Probiotic Nutraceutical Ingredient Market Research Report - Segmented By Ingredient (Bacteria and Yeast); Form (Capsules, Gummies, Liquid, Powder, Tablets); Distribution Channel (Brick-and-Mortar Stores, Pharmacies, E-commerce); and Region - Size, Share, Growth Analysis | Forecast (2023 – 2030)

Probiotic Nutraceutical Ingredient Market Size (2023 - 2030)

Global Probiotic Nutraceutical Ingredient Market is estimated to be worth USD 74.16 Million in 2022 and is projected to reach a value of USD 142.43 Million by 2030, growing at a CAGR of 8.5% during the forecast period 2023-2030.

Nutraceuticals refer to food or food components that provide medical or health advantages, encompassing disease prevention and treatment, along with promoting overall well-being. Dr. Stephen DeFelice coined the word in 1989, combining "nutrition" or "nutrient" and "pharmaceutical." Nutraceutical supplements, derived from food sources, provide additional health benefits beyond basic nutrition. While the term lacks a regulatory definition, it generally includes dietary supplements and functional foods. The key difference between nutraceuticals and dietary supplements is that dietary supplements mainly strive to supply additional nutrients to the body, whilst nutraceuticals have a stronger focus on fostering general well-being and preventing diseases. Probiotics, elucidated by the World Health Organization (WHO) as microorganisms conferring health advantages, have been identified as prospective nutraceuticals owing to their natural origin and health advantages. Probiotics, are beneficial live microorganisms and restore the natural balance of gut bacteria disrupted by illness, medication, and poor diet. They aid in preventing and treating diarrhea, including antibiotic-related cases, and show promise in improving mental health conditions like anxiety and depression. Specific probiotic strains support heart health by lowering LDL cholesterol and blood pressure. While limited, some strains may reduce allergies and eczema severity. Probiotics alleviate symptoms of digestive disorders such as IBS, but their effectiveness varies. They potentially enhance the immune system and may assist in weight loss by influencing gut bacteria. 

Global Probiotic Nutraceutical Ingredient Market Drivers:

The growing utilization of Lactobacillus in nutraceuticals is fueling the growth of the global probiotic nutraceutical ingredient market.

It has been proven that probiotics, especially the bacterium Lactobacillus, shorten gastrointestinal transit time by approx. 12 hours and elevate the frequency of bowel movements by 1.3 times per week. Lactobacillus is extensively utilized in the dairy and food verticals, and additionally in the production of medicinal products like probiotics that encourage gut health and guard against pathogenic microorganisms. Lactobacillus is an advantageous bacterium naturally found in the human body, aiding in digestion. It is the most widely used probiotic agent, benefiting growth performance, nutrient absorption, intestinal bacteria balance, gut health, and immune system regulation in humans. Therefore, this factor propels the demand for probiotic nutraceutical ingredients.

The growing evidence of mental health benefits from probiotic nutraceuticals is another factor contributing to the growth of the global probiotic nutraceutical ingredient market.

Numerous studies have shown evidence that probiotic nutraceuticals aid in improving conditions related to mental health. Extensive research conducted on both animals and humans unequivocally unveils the utmost potential and profound advantages of probiotics in addressing certain mental health conditions, encompassing anxiety, depression, autism, obsessive-compulsive disorder (OCD), and memory. Studies involving chemical workers and patients diagnosed with depression demonstrate that daily consumption of probiotic yogurt or capsules can result in enhancements in overall well-being, reduction of depression, alleviation of anxiety, and mitigation of stress. It has been shown that consuming probiotic pills for 8 weeks can lower depression levels as well as signs of inflammation and hormones like insulin. Therefore, this factor also drives the demand for probiotic nutraceutical ingredients.

Global Probiotic Nutraceutical Ingredient Market Challenges:

The global probiotic nutraceutical ingredient market is encountering challenges, primarily in terms of stringent regulations in distinct regions and high costs. Stringent regulations and labeling standards implemented by regulatory organizations in distinct regions are projected to impede the growth of the probiotic nutraceutical ingredients market. These regulatory organizations encompass the European Food Safety Authority within the European Union, the Center for Veterinary Medicine and the US Food and Drug Administration in the United States, and the Therapeutic Goods Act, of 1989 in Australia. These regulations ensure control and oversight over probiotics and feed supplements, including health claims. Moreover, the high cost of probiotics, compared to control feed supplements, prebiotics, and symbiotics, poses a challenge to widespread adoption and may restrict the market's expansion.

Global Probiotic Nutraceutical Ingredient Market Opportunities:

Market expansion strategies present a lucrative opportunity in the global probiotic nutraceutical ingredient market. Given the rising demand for probiotic nutraceuticals owing to their advantages, including improved gut health, enhanced immune function, improvements in mental health, improved skin health, and weight loss management, businesses specializing in the production and distribution of probiotic nutraceutical ingredients can stand to gain significantly from this opportunity by expanding their products to other regions, including South America and the Middle East and Africa.

COVID-19 Impact on the Global Probiotic Nutraceutical Ingredient Market:

The outbreak of the COVID-19 pandemic substantially impacted the global probiotic nutraceutical ingredient market. The pandemic caused disruptions in supply chains and distribution of goods and services, which highly affected the production and distribution of probiotic ingredients. This factor negatively impacted the growth of the global probiotic nutraceutical ingredient market. However, the pandemic has fueled a surge in demand for immune-enhancing products like probiotic nutraceutical ingredients, as consumers prioritize immune health and overall well-being. This factor positively impacted the market's growth. Therefore, the global probiotic nutraceutical ingredient market experienced both challenges and opportunities during the difficult time of the COVID-19 pandemic.

