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DRIED YEAST MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2025 - 2032)

Dried Yeast Market, By Type (Active Dried Yeast, Instant Yeast, and Others), By Form (Powder, Granules, Flakes, and Others), By Application (Bakery Products, Beverages, Animal Feed, Nutraceuticals, and Others), By Distribution Channel (Business-to-Business (B2B), Supermarkets & Hypermarkets, Online Retail, and Specialty Stores), By Geography (North America, Europe, Asia Pacific, Latin America, Middle East, and Africa)

  • Published In : 10 Nov, 2025
  • Code : CMI8881
  • Pages :140
  • Formats :
      Excel and PDF
  • Industry : Food Ingredients
  • Historical Range: 2020 - 2024
  • Forecast Period: 2025 - 2032

Global Dried Yeast Market Size and Forecast – 2025-2032   

The global dried yeast market is estimated to be valued at USD 4.12 Bn in 2025 and is expected to reach USD 5.24 Bn by 2032, exhibiting a compound annual growth rate (CAGR) of 3.5% from 2025 to 2032.

Key Takeaways of the Dried Yeast Market

  • The active dried yeast segment is expected to account for 47.8% of the global dried yeast market share in 2025.
  • The powder segment is projected to capture 38.6% of the market share in 2025.
  • The bakery products segment is estimated to account for 34.5% of the global dried yeast market share in 2025.
  • Europe is projected to lead the global dried yeast market in 2025 with a 35.3% share.
  • Asia Pacific, holding an estimated 16.5% share, and it is expected to be the fastest-growing region.

Market Overview

The trend in the current market conditions points towards sustainability and clean-label ingredients, which would again favor the growth of dried yeast in the food and beverage segment. Apart from this, increasing demand from craft brewing and bioethanol industries has significantly contributed to the demand in the market. Development in fermentation technology and improvements in product formulation are allowing manufacturers to provide high-quality, productive yeast strains that enhance processing times and product consistency, thus driving the market during the forecast period.

Current Events and Its Impact

Current Events

Description and its Impact

Sugar and molasses price swings

  • Description: Weather shocks in Brazil/India tightened sucrose feedstock markets used to produce yeast biomass.
  • Impact: Input cost spikes translated to selective list-price increases on baker’s yeast and reformulation toward mixed-substrate fermentations.

Craft beer recovery and premiumization

  • Description: North America and parts of Europe saw a rebound in craft SKUs with more lager and cold-IPA styles requiring specific yeast performance.
  • Impact: Increased sales of strain-specific dry brewing yeasts and tailored nutrient packs; growth in direct-to-brewery technical support.

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Segmental Insights

Dried Yeast Market By Type

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Dried Yeast Market Insights, By Type - Active Dried Yeast Segment Dominates the Market due to its Superior Fermentation Properties and Versatile Applications

Active dried yeast segment is expected to hold 47.8% of the market share in 2025, owing to its widespread end-use in various industries, including baking and beverages. Among the reasons why people favor ADY more includes that it has a strong capability for fermentation, ensuring consistent dough rise and good texture in baked goods. That is why manufacturers prefer it, from large commercial bakeries to artisan producers. Moreover, this yeast type can be stored for longer times compared to fresh yeast, helping the manufacturer store and transport it efficiently without compromising on the quality to meet growing demand in distantly located marketplaces.

Besides this, during the production process of active dried yeast at controlled temperatures, the high concentration of viable yeast cells can be maintained, supporting fast activation upon rehydration. This feature significantly reduces fermentation times for enhanced operational efficiencies and lowered costs of production. Its continued track record in producing high-quality bread and fermented beverages fuels its adoption into various beverage industries, such as brewing and wine making.

Dried Yeast Market Insights, By Form – Powder Segment Dominates the Market Driven by its Ease of Handling and Superior Dispersion Characteristics

Powder segment is set to hold 38.6% share in 2025, whereas dried yeast has held a considerable share in the form segment owing to the convenience that this segment offers during manufacturing and at the end-use. The fine granulation ensures speedy and homogeneous mixing with other ingredients; this is a very critical factor that helps in maintaining product quality at all levels of baking and beverage fermentations continuously. This uniform dispersion allows faster fermentation time, thereby assuring process efficiencies and finer control over product characteristics. Besides, the powder form is quite versatile for various formulation types, including dry mixes, instant products, and ready-to-use blends.

Dried Yeast Market Insights, By Application - Bakery Products Segment Dominates the Market Propelled by Rising Consumer Demand for Baked Goods and Increasing Preference for Convenience Foods

The bakery products segment is projected to hold 34.5% of the global dried yeast market share in 2025, owing to the fact that yeast serves as an essential leavening agent in a large array of baked products. The rise in demand throughout the world for artisan breads, pastries, and other specialty baked goods has particularly boosted the usage of dried yeast, which allows for reliable fermentation performance and quality of end products. Urbanization, changing lifestyles, and expansion of modern retail have catalyzed the rise in demand for freshly baked yet convenient food options; these factors affect the increased inclusion of yeast in the recipe for ready-to-bake and pre-mix products.

This application segment is further boosted by the trend toward healthier bakery items, as consumers show a preference for whole grain, gluten-free, and fortified breads that depend on yeasts not only for leavening but also for improving nutritional profiles with their natural biosynthesis of vitamins and amino acids. Yeast-derived ingredients also foster flavor development and enhance aromas, further elevating consumer appeal.

Regional Insights

Dried Yeast Market By Regional Insights

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Europe Dried Yeast Market Analysis and Trends

The Europe region is projected to lead the market with a 35.3% share in 2025, due to a well-established food and beverage industry, strong traditions of baking and brewing, and quality standards that are strictly monitored by the governments. The highly developed agricultural and biotechnology sectors in the region help to provide a strong ecosystem for the production and development of dried yeast. Organic and sustainable methods of food production are encouraged by EU policies, which in turn will encourage the use of natural ingredients like dried yeast.

Countries such as Germany, France, and the Netherlands possess large-scale yeast manufacturing units backed by significant research and development. Well-known players like Lesaffre of France and Lallemand Inc. of Canada have their major operations in Europe. These companies are continuously investing to expand the application of the yeast products in baking to the production of biofuel. Due to this, Europe has the added advantage of good logistics in trade within the EU, which helps in distribution and supply chain integration, further bolstering its leading position.

Asia Pacific Dried Yeast Market Analysis and Trends

The Asia Pacific region is expected to exhibit the fastest growth in the market contributing 16.5% share in 2025, due to factors such as rapid urbanization, a growing middle-class population with changing food habits, and increasing food processing industries. The rapid pace of industrialization in countries such as China and India encourages the demand for bakery and alcoholic beverages, both prime sectors for dried yeast consumption. Government initiatives toward food security policies and support of biotechnology growth further accelerate the market momentum.

The Asia Pacific dried yeast market benefits due to growing domestic yeast production and increasing imports, with demand surging. Key players are Angel Yeast Co., Ltd. (China) and ADM, operating across the continent, who are very crucial investors in local production facilities and advanced technologies to meet consumer taste profiles in the region, and also to ensure product quality. Trading dynamics are influenced by regional trade agreements and improvement in logistics infrastructure, thus facilitating easy raw material importation and exportation of finished products.

Global Dried Yeast Market Outlook for Key Countries

U.S. Dried Yeast Market Analysis and Trends

The U.S. dried yeast market capitalizes on its advanced food-processing and baking industries, amidst diverse consumer demand related to bakery, dietary supplement, and bioethanol applications. In this area, large companies such as ADM and Lallemand Inc. have extensive manufacturing bases along with R&D facilities stimulating innovation for dried yeast strains with particular usages. Assistance of regulatory frameworks, relative to food safety, serve to assure quality and reliability. And mature supply chain networks assist with broad market reach. The U.S. continues to see interest in healthy yeast products, like nutritional yeast.

