Dry Yeast Market Report

Bioethanol has gained popularity in recent years for its role in substituting crude oil and lowering pollution. Compared to alcohol yeast, New Aule baker's instant dry yeast produces more bioethanol when it grows on agricultural food waste. This dry yeast industry has been pushed by the growing need to develop sustainable and environmentally friendly energy sources. Dry yeast enhances the fragrance of beer and wine while also stabilising its colour. In addition, dried yeast is commonly used in the preservation of packaged foods and non-alcoholic drinks. The dry yeast market is witnessing significant growth in the food and beverage sector and the pharmaceutical industry due to its additive and fermenting capabilities, as well as its application in medicinal research. Instant yeast is in high demand in the pharmaceutical business due to its application in the manufacturing of medications such as insulin and hepatitis B vaccine. It will have a harmful effect on the human body if used incorrectly or consumed directly, creating a significant limitation on the dry east market.

Bread is staple food and it is consumed all around the worlds accounting for 80% of population. There is rise in trend for consumption of artisanal bakery products such as bread, baguettes, pastries, buns and rolls that demand for dry yeast as it improves all over organoleptic properties of bakery product. Such factors led to development and launch of dry yeast by key players. For instance, in September 2022, Angel Yeast, a global yeast and biotech company announced the latest dry yeast product namely, Premium Dry Yeast to overcome many baking challenges at Bakery China 2022.

The majority of leftover yeast during the brewing process is not recovered and is considered waste. This is due to manufacturers in underdeveloped countries lack of awareness of the benefits of using inactive dry yeast in animal feed. Dry yeast is being added to livestock feed to boost animal immunity and enhance overall health. However, high yeast derivative prices have stifled its growth in the economic feed and pet food industries. However, stringent federal laws for yeast and yeast derivative products are anticipated to limit yeast use.

The quality of dry yeast is affected by quality of raw materials such as molasses, sugar which contribute to nutritional availability and fluctuations of fermentation conditions such as temperature, pH and oxygen levels that influences yeast metabolism. Genetic mutation and microbial contamination of yeast during manufacturing process can lead to variation in strain characteristics and low product quality. Such factors hamper the market growth. For this reason, manufacturers must follow quality control measures and consistent supply of high-quality raw material.

Clean labelling means the disclosure of ingredients and their origins for consumers via product labels. This assures the safety of food goods as well as the health of consumers. Consumers also expect a high level of transparency, especially when it comes to the products they buy and where they originate from. This is due to a global surge in health consciousness and regulatory standards for food safety and quality are becoming more stringent. Dried yeast products are also in great demand since they are free of preservatives and additives.

Growing technological advancements allow the innovation of dry yeast in order to improve overall quality of bread. Such factors led to collaboration among market players to develop and innovate new yeast strains. For instance, in July 2024, AB Biotek, a global business division of AB Mauri declared the partnership with Lachancea LLC to expand its dry yeast portfolio for industrial and craft brewers by isolating new yeast strain Lachancea thermotolerans from a wasp under the premium Pinnacle brand. Innovations are aimed to extend the shelf life of dry yeast that ensures better performance.

In terms of dry yeast market share, Europe and North America are anticipated to be the major regions throughout the forecast period. Dry yeast is mostly sold in France and Germany throughout Europe. For the past few years, the dry yeast for pet food applications market in the United States has represented the fastest growth rate in the pet food industry. In the European market, there is a high demand for ready meals, packaged food items and snacks, which supports the need for dry yeasts owing to their rising use in end products. Natural instant dry yeasts have gained popularity in the European market as consumers become more aware of the negative impacts of artificial colours. Consumers in Europe, especially millennials, prefer clean labels and transparency over other promises. According to a survey performed by Kerry, a prominent ingredients manufacturer, 53% of consumers who check food labels and are aware of clean labels are willing to pay more for clean label goods, and 90% would be happy to pay more for clean label items.