Medical Foods Market Size and Share

Medical Foods Market (2025 - 2030)
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Medical Foods Market Analysis by Mordor Intelligence

The Medical Foods Market size is estimated at USD 26.32 million in 2025, and is expected to reach USD 34.29 million by 2030, at a CAGR of 5.43% during the forecast period (2025-2030).

Steady uptake reflects stronger clinical evidence that disease-specific nutrition improves outcomes and lowers treatment cost burdens. Growing recognition of precision nutrition, combined with an aging population facing rising chronic-disease incidence, is accelerating product demand. Powder formats dominate clinical practice, yet patient preference for convenient soft-gel capsules is reshaping formulation investments. Regionally, North America remains the largest medical foods market because of structured reimbursement, while rapid regulatory modernization positions Asia-Pacific as the fastest-growing territory.

Key Report Takeaways

  • By product, powder formulations captured 55.61% of the medical foods market share in 2024; soft-gel capsules are projected to advance at a 6.71% CAGR to 2030. 
  • By application, diabetic neuropathy held 26.83% of the medical foods market size in 2024, whereas chronic kidney disease is expected to post a 7.25% CAGR through 2030. 
  • By route of administration, oral formulations controlled 61.36% of the medical foods market share in 2024; enteral delivery is set for a 6.21% CAGR during the period. 
  • By patient group, the geriatric segment accounted for 52.84% of the medical foods market size in 2024 and is forecast to grow at a 6.85% CAGR to 2030. 
  • By distribution channel, hospital pharmacies led with 39.06% of the medical foods market share in 2024, while online pharmacies are poised for a 7.59% CAGR through 2030. 
  • By geography, North America commanded 37.14% of the medical foods market in 2024, and Asia-Pacific is projected as the fastest region with an 8.52% CAGR.

Segment Analysis

By Product: Powder Formats Retain Command as Convenience Fuels Capsule Uptake

Powders held 55.61% of the medical foods market share in 2024, underlining clinical preference for precise dosing and long shelf life. This dominance helped powders contribute the largest medical foods market size among product types, with widespread use in phenylketonuria and diabetes management. Soft-gel capsules show the fastest 6.71% CAGR to 2030 because patients favor discreet, taste-neutral delivery, while liquid formulas remain vital for pediatrics and geriatrics who face swallowing issues. 

Innovation focuses on compliance. DSM-firmenich’s granular blend lets seniors fortify meals without altering taste. Vitaflo’s single-dose amino-acid packets cut dosing errors in inherited metabolic disease. 3D-printed gels for dysphagia showcase texture personalization while protecting nutrient density. Pills and tablets stay relevant in amino-acid supplementation but face slower growth given taste-neutral capsule advances. Together, these shifts reinforce continuous product reformulation inside the medical foods market.

Medical Foods Market: Market Share by Product
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By Application: Diabetic Neuropathy Dominates, Kidney Disease Rises Fastest

Diabetic neuropathy delivered 26.83% of the medical foods market size in 2024, reflecting high global diabetes prevalence and proven glucose-control efficacy. Chronic kidney disease applications are projected to grow at a 7.25% CAGR, supported by strong evidence for ketoanalogues improving renal parameters. Cancer cachexia is gaining clinical traction through agents like ponsegromab that increase lean body mass in trials. 

Alzheimer’s disease represents an emerging field, as Nestlé Health Science’s ketogenic formulation enters late-stage evaluation. ADHD protocols use omega-3/-6 blends to bolster school performance, expanding pediatric reach. Metabolic disorders such as phenylketonuria maintain steady demand for lifelong dietary control. Gastrointestinal disorders leverage elemental diets and microbiome-directed feeds. Rare genetic conditions, though niche, offer premium pricing and minimal competition, adding long-tail value to the medical foods market.

