets lack standardized provisions concerning the composition of these products. Harmonization of upper limits and conditions of use for various botanicals, botanical preparations, and bioactive substances remains pending. Divergent opinions among different government entities regarding permissible ingredients and their quantities further complicate the harmonization process.

Market Hindrance Due to Competition with Traditional Pharmaceuticals:

Nutraceuticals encounter stiff competition from traditional pharmaceuticals, which benefit from substantial research, regulatory endorsements, and well-established marketing channels. In certain instances, consumers prefer conventional pharmaceuticals over nutraceuticals, especially for acute or severe health conditions, perceiving pharmaceuticals to deliver more immediate and proven advantages. This competitive landscape with pharmaceuticals poses a challenge for the nutraceuticals market, especially in regions where scientific evidence supporting the efficacy of nutraceuticals is limited.

Global Nutraceutical Market Opportunities:

Nutraceuticals in Prostate Cancer Treatment: Prostate cancer, the most prevalent cancer among American males and the second leading cause of cancer-related deaths, presents challenges concerning treatment resistance and disease progression. Men of U.S. and African descent exhibit the highest prostate cancer mortality rates. Although existing treatment strategies are effective, there is a demand for non-toxic and efficient therapeutic approaches for disease management. Nutraceuticals emerge as a promising opportunity for safe and effective anti-prostate cancer agents. Utilizing nutraceuticals enhances precision in medicine design, minimizing toxicities associated with chemotherapy and overcoming resistance to disease progression. Nutraceuticals hold potential for treating both localized and advanced prostate cancer, positioning them as a valuable opportunity in the nutraceuticals market for prostate cancer management and treatment.

NUTRACEUTICAL MARKET REPORT COVERAGE:

Global Nutraceutical Market Segmentation
Global Nutraceutical Market Segmentation: By Type:

• Dietary Supplements
• Functional Beverages
• Functional Food

The functional food segment holds a substantial share in the overall market. Over the forecast period, there is anticipated significant growth in sales of prebiotics and other probiotics within the functional food market. The pandemic has prompted increased preventive healthcare measures globally, with heightened demand for prebiotics and probiotics due to concerns about weakened immunity in the wake of COVID-19. The functional food segment is poised for significant growth, driven by its increased use in sports and candy bars, as well as elevated incorporation in bakery and confectionery products. The dietary supplements segment is expected to witness growth, fueled by an expanding working population and heightened energy needs among millennials and Gen-Z populations. The demand for dietary fibers, especially in breakfast-based meals, is projected to exhibit the fastest CAGR over the forecast period.

Global Nutraceutical Market Segmentation: By Form:

• Capsules & Tablets
• Liquid & Gummies
• Soft Gels
• Powder
• Other Forms

Tablets and capsules dominate the nutraceutical market, being a popular choice for vitamins due to their ease of swallowing. In 2023, tablets and capsules contributed significantly to revenue. The thin layer of sugar or film on these tablets helps encapsulate unpleasant tastes and odors, contributing to their widespread acceptance. The liquid and gummies segment is expected to witness substantial expansion, driven by increasing sales of liquids such as sodas, soft drinks, and colas, as well as the growing preference for sports drinks among athletes and physically active individuals, particularly in the millennial demographic.

Global Nutraceutical Market Segmentation: By Sales Channel:

• Specialty Stores
• Supermarkets/Hypermarkets
• Convenience Stores
• Drug Stores/Pharmacies
• Online Retail Stores
• Other Sales Channels

Online retail stores, operating as digital platforms facilitating direct consumer-merchant connections, are experiencing steady growth supported by factors such as competitive pricing, discounts, ease of shopping, free shipping, and a diverse product selection. Supermarkets/hypermarkets are expected to grow during the forecast period, serving as crucial distributors due to increased reliance on healthy food and diverse food products.

Global Nutraceutical Market Segmentation: Regional Analysis:

• North America
• Asia-Pacific
• Europe
• South America
• Middle East and Africa

Europe has emerged as a pivotal market for nutraceuticals, primarily driven by anti-aging concerns among the elderly. Concentrated in countries like France, Italy, Germany, the United Kingdom, and Spain, the European nutraceutical market is expanding due to heightened consumer and governmental pressure. Western Europe remains a leader in nutraceutical sales, predominantly through pharmacy-based distribution. The forecast period in Europe anticipates increased demand due to rising concerns about obesity, cardiovascular diseases, and obesity-related ailments. Additionally, functional bottled water is gaining popularity in European countries. During the projection period, Asia Pacific is poised to dominate the market, driven by population growth, rising disposable income, improved living standards, and growing awareness of health-improving foods. The region's increasing popularity of functional foods and beverages, especially probiotics for gut health, is contributing to market expansion and preventing chronic diseases.

Impact of COVID-19 on the Global Nutraceutical Market:

The global nutraceutical market, like many other industries, experienced the repercussions of the COVID-19 pandemic across North America, Europe, Asia Pacific (APAC), South & Central America (SAM), and the Middle East & Africa (MEA). The implementation of lockdowns, travel restrictions, and business closures adversely affected numerous sectors, including the food and beverages industry. Manufacturing unit shutdowns disrupted global supply chains, manufacturing operations, delivery schedules, and sales of both essential and nonessential products. Companies faced challenges such as delays in product deliveries and a decline in product sales throughout 2020. Prior to the emergence of the pandemic, the nutraceuticals market primarily thrived on the increasing demand for products supporting digestive and immune health. The COVID-19 outbreak, however, had a positive impact on the nutraceuticals market as consumers shifted their focus towards immune-boosting and nutritious products amid the rising number of COVID-19 cases. The pandemic heightened consumer awareness about health and wellness, leading to an increased demand for products promoting digestive and immune health. Consequently, sales of dietary supplements, encompassing vitamins, multivitamins, probiotics, and other immunity-boosting functions, experienced a notable surge. This trend provided a significant growth opportunity for the nutraceuticals market during the pandemic.

Recent Trends/Developments:

In February 2022, PepsiCo's Rockstar Energy brand introduced a hemp-infused beverage in the United States under the name "Rockstar Unplugged." This energy drink, featuring hemp seed oil, vitamin-B, spearmint, and lemon balm, contains a modest 80mg of caffeine, significantly lower than typical Rockstar Energy drinks. The hemp-infused drink, available in blueberry, passionfruit, and raspberry-cucumber flavors, stands out for its sugar-free and calorie-free composition.

In June 2022, Kellogg's Special K launched new Protein Snack Bars with 6g of protein and 90 calories. These snack bars, offered in Sweet Berry Vanilla and Rich Chocolaty Brownie Sundae flavors, cater to consumers seeking a convenient on-the-go protein option without compromising on taste.

Key Players:

1. Archer Daniels Midland Company
2. General Mills, Inc.
3. I. du Pont de Nemours and Company
4. Aland (Jiangsu) Nutraceutical Co., Ltd.
5. BASF SE
6. Cargill, Incorporated
7. Royal DSM N.V.
8. Groupe Danone S.A.
9. Nestle S.A.
10. PepsiCo Inc