What is the USA market-size (TAM) for the Manuka Honey industry?
Thank you for your question on US market-size for Manuka Honey industry. We understand that further to the previous research done on this subject, you would like to have more information about the use of Manuka honey and its pricing. The short version is that Manuka honey is used in skincare, wellness, beauty, nutritional supplement and wound care segment. The FOB price of New Zealand honey exported to US is estimated at an average of $31 per kg, while the retail price in the US ranges from $70 to $170 per kg.
The most useful resources that helped in this research are the articles from Manuka Honey USA and Dr. Axe.
Below you can have a deep dive into my findings.
In order to answer your question, we researched various industry specific websites and reports. Information on the geographic areas where Manuka honey is sold is available only through paid reports. However, through our research, we were able to find the uses of Manuka honey and its pricing.
OVERVIEW According to Green Press, use of Manuka honey is an upcoming food trend in the US. It was the fifth most searched functional ingredient in 2016. Though volume wise, US imports only 5% of New Zealand's honey, the FOB price it fetches is much higher than any other export destinations. As of 2014, the FOB price of New Zealand honey to Hong Kong was $19 per kg, Singapore was $21 per kg, UK was $22 per kg and Japan was $25 per kg. But the FOB price to US was $31 per kg. This premium in price is owing to the health benefits associated with the product.
One of the biggest problem faced by Manuka honey industry is the sales of fake Manuka honey. Out of the 10,000 tons of manuka-labeled honey sold globally, only 1,700 tons of it are actually produced in New Zealand. In a bid to fight this menace, "New Zealand’s ministry of primary industries (MPI) has released a scientific definition to be used to authenticate manuka honey destined for export to restore consumer confidence."
The 2017 report on US Manuka Honey Market lists Comvita, Watson & Son, Manuka Health, Pure Honey New Zealand, API Health, Happy Valley, Mossop’s, Cammells Honey, Ora Honey and Waitemata Honey as the major players dealing in Manuka Honey. Information on sales, price, revenue and market share for each player is available through a paid report from 360 Market Updates.
USES OF MANUKA HONEY
Some of the uses of Manuka honey are in skincare, wellness, beauty, nutritional supplement and wound care segment. The growth is especially prominent as a wellness and skincare ingredient owing to celebrity endorsement from the Kardashians and various other celebrities, and also because Manuka honey makes the "skin super-clean and blemish free." Manuka infused skin creams are sold by brands like L'Oreal for $98 per jar.
Manuka honey is also used for treating small intestine bacterial overgrowth (SIBO), acid reflux, acne, eczema, staph infections, tooth decay & gingivitis, sore throats, irritable bowel syndrome, allergies and to improve sleep.
WHERE IS MANUKA HONEY SOLD? A report from Honey Network says that Manuka honey is not sold in standard supermarkets and grocers, but rather is available through specialty supermarkets like Whole Foods Market, Gelson's, Sprout Farmer's market, Bristol Farms and Trader's Joe. It is also sold online on Amazon. Market segment of Manuka honey by state is available through a paid report from 360 Market Updates. PRICING
New Zealand honey fetches an export price of $21-$28 per kg from high volume markets like China. From higher value markets like US, it fetches $30-$50 per kg, while medical grade Manuka honey fetches up to $1,000 per kg.
As of 2014, the average FOB price of New Zealand honey is $31 per kg (the latest data available).
The US import duty of Manuka honey is 6% and sales tax varies from state to state.
As per Manuka Honey USA, the wholesale price of pure, raw, natural, unpasteurized, Tested & Cert. is in the range of $2.74-$3.93 per oz. Manuka honey used for tea, toast, cooking, baking & Manuka honey facials fetch $1.28 -$1.52 per oz.
The average retail price of Manuka honey with no rating on Amazon is $70 per kg, while Manuka honey with non UMG/MGO rating fetches $85 per kg and Manuka honey with UMF/MGO rating fetches $170 per kg on Amazon.
PAID REPORTS AVAILABLE
Two paid reports are available on Manuka Honey Market, namely- 1. United States Manuka Honey Market Report 2017 from 360 Market Updates detailing "top players, with sales, price, revenue and market share for each player", market segment by state and by use.
2. Global Manuka Honey Market 2017 Share,Supply and Consumption Analysis Research Report Forecast to 2022 details about Market Segment by Manufacturers, regions, type and application. CONCLUSION
To wrap it up, Manuka honey is used in skincare, wellness, beauty, nutritional supplement and wound care segment. The FOB price of New Zealand honey exported to US is estimated at an average of $31 per kg, while the retail price in the US ranges from $70 to $170 per kg.
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