Functional foods, ingredients, Nutraceuticals, Botanical Drugs: Trends, Opportunities and Challenges Jeya Henry Professor of Food Science and Nutrition, Oxford Brookes University, UK Director of the Functional Food Centre, Oxford, UK

Functional Foods and Nutraceuticals (FFN) The global FFN market should reach US $500 billion by 2010 Functional foods accounted for 35% of the US nutrition market in 2000. This was closely followed by dietetic supplements

The global FFN market should reach US $500 billion by 2010

Functional foods accounted for 35% of the US nutrition market in 2000. This was

closely followed by dietetic supplements

The top functional foods as named by the consumers are: Fruits and vegetables Fish and fish oils Seafood Dairy including milk and yoghurt Meat and poultry Herbs and spices Fibre Tea inc green tea Nuts Whole grains Water Cereals Oats, oat bran, oatmeal Vitamins/supplements

Fruits and vegetables

Fish and fish oils

Seafood

Dairy including milk and yoghurt

Meat and poultry

Herbs and spices

Fibre

Tea inc green tea

Nuts

Whole grains

Water

Cereals

Oats, oat bran, oatmeal

Vitamins/supplements

Nutritionists list of top functional foods – April 2009 Salmon – The American Heart Association suggests that people with coronary heart disease consume about 1g of omega-3 fatty acids daily. Oats – A powerhouse nutrient, known for aiding with digestion, (and which) also helps fight disease, and may lower risk for high cholesterol, heart disease, diabetes and cancer.

Salmon – The American Heart Association suggests that people with coronary heart disease consume about 1g of omega-3 fatty acids daily.

Oats – A powerhouse nutrient, known for aiding with digestion, (and which) also helps fight disease, and may lower risk for high cholesterol, heart disease, diabetes and cancer.

Nutritionists list of top functional foods – April 2009 Blueberries – Protect the body against the damaging effects of free radicals and the chronic diseases associated with the aging process Low-fat milk – Instrumental in lowering high blood pressure, helping with regular heart beat, and building strong bones. Low-fat yoghurt – Look for brands that contain live and active cultures

Blueberries – Protect the body against the damaging effects of free radicals and the chronic diseases associated with the aging process

Low-fat milk – Instrumental in lowering high blood pressure, helping with regular heart beat, and building strong bones.

Low-fat yoghurt – Look for brands that contain live and active cultures

SWOT Analysis Strengths Production of a Number of Natural Food Resources Highly Skilled Human Capital World Class Research Recommendations Sensitise primary food producers to embrace the development of functional foods Development of research cluster devoted to functional foods bringing together world class researchers Align technical and research capabilities by first initiating functional food research

Production of a Number of Natural Food Resources

Highly Skilled Human Capital

World Class Research

Recommendations

Sensitise primary food producers to embrace the development of functional foods

Development of research cluster devoted to functional foods bringing together world class researchers

Align technical and research capabilities by first initiating functional food research

SWOT Analysis Weaknesses Limited cooperation between stakeholders in the food sector Lack of focus on developing functional foods Poor linkages between academics, industry and government agencies Lack of Critical Mass to initiate globally challenging functional food programmes Food companies complacent ignoring current world trends. Concentrating on primary produce – not value added products Lack of comprehensive clinical trial capabilities Recommendations Formation of a functional food forum composed of members from academia, industry, government agencies Appoint a functional food, Nutraceutical botanical plants “TSAR” to take leadership of this activity Develop a centralised pilot processing plant with facilities for extraction, processing, product development and packaging Develop dedicated clinical trial centres for functional foods Encourage entrepreneurship amongst science and technology graduates

Limited cooperation between stakeholders in the food sector

Lack of focus on developing functional foods

Poor linkages between academics, industry and government agencies

Lack of Critical Mass to initiate globally challenging functional food programmes

Food companies complacent ignoring current world trends. Concentrating on primary produce – not value added products

Lack of comprehensive clinical trial capabilities

Recommendations

Formation of a functional food forum composed of members from academia, industry, government agencies

Appoint a functional food, Nutraceutical botanical plants “TSAR” to take leadership of this activity

Develop a centralised pilot processing plant with facilities for extraction, processing, product development and packaging

Develop dedicated clinical trial centres for functional foods

Encourage entrepreneurship amongst science and technology graduates

SWOT Analysis Opportunities Increased public concern to consume foods for health benefits rather than pills Changing demography (ageing population) Lifestyle changes (lack of time to prepare conventional meals) Increasing costs of medical care (prevention) Changes in eating patterns (snaking) Recommendations Increase consumer awareness about functional foods and their health benefits Encourage the food industry to appreciate and undertake product development in functional foods in order to meet the challenges of the ageing population and lifestyle changes Department of health and agriculture need to align policy in order to appreciate the impact of functional foods on health outcomes

Increased public concern to consume foods for health benefits rather than pills

Changing demography (ageing population)

Lifestyle changes (lack of time to prepare conventional meals)

Increasing costs of medical care (prevention)

Changes in eating patterns (snaking)

Recommendations

Increase consumer awareness about functional foods and their health benefits

Encourage the food industry to appreciate and undertake product development in functional foods in order to meet the challenges of the ageing population and lifestyle changes

Department of health and agriculture need to align policy in order to appreciate the impact of functional foods on health outcomes

SWOT Analysis Threats CHINA Lower costs of production Over supply of food products to the world market Exploitation of 5,000 years traditional Chinese medical history Ride the wave or be stranded on the beach (second rate player in the market) Recommendations Concentrate on developing value added functional foods Encourage the food industry to appreciate and undertake product development in functional foods in order to meet the challenges of the ageing population and lifestyle changes Comprehensive audit of plants species in Chile characterise medicinal or health properties

CHINA

Lower costs of production

Over supply of food products to the world market

Exploitation of 5,000 years traditional Chinese medical history

Ride the wave or be stranded on the beach (second rate player in the market)

Recommendations

Concentrate on developing value added functional foods

Encourage the food industry to appreciate and undertake product development in functional foods in order to meet the challenges of the ageing population and lifestyle changes

Comprehensive audit of plants species in Chile characterise medicinal or health properties

Public health concerns Diabetes Obesity Cardiovascular disease Hypertension Cancer Cognitive decline (Healthy ageing) Depression

Diabetes

Obesity

Cardiovascular disease

Hypertension

Cancer

Cognitive decline (Healthy ageing)

Depression

Global estimates of diabetes

Case examples Finland, China Singapore, Ireland. Finland has become the world leader in innovation in food, nutrition and health with an impressive level of innovation in the functional food sector How did they achieve this? By placing science based innovation at the core of its business, limited access to primary food source forced Finland to use innovation to develop functional food products

Finland has become the world leader in innovation in food, nutrition and health with an impressive level of innovation in the functional food sector

How did they achieve this?

By placing science based innovation at the core of its business, limited access to primary food source forced Finland to use innovation to develop functional food products

Finland as a case example Governmental involvement and incentives to industry and academics Tax Breaks Promotion of SME not multinationals (Note over 80% of world functional foods developed my SMEs) Clustering of scientists, technologists and marketeers provided fertile grounds for Innovation

Governmental involvement and incentives to industry and academics

Tax Breaks

Promotion of SME not multinationals (Note over 80% of world functional foods developed my SMEs)

Clustering of scientists, technologists and marketeers provided fertile grounds for Innovation

Finland Finland has developed a “cluster based” approach where clusters are geographic concentrations of inter-connected food companies, institutions, academics and governmental agencies The creation of a functional food forum has been a key to their success

Finland has developed a “cluster based” approach where clusters are geographic concentrations of inter-connected food companies, institutions, academics and governmental agencies

The creation of a functional food forum has been a key to their success

Finland Proven as a centre of Functional Food activity: Benecol Valio Breads Xylitol Dietary Food Drinks

Proven as a centre of Functional Food activity:

Benecol

Valio Breads

Xylitol

Dietary Food

Drinks

Regulatory Aspects

Regulatory Aspects Chile currently lacks clear guidelines and policies for the Nutraceutical and functional food industry Regulatory responsibility not clearly specified between department of health and agriculture (similar situation in the UK until the FSA formed) Regulatory different in EU compared to Japan and the USA (more liberal)

Chile currently lacks clear guidelines and policies for the Nutraceutical and functional food industry

Regulatory responsibility not clearly specified between department of health and agriculture (similar situation in the UK until the FSA formed)

Regulatory different in EU compared to Japan and the USA (more liberal)

Concept to commercial reality Functional food development is a multi- stage process that requires insight and inputs from academics, industry and regulatory partners Stages in the commercialisation of functional foods are: Description of a novel diet-disease related food component Pilot scale production of food Clinical trials (Efficacy & safety) Regulatory approval Large scale commercial production Consumer knowledge Market growth

Functional food development is a multi- stage process that requires insight and inputs from academics, industry and regulatory partners

Stages in the commercialisation of functional foods are:

Description of a novel diet-disease related food component

Pilot scale production of food

Clinical trials (Efficacy & safety)

Regulatory approval

Large scale commercial production

Consumer knowledge

Market growth

Recommendations (1) Formation of a functional food forum composed of members from academia, industry, government agencies Development of research cluster devoted to functional foods bringing together world class researchers Appoint a functional food, Nutraceutical “TSAR” to take leadership of this activity Develop a centralised pilot processing plant with facilities for extraction, processing, product development and packaging Develop dedicated clinical trial centres for functional foods Encourage entrepreneurship amongst science and technology graduates

Formation of a functional food forum composed of members from academia, industry, government agencies

Development of research cluster devoted to functional foods bringing together world class researchers

Appoint a functional food, Nutraceutical “TSAR” to take leadership of this activity

Develop a centralised pilot processing plant with facilities for extraction, processing, product development and packaging

Develop dedicated clinical trial centres for functional foods

Encourage entrepreneurship amongst science and technology graduates

Recommendations (2) Concentrate on developing value added functional foods Encourage the food industry to appreciate and undertake product development in functional foods in order to meet the challenges of the ageing population and lifestyle changes Sensitise primary food producers to embrace the development of functional foods Comprehensive audit of plants species in Chile characterise medicinal or health properties Increase consumer awareness about functional foods and their health benefits Department of health and agriculture need to align policy in order to appreciate the impact of functional foods on health outcomes Align technical and research capabilities by first initiating functional food research

Concentrate on developing value added functional foods

Encourage the food industry to appreciate and undertake product development in functional foods in order to meet the challenges of the ageing population and lifestyle changes

Sensitise primary food producers to embrace the development of functional foods

Comprehensive audit of plants species in Chile characterise medicinal or health properties

Increase consumer awareness about functional foods and their health benefits

Department of health and agriculture need to align policy in order to appreciate the impact of functional foods on health outcomes

Align technical and research capabilities by first initiating functional food research

Conclusion Concentrate in developing the functional food sector prior to exploiting Nutraceuticals as the latter requires considerable investment and Phase 2 clinical trials. Development of functional foods will enhance the capacity building of the scientists and technologists thereby enabling easy transition to neutraceuticals Four potential areas for development of high impact functional foods are: Diabetics Obesity Depression (1 in 5) CVD

Concentrate in developing the functional food sector prior to exploiting Nutraceuticals as the latter requires considerable investment and Phase 2 clinical trials.

Development of functional foods will enhance the capacity building of the scientists and technologists thereby enabling easy transition to neutraceuticals

Four potential areas for development of high impact functional foods are:

Diabetics

Obesity

Depression (1 in 5)

CVD