Global Organic Yeast Market Gaining Momentum—Projected to Reach worth USD 930.0 Million in 2027
Published | May 2021
A study recently conducted by the strategic consulting and market research firm, BlueWeave Consulting, revealed that the global organic yeast market was worth USD 425.1 million in 2020 and is further projected to reach USD 930.0 million by 2027, at a CAGR of 11.6% during the forecast period (2021-2027). The market is being driven by public awareness of the benefits of food items produced using organic yeast. The rising need to replace harmful additives like MSG (Mono Sodium Glutamate), and the high growth rates of the food and beverages industry are also driving the global organic yeast market. Moreover, rising disposable incomes and enhanced standards among the population are also acting as market drivers. Additionally. the organic yeast market is being driven by a growth in demand for ready-to-eat packaged food items as well as home-cooked foods that require flour and flour-related products.
Increasing Public Awareness of Organic Food and Beverages Driving Market Growth
Consumer goods, food additives, active foods and beverages, integrated foods, canned food, baked goods, baby food, animal feed, cold drinks, alcoholic beverages, energy drinks, etc. are the major components of the global food and beverage (F&B) industry. The rising prevalence of food-related diseases has driven consumers to make important dietary and lifestyle changes. As a result of increased health concerns among customers, the F&B business has been witnessing a surge in demand for organic foods and health supplements. Organic yeast production is ecologically friendly since it does not require strong acids and bases like ammonia, synthetic vitamins, sodium hydroxide, or anti-forming agents that are required in conventional yeast production. Since the food items produced by organic yeast are natural and don’t contain synthetic additives, health-conscious people are shifting their food preferences to the organic food segment, thereby driving the organic yeast market forward.
Increased Awareness for Health and Fitness Propelling the Market Forward
The global organic yeast market is expected to grow with the rising awareness regarding health and fitness. To eliminate alarming health-related issues, people have started to replace conventional food items with food items produced through organic yeast. It has been observed that, with the advice of nutritionists, the elderly population has begun to focus on organic yeast-based goods and health supplements to improve their health and increase their life span.
Furthermore, when synthetic chemicals are used, various harmful effects such as obesity, renal toxicity, and hepatotoxicity are observed. Thus, in order to eliminate such adverse effects, organic yeast derivatives are used to enhance flavors, among other things. MSG (Monosodium Glutamate), for example, is an additive used to infuse “umami” flavor into food, give palatability, and enhance the taste of other active ingredients. However, due to its harmful effects on the kidney and liver, MSG is being replaced by organic yeast extracts.
Yeast extract contains glutamates, which are amino acid derivatives found naturally in a variety of foods. Yeast is fed on natural nutrients media to fulfill nitrogen requirements, as opposed to inorganic yeast, which uses ammonia as a source of nitrogen. Organic yeast extracts are much healthier when compared to inorganic yeast extracts due to which a great surge in demand for organic yeast derivatives have been recorded worldwide. This factor is also contributing to the growth of the organic yeast market worldwide.
Global Organic Yeast Market: By Species
Based on species, the global organic yeast market is divided into saccharomyces, torulaspora, candida, kluyveromyces. The saccharomyces segment holds the largest market share and is likely to retain its dominance even during the forecast period. Saccharomyces, also known as brewer's / baker's yeast, is a fungus that has a wide variety of species. This variety is very important in the food and beverage industry as it helps in the production of a variety of foods like flour and related products, beverages, organic supplements, wine, bakery products, etc. It is also used as a seasoning to improve the taste of a variety of snacks and food products. Furthermore, it is also used as a supplement to improve the shelf life and flavor of animal foods, thereby resulting in the expansion of the global organic yeast market.
Impact of COVID-19 on the Global Organic Yeast Market
The pandemic caused by COVID-19 has impacted all industries. Following the declaration of COVID-19 as a pandemic, governments of different countries around the world advocated stringent public health measures to halt the spread of the deadly virus. However, the global organic yeast market has observed a sudden surge in the sale of its product due to the panic-based stocking behavior of consumers to store large quantities of food supplies in fear of lockdowns and nationwide curfews. Moreover, the idea of enhancing immunity by eating natural food items produced by organic yeast has positively impacted the market. It was also observed that a strong preference for home-cooked food had developed over time. The use of healthy flour and related products had also increased, causing the global organic yeast market to grow amid the pandemic.
Europe Leads the Global Organic Yeast Market
Out of all the continents, Europe dominates the global organic yeast industry. Advanced infrastructure and innovative technologies available for fermenting huge amounts of food items are contributing to the growth of the European organic yeast market. Furthermore, an integrated food and beverage supply system via supermarkets, as well as greater awareness for health and fitness through the use of organic food in Europe, are boosting the industry.
Furthermore, the Asia Pacific organic yeast industry is also catching up as a result of higher disposable income and greater awareness of nutrient requirements in the daily diet. Also, the dependency of the elderly population on organic health supplements intake to maintain their healthy lifestyle has increased the demand for protein-rich nutritional food items.
Global Organic Yeast Market Competitive Landscape
The organic yeast market is highly fragmented with several key players. The leading market players have been investing in unleashing technologies and innovations to generate high yields of organic yeast extracts by introducing novel equipment and energy-efficient mixers and blenders. Furthermore, several firms are adding a new range of organic products to their portfolios in order to attract a wider variety of clients. Some of the key players in the global organic yeast market include Koninklijke DSM N.V, Lallemand, Biospringer, Leiber GmbH, Ohly, Levapan, Biorigin, Agrano Gmbh & Co. KG, Red Star Yeast Company, Angel Yeast Co. Ltd, Solgar Inc., Imperial Yeast, and other prominent players.
The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of the global organic yeast market. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends in the global organic yeast market, along with industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyzes the growth drivers, challenges, and competitive dynamics of the market.
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