Yeast Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Type (Baker’s Yeast, Bioethanol Yeast, Brewer’s Yeast, Wine Yeast, Feed Yeast and Others), By Application (Food (Bakery, Non- Alcoholic Beverages, Alcoholic Beverages), Feed and Others), By Form (Instant Yeast, Dry Yeast, Fresh Yeast, Genetically Modified Yeast, and Others), By Region and Competition, 2020-2030F

Market Overview

The Global Yeast Market, valued at USD 4.90 Billion in 2024, is projected to experience a CAGR of 8.85% to reach USD 8.15 Billion by 2030. Yeast, a single-celled eukaryotic fungus, is primarily recognized for its indispensable role in various fermentation processes across diverse industries. The global yeast market's expansion is fundamentally supported by robust demand from the baking and brewing sectors, where it serves as a crucial leavening agent and fermenting organism. Additionally, increasing applications in bioethanol production, driven by the search for sustainable energy alternatives, and the growing consumer preference for natural, clean-label ingredients, including nutritional yeast for plant-based diets, significantly bolster market growth. The escalating need for healthy and safe feed products in the animal nutrition industry further contributes to the market's positive trajectory.

A significant challenge that could impede market expansion is the volatility of raw material prices, alongside stringent regulatory requirements pertaining to food safety and quality, which impose considerable operational complexities on manufacturers. Despite such hurdles, the market demonstrates resilience, with robust demand in key application areas. For instance, according to the U. S. Department of Agriculture, in 2023, retail sales of baked goods in the U. S. reached USD 86,641.3 million, highlighting a key segment's expansion directly influencing yeast demand.

Key Market Drivers

The expansion of the global bakery industry and the sustained demand within the alcoholic beverage sector are critically influencing the yeast market. The bakery industry, a cornerstone of global food consumption, continues to drive substantial demand for yeast as an essential leavening agent and flavor enhancer in various products. The widespread consumption of bread, pastries, and other baked goods globally ensures a consistent need for high-quality yeast. According to Benchmark International, in July 2024, the global bakery products market was valued at $536.4 billion in 2023, underscoring the significant scale of this sector. Concurrently, the alcoholic beverage sector, particularly the craft brewing segment, remains a robust driver for specialized yeast strains. Despite some market shifts, the demand for diverse and innovative beer products continues to support yeast utilization. According to the Brewers Association, in April 2025, the retail dollar value of beer from craft brewers in America grew 3% in 2024, reaching $28.9 billion, highlighting ongoing economic vitality in this segment through premiumization and evolving consumer preferences for unique flavors.

These two key drivers significantly underpin the broader trajectory of the global yeast market. The strong performance of major yeast suppliers reflects this sustained demand across their varied application segments. According to Associated British Foods, in November 2023, their ingredients business, which includes yeast and bakery ingredients supplier AB Mauri, saw sales rise by 18% to £2.2 billion for the 52 weeks ending September 16, 2023. This growth illustrates the robust commercial activity driven by fundamental industry requirements in both food production and fermentation processes.

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Key Market Challenges

The volatility of raw material prices presents a significant impediment to the growth of the global yeast market. Yeast production largely relies on agricultural commodities such as molasses and sugar, making manufacturers highly susceptible to price fluctuations in these inputs. Unpredictable shifts in the cost of these essential ingredients directly translate into increased operational expenditures and diminished profit margins for yeast producers. This instability complicates financial planning and makes it difficult for companies to maintain consistent pricing strategies for their products.

Such erratic raw material costs constrain manufacturers' ability to invest in new capacities, research and development, or market expansion initiatives, thereby directly hindering overall market growth. For instance, according to the Food and Agriculture Organization (FAO), the FAO Sugar Price Index for 2023 as a whole averaged 145 points, representing a 26.7 percent increase from 2022. These substantial price surges necessitate frequent adjustments to production budgets and pricing models, transferring financial risk across the supply chain and potentially influencing the final cost of yeast-dependent products in sectors like baking and brewing.

Key Market Trends

A significant shift in consumer behavior is evident through an increasing preference for clean label yeast ingredients. Consumers are actively seeking transparency and naturally derived components in their food, favoring products with recognizable and minimal ingredient lists. Yeast, perceived as natural and functional, effectively addresses this demand as a leavening agent, flavor enhancer, and nutritional component without artificial additives. This preference compels manufacturers to reformulate and highlight the natural origin of their yeast components. According to Ingredion's 2023 ATLAS study, 68% of consumers indicated they would pay more for products containing only recognizable ingredients, underscoring this trend's market impact. This emphasis expands yeast's appeal, fostering innovation in yeast extract and inactive yeast for clean label formulations.

