Global Nutraceutical Ingredient Market Overview
As per MRFR analysis, the Nutraceutical Ingredient Market Size was estimated at 104.6(USD Billion) in 2022. The Nutraceutical Ingredient Market Industry is expected to grow from 109.3(USD Billion) in 2023 to 171.1(USD Billion) by 2032. The Nutraceutical Ingredient Market CAGR (growth rate) is expected to be around 5.1% during the forecast period (2024 - 2032).
Key Nutraceutical Ingredient Market Trends Highlighted
The Nutraceutical Ingredient Market is experiencing a surge in demand, driven by rising health consciousness and the search for natural alternatives to traditional pharmaceuticals. Key drivers include the growing prevalence of chronic diseases, an aging population, and increased disposable income. Opportunities lie in the development of personalized nutrition, functional foods, and innovative delivery systems.
Recent trends include the integration of artificial intelligence and machine learning for ingredient discovery, the rise of e-commerce platforms for nutraceutical sales, and a shift towards sustainable and plant-based ingredients.
The industry is also witnessing a growing emphasis on transparency and regulatory compliance, with consumers demanding clear labeling and evidence-based claims.
To stay competitive, market participants must focus on innovation and strategic partnerships. They should also prioritize consumer education and engagement, addressing their evolving nutritional needs and preferences. The market is expected to continue its growth trajectory in the coming years, providing ample opportunities for stakeholders to capitalize on the growing demand for natural and effective nutraceutical ingredients.
Figure 1: Nutraceutical Ingredient Market Size, 2023-2032 (USD Billion)
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Nutraceutical Ingredient Market Drivers
Rising Health Consciousness and Focus on Preventive Healthcare
Modern consumers are focused on their health, and they try to avoid various risks by following a healthy lifestyle. At the same time, not everyone is ready to use some medications proactively to prevent certain health conditions because of the side effects they can cause. Nutraceutical ingredients are perceived as safe non-pharmacological alternatives to prescription drugs. Therefore, they are becoming one of the most popular ways to promote health, prompting more and more people to make it.
As a result, more and more people make using nutraceutical ingredients a part of their lifestyle. In conclusion, nutraceutical ingredients are becoming increasingly popular because many people want to preserve their health by being proactive. They are considered the preventatives that are safe and natural. The increasing demand for nutraceutical ingredients can be explained by the fact that modern people try to lead a healthy lifestyle, and the number of people willing to take care of themselves in a comprehensive way is growing.
Growing Prevalence of Chronic Diseases and Aging Population
Rising prevalence of chronic diseases such as cardiovascular ailments, diabetes, arthritis, among others. Chronic condition means the condition is long-term and nutraceuticals are nothing but a food or part of the diet that has beneficial effects on health, including the prevention and treatment of disease. Nutraceuticals facilitate the bioavailability process and include such things as white rice. Further, nutraceuticals help prevent both chronic and age-related diseases in humans.
Technological Advancements and Product Innovation
The emergence of extraction, encapsulation, and delivery technologies resulted in the improvement of the overall efficacy and bioavailability of nutraceutical ingredients. As a result of such achievements, many new products have emerged that meet the specific needs and preferences of customers. For example, various sustained-release formulations guarantee the persistent delivery of active ingredients and microencapsulation makes it possible to protect sensitive compounds from degradation.
In sum, these examples add to the growing acceptance and use of nutraceutical ingredients in the Global Nutraceutical Ingredient Market Industry.
Nutraceutical Ingredient Market Segment Insights
Nutraceutical Ingredient Ingredient Type Insights
The Global Nutraceutical Ingredient Market is segmented by Ingredient Type into Vitamins, Minerals, Herbal Extracts, Prebiotics and Probiotics, and Specialty Nutrients. In 2023, the vitamins segment is expected to hold a significant market share. Moreover, the segment is expected to continue dominance throughout the forecast period. The growth of vitamins can be attributed to their properties, particularly in filling nutrition gaps and supporting overall health needs.
However, the minerals segment is expected to hold the highest market share for the same forecast period due to the emerging need for supplements, particularly in filling dietary needs for mineral supplements necessity.
On the other hand, the herbal extracts segment is expected to be the fastest-growing segment during the same forecast period. The growth can be attributed to the increased need for traditional and natural products that encourage increased awareness of the same products. However, the prebiotics and probiotics segment is expected to grow significantly due to the need to maintain gastrointestinal health for overall bodily functional health and well-being.
On the other hand, type also ranks second; thus, the specialty nutrients segment is experiencing moderate growth for the overall forecast period.
The growth is associated with the increased need for specialty nutrients for specialty purposes. The market is driven by the increased consumption of nutraceuticals for health and wellness and the prevalence of chronic diseases. It is also expected that people will benefit from the increased awareness of the benefits of nutraceuticals.
Figure 2: Nutraceutical Ingredient Market, By Ingredient Type, 2023 & 2032
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Nutraceutical Ingredient Application Insights
The Global Nutraceutical Ingredient Market is segmented based on application into dietary supplements, functional foods and beverages, cosmetics and personal care products, pharmaceuticals, and pet food. Among these, the dietary supplements segment is projected to hold the largest market share during the forecast period. The increasing demand for dietary supplements to improve overall health and well-being is a major factor driving the growth of this segment.
The Global Nutraceutical Ingredient Market for dietary supplements is expected to reach USD 275.43 billion by 2024, growing at a CAGR of 9.2% during the forecast period.
Functional foods and beverages is another significant segment in the Global Nutraceutical Ingredient Market. These products are gaining popularity due to their ability to provide health benefits beyond basic nutrition. The increasing awareness about the link between diet and health is fueling the demand for functional foods and beverages.
The Global Nutraceutical Ingredient Market for functional foods and beverages is projected to reach USD 220.56 billion by 2024, growing at a CAGR of 8.5% during the forecast period. Cosmetics and personal care products is a rapidly growing segment in the Global Nutraceutical Ingredient Market.
Nutraceutical ingredients are being increasingly used in cosmetics and personal care products due to their ability to improve skin health and appearance. The Global Nutraceutical Ingredient Market for cosmetics and personal care products is expected to reach USD 120.34 billion by 2024, growing at a CAGR of 7.8% during the forecast period.
Pharmaceuticals is another important segment in the Global Nutraceutical Ingredient Market. Nutraceutical ingredients are being used in pharmaceuticals to develop new drugs and therapies for a wide range of diseases.
The increasing demand for natural and effective treatments is driving the growth of this segment. The Global Nutraceutical Ingredient Market for pharmaceuticals is projected to reach USD 105.23 billion by 2024, growing at a CAGR of 7.5% during the forecast period. Pet food is a relatively small but growing segment in the Global Nutraceutical Ingredient Market. Nutraceutical ingredients are being added to pet food to improve the health and well-being of pets.
The increasing demand for premium pet food is driving the growth of this segment. The Global Nutraceutical Ingredient Market for pet food is expected to reach USD 55.12 billion by 2024, growing at a CAGR of 6.8% during the forecast period.
Nutraceutical Ingredient Source Insights
The Global Nutraceutical Ingredient Market is segmented by source into Natural, Synthetic, and Semi-Synthetic. The Natural segment held the largest market share in 2023 and is projected to continue to dominate the market through 2032. The dominance of the Natural segment can be attributed to the increasing consumer preference for natural and organic products, as well as the growing awareness of the health benefits associated with natural ingredients. The Synthetic segment is expected to witness significant growth over the forecast period, owing to the rising demand for fortified and functional foods and beverages.
The Semi-Synthetic segment is also expected to grow steadily, as it offers a cost-effective alternative to natural ingredients while still providing similar health benefits.
Nutraceutical Ingredient End-User Target Insights
The Global Nutraceutical Ingredient Market segmentation by End-User Target provides valuable insights into the specific consumer groups driving market growth. Key end-user targets include Heart Health, Immune System Support, Anti-Aging, Cognitive Function, and Digestive Health. In 2023, the Heart Health segment held a significant market share due to rising cardiovascular diseases and increased awareness of heart health supplements. The Immune System Support segment is projected to witness substantial growth over the forecast period as consumers prioritize their overall well-being and immunity amidst the ongoing pandemic.
Anti-Aging supplements are gaining popularity among aging populations seeking to maintain a youthful appearance and vitality. Cognitive Function supplements are in high demand as concerns over mental health and cognitive decline increase. Lastly, Digestive Health supplements cater to the growing prevalence of digestive issues, further contributing to market growth.
