Global Brewing Ingredients Market - 2023-2030

Market Overview

The Global Brewing Ingredients Market reached US$ 5.8 billion in 2022 and is expected to reach US$ 9.3 billion by 2030 and is expected to grow with a CAGR of 6.1% during the forecast period 2023-2030. The trend of using locally-sourced brewing ingredients is gaining popularity, with breweries emphasizing regional flavors and supporting local farmers. For example, craft breweries in California are partnering with nearby hop farms to incorporate fresh, locally-grown hops into their beer recipes.

The brewing ingredients market is a vital component of the global beverage industry, providing essential components for beer production. It encompasses various sources such as grains, yeast, malt extract, beer additives, and others. The market is driven by factors like the growing demand for craft beer, the rise of homebrewing, and the exploration of new flavor profiles. Additionally, the market is influenced by changing consumer preferences, advancements in brewing technology, and regulatory factors.

The growing popularity of non-alcoholic and low-alcohol beverages is driving the demand for brewing ingredients in this segment. Consumers are seeking healthier alternatives and more diverse beverage options. For example, the rising trend of alcohol-free beers has prompted breweries to develop unique brewing processes and utilize specific yeast strains and additives to achieve desirable flavors and aromas.

Market Dynamics

Increasing Consumer Interest in Beer Pairing and Culinary Experiences

There is a growing trend of beer being seen as a versatile beverage that can be paired with various foods, similar to wine. Consumers are becoming more interested in exploring the culinary possibilities of beer, including beer and food pairings, beer-infused recipes, and beer-centric dining experiences. This trend has created opportunities for brewing ingredients that can enhance specific flavors and complement different cuisines.

Brewers are experimenting with specialty grains, unique yeast strains, and innovative additives to create beers that harmonize with different dishes. This increased focus on beer and culinary experiences is driving the demand for brewing ingredients tailored to these applications. Furthermore, breweries are collaborating with chefs and culinary experts to develop beer-inspired menus and host beer-centric events, fostering a gastronomic culture that further fuels the demand for specialized brewing ingredients.

The Growing Popularity of Homebrewing is Driving the Brewing Ingredients Market

The rise in homebrewing is a significant driver in the brewing ingredients market. More individuals are exploring the art of brewing their own beer, driven by the desire for creative expression, a sense of accomplishment, and cost savings. This trend has created a demand for brewing ingredients among homebrewers, including grains, yeast, hops, and additives.

The availability of brewing ingredient kits and online resources has made homebrewing more accessible, further fueling its popularity. As the homebrewing community expands, the demand for brewing ingredients continues to grow, driving the market. This driver is supported by the growing community of homebrewing enthusiasts who actively share their experiences, recipes, and knowledge, fostering a vibrant and collaborative culture within the brewing ingredients market.

Regulatory Complexity Poses Challenges for Brewing Ingredients Market Growth

Another restraint in the brewing ingredients market is the increasing complexity of regulations and compliance requirements. The production and distribution of alcoholic beverages are subject to strict regulations, which vary across different regions and countries. Brewers must adhere to licensing, labeling, safety, and quality standards to ensure compliance with the law. Meeting these regulatory requirements can be time-consuming and costly, especially for smaller breweries with limited resources.

The introduction of new regulations or changes in existing ones can create additional challenges and increase the burden of compliance. Breweries need to invest in resources and expertise to navigate the regulatory landscape, which can pose barriers to entry for new players and add operational complexity for existing businesses. These factors can impact the brewing ingredients market share and the overall brewing ingredients market size.

COVID-19 Impact Analysis

The COVID-19 Analysis includes Pre-COVID Scenario, COVID Scenario, and Post-COVID Scenario along with Pricing Dynamics (Including pricing change during and post-pandemic comparing it to pre-COVID scenarios), Demand-Supply Spectrum (Shift in demand and supply owing to trading restrictions, lockdown, and subsequent issues), Government Initiatives (Initiatives to revive market, sector or Industry by Government Bodies) and Manufacturers Strategic Initiatives (What manufacturers did to mitigate the COVID issues will be covered here).

Segment Analysis

The global brewing ingredients market is segmented based on source, function type, end user, and region.

Beer Yeast is A Key Ingredient Shaping the Flavors and Aromas of Brewed Delights

The global brewing ingredients market has been segmented by source into grains, beer yeast, malt extract, beer additives, and others.

Beer yeast, a crucial ingredient in the brewing process, holds a significant market share in the brewing ingredients segment, estimated to be approximately 20%. It interacts with malted grains, such as barley and wheat, and hops to create the diverse flavors and aromas found in beer. Specifically, beer yeast, often Saccharomyces cerevisiae, plays a vital role in fermenting the sugars derived from malted grains.

During fermentation, yeast consumes these sugars, producing alcohol and carbon dioxide while imparting unique flavors and aromas. The choice of the yeast strain, along with the malted grains used, influences the beer's character. Hops also interact with yeast, providing bitterness and aromatic qualities to balance the sweetness of the malted grains. Together, these ingredients collaborate to shape the distinctive profile of each beer.

Geographical Analysis

Asia-Pacific Emerges as the Fastest-Growing Region in the Brewing Ingredients Market

By region, the global brewing ingredients market is segmented into North America, South America, Europe, Asia-Pacific, Middle-east, and Africa.

The Asia-Pacific region is witnessing significant growth in the brewing ingredients market, driven by a combination of factors. With a rising population and increasing disposable incomes, consumer preferences for craft beer and unique flavors are on the rise. This has led to a surge in the demand for brewing ingredients such as yeast, water, adjunct grains, specialty grains, and enzymes.

The region's rich cultural heritage and diverse culinary traditions contribute to the demand for a wide variety of beer styles, further fueling the growth of the brewing ingredients market size. Additionally, the presence of emerging economies and a growing urban population create favorable conditions for the expansion of breweries and the consumption of beer. As a result, the Asia-Pacific brewing ingredients market is poised for remarkable growth, presenting lucrative opportunities for ingredient suppliers and breweries alike.

Competitive Landscape

The major global players in the market include: Cargill Incorporated, Boortmalt, Angle Yeast Co. Ltd, Malteurop Groupe S.A., Rahr Corporation, Lallemand Inc., Viking Malt, Lesaffre, Simpsons Malt, and Maltexco S.A.

Why Purchase the Report?

• To visualize the global Brewing Ingredients market segmentation based on source, function type, end user, and region, as well as understand key commercial assets and players.
• Identify commercial opportunities in the market by analyzing trends and co-development.
• Excel data sheet with numerous data points of brewing ingredients market-level with all segments.
• The PDF report consists of a cogently put-together market analysis after exhaustive qualitative interviews and an in-depth market study.
• Product mapping is available as Excel consists of key products of all the major market players.

The global brewing ingredients market report would provide approximately 61 tables, 62 figures, and 190 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies