Nutraceutical Sector Report

Executive Summary:

The nutraceutical industry has experienced rapid growth across the globe. This trend is anticipated to continue as disposable income in developing countries increases and the aging global population turns toward healthier living as a way to defray rising healthcare costs.

With the global nutraceutical market projected to exceed $204 billion by 2017, companies from throughout the global supply chain will see tremendous growth opportunities. The Asia/Pacific region is of particular interest as growth within the functional food and ingredients markets are currently outpacing the growth within the industry dominating U.S. In fact, China is expected to be the world’s largest consumer of nutraceuticals by 2020.

However, industry growth is not limited to Asia, as U.S. consumption of functional foods continues to increase with new product groups targeted at digestive and cardiovascular health providing strong near-term growth. M&A activity is expected to grow as traditional “Big Pharma” and global food manufacturers seek to enter this high-growth industry through acquisition.

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