2. Executive Summary
Market valued at INR 44 bn in 2009; Estimated to reach INR 95bn in 2013
Market comprises of two segments:
– Food Supplements
Market – Vitamins and Minerals
India accounts for less than 0.9% of the total world market
Market has tremendous growth potential with several pharmaceuticals companies entering this
space
Drivers: Challenges:
– Increasing shift towards preventive therapies – Lack of standardization
– Increase in disposable income
Drivers & – High pricing
– Increase in healthcare spending – Lack of awareness
Challenges
g – Ageing population
Ageing population – Marketing and distribution challenges
– Pharma retail growth
– Favorable pricing environment
Fortified Foods
Trends
T d Ayurvedic Nutraceuticals
Foreign Tie‐ups
Amway leads the overall market followed by Dabur
Pfizer’s Becosule enjoys a 48.7% market share in B‐Vitamin segment
j y g
Competition
Major players in food supplement segment include : Amway, Dabur, Heinz , GlaxoSmithKline
Major players in vitamins and mineral segment include: Pfizer, Elder Pharmaceuticals , Abbott
NUTRACEUTICALS MARKET – INDIA.PPT 2
4. Nutraceuticals are classified on the basis of their ingredients
or therapeutic use
Nutraceuticals refers to extracts of foods having a medicinal effect on human health. It comprises of foods,
dietary supplements, and medical foods meant for prevention or treatment of disease
Traditional Nutraceuticals Non ‐ Traditional Nutraceuticals
Modern Nutraceuticals are available as forms of food, or
Traditionally, nutraceuticals came in a medicinal format such
included in foods or as whole food itself such as probiotic
as a capsule, tablet or powder in a prescribed dose
drinks and yogurt
Nutraceuticals can be classified on the basis of the beneficial ingredient and/or therapeutic benefit claimed
Ingredients Therapeutic Use
• Bone & joint health
• Antioxidants, carotenoids
• Cancer risk reduction
• Dairy‐based ingredients
D i b di di t
• Cardiovascular health and diabetes
• Fibres and carbohydrates
• Cognitive and mental function
• Minerals
• Energy & endurance
• Nutritional lipids and oils
• Eye health
• Phytochemicals, plant extracts
• Immune system
• Probiotics and prebiotics
Probiotics and prebiotics
• Maternal & infant health
• Proteins, peptides, amino acids
• Respiratory health
• Soy‐based ingredients
• Skin health
• Vitamins & premixes
• Weight management
Vitamins and Minerals Food Supplement
NUTRACEUTICALS MARKET – INDIA.PPT 4
6. Increasing shift towards preventive therapies and increasing
disposable income has led to a growing market
Market Overview Market Size and Growth
•India accounts for less than 0.9% of the world
INR bn
nutraceuticals market 95
100 +21%
•Nutraceuticals market in India is growing at a 80
very fast pace and expected to more double in 60 44
next four years 40
20
•Increasing shift towards preventive therapies
0
and increasing disposable income is driving 2009 2013e
growth in this sector
•Several pharmaceuticals companies are
•Several pharmaceuticals companies are Market Segments
Market Segments
entering this space
•Pharmaceutical companies have realized that Nutraceuticals Market
nutraceuticals products can be supplement
products for their therapeutic products
Food Supplements Vitamins and Minerals
NUTRACEUTICALS MARKET – INDIA.PPT 6
7. Food supplement is the major sub‐segment which includes
functional food and beverages
Food Supplement Market ‐ Overview Key Products and Examples Food Supplements
• Food supplements are intended to supplement the Food products & Artificial sweetener, meal replacer &
diet, these supplements can be taken by mouth as supplements ginsengs
pill, liquid, tablet or capsule.
