The German economy is receiving a much-needed shot in the arm from the burgeoning health and fitness sector. We look at why Germans are spending freely to keep themselves in shape.

Germans are spending millions of euros on health additives sold in pharmacies

Man is what he eats. The German philosopher Ludwig Feuerbach made this observation more than 150 years ago and it remains true to this day. Germany's foodstuffs industry certainly seems to have taken the motto to heart, promoting its products as not just nourishing but healthy as well.

With their shelves full of 'pro-biotic' yoghurts, wine gums with added salts and minerals or calcium-boosted orange squash, modern German supermarkets are more like pharmacies these days. 'Functional foods' is the name given to a range of products whose manufacturers have one simple aim in mind: to persuade consumers in the country's congested marketplace to part with their money.

When it comes to 'wellness', sport, vitality or 'anti-ageing', there is no sign of German consumers being unwilling or unable to spend. According to expert Leo Nefiodov, who studies economic trends: "Over the next 50 years health is going to be the most important growth factor for economy and society as a whole."

Nefiodov believes the buoyancy of the health sector marks the beginning of a sustainable period of economic growth - a so-called 'Kondratieff cycle', named after a Russian economist - and in his opinion the health industry has already begun usurping information technology at the cutting edge of industrial development.

A booming sector

A survey by the celebrated trend institute run by Matthias Horx showed that two-thirds of Germans regularly spend money on their health. The findings are supported by data from the federal statistics ministry which shows that in 2003 private households parted with a total of EUR 29.4 billion for health-promoting products, compared with EUR 28.5 billion the year before.

Leo Nefiodov believes the buoyant health sector will create economic growth

The figure does not even include the countless cookbooks, gym subscriptions, 'active' holidays or the money spent on health additives sold in pharmacies.

Exact figures are hard to come by since so many sectors of the German economy are trying to cash in on the health-consciousness of the nation's citizens - be they publishing houses, tourist authorities or garment manufacturers.

According to the German Wellness Federation, this wide-ranging sector expects a turnover of EUR 72.9 billion this year - an increase of 6 percent compared to the previous year. The turnover in organically-grown foodstuffs grew by 10 percent in 2004 to stand at around EUR 3.4 billion.

Sweating it out for health

Germany's countless non-profit-making sports associations benefit as well. A total of 27 million Germans are members of around 90,000 clubs, and the number is growing. The trend is matched by the private sector. Around 4.7 million members sweat it out at 5,600 gyms, 400,000 more than in 2004, reported the Deloitte auditing organisation.

Germany's medical health insurance companies have already reacted to the health boom. "Our bonus programme rewards health-conscious behaviour," said Axel Wunsch of the Barmer Ersatzkasse.

He pointed out that 12 million people have already participated in the 'Germany Gets Moving' campaign designed to promote regular sporting activity. "That shows just what a high level of interest there is in prevention and a healthy way of life," said Wunsch.

The German media has jumped on the health bandwagon too. "Periodicals with articles about natural medicine have seen their circulations rise significantly," said Stefan Michalk of the Federation of German Newspaper Publishers.

One title called 'Healthy Medicine' has virtually doubled the number of copies sold since 2000 and now has a circulation of 137,000. Sales of another title called 'Health and Healing' have shot up from 39,000 to 66,000 copies.

Turbulent times

The new trend has drawn some ire from within the pharmacological industry which is experiencing a particularly turbulent period along with the rest of the health system.

Germany has 27 million sports clubs members and 4.7 million private gym members

Manufacturers of generic products such as the company Ratiopharm, which markets cheaper versions of expensive 'brand-name' medicines, are enjoying a buoyant market. The big companies, on the other hand, have seen their sales stagnate. Turnover in 2003 stood at EUR 23.6 billion and last year saw no significant increase, said a spokeswoman for the Federation of Research Chemists.

"We were once regarded as the world's apothecary but today Germany's pharmacological industry plays only a minor role," said economy expert Nefiodov.

The expert believes the time has come for politicians to seize the initiative. Germany's bio-technical industry has already benefited from strong government support and he sees no reason why the pharmacological industry should not do the same.

July 2005

[Copyright DPA with Expatica 2005]

Subject: Health in Germany, healthy living, sport, fitness