RUTF & RUSF Market Analysis, Segments, Growth and Value Chain 2017-2025

Global RUTF and RUSF Market: Overview

Transparency Market Research offer 8-year forecast for the global ready-to-use therapeutic food and supplementary food (RUTF & RUSF) market between 2017 and 2025. The global RUTF & RUSF market is expected to register a CAGR of 8.6% during the forecast period. The primary objective of the report is to offer insights on the advancements and opportunity in the RUTF & RUSF market. The study demonstrates market dynamics that are expected to influence the current challenges and future status of the global RUTF & RUSF market over the forecast period. This report also offer updates on trends, drivers, restraints, value forecasts, and opportunities for manufacturers operating in the global and regional RUTF & RUSF market.

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Global RUTF & RUSF Market: Trends and Opportunities

Global humanitarian organizations have become more prominent and worldwide awareness over malnutrition and hunger is expected to boost the RUTF and RUSF market as the benefits of the product is immense in tackling chronic malnutrition problems. Recent diversification and innovation has improved the feasibility of the product regarding its application in the field which has made it more opted solution for nutritional wellbeing for the under privileged population around the world. Further, the report contains all the necessary details regarding the driving and restraining forces the manufacturer in going to face over the forecast period.

Global RUTF and RUSF Market: Segmentation

By type, the market is segmented into ready-to-use therapeutic food (RUTF) and ready –to-use supplementary food (RUSF), by End-user the market is segmented into UNICEF, WFP, NGOs and Others. According to the study conducted, the RUTF is dominant over RUSF due to being widely used for severe acute malnutrition. In end-user segment, UNICEF is anticipated to dominate over the forecast period as it being the largest humanitarian organization present globally.

The report includes market share of each segment according to the region with analysis towards market trends respectively. A section of the report highlights RUTF & RUSF demand. It also provides a market outlook for 2017–2025 and sets the forecast within the context of the RUTF & RUSF ecosystem, including the new product developments as well as product offerings in the global RUTF & RUSF market. This study discusses key trends contributing to growth of the global RUTF & RUSF market, as well as analyses the degree to which drivers are influencing the global market.

In the final section of the report, a competitive landscape has been included to provide report audiences with a dashboard view. Key categories of providers covered in the report are RUTF & RUSF’s key players of the global RUTF & RUSF market. Detailed profiles of the providers are also included in the scope of the report to evaluate their long-term and short-term strategies, key offerings and recent developments in the RUTF & RUSF space. Key players in the global RUTF & RUSF market includes GC Rieber Compact AS, Diva Nutritional Products, Edesia USA, Hilina, InnoFaso, Insta Products, Mana Nutritive Aid Products, Nutriset SAS, NutriVita Foods, Power Foods Tanzania, Tabatchnik Fine Foods, Kaira District Cooperative, 13.3.15. Meds & Food For Kids, Valid Nutrition, Nuflower Foods and Nutrition Pvt., and Samil Industrial Co.

In addition, it is imperative to note that in an ever-fluctuating global economy, we not only conduct forecasts in terms of CAGR, but also analyze on the basis of key parameters such as year-on-year (Y-o-Y) growth to understand the predictability of the market and to identify the right opportunities.

Also, another key feature of this report is the analysis of all key segments in terms of absolute dollar. This is traditionally overlooked while forecasting the market. However, absolute dollar opportunity is critical in assessing the level of opportunity that a provider can look to achieve, as well as to identify potential resources from a sales and delivery perspective in the global RUTF & RUSF market.

Global Ready-to-use Therapeutic Food and Supplementary Food (RUTF & RUSF) Market: By Product

RUTF

• Solid (Powder or Blends and Biscuits or Bar)
• Paste
• Drinkable

RUSF

• Solid
• Paste

Global Ready-to-use Therapeutic Food and Supplementary Food (RUTF & RUSF) Market: By End Users

• UNICEF
• WFP
• NGOs

Ready-to-use Therapeutic Food and Supplementary Food Market: Incremented Government Initiatives Driving Demand

Global Ready-to-use Therapeutic Food & Supplementary Food (RUTF & RUSF) Market: Snapshot

The demand in the global market for ready-to-use therapeutic food (RUTF) and ready-to-use supplementary food (RUFF) market projected to increment at a healthy CAGR of 8.6% during the forecast period of 2017 to 2025. The prosperity of RUTF and RUSF market is a reflection of a number of factors, such as increased government and NGO concerns regarding malnutrition treatment, growing malnutrition as a result of escalating population across the globe, rising demand for drinkable RUTF products, and increased number of emergencies and disasters in various parts of the world. On the other hand, increasing consumer or local government shift toward local ingredients and risk of contamination as a result of inconsistency in RUTF milk products are some of the hindrances faced by the market.