ill li id bl l Malted beverages Horlicks, Complan, Bournvita and Boost
• In food supplements, the major share is held by food
Fruit‐based products Juices like Real, Tropican
products and supplements
Pediatric nutrition Lactogen, Lactodex, Dexaloc, Pediasure
• Malted beverages is the second biggest segment
followed by fruit‐based products
followed by fruit based products Protein powder
Protein powder Nutrilite
Nutrilite
• Sales in this segment have been driven by a desire to Sports products Supplements like Creatine & glutamine
prevent disease Clinical products Tube‐feeding formulas & enriched drinks
and soups
Vitamins and Minerals Market ‐
Vitamins and Minerals Market Overview Key Products and Examples
Key Products and Examples Vitamins & Minerals
i i & i l
• Vitamin‐B complex, multivitamins, antioxidants, Vitamin‐B complex 8 water‐soluble vitamins eg. riboflavin
protein supplements, Vitamin‐B12 and metabolites, Multivitamin Contains 3 or more vitamins and minerals
Vitamin‐C with minerals make up the vitamins and
mineral supplements market
i l l t k t Protein supplements
Protein supplements Eg. Revitalite from Ranbaxy
Eg Revitalite from Ranbaxy
• Sales of vitamins have been boosted by changing Anti‐oxidants Fish oils (omega 3), Alpha Lipoic acid
lifestyles Metabolites Used in weight management
• Major share is held by Vitamin‐B complex followed Vitamin‐C L‐ascorbic acid
by multivitamins, and protein supplements
by multivitamins and protein supplements
Mineral nutrition Calcium, iron, iodine, potassium etc..
NUTRACEUTICALS MARKET – INDIA.PPT 7
9. Drivers & Challenges
Drivers
Challenges
Increasing shift towards preventive
therapies Lack of standardisation
Increasing in disposable income
I i i di bl i High pricing
Increase in Healthcare Spending Lack of awareness
Ageing population Marketing and distribution challenges
Growth in pharma retail chain
Favorable pricing environment
NUTRACEUTICALS MARKET – INDIA.PPT 9
10. Rise in chronic diseases is encouraging people to go for
preventive treatment
Increasing shift towards preventive therapies Impact
•The incidence of lifestyle diseases has increased with the changing lifestyle
India is home to the largest number of diabetes patients
Stress both at work and at home is likely to result in increase in number of people suffering from
hypertension
Mounting Chronic diseases
Population
36 62 31 46 14 34 2 2.5
25
(mn)
6
4.9
2005 (%)
4 3.3 3.7
2.8 2.7 2015 (%)
2 1.3
0.2 0.2
0
Coronary Heart Diabetis Obesity Cancer
Disease
• With
With growth in fast food culture, people are resorting to high‐fat, high‐cholesterol diet which makes
th i f t f d lt l ti t hi h f t hi h h l t l di t hi h k
them vulnerable to lifestyle diseases
Consumption of unbalanced meals leads to insufficient intake of necessary vitamins and nutrients. Hence, people
are resorting to nutrition pills and supplements to stay healthy
• Escalation in cost of medial treatment and the resultant inconvenience are major factors that are
j
encouraging Indians to go for preventive support
NUTRACEUTICALS MARKET – INDIA.PPT 10
11. Increase in disposable income has empowered Indians to
spend more on nutraceutical products
Increase in disposable income Impact
• Working population of India is expected to reach 64.2 % of the total population, according to
projections of The National Commission of Population, India
• This implies an increase in the financial ability of the people to spend more on healthcare
products
• Growing segment of the Indian population, particularly that of earning people, is the target
group for nutraceutical manufacturers
Per household annual
income (INR ‘000) Aggregate Annual Disposable
Total No. of Household (mn) Income (INR tn)
281 Core target 90
244 3% consumer
consumer
12% 24%
207 2% 1% groups
5% 1% 1% 23%
34% Globals >1000 23%
44% Strivers 500‐1000 44
43% 15%
Seekers 200‐500 9%
34%
33% 24
9% 34%
Aspirers 90‐200
49% 13% 7%
30% Deprived <90 49% 33% 15%
18%
23% 9% 3%
2005 2015 2025 2005 2015 2025
NUTRACEUTICALS MARKET – INDIA.PPT 11
12. Increase in healthcare spending and ageing population is
driving growth in nutraceutical sector
Increase in healthcare spending Impact
• Healthcare spending has also increased with the increase in disposable income
• Healthcare is likely to be one of the fastest growing categories apart from communication,
education and recreation
Many metro executives in their early 20s to 40s use food supplements to stay healthy
Average Indian spending on Healthcare is expected to reach 13%
Healthcare Spending %
4 4 7 7 9 13
11 9 15 Healthcare
17
25 19 Education , Recreation & Communication
20
29
29 Transportation
29
56 Personal h
P l household products utilities apparel
h ld d t tiliti l
42 34 25
Food Beverages and Tobaco
1995 2005 2015 2025
Ageing population Impact
