Asia Pacific Yeast Extract Market Forecast to 2027 - COVID-19 Impact and Regional Analysis By Technology; Form; Application

The Asia Pacific yeast extract market is expected to reach US$ 572.0 million in 2027 from US$ 368.7 million in 2019. The market is estimated to grow at a CAGR of 5.6% from 2020 to 2027.

The growth the Asia Pacific yeast extract market is attributed to the key driving factors such as the rising demand for natural ingredients in the food & beverages industry and the launch of new products. However, the availability of yeast extract substitutes hinders the market growth.

The established and emerging players operating in the yeast extract market are commercializing novel yeast extract products for end users from the food & beverages and cosmetics industries, and bakeries. For instance, in June 2016, Biospringer introduced Springer Organic Baker’s Yeast Extract. The extract can be used to boost and enhance savory notes of snacks, soups, sauces, dressings, and gravies, among others. Similarly, in June 2017, Ohly launched high-efficiency SAV-R-FULL yeast extract, which is a completely soluble and natural product that imparts powerful flavors, tastes (umami and salty), and aroma. Furthermore, in July 2019, Nexira, a natural ingredients supplier, introduced Immunell that combines natural yeast extract and prebiotic acacia fiber.

Yeast extract is a key performant in processed food products, such as canned and frozen food variants, which makes it a product of interest for various manufacturers. For instance, in December 2020, Biospringer introduced a new protein in a yeast extract form that is positioned as a highly nutritious, gluten-free, and vegan ingredient, especially designed as a cheese and meat substitute for vegan burgers, nuggets, and sausages. Moreover, in December 2019, Angel YE launched a natural flavor-enhancing solution in Asia Pacific, for plant-based foodstuffs and beverages.

The market players are also expanding their existing portfolios with the launch of additional yeast extract products for new applications. For instance, in November 2019, DSM introduced Fresh XL and BakeZyme Master to expand its BakeZyme portfolio with the introduction of new solutions. These solutions are developed to overcome the challenges related to retaining the freshness of foodstuff; they can be added as ingredients in the production of high-quality baked goods such as tortilla wraps and sandwiches that have long-lasting and improved sensory properties. Thus, the launch of new and innovative products by existing and emerging market players is fueling the growth of the Asia Pacific yeast extract market.

Countries in Asia Pacific are reporting rapidly increasing number of COVID-19 confirmed cases. The COVID-19 pandemic has critically impacted the region, but it has also provided an opportunity for stakeholders to realign their future path based on strategic intent and focus. The sales of fresh bakery products decreased dramatically in India and other Asian countries during the lockdown. Food and beverage manufacturers are dependent on the supply of raw materials from domestic and international suppliers. State and central governments in Asia Pacific restricted the movement of goods across countries and locally. Due to these restrictions, the food and beverages manufacturers had to halt production due to lack of raw materials. Besides, the restrictions on the trade of nonessential goods and the probability of coronavirus transmission that causes COVID-19 through manufacturing facilities further restrained the growth in Asian countries.

Based on technology, the Asia Pacific yeast extract market is bifurcated into autolyzed and hydrolyzed. The autolyzed segment held a larger market share in 2019, whereas the hydrolyzed segment is anticipated to register a higher CAGR in the market during the forecast period.

Based on form, the Asia Pacific yeast extract market is segmented into powder, paste, and liquid. The powder segment held the largest market share in 2019, also the same segment is anticipated to register the highest CAGR in the market during 2020-2027.

Based on application, the Asia Pacific yeast extract market is segmented into food and beverages, animal feed, pharmaceuticals, and others. The food and beverages segment held the largest market share in 2019, whereas the animal feed segment is anticipated to register the highest CAGR in the market during the forecast period.

A few of the primary and secondary sources referred to while preparing the report on the Asia Pacific yeast extract market are the Lancet Medical Journal (2018) and by Food Ingredients India 2020.