Medical Foods Market Report and Forecast 2025-2034

The global medical foods market was valued at USD 25.02 Billion in 2024, driven by the rising prevalence of chronic diseases and growing awareness and demand for personalized nutrition in clinical settings across the globe. The market is anticipated to grow at a CAGR of 6.00% during the forecast period of 2025-2034, with the values likely to reach USD 44.81 Billion by 2034. The market is driven by increasing demand for condition-specific nutrition due to chronic illness prevalence and regulatory support for clinical nutrition. Growing clinical research and innovative product formulations are expected to boost market expansion in the forecast period.

Key Market Trends and Insights

• Powder formulations dominated due to their versatility, stability, and ease of consumption.
• The oral segment led the market, contributing about 72.86% of total historical revenues.
• Chronic kidney disease applications accounted for the highest demand across the therapeutic spectrum.
• Hospital pharmacies emerged as the dominant distribution channel, ensuring better access and compliance.

Market Size and Forecast

• Market Size (2024) : USD 25.02 Billion
• Projected Market Size (2034) : USD 44.81 Billion
• CAGR (2025-2034) : 6.00%
• Leading Region: North America

Medical Foods Market Overview

Medical foods play a vital role in managing chronic and metabolic disorders by providing targeted nutritional support under medical supervision. They are used in the treatment of conditions such as Alzheimer’s disease, chronic kidney disease, and diabetes, where standard diets are insufficient to meet specific nutritional needs. The market is experiencing steady growth and poised to grow at a CAGR of 6.00% during the forecast period of 2025-2034, due to increasing disease burden, rising healthcare awareness, and advancements in clinical nutrition. Expanding geriatric populations and evolving regulatory frameworks also contribute to market expansion.

Medical Foods Market Growth Drivers

Rising Chronic Kidney Disease Burden to Accelerate Market Growth

The growing incidence of chronic kidney disease (CKD) is a major factor fueling the expansion of the market. According to Anna Francis et al., April 2024, while years of life lost (YLL) due to major non-communicable diseases like stroke and heart disease are expected to decline by 2040, YLL from CKD are projected to rise significantly and surpass diabetes. This alarming trend is likely to increase the need for condition-specific nutritional support, thereby propelling market growth in the coming years.

Medical Foods Market Trends

Some of the notable trends in the market are the rising emphasis on high-protein formulations, supported by increasing regulatory backing and advancements in scientific research.

Emphasis on High-Protein Formulations to Boost Market Growth

The increasing prevalence of malnutrition among the elderly and chronically ill patients has driven demand for advanced, high-protein medical nutrition solutions globally. As a response to this growing need, companies are investing in innovative ingredients that improve patient compliance and nutritional outcomes. For example, in April 2025, Arla Foods Ingredients introduced Lacprodan MicelPure® Medical, an upgraded micellar casein isolate (MCI) designed for medical nutrition. The product addresses key challenges such as poor taste, unpleasant texture, and low viscosity, which often hinder pat ients from completing nutritional regimens. With improved microbiological quality and formulation versatility, this launch reflects a broader industry trend toward functionality-driven innovation. As high-protein, palatable solutions become integral to patient care, the medical foods market is projected to grow steadily, supported by rising demand and product development.

Rising Initiatives Intended for Regulatory Backing and Scientific Research to Strengthen Medical Foods Market Value

The market is witnessing a shift toward more transparent, science-based development, fueled by increasing regulatory involvement and rigorous nutritional research. In May 2025, the U.S. Food and Drug Administration (FDA), in collaboration with the National Institutes of Health (NIH), launched the Nutrition Regulatory Science Program. This initiative focuses on the health effects of ultra-processed foods, additives, and early-life nutrition, aiming to inform evidence-based policies and improve product formulation standards. By strengthening the scientific foundation for medical nutrition, such efforts are expected to build consumer trust and industry accountability. As a result, this growing regulatory-scientific synergy is poised to accelerate the global medical foods market growth in the years ahead.

Medical Foods Market Share

Nutritional Deficiency to Lead the Market Segmentation Based on Application

Applications of medical foods span across a broad range of conditions, including chronic kidney disease, minimal hepatic encephalopathy, chemotherapy-induced diarrhea, pathogen-related infections, diabetic neuropathy, attention deficit hyperactivity disorder (ADHD), depression, Alzheimer’s disease, nutritional deficiency, orphan diseases, wound healing, chronic diarrhea, pain management, and others. Among these, the nutritional deficiency segment is poised to lead the market. The rising burden of global hunger and malnutrition has made this segment increasingly vital. According to the World Health Organization (WHO), around 733 million people, equivalent to one in eleven globally and one in five in Africa, faced hunger in 2023, as reported in the latest State of Food Security and Nutrition in the World (SOFI) report. This alarming trend underscores the growing demand for medical foods specifically formulated to combat nutritional deficiencies, thereby propelling growth in this application segment.

