Market Challenges And Opportunities

MENA Nutraceuticals Market – Drivers

Growing Research and Development Activities to Develop Novel Nutraceuticals

Growing research and development activities by government, as well as market players in the MENA region to develop novel nutraceuticals is expected to drive the MENA nutraceuticals market growth over the forecast period. According to an article published by the North African Journal of Food and Nutrition Research, in July 2021, a research was conducted in December 202o in Algeria, in collaboration with the of University of Béjaia, Chadli Bendjedid University of El-Tarf, Bejaia University, and Royal Food Conservatory, Algeria for determining the mineral profile of lentil flour. The results of this study showed that the mineral content of raw and roasted lentil flour was dramatically increased by the addition of yogurt. Such revelations can be used to develop potential dietary supplements made from lentils and to prevent chronic health conditions such as cancer, type 2 diabetes, cardiovascular disease, and others.

Increased Healthcare Spending

Increasing demand for healthcare services in the MENA region due to high prevalence of chronic and non-communicable diseases and introduction of mandatory healthcare coverage and health insurance schemes are expected to drive the market growth. For instance, on May 01, 2023, according to the HSBC Bank Middle East Limited, demand for healthcare services in the Middle East region is increasing leading to several investment opportunities. As a result, the MENA nutraceuticals market is projected to exhibit a compound annual growth rate (CAGR) of 11.7 % to US$ 2, 43, 600 Million in 2023 from US$ 185.5 billion in 2019.

MENA Nutraceuticals Market - Key Trends

Increasing Consumer Healthcare Spending

Sales of consumer healthcare items have been growing gradually in the Middle East and Africa area over the past several years, and this trend is anticipated to continue over the forecast period. The Middle East and North Africa have witnesses increase in healthcare spending over the past few years. This is due to greater public awareness of the importance of making healthy lifestyle adjustments. A clear indication that people are becoming more concerned with their welfare and providing their bodies with the right nutrients and substances to eat is the increase in consumer health care products. For instance, according to Worldbank, the health care expenditure of Saudi Arabia increased from US$ 48226.4 million in 2017 to US$ 55410.68 million in 2021. The majority of consumers in the region prefer immunity-boosting products such as probiotics, herbal supplements, vitamins, and minerals to control several diseases. As disease outbreaks are very common in Africa, people are gradually adopting preventive healthcare measures in terms of dietary supplements.

MENA Nutraceuticals Market: Restraint

High Cost of Nutraceuticals Products

High prices of the nutraceuticals can hamper the market growth over the forecast period. For instance, on February 02, 2023, according to an article published by the Drug Research, the high cost of whey protein that involves the lots of stages of milk filtration so that no unwanted bacteria can enter the protein and can’t hamper the quality of whey protein. Then it is evaporated and spray dried. Nowadays, flavored whey is also available that adds more steps to the whole production process. Many other hidden steps, such as packaging, storing, others help to get safe, healthy, and nutritious whey protein for consumption. Thus, increases the effective cost of the protein. So the use of natural source of protein cane be implemented for the several source of protein.

MENA Nutraceuticals Market: Restraints

The high cost of nutraceutical products can hinder market growth over the forecast period. According to a February 2023 article by Drug Research, the cost of whey protein is high due to the extensive milk filtration stages required to prevent bacterial contamination and maintain protein quality. The protein is then evaporated and spray-dried. The addition of flavors adds further steps to the production process. Hidden steps such as packaging and storage also contribute to the increased cost, therefore, natural protein sources may be used as an alternative to maintain cost efficiency.