April 22, 2024
Nutraceutical Excipient Market

Nutraceutical Excipient Market Primed For Growth Due To Formulation Advancements

Market Overview:
The nutraceutical excipient market has witnessed significant growth in recent years on account of the widening awareness about the health benefits of dietary supplements and functional foods. Nutraceutical excipients are added to nutritional products as fillers, binders, preservatives, solubilisers, flavors, among others to improve their texture, stability, and shelf-life. They play an important role in determining the effectiveness of nutraceuticals. Growing preference for veganism and natural ingredients has led to the development of plant-based excipients such as starch, cellulose, gums, among others.

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 of 2024 to 2030.

Key Takeaways:
Key players operating in the nutraceutical excipient market include 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. The market players are focused on offering novel formulation-based technologies to extend the functionality and applications of excipients.

The nutraceutical industry offers lucrative opportunities for excipient manufacturers with the growing demand for customized delivery systems and coated tablets. Advancements in microencapsulation and nanoemulsion technologies allow excipients to improve solubility and bioavailability of active ingredients.

Technological developments in excipients allow customized release and assist in mask flavors and odors. Excipient manufacturers are offering multifunctional excipients and functional compounds to support various product applications. Emulsifiers and dispersants developed using GRAS chemicals are gaining popularity.

Market Drivers:
The key driver for the Nutraceutical Excipient Market Demand  is the increasing consumer shift towards preventive healthcare and usage of dietary supplements. The COVID-19 pandemic has further accelerated this trend, driving market growth. The requirement of innovative excipients to enhance efficacy, bioavailability and stability of nutraceutical formulations is also propelling the market growth. Furthermore, growth of the nutraceutical industry and expansion of application areas of excipients support the market expansion.

Current Challenges in Nutraceutical Excipient Industry

The nutraceutical excipient industry is facing challenges in terms of stringent government regulations around the world. Formulation of nutraceuticals and their claims undergo extensive scrutiny and require scientific evidence to substantiate health claims. There is lack of consensus between different regulatory bodies worldwide in terms of categorizing and approving nutraceuticals. This leads to delay in new product launches. The industry also faces challenges from availability of low-cost substitutes and growing awareness around use of natural excipients. However, with growing health-conscious population and demand for functional foods, the industry is expected to grow steadily in coming years.

SWOT Analysis

Strength: Growing global demand for nutraceuticals and functional foods. Wide range of application in dietary supplements, functional foods & beverages.
Weakness: Stringent regulations around nutraceutical claims and approvals. High R&D investments required for new product development.
Opportunity: Untapped Growth potential in emerging markets of Asia Pacific and Latin America. New product innovation and launches using natural and clean label excipients.
Threats: Market entry of generics and availability of substitutes. Negative publicity regarding safety of certain nutraceutical ingredients.

Geographical Regions

North America currently accounts for the largest share in the global nutraceutical excipient market both in terms of value and volume. This is attributed to factors such as growing health awareness, presence of major players and easy availability of high-quality nutraceutical products. The United States holds the leading position in the region supported by rapid adoption of nutrition-enriched foods.

Asia Pacific is expected to witness the fastest growth during the forecast period led by countries such as India, China and Japan. This can be accredited to rising living standards, growing middle class population and shift towards preventive healthcare approach. Rising domestic demand from nutraceutical manufacturers will further drive the Asia Pacific nutraceutical excipient market.

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