Dietary Supplement Imports and Exports Bucked the Trend and Grew in 2022

With the development of the economy and the continuous improvement of public health awareness, China's nutrition and health industry has entered a rapid development track. To better understand the development trend of the industry, the China Chamber of Commerce for Import and Export of Medicines and Health Products (hereinafter referred to as “CCCMHPIE”) analyzed the import and export of dietary nutrition supplements in 2022 based on customs data. In 2022, China's import and export of dietary nutrition supplements bucked the trend and grew, and international trade developed rapidly, boosting industry confidence and promoting industry development.

?

Dietary supplements refer to products that use vitamins, minerals, plants and animals (extracts), etc. as the main raw materials, and through the supplementation of essential nutrients and bioactive substances, have a balancing effect on the nutrient intake and regulate the body's functions for specific groups of people. These products include health-related products on the market such as tonic foods, functional foods, and products that are similar to both medicine and food. Dietary supplements are not intended to treat diseases, nor can they replace a normal diet, and they do not cause any acute, subacute, or chronic harm to the human body. Since the Fifth Plenary Session of the 18th Central Committee of the Communist Party of China proposed to promote the construction of a healthy China, the nutrition and health industry has become one of the new engines of China's economic transformation.

?

Import and Export of Dietary Supplements

According to customs data, the import and export of dietary supplements from 2008 to 2022 are analyzed. As can be seen from the figure below, the import and export values show a year-on-year increasing trend. The compound annual growth rate of the import value is 18.49% over the past 15 years, with 2010, 20 17, and 2020 being the peak years for growth, with year-on-year growth rates of 43.23%, 42.31%, and 41.53% respectively. The compound growth rate of export value over the past 15 years was 16.85%. Although it has been affected by various factors in recent years, it is still in a state of continuous growth. It can be seen that the international trade of dietary supplements in China is developing rapidly, boosting industry confidence and promoting industry development.

?

According to statistics from the China Chamber of Commerce for Import and Export of Medicines and Health Products, the total import and export value of nutritional health food in China in 2022 was 9.126 billion US dollars. The import value and export value achieved growth against the trend, with the import value reaching 5.94 billion US dollars, a year-on-year increase of 14.60%, and the export value reaching 3.186 billion US dollars, a year-on-year increase of 21.87%.

?

Dietary Supplements Import Status

China is currently one of the major consumers of dietary supplements, and the import value has shown a year-on-year growth trend. In 2022, the import value reached 5.94 billion U.S. dollars, an increase of 13 times compared with 2008.

?

In terms of the import market, the United States, Australia, Germany, Indonesia and Japan are the top five import sources, with import values of 1.228 billion, 824 million, 577 million, 449 million and 310 million U.S. dollars respectively. Market concentration is relatively high, with the top five markets accounting for half of all imports. Among them, the United States accounts for 21%, is the world's largest dietary supplement market, but also the highest penetration of dietary supplements in the country, the development of an earlier, more mature market, for many years in a row for China's dietary supplements the largest source of imports, although the middle three years by Australia, but in recent years a strong return to the top; Australia's import market share of 14%, with its natural and product advantages, it has developed rapidly since 2015, becoming China's largest source of dietary supplements in 2018. It has surpassed the United States for three consecutive years, occupying a dominant position in imports, and has seen the emergence of some well-known brands in the Chinese market, such as Blackmores, Swisse, and Life space.

?

Dietary supplements from different countries of origin each have their own advantages. The main categories imported from the United States are vitamins and minerals, glucosamine, protein powders, dietary fiber and coenzyme Q10 products; the main categories imported from Australia are vitamins and minerals, glucosamine, fish oil, grape seeds, and lactoferrin; the main category from Indonesia is bird's nest products; and the main category from Japan is enzymes and collagen.

?

Judging from the unit import prices of different countries, the unit prices of dietary supplements imported from Germany, Australia and the United States have increased, with year-on-year growth rates of 63.96%, 20.61% and 17.34% respectively. However, in terms of the main importing countries, the unit import prices of Canada, New Zealand, Japan, Australia and the United States are relatively high.

?

Dietary Supplements Export Status

?

According to customs data, China's export of dietary supplements from 2009 to 2022 is analyzed. It can be seen from the trend chart that the export value has been continuously growing, increasing nearly 9 times in 14 years, especially in 2010, 2011, and 2013, with year-on-year growth rates of 47.85%, 33.53,% and 27.78% respectively.

?

In recent years, although the novel coronavirus epidemic has repeatedly had a significant impact on the industry's supply chain and logistics, China's exports of dietary supplements have continued to grow against the trend. In 2022, the export value reached 3.186 billion U.S. dollars, a year-on-year increase of 21.87%.

?

In terms of export markets, in 2022, the United States, Hong Kong, China, and Malaysia were the top three export markets, with export values of 526 million U.S. dollars, 400 million U.S. dollars, and 138 million U.S. dollars, respectively, year-on-year growth of 20.17%, 11.41%, and 91.97%. The market is highly concentrated, with the top ten markets accounting for 58% of the market. China's exports to Vietnam, Indonesia, and Australia have grown significantly, with year-on-year increases of 101.81%, 77.99%, and 48.34% respectively. In terms of quantity, the largest quantity was exported to Myanmar, followed by the United States and the Philippines. In terms of export unit price, the export value to Hong Kong, China, the United States, and Australia was relatively high, all of which increased compared to the export unit price in 2021, and was much higher than the value to other countries.

?

Looking at the export situation for the whole of 2022, the average monthly export value was 266 million US dollars, of which the export value in December was relatively high at 301 million US dollars; the export value in February was relatively low at 183 million US dollars. However, except for December, which saw a year-on-year decrease, the export value in the other 11 months of the year all saw year-on-year growth, with July seeing the fastest growth compared to the other months, with a year-on-year increase of 46.04%.

?

The year 2022 was special. The pandemic and policy changes have made consumers pay unprecedented attention to their health. Scientific research and experimental results have shown that consumers can supplement the nutrients their bodies need and protect their health by taking dietary supplements. Therefore, more and more consumers around the world are using related products to improve their immunity and help fight viruses and diseases. Consumer attention and use have boosted the development of the dietary supplement industry and propelled it onto a new development track.

?

Note: The customs data in this article is preliminary statistics for 8-digit tariff numbers, including some raw materials. The data in the charts is from the China Chamber of Commerce for Import and Export of Medicines and Health Products.