Australia’s · 2020-06-04 · AUSTRALIA’S MANUFACTURING SECTOR Australian manufacturers are the...
Transcript of Australia’s · 2020-06-04 · AUSTRALIA’S MANUFACTURING SECTOR Australian manufacturers are the...
Australia’s
Complementary
Medicines
Industry Audit
& Trends 2020
ABOUT COMPLEMENTARY
MEDICINES
Complementary
Medicines Australia
(CMA)
CMA is the peak industry body for the complementary
medicines industry, representing stakeholders across the value
chain, including manufacturers, raw material suppliers,
distributors, consultants, retailers, allied health professionals,
researchers and educators.
CMA promotes appropriate industry regulation and advancement
to ensure consumers have access to complementary medicines
of the highest quality.
We have been conducting annual audits of the industry for
10 years and are pleased to present our most
comprehensive audit to date.
Complementary Medicines
Regulated in Australia as medicines under the Therapeutic
Goods Act 1989, complementary medicines include vitamins,
mineral and nutritional supplements, homeopathic,
aromatherapy products and herbal medicines. The term
‘complementary medicines’
also comprises traditional medicines, which includes
traditional Chinese medicines, Ayurvedic, Australian
Indigenous and Western herbal medicines.
CMA INDUSTRY AUDIT & TRENDS 2020 |
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INDUSTRY AUDIT
SUMMARY
Number One
Australia is the largest exporter of
Nutrition and Health Food to China,
with over $1 billion of exports.
Healthy Growth
The Complementary Medicines
industry continues to outpace growth
in the broader economy.
Assisting in Your Health
One third of Australians using
Complementary Medicines do so to
manage the symptoms of a chronic
disease.
$5.6 billion Industry
Vitamin & Dietary Supplements: $3.1billion
Sports Nutrition: $1.31 billion
Herbal / Traditional Products: $0.76billion
Weight loss: $0.43 billion
7 out of 10 People
Most Australians (75%) have used at
least one form of complementary
medicine in the last year.
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CONSUMER
DEMOGRAPHICS
MEN VS WOMEN
Women are more
likely to have
purchased
complementary
medicine in the last
12 months (83%)
than men (73%)
Source: CMA/YouGov Galaxy (2020)
78%
58%
22%24% 25%
12%10%
73%
51%
18%
25%23%
10% 9%
83%
66%
25%23%
27%
14%11%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Net: Boughtcomplementary
medicines
Vitamin Mineral Probiotics Omega-3 fattyacids/fish oil
Nutritionalsupplements
Herbal orhomeopathic
products
Othercomplementary
medicines
CM purchases in last 12 months
AVG Male Female
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HEALTHY
GROWTH
The Vitamins and Dietary
Supplement Category has
doubled in size over 10
years
Forecasted to grow 22%
CAGR over the next 10 years.
1,000
2,000
3,000
4,000
5,000
6,000
7,000
02008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
$ A
UD
mil
Category
Growth
Forecast
Weight Management and Wellbeing Sports Nutrition
Herbal and Traditional Products Vitamins and Dietary
Supplements
Source: EuroMonitor(2020)
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CONSUMER PURCHASING
DECISIONS
The retail distribution of Vitamins & Dietary Supplements has long been stable with consumers preferring to purchase products from
outlets which also provide healthcare advice, with pharmacy as the largest sales channel. Growth in internet retailing is linked to strong
performance of Parapharmacies, specifically the online expansion of discount pharmacies.
Supermarkets & Grocery 15%
Specialist Retailers 17.1%
Healthfood Stores 3.5%
Pharmacy 47.4%
Online 11.8%
Direct Selling 5.2%
AUSTRALIA’S MANUFACTURING
SECTOR
Australian manufacturers are the global
leaders in driving industry best practice.
The sector is recognised around the world
for the highest quality and safety standards.
