Currently, the global nutraceutical market is growing at 8% per annum with the United States of America commanding 60% of the market share of global USD 400 Billion. Nutraceuticals is going to expand with time from the ‘want’ of preventive health care to the ‘need’ generated in the recent few years. In India, the nutraceuticals market is going to be a credible industry contributing to the economic growth of the country. From a meagre 2% of the global nutraceutical market which amounts to about US dollars 9 billion, India’s boys are creating a new market on the block by quickly transitioning itself to a target of a hundred billion US dollars by 2030. The target is very much achievable considering the inflection point near East in 2021 by creating a landmark nutraceutical task force under the chairmanship of the PSA of the government of India.
Most of the Indian nutraceutical companies operate on the “cookie-cutter” model. India’s export in nutraceuticals is below USD 1.6 billion (both, ingredients and formulations together). That’s insignificant in the global nutraceuticals market of USD 400 billion. India imports active ingredients and formulated nutraceuticals to the tune of USD 2.8 billion. To expand India as a nutraceutical hub and to explore the opportunities for expansion that will deliver world-class high science nutraceutical products to serve the needs domestically and to contribute respectably in the international nutraceutical space, will require structural categorization in ministry, start-up incubation hubs, and regulations.
Internationally, the nutraceutical industry has been supported by respective governments in the United States, China, Japan, Australia. A successfully created support system for the nutraceutical industry not only allows complete integration in the ecosystem right from firm to capsule but also digitized its Chinese traditional medicine system that is not easily available for formulators worldwide. China also created business highways between China and the largest market in the world is the United States helping Chinese nutraceutical innovators and ingredient players access the best of the markets in the US.
It’s not too late for India as recently the PSA of the government of India took a progressive initiative of creating interministerial and industry participants of the National task Force for developing policies that will help the nutraceutical industry in India to evolve. The task force is working on key areas demanding attention like HSN codes, PLI schemes, biodiversity acts, and others. The entire focus is on shaping policies anywhere that the Indian musical industry zooms into US$ 100 billion industry by 2030.
A great impetus is been given to the active nutraceutical ingredient industry in India and the ease of developing innovative nutraceutical portfolios for international players using the Indian botanical spectrum. India looks forward to having a dedicated department of nutraceuticals in the Ministry with dedicated HSN codes, PLI schemes, industry promotion bodies backing the growth of the Indian contract manufacturing sector to emerge as global nutraceutical contract manufacturing in line with a success story of the Indian pharmaceutical industry.
Although India’s 2% of the global industry commands an untapped resource and capability ranging from 52 agroclimatic zones to strong pharmaceutical formulation capability and food tech formulation industry to strong research infrastructure to fast-evolving pro-industry policies like the ones being shaped under the chairmanship of PSA of the government of India; nothing is holding back India to achieve the invasion target of US$ 100 billion by 2030