Yeast Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2020-2030F

Baker’s Yeast is the fastest growing segment, Europe is the largest regional market

The Global Yeast Market, valued at USD 4.90 Billion in 2024, is projected to grow at a CAGR of 8.85% to reach USD 8.15 Billion by 2030. Yeast, a single-celled eukaryotic fungus, is essential in fermentation processes across baking, brewing, and other industries. Market expansion is supported by strong demand from bakery and brewery sectors, rising use in bioethanol production due to sustainable energy initiatives, and growing consumer interest in natural, clean-label ingredients such as nutritional yeast for plant-based diets. Increasing demand for safe and nutritious feed products in animal nutrition further contributes to market growth. However, raw material price volatility and strict food safety regulations impose operational challenges for manufacturers.

Key Market Drivers

The expansion of the global bakery industry and the sustained demand within the alcoholic beverage sector

Growth in the global bakery sector and steady demand from the alcoholic beverage industry are major drivers of the yeast market. As a core ingredient in bread, pastries, and various baked items, yeast benefits from the large and expanding bakery market. Benchmark International reported in July 2024 that the global bakery products market was valued at USD 536.4 billion in 2023, highlighting its scale. In parallel, the alcoholic beverage sector - particularly craft brewing - continues to create demand for specialized yeast strains. According to the Brewers Association, craft beer retail value in the U.S. rose 3% in 2024 to reach USD 28.9 billion, driven by consumer interest in innovative and premium products. This sustained industry demand is reflected in strong performance from suppliers; Associated British Foods reported an 18% rise in ingredients business sales to GBP 2.2 billion for the period ending September 2023, indicating resilient market fundamentals across baking and fermentation applications.

Key Market Challenges

The volatility of raw material prices

Volatility in raw material prices remains a major constraint for the global yeast market. Production relies heavily on inputs such as sugar and molasses, making yeast manufacturers vulnerable to fluctuations in agricultural commodity prices. Rising input costs directly increase operational expenses and affect profit margins, complicating long-term planning and consistent product pricing. According to the FAO, the Sugar Price Index averaged 145 points in 2023, up 26.7% from 2022, illustrating significant cost pressure on yeast producers. Such financial instability restricts investment in capacity expansions, innovation, and broader market development, while also affecting pricing throughout yeast-dependent industries like baking and brewing.

Key Market Trends

Increasing preference for clean-label yeast ingredients

Consumers are increasingly seeking clean label products with simple, natural ingredients, driving strong interest in yeast as a recognizable, minimally processed component. Yeast serves multiple roles as a natural leavening agent, flavor enhancer, and nutritional ingredient without artificial additives. According to Ingredion’s 2023 ATLAS study, 68% of consumers were willing to pay more for products containing only familiar ingredients, underscoring the importance of clean-label trends. This shift is fostering innovation in yeast extract and inactive yeast formulations designed for natural and transparent product profiles.

Key Market Players Profiled:

• Nutreco N.V.
• The Kerry Group plc
• Associated British Foods plc
• Angel yeast Co. Ltd.
• Lallemand Inc.
• ADM Company
• Oriental Yeast Co., Ltd.
• Lesaffre Yeast Corp.
• Leiber GmbH
• Synergy Flavors, Inc.

Report Scope:

In this report, the Global Yeast Market has been segmented into the following categories:

By Type:

• Baker’s Yeast
• Bioethanol Yeast
• Brewer’s Yeast
• Wine Yeast
• Feed Yeast
• Others

By Application:

• Food
• Feed
• Others

By Form:

• Instant Yeast
• Dry Yeast
• Fresh Yeast
• Genetically Modified Yeast
• Others

By Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Yeast Market.

Available Customizations:

With the given market data, the publisher offers customizations according to a company's specific needs. The following customization options are available for the report.

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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