Germany Dried Yeast Market Analysis and Trends

Germany still leads in the manufacture of dry yeast in Europe, drawing on its strong tradition in brewing and baking. It focuses on innovation by linking universities with companies like Lesaffre and AB Mauri for the development of new, value-added strains. Government support for sustainable agriculture and green biotech is also in line with the development toward organic and clean label products. Its strategic location within Europe and solid logistics infrastructure ensures easy distribution within the continent and elsewhere, adding to its dominance in the market.

China Dried Yeast Market Analysis and Trends

The expansion of the dried yeast market in China is driven by the growth of industrial bakery production and the increasing consumption of alcoholic beverages. Companies such as Angel Yeast and COFCO Group have invested considerable amounts in developing local biotechnological capability and improving food safety, which has been encouraged by the country's government. Domestic production will continue, but important supply will still come from international brands.

This is because some consumers are willing to pay for higher-quality and specialty yeast products. A growth in the cold chain and transportation networks in China facilitates improved distribution. In addition, health-consciousness among consumers is influencing interest in nutritional yeast and other functional yeast that can be used as dietary supplements or for fortified foods and beverages.

Brazil Dried Yeast Market Analysis and Trends

The dried yeast market in Brazil is influenced by its robust agricultural foundation and expanding food processing sector, prominently within bakery and beverage markets. The Brazilian government has been advocating for innovation in agribusiness, and companies like Lallemand, as well as smaller domestic producers, have responded by servicing both domestic and the surrounding regional markets. Brazil is an important exporter for Latin America with trade policies to foster partnerships to enhance yeast availability. Market growth is further supported by a shift toward convenience foods and an evolving retail distribution system.

India Dried Yeast Market Analysis and Trends

India’s outlook for dried yeast foreshadows broad-based growth, driven by urban populations and a growing bakery culture that embraces more than bread types. Favorable government policies promoting food processors and biotechnology industries enhance the favorable investment climate. Angel Yeast, along with a few innovative startups have begun partnering with each other to develop yeast products adapted to the local conditions for desired shelf life and fermentation activity. Rising nutritional and health awareness diversifies the market demand, and increasing openness to trade supports imports of specialized yeast strains which are not produced at a scale domestically.

Macro and Micro Economic Factors Impacting on Dried Yeast Market Growth

Macroeconomic Factors

  • Growing Global Demand for Bakery Products: Globally, the growth of the bakery and convenience food sectors drives dried yeast demand, as yeast is necessary to produce bread, cakes, pastries, etc. Urbanization and rising income are leading to increased consumption, particularly in developing markets such as Asia Pacific, where traditional food culture and government support help grow the food processing sector.
  • Supply Chain Disruptions: Many issues can contribute to supply-side issues; for example, supply chain disruptions related to efficiency of transportation, geopolitical issues, regulatory issues and tariffs, and inflation associated with transportation all impact the availability and price of dried yeast on the market. Accordingly, these supply-side disruptions can lead to regional shortages or price spikes associated with local supply and demand, slowing the overall market growth.
  • Availability and Prices of Raw Materials: Availability, and subsequent price of raw materials such as sugarcane, and beet molasses, can significantly impact yeast production. Agricultural output may face volatility due to numerous reasons including weather, economic instability, or changing agricultural practices related to climate, all of which can impact the cost and reliability of supply related to raw materials. This uncertainty can define or limit the growth potential.

Microeconomic Factors

  • Technological Advances: Improvements in fermentation technology and production automation enhance product quality and supply efficiency, creating opportunities for market players to scale and innovate.​
  • Market Competition and Product Innovation: Intense competition among key players leads to investment in R&D for new yeast varieties and sustainable packaging. Companies also increasingly use AI and digitalization for procurement and production optimization.

