The Infant Nutrition Market in The EU: Key players and market forecasts for clinical nutrition, baby food and baby milk

Introduction

In the EU, the infant nutrition industry is undergoing a shift as a result of various market forces. In the clinical nutrition segment, rising rates of premature birth are driving increased demand for products. In the baby milk segment, however, ongoing lobbying from industry groups and organizations promoting breast milk are constraining growth as some mothers decide to breast feed. The baby food segment is unaffected by both of these trends and continues to expand with the introduction of new products, particularly those that focus on organic, healthy ingredients. This mirrors broader trends in other industries where consumer preferences are increasingly shifting towards natural, organic products. Several recent acquisitions have shifted the positions of the major infant nutrition players as larger companies expand their product portfolios.

It must be noted, however, that this report defines infant clinical nutrition as nutritional products used under the supervision (but not necessarily prescription) of a physician; therefore, forecasts may differ from some other infant clinical nutrition product estimates.

Key findings

• The overall EU infant nutrition market will expand by a strong 4.8% per year through 2013.
• Infant clinical nutrition will demonstrate the strongest growth, at 5.9% per year, on average, driven by rising rates of premature birth.
• New regulations restriction product claims and promotion of baby milk will inhibit growth, resulting in just 3.8% growth per year.
• New product introductions that incorporate new technologies and/or organic ingredients will support growth of baby foods, which will epxand by 5.1% per year through 2013.

Key features of this report

• Forecasts of the infant nutrition market by segment (clinical nutrition, baby milk, baby food) from 2008 to 2013.
• Sales and market shares of the leading players from 2008 to 2013 (estimated).
• Leading infant nutrition products by segment.
• Discussion of new infant nutrition products by segment.

Use this report to

• Understand the driving forces behind the growth of the European infant nutrition market.
• Save time and money with the report’s succinct compilation and analysis of current issues and  trends.
• Learn how the infant nutrition market will evolve over the next several years and why.
• Assess your competitive position vis-à-vis other players in the infant nutrition market.

Discover

• What is driving growth of baby foods?
• (New products, especially those containing organic and all natural ingredients)
• What will constrain greater growth of the baby food segment?
• (A weak economy and consumers’ ability to make the products at home)
• What is driving growth of infant clinical nutrition?
• (Rising rates of premature birth, insurance reimbursement, and parenteral clinical nutrition)
• What will constrain greater growth of infant clinical nutrition products?
• (Limited new product introductions, low fertility rates)

Table of Contents

• The Infant Nutrition Market In The EU Executive summary 10
• Introduction 10
• Clinical infant nutrition 11
• Baby milk 12
• Baby foods 13
• Total market 14

Chapter 1 Introduction 18

• Summary 18
• Background 19
• Product types 20
• Demographics 21
• Market heterogeneity 22
• Industry associations 24
• The European Society for Clinical Nutrition and Metabolism 24
• The Infant and Dietetic Foods Association 24
• Baby Milk Action 25
• The British Association for Parenteral and Enteral Nutrition 26
• Regulatory environment 27
• Commission Directive 2006/141/EC on infant nutrition and follow-on formula 27
• Commission Directive 2006/125/EC on the requirements for processed cereal-based food and baby food for infants and young children 28
• Commission Regulation (EC) No. 1609/2006 on the marketing of infant formulae based on hydrolysates of whey protein derived from cows’ milk protein 29
• Bans on Chinese soya and soya products 30
• Nutrient profiling proposal 30
• Key ingredients in infant nutrition 31
• Proteins 31
• Carbohydrates 33
• Lipids 33
• Micronutrients 34
• Supply chain analysis 35
• Ingredient producers 36
• Distributors 37
• Infant nutrition manufacturers 37
• Retailers 37
• Conclusions 38

Chapter 2 Clinical infant nutrition 40

• Summary 40
• Introduction 41
• Market definition 41
• Product types 42
• Enteral nutrition 43
• Products and ingredients 47
• Parenteral nutrition 49
• Products and ingredients 50
• Related products 51
• Reasons for using infant clinical nutrition 53
• Patient populations 54
• The market and the key players 56
• Key products 56
• Sales and market share 58
• Sales structure and channels 60
• New product development 61
• Market drivers and resistors 61
• Market drivers 61
• Market resistors 63
• Conclusions 65

