The growth of this industry is promising. An Assocham Knowledge Report states that the Indian nutraceuticals market is expected to grow from $4 billion as estimated in 2017 to $18 billion in 2025. And the global market is expected to rise from $36.75 billion in 2019 to $ 62.06 billion by 2027.
Current Demand and Supply of Nutraceutical Ingredients –
The demand for nutraceuticals supplements has increased as people are becoming more and more aware of the benefits of increased immunity, the benefits of these supplements, and everybody today wants a healthy lifestyle. The knowledge of the benefits of these products, increased availability, easy access, and an increased amount of disposable income in the urban population of the country has expanded the scope of the market and escalated the demand for the products.
As far as the supply is concerned, it has walked hand-in-hand with the demand until the world was hit by the Corona virus pandemic. The nationwide lockdown has forced almost all the production houses and factories manufacturing these products to shut down. This caused a massive decline in supply. However, it is believed that as soon as the lockdown is lifted and the factories start running, the production will catch its pace, and in no time, the supply will fulfil the demand.
The Current Market Scenario –
The pandemic has hit the world and has not spared the nutraceuticals industry. As of now, the industry is at a standstill with no production whatsoever, and the export trade between countries is on a complete halt. With the lingering threats of unforeseeable situations, predicting anything precisely, right now, is difficult.
Most of the major industries have an arduous journey ahead, including the nutraceuticals industry. However, on the brighter side, there is a possibility that India could be the next big source for raw materials, ingredients as well as finished goods, as the Chinese market is experiencing a slump. If this happens, the Indian market will grow with a lightning speed.
Growth and Future Prospects –
Nutraceuticals products are becoming an integral part of the lives of the urban Indian population. Considering the stressful metro lifestyle, where everybody has to follow strict regulations with a monotonous pattern, people are looking for solutions to relieve stress, improve their lifestyle and health. Hence the urban Indian population, especially the millennials are inclined toward trying nutraceuticals products.
Many reputable industry giants from all over the world including the US, Europe, and Japan have seen the potential in the Indian market and are entering it to reap some benefits out of it by making their products easily available to the health-conscious consumers.
While India is on the top list of other international markets, some of our top players are also out expanding their horizons, experimenting with products, and exploring avenues for exporting their nutraceuticals products to the US and the Middle-Eastern markets. The real-time situations of the market may not seem very pleasing but it does hold the potential to skyrocket soon. Honestly, it would not be surprising if the Indian nutraceuticals industry outstrips some of the major international markets in a few years.
(The author is CEO & director, Purenutrition.me, Mumbai)