China Probiotics Market - Forecasts from 2023 to 2028

The China probiotics market is estimated to grow at a CAGR of 12.46% to reach US$24.425 billion by 2028 from US$10.738 billion in 2021.

Probiotics mainly refer to living microorganisms that offer various health benefits when they are consumed in the body. They are the functional bacteria that enable the regulation of a person’s gut bacteria to maintain a healthy balance in the body. In China, the demand for probiotics is expected to grow manifolds as they have emerged as a smart choice for people with clinically proven health benefits.

Consumers have become more health conscious these days coupled with the increase in awareness as one of the reasons driving the market for probiotics in China. Additionally, probiotics have proved to have positive effects on the body, which has been proved by various studies. For instance, according to the International Scientific Association for Probiotics and Prebiotics, probiotics help reduce the incidence of antibiotics-associated diarrhoea, reduce necrotizing enterocolitis in preterm infants, and help reduce the risk of the duration of upper respiratory tract infections or gut infections among other benefits.

Increasing consumption of probiotics among millennials

The demand for probiotics is expected to witness an upward trend among millennials and Generation Z, due to the growing awareness among younger generations about the benefits of probiotics and related supplements in addition to the easy availability of probiotics. Furthermore, in China, with a large number of awareness generation programs over the years, in different sectors such as health and education, life expectancy has been significantly impacted. For instance- as per the World Bank, the life expectancy at birth reached 78 years in 2021 from 76 years in 2013. Moreover, the growing middle class in the country coupled with rising urbanization expected to provide additional impetus for expansion of the probiotics sales.

Furthermore, strategic partnerships and collaborations are expected to propel the growth of Probiotics in the country. For instance, in March 2021, Sinopharm, one of China’s largest pharmaceutical companies came into partnership with Swedish probiotic player, Probi. This is anticipated to expand the product offering for the premium probiotics range in the Chinese market.

According to the World Bank, the age dependency ratio reached 45% in 2022 compared to 40% in the year 2015. This is also due to the effects of the one-child policy in the country. Moreover, this indicates favorable prospects for the growth of probiotics supplements as they are expected to counter age-related issues and help in the restoration of natural diversity in human gut bacteria. Consequently, strengthens the immune system.

The human probiotics segment in China is anticipated to grow steadily. 

Probiotics are live microorganisms such as yeast and bacteria which when consumed improve the overall gut health and further protect the body from diseases such as acute diarrhea, Chron’s disease, and other urogenital infections which have a prevalence rate in older populations. China is experiencing a significant transition to an aging society, according to the World Bank, in 2022, the strength of the population aged 65 years and above stood at 193.783 million which represented a 4.3% increase over 2021’s population figure. Moreover, as per the same source, China’s population aged 65 years and above will account for 14% of the overall population by 2027, thereby witnessing a 7% increase from 2002. With such a growing geriatric population, the demand for probiotics to improve gut health is anticipated to increase thereby positively impacting the market growth.

Moreover, favourable investment in probiotics development for treating acute diarrhea and irritable bowel syndrome coupled with new product launches and innovations are also acting as an additional driving factor. For instance, in November 2020, Beroni Group launched “Beilemei” a probiotic health product in China. The probiotic product includes seven active strains inclusive of 3 Lactobacillus, 3 Bifidobacterium, and 1 Streptococcus. Strategic collaboration to cater to the growing human probiotic demand has further augmented the market growth. For instance, in October 2021, ADM and Qingdao Vland Biotech Group Co., Ltd. agreed to form a joint venture to explore and serve the demand for human probiotics in China. Various other firms such as Evonik are also eyeing to invest in China to utilize the growing probiotics potential in the country.

Market Key Developments

• In September 2022, PanTheryx launched its digestive health products such as TruBiotics® probiotics in China.

Segmentation:

By Type

• Lactobacillus
• Streptococcus
• Bifidobacterium
• Spore Formers
• Others

By Form

• Liquid
• Dry

By Application

• Functional Food and Beverages
• Dietary Supplements
• Animal Feed

By End-User

• Human
• Animal