Chapter 3 Baby milk 68

• Summary 68
• Introduction 69
• Market definition 69
• Product market 70
• Product types 70
• Nutritional content 71
• Reasons for using baby milk 73
• User populations 74
• The market and the key players 75
• Key products 76
• Market value and market share 77
• Sales structure and channels 79
• New product development 79
• Product improvements 81
• Market drivers and resistors 82
• Market drivers 82
• Market resistors 84
• Conclusions 87

Chapter 4 Baby food 90

• Summary 90
• Introduction 91
• Market definition 92
• Product market 92
• Product types 92
• Nutritional content 93
• Reasons for using baby food 95
• User populations 96
• The market and the key players 97
• Key products 98
• Market value and market share 98
• Sales structure and channels 100
• New product development 101
• Market drivers and resistors 102
• Market drivers 102
• Market resistors 104
• Conclusions 106

Chapter 5 Overall market and key player analysis 108

• Summary 108
• Introduction 109
• Sales forecasts 2008 - 2013 110
• Competitive position of the major players 111
• Key players by segment 111
• Future outlook 115
• Key player analysis 116
• Abbott Nutrition 116
• Danone Baby and Medical Nutrition 117
• Fresenius Kabi 118
• Heinz 119
• Hero 120
• Humana Milchunion 121
• Mead Johnson 122
• Nestlé 123
• Wyeth 125
• Conclusions 126

List of Figures

• Figure 1.1: Supply chain of infant nutrition products by segment, 2009 35
• Figure 2.2: EU infant clinical nutrition market, 2008 – 2013 59
• Figure 2.3: Leading EU infant clinical nutrition players, 2008 60
• Figure 3.4: EU baby milk market ($m), 2008 – 2013 77
• Figure 3.5: Leading EU baby milk players, 2008 78
• Figure 4.6: EU baby food market ($m), 2008 – 2013 99
• Figure 4.7: Leading EU baby food players by sales ($m), 2008 100
• Figure 5.8: EU infant nutrition market growth by segment ($m), 2008 - 2013 111
• Figure 5.9: Leading EU infant nutrition players by sales ($m), 2008 112
• Figure 5.10: Leading EU infant nutrition manufacturers’ breakdown by product group, 2008 114
• Figure 5.11: Projected leading EU infant nutrition manufacturers ($m), 2013 115

List of Tables

• Table 1.1: Demographic and fertility data for EU member countries, 2006 23
• Table 1.2: Micronutrient types and value in infant nutrition 34
• Table 2.3: Indications and contraindications for enteral and parenteral feeding 44
• Table 2.4: Composition of neonatal venous nutrient solutions (per liter) 50
• Table 2.5: Daily nutrient needs of growing preterm infants 57
• Table 2.6: Leading EU infant nutrition products, 2009 58
• Table 3.7: Selected EU baby milk products, 2009 76
• Table 4.8: Common foods that should not be given to an infant 96
• Table 4.9: Selected EU baby food lines, 2009 98
• Table 5.10: EU infant nutrition market by segment ($m), 2008 - 2013 110
• Table 5.11: EU infant nutrition market by major manufacturer and segment ($m), 2008 112
• Table 5.12: Projected EU infant nutrition market by major manufacturer ($m), 2008 - 2013 115
• Table 5.13: Abbott Nutrition market position, 2008 116
• Table 5.14: Danone Baby and Medical Nutrition market position, 2008 118
• Table 5.15: Fresenius Kabi market position, 2008 119
• Table 5.16: Heinz market position, 2008 120
• Table 5.17: Hero market position, 2008 121
• Table 5.18: Humana Milchunion market position, 2008 121
• Table 5.19: Mead Johnson market position, 2008 123
• Table 5.20: Nestlé market position, 2008 124
• Table 5.21: Wyeth market position, 2008 125