The Global Functional Food Market- Growth, Trends, COVID-19 impact and Forecast (2021-2025)
The Functional Food Market is segmented by Ingredients type (Vitamins, Dietary Fibers, Minerals, Proteins and Others); Product type (Dairy Products, Bakery and Cereals, Meat, Fish and Eggs, Soy Products and Others); Application; Geography (North America, Europe, APAC and ROW).
Introduction
Functional food can be stated as a modified food that claims to improve health. It does not cure disease but it helps to reduce the risk of deadly diseases by improving the health of the body by providing essential nutrients and proteins. Functional food in the diet adds benefits to individual physiological state.
Functional food offers specific health benefits that are beyond the regular daily intake of nutrients, such as, improved mental energy, immune system strengthening, improved bone health, cholesterol management, improved heart health, and other benefits associated with eye health and vision.
The COVID-19 pandemic has severely impacted healthcare industry. But the demand for functional food market is likely to increase during this pandemic period. It playing a crucial role in prevention of the infection, treatment of infection-associated malnutrition, and possibly the infection itself in COVID-19 patients and suspected cases.
Table of Contents
Market Overview
The global functional food market is expected to grow to $274.90 billion by 2025
Growth momentum is expected to accelerate during the forecast period with an 8.34% CAGR.
Increasing demand for nutritional and fortifying food additives, an increasing number of people suffering from chronic conditions, growing geriatric population are expected to boost the market growth.
APAC is dominating the functional food market owing to the burgeoning population coupled with rising disposable income.
Key Trends
Evolving consumer trends, in terms of diet and consumption of various nutritional products, are one of the major factors expected to have a strong influence on the overall growth
The booming e-Commerce sector around the world is another major factor anticipated to fuel the growth of the global functional food products market during the forecast period.
R&D in functional food is also expected to aid in growth of the market
Key Market Players
Some of the key players in the market are BASF, Cargill, General Mills, Nestlé, Danone, Hearthside Food Solutions.
The market is highly competitive owing to the rise in demand for functional food. The market players are continuously engaged in growing their presence in the market through various inorganic strategies, such as acquisition, merger, strategic collaboration, and others, to gain significant market share and strengthen their product portfolios.
Growth Drivers and Challenges
Evolving industrialization in growing economies are resulting in the prevalence and early onset of chronic diseases. To overcome this situation, functional foods are helpful in the management of chronic diseases
The rising global geriatric population is another crucial driving factor.
Changing lifestyle and the rising disposable income is driving the market.
The high prices of several products are limiting their adoption is a major restraining factor in the global market.
Stringent regulations on food safety concerns are expected to hinder growth of the market
Limited awareness about these functional foods and their health benefits in many countries are challenging the market growth