The global ready-to-use therapeutic food and supplementary food market is estimated to be worth US$829.3 mn by the end of 2025, remarkably up from its evaluated valuation of US$429.9 mn in 2017. The stockholders of RUTF and RUSF market are expected to gain new opportunities from UNICEF encouragements for domestic production of RUTF, escalated research on substitute of raw material, and the development of new drinkable powdered and bar form of RUTF.

UNICEF Emerges as Most Important End-user

Based on product, the market for ready-to-use therapeutic food has been segmented into solid products including powder or blends and biscuit or bar, semi-solid products or paste, and drinkable therapeutic food, whereas the ready-to-use supplementary food segment has been classified into solid or powder and semi-solid or paste. Collectively, the RUTF segment served more than 70% of the demand in 2017, and is expected to further eat into RUSF segment’s share towards the end of the forecast period. While solid power sub-segment is gaining traction from its usage in infant food, semi-solid or paste sub-segment is frequently used as they do not require any preparation.

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On the basis of end-users, the report detects that UNICEF contributed 66.1% of the demand in 2017, chalk and cheese ahead of other end-use categorizes of WFP and NGOs. A number of companies are focused on making RUTF and RUSF products that comply with UNICEF requirements.

Europe Currently Most Lucrative Region

In 2017, Europe accounted for more than half, 54.3% of the demand, daylight ahead of second most profitable region of the Middle East and Africa, which didn’t even contribute a quarter of the global demand in the ready-to-use therapeutic food and supplementary food market. A number of regional players in Europe are concentrating on supplying RUTF and RUSF to UNICEF and other NGOs, as well as increase their production capacity. In North America, regional manufacturers are engaged in the production of high-quality ready-to-use therapeutic food and supplementary food products, supplying them to infants in a number of African nations such as Kenya, Sudan, Ethiopia, Burkina Faso, and Nigeria. In Asia Pacific, the implementation of CAMAM in various countries such as India, Pakistan, Bangladesh, Bhutan, and Afghanistan has helped the market.

Some of the key companies currently operating in the global ready-to-use therapeutic food and supplementary food market are: Mana Nutritive Aid Products, Nutriset SAS, Valid Nutrition, InnoFaso, GC Rieber Compact AS, Tabatchnik Fine Foods, Edesia USA, Diva Nutritional Products, Hilina, Insta Products, NutriVita Foods, Kaira District Cooperative, 13.3.15. Meds & Food For Kids, Nuflower Foods and Nutrition Pvt., Samil Industrial Co., and Power Foods Tanzania.

Government Initiatives to Eliminate Malnutrition Propels the Ready-to-use Therapeutic Food & Supplementary Food (RUTF & RUSF) Market

According to a recent news report, an NGO in Kumasi, Ghana has launched a project named Peanut Butter Project, facilitated by the U.S. Agency for Development (USAID) and The Hershey Company and Rotary International in partnership, aiming to tackle the malnourished section of the society, by coming up with an effective ready-to-use therapeutic food, which would also increase the demand for locally grown groundnuts. Such governmental and NGO initiatives are the major driving forces behind the rise in the market demand for ready-to-use therapeutic food & supplementary food (RUTF & RUSF) worldwide.

The global ready-to-use therapeutic food and supplementary food market is likely to project a steady CAGR of 8.6% during the predicted time span of 2017 to 2025. The market is assessed to be worth US$829.3 mn by the end of 2025, astoundingly up from its assessed valuation of US$429.9 mn in 2017. With UNICEF stimulating the domestic production of RUTF, the stockholders of RUSF and RUTF are likely to find more opportunities.

What are the factors stirring up the RUTF and RUSF market growth?

The global ready-to-use therapeutic food and supplementary food market is prospering due various significant reasons. Growing malnutrition in underprivileged regions, rise in population in the world, rise in number of natural disasters and emergencies, and demand for drinkable RUTF products are the major contributing factors. Then again, expanding customer or nearby government shift towards local preferences for food, and uncertainty of food contamination because of irregularity in RUTF dairy products are some of the obstacles present in the market.

Which key players and geographical regions are leading the race?

The ready-to-use therapeutic food market is segmented broadly into semi-solid products or paste, drinkable therapeutic food, and solid products comprising blends or powder and biscuits or bars. On the other hand, ready-to-use supplementary food segment is bifurcated into solid segment or powdered and semi-solid or paste segment. Everything considered, RUTF segment is anticipated to devour the market share of RUSF by the end of the predicted period, which also served greater than 70% of the demand in 2017. The reason why semi-solid or paste segment is gaining popularity and high consumer usage is because of its ease of use as it doesn’t need any preparation and can be consumed as it is whereas, solid powder segment is attaining its pace from its usage in infant food.

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According a report, UNICEF contributed 66.1% of the demand in 2017, much ahead of the other end-use categories of NGOs and WPF. Now, numerous firms and organizations are focusing on making RUSF and RUTF products which would abide by UNICEF norms and requirements.

