Abstract
Omega-3 fatty acids are some of the most important nutrients to human health.
The number of consumers globally who are aware of omega-3 fatty acids and
their role in health is high, and the number of people who are specifically
consuming omega-3 for health has increased dramatically over the past few
years. Consumer demand for omega-3 products will continue to grow briskly over
the 2011-2015 period, and will influence the activities of manufacturers and
marketers worldwide in supplying omega-3 products across various categories
and segments of consumer packaged goods (CPGs), including private label
products.
In Omega-3: Global Product Trends and Opportunities, Packaged Facts analyzes
the future of the global omega-3 market, and pinpoints opportunities in a $13
billion industry that is far from reaching its saturation point. The link
between “dietary supplements” (the traditional method for boosting
omega-3 intake) and consumer diets and grocery store food products is becoming
ever stronger. Moreover, consumers increasingly regard the health and beauty
products they use as extensions of the foods they eat and the nutritional
supplements they take. What has emerged, therefore, is a continuum of
nutrient-positioned products extending from whole foods (including natural and
organic products) and fortified/functional foods through to nutritional
supplements and personal care products. In the case of pet owners, this
continuum also extends to pet foods (which are inherently functional), treats,
supplements, and grooming products - essentially replicating the range of
human products available.
Moreover, a significant amount of nutrient-based new product development is
driven by the concept of “superfoods.” Although the concept of
foods with pharmaceutical-grade benefits flies in the face of a strong medical
and regulatory community distinction between food and drugs,
“superfoods” has emerged as a powerful marketing concept - in part
because it builds on age-old conventional wisdom and nutritional adages such
as “an apple a day helps keep the doctor away.” Omega-3' s widely
accepted status as a “superfood,” in combination with a globally
expanding range of nutrient-based new product development across CPG markets,
means that the market for omega-3 products will remain lively and
opportunity-rich for years to come.
Scope of Report
This report focuses on packaged retail products that are marketed as high in
omega-3 fatty acids, whether these products are inherently high in omega-3 or
purposefully enhanced or fortified with this nutritional content, and whether
the omega-3 content is docosahexaenoic acid (DHA), eicosapentaenoic acid
(EPA), or alpha linolenic acid (ALA).
A number of marine and non-marine food sources inherently contain these
omega-3 fatty acids, such as fish and fish oil, algal oil, canola oil, soybean
oil, flaxseed, and walnuts. Therefore, packaged food products such as fish,
breads (particularly those with seeds and nuts), and nut or hemp milks may
naturally contain high levels of omega-3. In addition, high omega-3
ingredients are commonly added to a range of packaged products to enhance
their omega content.
The geographic scope of this report is global, and the packaged consumer
product categories covered are: foods and beverages, which account for the
bulk of the market; health and beauty care (HBC) products, primarily
consisting of supplements; and pet products, primarily dog or cat food.
Report Methodology
The information contained in this report was obtained from primary and
secondary research. Primary research entailed participation in GOED Exchange
2011, the first international conference held by Global Organization for EPA
and DHA Omega-3 (GOED Omega-3); Packaged Facts surveys of U.S. consumers;
consultations with manufacturers and industry insiders; and an on-site
examination of retail products. Secondary research included extensive Internet
canvassing and research- and data-gathering from relevant consumer business
and trade publications; company information including annual reports, press
releases, and conference calls; company profiles in trade and consumer
publications; government reports; and other food and nutrition market reports
by Packaged Facts. Sales estimates are based on analysis of data from the
above sources.
Table of Contents
Chapter 1: Executive Summary
- Scope of Report
- Report Methodology
- Market Overview
- Knowledge About Omega-3 Fatty Acids Advances Quickly
- Opportunity-Rich Nutritional Product Continuum
- Figure 1-1: The Continuum of Nutritional Product Development
- Over Last Decade, 27% Global CAGR in New Product Introductions
- After Fish, Dog Food and Nutritional Supplements Are Most Active Omega-3
Segments
- U.S. Accounts for 41% of New Product Activity
- Latin America Jumps to 16% Share of New Product Activity
- Table 1-1: Global Product Introductions with High-Omega Claims: By
Geographic Region, 52 Weeks Ending July 31, 2006 vs. 52 Weeks Ending July
31, 2011 (number and percent of global total)
- Product Market Distribution of High-Omega Claims
- Global Omega-3 Consumer Packaged Products Market at $13 Billion
- Figure 1-2: Market Share for Global Omega-3 Products: Foods vs.
