On July 6, independent research firm Research Arum set a target price of 19,500 won for Novarex, citing several positive factors: increased demand for K-health functional foods among foreign visitors to Korea, rapid growth in exports to China, and momentum from production capacity expansion.


"Novarex Benefits from Rising Demand for K-Health Functional Foods... Strong Export Growth to China" [Click e-Stock] View original image

Kim Doyoon, a researcher at Research Arum, stated in a report released that day, "Interest from foreign tourists is surging, with around 30 new pharmacies opening in Myeongdong alone in the second half of last year. Alongside K-beauty, demand for K-health functional foods such as vitamins and omega-3 is rising rapidly." He added, "According to the Korea Tourism Organization, in May this year, pharmacy spending by foreigners increased by 206.1% year-on-year, ranking first among all industries, so Novarex is expected to benefit directly."


Novarex is a specialized ODM·OEM company for health functional foods, with manufacturing systems capable of handling all types of formulations, including tablets, capsules, powder, jelly, and liquid. According to production results announced by the Ministry of Food and Drug Safety in May this year, Novarex posted a production value of 350.3 billion won last year, ranking first among domestic health functional food companies.



Researcher Kim analyzed, "As distribution channels for health functional foods diversify in earnest—including Olive Young, convenience stores, and Daiso—and with new demand from foreign visitors and the younger 2030 generation, the domestic market is expected to continue its upward trend." He also predicted, "Exports to China, a key market, will likely maintain strong growth."


This content was produced with the assistance of AI translation services.

© The Asia Business Daily. All rights reserved. Unauthorized AI training and use prohibited.

Today’s Briefing