Brewer’s Yeast Market By Product (Dry, Fresh, Instant Dry, Liquid), By Form (Powder, Tablet), By Application (Food, Feed), By Distribution Channel (Online, Offline), By Region, By Competition Forecast & Opportunities, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 6.51 Billion
CAGR (2026-2031)	7.68%
Fastest Growing Segment	Dry
Largest Market	Europe
Market Size (2031)	USD 10.15 Billion

Market Overview

The Global Brewer’s Yeast Market will grow from USD 6.51 Billion in 2025 to USD 10.15 Billion by 2031 at a 7.68% CAGR. Brewer’s yeast, defined as inactivated Saccharomyces cerevisiae, is a nutrient-rich byproduct of the beer fermentation process valued for its high protein, mineral, and B-vitamin content. The market is primarily supported by the imperative for antibiotic-free growth promoters in the animal feed sector and the rising industrial demand for alternative protein sources in human nutrition. Furthermore, the expanding application of yeast derivatives in pharmaceutical formulations for gut health continues to drive volume growth. According to the American Feed Industry Association, in 2024, U.S. animal food export volumes increased by 8% to 21.4 million metric tons, highlighting the robust commercial activity in this key end-use industry.

However, the market faces a significant challenge regarding raw material volatility, as the supply of brewer's yeast is directly linked to the operational output of the global brewing industry. Any stagnation or decline in beer production volumes inherently restricts the availability of this biomass, creating supply chain bottlenecks and inflating procurement costs. Consequently, manufacturers must navigate these upstream dependency risks, which can constrain market stability and impede the ability to consistently meet the escalating requirements of end-users.

Key Market Drivers

The rising demand for high-quality and antibiotic-free animal feed additives is a primary engine of growth for the global brewer’s yeast market. As regulatory frameworks increasingly ban antibiotic growth promoters, livestock producers are transitioning to yeast-based alternatives rich in mannan-oligosaccharides and beta-glucans to maintain animal gut health and immune function. This shift is structurally increasing the volume of inactivated yeast required by the agricultural sector to sustain output levels. According to Alltech, April 2025, in the '2025 Agri-Food Outlook', global animal feed production rebounded in 2024, increasing by 1.2% to 1.396 billion metric tons, underscoring the expanding addressable market for these nutritional additives. Major manufacturers are successfully capitalizing on this industrial requirement, evidenced by robust financial performance among market leaders. According to Angel Yeast, April 2025, in the '2024 Annual Report', the company reported a total revenue of 15.197 billion yuan, driven significantly by the sustained uptake of yeast derivatives in animal nutrition and downstream applications.

The surge in utilization of yeast proteins in plant-based meat alternatives acts as a second critical driver, transforming brewer’s yeast from a byproduct into a high-value functional ingredient. In the formulation of meat analogues, yeast extracts are increasingly utilized to mask off-notes from vegetable proteins and provide essential umami profiles, while the yeast protein itself offers a complete amino acid profile necessary for nutritional parity with animal meat. This application has attracted substantial capital toward fermentation innovation to optimize yeast strains for human consumption. According to the Good Food Institute, April 2025, in the '2024 State of the Industry Report: Fermentation', companies dedicated to fermentation-enabled alternative proteins raised USD 651 million in 2024, signaling continued investment in the technologies that integrate yeast biomass into the next generation of sustainable food products.

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Key Market Challenges

Raw material volatility presents a fundamental barrier to market stability because the supply of brewer's yeast is entirely contingent upon the operational output of the brewing industry. Manufacturers cannot produce this biomass independently; they must rely on fermentation byproducts to secure their primary input. Consequently, availability is dictated by beverage consumption trends rather than the rising demand for yeast derivatives in animal feed or human nutrition. This rigid upstream dependency means that any contraction in beer production volumes creates immediate scarcity, inflating procurement costs and restricting the inventory available for processing.

This constraint is particularly acute when brewing activity stagnates, as processors face supply deficits that cannot be mitigated through alternative sourcing methods. The inability to decouple yeast production from brewing cycles exposes the market to severe volume fluctuations that disrupt long-term supply agreements. According to the Brewers Association, in 2024, independent craft beer production volume in the United States declined by 2 percent during the first half of the year. Such reductions in brewing output directly lower the recoverable tonnage of yeast, preventing manufacturers from consistently fulfilling the escalating requirements of end-users and hampering overall market expansion.

Key Market Trends

The sustainable upcycling of brewery waste streams for the circular economy is fundamentally altering supply chain dynamics by repositioning spent yeast as a strategic asset rather than disposable refuse. Manufacturers are increasingly implementing advanced fractionation technologies to extract high-value beta-glucans and proteins from residual yeast biomass, thereby creating new revenue channels while minimizing environmental impact. This approach aligns with broader corporate sustainability goals to close production loops and reduce landfill dependency, turning a volatility liability into a consistent material stream. According to Heineken N.V., February 2024, in the 'Annual Report 2023', the company reported that 99.4% of its residual products, including brewer's grains and yeast, were recycled or reused for animal feed and material loops, demonstrating the industrial scale of this resource recovery trend.