Mark Moore, founder and CEO of MANA Nutrition entered the ready-to-use therapeutic food business after assessing the response of the product in a meeting on hunger in Africa. Now, the company is one of the leading giants in the market. A joint venture between another key player GC Rieber Compact and South African shareholders also come together by launching their RUSF and RUTF products for hunger struck areas. Diva Nutritional Products, Hilina, and Insta Products are some more leading players in the market.

Ready-to-use Therapeutic Food and Supplementary Food Market: Europe Serving Maximum Demand

A recent intelligence study by Transparency Market Research (TMR) has detected that the global ready-to-use therapeutic food (RUTF) and ready-to-use supplementary food (RUSF) market is divided among several multinational companies, who hold nearly the half of the shares, and a large number of regional players that are catering to the rest of the demand. The primary target of these market leaders is Europe, owing to the increasing procurement of ready-to-eat food in this region. Most of the regional and local players are having a foray in the regions of Asia Pacific and Africa, targeting humanitarian organizations such as UNICEF, WFP, and other well-known NGOs. The report identifies Nutriset SAS, Mana Nutritive Aid Products, GC Rieber Compact AS, and Valid Nutrition as some of the key companies in the global RUTF and RUSF market, whereas other notable vendors are Edesia USA, Diva Nutritional Products, Hilina, Insta Products, InnoFaso, NutriVita Foods, Tabatchnik Fine Foods, Kaira District Cooperative, Power Foods Tanzania, 13.3.15. Meds & Food For Kids, Nuflower Foods and Nutrition Pvt., and Samil Industrial Co.

As per the estimations of the TMR report, the demand in the global ready-to-use therapeutic food and supplementary food market will increment at a healthy CAGR of 8.6% during the forecast period of 2017 to 2025, reaching a valuation of US$829.3 mn by the end of 2025, remarkably up from its evaluated worth of US$429.9 mn in 2017.

UNICEF Serves Maximum Demand

Based on product, the report segments the global ready-to-use therapeutic food and supplementary food market into RUTF and RUSF. While RUTF segment is sub-segmented into solid form such as power blends, biscuit, or bar, paste, and drinkable, RUSF segment is divided into solid and paste. In 2017, RUTF sub-segments collectively accounted for 70.1% of the demand, and are expected to further gain into the share of RUSF segment over the course of the forecast period. As far as end-users are concerned, the report classifies them into UNICEF, WFP, and NGOs, and rates UNICEF as most profitable end-user, accounting for more than two third of market and expected to add to the demand share through the duration of the forecast period.

Europe Emerges as Most Lucrative Region

In 2017, Europe accounted for 54.3% of the demand in the global ready-to-eat therapeutic food and supplementary food market, a long way ahead of the second most lucrative region of the Middle East and Africa. In the near future, although Europe is expected to slightly lose the demand share, it still will be the most profitable region, maintain more than half of the overall demand for RUTF and RUSF.

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Incremented Government Initiatives Driving Demand

A number of factors are driving the demand in the global ready-to-eat therapeutic food and supplementary food market, such as increased government and NGO concerns regarding malnutrition treatment as a result of escalating population across the world, rising demand for drinkable RUTF products, and rising global emergencies and disasters. The report observes that various government bodies and NGOs such as UNICEF and Save the Children are reporting increasing malnutrition and child mortality rates. These organizations along with a number of government funded initiatives are focusing on allocating funds for purchase and distribution of RUTF and RUSF in under-privileged countries in Africa.

On the other hand, increasing consumer and local government shift towards local ingredients, inconsistency in RUTF milk product, risk of contamination, and the common belief that RUTF and RUSF may undermine breast feeding are some of the key challenges faced by the vendors of this market. Nevertheless, the companies operating in this market are expected to gain new opportunities from encouragement of UNICEF to domestically produce RUTF and escalated research on raw materials as well as the development of new, drinkable, powdered, and bar form of RUTF.

The information presented in this review is based on a Transparency Market Research report, titled, “Ready-to-use Therapeutic Food and Supplementary Food (RUTF & RUSF) Market (Product - RUTF (Solid (Powder or Blends and Biscuit or Bar), Paste, and Drinkable) and RUSF (Solid and Paste); End Users - UNICEF, WFP, and NGOs) - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2017 - 2025.”

The report segments the global RUTF and RUSF market as:

Global Ready-to-use Therapeutic Food and Supplementary Food (RUTF & RUSF) Market: By Product

RUTF

• Solid (Powder or Blends and Biscuits or Bar)
• Paste
• Drinkable

RUSF

• Solid
• Paste

Global Ready-to-use Therapeutic Food and Supplementary Food (RUTF & RUSF) Market: By End Users

• UNICEF
• WFP
• NGOs

Key Regions/Countries Covered

• North America
• Latin America
• Europe
• APAC
• MEA