Specialty Malt Market By Type (Roasted, Crystal, Dark, and Others), By Source (Rye, Barley, Wheat, and Others), By Application (Brewing, Distilling, Non-Alcoholic Malt Beverages, Baking, and Others), By Region, By Competition Forecast & Opportunities, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 3.99 Billion
CAGR (2026-2031)	6.71%
Fastest Growing Segment	Crystal
Largest Market	Europe
Market Size (2031)	USD 5.89 Billion

Market Overview

The Global Specialty Malt Market will grow from USD 3.99 Billion in 2025 to USD 5.89 Billion by 2031 at a 6.71% CAGR. Specialty malt is defined as processed grain, typically barley, that undergoes specific kilning or roasting techniques to modify enzymatic activity and develop unique sensory attributes like distinct colors and rich flavors. The primary drivers supporting market growth include the structural expansion of the craft brewing sector which necessitates diverse ingredient profiles and the rising utilization of natural malt extracts in the food industry for clean labeling purposes. According to 'Euromalt', in '2024', 'total EU malting capacity reached 10,237,085 tonnes'. This figure highlights the robust industrial investment occurring to meet the sustained demand requirements across these key application sectors.

Despite these positive trajectory indicators, the market faces a significant challenge regarding the volatility of raw material supply caused by unpredictable climatic conditions. Extreme weather events frequently impact the quality and yield of malting barley, leading to price fluctuations and supply chain instability that can elevate production costs and impede the steady expansion of the market.

Key Market Drivers

The proliferation of the global craft brewing industry serves as a primary catalyst for the specialty malt sector, fundamentally reshaping ingredient procurement strategies. Unlike traditional mass-market lagers, craft formulations rely heavily on specialty malts—such as crystal, roasted, and dark malts—to achieve distinct flavor profiles, colors, and mouthfeel. This segment's reliance on diverse grain bills creates a sustained volume requirement for maltsters who must innovate to meet specific artisanal specifications. According to the Brewers Association, April 2025, in the 'Annual Craft Brewing Industry Production Report', United States craft brewers alone produced 23.1 million barrels of beer in 2024, underscoring the substantial scale of this ingredient-intensive market segment.

Simultaneously, the escalating demand for premium and artisanal beverages, particularly within the distilled spirits category, significantly amplifies market value. Premium whisky production necessitates high-quality specialty malts to ensure enzymatic efficiency and flavor consistency during fermentation, directly linking spirit sales performance to malt consumption. According to the Scotch Whisky Association, February 2025, in the 'Global Export Figures 2024', the value of Scotch Whisky exports stood at £5.4 billion in 2024, reflecting the resilient global appetite for malt-based spirits. Highlighting the financial magnitude of key supply chain entities catering to this demand, according to Simpsons Malt Limited, in 2025, the company reported a turnover of £264.1 million for the fiscal year ending in 2024, demonstrating the robust economic activity within the specialty malt processing landscape.

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Key Market Challenges

The volatility of raw material supply caused by unpredictable climatic conditions constitutes a significant impediment to the growth of the Global Specialty Malt Market. Malting barley is uniquely sensitive to environmental changes, meaning that extreme weather events such as excessive rainfall or drought can severely degrade crop quality and yield. When the precise enzymatic levels and sensory attributes required for specialty malt are compromised, manufacturers encounter substantial supply chain instability. This unpredictability leads to escalated raw material costs and operational inefficiencies, which ultimately reduces profit margins and discourages long-term investment in capacity expansion.

This impact is highlighted by recent statistics showing supply contractions in key regions. According to 'COCERAL', in '2024', 'the barley production forecast for the EU-27 and UK region was adjusted downward to 57.6 million tonnes due to unfavorable weather conditions'. Such a reduction in the availability of suitable brewing grains limits the industry's ability to consistently meet the rising demand from the craft brewing and natural food ingredient sectors. Consequently, the inability to secure a stable input supply directly hampers the market's potential for sustained revenue growth.

Key Market Trends

The Integration into Non-Alcoholic and Low-Alcohol Beverage Formulations represents a transformative trend in the specialty malt sector, distinct from traditional craft brewing growth. As brewers remove alcohol, they lose significant body and mouthfeel, necessitating the use of specific specialty malts—such as high-dextrin or crystal malts—to restore viscosity, foam stability, and flavor complexity without fermentation. This technical requirement has shifted maltsters' focus toward developing grain specifications explicitly optimized for low-attenuation brewing processes. The market impact of this segment is substantial, as major global brewers aggressively expand their alcohol-free portfolios to meet shifting consumer lifestyle choices. According to Heineken N.V., February 2025, in the 'Full Year 2024 Results', the sales volume of the company's flagship non-alcoholic beer, Heineken 0.0, grew by 10%, reflecting the increasing industrial reliance on high-quality ingredients to support this rapidly expanding category.

