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Supplement Industry Adds $61 Billion to U.S. Economy

Dietary supplements are taking a beating in the mainstream press these days, but a new study funded by the Natural Products Foundation provides more positive fodder about the economic benefits provided by the supplements industry. According to the study, the dietary supplements industry contributes about $61 billion annually to the U.S. economy, supports more than 450,000 jobs and paid more than $10 billion in taxes in 2006.

“Most industry assessments primarily focus on sales, but this is really just the tip of the iceberg,” said Tracy Taylor, executive director of the Natural Products Foundation. “The labor, materials and technology necessary to move each product from a raw material to the final sale cause a whole spectrum of economic consequences.” Preliminary Nutrition Business Journal estimates peg 2008 U.S. consumer sales of dietary supplements at about $25 billion.

The Economic Impact Report, completed by Dobson | DaVanzo, a Washington D.C.-based economic research firm, is the first to quantify the dietary supplement industry's overall financial impact on the national economy by considering such contributing factors as supply, production, research, direct employment, manufacturing, taxes, and the extended financial effects these factors produce.

NBJ’s upcoming U.S. Nutrition Industry Overview double issue, which will publish in July, will offer more details about the Natural Products Foundation’s Economic Impact Report, as well as 2008 sales and growth estimates by product segment and channel for dietary supplements and other nutrition industry product categories. To order your copy of the issue, subscribe to NBJ or download a free 32-page sample issue of the journal, go to

Related stories:

Sports Illustrated Slams Supplements and DSHEA

U.S. Nutrition Industry Prospers in 2007, Despite Economic Slump

Special Feature: Supplement Industry Makes its Case for Healthcare Cost Saving

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