The expansion into functional and premium pet nutrition products is driving specialized demand for brewer’s yeast beyond standard livestock applications. As pet owners increasingly humanize their companion animals, there is a heightened preference for natural ingredients that offer tangible health benefits, such as improved digestion, immune support, and enhanced palatability. Yeast derivatives are being aggressively marketed in this segment for their rich B-vitamin complex and savory umami flavor, which serves as a clean-label appetite stimulant for cats and dogs. According to the American Pet Products Association, March 2024, in the 'State of the Industry Report', total U.S. pet industry expenditures reached USD 147 billion in 2023, signaling a massive, high-value addressable market for functional yeast additives in the companion animal sector.

Segmental Insights

The Dry segment is projected to be the fastest-growing category within the Global Brewer’s Yeast Market, primarily driven by its superior stability and logistical efficiency. Unlike liquid alternatives, dry yeast offers a significantly extended shelf life and does not require complex cold-chain infrastructure, which substantially reduces transportation and storage costs for manufacturers. This format is increasingly preferred for its ease of handling and consistent performance across varied climatic conditions, making it ideal for global distribution. Furthermore, the rising demand for convenient, long-lasting ingredients in both the brewing and animal feed sectors continues to accelerate the adoption of dry formulations.

Regional Insights

Europe maintains a leading position in the global brewer's yeast market due to its extensive brewing infrastructure and the high consumption of alcoholic beverages across the region. This robust production capability ensures a consistent supply of yeast biomass, which is essential for the animal feed and food processing industries. Furthermore, the European Food Safety Authority enforces strict standards that encourage the use of natural and safe ingredients, thereby increasing the utilization of brewer's yeast as a nutritional additive. Consequently, the combination of industrial capacity and favorable regulatory frameworks secures Europe's status as the primary market hub.

Recent Developments

• In November 2025, Angel Yeast commissioned a new specialty yeast production facility in Yichang, China, marking a significant expansion of its biomanufacturing capabilities. The plant, which began trial production during this period, was designed with an annual capacity of 8,500 tons to produce high-value yeast-derived ingredients for applications including craft brewing, wine, and bioenergy. This development represented the completion of the company's full-chain layout for specialty yeast, ranging from research and development to scaled manufacturing. The new facility utilizes advanced automated processes to ensure sterility and consistency, aiming to meet the rising global demand for premium fermentation raw materials.
• In August 2024, AB Mauri North America completed the strategic acquisition of Omega Yeast Labs, a prominent provider of liquid yeast to the United States craft brewing industry. This transaction integrated the Chicago-based liquid yeast specialist into the acquirer’s AB Biotek division, complementing its existing global portfolio of dry yeast and fermentation ingredients. The collaboration was designed to leverage shared technology strengths while enhancing the distribution and development of high-quality liquid yeast strains for professional and home brewers. The move solidified the company's position in the alcohol beverage market by combining resources to foster innovation in brewing fermentation solutions.
• In June 2024, Lallemand Brewing released LalBrew Pomona, a modern hybrid IPA yeast strain developed in collaboration with Escarpment Laboratories, a specialized Canadian yeast company. This innovation was specifically selected for its robustness and stress tolerance in high-gravity, hop-forward beer styles like Hazy IPAs. The strain was engineered to enhance biotransformation, producing unique flavor notes of peach, citrus, and tropical fruits while supporting stable haze formation. The launch addressed the growing global demand for aromatic, juicy IPA styles, offering brewers a reliable solution that combines high fermentation performance with a distinct sensory profile.
• In January 2024, Fermentis expanded its portfolio for the home and craft brewing sectors by launching a new range of yeast and enzyme blends under the "All-in-1" brand. This product line introduced four distinct chemically defined formulations designed to simplify the brewing process for specific styles, including crisp lagers, dry IPAs, and complex Belgian ales. By combining active dry yeast with precise enzymes in a single sachet, the company provided brewers with advanced tools to achieve high attenuation and specific sensory profiles, such as fruity esters or phenolic notes, without the need for separate additive calculations.

Key Market Players

• Associated British Food plc
• Lesaffre Group
• Alltech
• Leiber GmbH
• Angel Yeast Co., Ltd.
• Lallemand, Inc.
• F.L. Emmert
• Nutreco N.V.
• Biomin
• Shandong Bio Sunkeen Co., Ltd.

By Product	By Form	By Application	By Distribution Channel	By Region
Dry Fresh Instant Dry Liquid	Powder Tablet	Food Feed	Online Offline	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Brewer’s Yeast Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Brewer’s Yeast Market, By Product:

• Dry
• Fresh
• Instant Dry
• Liquid

• Brewer’s Yeast Market, By Form:

• Powder
• Tablet

• Brewer’s Yeast Market, By Application:

• Food
• Feed

• Brewer’s Yeast Market, By Distribution Channel:

• Online
• Offline

• Brewer’s Yeast Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE