As per the recent report by Future Market Insights, the Ready-To-Use Therapeutic Food Market is likely to reach a valuation of USD 429 million in 2023. Besides this, the market shows potential to record a CAGR of 6% to cross a USD 743.4 million valuation through 2033.
Among all the factors supporting market growth, encouragement from the government sector takes centerstage. Malnutrition is a serious problem impacting humanity today.
According to the World Health Organization, nearly 50 million children worldwide are severely malnourished, while almost 500 million are overweight.
Around 45% of deaths among children under 5 years are attributed to undernutrition. In order to provide 50 million undernourished children with the required specialized care, the popularity of ready-to-use therapeutic food is witnessing a substantial upsurge.
Traditionally, therapeutic food is too expensive to employ for anything other than the management of acute malnutrition making it a very valuable commodity. Moreover, their availability was heavily reliant on short-term or long-term external financing for emergency or humanitarian operations limiting the sales of ready-to-use therapeutic food.
Nowadays, with the growing availability of such items at the local markets along with increased procurements by government organizations has created an international market for the product.
The demand for ready-to-use therapeutic products is predicted to rise due to the rising trend of utilizing sugar substitutes such as icing sugar in its preparation. It is used to make candy bars, paste, cream, and biscuits that could be attractive for children and increase sales.
Leading firms are now concentrating on making ready-to-use therapeutic food items based on whey permeate powder, which is also expected to boost the acceptance of RUTF and augment the market further.
Attributes | Details |
---|---|
Ready-to-use Therapeutic Food Market Share (2022) | USD 412.3 million |
Ready-to-use Therapeutic Food Market Size Value (2023) | USD 429 million |
Ready-to-use Therapeutic Food Market Size Value (2033) | USD 743.4 million |
Ready-to-use Therapeutic Food Market Growth Rate (2023 to 2033) | 6% |
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Market Statistics | Details |
---|---|
(H1), 2021 (A) | 6% |
(H2), 2021 (A) | 4% |
(H1),2022 Projected (P) | 5% |
(H2),2022 Projected (P) | 5% |
(H1),2022 Outlook (O) | 5% |
(H2),2022 Outlook (O) | 4% |
BPS Change : H1,2021 (O) - H1,2022 (P) | 5% |
BPS Change : H1,2022 (O) - H1,2021 (A) | 4.7% |
BPS Change: H2, 2021 (O) - H2, 2022 (P) | 3% |
BPS Change: H2, 2022 (O) - H2, 2021 (A) | 4% |
Amidst the COVID-19 pandemic, FMI projected the global ready-to-use therapeutic food market to surpass USD 300 million by 2020 end. This trend is continuing in the market in the post-pandemic years which is expected to nearly double in size by 2033.
Based on estimates of previous market reports, the total value of ready-to-use therapeutic products sold in the year 2016 amounted to USD 327.92 million. In the following years, the sales of RTU therapeutic products until 2022 increased by 2.7% on average notwithstanding the impact of the pandemic years.
The COVID-19 pandemic had amplified the risk of acute malnutrition among the impoverished sections of society. Government-mandated shutdown made millions of people unemployed disrupting critical nutrition requirements and enhancement programs and slowing down the RTU therapeutic products business as well.
It was the period when RTU therapeutic products gained international importance and created a huge opportunity for market players in the post-pandemic period.
The same is true for the geriatric population who were at a higher risk of getting infected by the novel virus. Hence, manufacturers implemented several arrangements to ensure that the availability of ready-to-use therapeutic foods is not hampered.
As a result, sales have been sustained immensely throughout the course of the pandemic and are expected to remain so in the future.
Based on estimates of previous market reports, the total value of ready-to-use therapeutic products sold in the year 2016 amounted to USD 327.92 million. In the following years, the sales of RTU therapeutic products until 2022 increased by 2.7% on average notwithstanding the impact of the pandemic years.
The COVID-19 pandemic had amplified the risk of acute malnutrition among the impoverished sections of society. Government-mandated shutdown made millions of people unemployed disrupting critical nutrition requirements and enhancement programs and slowing down the RTU therapeutic products business as well.
