The herbal medicinal products market comprises dried or fresh herbs, extracts, tablets or capsules containing plant materials including leaves, stems, flowers, fruits or seeds. These products provide therapeutic effects to support overall wellness through relief from minor ailments, reduction of risk factors and boosting immunity. The global demand for herbal medicines is rising rapidly owing to their perceived effectiveness, minimal side effects and growing preferences for natural remedies.
The Global Herbal Medicinal Products Market is estimated to be valued at US$ 197.77 Bn in 2024 and is expected to exhibit a CAGR of 7.2% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the herbal medicinal products market are Boiron, Himalaya Global Holdings Ltd., Arkopharma Laboratories, Cultivator Natural Products, Patanjali Ayurvedic India Ltd, Herbalife International of America, Inc., Emami Ltd, NUTRAMARKS, INC., Arogya Formulations (P) Ltd., Navayur Herbals, Nature’s Answer Inc., 21ST Century Healthcare, Inc., and Bio-Botanica Inc. Major players are investing in R&D to develop new formulations.
The Herbal Medicinal Products Market Demand is driven by rising health consciousness, shifting preferences towards natural ingredients and proven effectiveness of certain herbal remedies. The COVID-19 pandemic has also boosted immunity-boosting herbal products.
Key players are expanding globally through strategic acquisitions and partnerships to tap opportunities in emerging markets. Favorable regulations and classification of herbal products as dietary supplements in various countries is encouraging the industry growth.
Market Key Trends
One major trend gaining traction in the herbal medicinal products market is customization and personalized recommendations. Companies are offering customized herbal formulations tailored to individual needs, health conditions and lifestyle through consultation with experts. This is driving higher engagement and loyalty among consumers. Companies are also leveraging advanced analytics of purchase patterns and feedback to provide more targeted recommendations.
Porter’s Analysis
Threat of new entrants: The Herbal Medicinal Products Market Analysis industry has significant entry barriers due to stringent regulatory requirements and licensing procedures required to produce and market herbal medicines.
Bargaining power of buyers: Buyers have moderate bargaining power in the herbal medicinal products market due to the availability of substitutes and sensitivities over pricing.
Bargaining power of suppliers: Suppliers have moderate bargaining power due to the fragmented nature of the herbal ingredients industry and availability of substitute suppliers.
Threat of new substitutes: The threat of new substitutes is moderate as alternative treatment options like allopathic medicines exist but the rising demand for natural remedies also creates new opportunities.
Competitive rivalry: The competitive rivalry in the herbal medicinal products market is high due to the presence of numerous regional and global players offering similar products.
Geographical Regions
Europe accounts for the major share of the global herbal medicinal products market in terms of value due to the region’s traditional and widespread use of herbal medicines in countries like Germany. Asia Pacific is expected to be the fastest growing regional market during the forecast period owing to increasing demand in developing economies like India and China where herbal products form an integral part of healthcare practices like Ayurveda and traditional Chinese medicine.
North America is another significant regional market driven by consumers’ growing inclination towards phytomedicine and herbal supplements as alternative remedies. The market is also expanding in Latin America and the Middle East & Africa supported by rising awareness about indigenous herbal therapies.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author – Vaagisha Singh
Vaagisha brings over three years of expertise as a content editor in the market research domain. Originally a creative writer, she discovered her passion for editing, combining her flair for writing with a meticulous eye for detail. Her ability to craft and refine compelling content makes her an invaluable asset in delivering polished and engaging write-ups. LinkedIn