By Route of Administration: Oral Leads yet Enteral Gains Momentum

Oral delivery accounted for 61.36% of the medical foods market share in 2024, favored for outpatient convenience and lower cost. Enteral routes are slated for a 6.21% CAGR through 2030 as hospitals adopt gut-mediated absorption protocols for critical care. The medical foods market benefits when oral diabetes formulas show 80% lower post-prandial glucose spikes versus standard meals. 

Enteral pumps enable precise nighttime feeds in glycogen storage disease, and continuous glucose sensors inform carbohydrate timing. Advanced coating technologies ensure bioactives survive stomach acid and release in targeted gut regions, boosting absorption. Oral formats keep evolving through taste-masking and on-the-go stick packs, reinforcing category accessibility. Balanced investment across both routes underscores clinical segmentation in the medical foods market.

Medical Foods Market: Market Share by Route of Administration
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By Patient Group: Seniors Drive Volume and Growth

Geriatric consumers contributed 52.84% of the medical foods market size in 2024 and are also the fastest-growing group at 6.85% CAGR. Rising life expectancy and malnutrition prevalence demand nutrient-dense products. Nursing-home predictive analytics now flag at-risk residents with 90% accuracy, prompting earlier nutritional intervention.

Adult volumes remain highest overall, spanning diabetes to oncology support. Pediatric demand concentrates in inherited metabolic disorders and ADHD, with lifelong adherence requirements. Korean senior-friendly mousse products highlight texture-adapted innovation. Children with phenylketonuria need strict phenylalanine control, creating family-centric education programs. Cross-generational solutions strengthen the resilience of the medical foods market.

By Distribution Channel: Hospital Pharmacy Dominance Faces Digital Disruption

Hospital pharmacies held 39.06% of the medical foods market in 2024, reflecting physician-supervised dispensing in acute and post-surgical care. Online pharmacies are expected to record a 7.59% CAGR through 2030 as telehealth and digital therapeutics normalize remote support. Retail chains bridge chronic outpatient needs but carry limited SKUs for rare disorders. 

Nestlé Health Science’s formula4success platform unifies documentation and reimbursement assistance across channels. Direct-to-consumer sites widen access for phenylketonuria families outside major metro areas. Hospital pharmacies retain edge in enteral nutrition where immediate availability and nurse oversight are crucial. Omnichannel strategies combining e-commerce convenience with clinical support continue to reshape the medical foods market.

Medical Foods Market: Market Share by Distribution Channel
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Geography Analysis

North America led the medical foods market with 37.14% share in 2024, supported by structured reimbursement pathways and robust R&D ecosystems. Abbott reported 4.4% sales growth in adult nutrition brands such as Ensure and Glucerna in Q1 2025. FDA clarity on Part 105 classification encourages innovation despite higher user-fee costs for clinical submissions. TRICARE expansion boosts demand for combat-related recovery formulas. Digital companion therapeutics partnerships, such as Bayer-Mahana, exemplify technology-driven adherence models in the region. Nonetheless, Medicare’s exclusion of oral supplements and state Medicaid variability limit uniform adoption.

Asia-Pacific is the fastest-growing region with an 8.52% CAGR to 2030. Japan’s Foods with Function Claims system recently approved methylsulfonylmethane for joint health, illustrating regulatory momentum. China’s Food for Special Medical Purposes policy expansion supports elder-care nutrition, and India is tightening licensing to enhance product safety. Manufacturing strength is evident in Wuxi Jinghai’s 5,000-ton amino-acid output with GMP and ISO9001 compliance. Personalized nutrition pilots such as Calbee’s Body Granola show commercial viability for microbiome-driven products. Regulatory enforcement challenges, illustrated by Vietnam’s counterfeit supplement reviews, may moderate near-term entry timelines.