Nutraceutical Ingredient Distribution Channel Insights
The Global Nutraceutical Ingredient Market segmentation by Distribution Channel comprises Retail Stores, E-commerce, Direct-to-Consumer, Wholesale Distributors, and Food and Beverage Manufacturers. Among these, the Retail Stores segment held the largest market share in 2023 and is expected to continue its dominance throughout the forecast period. The segment's growth can be attributed to the increasing availability of nutraceutical ingredients in retail stores, as well as the growing consumer preference for purchasing these ingredients from physical stores.
The E-commerce segment is expected to witness the fastest growth during the forecast period, owing to the increasing penetration of e-commerce platforms and the convenience offered by online shopping. The Direct-to-Consumer segment is also expected to grow significantly as nutraceutical ingredient manufacturers increasingly focus on selling directly to consumers through their own websites and online marketplaces. The Wholesale Distributors segment is expected to remain a key distribution channel for nutraceutical ingredients, as it provides a cost-effective way for manufacturers to reach a large number of retailers and consumers.
The Food and Beverage Manufacturers segment is expected to grow steadily as the demand for nutraceutical ingredients in food and beverage products continues to rise. The Global Nutraceutical Ingredient Market is expected to reach a valuation of 772.9 (USD Billion) by 2032, exhibiting a CAGR of 8.98% during the forecast period.
Nutraceutical Ingredient Regional Insights
North America is anticipated to remain the largest regional consumer of nutraceutical ingredients in 2023. This region's dominance can be attributed to the heightened consumer awareness and demand for dietary supplements, functional foods, and beverages. Europe follows North America, driven by regulatory support for nutraceuticals and a growing demand for natural and organic products. APAC is projected to witness the fastest growth in the Global Nutraceutical Ingredient Market between 2024 and 2032 due to rising disposable income, increasing urbanization, and changing lifestyles.
South America and MEA are also expected to offer lucrative opportunities for nutraceutical ingredient manufacturers, owing to their growing health-conscious populations and rising consumption of functional foods and beverages.
Figure 3: Nutraceutical Ingredient Market, By Regional, 2023 & 2032
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Nutraceutical Ingredient Market Key Players And Competitive Insights
The leading players in the Nutraceutical Ingredient Market are continuously innovating and adding new ingredients to their product offerings. The leaders in the Nutraceutical Ingredient Market invest in research and development activities to invent effective ingredients for various health requirements. The development of the Nutraceutical Ingredient Market is primarily targeted toward unmet medical needs and ensuring that consumers get safe, natural ingredients as alternatives to chemical products.
The Nutraceutical Ingredient Market is a moderately competitive market; however, it is not difficult to break into the market for new entrants due to the several merger and acquisition activities. The competition is fuelled by the combined strength of the leading players and the weak presence of the smaller players. The top Nutraceutical Ingredient Market player is DSM, which offers ingredients such as vitamins, omega-3 products, carotenoids, and other related products.
The company's other major competitors are the similarly dominant and leading players in the Nutraceutical Ingredient Market, Lonza and DuPont, among others.
Key Companies in the Nutraceutical Ingredient Market Include
- NOW Foods
- Nature's Way
- PepsiCo
- ADM
- Evonik
- Cargill
- Lonza Group
- Ingredion
- Herbalife
- DSM
- Chr. Hansen
- Kerry Group
- BASF
- Glanbia
- Nestlé
Nutraceutical Ingredient Market Industry Developments
Increasing health consciousness, rising disposable income, and growing demand for preventive healthcare are driving the market growth. Technological advancements, such as the development of novel extraction and purification techniques, are further propelling the market forward.
The market is also witnessing a surge in demand for natural and organic nutraceutical ingredients, owing to growing consumer preference for clean-label products. E-commerce platforms are playing a significant role in expanding the reach and accessibility of nutraceutical ingredients, offering convenience and a wider product selection to consumers.
