Functional foods set to drive growth

By: Petah Marian - 1 March 2011 15:36

With health and wellness becoming an increasingly important factor in the products consumers choose, manufacturers have been quick to jump on the fast-moving functional foods bandwagon.

While the area offers great opportunity, and is set to grow by 3% to 5% year-on-year over the next five years, while essential for consumers, increasing interest from goverments into the validity of these health claims may stymie degree level of growth.

PepsiCo has launched a "global nutrition group" which will aim to deliver innovation accross a number of better-for-you product areas. It is big business for the manufacturer, with the company aiming to boost its nutrition business from aroung US$10bn in 2010 to $30bn by 2010.

Yesterday just-food launched its management briefing on functional foods. The four-part report offers in-depth analysis of the fast-growing channel, outlining the opportunities and issues this sector faces.