South America Probiotic Market

South America Probiotics Market Analysis

The South America Probiotics Market is expected to register a CAGR of 7.1% during the forecast period.

• The probiotic market is driven by the robust demand for health-based products, among consumers, especially by the younger generations. Probiotics are a part of functional foods and beverages and are known for improving gut functionality, along with other benefits, including immunity boost and so on.
• Functional dairy products hold the highest market value in the South American market. Major products in this category include fortified flavored milk drinks, fortified yogurt, and probiotic yogurt. Baby foods, fortified confectionery, and breakfast cereals also have a major share in the Brazilian functional food market.

South America Probiotics Market Trends

Functional Food and Beverage Serve the Largest Probiotic Market in the region

The functional food and beverage segment accounted for the highest revenue share in 2018, as it has various applications in the food industry, led by the increasing awareness among consumers and the on-going convenience trend. Functional foods and beverages containing probiotics have gained popularity in the market, recently, as they contain biologically active ingredients that have more metabolic and physiological health benefits than nutritional benefits. There is an increase in the consumer demand for non-dairy probiotic products as they have low lactose and cholesterol content, and they do not have to be refrigerated, which in turn is boosting the probiotic market in the region.

Brazil Holds the Largest Market Share in the region

Brazil and Argentina are the fastest emerging markets for probiotic products. Dairy products are expected to record a significant growth rate and are expected to continue to register a robust CAGR during the forecast period, 2020-2025. Probiotic yogurts and beverages are widely available and are ideal healthy snacks. Feed probiotics are used to improve animal weight gain and feed efficiency, and also, to maintain and promote normal health status of domestic animals and fowls. Moreover, the application of probiotics in various food, drinks, and pharmaceuticals is rapidly opening up a great investment opportunity in the region. The probiotic market scope covers production, extraction, fortification, and other functions, in this region.

South America Probiotics Industry Overview

Yakult is notably the most active company in the industry. Yakult and Nestle SA are expanding their presence in the region, so as to cater to a larger audience. Thus, expansion is the most preferred strategy among the probiotic market players to strengthen their position in the market. Some of the major players in the South America Probiotics Market are Nestle SA, Groupe Danone, PepsiCo Inc. - Kevita Inc., Fonterra Cooperative Group, Yakult Honsha Co Ltd. among others.

South America Probiotics Market Leaders