• India and China account for 1/3rd of the world's total population older than 65 years of age
• The current rate of growth of the older population in developing countries is more than double
than in developed countries
• Increasing ageing population is likely to increase the demand for supplements and functional
foods to address age‐related conditions
NUTRACEUTICALS MARKET – INDIA.PPT 12
13. Growth in Pharma retail and favorable pricing environment
has created demand for nutraceutical products
Growth in pharma retail chains Impact
• Nutraceuticals market is driven by over‐the‐counter (OTC) sales in India
• Modern retail formats have provided bigger exposure to this market
• With the rise in the pharmacy chains in India, the availability, display & counseling for
nutraceuticals products will improve
Pharma Retail Growth
INR bn
600 +26%
432
400
216
200
0
2008 2011
Favorable pricing environment Impact
• Drugs Price Control Order (DPCO) Act does not include any nutraceutical product, thus large
group of preventive and curative health related products are out of the ambit of price control
• This has prompted many Pharma companies to diversify and enter nutraceutical business
NUTRACEUTICALS MARKET – INDIA.PPT 13
14. Lack of standardisation and regulations hindering industry
growth
Lack of standardization Impact
• Unlike USA, where single law Dietary Supplement Health and Education Act (DSHEA ) is in place
to regulate such products, in India, the sector is governed by multiple laws like:
Prevention of Food Adulteration Act
Food Products Order
Drugs and Cosmetics Act
Food Safety And Standards Act 2006
• There is still ambiguity in interpreting difference between Nutraceuticals & related terminologies
There is still ambiguity in interpreting difference between Nutraceuticals & related terminologies
like functional food, vitamin supplements, dietary supplements, and designer food
• Also, there are no subsidies for manufacturing nutra products in India because there is no
regulation to control setting up of manufacturing units for such products
g g g
• In the absence of clear guidelines certain Nutraceuticals are categorized as drugs or foods in India
Vitamin supplements that have ingredients of a drug also come under the purview of Drugs and Cosmetics
Act since there is no quality or price control for such supplements outside the act
This often leads to ambiguity and there have been instances where companies have sold vitamins under
different prices, under separate licenses of dietary supplements and drugs
• In USA only those nutraceutical products that claim to treat cure mitigate or prevent a disease
In USA, only those nutraceutical products that claim to treat, cure, mitigate or prevent a disease
are regulated by the Food, Drug and Cosmetic Act of USA else Nutraceutical products, can be
marketed as dietary supplement as a OTC product
NUTRACEUTICALS MARKET – INDIA.PPT 14
15. High pricing and lack of awareness among people hampers
industry growth
High pricing Impact
• The pricing of certain nutraceuticals products is very high and hence many such products are
beyond the range of an average consumer
A small tin of protein supplement, for instance, costs nothing less than INR 700‐1,000
Cod liver oil retails for INR 105 for a 100 ml bottle
One kg flour costs INR 18 but its nutrient fortified mix is priced 139% higher
A chilled beverage is priced at INR 20 but an energy drink is available at a price 350% higher
Lack of awareness
• A large part of Indian population is ignorant about the benefits of nutraceuticals
In the developed markets every citizen is aware of protein drinks vitamin pills and anti oxidants
In the developed markets every citizen is aware of protein drinks, vitamin pills and anti‐oxidants
• Awareness of Nutraceuticals in India according to a recent survey revealed, 45% had no idea or
had a vague idea about it while 55% percent had a mixed understanding about it
Many people consider Nutraceuticals nutrients other than food, or nutrients in tablet or syrup
Some of them thought it was vitamins or minerals to compliment regular diet
A part of population considers Nutraceuticals to be luxury items
NUTRACEUTICALS MARKET – INDIA.PPT 15
16. Nutraceuticals manufacturers are facing marketing and
distribution challenges
Marketing and distribution challenges Impact
• Sector is highly unorganized hence manufacturers find it difficult to distribute and promote
their nutra products
• Nutra products category is OTC‐driven
OTC products call for heavy investment in product promotion and retail space
In India OTC contributes only 5 % of the total health care industry compared to 20 % in the US
• Sales can be increased if the doctor/physician prescribes the product as the general consumer
may not be willing to spend money on the health supplements unless prescribed by the
