Brewers Yeast Market Size, Share & Industry Analysis, By Form (Dry and Liquid), By Application (Functional Food & Beverages, Dietary Supplements, Animal Feed, Pharmaceuticals, and Cosmetics), By Distribution Channel (B2B and B2C), and Regional Forecast, 2025-2032

The global brewers yeast market size was valued at USD 6,131.89 million in 2024. The market is projected to grow from USD 6,617.70 million in 2025 to USD 11,735.74 million by 2032, exhibiting a CAGR of 8.53% during the forecast period. The Europe dominated global market with a share of 32.49% in 2024.

Brewer’s yeast (Saccharomyces cerevisiae) is a by-product obtained from the beer brewing process. It is a rich source of protein, B-vitamins (B1, B2, B3, B5, B6, B9, and B12), minerals such as selenium and chromium, and β-glucans. The extract is widely utilized in brewing, animal feed, dietary supplements, and functional foods owing to its nutritional value, fermentation ability, and health-promoting properties. The growing demand for natural protein sources, nutritional feed ingredients, and fermented functional beverages is driving the global market growth. Additionally, growing interest in vegan and plant-based diets, as well as innovations in fermentation biotechnology, further accelerate demand.

Some of the major market players include Lallemand Inc., Lesaffre Group, Angel Yeast Co., Ltd., Kerry Group plc., and Novozymes A/S, among others. These companies focus on product innovation, advancements in bio-fermentation processes, and global expansion to strengthen their competitive edge in the market.

MARKET DYNAMICS

Market Drivers

Expanding Brewing Industry and Craft Beer Culture to Drive Market Growth

The surge in craft and specialty beers, where yeast strain selection defines unique flavor profiles, has led to a rising demand for specialty yeasts. Craft beer culture emphasizes flavor innovation, novel yeast strains (e.g., for sour beers, ales, specialty lagers, and barrel-aged beers), and small-batch production. This leads breweries to source specialized yeast varieties, increasing demand for yeast suppliers. Moreover, an increasing number of craft breweries and microbreweries globally are expanding their production capacity. These smaller-sized, innovative brewers attract niche markets focused on quality, locality, and unique brewing processes.

• According to the Brewers Association, the total number of the U.S. breweries grew to 9,906 in 2023, including small and independent "craft" breweries. This represented a 0.8% increase from the 9,824 breweries operating in 2022.

Market Restraints

Supply Chain Volatility and Limited Raw Material Availability to Impede Market Growth

The availability of brewer’s yeast biomass is majorly linked to the upstream brewing industry and the fermentation processes within it. Since brewer’s yeast is produced (or generated as a by-product) in the brewing of beer (and similar fermented beverages), any disruptions in brewing volume, raw-material supply, or logistics will cascade downstream and affect the supply of yeast biomass, yeast extracts, or specialized yeast strains. Moreover, the brewing process relies on key raw materials, including barley/malt, hops, and water. Shortages or disruptions in these areas can force breweries to reduce their output or adjust production schedules, which in turn affects their yeast supply.

• According to the Canadian Grain Commission, in 2021, a drought across the U.S. and Canadian northern plains reportedly reduced spring barley yields by about 37%, resulting in a low barley-malt supply.

Market Opportunities

Rising Use of Brewer’s Yeast as a Functional Nutritional Ingredient in Food to Drive Market Growth

The increasing use of brewers' yeast as a functional nutritional ingredient in both food and feed presents a significant opportunity for the brewers yeast market growth. Brewer’s yeast is valued for its rich content of proteins, B vitamins, minerals such as chromium, and functional components, including beta-glucans, which support immune health and digestive wellness. This nutritional and functional profile makes it increasingly popular in health-conscious food formulations, dietary supplements, and animal feed products that seek to promote gut health and immunity.

• According to the European Food Safety Authority, Beta-glucans from brewer’s yeast have been validated as safe functional food ingredients, further fueling their application in various functional food and dietary supplements.

