July 20, 2024
Nutritional Yeast Market

Rising Demand for Plant-based Foods to Boost Growth of the Global Nutritional Yeast Market

The global 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 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Nutritional yeast is a type of deactivated yeast which can serve as a “complete” protein as it contains all essential amino acids. It is commonly used as a ingredient in plant-based cheese and bread to enhance flavor and nutrition. Nutritional yeast has a cheesy and nutty taste and is a rich source of vitamins like riboflavin, niacin and vitamin B12. It is often consumed as a nutritional supplement and flavoring agent by vegans and vegetarians. The market is driven by rising health consciousness and adoption of veganism which has boosted demand for plant-based food products. Nutritional yeast acts as an important ingredient for vegan foods industry due to its usage as a cheese and egg replacer.

Market key trends:

One of the key trends in the nutritional yeast market is the increasing popularity of clean label and organic nutritional yeast. Consumers are more inclined towards organic and natural products which do not contain artificial preservatives, colors or flavors. To cater to this growing demand, market players are introducing clean label and organic nutritional yeast produced using non-GMO and organic ingredients. For instance, Marmite launched its organic nutritional yeast spreads to attract health-conscious consumers. Another significant trend is rising consumption of dietary supplements containing nutritional yeast. Nutritional yeast is rich in B-complex vitamins and proteins which makes it suitable for various health supplements. Players are exploiting this opportunity by offering vitamin-fortified yeast flakes and powders. Furthermore, with growing vegan demographics, there is high demand for plant-based cheese and creamers where nutritional yeast is widely used as a cheese flavoring agent.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is low in the nutritional yeast market as it requires significant investment for research and development of new products.
Bargaining power of buyers: The bargaining power of buyers is high due to the presence of various substitute products in the market. Buyers can switch between nutritional yeast and other substitute products based on price variations.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as there are numerous suppliers providing raw materials required for the production of nutritional yeast.
Threat of new substitutes: The threat of substitutes is high as other alternative plant-based ingredients like plant proteins can be used as substitutes for nutritional yeast.
Competitive rivalry: High due to the presence of numerous players competing in the market.

Key Takeaways

The global nutritional yeast market size is expected to witness high growth, exhibiting CAGR of 14% over the forecast period, due to increasing vegan population and growing demand for plant-based food products.

Regional analysis
North America is expected to dominate the nutritional yeast market owing to rising veganism and vegetarianism. Asia Pacific is projected to exhibit the fastest growth during the forecast period due to rising health consciousness and changing food habits in developing countries like India and China.

Key players
Key players operating in the nutritional yeast market are Kothari Fermentation and Biochem Ltd, ABF ingredients, Biomin, Angel Yeast, Bob’s Red Mill, Cargill Inc., Nutreco, Alltech and Pacific Ethanol.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it