Japan Clinical Nutrition Market Analysis

Japan Clinical Nutrition Market Executive Summary

The Japan Clinical Nutrition Market is at around $1906.4 Mn in 2023 and is projected to reach $2836.4 Mn in 2030, exhibiting a CAGR of 5.84% during the forecast period 2023-2030.

Clinical malnutrition refers to a condition that can be treated with clinical intervention by using specialized nutrients that are considered proper medications rather than as supplements. Clinical nutrition products are useful in maintaining the patient's health and enable the improvement of the body's metabolic system by providing adequate supplements, such as minerals, vitamins, and other supplements. The clinical nutrition sector is undergoing a transformation fuelled by progress in medical research and technology. Key trends such as innovative formulations, personalized nutrition solutions, and the use of bioactive ingredients are emerging. Manufacturers are dedicating resources to R&D to produce products that not only fulfil fundamental nutritional requirements but also provide added health advantages. This emphasis on innovation is fostering competition among industry participants, resulting in a constant flow of new products and therapies tailored to various patient demographics.

Cancer is the leading cause of death in Japan, accounting for around 30% of all deaths. The most common cancer types are lung, stomach, colorectal, breast, and prostate cancer. Chronic obstructive pulmonary disease (COPD) affects around 5.3% of the adult population in Japan. Asthma prevalence is around 5-10% among adults. Approximately 13% of the adult population in Japan has chronic kidney disease. The prevalence increases with age, reaching over 20% among those aged 70 years and older. The major drivers of Clinical Nutrition industry in Japan are, increasing prevalence of chronic diseases and metabolic disorders, aging population, increasing awareness of the importance of nutrition for health, product innovations and technological advancements, government initiatives and rising healthcare expenditure, rising incidence of malnutrition especially in paediatric patients.

The industry is primarily dominated by players such as Otsuka Pharmaceutical, Taisho Pharmaceutical, Kikkoman Corporation, and Ajinomoto, Abbott Nutrition, Nestle, Mead Johnson & Company, LLC among others.

Market Dynamics

Market Drivers

Aging Population: Japan has a rapidly aging population, with projections indicating that by 2030, every third person in the country will be over 65 years old.  This growing geriatric population is a key driver for the clinical nutrition market, as older adults often have higher nutritional requirements and needs.

Rising Prevalence of Chronic Diseases: Japan is experiencing an increase in the prevalence of chronic health conditions such as cardiovascular diseases and diabetes. For instance, Cancer is the leading cause of death in Japan, accounting for around 30% of all deaths. The most common cancer types are lung, stomach, colorectal, breast, and prostate cancer. Chronic obstructive pulmonary disease (COPD) affects around 5.3% of the adult population in Japan. The need for specialized clinical nutrition products to manage and treat these chronic diseases is fuelling market growth.

Health-Conscious Consumers: The Japanese population is considered highly health-conscious, with a focus on consuming a nutritionally balanced diet.  This heightened awareness and demand for nutritional products is contributing to the expansion of the clinical nutrition market.

Market Restraints

Regulatory Challenges: The clinical nutrition market in Japan faces a stringent regulatory framework, including registration and approval requirements for products.  These regulatory hurdles can pose challenges for market entry and product development.

Difficulties with Enteral Feeding: Issues associated with enteral feeding, such as complications and patient acceptance, can limit the adoption of clinical nutrition products in Japan.

Lack of Awareness: Despite the health-conscious nature of the Japanese population, there is still a lack of awareness regarding the importance of clinical nutrition, especially for managing chronic health conditions. Addressing this knowledge gap is crucial for market growth.

Regulatory Landscape and Reimbursement Scenario

Clinical nutrition regulation in Japan is primarily overseen by the Ministry of Health, Labour and Welfare (MHLW) under the Pharmaceutical and Medical Device Act (PMD Act), with additional provisions from the Food Sanitation Act and Health Promotion Act. The Pharmaceuticals and Medical Devices Agency (PMDA) plays a crucial role in reviewing drug-classified nutrition products, while the Consumer Affairs Agency (CAA) oversees labelling of food products, including Foods for Special Dietary Uses (FOSDU). Clinical nutrition products are categorized as either drugs or FOSDU, with drugs undergoing a more rigorous approval process. This process includes pre-clinical studies, clinical trials, and a comprehensive review by the PMDA before final MHLW approval. FOSDU products follow a simpler notification process but must still meet specific standards. The Japan Health Sciences Foundation (JHSF) provides additional support for research and regulatory compliance.

Reimbursement is managed through the national health insurance system, with rates set by the MHLW based on recommendations from the Central Social Insurance Medical Council (Chuikyo). Coverage varies by product type and medical necessity, with enteral and parenteral nutrition generally covered for hospitalized patients. Recent regulatory developments include stricter quality control measures, increased emphasis on evidence-based nutrition therapy, and the introduction of functional claim foods, which allow for certain health claims without prior government approval, subject to scientific substantiation and notification to the CAA. The regulatory landscape also encompasses specific guidelines for medical foods, dietary supplements, and nutrient functional foods, each with distinct regulatory pathways and labelling requirements.

Competitive Landscape

Key Players

Here are some of the major key players in the Japan Clinical Nutrition Market:

• Otsuka Pharmaceutical
• Taisho Pharmaceutical
• Kikkoman Corporation
• Ajinomoto
• Morinaga Milk Industry
• Yakult Honsha
• Meiji Holdings
• Abbott Nutrition
• Mead Johnson & Company, LLC
• Nestle