The nutraceutical excipient market is driven by rising health awareness among consumers. The nutraceutical excipient market is witnessing increasing need from the supplement and functional food industries to provide efficacy, absorption and stability to active ingredients in final products. Nutraceutical excipients find wide usage in capsules, tablets, liquid supplements and functional food formulations. These excipients serve purposes like binding, diluting, coating, disintegrating, lubricating and enhancing flavors. Some commonly used nutraceutical excipients include pre-gelatinized starch, microcrystalline cellulose, magnesium stearate, hydroxypropyl methylcellulose, dicalcium phosphate etc.
The Global nutraceutical excipient market is estimated to be valued at US$ 3087.7 Bn in 2024 and is expected to exhibit a CAGR of 3.4% over the forecast period from 2024 to 2030.
Key Takeaways
Key players operating in the nutraceutical excipient market are Arkema S.A., Evonik Industries A.G., Solvay S.A., Mitsubishi Gas Chemical Company Inc., Kemira Oyj, Thai Peroxide Limited (TPL), Taekwang Industrial Co. Ltd., PeroxyChem LLC, Hansol Chemical, and Nouryon. These players are focused on expanding their production capacities and global footprint to leverage market opportunities. The growing demand for dietary supplements and functional foods & beverages from developing countries in Asia Pacific and Latin America is stimulating investments in these regions by key excipient manufacturers. Expanding retail networks of pharmacies and health & wellness stores coupled with rising health awareness through social media & online platforms is propelling the global expansion of the nutraceutical excipient market.
Market drivers
The primary driver fueling growth of the nutraceutical excipient market is the rising health consciousness among global population. lifestyle diseases like diabetes, obesity, cardiovascular issues are leading to increased consumption of supplements, functional foods and drinks which is directly increasing the demand for nutraceutical excipients. These excipients play a vital role in enhancing the absorption, efficacy and stability of active ingredients in final products. Therefore, exponential growth of end-use nutraceutical industry is projected to significantly drive the nutraceutical excipient market during the forecast period.
The geopolitical situation is impacting the growth of the Nutraceutical Excipient Market in several ways. Since excipients are extensively used in nutraceutical formulations, any disruptions in trade between nations could hamper their supply chains. The ongoing Russia-Ukraine conflict and rising geo-political tensions have increased fuel and transportation costs globally. This is negatively impacting the nutraceutical industry as rising operational expenses are either being passed on to customers or cutting into the profit margins of manufacturers. Changes in import-export policies and sanctions on certain countries by world powers can shake up established supply networks. Furthermore, economic uncertainties caused by geopolitical issues may weaken consumer spending on non-essential items like nutraceuticals in the short to medium term. To safeguard against such external risks, companies must diversify their supplier networks across multiple regions and invest in sustainable and locally sourced alternatives where possible. Stockpiling critical excipients may also help to certain extent. Overall, mitigating political and economic risks will be a key consideration for nutraceutical businesses while devising future strategies and expansion plans.
In terms of value, the Nutraceutical Excipient Market Demand is highly concentrated in North America and Europe currently. This is because of well-established nutraceutical industries and growing health-conscious consumer bases in countries like the USA, Canada, Germany, France, and the UK. North America alone accounts for over 35% of the total market value owing to the large scale domestic consumption of dietary supplements, functional foods, and herbal formulations in the region. However, Asia Pacific is identified as the fastest growing geographical region for the Nutraceutical Excipient Market between 2024-2030. This impressive growth can be attributed to improving public healthcare standards, rising disposable incomes, increasing lifestyle diseases, and growing focus on preventive healthcare through nutrition in populous nations such as India and China. Other emerging Asian countries like Indonesia, Vietnam, and Thailand are also projected to showcase strong demand over the coming years due to their high population densities and expanding middle-classes.
With regards to value contributions, the Nutraceutical Excipient Market remains highly dominated by North America and Europe currently owing to established healthcare infrastructure and rising preventive healthcare adoption among consumers in countries such as the USA, Germany, the UK, France and Canada. However, Asia Pacific region, led by India and China, is identified as the fastest growing market during the forecast period due to rising incomes, better access to healthcare, growing lifestyle diseases and increased focus on preventive nutrition in these densely populated nations. Overall, mitigating political risks will be vital for businesses while planning future strategies for this market.
For more insights, read- https://www.insightprobing.com/nutraceutical-excipient-market-trends-size-and-share-analysis/