may not be willing to spend money on the health supplements unless prescribed by the
physician
NUTRACEUTICALS MARKET – INDIA.PPT 16
19. Fortified foods and Ayurvedic Nutraceuticals are emerging
as new growth segment for this industry
Fortified Foods
• The nutraceuticals are merging into daily foods in India
• Future of Nutraceuticals in India lies in fortified foods Fortified foods
• Fortified foods, are foods strengthened with ingredients having known benefits broadening the
scope of the market
Calcium ‐ enriched idli, probiotic‐fortified yoghurt, buttermilk, omega‐3‐fortified health drinks and baby
foods are getting popular in India
Marico has started marketing some of its cooking oils as functional food in India
Nestle has launched dal and atta noodles
Nestle has launched dal and atta noodles
Dabur has launched Real Junior fortified with calcium, targeted at kids below six years
Ayurvedic Nutraceuticals
• Ayurvedic Nutraceuticals is an emerging segment as people are focusing more towards natural
Ayurvedic Nutraceuticals is an emerging segment as people are focusing more towards natural
products rather than on allopathic medicines Ayurvedic
Nutraceuticals
• Various Ayurvedic nutraceuticals have entered the Indian market, some of which are anti‐ emerging as a new
oxidants and bone density enhancers segment
Curcumin, green tea extract, shatavari, capsaicin, lycopene, lutein, fish oils, brahmi, senna and psyllium are a
few famous ayurvedic nutraceuticals
Alkem Laboratories introduced sugar‐free ayurvedic supplements and low‐calorie sweeteners
Emami is planning to launch ayurvedic tonics for diabetes, blood pressure, stress, hypertension
• In the export market, India has a huge advantage since it is the originator of herbal ayurvedic
and natural products
and natural products
NUTRACEUTICALS MARKET – INDIA.PPT 19
20. Indian players are strengthening their position by partnering
with international brands
Foreign Tie‐ups
• Indian companies are entering into tie‐ups with International companies in order to offer new Alliances aimed at
products to consumers developing new
products and
Company Details improving
Elder Pharma entered into an licensing agreement with the Tokyo‐based Nutraceuticals distribution
Elder Pharma
company, Daiwa Pharmaceutical, to introduce its nutritional supplement Imbran
Parry
y Parry Nutraceuticals and Valensa International (USA ) are working together to develop
y ( ) g g p
Nutraceuticals next generation of high‐performance nutritional products
Plethico Plethico signed a sales and distribution agreement with Swiss firm Molekule GbmH, to sell
Pharmaceuticals Natrol’s herbal‐ and nutraceutical‐product portfolio in India
Subsidiary of Sami Labs, Sabinsa Group, has marketing partnership with Goldschmidt
Sami labs
Sami labs
Personal Care, for worldwide distribution of botanical extracts to personal care industry
NUTRACEUTICALS MARKET – INDIA.PPT 20
22. Food Safety & Standards Act aims to ensure better
consumer safety and establish food quality standards
Food Safety And Standards Act 2006
• The bill was proposed in 2005 and it has been enacted as an act in August 2006
• It consolidates 8 laws governing the food sector and establishes Food Safety & Standards Authority
Objectives • Protect human life and ensure health and protection of consumers interests
Protect human life and ensure health and protection of consumers’ interests
• Bring international standards to food issues in India
• Ensures that food items sold in the market are marked and labeled appropriately
• The Act creates a new category for Dietary Supplements/Nutraceuticals/Functional foods
• It empowers Food Safety & Standards Authority (FSSA ) to regulate the manufacture, processing, import, export,
distribution and sale of safe and wholesome food
• Act is enforced by State Commissioners of Food Safety and local level officials
• It makes licence or a registration mandatory
Key Features • It seeks to establish scientific panels, which shall consist of independent scientific experts
• It establishes Food Safety Appellate Tribunal to hear consumer complaints pertaining to food related grievances
and violations of law & appeals from the decisions of the Adjudicating Officer
and violations of law & appeals from the decisions of the Adjudicating Officer
• Packaged foods, labeling requirements and advertising requirements are adequately covered along with import
regulations for food articles in this Act
• Currently, a manufacturing license for nutraceuticals has to be taken under the Prevention of Food Adulteration
Act. Once the government passes necessary notifications with regard to Food Safety and Standard Act 2006, the
Act. Once the government passes necessary notifications with regard to Food Safety and Standard Act‐ 2006, the
