February 28, 2024

Indonesia Dietary Supplements Market Witnesses High Growth due to Wide Adoption of Nutraceuticals

 The dietary supplements industry in Indonesia has gained increased acceptance driven by growing awareness regarding the role of dietary supplements in maintaining health and preventing chronic diseases. Dietary supplements contain essential nutrients such as vitamins, minerals, fibers, fatty acids, and probiotics that promote general well-being. Major products in the market include vitamin supplements, minerals supplements, protein supplements, herbals/botanicals supplements, meal replacement supplements, and sports nutrition supplements.

The Global Indonesia Dietary Supplements Market is estimated to be valued at US$ 2526.17 Mn in 2024 and is expected to exhibit a CAGR of 5.8% over the forecast period 2024 to 2030.

Key Takeaways
Key players operating in the Indonesia dietary supplements are Siemens Healthineers, Nordion Inc., Lantheus Holdings Inc., Guerbet Group, GE Healthcare, Curium, Bracco Imaging SpA, Bayer AG, Cardinal Health Inc., and NTP Radioisotopes SOC Ltd. Rapid urbanization has increased disposable incomes and influenced consumers to incorporate nutraceuticals in their daily diet for leading a healthy lifestyle. Advancements in pharmaceutical drug discovery have enabled development of innovative formulation technologies for enhancing bioavailability and effectiveness of dietary supplements.

Technological advancements like nano-encapsulation are improving absorption of supplements ingredients in the body. Nano-encapsulation protects compounds from degradation until they reach the target area in the body. This technology is enabling development of effective supplements delivering health benefits.

Market drivers
Increasing prevalence of chronic lifestyle diseases like obesity, diabetes, cardiovascular diseases has boosted demand for dietary supplements. Rising health consciousness and changing preferences towards preventive healthcare are propelling the market growth. Extended life expectancy and growing geriatric population dependent on supplements is a key growth driver. Rapid urbanization, rising disposable incomes and adoption of western lifestyle has encouraged consumption of nutritional supplements.

Current challenges in Indonesia Dietary Supplements Market:
Lack of adequate regulations and guidelines: The major challenge faced by the Indonesia dietary supplements market is lack of proper regulations and guidelines regarding quality standards, manufacturing practices, and labelling requirements. This has led to proliferation of supplements of questionable quality. The government needs to implement strict guidelines to ensure consumers get safe and effective products.

Increasing cost of raw materials: The raw material costs such as vitamins, minerals, proteins have increased substantially in the recent past owing to inflation and supply chain disruptions. This has inflated the production cost of supplements. Manufacturers find it difficult to maintain reasonable pricing without compromising on margins. Ensuring cost efficiency throughout the value chain is important to deal with this challenge.

Growing health awareness among Indonesia Dietary Supplements Market Size . The aging population seeking nutrition support also drives market growth. Higher spending on healthcare and active lifestyles augur well for supplements. The market witnesses opportunities in new product launches, expansion to rural areas, and promotion through digital platforms. However, threats remain from unregulated supplements and intensifying competition. Tightening regulations and innovation are the key to thrive in this dynamic environment.

Strength: Growing health awareness increases supplement consumption. Aged population requires nutrients.
Weakness: Lack of regulations leads to inferior quality products prevailing. Heavy reliance on imported raw materials.
Opportunity: Scope for new custom formulations catering to unique needs. Digital platforms can push targeted marketing.
Threats: Unchecked supplements pose health risks. Low-cost competitors may erode margins of established players.

In terms of value, the Java region accounts for the largest share in the Indonesia dietary supplements market due to high population density and consumer health expenditure. Other key areas include Sumatra, Kalimantan, and Bali, supported by growing tourism and expat population.

The Aceh region is expected to be the fastest growing market over the forecast period owing to rapid urbanisation and health conscious youth concentrating economic opportunities in this province. Promoting supplement adoption for general wellness and sports nutrition can unlock strong potential in emerging city clusters of Aceh.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it