The Nutritional Yeast Market is Estimated To Witness High Growth Owing To Increasing Demand for Plant-based Products

The nutritional yeast market is estimated to be valued at US$ 229.6 Mn in 2023 and is expected to exhibit a CAGR of 14 % over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Nutritional yeast is a type of yeast cultivated specifically for nutritional value rather than alcoholic properties. It is a rich source of vitamins like B1, B2, B3, B6 and contains minerals such as iron and phosphorus. Nutritional yeast provides umami flavor to foods, making it a suitable alternative to cheese and meat in vegan dishes. It enhances the flavor and nutrient content of food products.

Market key trends:
The nutritional yeast market is witnessing high growth owing to increasing demand for plant-based meat and dairy alternatives. Manufacturers are incorporating nutritional yeast in vegan cheese, dairy-free yogurt and meat substitutes to provide cheese-like or meat-like umami taste. Rising veganism and flexitarianism trends are prompting consumers to reduce animal-based products and opt for plant-based substitutes fortified with nutrients from nutritional yeast. It offers health benefits like lowering risk of heart disease and improves digestive health when used regularly. Ongoing research and advancements to produce natural coloring and flavors from nutritional yeast cultures will further expand its application scope in food processing industry.

Porter’s Analysis
Threat of new entrants: The nutritional yeast market has moderate barriers for new entrants. Starting a new business requires substantial capital for manufacturing plants, distribution channels etc. However, low differentiation between products poses threat from new players.

Bargaining power of buyers: Buyers have moderate bargaining power. The market has large number of buyers but individual buyers have low purchasing power. In addition, presence of substitutes provide buyers alternatives.

Bargaining power of suppliers: Suppliers of raw materials like wheat, corn etc have low bargaining power due to large number of suppliers in market. However, differentiated raw material varieties increase their negotiation power.

Threat of new substitutes: Substitutes like plant proteins pose moderate threat. However, nutritional yeast’s unique flavor and nutritional properties provide some product differentiation advantage.

Competitive rivalry: Intense as major players compete on pricing and new product innovation.

SWOT Analysis
Strengths: High nutritional value, rising demand for plant-based foods, innovative new product launches.

Weaknesses: Niche product with limited consumer awareness, heavy reliance on few industries like food & beverages.

Opportunities: Growth in vegan/vegetarian demography, scope for expanded usage in new applications like animal feed.

Threats: Rising raw material costs, threat from alternative ingredients, currency fluctuations affecting import-based companies.

Key Takeaways

The Global Nutritional Yeast Market Size is expected to witness high growth at a CAGR of 14% over the forecast period, driven by increasing health consciousness and veganism trends. The market size is projected to reach US$ 478 Mn by 2030 from US$ 229.6 Mn in 2023.

North America currently dominates the nutritional yeast market backed by stringent health regulations and growing demand for gluten-free and plant-based foods. The region accounts for over 35% market share. Meanwhile, Asia Pacific is anticipated to be the fastest growing market during the forecast period due to rising incomes, westernization of diets and expanding yeast production capacities in China and India.

Key players operating in the nutritional yeast market include Kothari Fermentation and Biochem Ltd, ABF ingredients, Biomin, Angel Yeast, Bob’s Red Mill, Cargill Inc., Nutreco, Alltech and Pacific Ethanol. Major players are focused on new product innovation, scaling production capacities and global expansion to strengthen their market position.

 

Read more: https://www.trendingwebwire.com/nutritional-yeast-market-share-analysis/

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