PFA Act will be repealed and the new act will be the basis for all manufacturing, distribution and sales of
Implications nutraceuticals
• Act will encourage manufacturers to do product R&D, develop reliable testing protocols and carry out clinical
studies
• It is likely to provide new opportunities for international firms to sell in Indian market
NUTRACEUTICALS MARKET – INDIA.PPT 22
24. Amway leads the overall market
Competition Overview Market Share ‐ Overall
•There are more Indian players than Heinz Ranbaxy
multinationals in the market as it’s a relatively Pfizer
Dabur 6.1%
low technology section in pharma
l h l i i h
11.8% 4.6%
•Amway leads the overall market, followed by 4.6%
Dabur
Amway 16.9%
•Amway’s protein powder Nutrilite, was the
most popular brand followed by Dabur’s
t l b d f ll db D b ’ 56.0%
56 0%
Chyawanprash Others
•In health food drinks segment:
GlaxoSmithKline (GSK) has four brands : Horlicks, Market Share ‐ Health food drinks
Boost, Viva and Maltova
Boost Viva and Maltova
Complan, Glucon D from Heinz India and Cadbury Others
India's Bournvita are also popular
17%
•Red Bull leads the energy drinks market
y
followed by Power Horse Complan 13%
•In Vitamin B‐Complex market Pfizer is the
leader, followed by Glaxo, Merck and 70%
SmithKline Beecham GlaxoSmithKline
Pfizer’s Becosule enjoys a 48.7% market share
NUTRACEUTICALS MARKET – INDIA.PPT 24
25. Major Players (1/11)
Players Location Business Description
Abbott • Mumbai • It manufactures fortified B‐complex capsules
• In paediatric nutrition its prominent brand is PediaSure, in adult nutrition
its brand include Ensure and Glucerna nutrition products for diabetics
p
• It is acquiring the nutrition businesses of Wockhardt for USD 130 mn
Financials:
• It reported net sales of INR 6.6 bn and net profit of INR 628.7 mn in FY’08
Ajanta Pharma
Ajanta Pharma • Mumbai
Mumbai • It is in the business of pharmaceuticals as well as ayurvedic preparations
It is in the business of pharmaceuticals as well as ayurvedic preparations
• It manufactures capsules, injectable, liquids, powder, vitamin tablets,
Carotenoids, Anti – Oxidants, Calcium Supplements and Health Oils
• Some of its prominent products include Carofit, Rufuge, Ocugold, Figurin,
Stamina, Trimol, Thirty plus, Pinkoo Gripe Water and Livo Plus
• Aj
Ajanta Pharma is investing INR 280 mn for setting up new Active
Ph i i i INR 280 f i A i
Pharmaceutical Ingredient (API) facility for high volume products at Walunj,
Aurangabad
Financials:
• The company reported net sales of INR 3.2 bn and profit after tax of INR
p y p p
214 mn in FY 2008‐09
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 25
26. Major Players (2/11)
Players Location Business Description
Alembic • Vadodara • Its Nutraceuticals product range include supplements, vitamin and mineral
supplements
• It is planning to set‐up its own Special Economic Zone (SEZ) dedicated to
p g p p ( )
the pharma sector
• Alembic plans to enter the US and European markets
Financials:
• The company reported total sales of INR 11.06 bn and profit after tax of
INR 72.9 mn in FY 2008‐09
INR 72 9 i FY 2008 09
Alkem Laboratories • Mumbai • It manufactures Nutraceuticals, Functional foods & Health Foods
• Its products include Sugar substitute‐ Majesta, Herbal Energy supplement‐
Jeevanprash
• It is planning to invest INR 450 mn to set up a formulation unit at Kumrechk
It is planning to invest INR 450 mn to set up a formulation unit at Kumrechk
in Sikkim
Amway • New Delhi • It uses direct selling /multi level marketing route for distribution
• It markets its Nutraceutical products under the brand Nutrilite
• It plans to invest INR 550 mn to treble capacity at its Himachal Pradesh
It plans to invest INR 550 mn to treble capacity at its Himachal Pradesh
manufacturing unit by the end of 2009
• It is planning to add four new product lines to its existing plant
Financials:
• It reported total sales of INR 11.28 bn FY’08
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 26
27. Major Players (3/11)
Players Location Business Description
Avesthagen • Bangalore, • Manufactures Nutraceuticals using natural ingredients
Delhi and • Its nutraceuticals products includes anti‐fatigue, anti‐obesity, anti‐stress,
Hyderabad anti‐cholesterol, anti‐diabetic and eye health
, y
• It is planning to raise approximately INR 6bn – 7bn through an equity issue
in the first half of 2010
• In 2009 it forged an alliance with Uxmal SA, Chilean biotech firm, for
promoting research and development & commercialization of bioactives
for use in products like functional foods and healthcare
for use in products like functional foods and healthcare
• It acquired US dietary supplement company Renaissance Herbs, for USD11
million in 2007