Europe holds a sizeable stake in the medical foods market through research depth and progressive reimbursement. Germany granted permanent coverage to Mahana’s Cara Care digital therapeutic, validating tech-nutrition integration. Multinational cognitive health trials like COGNIKET-MCI span Sweden, Finland, France and Germany, underscoring collaborative clinical infrastructure. Ingredient shortages, exemplified by UK Pabrinex disruptions, spotlight supply-chain fragility. Italian consensus on enzyme replacement therapy advances standardized phenylketonuria care. Strong pharmaceutical presence and supportive research grants keep Europe integral to global medical foods innovation.

Medical Foods Market CAGR (%), Growth Rate by Region
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Competitive Landscape

The medical foods market is moderately concentrated. Top players combine nutrition science, pharmaceutical standards and distribution scale to maintain barriers to entry. Danone acquired Functional Formularies in 2024 and Kate Farms in 2025, securing leadership in plant-based enteral feeds. Nestlé Health Science’s planned purchase of Vowst from Seres Therapeutics blends nutrition with microbiome therapeutics to treat gut-related disorders. 

Eton Pharmaceuticals entered the phenylketonuria niche by acquiring PKU GOLIKE, aiming for 10% U.S. market penetration. Lyons Magnus created a dysphagia-focused division after buying Hormel Health Labs in 2024. Bayer’s multimillion-dollar investment in Mahana shows mainstream pharma’s pursuit of adherence-boosting digital assets within the medical foods market. 

Emerging disruptors rely on personalization. Calbee leverages microbiome analytics to tailor prebiotic snacks, while AI startups develop real-time nutrient tracking tools that integrate with oral nutrition protocols. Supply-chain resilience is becoming a competitive differentiator as firms secure dual sourcing for critical amino acids. Continuous product reformulation, omnichannel reach and data-driven adherence support remain the primary levers for capturing incremental share in the medical foods market.

Medical Foods Industry Leaders

  1. Abbott Laboratories

  2. Nestlé Health Science

  3. Danone (Nutricia)

  4. Fresenius Kabi

  5. Primus Pharmaceuticals

  6. *Disclaimer: Major Players sorted in no particular order
Medical Foods Market Concentration
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Recent Industry Developments

  • May 2025: Danone acquired Kate Farms, a U.S. plant-based organic formula manufacturer, expanding its medical nutrition portfolio into the growing plant-based medical foods segment and strengthening its position in specialized enteral nutrition.
  • October 2024: Lyons Magnus acquired Hormel Health Labs business, creating Lyons Health Labs division focused on dysphagia, unintended weight loss, and digestive health products, combining brands like ReadyCare and Thick & Easy under unified management.
  • September 2024: Danone unveiled plans to make a EUR 20 million investment in its Lalru, Punjab, nutrition facility in India over the next four years. This investment aims to enhance Danone's production capabilities in early-life and medical nutrition product areas where the company holds a global leadership position.
  • May 2024: Danone invested EUR 70 million (USD 76 million) to enhance its Steenvoorde production facility in France. This investment aims to strengthen Danone's specialized nutrition category, particularly by optimizing the capacity for its oral nutrition supplements. With these upgrades, the facility is set to produce 20 million liters of nutrition products by 2026, catering to patients with critical health conditions, including cancer.

Table of Contents for Medical Foods Industry Report

1. Introduction

  • 1.1 Study Assumptions & Market Definition
  • 1.2 Scope of the Study

2. Research Methodology

3. Executive Summary

4. Market Landscape

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Growing Prevalence of Chronic Metabolic & Neurological Disorders
    • 4.2.2 Rising Geriatric Malnutrition Burden
    • 4.2.3 Demand for Targeted Nutritional Interventions
    • 4.2.4 Digital Companion Therapeutics Boosting Adherence
    • 4.2.5 Military Healthcare Coverage Expansion
    • 4.2.6 Microbiome-Modulating Formulations
  • 4.3 Market Restraints
    • 4.3.1 Low Physician & Patient Awareness
    • 4.3.2 Heightened FDA Scrutiny & Compliance Cost
    • 4.3.3 Reimbursement Gaps in Value-Based Care
    • 4.3.4 Pharmaceutical-Grade Amino-Acid Supply Fragility
  • 4.4 Porter’s Five Forces Analysis
    • 4.4.1 Threat of New Entrants
    • 4.4.2 Bargaining Power of Buyers
    • 4.4.3 Bargaining Power of Suppliers
    • 4.4.4 Threat of Substitutes
    • 4.4.5 Competitive Rivalry