Brewers Yeast Market Trends

Sustainable Production and Circular Economy Initiatives to Shape Industry

Sustainability in the yeast industry is advancing through innovative circular economy initiatives, particularly the upcycling of spent brewer’s yeast from breweries to create valuable extracts and feed ingredients. This approach significantly reduces waste and embodies industrial symbiosis, as highlighted in the EU Commission’s 2023 Bioeconomy Report. Leading yeast producers, such as Lesaffre and AB Mauri, exemplify this trend by investing in zero-waste fermentation facilities. Lesaffre is part of collaborative innovation programs aimed at sustainable fermentation processes that enhance nutrient recovery and reduce environmental footprints. These initiatives align strongly with Environmental, Social, and Governance (ESG) compliance goals, appealing to sustainability-focused consumers and supporting the bioeconomy’s circular and sustainable production objectives across the EU and globally.

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SEGMENTATION ANALYSIS

By Form

Largest Share of Dry Segment Driven by Ease Of Transportation and Longer Storage Life

Based on form, the market is segmented into dry and liquid.

The dry form dominated the global market in 2024, accounting for 89.36% share, and is projected to maintain its lead throughout the forecast period. The segment’s growth is primarily attributed to its higher shelf stability, ease of transportation, and longer storage life compared to liquid yeast. Additionally, dry brewers yeast offers consistent fermentation performance, making it ideal for industrial-scale brewing and feed manufacturing.

The liquid segment is projected to grow at a CAGR of 9.13% from 2025 to 2032 in the global brewers' yeast market.

By Application

Increasing Consumer Inclination Toward Health and Wellness to Lead Dietary Supplements Segment Growth

Based on the application, the market is segmented into functional food & beverages, dietary supplements, animal feed, pharmaceuticals, and cosmetics.

The dietary supplements segment held a significant share of 42.05% in 2024 and is expected to register the highest CAGR of 9.05% through 2032. Increasing consumer inclination toward immunity enhancement, gut health, and nutrient-rich supplementation is driving the segment’s growth. Brewer’s yeast, a natural probiotic source, contains chromium and B-complex vitamins that help regulate blood sugar and support metabolism.

The functional food & beverages segment is expected to grow significantly at a CAGR of 8.60% during the global brewers yeast market forecast period.

By Distribution Channel

High Industrial Demand from End-Use Sectors Fuels B2B Segment Market Leadership

Based on the distribution channel, the market is segmented into B2B and B2C.

The B2B channel dominated the global market, with 79.85% share in 2024, due to the widespread use of brewer’s yeast by food, beverage, feed, and pharmaceutical manufacturers. Large-scale procurement and bulk supply contracts enhance the B2B segment’s value in the global brewers yeast market share.

However, the B2C segment is anticipated to expand at a CAGR of 9.31%, the highest across channels, driven by e-commerce and growing consumer preference for home-brewing and direct nutritional supplement purchases.

Brewers Yeast Market Regional Outlook

Regionally, the report covers the global market analysis across North America, Europe, Asia Pacific, South America, and the Middle East & Africa.

Europe

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Europe dominated the global brewers market and accounted for USD 1,992.03 million in 2024, projected to reach USD 3,623.35 million by 2032, at a CAGR of 7.84%. The region benefits from well-established breweries in Germany, the U.K., and Belgium, as well as strong demand from the bakery, nutraceutical, and animal feed industries. The European Union’s focus on circular economy practices and sustainability supports yeast revalorization initiatives, transforming brewing by-products into high-value ingredients. This regulatory backing, coupled with technological advancement in yeast extraction and processing, positions Europe as a mature yet expanding market.

North America

In North America, the market stood at USD 1,359.93 million in 2024 and is expected to grow to reach USD 2,677.32 million by 2032, registering a strong regional CAGR of 8.91%. The strong presence of the craft beer industry in the U.S. and Canada continues to drive the steady availability and utilization of brewer’s yeast. Furthermore, the increasing adoption of yeast as a nutritional supplement rich in B vitamins and protein, along with rising demand from the pet food and biopharmaceutical sectors, underpins market expansion.

Asia Pacific

The Asia Pacific brewer’s yeast market, valued at USD 1,774.67 million in 2024, is anticipated to surge to USD 3,581.15 million by 2032, marking the fastest growth rate globally at 9.25% CAGR. The rapid expansion of the craft beer sector, rising disposable incomes, and a growing preference for fermented and functional foods are major factors propelling demand. Countries such as China, Japan, and India are witnessing robust expansions in yeast production capacity, while partnerships between local breweries and feed manufacturers are enhancing supply-chain efficiency.