92 TGA licensed manufacturing sites1
2,605 direct employees in the sector2
$74,127 average wage in sector2
10.8% Profit Margin
6% annual growth rate (2015-2020)2
Sources:(TGA, 2020)1
(IBISWorld, 2020)2
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PRODUCTS BY HEALTH
CATEGORY AND TRENDING
INGREDIENTSProducts by Health
Category
Top Fastest Growing
Ingredients
2018-2019 %
Growth
11.3%
Probiotics
5.6%
Calcium
4.7%
Co-EnzymeQ10
EveningPrimrose Oil
3.1%
Total $ AUD (m) 3,825
Position1 Category % Share 2019
1 General Health 17.3
2 Joint and Bone 14.7
3 Heart Health 13.4
4 Digestive 10.6
5 Women’s Health 8.1
6 Energy 6.0
7 Immunity 5.5
8 All Other 24.4
Sources: EuroMonitor(2020)
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AUSTRALIA: WORLD LEADING
EXPORTS
Australia has created a $1.1 billion export
success story as consumer demand
continues to grow for high quality Australian
complementary medicines.
Official exports of Complementary
Medicines has risen 15% in the last
year.
Asia continues to drive growth with the lion’s
share of exports.
Asia is the fastest-growing region of the
world, with a growing middle class and
ageing population; this trend is expected to
continue to grow our export market.
Source:Austrade (2020)
Oceania6.4%
China &Hong Kong
71.5%
MiddleEast2.6%
South
Korea5.8%
Vietnam
8.5%
Other5.2%
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AUSTRALIA: THE NUMBER ONE CHOICE FOR
CHINA
Australia is the largest
source of Nutrition and
Health Food Imports to
China with an import
volume of
AU $1.12 Billion (US
$730 Million)
USA is second with US$680
million and Germany is third with
US$240 million
China represents a
significant growth
opportunity for the Australian
industry potentially doubling
in size in 3 years
Size of Import Market 2019:
$3.4b USD to reach $11b by 2024
Potential size of China Market
US$68b
Australia year-on-year growth of
imports into China of Nutrition and
Health Food Imports 9%
Source: China Chamber of Commerce for Import
and Export of Medicines and Health food Products (CCCMHPIE) (2020)
Sources: EuroMonitor (2020) CMA(2020)
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FIVE YEAR
HEALTHCHECK
Sales Growth ofAustralian
Complementary Medicines
Value of Australian Exports
2014
$3.5 billion
2019
$5.6 billion
$175 million
2014 2019
$1.1billion
The Australian Complementary medicines sector has seen a considerable acceleration in growth over the last five years; driven
by consumer demand domestically and internationally.
Australian complementary medicines are recognised around the world for their quality, safety and efficacy.
Growth has increased across many categories due to rising consumer spending and strong demand from consumers with
increasingly busy lifestyles, longer working hours and more stressful social lives, and a focus on preventative healthcare.
Industry has innovative with new delivery formats, flavours, packaging and new ingredients and formulations.
Sources: Euromonitor(2020)
Austrade (2020)
Vitamins & Dietry Supplements
55%2014/2019 Compound Annual Growth
Herbal & Traditional Products
57%2014/2019 Compound Annual Growth
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AUDIT
REFERENCES
Austrade, 2020. Australian Complementary Medicines
Export Statistics 2016-2019, Canberra: s.n.
Australian Institute of Health and Welfare, 2019. Australian Burden
of Disease Study: impact and causes of illness and death in
Australia 2015. Australian Burden of Disease series, Issue 19.
China Chamber of Commerce for Import and Export of Medicines
and Health Food Products, 2020. China Import Data- Health
Foods, Beijing: s.n.
Euromonitor International Australia, 2019. Complementary
Medicines Market Data 2018-2019, Sydney: Euromonitor
International Australia.
Foodsource, 2019. Foodsource 2019-2020, Gold
Coast: Enthous Media.
IbisWorld, 2019. Vitamin and Supplement Manufacturing in
Australia: Market Research Report., Sydney: s.n.
Therapeutic Goods Administration, 2020. TGA Complementary
Medicines manufacturing licence registry, Canberra: Australian
Government Department of Health.
YouGov Galaxy, 2020. Complementary Medicines
Consumer Sentiment, Canberra: Complementary
Medicines Australia.
cmaustralia.org.au
+61 (02) 6260 4022
PO Box 450,
Mawson, ACT 2607
Australia