Global botanical supplements market to be worth US$90.2bn in 2020, forecasts study

Published: 24-Sep-2014

Driven by elderly populations which are facing more health issues as they age


The global botanical supplements market was valued at US$54.6bn in 2013 and is expected to grow at a compound annual growth rate (CAGR) of 7.5% from 2014 to 2020, to reach an estimated $90.2bn by 2020, according to a new report from Persistence Market Research.

The report, Global Market Study on Botanical Supplements: Personal Care Segment To Witness Highest Growth by 2020, says interest in healthy eating is influencing consumers to shift their dietary preferences in favour of food and food ingredients with potential health benefits. For consumers looking for a healthy lifestyle and seeking to reduce the risk of illness, herbal and botanical supplements (popularly known as herbal medicinal products) are among the best options.

Botanical supplements include fresh or dried products in different forms, such as tablets, capsules, powders, and tea bags. Globally, garlic, ginger, santalum, plantago, ginseng, rhodiola extract, red clover extract, and soy extract are some of the most widely used botanical supplements.

Increasing elderly populations and the lack of side effects of botanical supplements are expected to drive the global market. According to the Population Division of the United Nations Department of Economic and Social Affairs (UN-DESA), there were 841 million people aged 60 and above in 2013, compared with 205 million in 1950. The number is projected to reach over two billion by 2050.

Increasing elderly populations and the lack of side effects of botanical supplements are expected to drive the global market

In the last few years, Europe has emerged as the largest market for botanical supplements, followed by Asia Pacific. In this region, the long-standing tradition of using botanical medicine, economic development and increasing urbanisation are helping to drive the growth in demand. Owing to these factors, Asia Pacific is expected to surpass Europe as the leading market for botanical supplements.

The report splits the botanical supplements market into application (food and beverages, pharmaceutical, and personal care) and end user (adult women, adult men, baby boomers, and others). Middle-aged women with weight and health-related issue concerns are the largest consumers of herbal supplements in terms of end users. The baby boomers segment is expected to show the highest growth owing to increasing health issues with old age.

The global botanical supplements market is highly fragmented, with the top eight companies holding only 38.4% market share. Ricola leads the market (6.4% share in 2013), followed by Dabur(5.5%). Dabur operates mostly in India, but has also started selling its products in the US, France, Germany and the UK.

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