British Biologicals • Bangalore • It manufactures range of supplements and nutaceutical products
• In July 2009 it launched 'Cardiopro', a cholesterol lowering Nutraceutical
In July 2009 it launched Cardiopro a cholesterol lowering Nutraceutical
product in cardio vascular therapeutic segment, in association with UK‐
based research firm Horphag Research
• It is planning to invest INR 1 bn over the next two years on marketing and
other promotional expenses in India, in order to achieve INR 3.50 bn
turnover by 2012
turnover by 2012
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 27
28. Major Players (4/11)
Players Location Business Description
Dabur • Ghaziabad • Its product range includes Nutrition products such as Chawanprash,
Glucose‐D, Real and Active Juices
• It is planning to set‐up a plant in Egypt
p g p p gyp
Financials:
• The company reported an total income of INR 3168.5 mn and a net loss of
INR 777 mn in FY 2008‐09
Dr. Morepen
Dr. Morepen • Delhi • Its product range includes Dietary Supplements, Instant Antacids, ORS for
Dehydration & Diarrhoea, Throat Drops
Financials:
• The company reported a total income of INR 1652.5 mn and net loss of INR
368.4 mn in FY 2008‐09
Elder • Mumbai
b • Its product range comprises of vitamin to vitamin combination specialized
d f b l d
products for diabetes, cardiac ailments, arthritis, chronic renal failure and
Pharmaceuticals neurological problems
• Its popular brands include Shelcal calcium supplement, Eldervit vitamin
injection and Chymoral Forte pain reliever
• Acquired 20% stake in UK‐based NeutraHealth for INR 470 mn in Aug 2007
• It completed expansion in its plant at Sela Qui near Dehradun
Financials:
• The company reported a total income of INR 5563.6 mn and profit after tax
of INR 686.4 mn in FY 2007‐08
f INR 686 4 i FY 2007 08
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 28
29. Major Players (5/11)
Players Location Business Description
GlaxoSmithKline • Mumbai • Its Pharma division products include Vitamins and Minerals
• In consumer health care division its products include Horlicks, Horlicks
Biscuits, Maltova, Boost and Viva
, ,
Financials
• Consumer Health Care division reported total Income as INR 16.38 bn and
net profit of INR 1883.3 mn in FY’ 08
• Pharma Division reported total sales of INR 17.5 bn and net profit of INR
5.76 bn in FY’08
5 76 b i FY’08
Glenmark • Mumbai • Its Majesta Division manufactures Nutraceuticals under brand name
protomeg
Financials:
• It reported a total income of INR 14 11 bn and a net profit of INR 3 89 bn in
It reported a total income of INR 14.11 bn and a net profit of INR 3.89 bn in
FY 2007‐08
Heinz • Mumbai • Its leading brands in Nutraceutical market include Complan and Glucon D
• Heinz India has forayed in the ready‐to‐eat Indian main course food
category in September 2009 with the launch of its new range of four Ready
category in September 2009 with the launch of its new range of four Ready
To Eat Meals
• The range includes Amritsari chole, Awadhi dal fry, Jammu wale rajma and
Peshawari dal makhani
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 29
30. Major Players (6/11)
Players Location Business Description
Himalaya • Bangalore • It specializes in manufacturing range of ayurvedic and herbal nutraceutical
products
Healthcare
• In 2008 it signed a MoU with the University of Agricultural Sciences,
g y g ,
Bangalore to facilitate collaborative research on medicinal herbs and plants
Lupin • Mumbai • It manufactures different types of nutritional supplements
• Lupin Ltd. has expanded into Africa by acquiring a 60% stake in Pharma
Dynamics, a generics company and contract manufacturer based in Cape
Town, South Africa
• Pharma Dynamics is present in generic pharmaceutical, over‐the‐counter
medications and nutraceutical product segments
Financials:
• It reported a total income of of INR 38.7 bn and a net profit of INR 5 bn in
FY’2008‐09
Nouveau • Chennai • Its leading products include diet chocolates, protein rich drinks, creatine
supplements
Dietetique
• Its health foods are marketed under the brand name 'Satva'
• In 2008 Bennett, Coleman & Company (BCCL), acquired a stake in the
company
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 30
31. Major Players (7/11)
Players Location Business Description
Piramal HealthCare • Thane • It is present in vitamins segment in Nutraceuticals sector
• Recently launched Supractiv Complete ‐ a total nutritional supplement
Financials:
• It reported total operating income of INR 32.8 bn and a profit after tax of
INR 3.16 bn in FY’ 2008‐09
Parry • Chennai • It is part of Murugappa Group
Nutraceuticals • Its products include Organic Spirulina, Natural Mixed Carotenoids,
Its products include Organic Spirulina, Natural Mixed Carotenoids,
Astaxanthin from algae and Green Tea Extracts
