June 22, 2024
Australia & New Zealand Herbal Supplements Market

The Australia & New Zealand Herbal Supplements Market Overview

The Australia & New Zealand herbal supplements market has emerged as one of the fastest growing industries in recent years. Herbal supplements contain extracts from plants that are meant to supplement one’s diet in order to promote health and well-being. Popular herbal supplements in Australia and New Zealand include garlic supplements known for cardiovascular benefits, gingko biloba supplements for cognitive function, milk thistle supplements for liver support, and turmeric supplements for anti-inflammatory properties. The widespread availability of these products in retail stores, pharmacies, and online has made herbal remedies easily accessible to consumers.

The Australia & New Zealand Herbal Supplements Market is estimated to be valued at US$ 1465.12 Mn in 2024 and is expected to exhibit a CAGR of 7.9% over the forecast period 2024 to 2031.

Growing consumer preference for natural and herbal remedies to substitute prescription drugs is the key factor driving Australia & New Zealand Herbal Supplements Market Growth. With rising health consciousness, people are increasingly opting for supplements made from natural ingredients to address specific health conditions.

Key Takeaways

Key players operating in the Australia & New Zealand herbal supplements are Marathon Petroleum Corporation, HollyFrontier Corporation, REG Life Sciences LLC, Louis Dreyfus Company, Orochem Technologies Inc., Hero BX, Archer Daniels Midland, Renewable Energy Group, Valero Energy Corp., Darling Ingredients Inc., Cargill Inc., POET LLC, Green Plains Inc., Flint Hills Resources, Bunge Limited, Crimson Renewable Energy LP, Aemetis Inc., Alto Ingredients, Inc., Pacific Ethanol, Inc., CHS Inc.

The growing demand for immunity boosting and digestive health supplements during the COVID-19 pandemic has significantly contributed to market revenues. Herbal supplement manufacturers are also expanding to international markets like Southeast Asia and China to leverage the growing export opportunities.

Market key trends

One of the key emerging trends in the Australia & New Zealand Herbal Supplements Market Growth is the rising popularity of customizable herbal blends. Several companies are offering customized herbal mixtures tailored to an individual’s specific health concerns and needs. For example, combinations targeted towards calming anxiety, boosting energy or metabolism, and reducing joint pain. This novel trend allows consumers to personalize their herbal supplement intake as per their requirements.

Porter’s Analysis

Threat of new entrants: The threat is moderate as the market has high capital requirement for setting up manufacturing plants and also strong regulatory compliance makes entry difficult. However, access to organic ingredients from abundant local sources in Australia and New Zealand makes entry somewhat easier.

Bargaining power of buyers: The bargaining power is moderate as the market has several buyers like large retailers, pharmacies, and online stores but no single buyer has significant influence over market. Product differentiation also prevents strong buyer power.

Bargaining power of suppliers: The bargaining power is moderate as there are many suppliers of organic raw materials in Australia and New Zealand but switching costs for buyers is low if any supplier raises prices.

Threat of new substitutes: The threat is low as there are few direct substitutes to herbal supplements which provide similar health benefits without side effects like synthetic medicines. However, alternative traditional medicines continue to co-exist.

Competitive rivalry: Rivalry is intense as market has few large players but presence of several mid-sized brands leads to competitive pricing and quality standards.

Geographical regions with market concentration: About 51% of the total market value is concentrated in Australia itself due to easier availability of key native herbs and supplements. Another 25% of the market share belongs to New Zealand market due to its rich organic farming culture and manufacturing capabilities.

Fastest growing region: Rest of Asia Pacific region saw fastest growth at over 12% CAGR due to rising awareness and exports from Australia and New Zealand. Southeast Asian nations emerged as new lucrative markets while China and India also contributed to regional growth.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it