The size of the global nutritional yeast market reached a valuation of US$ 428.1 million in 2022. With a rising consumer inclination towards healthy food products, the overall nutritional yeast sales are slated to rise at a CAGR of 8.8% between 2022 and 2032, totaling around US$ 999.5 million by the end of 2032, says a report by Fact.MR.
Nutritional yeast is an inactivated yeast usually made from saccharomyces cerevisiae and is a rich source of plant-based proteins, minerals, and vitamins. It has become an ideal food additive used for improving the flavor and nutritional properties of food products.
Growing consumer inclination towards plant-based foods along with rising awareness about the health benefits of nutritional yeast is expected to boost the growth of the nutritional yeast market during the forecast period.
Nutritional yeast comes in both fortified and unfortified varieties and has gained immense traction in the food industry due to its fat-free, gluten-free, low calories, and sugar-free nature.
Various studies have indicated that nutritional yeast can offer several potential health benefits, ranging from lower cholesterol to protein from cellular damage. Thus, the increasing prevalence of various diseases and rising focus on health and fitness will push the demand for nutritional yeast during the forthcoming years.
Similarly, the rising adoption of nutritional yeast personal care and animal feed products will expand the global nutritional yeast market size during the assessment period.
Demand is particularly rising for organic nutritional yeast due to changing consumer preference for organic food products. Fact.MR predicts the organic nutritional yeast segment to exhibit strong growth during the forecast period.
Regionally, Europe will continue to dominate the global nutritional yeast market, accounting for a share of 35% in 2022. Demand in Europe’s nutritional yeast market is driven by rising consumer inclination towards vegan and plant-based foods, high levels of health awareness among European people, and increasing consumption of bakery and confectionery products.
Key takeaways:
- By nature, the organic nutritional yeast segment is expected to grow at a relatively higher CAGR during the forecast period.
- Based on form, the demand for nutritional yeast powder is likely to rise at a substantial pace during the assessment period.
- Amid the rising adoption of nutritional yeast in food & beverages, dietary supplements, and bakery and confectionery, the nutritional yeast market size in Europe reached US$ 150 million in 2022.
- North America accounts for a share of 24.5% of the global nutritional yeast market.
- China’s nutritional yeast market reached a valuation of US$ 35.1 million in 2022
Growth drivers:
- The rising demand for organic and gluten-free food products is providing a major impetus to the growth of the nutritional yeast market.
- Growing consumer awareness about the benefits of nutritional yeast is expected to encourage its adoption during the assessment period.
- Introduction of new products with innovative flavors will further expand the nutritional yeast market size during the forthcoming years.
Constraints:
- Poor availability of nutritional yeast products across various low economic regions is likely to limit the growth of the nutritional yeast market during the forecast period.
- Various side effects associated with nutritional yeast such as digestive disorders and headaches also restrain the market growth to some extent.
Competitive landscape:
Leading nutritional yeast manufacturers are constantly focusing on expanding their product portfolios by introducing new nutritional yeast products with different flavors.
For instance, in June 2021, Ecoideas announced the expansion of its Nutritional Yeast line with the addition of new products, including organic nutritional yeasts, nutritional yeast with B12, and nutritional yeast with B12 and D2.
In 2022, Bragg launched new flavored nutritional yeast seasonings in the US market.