• In November 2008, Valensa International and Parry Nutraceuticals forged a
new agreement to focus on developing new plant‐derived nutritional
products for foods and supplements
• In 2008 it acquired a 48% stake in US Nutraceuticals headquartered in
In 2008, it acquired a 48% stake in US Nutraceuticals, headquartered in
Florida, for INR 451.9 mn
• Its products are currently exported to over 35 countries worldwide
Financials:
• The company reported a turnover of INR 291.1 mn in FY 2008‐09
p y p
Pfizer • Mumbai • Its Becosules Capsules is market leader in Vitamin B segment
Financials:
• It reported a total income of INR 10.16 bn and a net profit of INR 3 bn in
FY’08
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 31
32. Major Players (8/11)
Players Location Business Description
Plethico • Mumbai and • Its leading brands include Travisil,Coach’s Formula, Mountain Herbz, and
Indore Prolab
Pharmaceuticals
• In January 2008 it Acquired Natrol Inc in the US
In January 2008, it Acquired Natrol, Inc in the US
• In February 2008, it commenced construction of a UAE based
manufacturing facility for high‐end herbal lozenges and other
nutraceuticals
• The company intends to export its herbal / nutraceutical products to
The company intends to export its herbal / nutraceutical products to
countries in which it is not currently present
• These include semi‐regulated markets, including Eastern Europe, South
Africa, North Africa and Mexico
Financials:
• The company reported a total income of INR 4.7 bn and profit after tax of
INR 1.3 bn in FY’08
Ranbaxy • Gurgaon • Its product range includes Ginseng and Vitamins
p pp g
• It launched its protein supplement Revitalite in August 2009
Financials:
• It reported a total income of INR 31.8 bn and a net loss of INR 10.44 bn in
FY’08
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 32
33. Major Players (9/11)
Players Location Business Description
Raptakos • Mumbai • It is engaged in producing and marketing Pharmaceuticals, Nutraceuticals
and bulk drug
• It manufactures bulk drug calcium lactate gluconate lactations & nutrition
It manufactures bulk drug calcium lactate gluconate, lactations & nutrition
for pregnant women under brand name of Nutrimom, Nutricard medicine
for hypercholesterolemia, medication for diarrhea Lactrol Forte,
medication for cardiovascular disorder Nican‐CR, Cyber Cr & Ivamin‐Cr, it
has developed a herbal formula called Rappetite
Financials :
• The company reported net sales of INR 1544.6 mn and a profit after tax of
INR 156.3 mn in FY 2005‐06
Sami Formulations • Bangalore • Sami Labs has an associate in the US, Sabinsa Corporation
• Its product range include products based on Sports nutrition ,
Rejuvenating agents and Weight management
• It currently has 10,000 acres under herbal plant cultivation in Tamil Nadu
and is planning to increase its acreage to 30,000
Financials:
• The company reported net sales of INR 786.3 mn and a profit after tax of
INR 36.2 mn in FY’ 07
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 33
34. Major Players (10/11)
Players Location Business Description
Troikaa • Ahmedabad • Its Nutraceuticals product range includes calcium supplements Vitamin E in
liquicaps
Pharmaceuticals
• It acquired 65 acres of land near Ahmedabad for expansion
q p
• It is planning to expand its marketing network both in India as well as in
international markets
• The company plans to enter developing markets like Brazil, South Africa in
first phase
• I A il 2009 it i t d d
In April 2009, it introduced a cancer drug in Indian market
d i I di k t
Twilight Litaka • Mumbai and • It has an exclusive division focused on nutritional therapy
Pune • The company also manufactures nutritional supplements, calcium
Pharma
supplements and vitamin tablets
• It has an agreement with the Indian arm of a Malaysian Company Elken
It has an agreement with the Indian arm of a Malaysian Company Elken
engaged in manufacturing of Nutraceutical products
• The company acquired 17 brands from Sami Lab Bangalore with respect to
Nutraceutical products category in 2008
Financials:
• It reported a total income of INR 3.73 bn and a profit of tax of 221.2 mn in
FY 2008‐09
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 34
35. Major Players (11/11)
Players Location Business Description
USV India • Mumbai • It manufactures multivitamin tablets
• It forged an qlliance in 2008 with Novartis to market its anti‐ diabetic drug
Galvus in India
Financials:
• It reported net sales of INR 6.1 bn and a net profit of 36.2 mn in FY 2006‐07
Wockhardt • Mumbai • It nutritional products include Farex and Protinex
• In the Vitamines and Nutrients segment its products include HbRich ‐ a
In the Vitamines and Nutrients segment its products include HbRich a
Haemoglobin tonic and BG‐Prot a Protein Supplement.
