PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1887206
PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1887206
The global brewing ingredients market continues to advance steadily, driven by rising beer consumption, expanding craft breweries, and growing demand for premium, flavorful beverages. According to the 2024 market analysis, the brewing ingredients market size reached USD 122.65 billion in 2024, supported by surging beer production and rapid urbanization. In 2025, the market is projected to rise to USD 126.99 billion, before further expanding to USD 182.97 billion by 2032, growing at a CAGR of 5.36% from 2025 to 2032. Increasing disposable income among younger consumers, rising female employment, and evolving drinking culture across emerging economies continue to shape market expansion.
Asia Pacific Leads the Global Market in 2024
In 2024, Asia Pacific dominated the market with a 32.53% share, driven by high beer consumption and rapidly growing urban demographics in China, India, and South Korea. The region recorded a market value of USD 39.90 billion in 2024, up from USD 38.52 billion in 2023. China remains a central hub for beer production, brewing 34.1 billion liters in 2020, making it the world's leading producer and consumer. By 2025, China is projected to achieve a market valuation of USD 25.19 billion, while India and Japan are expected to reach USD 4.56 billion and USD 4.05 billion, respectively.
Key Market Drivers Supporting Growth
The market is significantly propelled by rising global interest in artisanal and craft beers, which emphasize quality ingredients, rich flavor profiles, and locally sourced materials. In 2024, breweries increasingly adopted innovative brewing methods and specialty ingredients to meet demand for diverse flavors. Taprooms, such as Bira 91's new outlet in Mumbai (opened in October 2024), exemplify the trend toward premium, small-batch beer production.
Another major growth driver is the increasing demand for low-sugar and low-alcohol beers, especially among Gen Z consumers who favor moderate drinking and health-oriented beverages. Beer companies are responding with innovative low-alcohol versions, such as the U.K.'s first 0.5% ABV "AF Pilsner" launched in November 2024.
Market Restraints Challenging Industry Performance
Volatility in raw ingredient prices-including hops, malt, barley, and yeast-remains a major concern for brewers worldwide. Supply disruptions caused by geopolitical tensions, climate change, and agricultural variability significantly impact cost structures. Additionally, brewers face challenges related to quality control, as inconsistent ingredient quality may lead to flavor disparities and harm brand reputation. Stringent regulatory frameworks around alcohol production, safety, taxation, and labeling also present hurdles to market expansion.
New Opportunities Through Technological Advancements
Technological innovation is transforming the beer industry, creating promising opportunities for growth through 2032. Biotechnology is enabling brewers to develop new yeast strains with enhanced fermentation efficiency and unique flavor expressions. Automated fermentation systems and AI-driven brewing tools help maintain consistency, reduce waste, and optimize energy use. The adoption of IoT sensors in breweries enhances monitoring at every production stage, strengthening quality control and boosting productivity.
Segment Analysis: Malt Dominates Ingredient Share
In 2024, malt remained the dominant ingredient segment, essential for fermentation and responsible for beer's flavor, color, and mouthfeel. Nearly 200 grams of malt are required to produce 1 liter of quality beer, underscoring its importance. The adjuncts segment, including sorghum, rice, corn, and cassava, is projected to grow fastest through 2032 due to rising demand for flavored and affordable beer varieties. Meanwhile, hops accounted for 5% of the market share in 2024, contributing bitterness and aroma.
The dry ingredients segment led the market in 2024, supported by longer shelf life and affordability.
By beer type, lager held 65% of the global share in 2025, benefiting from its smooth flavor profile and wide consumer appeal.
Regional Outlook Beyond Asia Pacific
Europe is projected to reach USD 36.12 billion in 2025, with Germany producing 87.83 million hectoliters of beer in 2022.
North America is expected to be valued at USD 25.13 billion in 2025, driven by 9,761 operating craft breweries in the U.S.
South America is estimated at USD 17.24 billion in 2025, supported by rising microbreweries in Brazil and Argentina.
Middle East & Africa continues expanding due to local sorghum-based brewing techniques, with South Africa expected to reach USD 3.42 billion in 2025.
Conclusion
The global brewing ingredients market is poised for steady expansion, increasing from USD 122.65 billion in 2024 to USD 182.97 billion by 2032. Demand for premium beers, technological innovation, and rapid growth of craft brewing will continue shaping the market landscape through the forecast period.
Segmentation By Ingredient Type
By Form
By Beer Type
By Brewery Size
By Region