Market Players, Key Development, and Competitive Intelligence

Dried Yeast Market Concentration By Players

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Key Development

  • On October 22, 2025, AB Mauri Lanka launches new Prime Instant Dry Yeast pack. Reinforcing its commitment to the Sri Lankan baking industry, AB Mauri Lanka Private Limited officially introduced its new Prime Instant Dry Yeast in a convenient 500g pack. The new pack reflects the company’s ongoing efforts to deliver practical, reliable and high-quality solutions to bakers across the country.

Top Strategies Followed by Global Dried Yeast Market Players

  • Participating companies, usually large multinationals, place a major focus on R&D efforts to innovate and offer highly effective yeast products for various industrial applications (e.g. baking, brewing, bioethanol production). To further solidify their position, large enterprises are concentrating on expanding globally by increasing their distribution channels in growth market economies in Asia Pacific, Latin America, and Africa in consideration of the increase in demand resulting from urbanization and consumer spending.
    • For example, AngelYeast Co., Ltd. introduced organic and fortified yeast extracts for nutrition enhancement and sustainable production to suit requests from the Asia Pacific and Latin America regions.
  • Mid-sized companies in the dried yeast market follow a different strategy based on their available resources and customers. Their strategy is focused on providing value-priced yeast products that offer good value for quality & cost-sensitive consumer, such as small and medium bakeries and breweries who prioritize operational efficiencies.
    • For example, Lallemand collaborates with local distilleries and breweries in Latin America to develop proprietary blends of active dried yeast to reduce fermentation time and energy cost.
  • Small-scale players in the global dried yeast sector create niche segments by targeting new product attributes or healthy formulations of yeast that meet specific end user requirements (organic or gluten-free yeast). These companies focus on the latest technologies such as modern fermentation systems, microencapsulation system methods, and optimizing yeast strains for improved product efficacy, allowing them to achieve sector differentiation in a saturated global dried yeast
    • For example, Nutritional Yeast Company focuses on vegan-friendly yeast flakes, which target plant-based food producers and health stores.

Market Report Scope

Dried Yeast Market Report Coverage

Report Coverage Details
Base Year: 2024 Market Size in 2025: USD 4.12 Bn
Historical Data for: 2020 To 2024 Forecast Period: 2025 To 2032
Forecast Period 2025 to 2032 CAGR: 3.5% 2032 Value Projection: USD 5.24 Bn
Geographies covered:
  • North America: U.S. and Canada
  • Latin America: Brazil, Argentina, Mexico, and Rest of Latin America
  • Europe: Germany, U.K., Spain, France, Italy, Russia, and Rest of Europe
  • Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, and Rest of Asia Pacific
  • Middle East: GCC Countries, Israel, and Rest of Middle East
  • Africa: South Africa, North Africa, and Central Africa
Segments covered:
  • By Type: Active Dried Yeast, Instant Yeast, and Others
  • By Form: Powder, Granules, Flakes, and Others
  • By Application: Bakery Products, Beverages, Animal Feed, Nutraceuticals, and Others
  • By Distribution Channel: Business-to-Business (B2B), Supermarkets & Hypermarkets, Online Retail, and Specialty Stores 
Companies covered:

Lesaffre, AB Mauri, Baker's Yeast, Allied Pacific Food, Angel Yeast Co., Ltd., Lallemand Inc., Yeastman, Hain Celestial Group, Inc., Pioneer Yeast, NutraSun, Baker's Authority, Wyeast Laboratories, Inc., Kraft Foods Group, BioCare Copenhagen, and Ginkgo BioWorks

Growth Drivers:
  • Growing demand for convenience foods and baked goods
  • Increasing awareness of the health benefits of nutritional yeast
Restraints & Challenges:
  • Competition from alternative leavening agents
  • Fluctuations in raw material prices affecting production

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Dried Yeast Market dynamics

Dried Yeast Market Key Factors

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Dried Yeast Market Driver - Growing Demand for Convenience Foods and Baked Goods

The rise in consumer preference for convenience foods and packaged baked goods has a significant impact on the growth of the global dried yeast market. Urbanization and busy lifestyles are driving a demand for easy meal options and leading to increased consumption in the bread and baked goods category that use yeast for leavening and texture development. The food industry with its specialization and current fashions sees an increase in the manufacture of artisanal and specialty baked goods that require consistency of performance and quality from the yeast, thereby enhancing the use of dried yeast.

