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Functional Food Industry Research Reports: Latest Trends & Statistics

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Major sectors under Functional Food

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Global Functional Food Industry Analysis

The world market for functional food and drinks (part of the packaged food industry) is fuelled by product innovation and increasingly health-conscious consumers with higher disposable incomes.

Functional foods are popular for their health benefits and nutrient content. These foods generally contain some ingredient(s) boasting health-optimizing properties, such as orange juice fortified with calcium for stronger bones, butter/margarine containing omega-3 oils to reduce cholesterol, and fermented foods containing live cultures for probiotic benefits. The Food and Drug Administration (FDA) checks the validity of claims made by companies regarding the health benefits of functional foods.

According to the American Dietetic Association (ADA), functional foods are enhanced or enriched to offer health benefits as part of a healthy balanced diet. Research is carried out to investigate any risks or benefits to individuals’ health regarding functional foods. These foods are used as part of a treatment of an existing medical condition but are also used as a preventative measure against disease. Functional foods generally demonstrate physiological benefits for consumers. They are bioactive in that they are not only nutritious but also reduce the risk of disease.

Key Functional Food Market Segments

Star products within the category of nutraceutical ingredients include soy protein nutrients, omega-3 fatty acids, lutein, probiotics, glucosamine, minerals such as magnesium and calcium, and the increasingly popular coenzyme Q10 (this sector can also include sport nutritional products to help athletes perform better).

The world probiotics market is driven by changing health trends towards consumer responsibility for preventative healthcare. Ingredients such as probiotics are gaining increased recognition due to their health benefits (as well as their role in a healthy diet). Probiotics are used to promote optimal digestion, prevent allergies, reduce cholesterol and treat inflammation. 

The global carotenoids market is worth close to $1.2 billion, according to Freedonia. The market is predicted to show close to 2.5% yearly growth to reach almost $1.5 billion in 2018. Beta-carotene represents more than 20% of the market at present and is predicted to reach almost $335 million by 2018, growing by more than 3% a year. Lutein is worth slightly less at present and predicted to reach almost $210 million in the same period, growing at over 3.5% a year.

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