Simultaneously, the Implementation of Sustainable and Regenerative Malting Practices has emerged as a critical response to the environmental pressures facing raw material procurement. Leading maltsters and downstream beverage companies are collaborating to transition barley cultivation toward regenerative agriculture, a method designed to sequester carbon and improve soil health, thereby securing long-term supply resilience against climate volatility. This trend moves beyond simple organic certification, focusing instead on quantifiable outcomes such as biodiversity restoration and emissions reduction within the supply chain. According to Carlsberg Marston's Brewing Company, June 2025, in the 'ESG Report 2024', the company successfully collaborated with UK farmers to produce 3,409 tonnes of regenerative barley during the year, demonstrating the tangible scale at which these sustainable sourcing models are being operationalized to future-proof the industry.

Segmental Insights

The Crystal segment has emerged as the fastest-growing category within the Global Specialty Malt Market, primarily driven by the relentless expansion of the craft brewing sector. Market analysis indicates that brewers increasingly rely on Crystal malts to deliver distinct caramel flavors, rich amber hues, and improved foam retention, which are critical for differentiating premium ale formulations. This segment’s rapid trajectory is further sustained by the rising consumer preference for bespoke, full-bodied beverages. Additionally, Crystal malts are gaining traction in non-alcoholic beer production, where they provide essential texture and mouthfeel to compensate for the absence of alcohol.

Regional Insights

Europe maintains a dominant position in the global specialty malt market due to its extensive history of brewing and distilling operations. The region benefits from a high concentration of craft breweries that require diverse malt varieties to achieve specific flavor profiles and product differentiation. This consistent demand is supported by a well-established agricultural infrastructure and the presence of major malt manufacturers. Furthermore, industry associations such as Euromalt strengthen the sector by ensuring regulatory compliance and representing the interests of European producers. These factors collectively ensure Europe remains the primary hub for specialty malt production.

Recent Developments

• In October 2024, Viking Malt announced a strategic collaboration with the Swedish technology company Improvin' during its Annual Farmers Conference in Poland. This partnership involved the introduction of a new artificial intelligence-based sustainability platform designed to measure and reduce the carbon footprint of malting barley. The digital tool was developed to provide precise, field-level data, empowering farmers to monitor their environmental impact and implement activities that promote biodiversity. This initiative highlighted the company's commitment to supply chain transparency and its broader goal of reducing greenhouse gas emissions through the adoption of regenerative agricultural practices.
• In June 2024, Briess Malt & Ingredients announced the introduction of two new products to its specialty malt portfolio, identified as Heritage Gold and Crystal Red. This product launch was highlighted during a community celebration where the company was recognized for its longstanding contribution to the industry. Heritage Gold was described as a flavorful base malt, while Crystal Red was characterized as a highly caramelized specialty malt designed to add specific red and golden hues to beer. These innovative additions aimed to provide craft brewers with high-quality ingredients to enhance both the flavor and visual appeal of their beverages.
• In April 2024, Muntons partnered with Northern Monk and Toast Brewing to launch a new low-carbon beer titled "One for the Earth" in celebration of Earth Day. This collaborative product was brewed using regenerative barley supplied by the maltster alongside surplus fresh bread, demonstrating a commitment to circular economy principles. The project utilized malt sourced from a single farm employing regenerative agriculture techniques designed to improve soil quality and biodiversity. This initiative underscored the companies' shared dedication to environmental sustainability and innovation within the supply chain, providing a tangible example of eco-friendly practices in the brewing industry.
• In January 2024, Crisp Malt initiated a transatlantic collaboration with Admiral Maltings by shipping a container of heritage Haná barley to the United States. This partnership involved an exchange of barley varieties to be processed using traditional floor malting techniques at each company's respective facilities. The project aimed to explore the flavor profiles of historical landrace varieties when malted in different regions, connecting modern craft brewing with ancient malting traditions. The collaboration highlighted the companies' commitment to preserving heritage grains and artisanal production methods, offering brewers new insights into the sensory attributes of traditional malt products.

Key Market Players

• Muntons plc
• Rahr Corporation
• Crisp Malting
• Briess Malt & Ingredients
• Groupe Soufflet
• GroupCorp Limited
• Malteurop
• Simpsons Malt Limited
• Cargill Inc.
• Axereal

By Type	By Source	By Application	By Region
Roasted Crystal Dark Others	Rye Barley Wheat Others	Brewing Distilling Non-Alcoholic Malt Beverages Baking Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

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

• Specialty Malt Market, By Type:

• Roasted
• Crystal
• Dark
• Others

• Specialty Malt Market, By Source:

• Rye
• Barley
• Wheat
• Others

• Specialty Malt Market, By Application:

• Brewing
• Distilling
• Non-Alcoholic Malt Beverages
• Baking
• Others

• Specialty Malt 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