Feed Yeast Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Type (Live Yeast, Spent Yeast, Yeast Derivatives and Others), By Form (Powder, Liquids and others), By Livestock (Ruminants, Poultry, Swine and others), By Region and Competition, 2020-2030F

Market Overview

The Global Feed Yeast Market will grow from USD 2.53 Billion in 2024 to USD 3.54 Billion by 2030 at a 5.75% CAGR. Feed yeast, a valuable byproduct of the fermentation industry, comprises yeast fungi cultivated on diverse substrates, renowned for its rich content of B vitamins, minerals, amino acids, and high-quality protein, serving as a critical nutritional supplement in animal feed to enhance digestion, nutrient absorption, and overall animal health. The market's expansion is fundamentally driven by the escalating global demand for animal protein, coupled with the increasing adoption of natural feed alternatives due to the phasing out of antibiotic growth promoters across key agricultural regions. Furthermore, growing awareness among livestock producers regarding the demonstrable health benefits of yeast derivatives, including improved gut integrity and immunity in animals, significantly propels market growth. According to the 2025 Alltech Agri-Food Outlook, global feed production experienced a 1.2% increase in 2024, reaching 1.396 billion metric tons, underscoring a resilient animal feed sector that supports the demand for feed yeast.

Despite these robust drivers, a significant impediment to market expansion is the inherent volatility in the prices of essential raw materials, such as molasses and grains, which directly impacts production costs and profit margins for feed yeast manufacturers.

Key Market Drivers

The global feed yeast market is significantly influenced by key industry shifts. A primary driver is the worldwide movement away from antibiotic growth promoters (AGPs) in animal feed, compelling livestock producers to adopt natural and sustainable alternatives. This regulatory pressure, aimed at mitigating antimicrobial resistance and enhancing food safety, directly fuels demand for feed yeast and its derivatives, recognized for their efficacy in promoting gut health and immunity without antibiotic reliance. Supporting this transition, according to the Alltech 2025 Agri-Food Outlook, in April 2025, global broiler feed production experienced a notable increase of 1.8% in 2024, reaching 385.415 million metric tons, indicating a strong performance in a sector highly impacted by the shift away from AGPs and toward alternative feed additives.

Concurrently, the increasing global demand for animal protein and derived products presents a fundamental market accelerator. A burgeoning global population, coupled with rising disposable incomes in emerging economies, drives a sustained need for meat, dairy, and aquaculture products. This expanding demand necessitates efficient animal production systems that prioritize animal health and feed conversion, areas where feed yeast offers demonstrable benefits. For instance, according to the Food and Agriculture Organization (FAO), in June 2024, global poultry production was projected to increase by 0.8% to 146 million tons in 2024, reflecting the ongoing expansion in a major animal protein segment where feed yeast is crucial for optimizing growth and health. Overall, the broader animal protein sector underscores robust market conditions, with the USDA Livestock and Poultry Outlook reporting in February 2025 that total red meat and poultry production in 2024 increased nearly 1 percent, reaching 107.6 billion pounds.

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Key Market Challenges

The inherent volatility in the prices of essential raw materials, particularly molasses and grains, represents a significant impediment to the growth of the global feed yeast market. Fluctuations in these commodity prices directly impact production costs for feed yeast manufacturers, making it challenging to maintain stable profit margins and competitive pricing. Unpredictable input costs hinder long-term planning and investment in production capacity expansion. This instability can necessitate higher selling prices for feed yeast, potentially reducing its adoption by animal feed producers who are themselves operating within tight financial constraints.

Such raw material price volatility is exacerbated by production challenges. According to the International Grains Council (IGC), the global grain output for the 2024/25 season is forecast at 2,311 million tonnes, reflecting a 4-million-tonne reduction from earlier projections, primarily due to downgraded forecasts for barley and wheat. These reductions in key feed ingredients exacerbate price pressures and supply inconsistencies, directly hampering the ability of feed yeast manufacturers to reliably supply the market at predictable costs.

Key Market Trends

Two significant trends currently shaping the global feed yeast market are advancements in yeast strain development and production technologies, and the integration of yeast in precision animal nutrition systems. These trends reflect the industry's focus on innovation and efficiency beyond basic nutritional supplementation.

Advancements in yeast strain development and production technologies are driving the market by enhancing the efficacy and application scope of yeast-based feed solutions. Continuous research and development efforts are yielding novel yeast strains with improved functional properties, such as enhanced gut microbiota modulation, increased nutrient bioavailability, and improved resistance to processing conditions. According to the American Feed Industry Association (AFIA), in September 2025, the U.S. animal food industry had an economic impact of US$267.1 billion in 2024, demonstrating the significant scale of the sector that drives continuous innovation. This technological progression allows for the creation of more targeted and potent feed yeast products, addressing specific animal health and performance challenges. For instance, according to IFF, in June 2024, the company received EU-wide regulatory approval for Syncra® AVI, an enzyme-probiotic complex designed to optimize gut health and maximize performance in poultry production, demonstrating continued innovation in microbial-based feed solutions. These advancements ensure that feed yeast remains a competitive and effective ingredient in modern animal agriculture.

