PUBLISHER: Fairfield Market Research | PRODUCT CODE: 1509728
PUBLISHER: Fairfield Market Research | PRODUCT CODE: 1509728
The global Specialty Malts market is poised for significant growth, driven by increasing demand across various industries. The market was valued at $2.5051 billion in 2024 and is projected to reach $3.878 billion by 2031, growing at a CAGR of 6.4%. Specialty malts, produced from grains such as barley, rice, wheat, corn, and soybean, are essential ingredients in numerous food and beverage applications. The market is experiencing robust expansion, particularly in Western Europe, which leads in specialty malt consumption, followed closely by the Asia-Pacific excluding Japan (APEJ) region. France and Belgium are notable exporters of specialty malt, contributing to the market's growth dynamics.
Historical and Forecasted Market Growth
Historically, the specialty malts market has shown steady growth, driven by a high demand for roasted malt. This demand has been primarily fueled by its extensive use in the brewing industry. The market has witnessed consistent growth due to its wide application in food and beverage industries, particularly in Western Europe and APEJ regions.
Health Benefits and Antioxidant Properties
Specialty malts are renowned for their antioxidant properties, which play a crucial role in preserving the oxidative stability of beer. These antioxidants help limit reactions caused by reactive oxidizing species (ROS), thereby benefiting consumer health by preventing and neutralizing ROS associated with various diseases such as cancer, cardiovascular ailments, and neuronal diseases. The high antioxidant properties of specialty malts are expected to drive demand further.
Key Market Trends
The demand for non-alcoholic beverages, including health drinks, is on the rise. Specialty malt, rich in minerals, fiber, proteins, and vitamin B, is increasingly used as a nutritional supplement in health drinks. Major brands in India, such as Horlicks, Bournvita, Complan, and Amul, utilize specialty malt to enhance flavor and taste in their health drinks. This trend is contributing to the significant growth of the specialty malts market in the health drinks segment.
The number of breweries is increasing in developing countries like China and India, driven by rising disposable incomes and changing macroeconomic factors. China, poised to become the world's largest beer market, sees significant contributions from major beer brands such as Snow beer, Tsingtao, Yanjing, Harbin, and Loashan. In India, craft beer consumption is growing rapidly, presenting opportunities for U.S. exporters to supply liquid yeasts, hops, and specialty malt.
Specialty malts are highly versatile, used extensively in the food and beverage industry for their functional properties. They enhance the taste, texture, appearance, and flavor of products, making them invaluable for manufacturers. For instance, rye malt serves as a natural dough conditioner in the bakery industry, offering unique flavors and improving dough elasticity and volume.
There is a growing consumer preference for natural and organic food products. Specialty malts enhance flavors and colors in bakery items such as pizzas and tortillas, driving their demand in the bakery sector. Malted barley, a natural sweetener with rich flavors and aroma, is increasingly used as a substitute for refined sugar and non-nutritive syrups. Regulatory norms regarding food additives further boost the adoption of specialty malts in clean label products.
Regional and Category Insights
The European market, particularly the U.K., is expected to see significant growth in roasted malt consumption. The U.K. holds a substantial share in the European market, driven by high demand for specialty malts in various food and beverage applications.
China dominates the East Asian specialty malt market due to its high production and export capacity. The country's robust processed barley market further strengthens its position in the region.
The specialty malts market is segmented based on form, including dry specialty malt, liquid specialty malt, and malt flour. The powder form of specialty malt holds a significant market share, driven by demand from the dairy and frozen food products, bakery and confectionery, and other food products industries.
Specialty malts are widely distributed through hypermarkets and supermarkets. These products are essential in developing various food items such as dairy and frozen food products, bakery products, and confectionery products. The brewing segment in the beverages industry holds a substantial share of specialty malt usage globally.
Competitive Analysis
Leading companies in the market include Malteurop, Weyermann, Canada Malting, Rahr, IREKS, Bestmalz, Prairie Malt/Boortmalt, Munton's, Crisp, Baird's, Simpson's, Viking, Patagonia, Proximity, Epiphany, Soufflet, Axereal, and Great Western.
Market Segmentation