Global Probiotic Nutraceutical Ingredient Market Recent Developments:

In January 2023, Lallemand Health Solutions introduced an organic variant of the probiotic yeast, Saccharomyces boulardii, commemorating its centenary. Consumers, who value sustainable development, express their commitment through responsible buying decisions, favoring brands that share their beliefs. FMCG GURUS reports that 48% of consumers worldwide are willing to consistently invest more in organic products, underscoring their strong inclination towards environmentally conscious choices.

• In February 2022, Kerry Group, a global taste and nutrition company, unveiled its agreement to acquire approximately 92% of the issued share capital of c-LEcta GmbH, a biotechnology innovation company specializing in precision fermentation and bio-processing. The acquisition, valued at EUR 137 million, will enhance Kerry's innovation capabilities in enzyme engineering and bioprocess development. With c-LEcta's strong portfolio and technology capabilities, combined with Kerry's market reach and expertise, the acquisition aims to propel growth and support the development of sustainable technologies for future food and health systems.
• In April 2020, Chr. Hansen A/S unveiled the launching of The Probiotics Institute, an online platform devised to educate both healthcare professionals and the general public about probiotics and the human microbiome. The purpose of this initiative is to clear up any ambiguities about probiotic products and their benefits. The platform will offer informative and engaging content, focusing on probiotics, different probiotic strains, and the solutions provided by Chr Hansen.

PROBIOTIC NUTRACEUTICAL INGREDIENT MARKET REPORT COVERAGE:

Global Probiotic Nutraceutical Ingredient Market Segmentation: By Ingredient

• Bacteria

• Yeast

In 2022, the bacteria segment held the highest market share. The growth can be ascribed to the amplified utilization of advantageous microorganisms like Lactobacillus, Bifidobacterium, and Streptococcus as probiotics, frequently present in probiotic products and fermented foods. Lactobacillus aids in declining cholesterol levels, averting diarrhea, alleviating symptoms of irritable bowel syndrome (IBS), and preventing symptoms of eczema. Bifidobacterium helps to avoid constipation, H. pylori infection, pouchitis, and lung infections. Streptococcus aid in improving digestion and boosting immunity.

Global Probiotic Nutraceutical Ingredient Market Segmentation: By Form

• Capsules

• Gummies

• Liquid

• Powder

• Tablets

In 2022, the capsules segment held the highest market share. The growth can be attributed to the numerous advantages that capsules offer in contrast to other nutraceutical forms. Capsules dissolve faster, leading to faster symptom relief. They have no taste or odor, providing a more pleasant consumption experience. Capsules are also formulated to be tamper-resistant, guaranteeing they are taken as intended. Furthermore, capsules exhibit greater bioavailability, leading to enhanced absorption of the medication in the bloodstream. This makes capsules slightly more effective than tablets, powders, and gummies.

Global Probiotic Nutraceutical Ingredient Market Segmentation: By Distribution Channel

• Brick-and-Mortar Stores

• Pharmacies

• E-commerce

In 2022, the e-commerce segment held the highest market share. The growth can be ascribed to the advantages that e-commerce platforms offer in contrast to other distribution channels, including amplified convenience, speed, and cost savings for individuals, especially for those who are geographically distant from conventional pharmacies or have limited mobility. E-commerce eliminates the need for travel and waiting in line, providing a quick and hassle-free method of obtaining probiotic nutraceuticals. Online purchasing can result in significant savings, with potential discounts of up to one-third of the total cost contrasted to conventional pharmacies. Furthermore, some e-commerce platforms provide valuable information regarding probiotic nutraceuticals and illnesses, offering links to reliable medical resources, universities, and government agencies.

Global Probiotic Nutraceutical Ingredient Market Segmentation: By Region

• North America

• Europe

• Asia-Pacific

• South America

• Middle East & Africa

The region of Europe held the largest share of the global probiotic nutraceutical ingredient market in the year 2022. The growing popularity of probiotics to maintain gut health, the presence of well-established healthcare and pharmaceutical industries in nations, such as Germany, the United Kingdom, and France, and the increasing investments in research and development activities are some of the factors propelling the region's growth. Additionally, Europe is home to several significant market players, including Chr. Hansen A/S, Kerry Group plc, Probi AB, BioGaia AB, and Bifodan A/S. The region of Asia-Pacific is anticipated to expand at the quickest rate over the forecast period owing to the consumers' incline towards healthcare products offering nutritional value, significant consumer awareness that has been fostered by the competitive strategies implemented by key players in the region, and the increasing research and studies conducted on Enterococcus strains in China. 

Global Probiotic Nutraceutical Ingredient Market Key Players:

1. Chr. Hansen A/S (Denmark)

2. The Archer-Daniels-Midland Company (United States)

3. Kerry Group plc (Ireland)

4. Probi AB (Sweden)

5. DuPont de Nemours, Inc. (United States)

6. BioGaia AB (Sweden)

7. Lallemand Inc. (Canada)

8. Glac Biotech Co., Ltd. (Taiwan)

9. Bifodan A/S (Denmark)

10. Advanced Enzyme Technologies Ltd. (India)