Growing awareness of the health benefits conferred by probiotics is driving global growth in this vibrant market
Probiotics, often called 'friendly' or 'good' bacteria, are added to a diet to help prevent digestive problems, infections and to boost immunity. The most common types of probiotics are mostly based on bacteria and sometimes yeast.
BCC Research reveals in its new report that Asia-Pacific is the major regional market among all markets as manufacturers increasingly shift production toward the region to meet increasing demand.
The global market for probiotics should grow from $34bn in 2015 to $50bn by 2020, demonstrating a 5-year compound annual growth rate of 8%. By application segment, food and beverages, which held about 73% of the global market in 2015, is expected to retain its dominance during the forecast period.
This segment should reach nearly $36.5bn in 2020, demonstrating a 5-year CAGR of 8.1% from 2015-2020. Growth in the food and beverage industry should key expansion in this segment.
Dietary supplements as an application should reach $8.8bn in 2020 on a 5-year CAGR of 7.8% from 2015-2020. Probiotics are often consumed in the form of dietary supplements to prevent diarrhoea, constipation and certain other infections.
Animal feed as an application should total nearly $4.7bn in 2020 on a 5-year CAGR of 7.8% from 2015-2020. Probiotics are provided to animals to boost their immunity and improve health conditions. Growing awareness among industry owners should drive this market.
The probiotics market has evolved alongside developments in the food and beverages, dietary supplements and animal feed industries. Rising health concerns are driving the market for probiotics in both humans and animals. Continuous advancements in the field of probiotics, along with significant reductions in cost, are keying market growth. Also, growing demand in the food and beverages industry is encouraging entry of start-ups and small companies into the industry.
The Asia-Pacific, Europe and North America regions primarily drive the global market, with Asia-Pacific leading all regions with an anticipated 5-year CAGR of 8.3%, with should boost its market to reach $19.2bn in 2020.
'The Asia-Pacific market for probiotics is expected to have increased from $12bn in 2014 to $12.9 billion in 2015, reflecting a year-on-year growth rate of 7.4%,' says BCC Research analyst Aneesh Kumar. 'Japan is one of the biggest consumers of probiotics, and this consumption is increasing at a significant rate. Overall, growing awareness in China and India is driving growth in this sector.'