5. Market Size & Growth Forecasts (Value in USD)

  • 5.1 By Product
    • 5.1.1 Powder
    • 5.1.2 Pills/Tablets
    • 5.1.3 Liquid
    • 5.1.4 Soft-gel Capsules
    • 5.1.5 Other Formats
  • 5.2 By Application
    • 5.2.1 Diabetic Neuropathy
    • 5.2.2 Cancer-related Cachexia
    • 5.2.3 ADHD
    • 5.2.4 Alzheimer’s Disease
    • 5.2.5 Metabolic Disorders
    • 5.2.6 Gastro-intestinal Disorders
    • 5.2.7 Chronic Kidney Disease
    • 5.2.8 Other Applications
  • 5.3 By Route of Administration
    • 5.3.1 Oral
    • 5.3.2 Enteral
  • 5.4 By Patient Group
    • 5.4.1 Pediatric
    • 5.4.2 Adult
    • 5.4.3 Geriatric
  • 5.5 By Distribution Channel
    • 5.5.1 Hospital Pharmacy
    • 5.5.2 Retail Pharmacy
    • 5.5.3 Online Pharmacy
  • 5.6 By Geography
    • 5.6.1 North America
    • 5.6.1.1 United States
    • 5.6.1.2 Canada
    • 5.6.1.3 Mexico
    • 5.6.2 Europe
    • 5.6.2.1 Germany
    • 5.6.2.2 United Kingdom
    • 5.6.2.3 France
    • 5.6.2.4 Italy
    • 5.6.2.5 Spain
    • 5.6.2.6 Rest of Europe
    • 5.6.3 Asia-Pacific
    • 5.6.3.1 China
    • 5.6.3.2 Japan
    • 5.6.3.3 India
    • 5.6.3.4 Australia
    • 5.6.3.5 South Korea
    • 5.6.3.6 Rest of Asia-Pacific
    • 5.6.4 Middle East & Africa
    • 5.6.4.1 GCC
    • 5.6.4.2 South Africa
    • 5.6.4.3 Rest of Middle East & Africa
    • 5.6.5 South America
    • 5.6.5.1 Brazil
    • 5.6.5.2 Argentina
    • 5.6.5.3 Rest of South America

6. Competitive Landscape

  • 6.1 Market Concentration
  • 6.2 Market Share Analysis
  • 6.3 Company Profiles (includes Global level Overview, Market level overview, Core Segments, Financials as available, Strategic Information, Market Rank/Share for key companies, Products & Services, and Recent Developments)
    • 6.3.1 Abbott Laboratories
    • 6.3.2 Nestlé Health Science
    • 6.3.3 Danone (Nutricia)
    • 6.3.4 Fresenius Kabi
    • 6.3.5 Ajinomoto Cambrooke
    • 6.3.6 Targeted Medical Pharma
    • 6.3.7 Primus Pharmaceuticals
    • 6.3.8 Mead Johnson Nutrition
    • 6.3.9 FrieslandCampina
    • 6.3.10 Morinaga Milk Industry
    • 6.3.11 B. Braun Medical
    • 6.3.12 Reckitt/Mead Johnson
    • 6.3.13 Nutricia North America
    • 6.3.14 Galen Medical Nutrition
    • 6.3.15 Medtrition
    • 6.3.16 NutraSource Diagnostics
    • 6.3.17 Meiji Holding
    • 6.3.18 Cambrooke Therapeutics
    • 6.3.19 Baxter Healthcare

7. Market Opportunities & Future Outlook

  • 7.1 White-space & Unmet-Need Assessment
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Global Medical Foods Market Report Scope

As per the scope of the report, medical foods are specially formulated products designed to meet the dietary needs of individuals with specific medical conditions or diseases. They are intended to manage such conditions under medical supervision and provide essential nutrients that may be lacking in regular diets. Unlike standard foods or dietary supplements, medical foods are regulated as foods but require a physician’s recommendation for use. 