It was the period when RTU therapeutic products gained international importance and created a huge opportunity for market players in the post-pandemic period.
The same is true for the geriatric population who were at a higher risk of getting infected by the novel virus. Hence, manufacturers implemented several arrangements to ensure that the availability of ready-to-use therapeutic foods is not hampered. As a result, sales have been sustained immensely throughout the course of the pandemic and are expected to remain so in the future.
The United Nations International Children’s Emergency Fund (UNICEF) has always been at the forefront of combating hunger and malnutrition associated with the global pediatric population.
Various awareness campaigns and relief programs have been established by this organization in the recent past that have popularized the use of RTD therapeutic products.
To achieve its objective, UNICEF has established various therapeutic feeding centers to save lives and support families in numerous poverty-stricken countries.
Though most of the works are carried out in the Central African Republic other parts of the world have been equally assisted. The organization is slated to remain the primary end-user for the ready-to-use therapeutic food market during the forecast years.
The Middle East & Africa region is slated to generate potential green spaces for global as well as regional ready-to-use therapeutic food manufacturers. Many African countries have high levels of malnutrition, and efforts to mitigate through pragmatic options are underway.
Several NGOs such as UNICEF, the World Food Programme as well as various government organizations are augmenting their presence in several below par countries, globally.
The region is slated to witness an improvement in purchasing power of locals and register a substantially high therapeutic food demand market CAGR through 2033. Countries such as Kenya, Malawi, Nigeria, Ethiopia in East Africa, and some Asia Pacific countries are anticipated to encourage regional markets to the fullest.
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Inconsistency in ready-to-use therapeutic food items, particularly made of milk products, and the danger of microbiological contamination are the two key limitations for the market. Furthermore, the absence of specified commodity criteria in the Codex Alimentarius for therapeutic milk by UNICEF is projected to stymie the expansion of the RUFT.
In terms of product type, the semisolid paste therapeutic food segment accounted for more than 50% of the market until the year 2022. It was followed by the drinkable therapeutic food segment in terms of value that are estimated to garner a higher growth rate in the coming days.
The solid therapeutic food segment is projected to grow at a slower rate confined mostly to commercial purposes and value addition.
Formulations that can be ingested in a liquid form are slated to emerge as the most prominent category of ready-to-use therapeutic foods. Since numerous malnourished population cluster falls in the below 5 years age group, sales of drinkable foods are surging.
Because it is challenging to give paste form of the product to newborns, the demand for drinkable therapeutic milk constitutes a very important sub-segment.
Infants don’t have a fully developed digestive system and require formulae that are easy to break down and absorbed by the bloodstream. Therapeutic foods in liquid form help achieve this objective and are highly recommended by doctors and nutritionists as well.
Regional Ready-to-use Therapeutic Food Markets | Market Share in Percentage |
---|---|
United States | 23.5% |
Germany | 14.5% |
Japan | 2.3% |
Australia | 0.9% |
The core markets for the production and supply of ready-to-use therapeutic foods are expected to be the United States in North America and Germany in Europe. While the United States ready-to-use therapeutic food market is expected to develop at a solid double-digit rate throughout the evaluation period.
Key ready-to-use therapeutic food providers to UNICEF and other top organizations are regional firms in the European region. Moreover, ready-to-use therapeutic food production facilities in Germany and other European countries are currently expanding and are sufficiently advanced.
So, Germany is predicted to see strong output and income creation through sales of ready-to-use therapeutic food ultimately leading to sound growth.
Regional Ready-to-use Therapeutic Food Markets | CAGR (2023 to 2033) |
---|---|
United Kingdom | 5.3% |
China | 4.5% |
India | 6.5% |
Through robust infrastructure development and encouragement by federal governments, therapeutic food producers in the Asia Pacific are emerging as key market players. Especially, ready-to-use therapeutic food manufacturers in China and India are constantly increasing their production capacity to compete at a global level.
