Functional Foods Global Market Report 2022

Functional Foods Global Market Report 2022

  • June 2022 •
  • 300 pages •
  • Report ID: 6284493 •
  • Format: PDF
Major players in the market are, Unilever, BNL Food Group, Dean Foods, The Coca-Cola Company, Arla Foods, Abbott Laboratories, PepsiCo Inc., Kraft Foods Inc., and Nestle.

The global functional foods market is expected to grow from $180.58 billion in 2021 to $191.68 billion in 2022 at a compound annual growth rate (CAGR) of 6.1%. The market is expected to grow to $243.83 billion in 2026 at a compound annual growth rate (CAGR) of 6.2%.

The functional food market consists of sales of functional food and related services.Functional food is highly nutritious and is associated with many health benefits.

The benefits include prevention against nutrition deficiencies, protection against diseases, improved cholesterol levels, lower blood pressure, and promote proper growth & development.

The main product types are bakery & cereals, dairy products, meat, fish & eggs, soy products, fats & oils, and Other Product Types.Dairy product is milk and any of the foods made from milk, including butter, cheese, ice cream, yogurt, and condensed and dried milk.

The ingredients used for functional foods are carotenoids, dietary fibers, fatty acids, minerals, prebiotics & probiotics, vitamins, and Other Product Types. The various application of these food products are sports nutrition, weight management, immunity, digestive health, clinical nutrition, cardio health, and Other Product Types.

Asia Pacific was the largest region in the functional food market in 2021.Western Europe was the second-largest region in the functional food market.

The regions covered in this report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The increasing number of diseases is shifting consumer’s focus on healthy eating, which in turn, is projected to boost the demand for functional foods.Functional food provides the human body with healthy nutrition, vitamins & minerals, and reduce the risk of diseases.

According to the Centre for Disease Control and Prevention, heart disease is a leading cause of death in the USA and about 6,47,000 Americans die from heart disease every year, which is one of every 4 deaths. Therefore, the increasing number of cardiovascular and other diseases across the globe is anticipated to generate higher demand for a healthy diet, which in turn, is likely to propel the revenues for the functional food market over the forecast period.

The higher price of functional food products attributing to the inclusion of healthier or natural ingredients is to limit the growth of the functional food market.The functional foods are sold at higher prices and holds larger profit margins than conventional food.

The price of functional food is considerably 30 to 500% above similar conventional foods. Thus, the higher prices of functional food are to act as a major restraint for the growth of the functional food market over the forthcoming years.

Key players dealing in the functional food market are increasingly focusing on new product developments and company expansion in order to meet the rising demand from the consumers. For instance, in September 2019, Tyson Foods Inc. announced the launch of its new brand Pact Snack Bites, a line of functional refrigerated protein snacks. Pack Snacks Bites are produced with fruits, nuts, and functional ingredients such as probiotic cultures, turmeric, kombucha, matcha, collagen protein, and prebiotic fiber.

In June 2019, Mars, an American manufacturer of pet food, confectionery, and other foods, signed an agreement to acquire a majority stake in Foodspring, a German functional food & beverage company.Foodspring was founded in 2013 and is the fastest-growing targeted nutritional business in Europe.

The product portfolio of food spring includes protein supplements, snacks, bars, shakes, porridge, and muesli.

The countries covered in the market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, and USA.