The global yeast market is on a trajectory of significant expansion, projected to reach USD 8.5 billion by 2029, up from USD 5.5 billion in 2024, reflecting a CAGR of 8.9%.
This steady growth is being driven by increasing awareness of the health benefits of yeast ingredients, particularly across food, beverage, and feed applications. Yeast’s versatility — from bakery items and alcoholic beverages to pharmaceuticals and biofuels — positions it as a cornerstone in multiple industries worldwide.
Key Market Drivers
Expansion of the Global Bakery Industry
The bakery industry has witnessed substantial growth globally, driven by urbanization, convenience demand, and evolving consumer preferences. Yeast plays a vital role in bread-making as the key leavening agent responsible for texture and flavor.
In emerging economies, the demand for affordable and ready-to-eat food options such as packaged bread and pastries continues to soar. According to Agriculture Canada, bread sales in the US rose from USD 23.54 billion in 2018 to USD 30.02 billion in 2022, signaling strong consumer momentum.
This surge in bakery consumption directly translates into rising yeast demand, encouraging producers to expand capacity and optimize production efficiency to meet global needs. As bread remains a staple across regions, yeast suppliers are positioned to benefit from sustained bakery market growth.
Request Custom Data to Address your Specific Business Needs
Emerging Opportunities
Strategic Collaborations & Technological Partnerships
The yeast market is entering a phase of innovation led by strategic collaborations between manufacturers and application industries. Partnerships with food, beverage, and feed producers are enabling tailored solutions that address industry-specific challenges.
A standout example is the GENE-UP BREWPRO Yeast Slurry (YS), developed in October 2023 by bioMérieux and White Labs, which utilizes advanced PCR diagnostics to detect contaminants in yeast propagations, ensuring quality and consistency in fermentation.
These collaborations are transforming the yeast landscape — merging molecular diagnostics, precision fermentation, and bio-innovation to enhance product quality and safety.
Rising Demand in the Feed Sector
The feed segment is capturing a significant market share as livestock producers increasingly adopt yeast-based feed additives for their nutritional and performance benefits.
Companies like Phileo by Lesaffre (France) are leading the way with innovations such as Actisaf Sc 47 HR+ probiotic yeast, formulated to enhance gut health, nutrient absorption, and animal performance.
This trend reflects a broader agricultural shift toward sustainability and bio-based solutions, as yeast products help reduce antibiotic dependence and improve overall animal welfare.
Segment Outlook: Baker’s Yeast Leads the Market
The baker’s yeast segment is projected to dominate by type during the forecast period, thanks to its cost-effectiveness, versatility, and widespread applications across the food and feed industries.
In India, per capita bread consumption stands at 1.5 to 1.75 kg, according to the All India Bread Manufacturer’s Association (AIBMA). With growing urbanization and demand for fresh, artisanal, and packaged bakery products, baker’s yeast continues to see strong global uptake.
Technological advances in baking and the rising popularity of craft and artisan breads are further fueling this segment’s growth trajectory.
Regional Outlook: North America Leads with Strong Trade Activity
In North America, the United States dominates the yeast industry, bolstered by strong export and import activity.
- Exports: USD 147 million in 2022 — ranking as the world’s sixth-largest exporter.
- Imports: USD 439 million in 2022 — making the US the top importer globally.
Top export destinations include Canada, Mexico, and Japan, while emerging trade opportunities in Italy and Japan highlight expanding global reach.
This active trade landscape enhances the US’s position as a key yeast supplier and market influencer in the international arena.
Recent Industry Developments
- Leiber (Germany): In September 2022, the company invested in sustainability by constructing a biomass power plant in Engter, Lower Saxony, utilizing waste wood to generate heat and electricity for production.
- Alltech (US): In March 2021, launched Acutia, a subsidiary focused on human health supplements leveraging high-quality brewer’s yeast strains for optimized absorption and efficacy.
- AB Mauri (Netherlands): In March 2021, relocated its Global Technology Centre to Etten-Leur, Netherlands — establishing a global hub for bakery R&D, sensory analysis, and pilot-scale innovation.
Key Players in the Global Yeast Market
- ADM (US)
- Associated British Foods plc (UK)
- Alltech (US)
- AngelYeast Co. Ltd (China)
- Lallemand Inc. (Canada)
- ICC (Brazil)
- Leiber (Germany)
- Lesaffre (France)
Make an Inquiry to Address your Specific Business Needs
Frequently Asked Questions
- What is driving the growth of the global yeast market?
The yeast market is primarily driven by rising consumer awareness of the health benefits of yeast ingredients, the expansion of the global bakery and brewing industries, and growing applications in feed, pharmaceuticals, and biofuels. Technological advancements in fermentation and raw material utilization are also boosting production efficiency and market reach. - Which type of yeast holds the largest market share?
Baker’s yeast currently holds the largest market share due to its wide-ranging applications in bakery, food, and feed products. Its cost-effectiveness and ease of production make it the most commercially significant yeast type. - How is the bakery industry influencing yeast demand?
The rapid expansion of the bakery sector, especially in emerging economies, is a major growth driver. Increasing consumption of bread, pastries, and other baked goods has created a strong and steady demand for yeast as a key leavening agent. - What role does yeast play in animal feed?
Yeast-based feed additives enhance gut health, improve nutrient absorption, and support animal performance. With increasing focus on sustainable and antibiotic-free livestock production, yeast products are becoming essential in modern feed formulations. - Which regions are leading the yeast market?
North America, particularly the United States, leads the yeast market due to its strong export activity and technological innovations. Europe and Asia-Pacific also represent significant growth regions, driven by the expansion of bakery and beverage industries. - What are the latest innovations in the yeast industry?
Recent innovations include collaborations such as the GENE-UP BREWPRO Yeast Slurry for quality control in brewing, and advancements in probiotic yeast products for feed and health applications. Sustainability-focused investments, like Leiber’s biomass power plant, also mark a major trend in eco-friendly production. - Who are the key players in the global yeast market?
Major yeast companies include ADM (US), Associated British Foods plc (UK), Lesaffre (France), Lallemand Inc. (Canada), AngelYeast Co. Ltd (China), Alltech (US), ICC (Brazil), and Leiber (Germany). These players are focusing on capacity expansion, R&D, and strategic partnerships to strengthen their global presence. - What future trends are expected to shape the yeast market?
Future trends include growing demand for bio-based and clean-label products, increased adoption of yeast in nutraceuticals and pharmaceuticals, and the use of advanced biotechnological methods to enhance yield, efficiency, and sustainability in yeast production.