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There\u2019s no running away from the demographic change. A large chunk of the global population will hit their senior years in the coming decades, with the number of people aged 60 years<\/a> and above doubling between 2020 and 2050.\u00a0\u00a0<\/p>\n As alarming as population aging may be for economic growth and public finances, it presents an opportunity for Swiss food and nutrition conglomerate Nestl\u00e9.\u00a0<\/p>\n The company, whose founder invented the first form<\/a> of infant formula, is now prioritizing products for the elderly.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/p>\n \u201cThe 50+ age group in most countries around the world is going to increase significantly over the next 10 to 20 years,\u201d Nestl\u00e9\u2019s CEO Mark Schneider told the Financial Times<\/em><\/a>. \u201cWith that, and with the specific nutritional needs of that age group, there is an opportunity for us.\u201d\u00a0<\/p>\n Advancements<\/a> in science and technology, along with economic development taking billions out of poverty, are leading to longer life expectancy across most of the world. At the same time, many developed countries are suffering from staggeringly low birth rates\u2014Italy\u2019s births have dropped for 15 consecutive years<\/a> now, while Finland\u2019s aging population has been growing rapidly.\u00a0\u00a0<\/p>\n To keep up with these parallel trends, Nestl\u00e9\u2019s Health Science division<\/a> wants to offer more supplements that cater to the different consumption patterns of older people, including the need to age healthily, for example by maintaining their weight or curbing blood sugar levels.\u00a0<\/p>\n Shifting demographic trends have already begun to impact Nestl\u00e9\u2019s business. For instance, the company closed one of its baby formula plants in China last year<\/a>, citing plunging birth rates hurting demand for infant nutrition products.<\/p>\n Baby food is still big business for Nestl\u00e9\u2014the company has a long and complex history<\/a> in this segment, which accounted for roughly 15% of its profits in 2023\u2014but such occurrences are only likely to become more common as the number of babies declines in more and more countries.<\/p>\n Nonetheless, Schneider said the company\u2019s growing interest in the elderly does not come at the expense of its baby food arm. <\/p>\n \u201cWe\u2019re not walking away from what we got started on, which is infant nutrition,\u201d he said.\u00a0<\/p>\n \u201cBut we do see that in most economies around the world, the bigger demographic opportunity is among the middle-aged and elderly.\u201d<\/p>\n Nestl\u00e9 has been affected by emerging trends beyond demographics, such as the meteoric rise of weight-loss drugs. To help it ride the tide, Nestl\u00e9 recently launched a new line of packed foods called Vital Pursuit<\/a>, which it says can support the needs of those taking appetite-suppressing medication through portion control and better nutritional balance.<\/p>\n That\u2019s a case of having to adapt to a suddenly different reality, which can be a dangerous time for established businesses. A gradually aging population, on the other hand\u2014while alarming for economists\u2014at least gives companies like Nestl\u00e9 plenty of advanced warning. No matter what happens in the next few years, you can be pretty sure the world isn\u2019t getting any younger.<\/p>\n<\/div>\n\nKeeping up with the population<\/strong><\/h2>\n
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