Functional Foods Market Size - Industry Analysis Report, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2024 – 2032

Functional Foods Market Size

Functional Foods Market size is projected to expand at a notable CAGR from 2024 to 2032, driven by the increasing demand for healthier food products. Lately, people are becoming increasingly health-conscious and are looking for foods that provide additional health benefits beyond basic nutrition.
 

Chronic diseases, such as obesity, diabetes, and cardiovascular diseases, are on the rise, driving people to look for foods that can help manage these conditions. As per CDC, each year, more than 877,500 Americans die as a result of heart disease or stroke. Functional foods are designed to promote health and prevent diseases, thereby attracting consumers. With the rapidly aging population, there is an increased need for foods to counter age-related health issues including cognitive decline, joint health, and heart health, further promoting the market growth.
 

Functional Foods Market Trends

The growing prioritization of preventive healthcare and holistic wellness is surging the consumer interest in functional foods for offering added health benefits. Products fortified with vitamins, minerals, and other bioactive compounds are perceived as proactive measures for overall well-being. Moreover, there has been a strong emphasis on natural ingredients, sustainability, and ethical consumption. With consumers seeking convenient yet nutritious options to support their health goals, functional foods are further preferred as they align with the evolving lifestyle preferences.
 

Functional Foods Market Analysis

The sports nutrition application segment may record significant share of the functional foods industry by 2032. The increasing demand for sports nutrition products can be ascribed to the growing interest in health & fitness as well as the recognition of the importance of proper nutrition in achieving athletic goals. With the rise of social media and the Internet, people have access to a wealth of information about health & fitness, further leading to increased awareness of the importance of nutrition in achieving optimal athletic performance.
 

Functional foods market from the dairy products segment is anticipated to record substantial growth from 2024 to 2032 attributed to the increasing number of health-conscious consumers turning to dairy products to meet their nutritional needs. The introduction of  new products, such as plant-based dairy alternatives is increasingly appealing to consumers looking for dairy-free options.
 

Additionally, the constantly growing global population is leading to the increasing need for food items, including dairy products, further providing potential growth opportunities to the industry participants. To cite an instance, in April 2023, Mother Dairy Fruit and Vegetable Pvt. Ltd, India's top milk and milk product firm, announced the launch of 15 new products for the summer of 2023 for focusing on capitalizing indulgence and the changing consumption patterns.
 

North America functional foods market is set to exhibit a robust growth rate till 2032, owing to the high level of consumer awareness and the growing interest in health & wellness in the region. The expanding aging population is increasing the concerns about chronic diseases, such as obesity, diabetes, and heart disease. Moreover, the presence of a well-established food sector with a strong R&D infrastructure is allowing the development of innovative functional food products, further boosting the regional market expansion.
 

Functional Foods Market Share

Major manufacturers in the functional foods industry are introducing new products fortified with health-promoting ingredients for improving taste and texture and expanding distribution networks to cater to the evolving consumer preferences.
 

Some key players involved in the functional foods industry include-

• BASF
• Cargill
• General Mills Inc.
• GFR Pharma
• Nutri-Nation
• Amway
• Arla Foods
   

Functional Foods Industry News

• In May 2023, Kirin Holdings collaborated with Kellogg Japan to launch a new addition to Kellogg's All-Bran line to boost immune system wellness.
   
• In October 2023, BASF Aroma Ingredients brand Isobionics® introduced two new natural flavor products using cutting-edge fermentation technology.