Baker’s Yeast Market Value and Growth Analysis-2023

The Baker’s Yeast Market was valued at $1.46 billion in 2022 and is estimated to reach $3.13 billion by 2026, with a CAGR of 10% from 2022 to 2027.

The baking business frequently uses Baker’s Yeast, commonly known as Saccharomyces cerevisiae, a single-celled microbe from the fungus family. It contains every organelle that may be found in a prokaryotic cell. The market has experienced an uptick in recent years due to its expanding use in the food and beverage industries. The dough is fermented with it in order to dissolve the sugar molecules. The market is anticipated to expand over the course of the forecast period due to shifting consumer preferences and a move toward healthier and more convenient cuisine. The bakery segment’s biggest consumption share is for bread and biscuits. Additionally, consumers have a lot of discretionary income, which enables them to spend more on luxury products. Innovation has consistently occurred in this market. Before being added to food goods, it is activated after being dissolved in water. It can provide culinary goods a variety of textures. High indulgence is anticipated in the bread sector over the projected period, which would increase demand for active yeast. Additionally, there is a trend toward eating out, which has raised demand and led to the opening of retail establishments for items like pizza, burgers, cakes, etc. This trend will assist the market for baker’s yeast grow.

Market Drivers and Restraints:


Baker’s yeast is largely utilized in the bakery sector to create the highly sought-after bread, cakes, pastries, and buns. The market demand for Bakers yeast has been driven by a rise in demand for organic and healthier versions of these items. It may be conveniently stored at room temperature and is used as a leavening agent. Because of their busy schedules, customers have turned to convenience foods, which has raised the demand for packaged items. The working population’s increased pizza consumption in recent years has also fueled the expansion of the Baker’s Yeast business.

MSG, also known as monosodium glutamate, was a typical culinary addition used to improve the umami flavor of dishes. It improved the flavor of the dish’s other elements. However, numerous clinical investigations have demonstrated that it contributes to a number of health problems, including stress, obesity, digestive problems, etc. To enhance the flavor and texture of food, nutritional yeast and baker’s yeast are replacing it more frequently. Due to nutritional yeast’s high vitamin and mineral content and contribution to a balanced diet, consumers looking for gluten-free or dairy-free options are focusing more and more on goods containing yeast. All of the major participants in the market might benefit from this.

Since the ingredients used to make baker’s yeast must adhere to strict norms and regulations, the demand for this product may decline throughout the course of the projection period. Organic products are becoming more and more popular with consumers, but the cost of manufacture is driven up by the difficulty in obtaining the raw materials. Because bakers’ yeast is hard to come by and raw ingredients are out of reach, numerous industry players are working together to discover innovative solutions. Two factors that may restrict the growth of the baker’s yeast market during the projected period are compliance with these strict laws and limited demand for organic products due to their high prices.

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The report is segmented as follows:


The Baker’s Yeast Market is segmented by Product Type; the Market is segmented by Application:

By Product Type (Active Dry Yeast, Inactive Dry Yeast)

By Application (Cakes, Bread, Pastries, Biscuits, Others)

Geographical Segmentation:

The European region is anticipated to rule the bakery yeast market during the forecast period as it is the largest producer and consumer of baked products and has a developed bakery sector. There are many important players here, and they are spending money on technology to create new goods. Additionally, there has been a rise in the need for quick meals that satisfy dietary requirements. In the European Union, Germany is predicted to experience the highest growth in this market. Consumers like organic food without additional preservatives. The bakery industry is predicted to expand in the North American region, driving up demand for yeast.

Additionally, there is a rising demand for vegan and organic goods in the area, which has driven producers to create novel items and raised the need for new yeast strains. The popularity of healthy alternatives to bakery goods is rising. When making baked goods without gluten, fresh yeast is frequently employed. As disposable income rises and the demand for bakery goods develops in the Asia-Pacific area, it is also anticipated that the growing economies of China and India would expand quickly. Demand for foods like pizza, bread goods, and hamburgers is also rising, which will drive up demand for baker’s yeast.

Impact of COVID-19 pandemic on the market:

The 19th COVID Industries all throughout the world have been significantly impacted by the pandemic. The food and beverage sector has suffered from negative effects across the board. Consumer awareness of leading a better lifestyle and boosting their immunity improved, which increased the demand for health products. Since it is common knowledge that baked goods include high amounts of sugar and calories, there is a growing market for low-sugar, low-calorie versions of these goods. Additionally, there was a decline in the consumption of baked goods, which had an effect on and reduced demand for Baker’s Yeast. Nevertheless, because of the worldwide curfews, those who remained at home cultivated the habit of baking and cooking, which mitigated the negative effects and helped the market value too.

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