Saudi Arabia Clinical Nutrition Market Analysis

Saudi Arabia Clinical Nutrition Market Executive Summary

The Saudi Arabia Clinical Nutrition Market is at around $521.4 Mn in 2023 and is projected to reach $828.5 Mn in 2030, exhibiting a CAGR of 6.84% 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.

Saudi Arabia has seen a significant rise in the prevalence of metabolic disorders, particularly diabetes, in both the adult and elderly population. According to the International Diabetes Federation, the prevalence of diabetes in Saudi Arabia was 18.3% in 2019, affecting approximately 3.9 million adults. The major drivers of Clinical Nutrition industry in Saudi Arabia 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 Almarai, Tabuk Pharmaceuticals, Abbott Nutrition, Pfizer Inc, Nestle, Baxter International Inc., Otsuka Holdings Co., Ltd among other.

Market Dynamics

Market Drivers

Increasing Prevalence of Metabolic Disorders: Saudi Arabia has seen a significant rise in the prevalence of metabolic disorders, particularly diabetes, in both the adult and elderly population. According to the International Diabetes Federation, the prevalence of diabetes in Saudi Arabia was 18.3% in 2019, affecting approximately 3.9 Mn adults. The role of clinical nutrition in managing these metabolic illnesses is crucial. Thus, its boosting the market growth rate of Clinical Nutrition.

Rising Rates of Malnutrition and Preterm Births: Malnutrition and preterm births are significant public health concerns in Saudi Arabia, especially among infants and children. A study published in the Saudi Medical Journal in 2020 found that the prevalence of malnutrition among children under five years old was 11.8%. Preterm births account for approximately 10% of all births in the country. Clinical nutrition products, such as specialized infant formulas and enteral nutrition, are essential in addressing these issues and promoting healthy growth and development.

Expanding Geriatric Population: Saudi Arabia's population is aging, with the number of people aged 65 and above expected to increase from 3.5% in 2020 to 7.5% by 2050. As people age, they become more susceptible to various health conditions and require specialized clinical nutrition to maintain their health and well-being. This growing geriatric population is driving the demand for clinical nutrition products tailored to their specific needs.

Market Restraints

Quality and Safety Concerns: Saudi consumers are cautious about the quality and safety of dietary supplements, and often prefer well-established brands that have a proven track record of safety and efficacy. This preference for trusted brands can make it challenging for new market entrants to gain consumer confidence and market share.

Regulatory Standards: The Saudi Food and Drug Authority (SFDA) has set high regulatory standards for nutritional and dietary supplements, which can create barriers for new market entrants. Companies must comply with strict guidelines regarding product composition, labelling, and safety, which can be time-consuming and costly. Thus, hampering the market growth.

Lack of Government Coverage or Reimbursement: Currently, there is no government coverage or reimbursement for nutrition and supplement products in Saudi Arabia. This can limit accessibility for some consumers, particularly those with lower incomes, as they may not be able to afford these products out-of-pocket.

Regulatory Landscape and Reimbursement Scenario

Clinical nutrition regulation and reimbursement in Saudi Arabia are managed within the framework of the country's evolving healthcare system, which combines public and private sector involvement. The Saudi Food and Drug Authority (SFDA) is the primary regulatory body overseeing food, drugs, and medical devices, including those used in clinical nutrition. It is responsible for ensuring the safety, quality, and efficacy of nutritional products, whether they are classified as foods, supplements, or medical devices.

The Ministry of Health (MOH) plays a central role in setting health policies, including those related to nutrition. It works in conjunction with other governmental bodies like the Saudi Health Council to develop national health strategies that incorporate nutritional considerations. The Saudi Commission for Health Specialties (SCFHS) is responsible for accrediting healthcare professionals, including dietitians and nutritionists, ensuring they meet the required standards to practice.

Reimbursement for clinical nutrition services in Saudi Arabia varies depending on the healthcare sector. In the public sector, which provides free healthcare to Saudi citizens, nutritional therapies prescribed by physicians are generally covered. This includes enteral and parenteral nutrition for inpatients and certain outpatient services. The Council of Cooperative Health Insurance oversees the mandatory health insurance system for non-Saudis and private sector employees. The coverage for nutritional services under this system can vary depending on the specific insurance plan. Saudi Arabia has been implementing its Vision 2030 plan, which includes significant healthcare reforms. This has led to increased focus on preventive care, including nutritional interventions to address issues like obesity and diabetes, which are prevalent in the country. As part of these reforms, there have been efforts to expand coverage for nutritional counselling and preventive services. Private healthcare facilities in Saudi Arabia often offer more comprehensive nutritional services, including specialized dietary counselling, but these may require out-of-pocket payments or coverage through premium insurance plans.

Competitive Landscape

Key Players

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

• Almarai
• SADAFCO
• Tabuk Pharmaceuticals
• Al Safi Danone
• Abbott Nutrition
• Fresenius Kabi
• Pfizer Inc.
• Nestle
• Baxter International Inc.
• Otsuka Holdings Co., Ltd.