The global Nutraceuticals market is anticipated to grow at a significant CAGR of 9.7% during the forecast period. The global nutraceuticals industry is driven by rising consumer interest in functional food & beverages, growing awareness, and increasing disposable income. Further, individuals are more health-conscious and are inclined toward expensive food and beverages for health benefits. Moreover, the functional beverages come with reduced alcohol, gluten, sugar, and carbohydrates without reducing the original taste of the beverage. Moreover, the availability of functional beverages in various flavors, and other alternatives such as no-calorie and no-sugar will significantly enhance their adoption across the globe, which in turn, will drive the growth of the functional beverages and so the nutraceuticals market during the forecast period. 

Impact of COVID-19 Pandemic on Global Nutraceuticals Market

The COVID-19 pandemic has had a considerable impact on the Nutraceuticals market. The spread of COVID-19 had a detrimental influence on the market due to supply chain disruptions as a result of protracted plant closures around the world. The COVID-19 pandemic has broken out, and the situation is still uncertain. During the COVID-19 pandemic, the consumption of nutraceuticals including food supplements has increased significantly. As per the annual observatory of food supplements of 2020 (published in June 2020) by Synadiet, 82% of people in France have changed their habits the last year to maintain their own and family health. Due to the 2020 health crisis, 62% of French people increased their attention on their health to support their immune system. 

Segmental Outlook 

The global nutraceuticals market is segmented on the basis of product type and distribution channel. Based on the product type, the market is further segmented into functional food, functional beverages, and dietary supplements. Functional foods which include probiotics fortified food, iodized salt, and omega fatty acid-based foods are anticipated to hold the dominant share in the market. Increasing demand for fortifying food additives is estimated to drive the segmental growth of the market. Food manufacturers are deploying fortification of nutritional additives such as omega-3 fatty acids, vitamins, and minerals in their products to increase the nutritional content of food items. The functional ingredients such as omega-3 and probiotics are widely used in fish oils and yogurt for reducing cardiovascular risks and improving the quality of intestinal microflora. Based on the distribution channel, the market is segmented into retail supermarkets and online distribution. 

Global Nutraceuticals Market Share by Application, 2021 (%)

The Functional Segment is Anticipated to Hold a Prominent Share in the Global Nutraceuticals Market

The Functional food segment is expected to hold a prominent share owing to new launches in the market. In September 2019, Tyson Foods, Inc. declared the launch of Pact, a new brand that is developed to support people harness the natural benefits of food. Pact is debuting with Pact Snack Bites, a range of functional refrigerated protein snacks. Pact Snack Bites are developed with fruits and nuts and comprise functional ingredients including probiotic cultures, kombucha, collagen protein, matcha, turmeric, and prebiotic fiber. Pact Snack Bites are available in 1.8-oz bags and are refrigerated for functionality and freshness, however, they may be stored without refrigeration for up to one week. The snack bites are available in four ranges, which include Glow With It Cocoa + Coconut Collagen Snack Bites, Gut Instinct Cranberry + Kombucha Probiotic Snack Bites, Vibe On Mint Matcha + Blueberry Energizing Snack Bites, and Gut Ahead Turmeric + Ginger Prebiotic Snack Bites. 

Regional Outlooks

The global Nutraceuticals market is further segmented based on geography including North America (the US, and Canada), Europe (Italy, Spain, Germany, France, and Others), Asia-Pacific (India, China, Japan, South Korea, and Others), and the Rest of the World (the Middle East & Africa, and Latin America).  The market can be analyzed for a particular region or country level as per the requirement. Among these, the Asia-Pacific regional market is expected to cater to considerable growth during the forecast period. Increasing awareness regarding health in countries such as China and India is expected to remain a favorable factor for the Asia-Pacific nutraceuticals industry growth. In addition, the rise in the prevalence of chronic diseases prompts the need for nutraceuticals and other vital dietary supplements, which drives the regional growth of the market. 

Global Nutraceuticals Market Growth, by Region 2022-2028

The North America Region is Expected to Hold a Prominent Share in the Global Nutraceuticals Market

The North American region is expected to hold a prominent share in the global Nutraceuticals market. The increasing demand for sports nutrition owing to the increasing importance of active lifestyles coupled with the rising awareness regarding protein intake plays a vital role in promoting the consumption of nutraceuticals in North America. Moreover, the presence of major players such as PepsiCo Inc., General Mills Inc., The Kellogg Co., and Herbalife International of America Inc. further gives a boost to the regional growth of the market. 

Market Players Outlook

The major companies serving the global nutraceuticals market include Danone SA, Glanbia PLC, Nestlé S.A., and The Kraft Heinz Company. The players have adopted various developmental strategies for expanding their market share, increasing profitability, and remaining competitive in the market. For instance, in October 2020, Glanbia Nutritionals’ new $470 million state-of-the-art cheese and whey plant began production in Michigan. The facility has started the commissioning phase. When fully operational, the 375,000 square foot facility based on a 120-acre site will process 3.6M liters of milk per day (8M pounds) into a range of superior quality block cheese and value-added whey products for the US and international markets.

The Report Covers

• Market value data analysis of 2021 and forecast to 2028.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global Nutraceuticals market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.