Medical Foods Market Analysis by Region

The regions included in the report are North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. Among these, North America leads the market, driven by robust healthcare infrastructure, heightened health awareness, and a high burden of chronic diseases. For example, in March 2025, the Rockefeller Foundation and the U.S. Department of Veterans Affairs expanded their “Food is Medicine” initiatives across Texas, New York, North Carolina, Maryland, and Utah. These programs aim to enhance nutritional support and reduce diet-related illnesses among over 2,000 U.S. Veterans, further accelerating regional market growth.

Leading Players in the Medical Foods Market

The key features of the market report comprise funding and investment analysis, and strategic initiatives by the leading players. The major companies in the market are as follows:

Danone SA

Danone S.A. is a global leader in medical nutrition, offering specialized products designed to support patients with disease-related malnutrition, inborn errors of metabolism, and conditions such as dysphagia and epilepsy. Through its research & innovation division, Danone develops evidence-based medical foods tailored to specific health conditions and age groups. The company is deeply committed to integrating medical nutrition into healthcare, aiming to improve patient outcomes, reduce complications, and enhance quality of life.

Nestle S.A.

Nestlé S.A. is a key player in the medical foods market, offering a wide portfolio of specialized nutritional products under its Medical Nutrition division. The company addresses diverse health needs through innovative products such as Peptamen® for gastrointestinal disorders, Gerber® Extensive HA® for cow’s milk protein allergy, BOOST® for healthy aging and diabetes, and Vitaflo® for inherited metabolic disorders. Nestlé collaborates with healthcare professionals and researchers to develop clinically backed solutions that support patients from infancy through adulthood, reinforcing its strong commitment to evidence-based, condition-specific nutrition.

Abbott

Abbott, a global healthcare leader, actively contributes to the medical foods market through its innovative Healthy Food Rx program. This initiative, targeting individuals with diabetes, provides home-delivered, nutritious food boxes and educational resources. In June 2025, clinical trial findings presented at the American Diabetes Association's 2025 Scientific Sessions demonstrated that the program significantly improved diet quality and self-reported health status, reinforcing Abbott’s role in integrating nutrition with chronic disease management.

Fresenius Kabi AG

Fresenius Kabi AG is a healthcare company dedicated to improving patient care through specialized medical nutrition solutions. With over six decades of expertise, the company offers a wide range of products in the Global Medical Foods Market, including enteral and parenteral nutrition, oral nutritional supplements, and keto analogues. Key offerings such as Supportan® Drink, Fresubin® YOcrème, and Fresubin® Plant-Based Drink address malnutrition among vulnerable patient populations, including those with cancer, dysphagia, or increased energy needs. Fresenius Kabi’s continued innovation and patient-focused approach underscore its critical role in advancing nutritional therapy worldwide.

Other key players in the market are Primus Pharmaceuticals Inc., Reckitt Benckiser Group plc, and others.

Medical Foods Market Segmentation

Medical Foods Market Report and Forecast 2025-2034 offers a detailed analysis of the market based on the following segments:

Market Breakup by Product

• Powder
• Pills
• Liquid
• Others

Market Breakup by Route of Administration

• Enteral
• Oral

Market Breakup by Application

• Chronic Kidney Disease
• Minimal Hepatic Encephalopathy
• Chemotherapy Induced Diarrhoea
• Pathogen Related Infections
• Diabetic Neuropathy
• ADHD
• Depression
• Alzheimer's Disease
• Nutritional Deficiency
• Orphan Diseases
• Tyrosinemia
• Eosinophilic Esophagitis
• FPIES
• Phenylketonuria
• Others
• Wound Healing
• Chronic Diarrhea
• Pain Management
• Others

Market Breakup by Sales Channel

• Hospital Pharmacies
• Retail Pharmacies
• Online Channel

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Key Questions Answered in the Medical Foods Market

• What was the medical foods market value in 2024?
• What is the medical foods market forecast outlook for 2025-2034?
• What major factors aid the demand for the medical foods market?
• How has the market performed so far, and how is it anticipated to perform in the coming years?
• What are the market's major drivers, opportunities, and restraints?
• What are the major medical foods market trends?
• Which product is expected to dominate the market segment?
• Which route of administration is projected to lead the market segment?
• Which application is anticipated to drive the market segment?
• Which sales channel is likely to dominate the market segment?
• Who are the key players in the medical foods market?
• What are the current unmet needs and challenges in the market?
• How are partnerships, collaborations, mergers, and acquisitions among the key market players shaping the market dynamics?