Medical Foods Market Analysis By Route Of Administration, By Product Type, By Application Type (Diabetic Neuropathy, [ADHD], Depression, Alzheimer's Disease, Nutritional Deficiency), And Segment Forecasts, 2018 - 2025

Industry Insights

The global medical foods market size was valued at USD 12.3 billion in 2015 and is expected to grow with a CAGR of 6.9% over the forecast period. The key factors driving the market expansion include growing nutritional deficiency due to diseased conditions, increase in prevalence of chronic diseases, and rise in global geriatric population.

The rise in prevalence of chronic diseases such as diabetes, Alzheimer's, Attention Deficit Hyperactivity Disorder (ADHD), and depression along with several other conditions is a major challenge for the healthcare practitioners. The use of medical foods is gaining significance due to their vital role in supporting the patient’s nutrient requirements as a part of the overall treatment regimen.

Global medical foods market, by region, 2014 - 2025 (USD Million)

In the U.S., as per the data published by the Centers for Disease Control and Prevention (CDC), nearly 11% of the children aged between 4 to 17 years have been diagnosed with ADHD in 2011. The studies conducted by the CDC also indicate a significant increase in the prevalence of ADHD compared to the data of 2007 and 2003. It is reported that the percentage of children with ADHD is increasing rapidly from nearly 7.8% in 2003 to 11% in 2011.

Furthermore, these studies also indicate that boys were more susceptible to ADHD. Although ADHD is not treatable, the condition can be managed by using stimulants, non-stimulants, behavior therapy, and dietary management. Few medical foods used for ADHD management include Deplin, Vascazen, and Vayarin.

Route of Administration Insights

The medical food products can be administered through the oral or enteral route. The enteral route is used when the patient is unable to take medication through the oral route and has an active absorption through the gut wall. In 2015, oral route accounted for the maximum share, key factors attributed to its large share are the ease of administration, and the preference of the doctors.

Global medical foods market share, by route of administration, 2015 (%)

However, the enteral route segment is expected to be growing rapidly with a CAGR of nearly 7.0% from 2016 to 2025. Technological advancements pertaining to enteral feeding devices and increasing prevalence of target diseases are amongst key factors attributing to the rapid growth of this segment. 

Application Insights

The medical foods industry is segmented based on application such as diabetic neuropathy, ADHD, depression, Alzheimer’s disease, nutritional deficiency, and others. In 2015, diabetic neuropathy accounted for the largest share. This disease is a nerve disorder caused by diabetes. Nearly 60 to 70% of the people with diabetes are reported to have some form of neuropathy.

The risk of neuropathy significantly increases with increase in age, changes in diet, and adoption of an unhealthy lifestyle.Some of the medical food products used to treat this condition include Percura capsules, METANX, and Foltanx.

However, nutritional deficiency segment is expected to emerge as the fastest growing over the forecast period. The patients who are treated for cancer, ADHD, and autoimmune diseases are expected to have high nutritional requirements and therefore, the usage of medical foods is expected to grow rapidly over the forecast period.

Product Insights

The medical food products are broadly classified as pills, powders, and others. The pills segment includes tablets and capsules. In 2015, the powders segment held the maximum share as majority of medical food products are manufactured in powder form and are administered in a semisolid or liquid form.

The pills segment is expected to emerge as the fastest growing with a CAGR of 7.5% over the forecast period. Ease of administration associated with the pills is one of the key factors driving the demand of pills in coming few years.

Global medical foods market, by application, 2015 (USD Million)

Regional Insights

In 2015, North America held the largest share and the region is expected to continue its dominance over the forecast period. The high prevalence of diseases, presence of well-developed healthcare network, and growing awareness about medical foods is expected to further boost the usage rates in this region.

Asia Pacific is expected to lead the market growth with a CAGR of 7.8% from 2016 to 2025. The factors supporting the high growth in the region include growing prevalence of chronic diseases, rise in awareness level, growing per-capita healthcare expenditures, and rapid adoption of innovative products.

Competitive Insights

The growing consumer awareness about medical foods, increasing regulatory focus on manufacturing & labeling of medical foods, and high focus on developing disease-specific formulas are positively reinforcing the market growth.

Some of the major players operating in this market are Danone; Nestlé; Abbott; Targeted Medical Pharma Inc.; Primus Pharmaceuticals Inc.; Mead Johnson & Company, LLC; and Fresenius Kabi AG. Geographic expansion, new product development, and mergers and acquisitions are amongst key entry strategies adopted market players to increase their share in the global market.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth and provides an analysis on the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the Medical Foods market on the basis of application and region:

• Route of Administration Outlook (Market Revenue in USD Million, 2014 - 2025)

  • Oral

  • Enteral

• Product Outlook (Market Revenue in USD Million, 2014 - 2025)

  • Pills

  • Powder

  • Others

• Application Outlook (Market Revenue in USD Million, 2014 - 2025)

  • Diabetic Neuropathy

  • ADHD

  • Depression

  • Alzheimer’s disease

  • Nutritional Deficiency

  • Others

• Regional Outlook (Market Revenue in USD Million, 2014 - 2025)

  • North America

    • U.S.

    • Canada

  • Europe

    • UK

    • Germany

  • Asia Pacific

    • Japan

    • China

  • Latin America

    • Brazil

    • Mexico

  • Middle East and Africa

    • South Africa