Canada’s natural, organic and wellness (NOW) sector is making a significant contribution to the Canadian economy, according to a new economic impact assessment commissioned by the Canadian Health Food Association (CHFA) and conducted by MNP.
The study found that sales of natural health products (NHPs) and natural, organic health foods reached approximately $26 billion in 2025. Across the broader value chain, the sector generated $39.7 billion in economic output, contributed $18.7 billion to Canada’s GDP and supported approximately 147,100 full-time equivalent jobs.
For CHFA, the findings put new numbers behind an industry that continues to grow in importance to both Canadian consumers and the economy.
“This is a $39.7-billion economic engine supporting more than 147,000 jobs, powered largely by small businesses.” said Aaron Skelton, President and CEO of CHFA. “These findings show just how important our sector has become to Canada’s economy—and how much more potential there is to unlock.”
Small businesses are at the heart of the sector
While the sector’s overall economic footprint is substantial, the businesses driving it are overwhelmingly small.
According to the report:
- 75% of manufacturers have fewer than 50 employees.
- 90% of wholesalers have fewer than 50 employees.
- 95% of retailers specializing in health supplements have fewer than 50 employees.
These businesses are part of an interconnected Canadian value chain spanning manufacturing, transportation, warehousing, wholesale and retail.
Consumer demand continues to create opportunity
The research also points to continued consumer demand for natural, organic and wellness products.
Between 2023 and 2025, sales of NHPs grew by approximately one to three per cent annually, while natural and organic health food sales grew by approximately four per cent.
At the same time, the sector is navigating increased competition, cost-of-living pressures and evolving regulatory requirements.
The MNP report identifies several areas that could help Canadian businesses capitalize on continued demand, including modernizing and streamlining regulatory requirements, strengthening export readiness and investing in consumer trust and market access.
For CHFA, these findings reinforce the importance of creating an environment where Canadian wellness businesses can grow, innovate and compete.
“Demand is there. Canadian businesses are ready to grow and our sector already makes a meaningful contribution to the economy,” Skelton said. “The next step is making sure the policy and regulatory environment allows that potential to be realized while continuing to protect and build consumer trust.”
About the study
CHFA engaged MNP to conduct an economic impact assessment of Canada’s natural, organic and wellness sector.
The analysis draws on Statistics Canada data, CHFA documentation and publicly available research, using an input-output methodology and economic multipliers published by Statistics Canada.
The full report is available for download to CHFA Members.
CHFA Members: Login to explore the findings and learn more about the economic impact of Canada’s NOW industry.