The integration of yeast in precision animal nutrition systems represents a crucial trend, moving towards data-driven and individualized feeding strategies. This approach leverages advanced technologies to tailor nutrient delivery, including yeast and its derivatives, to the specific physiological needs of individual animals or groups. Precision nutrition optimizes feed efficiency, reduces waste, and enhances animal health outcomes by responding to real-time data on animal performance, health status, and environmental conditions. According to the American Feed Industry Association (AFIA), in November 2024, its Equipment Manufacturers Conference focused on "Feed Industry 4.0 – Leveraging Emerging Technologies," highlighting the industry's drive towards adopting advanced technologies for improved productivity and efficiency in animal food production. This enables more precise dosing of functional ingredients like yeast, maximizing their benefits while minimizing input costs. A notable example includes Cargill, which, in March 2025, showcased Galleon™, an intelligent platform powered by artificial intelligence, at VIV Asia 2025, designed to analyze animal gut microbiomes and tailor feeding strategies to optimize nutrition and meet specific animal needs. This integration signifies a shift toward highly optimized, sustainable, and responsive animal feeding practices.

Segmental Insights

The "Yeast Derivatives" segment is experiencing rapid growth within the Global Feed Yeast Market due to its multifaceted benefits in animal nutrition and health. These derivatives offer essential functional properties, significantly enhancing gut health, improving nutrient absorption, and bolstering the immune systems of various livestock. This growth is substantially driven by the global imperative to reduce antibiotic use in animal feed, with regulatory bodies increasingly restricting antibiotic growth promoters. Consequently, yeast derivatives serve as effective, natural alternatives, promoting animal performance and disease resistance. Their versatile application across poultry, swine, and aquaculture further underscores their expanding market presence.

Regional Insights

Europe stands as a dominant region within the global feed yeast market, primarily driven by its stringent regulatory frameworks, which actively promote sustainable animal farming and significantly reduce antibiotic usage in livestock. This emphasis compels the animal nutrition industry towards natural, high-quality feed additives like yeast, which enhance animal health and productivity. The region's well-developed and intensive livestock sector, particularly in poultry and ruminants, further fuels the demand for advanced nutritional solutions. Moreover, sustained investments in fermentation technology and the strong presence of major feed yeast manufacturers contribute to continuous product innovation and market leadership in Europe.

Recent Developments

• In November 2025, Angel Yeast officially commenced operations at its high-altitude probiotic production facility in China, a significant development for biotechnology in western China. This plant, managed by its subsidiary Xizang Angel Zhufeng Biotechnology Co., Ltd., began operations in June 2025 and had already completed its initial shipment of probiotic powders. The facility specializes in developing and cultivating plateau-specific microbial strains, which are integrated into various products, including microecological feed additives. This initiative reflects Angel Yeast’s long-term strategy to advance microbial fermentation technologies, serving both human and animal nutrition markets with innovative probiotic ingredients.

• In June 2025, Lesaffre, a global fermentation specialist, finalized a strategic joint venture by acquiring a 70% stake in Biorigin, a business unit of the Brazilian agri-industrial multinational Zilor. This collaboration aimed to enhance natural yeast-derived solutions for both food and feed industries worldwide. The partnership merged the complementary strengths of Lesaffre's business unit, Biospringer by Lesaffre, and Biorigin, intending to deliver advanced savory ingredients and nutritional solutions supported by a sustainable, vertically integrated supply chain. The agreement, initially announced in October 2024, sought to accelerate the provision of customer-centric solutions in global markets.

• In March 2025, Japan-based Asahi Group Foods announced its acquisition of Leiber GmbH, a German producer of sustainable brewer's yeast products primarily for the animal nutrition industry. The acquisition, with plans to obtain 100% of Leiber's shares by the end of April 2025, marked a significant expansion for Asahi Group Foods into the European yeast business. Leiber, established in 1954, specializes in yeast-based offerings for various sectors, including animal feed. This strategic move aimed to integrate Asahi Group Foods' advanced yeast cultivation technology with Leiber's processing expertise in yeast extract and yeast cell walls, addressing global challenges in food and protein supply.

• In November 2024, Ohly, a German supplier of yeast derivatives, introduced a new range of yeast-based bionutrients, expanding its X-SEED portfolio. These bionutrients were developed for fermentation processes used in various alternative protein applications, functioning as nitrogen sources to achieve high yields and productivity. The company highlighted that these products contain a balanced source of complex nutrients, including amino acids, peptides, vitamins, minerals, growth factors, and nucleotides. Ohly also noted its OHLY-GO line, a yeast-based specialty range with solutions specifically designed for feed products, indicating the direct relevance of its yeast expertise to the global feed yeast market.

Key Market Players

• Alltech, Inc.
• Archer Daniels Midland Co.
• Associated British Foods plc
• Cargill Inc.
• DSM Nutritional Products AG
• Innov Ad NV/SA
• Kemin Industries, Inc.
• Lallemand Inc.
• Novus International, Inc.
• Phibro Animal Health Corporation

Report Scope:

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

• Feed Yeast Market, By Type:

o   Live Yeast

o   Spent Yeast

o   Yeast Derivatives

o   Others

• Feed Yeast Market, By Form:

o   Powder

o   Liquids

o   Others

• Feed Yeast Market, By Livestock:

o   Ruminants

o   Poultry

o   Swine

o   Others

• Feed Yeast Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia Pacific

§  China

§  India

§  Japan

§  Australia

§  South Korea

o   South America

§  Brazil

§  Argentina

§  Colombia

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

Competitive Landscape

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

Available Customizations:

Global Feed Yeast Market report with the given market data, TechSci Research 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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