2 Functional foods improve the capacity to resist disease and enhance health. Functional foods are one of the outcomes of this The functional foods market Functional foods first emerged in Japan in the early 1980s. Estimates of the value of the functional foods market vary enormously, depending on how the category is defined. Some estimates suggest the world market has grown from US$7-10 billion in 1995 to over US$15 billion in 2000, with annual growth rates averaging 10%. Japan has traditionally accounted for around half of all functional food sales(an estimated US$34 billion in 1996), although this proportion is decreasing as the European and US markets expand. The US market was worth about US$8 billion in 1997 with growth at around 5%per annum. Sales of functional foods in Europe in 1997 have been estimated at US$1.7 billion, growing to around US$2 billion by 2000 There have been a number of important forces driving this growth. These new research on the links between diet and the prevention of chronic disease geing populations in many developed countries, and an about managing the health of this age group who are more prone to disease (and particularly such degenerative disorders as cancer, heart disease, osteoporosis, diabetes and stroke) growing pressure on public health spending, leading to a greater emphasis on prevention and more individual responsibility for health care provision increased health consciousness among consumers and concern about their dietary intake provements in food science and technology changes in the regulatory framework governing this area Classifying functional foods As a result of increasing market growth, there is a huge possible range of functional foods. These include soft drinks such as energy and sports drinks cereal and baby foods baked goods confectionery dairy products, especially yoghurts and other fermented dairy products p。rds meat products animal feedsimprove the capacity to resist disease and enhance health. Functional foods are one of the outcomes of this. The functional foods market Functional foods first emerged in Japan in the early 1980s. Estimates of the value of the functional foods market vary enormously, depending on how the category is defined. Some estimates suggest the world market has grown from US$7–10 billion in 1995 to over US$15 billion in 2000, with annual growth rates averaging 10%. Japan has traditionally accounted for around half of all functional food sales (an estimated US$3–4 billion in 1996), although this proportion is decreasing as the European and US markets expand. The US market was worth about US$8 billion in 1997 with growth at around 5% per annum. Sales of functional foods in Europe in 1997 have been estimated at US$1.7 billion, growing to around US$2 billion by 2000. There have been a number of important forces driving this growth. These include: • new research on the links between diet and the prevention of chronic disease • ageing populations in many developed countries, and an increasing concern about managing the health of this age group who are more prone to disease (and particularly such degenerative disorders as cancer, heart disease, osteoporosis, diabetes and stroke) • growing pressure on public health spending, leading to a greater emphasis on prevention and more individual responsibility for health care provision • increased health consciousness among consumers and concern about their dietary intake • improvements in food science and technology • changes in the regulatory framework governing this area. Classifying functional foods As a result of increasing market growth, there is a huge possible range of functional foods. These include: • soft drinks such as energy and sports drinks • cereal and baby foods • baked goods • confectionery • dairy products, especially yoghurts and other fermented dairy products • spreads • meat products • animal feeds. 2 Functional foods