Improving efficiency in bioethanol production stands as a critical technological and economic driver for the global yeast market within industrial fermentation. Global renewable energy objectives necessitate the optimization of ethanol yields from biomass, aiming for more competitive fuel sources. Innovations in yeast strain development and fermentation processes directly contribute to higher conversion rates of sugars into ethanol, consequently lowering production costs. The Renewable Fuels Association reported in February 2025 that U. S. ethanol production reached a record 16.22 billion gallons in 2024, reflecting the industry's scale. Companies like Lallemand Ethanol Technology have developed new yeast classes engineered to increase yield by up to 4 percent, demonstrating advancements in efficiency for bioethanol production. These improvements are crucial for scaling output to meet increasing energy demands sustainably, elevating the demand for high-performance industrial yeast strains.

Segmental Insights

The Global Yeast Market is experiencing significant expansion, with Baker's Yeast identified as the fastest-growing segment. This rapid growth is primarily attributed to the increasing global demand for diverse bakery products, including bread and pastries, fueled by evolving consumer preferences and urbanization. Furthermore, a surging interest in home baking, driven by consumers seeking healthier, natural, and artisanal food options, substantially propels the segment's expansion. Innovations in yeast fermentation technologies also contribute by enhancing product quality and efficiency for both commercial and domestic applications, aligning with the clean label movement.

Regional Insights

Europe holds a dominant position in the global yeast market, primarily due to its well-established bakery and brewing industries. The surging demand for bakery products, including bread, pastries, and specialty baked goods, significantly drives yeast consumption across the region. Furthermore, Europe is a major producer and consumer of alcoholic beverages, particularly beer and wine, where yeast is crucial for the fermentation process. The region also benefits from robust research and development activities, advanced manufacturing capabilities, and a strong focus on natural and organic food ingredients, which encourages the adoption of organic yeast products. Additionally, continuous improvements in yeast technology and manufacturing techniques ensure high standards of quality and innovation, further bolstering market growth.

Recent Developments

• In May 2025, Angel Yeast launched its innovative Feravor™ series, a new flavored yeast solution, at prominent exhibitions in Europe and Asia. This groundbreaking series, which includes Floral-Fruity and Butter variants, utilizes proprietary microbial fermentation technology to enhance flavor complexity and extend product freshness in baked goods. Designed to meet the growing demand for clean-label products, Feravor™ allows bakers to achieve natural flavor enhancement without artificial additives. This development represents Angel Yeast’s strategic focus on sustainable baking practices and advanced yeast solutions for the global bakery market.

• In August 2024, AB Mauri North America completed the acquisition of Omega Yeast Labs LLC, a prominent company in the craft brewing liquid yeast market within the United States. Omega Yeast, known for its innovation and diverse yeast strains for brewing, complements AB Mauri's AB Biotek division. This strategic acquisition is set to strengthen AB Mauri's specialty yeast business for craft beer in North America. The integration of Omega Yeast's portfolio, including liquid yeast solutions, expands AB Mauri's product lineup and its capability to serve the evolving needs of the global craft brewing segment.

• In June 2024, Lesaffre reinforced its presence in the savory ingredients sector by acquiring dsm-firmenich's yeast extract business. This transaction included the transfer of dsm-firmenich's market organization and expertise, allowing Lesaffre to produce these yeast extract products within its global manufacturing network. The agreement also established a technology partnership for continued innovation in yeast extract development. This acquisition by Lesaffre, a significant player in the Global Yeast Market, enhances its research and development capabilities and expands its offerings of high-quality natural origin solutions derived from yeast fermentation for various food applications.

• In February 2024, Lesaffre, a global entity in fermentation and microorganisms, inaugurated a new plant in Indonesia dedicated to the production of compressed and dry yeast. This facility, built on 9.8 hectares in Malang Regency, East Java, aims to strengthen the company's regional footprint and supply baking yeast to customers across Indonesia and other ASEAN countries. The new entity, PT Lesaffre Sari Nusa, operates as a partnership between Lesaffre and PT Citra Bonang. This expansion enhances manufacturing capabilities within the Global Yeast Market, creating over 200 local positions and integrating processes for co-product valorization into fertilizers and animal feed.

Key Market Players

• 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, in addition to the industry trends which have also been detailed below:

• Yeast Market, By Type:

o   Baker’s Yeast

o   Bioethanol Yeast

o   Brewer’s Yeast

o   Wine Yeast

o   Feed Yeast

o   Others

• Yeast Market, By Application:

o   Food

o   Feed

o   Others

• Yeast Market, By Form:

o   Instant Yeast

o   Dry Yeast

o   Fresh Yeast

o   Genetically Modified Yeast

o   Others

• 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 Yeast Market.

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Global 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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