Non-Foods, 2011
- $8 Billion in Global Retail Sales for Omega-3-Enhanced Food and Beverage
Products
- Table 1-2: Global Retail Sales of Omega-3-Enhanced Food and Beverage
Products, 2003-2011 (in millions of dollars and percent change)
- U.S. Retail Sales of High Omega-3 Food and Beverage Products Reach $4
Billion
- U.S. Sales of Omega-3 Supplements at $1.3 Billion
- Market Saturation Point for Omega-3 Is Far From Reached
- Ingredients, Recommended Intakes, & Regulation
- Three types of Omega-3s
- Alpha Linolenic Acid
- DHA and EPA
- Table 1-3: Omega-3 Fatty Acids: Nomenclature, Structure and Food Source
- Fish versus Algae versus Flax
- Is Food Better than Supplements as a Delivery System for Omega-3?
- Omega-3 for Personal Care Products
- Dietary Recommendations for Consuming Omega-3s
- Regulatory Developments in Europe Are Positives for Market
- Supplier & Marketer Profiles
- Supplier Profiles
- Marketer Profiles
- Looking Ahead: Market Opportunities
- Krill Shakes Up Supplement Segment
- Omega-3 as Skincare
Chapter 2: Market Overview
- Key Points
- Introduction to Market
- Scope of Report
- Report Methodology
- Omega-3 Fatty Acids - A Key to Human Health
- Studies Support a Growing List of Health Benefits
- The Roles of DHA and EPA in Human Health
- Table 2-1: Health Benefits Reported from Adequate Consumption of Omega-3
Fatty Acids
- Inflammation and Omega-3
- Table 2-2: Selected Conditions and Diseases Associated With an
Inflammatory Component
- From Supplements to Foods and Beverages
- Knowledge About Omega-3 Fatty Acids Advances Quickly
- Increasing Use of Omega-3 in Foods and Beverages
- Opportunity-Rich Nutritional Product Continuum
- Figure 2-1: The Continuum of Nutritional Product Development
- Global Product Introduction Trends
- Over Last Decade, 27% Global CAGR in New Product Introductions
- Table 2-3: Global Product Introductions: High-Omega vs. Other
High-Nutrient Claims, 2001-2010 (number and percentage change)
- After Fish, Dog Food and Nutritional Supplements Are Most Active Omega-3
Segments
- U.S. Accounts for 41% of New Product Activity
- Table 2-4: Global Product Introductions with High-Omega Claims by
Product Category and Selected Segments: 52 Weeks Ending July 31, 2006 vs. 52
Weeks Ending July 31, 2011 (number and percent)
- Table 2-5: Global Product Introductions with High-Omega Claims: Overall
and Food/Beverage by Top National Markets, 52 Weeks Ending July 31, 2011
(number and percent of global total)
- Latin America Jumps to 16% Share of New Product Activity
- Table 2-6: Global Product Introductions with High-Omega Claims: By
Geographic Region, 52 Weeks Ending July 31, 2006 vs. 52 Weeks Ending July
31, 2011 (number and percent of global total)
- Product Market Distribution of High-Omega Claims
- Table 2-7: Product Introductions with High-Omega Claims by Product
Category: By Global Region and Selected Countries, 52 Weeks Ending July 31,
2006 vs. 52 Weeks Ending July 31, 2011 (percent)
- Market Size and Growth
- Global Omega-3 Consumer Packaged Products Market at $13 Billion
- Figure 2-2: Market Share for Global Omega-3 Products: Foods vs.
Non-Foods, 2011
- $8 Billion in Global Retail Sales for Omega-3-Enhanced Food and Beverage
Products
- Table 2-8: Global Retail Sales of Omega-3-Enhanced Food and Beverage
Products, 2003-2011 (in millions of dollars and percent change)
- U.S. Retail Sales of High Omega-3 Food and Beverage Products Reach $4
Billion
- Table 2-9: U.S. Retail Sales of Food and Beverage Products (Excluding
Fish) With “High Omega-3” or “High DHA” Claims,
2006-2010 (in millions of dollars)
- Table 2-10: Projected U.S. Retail Sales of Food and Beverage Products
(Excluding Fish) With “High Omega-3” or “High DHA”
Claims, 2011-2015 (in millions of dollars)
- Figure 2-3: Projected U.S. Retail Sales of Food and Beverage Products
(Excluding Fish) With “High Omega-3” or “High DHA”
Claims, 2011-2015 (in millions of dollars)
- U.S. Sales of Omega-3 Supplements at $1.3 Billion
- U.S. Market for DHA/EPA Ingredients at $1.6 Billion
- Market Saturation Point for Omega-3 Is Far From Reached
Chapter 3: Ingredients, Recommended Intakes, and Regulation
- Key Points
- Ingredients
- Three types of Omega-3s
- Alpha Linolenic Acid
- DHA and EPA
- Table 3-1: Omega-3 Fatty Acids: Nomenclature, Structure and Food Source
- Formulations of Omega-3 Used in Foods and Beverages
- Techniques Used to Prevent Oxidation
- Use of Preservatives
- Fish Are the Leading Source of Omega-3 Oils
- Growing Concerns About Depletion of Sources for Fish Oil
- Algal Oil Is a Sustainable Source of DHA
- Plant Oils
- Choosing the Best Oil
- Fish versus Algae versus Flax
- The Basics on Flaxseed
- Walnuts a Good Source of ALA
- New Seed Oil and Plant Sources of ALA
- Omega-3 Fortification Capabilities and Formulation Strategies
- Omega-3 Oils for Supplements
- Is Food Better than Supplements as a Delivery System for Omega-3?
- Omega-3 for Personal Care Products
- Organic Omega-3
- Recommended Intakes
- Dietary Recommendations for Consuming Omega-3s
- Efforts to Establish Recommended Daily Allowances for EPA/DHA
- Standardizing the Percentage of DHA and EPA in Fish Oil
- Is it Possible to Consume Too Much Omega-3?
- Regulatory Environment for Foods & Beverages
- Regulatory Developments in Europe Are Positives for Market
- EFSA Opinion on Labeling Reference Intake Values
- European Food Safety Authority Dietary Reference Values Adopted
- Nutrition Claims Set by the EFSA
- EU Labeling Regulations Increase Confidence in Market
- But EU Regulation Fails to Distinguish Between EPA/DHA and ALA
- Codex Committee Adopts Swiss Proposal to Develop Fish Oil Standard
- U.S. Regulatory Environment for Foods and Beverages
- Table 3-2: Omega-3 Nutrient Content Claims Permitted in the United States
- U.S. Lags European Union in Regulations Relating to Omega-3
- The FDA Issues Qualified Health Claim for Omega-3s
- Structure/Function Claims
- Table 3-3: Omega-3 Structure/Function Claims on Selected U.S. Food and
Beverage Products
- Nutrient Content Claims
- Table 3-4: Omega-3 Nutrient Content Claims on Selected U.S. Food and
Beverage Products
- NCCAM Supports Benefits of Omega-3
Chapter 4: Supplier Profiles
- Key Points
- Companies Profiled
- AHD International
- Competitive Overview
- Table 4-1: Company Information for AHD International
- Omega-3 Products
- Financial Performance
- Aker BioMarine
- Competitive Overview
- Table 4-2: Company Information for Aker BioMarine
- Omega-3 Products
- Omega-3 Partnerships
- Sustainability Initiatives
- Financial Performance
- Aurora Algae
- Competitive Overview
- Table 4-3: Company Information for Aurora Algae
- Omega-3 Products
- Company Strategy
- Borregaard Industries / Denomega Nutritional Oils
- Competitive Overview
- Table 4-4: Company Information for Borregaard Industries
- Omega-3 Products
- Financial Performance
- Cargill
- Competitive Overview
- Table 4-5: Company Information for Cargill
- Omega-3 Products
- Financial Performance
- DSM Nutritional Products
- Competitive Overview
- Table 4-6: Company Information for DSM Nutritional Products
- Omega-3 Products
- Acquisition of Martek
- Exclusivity Arrangements with Major Marketers
- Financial Performance
- EPAX
- Competitive Overview
- Table 4-7: Company Information for EPAX
- Omega-3 Products
- Sustainability Initiatives
- Financial Performance
- Glanbia
- Competitive Overview
- Table 4-8: Company Information for Glanbia
- Omega-3 Products
- Financial Performance
- Jedwards International
- Competitive Overview
- Table 4-9: Company Information for Jedwards International
- Omega-3 Products
- Competitive Strategy
- Nordic Naturals
- Competitive Overview
- Table 4-10: Company Information for Nordic Naturals
- Omega-3 Products
- Sustainability Initiatives
- Ocean Nutrition Canada
- Competitive Overview
- Table 4-11: Company Information for Ocean Nutrition Canada
- Omega-3 Products
- Omega-3 Partnerships
- Sustainability Initiatives
- Financial Performance
- Omega Protein
- Competitive Overview
- Table 4-12: Company Information for Omega Protein
- Omega-3 Products
- Financial Performance
- Zymes
- Competitive Overview
- Table 4-13: Company Information for Zymes
- Omega-3 Products and Technology Advancements
Chapter 5: Marketer Profiles
- Key Points
- Companies Profiled
- Aurora Products
- Competitive Overview
- Table 5-1: Company Information for Aurora Products
- Omega-3 Products
- Financial Performance
- Drs. Foster & Smith
- Competitive Overview
- Table 5-2: Company Information for Drs. Foster & Smith
- Omega-3 Products
- Financial Performance
- George Weston Foods
- Competitive Overview
- Table 5-3: Company Information for George Weston Foods
- Omega-3 Products
- GFA Brands
- Competitive Overview
- Table 5-4: Company Information for GFA Brands
- Omega-3 Products
- GOOD Hemp Products
- Competitive Overview
- Table 5-5: Company Information for GOOD Hemp Products
- Omega-3 Products
- Hain Celestial Group
- Competitive Overview
- Table 5-6: Company Information for Hain Celestial Group
- Omega-3 Products
- Omega-3 Partnerships
- Financial Performance
- HappyBaby
- Competitive Overview
- Table 5-7: Company Information for Happy Baby
- Omega-3 Products
- L' Oréal
- Competitive Overview
- Table 5-8: Company Information for L' Oreal
- Omega-3 Products
- Sustainability and Ethics
- Financial Performance
- Mars
- Competitive Overview
- Table 5-9: Company Information for Mars
- Omega-3 Products
- Sustainability Initiatives
- Financial Performance
- NBTY
- Competitive Overview
- Table 5-10: Company Information for NBTY
- Omega-3 Products
- Omega-3 Product Label and Claims Controversy
- Financial Performance
- Nestlé
- Competitive Overview
- Table 5-11: Company Information for Nestle
- Omega-3 Products
- Financial Performance
- Prairie Orchard Farms
- Competitive Overview
- Table 5-12: Company Information for Prairie Orchard Farms
- Omega-3 Products
- Competitive Strategy
- Stonyfield Farm
- Competitive Overview
- Table 5-13: Company Information for Stonyfield Farm
- Omega-3 Products
- Competitive Strategy
- Financial Performance
- Unilever
- Competitive Overview
- Table 5-14: Company Information for Unilever
- Omega-3 Products
- Financial Performance
Chapter 6: Looking Ahead: Market Opportunities
- Key Points
- The Urgency of Wellness
- New Findings on EPA/DHA and Health
- Fatty Oils Potentially Aid With Bipolar Disorder and Alcoholism
- Omega-3s Linked to Lower Risk of Diabetes
- Omega-3s and Depression
- EU Regulatory Developments Set the Pace
- The U.S. Lags the European Union in Regulation
- More Options for Omega-3 on the Plate
- Looking Beyond Fish and Fish Oil
- DHA/EPA Versus ALA: New Opportunities
- A Wider Sea of Sources: Krill and Calamari
- Omega-3s in the Meat Case
- Chia and Hemp Propel ALA Market Segment
- Opportunities in Fortified Beverages to Reach Wider Consumer Market
- Latin America as Growth Market for Omega-3 Beverages
- Making Omega-3s Fun: Reaching Children
- Private Label Opportunities Outside of North America
- Expanding Middle Class in BRIC Countries Opens Up Opportunities
- Africa and Middle East Have Lowest Levels of Fish Consumption
- Consumer Education Important for Nutritional Supplements
- Krill Shakes Up Supplement Segment
- Omega-3 as Skincare
- Sea Buckthorn Berry for Anti-Aging
- Demand for Omega-3 Spills Over Into Pet Market
- The Internet and Untapped Consumer Segments
- Caveat: Too Much Science Can Scare Off Mainstream Consumers
Appendix: Addresses of Selected Marketers and Organizations