• The company is in the process of selling its nutrition business to Abott
Financials:
• It reported a total income of INR 15.5 bn and loss after tax of INR 3.5 bn in
FY’08
Zandu • Mumbai • It specializes in manufacturing Ayurvedic products
• Prominent products include Zandu Chyawanprash, Zandu Kesari Jivan
Financials:
• The company reported total income of INR 1.37 bn and net profit of INR
h d l f b d f f
164.1 mn in FY 2007‐08
Note: This list is not exhaustive
NUTRACEUTICALS MARKET – INDIA.PPT 35
37. PE Investments
Amount
Date Company Investor Description
(INR mn)
Avenue Capital Group
Morepen
p
20‐Sept‐2007
20 S t 2007 through its subsidiary G L
th h it b idi GL 1400 •F
For a 14.99% stake in the Company
14 99% t k i th C
Laboratories
India Mauritius III Ltd
New York Life Investment
8‐May‐2007 Avesthagen 225 • For minority stake in the company
Management India Fund
Fidelity international ,
Avesthagen Groupe Limagrain, Daninvest • Fidelity International has picked up
1‐Jan‐2007 1560
of Groupe Danone , Bennett, a 10 % stake
Coleman & Co.
Elder
ld • Increased its stake in Elder
d k ld
30‐Mar‐2006 Citigroup na
Pharma Pharmaceuticals from 9.5 % to 14 %
NUTRACEUTICALS MARKET – INDIA.PPT 37
39. Key Developments
Date Development
13‐Aug‐2009 Ranbaxy launched its protein supplement market in India, under the brand Revitalite
24‐Jun‐2009 National Pharmaceutical Pricing Authority (NPPA) requested health ministry, for initiating action
against drugs being sold as food supplements. NPPA raised Concern after Merck, which was previously
sold its Evion vitamin E pills as a drug, obtained a licence from the Food Authority of Daman and
began selling the product as a dietary supplement at least five times the price
15‐Jun‐2009 Piramal Healthcare has introduced a new nutritional supplement, 'Supractiv Complete' in India, the
product contains glutamine, zinc, vitamin B‐complex, vitamins C and E, ginseng, calcium, amino acid
d t t i l t i i it i B l it i C d E i l i i id
and antioxidants
14‐Jun‐2009 GlaxoSmithkline (GSK) launched Junior Horlicks Biscuits’ for toddlers, the biscuit contains Vitamins B1
B2 and Niacin and is available in two flavours
15‐Apr‐2009 Weider Germany a leading global company dealing in fitness, health, nutrition and body‐building
nutritional supplements, has decided to enter the Indian market. The company is looking for
distributors who have a good network among gyms, fitness clubs and wellness clinics. Weider plans to
launch its products in India after appointing the distributors
28‐Feb‐2009
28 F b 2009 British Biologicals, has launched a new division ‘Criticare’, in order to increase its market presence in
B iti h Bi l i l h l h d di i i ‘C iti ’i d t i it k t i
the country. The division has launched nutritive supplements for critical care patients such as Reno Pro
for renal failure, Cardio Pro for cardiac problems and Pro Burn for skin burns
13‐Nov‐2008 Elder Pharmaceuticals has signed an agreement with Daiwa Pharmaceuticals Co Ltd. of Japan to sell
its products in the Indian market Daiwa specializes in health supplements and functional foods
market., foods,
initially Elder will launch the Japanese firm's nutritional supplement Imbran in India
NUTRACEUTICALS MARKET – INDIA.PPT 39
40. Thank you for your time
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