The medical foods market is segmented by product, application, route of administration, distribution channel, and geography. By product, the market is segmented into powders, pills, liquids, and other products. By application, the market is segmented into attention-deficit/hyperactivity disorder (ADHD), depression, diabetic neuropathy, cancer, Alzheimer's disorder, metabolic disorder, and other applications. By route of administration, the market is segmented into oral and enteral. By distribution channel, the market is segmented into hospital pharmacy, retail pharmacy, online pharmacy, and other distribution channels. By geography, the market is segmented into North America, Europe, Asia-Pacific, the Middle East and Africa, and South America. The report also covers the estimated market sizes and trends for 17 countries across major regions globally. The report offers the market sizes and forecasts in value (USD) for the above segments.

By Product
Powder
Pills/Tablets
Liquid
Soft-gel Capsules
Other Formats
By Application
Diabetic Neuropathy
Cancer-related Cachexia
ADHD
Alzheimer’s Disease
Metabolic Disorders
Gastro-intestinal Disorders
Chronic Kidney Disease
Other Applications
By Route of Administration
Oral
Enteral
By Patient Group
Pediatric
Adult
Geriatric
By Distribution Channel
Hospital Pharmacy
Retail Pharmacy
Online Pharmacy
By Geography
North America United States
Canada
Mexico
Europe Germany
United Kingdom
France
Italy
Spain
Rest of Europe
Asia-Pacific China
Japan
India
Australia
South Korea
Rest of Asia-Pacific
Middle East & Africa GCC
South Africa
Rest of Middle East & Africa
South America Brazil
Argentina
Rest of South America
By Product Powder
Pills/Tablets
Liquid
Soft-gel Capsules
Other Formats
By Application Diabetic Neuropathy
Cancer-related Cachexia
ADHD
Alzheimer’s Disease
Metabolic Disorders
Gastro-intestinal Disorders
Chronic Kidney Disease
Other Applications
By Route of Administration Oral
Enteral
By Patient Group Pediatric
Adult
Geriatric
By Distribution Channel Hospital Pharmacy
Retail Pharmacy
Online Pharmacy
By Geography North America United States
Canada
Mexico
Europe Germany
United Kingdom
France
Italy
Spain
Rest of Europe
Asia-Pacific China
Japan
India
Australia
South Korea
Rest of Asia-Pacific
Middle East & Africa GCC
South Africa
Rest of Middle East & Africa
South America Brazil
Argentina
Rest of South America
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Key Questions Answered in the Report

What is driving growth in the medical foods market?

Rising chronic-disease prevalence, aging demographics and stronger clinical evidence for disease-specific nutrition are pushing a 5.43% CAGR through 2030.

Which product format leads the medical foods market?

Powder formulations hold 55.61% of 2024 revenue because they enable precise dosing and long shelf life.

Why is Asia-Pacific the fastest-growing region?

Regulatory modernization combined with rapid population aging is propelling an 8.52% CAGR in Asia-Pacific.

How do reimbursement policies affect adoption?

Medicare covers enteral but not oral supplements, and state Medicaid rules vary, creating uneven patient access despite proven efficacy.

Which application segment is expanding quickest?

Chronic kidney disease medical foods are forecast to grow at a 7.25% CAGR, supported by evidence that ketoanalogues slow disease progression.

How are digital therapeutics influencing the market?

AI meal tracking and CBT-based apps such as Mahana’s Cara Care improve adherence and have begun receiving permanent reimbursement, integrating technology into nutrition care.

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