Over the next five years, the nutraceutical ingredients market is projected to experience a robust compound annual growth rate of 7.2%, with its value increasing from USD 185.2 billion in 2022 to a staggering USD 261.7 billion by 2027. This highlights a growing demand for natural, health-promoting ingredients and reflects a shift towards proactive health management among consumers globally. With the rising prevalence of chronic diseases and an increasing focus on preventive healthcare, the nutraceutical industry is poised to play a significant role in shaping the future of healthcare.
The nutraceutical industry is at the forefront of scientific innovation, leveraging cutting-edge technologies such as artificial intelligence to select optimal ingredients for their products. With a growing emphasis on preventative healthcare, nutraceuticals are becoming increasingly popular as consumers seek to avoid costly treatments and maintain optimal health. In fact, the demand for nutraceuticals is being driven by a rising consumer interest in foods that promote good health, particularly as chronic diseases such as diabetes, high blood pressure, and obesity continue to plague populations worldwide. As healthcare costs remain prohibitively high for many individuals, nutraceuticals offer an attractive alternative for those seeking to lead healthy lifestyles and avoid expensive medical interventions. The nutraceutical industry’s dynamic growth presents new opportunities for scientific advancement, as well as for businesses seeking to meet the growing demand for natural, health-promoting products.
Some of the key trends currently driving the nutraceutical ingredients market:
Increasing consumer demand for natural, plant-based ingredients: Consumers are increasingly seeking out nutraceutical products made from natural, plant-based ingredients, rather than synthetic alternatives.
Growing focus on preventive healthcare: With the rising prevalence of chronic diseases, there is a growing emphasis on preventive healthcare, driving demand for nutraceuticals that support optimal health and well-being.
Rising interest in personalized nutrition: As consumers become more health-conscious, there is growing interest in personalized nutrition, with nutraceuticals tailored to individual needs and preferences.
Advancements in technology: The nutraceutical industry is leveraging advanced technologies such as artificial intelligence, machine learning, and blockchain to improve ingredient selection, product formulation, and quality control.
Expansion into new markets: The nutraceutical industry is expanding rapidly into new markets, including Asia Pacific, Latin America, and the Middle East, as rising incomes and growing health awareness drive demand for health-promoting products.
Increasing regulatory scrutiny: With growing concerns about product safety and efficacy, there is increasing regulatory scrutiny of nutraceutical ingredients, driving the need for rigorous testing and quality control measures.
Nutraceutical ingredients market is projected to increase at a rapid rate in the APAC region due to a surge in demand and the presence of a large consumer base for food, beverages, dietary supplements, personal care products, and feed. This large consumer base being the reason for the highest market growth, as population in these regions increases.
The key players in this Market include Associated British Foods Plc (UK), Arla Foods Ingredients Group P/S (Denmark), DSM (Netherland), Ingredion (US), Tate & Lyle (UK), Ajinomoto Co., Inc. (Japan), CHR Hansen Holdings A/S. (Denmark), Kyowa Hakko Bio Co., Ltd. (Japan), Glanbia Plc (Ireland), Fonterra Co. Operative Group Limited (New Zealand), Cargill Incorporated (US), ADM (US), International Flavors & Fragrances, Inc. (US), BASF SE (Germany) and Kerry Groups (Ireland). Strategic partnerships were the dominant strategy adopted by the key players, followed by expansions and new product launches. These strategies have helped them to increase their presence in different regions and industrial segments. These players in this Market are focusing on increasing their presence through agreements and collaborations. These companies have a strong presence in North America, Asia Pacific and Europe. They also have manufacturing facilities along with strong distribution networks across these regions.
