The natural health product industry is a rapidly growing sector, driven by increasing consumer awareness about health and wellness, coupled with a rising preference for natural and organic products. As per a report by Grand View Research, the global natural health product market size was valued at USD 128.9 billion in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 8.3% from 2021 to 2028.
This growth is fueled by several factors, including the growing incidence of health disorders, a higher emphasis on preventive healthcare, and a surge in health consciousness among consumers. Additionally, the COVID-19 pandemic has further accelerated the demand for natural health products as consumers seek to boost their immunity and overall health.
However, the industry also faces challenges. Regulatory issues and the lack of standardized guidelines for the production and marketing of natural health products can hinder growth. Furthermore, the industry is characterized by intense competition and the need for continuous innovation, necessitating significant investments in research and development. Despite these challenges, the industry's outlook remains positive, buoyed by the growing consumer preference for natural and organic products.
Natural health product development: involves researching, formulating, and testing products derived from natural sources for health benefits. Emerging trends in this area include:
- Plant-based Supplements: With the growing interest in plant-based diets, there's a surge in the development of supplements derived from plants. These include vitamins, minerals, and other essential nutrients.
- Probiotics and Prebiotics: There's significant research into the health benefits of gut bacteria. As a result, the development of probiotics (beneficial bacteria) and prebiotics (food for these bacteria) is on the rise.
- CBD Products: The legalization of cannabis in many regions has spurred research into Cannabidiol (CBD) for its potential health benefits, leading to the development of various CBD-infused products.
- Personalized Nutrition: Advances in genomics and biotechnology have paved the way for personalized nutrition, where dietary supplements are tailored to an individual's unique genetic makeup.
- Ayurvedic and Traditional Medicine: There's renewed interest in traditional medicine systems like Ayurveda, leading to the development of products based on ancient knowledge but backed by modern science.
- Functional Foods: These are foods fortified with additional health benefits. The development of such foods, which provide benefits beyond nutrition, is a growing trend in the natural health product industry.
- Sustainable and Ethical Products: With growing consumer awareness about environmental and ethical issues, there's a trend towards the development of natural health products that are sustainably sourced and ethically produced.