Moreover, increasing malnutrition incidences throughout the African region are expected to drive the sales of ready-to-use therapeutic food in the Middle East and Africa market.
Some prominent players operating within the ready-to-use therapeutic food landscape include
The aforementioned market players are actively involved in developing and launching new nutrition-enhancing formulations in various forms. In addition, these players are collaborating with governmental and non-governmental agencies to aid in the distribution of ready-to-use therapeutic foods to the severely impacted regions.
Presently, therapeutic foods are made using expensive ingredients such as minerals and vitamins, oil, and condensed milk, which raises the overall cost of the product. To address this, several key RTE therapeutic food manufacturers are doing research and development operations in an attempt to produce a cost-effective alternative for these basic materials. Expanding study on alternate raw materials that can be utilized in the making of RTD therapeutic foods projects a profitable business in the future for the market players.
The increasing focus of leading market players on the development of ready-to-use therapeutic food in the form of bar and biscuit products is likely to generate a profitable growth potential.
Furthermore, numerous key producers are focused on producing powder forms that are purchased by packaged food and beverage companies. Commercial use of RUTF products creates a big trend and opportunity for the business to extend its market position.
Attribute | Details |
---|---|
Forecast Period | 2016 to 2022 |
Historical Data Available for | 2022 to 2033 |
Market Analysis | USD million for Value and Tons for Volume |
Key Regions Covered | North America; Latin America; Europe; Asia Pacific; and the Middle East & Africa (MEA) |
Key Countries Covered | United States, Canada, Brazil, Mexico, France, Germany, Spain, United Kingdom, Italy, BENELUX, Nordics, Russia, Poland, China, India, Japan, ASEAN, Australia, New Zealand, GCC, North Africa, Tanzania, Ethiopia, Nigeria, Kenya, Malawi, and South Africa |
Key Segments Covered | By Type, By End User, and By Region |
Key Companies Profiled | Nuflower Foods; GC Rieber Compact AS; Valid Nutrition; InnoFaso Corp.; Edesia Inc.; Nutrivita Foods Ltd.; Diva Nutritional Products; Insta Products Ltd.; Mana Nutritive Aid Product Inc.; Meds & Food for Kids Inc.; Samil Industrial Co.; Tabatchnick Fine Foods Inc.; Amul India Inc.; Hilina Enriched Foods PLC; Société de Transformation Alimentaire |
Report Coverage | Market Overview, Key Market Trends, Key Success Factors, Market Background, Segmental Analysis, Regional Profiling, Market Structure Analysis, and Competition Analysis |
Customization & Pricing | Available upon Request |
The market is estimated to reach USD 429 million in 2023.
The market may flourish at a 6% CAGR through 2033.
Germany holds a 14.5% revenue share in the market.
Key players are Nuflower Foods, GC Rieber Compact AS and Valid Nutrition
The market is expected to reach USD 743.4 million in 2033.
1. Executive Summary | Ready-to-use Therapeutic Food Market 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Type 5.1. Solid 5.2. Paste 5.3. Drinkable 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By End-User 6.1. UNICEF 6.2. WFP 6.3. Government Agencies 6.4. NGOs 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Distribution Channel 7.1. Direct Sales 7.2. E-commerce Sites 8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 8.1. North America 8.2. Latin America 8.3. Europe 8.4. Asia Pacific 8.5. MEA 9. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 10. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. Asia Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. MEA Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. Key Countries Market Analysis 15. Market Structure Analysis 16. Competition Analysis 16.1. Nuflower Foods 16.2. GC Rieber Compact AS 16.3. Valid Nutrition 16.4. InnoFaso 16.5. Edesia Inc. 16.6. Nutrivita Foods 16.7. Diva Nutritional Products 16.8. Insta Products Ltd. 16.9. Mana Nutritive Aid Product Inc. 16.10. Meds & Food for Kids Inc. 16.11. Samil Industrial Co. 16.12. Tabatchnick Fine Foods Inc. 16.13. Amul India 16.14. Hilina Enriched Foods PLC 17. Assumptions & Acronyms Used 18. Research Methodology
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