Japan’s market for supplements has been steadily expanding over the past few years following rising health awareness after the COVID-19 pandemic.

The market, which has come under a spotlight following reports of fatalities involving people who consumed supplements produced by Kobayashi Pharmaceutical, is forecast to grow 4.1% year on year to ¥212.3 billion ($1.4 billion) for the fiscal year 2023, which ends on March 31.

It is expected to grow another 4% to ¥220.8 billion in fiscal 2024, according to Yano Research Institute.

The size of Japan's supplements market has grown by about 30% in the span of three years. In fiscal 2020, the size of the market based on shipments was ¥163.1 billion.

Yano Research’s data centers on supplements classified as kinōsei hyōji shokuhin, or foods with function claims, as outlined by the Consumer Affairs Agency.

Its market research also found that the proportion of supplements in the wider health food market is growing rapidly as more products in the segment are relabeled kinōsei hyōji shokuhin. In fiscal 2023, supplements made up 23.6% of the health food market.

“We expect the percentage of kinōsei hyōji shokuhin will continue to increase,” Yano Research said, adding that it expects supplements to make up 24.2% of the health food market in fiscal 2024.

Another report from Fuji Keizai Group also cites the rising health awareness during the COVID-19 pandemic along with the 2015 start of the kinōsei hyōji shokuhin labeling system as key factors that led to the expansion of the supplements market.

“Even during the outbreak of the coronavirus, there had been an increase in attention to health management and consciousness, as well as the emergence of new demands such as measures against weight gain during the pandemic,” the group said in its report released in October.

Fuji Keizai estimates the supplement market alone — which includes kinōsei hyōji shokuhin along with other supplements such as vitamins — had grown 0.3% year to year to ¥1.06 trillion in 2023 and expects it to expand further to ¥1.1 trillion in 2025.

Fuji Keizai said sports and beauty supplements command the highest demand; it estimated the sizes of these market segments to reach ¥118.7 billion, a 3.6% increase from 2022; and ¥57.1 billion, a 7.1% increase, respectively, in 2023.

Both reports attributed the growth of the Japanese supplements market to rising health awareness that started to take root during the COVID-19 pandemic, as well as a recovery in in-store purchases made by both domestic customers and foreign tourists.

In the United States, the dietary supplement market is estimated to reach $74.3 billion in 2024, according to market research firm Future Market Insights.