South America

In South America, the market is projected to expand from USD 673.59 million in 2024 to USD 1,271.65 million by 2032, at a CAGR of 8.34%. Growth in this region is primarily driven by Brazil’s large beer production base, as well as the rising demand for livestock feed and nutritional supplements. The growing number of microbreweries and the increasing adoption of sustainable agricultural practices have encouraged the re-use of yeast as a natural additive, thereby enhancing the regional market outlook.

Middle East & Africa

The Middle East & Africa market stood at USD 331.67 million in 2024 and is forecast to reach USD 582.27 million by 2032, expanding at a CAGR of 7.36%. Market growth is supported by the rising demand for yeast-based feed ingredients and bakery applications, particularly in the GCC countries. South Africa and the UAE are emerging as important markets due to the gradual rise of craft brewing culture and increasing imports of yeast-based supplements.

COMPETITIVE LANDSCAPE

Key Industry Players

Strong Focus on Product Innovations and Strategic Partnerships by Major Players to Expand Market Growth

Major players are focusing on product innovation, bio-fermentation technologies, and strategic partnerships to expand their footprint. Leading market players, such as Lesaffre, ADM, and Lallemand, emphasize R&D-driven innovation in yeast strains to achieve improved fermentation performance, enhanced flavor profiles, and increased nutrient density. They are expanding into emerging Asian and Latin American markets through capacity expansion and collaborations. Additionally, companies such as AB Mauri and Angel Yeast focus on sustainable production and value addition through downstream yeast extract recovery and the diversification of functional ingredients.

Key Players in the Brewers Yeast Market

List of Key Brewers Yeast Companies Profiled

• Lesaffre Group (France)
• Lallemand Inc. (Canada)
• White Labs Inc. (U.S.)
• Angel Yeast Co., Ltd. (China)
• Bioven Ingredients (India)
• Kerry Group plc (Ireland)
• Novozymes A/S (Denmark)
• Archer-Daniels-Midland Company (U.S.)
• Wyeast Laboratories Inc. (U.S.)
• Associated British Foods plc (U.K.)

KEY INDUSTRY DEVELOPMENTS

• March 2025: Asahi Group Foods, a subsidiary of Asahi Group Holdings, signed an agreement to acquire 100% of Leiber GmbH, a German brewer’s yeast product manufacturer. This acquisition establishes a strong foundation for Asahi's yeast business in Europe, enabling it to combine its advanced yeast cultivation technology, developed in Japan, with Leiber’s expertise in processing yeast extract and yeast cell walls.
• November 2024: ProteinDistillery, a German startup, opened a new protein factory located in Heilbronn, Germany, at Unilever’s Knorr Campus. The factory would produce 200 tons of Prew:tein, an innovative protein ingredient derived from brewer’s yeast, a byproduct of beer production. Brewer’s yeast, often considered a waste stream from beer brewing, is upcycled by ProteinDistillery using fermentation technology.
• June 2024: Aplicaciones Biológicas a la Nutrición S.L., a Spanish company, and Leiber formed a strategic partnership to strengthen and expand their brewers' yeast product offerings in the European market, focusing on innovation and sustainability for both food and animal nutrition sectors.
• September 2023: Leiber, a German manufacturer specializing in processing brewers' yeast into animal nutrition, biotechnology, and nutraceutical products, invested up to USD 20 million to establish its first U.S. operation in Rockingham County, Virginia.
• April 2021: Chicago-based Omega Yeast, recognized as the largest supplier of brewer’s yeast in the U.S., has recently moved to a new 13,800-square-foot production facility after outgrowing its previous space. The move supports Omega Yeast’s continued growth and innovation in the craft brewing sector, with its state-of-the-art facility now housing research, development, and production operations.

REPORT COVERAGE

The global market report analyzes the market in depth and highlights crucial aspects such as global market trends, market dynamics, prominent companies, investment in research and development, and end-use. Besides this, the report also provides insights into the global brewers yeast market analysis and highlights significant processing industry developments.

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Report Scope & Segmentation