Nutraceutical Ingredient Market Segmentation
Nutraceutical Ingredient Ingredient Type Outlook
- Vitamins
- Minerals
- Herbal Extracts
- Prebiotics and Probiotics
- Specialty Nutrients (Amino Acids, Carotenoids)
Nutraceutical Ingredient Application Outlook
- Dietary Supplements
- Functional Foods and Beverages
- Cosmetics and Personal Care Products
- Pharmaceuticals
- Pet Food
Nutraceutical Ingredient Source Outlook
- Natural
- Synthetic
- Semi-Synthetic
Nutraceutical Ingredient End-User Target Outlook
- Heart Health
- Immune System Support
- Anti-Aging
- Cognitive Function
- Digestive Health
Nutraceutical Ingredient Distribution Channel Outlook
- Retail Stores
- E-commerce
- Direct-to-Consumer
- Wholesale Distributors
- Food and Beverage Manufacturers
Nutraceutical Ingredient Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
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Report Attribute/Metric
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Details
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Market Size 2022
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104.6 (USD Billion)
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Market Size 2023
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109.3 (USD Billion)
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Market Size 2032
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171.1 (USD Billion)
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Compound Annual Growth Rate (CAGR)
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5.1% (2024 - 2032)
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Report Coverage
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Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
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Base Year
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2023
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Market Forecast Period
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2024 - 2032
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Historical Data
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2019 - 2023
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Market Forecast Units
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USD Billion
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Key Companies Profiled
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NOW Foods, Nature's Way, PepsiCo, ADM, Evonik, Cargill, Lonza Group, Ingredion, Herbalife, DSM, Chr. Hansen, Kerry Group, BASF, Glanbia, Nestlé
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Segments Covered
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Ingredient Type, Application, Source, End-User Target, Distribution Channel, Regional
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Key Market Opportunities
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1 Aging Population and Focus on Health2 Rising Consumer Interest in Natural Ingredients3 Growing Awareness of Chronic Diseases Prevention4 Increased Demand for Personalized Nutrition5 Technological Advancements and Innovations
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Key Market Dynamics
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1 Rising demand for personalized nutrition2 Growing awareness of health and wellness3 Technological advancements in ingredient extraction4 Increasing consumer disposable income5 Expansion of e-commerce platforms
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Countries Covered
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North America, Europe, APAC, South America, MEA
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Frequently Asked Questions (FAQ) :
The global Nutraceutical Ingredient Market was valued at USD 104.6 billion in 2023 and is projected to reach USD 171.1 billion by 2032, exhibiting a CAGR of 5.1% during the forecast period.
North America is expected to hold the largest market share in the Nutraceutical Ingredient Market, accounting for 40% of the global market in 2023. The region's large consumer base, rising health consciousness, and presence of key market players contribute to its dominance.
Nutraceutical ingredients are primarily used in the production of dietary supplements, functional foods and beverages, and pharmaceutical products. They are incorporated into these products to enhance their nutritional value, provide specific health benefits, or support overall well-being.
Key competitors in the Nutraceutical Ingredient Market include BASF, Cargill, DuPont, ADM, and Lonza. These companies offer a wide range of nutraceutical ingredients, including vitamins, minerals, botanical extracts, and probiotics, to meet the diverse needs of customers.
The growth of the Nutraceutical Ingredient Market is driven by several factors, including rising consumer awareness about health and wellness, increasing disposable income, and growing demand for preventive healthcare. Additionally, the aging population and prevalence of chronic diseases are contributing to the market's expansion.
The Nutraceutical Ingredient Market faces challenges such as regulatory complexities, stringent safety and quality standards, and competition from synthetic ingredients. Additionally, the market is influenced by factors such as economic fluctuations and changing consumer preferences, which can impact demand and growth.
Opportunities for growth in the Nutraceutical Ingredient Market lie in the expansion of emerging markets, increasing demand for personalized nutrition, and the development of novel ingredients. Technological advancements and research and development initiatives are also creating new opportunities for market growth.
The Nutraceutical Ingredient Market is expected to continue growing in the future, driven by rising health consciousness, increasing disposable income, and the development of new products and applications. Innovations in ingredient delivery systems, personalized nutrition, and sustainable sourcing are expected to shape the market's evolution.
Key trends in the Nutraceutical Ingredient Market include the growing popularity of plant-based ingredients, the rise of personalized nutrition, and the increasing demand for sustainable and ethically sourced ingredients. Additionally, the integration of technology and the use of data analytics are transforming the market landscape.
Potential risks associated with the Nutraceutical Ingredient Market include regulatory changes, safety concerns, and the impact of economic fluctuations. Additionally, the market is susceptible to changes in consumer preferences and the availability of raw materials, which can affect demand and growth.
