The brewing ingredients market is experiencing unprecedented growth, driven by a surge in demand for craft beer and low or zero-alcohol beverages. According to our latest report, the global market size reached USD 33,400 million in 2020 and is expected to grow at a CAGR of 6.8% from 2021 to 2028.
The rise of mobile marketing has played a significant role in this growth, as consumers increasingly turn to their smartphones to discover new beers and purchase them online or through mobile apps. In fact, the global craft beer market was valued at USD 76.3 billion in 2020 and is predicted to reach USD 174.68 billion by 2032, growing at a CAGR of 6.9% over the forecast period.
Other factors contributing to the growth of the brewing ingredients market include the increasing number of liquor stores, government initiatives to boost sales, and rapid urbanization. As consumers become more health-conscious, demand for low or zero-alcohol beers is also on the rise, driving further growth in the market.
However, high taxes on beer and other alcoholic beverages remain a significant challenge to the industry's growth. Despite this, the major players in the market, including Lallemand Inc., Viking Malt, Lesaffre, AngelYeast Co., Ltd., Cargill, Incorporated., Boortmalt, Maltexco S.A., Malteurop Groupe, Rahr Corporation, and Simpsons Malt, are well-positioned to capitalize on the trends driving growth.
When it comes to sources of brewing ingredients, malt extract is expected to be a major driver of growth over the forecast period. This is due to its ability to enhance the flavor of beer while containing less sugar than other types of brewing ingredients. The dry segment is also expected to grow rapidly, driven by the popularity of DMEs (Dry Malt Extracts) which offer enhanced fermentable extract and a longer shelf life.
In terms of region, Asia-Pacific is expected to hold the highest market share over the forecast period, driven by rapid urbanization, increasing sales of macro breweries and craft breweries, and government initiatives to promote the consumption of alcohol. Key developments in the region include the launch of green manufacturing projects and the reopening of malting facilities.
Our report also includes segmentation of the brewing ingredients market by source, form, brewery size, and region, providing a comprehensive overview of the industry's growth prospects.
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