For instance, big industrial bakeries producing frozen pizza crusts or ready-to-bake cinnamon rolls use instant dry yeast for their consistency of performance and shelf-life.

Dried Yeast Market Opportunity - Rising Trend of Plant-Based Diets and Vegan Products

The growing worldwide trend for plant-based and vegan lifestyles is causing considerable growth in the dried yeast market. Consumer trends toward health and awareness of environmental concerns have increased the demand for plant food products. This increased demand has prompted manufacturers to develop and expand plant-based meat analogs, dairy analogs, and high-quality, fortified nutritional products. Dried yeast is high in plant-protein and umami flavor and is an important ingredient in many plant-based formulations.

As plant-based and vegan diets grow in popularity globally, nutritional or inactive dried yeast, an ingredient high in plant-protein and umami flavor, will become a strategic ingredient in meat-alternatives, dairy alternatives and nutritional products. This represents a strong growth opportunity for the dried yeast market.

Analyst Opinion (Expert Opinion)

  • The dried yeast market is on a roll right now. More people want quick, easy food, and home baking isn’t just a lockdown hobby anymore—it’s stuck around. At events like the International Conference on Yeast in 2023 and the Baking Industry Expo in 2022, a lot of talk focused on companies like Lesaffre and AB Mauri. They’re pushing out new yeast products for all sorts of uses.
  • Take Lesaffre, for example—they just put out a line of instant dry yeast made for gluten-free baking. That’s a pretty clear sign the industry is paying attention to what people want: food that’s healthier and works for everyone. The conversation at these conferences identified the need for yeast improvement for improved performance and highlighted discussion about how fermentation technology can enhance flavors and textures of baked products.
  • In many of the conversations challenges of increasing raw material costs and competition from alternative leavening were also noted as contributing challenges to growth. Companies that focus on R&D towards developing high performance yeast and marketing strategies towards commercial and/or home bakers will likely be rewarded with increased market share with the continued consolidating of the market. Ultimately, growth in the global dried yeast market will likely depend on continued innovations to meet varying consumer needs related to food quality and convenience

Market Segmentation

  • Type Insights (Revenue, USD Bn, 2020 - 2032)
    • Active Dried Yeast
    • Instant Yeast
    • Others
  • Form Insights (Revenue, USD Bn, 2020 - 2032)
    • Powder
    • Granules
    • Flakes
    • Others
  • Application Insights (Revenue, USD Bn, 2020 - 2032)
    • Bakery Products
    • Beverages
    • Animal Feed
    • Nutraceuticals
    • Others
  • Distribution Channel Insights (Revenue, USD Bn, 2020 - 2032)
    • Business-to-Business (B2B)
    • Supermarkets & Hypermarkets
    • Online Retail
    • Specialty Stores
  • Regional Insights (Revenue, USD Bn, 2020 - 2032)
    • North America
      • U.S.
      • Canada
    • Latin America
      • Brazil
      • Argentina
      • Mexico
      • Rest of Latin America
    • Europe
      • Germany
      • U.K.
      • Spain
      • France
      • Italy
      • Russia
      • Rest of Europe
    • Asia Pacific
      • China
      • India
      • Japan
      • Australia
      • South Korea
      • ASEAN
      • Rest of Asia Pacific
    • Middle East
      • GCC Countries
      • Israel
      • Rest of Middle East
    • Africa
      • South Africa
      • North Africa
      • Central Africa
  • Key Players Insights
    • Lesaffre
    • AB Mauri
    • Baker's Yeast
    • Allied Pacific Food
    • Angel Yeast Co., Ltd.
    • Lallemand Inc.
    • Yeastman
    • Hain Celestial Group, Inc.
    • Pioneer Yeast
    • NutraSun
    • Baker's Authority
    • Wyeast Laboratories, Inc.
    • Kraft Foods Group
    • BioCare Copenhagen
    • Ginkgo BioWorks

Sources

Primary Research Interviews

  • R&D Directors, Product Development Heads, and Business Development Executives – Leading Yeast Manufacturers
  • Procurement Managers – Major Food & Beverage and Animal Feed Companies
  • Quality Control Managers and Technical Specialists – Yeast Production Facilities
  • Sustainability Managers – Yeast and Biotechnology Certification Bodies

Stakeholders

  • Yeast Manufacturers and Suppliers
  • End-use Sectors
    • Baking and Confectionery Industry
    • Brewing and Distilling Industry
    • Animal Feed Industry
    • Pharmaceuticals and Biotech Industry
  • Regulatory & Certification Bodies related to Food Safety and Biotechnology
  • E-commerce Platforms and Distributors of Yeast Products
  • Technology Providers: Yeast Fermentation Equipment and Bioprocessing Technology Companies

Databases

  • UN Comtrade Database (Trade data on yeast products)
  • India Import Export (EXIM) Database (Regional trade data)

Magazines

  • Nutrition & Wellness Magazine (Yeast nutrition and supplements)
  • Health & Nutrition Business (Innovations in yeast products)
  • Baking Industry Magazine (Applications and trends in yeast baking)
  • Global Health Insights (Consumer trends related to nutritional yeast)
  • The Supplement Guide (Updates on yeast as dietary supplements)

Journals

  • International Journal of Nutrition (Nutritional profiles of yeast)
  • Journal of Food Science & Technology (Formulation and uses of yeast)
  • Journal of Applied Microbiology (Yeast strains and fermentation processes)
  • Food Research International (Yeast bioavailability and benefits)

Newspapers

  • The Financial Times (Market growth analysis for yeast products)
  • The Guardian (Consumer trends in health-related yeast products)
  • Asia Health Journal (Growth of yeast use in Asia-Pacific)
  • European Nutrition News (Regulation and policy updates on yeast)

Associations

  • International Association of Plant Bakers (IAPB)
  • European Baking Industry Confederation (CEBP)
  • American Society for Microbiology – Yeast Section
  • International Society for Nutraceuticals and Functional Foods (ISNFF)
  • Clean Label Project (Food safety and ingredient transparency)

Public Domain Sources

  • FDA (Food and Drug Administration) – Food additives and yeast-related guidelines
  • European Commission – Regulation on food yeast products
  • World Health Organization – Safety and health impact studies on yeast

Proprietary Elements

  • CMI Data Analytics Tool, Proprietary CMI Existing Repository of information for last 8 years.

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About Author

Kalpesh Gharte is a senior consultant with approximately 5 years of experience in the consulting industry. Kalpesh holds an MBA in Operations and Marketing Management, providing him with a strong foundation in market strategy and analysis. He has contributed to various consulting and syndicated reports, delivering valuable insights that support informed business decisions

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Frequently Asked Questions

The global dried yeast market is estimated to be valued at USD 4.12 Bn in 2025 and is expected to reach USD 5.24 Bn by 2032.

The food and beverage industry drives dried yeast demand through its extensive use in bakery, brewing, and fermentation-based products.

Dried yeast serves as a probiotic and nutritional additive in animal feed, enhancing gut health, digestion, and overall livestock performance.

The CAGR of the global dried yeast market is projected to be 3.5% from 2025 to 2032.

Growing demand for convenience foods and baked goods and increasing awareness of the health benefits of nutritional yeast are the major factors driving the growth of the global dried yeast market.

Competition from alternative leavening agents and fluctuations in raw material prices affecting production are the major factors hampering the growth of the global dried yeast market.

In terms of type, the active dried yeast is estimated to dominate the market revenue share in 2025.

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