Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Malt extracts are majorly derived from barley but can be produced from other sources such as rye, oats, and sorghum. It is available in two forms: dry malt extract and liquid malt extract. Malt is a very crucial ingredient used in the production of beer as it provides sugar and carbohydrate in order to give a distinct flavor to it. Moreover, they are also used in the preparation of other food &beverages.
Europe malt extracts market is estimated to account for US$ 8,781.9 Mn in terms of value and 13,481,593.1 Tonnes in terms of volume by the end of 2019.
Growing demand for diastatic malt extract which is produced from sprouted grains and can be used as an alternate of sugar &honey is projected to fuel the market growth. Diastatic malt extract is a rich source of vitamins and enzymes which increases the nutritional composition of the bakery products and also increase the shelf-life of the product. Thus, the growing demand for diastatic malt extract is expected to propel the market growth of Europe malt extract.
High cultivation of raw materials such as barley and wheat grains used for the manufacturing of malt extracts is one of the major factors accelerating market growth. Moreover, the economic cultivation of these grains coupled with the various health benefits associated with barley and wheat grains is further anticipated to augur the market growth of the malt extracts. All these factors are propelling the market growth of the Europe malt extracts.
Western Europe region dominated the Europe malt extracts market in 2019, accounting for 82.5% share in terms of value, followed by Eastern Europe.
Figure 1. Europe Malt Extracts Market, Revenue Share (%), By Region, 2019
The fluctuating market of beer is a major factor expected to demand malt extracts. This factor is projected to restrict the market growth of malt extracts.
Seasonal variations lead to poor harvesting of the barley and wheat due to changing climatic conditions is expected to hamper the market growth of the Europe malt ingredients.
Europe Malt Extracts Market Report Coverage
||Market Size in 2019:
||US$ 8,781.9 Mn
|Historical Data for:
||2016 to 2019
||2020 to 2027
|Forecast Period 2020 to 2027 CAGR:
||2027 Value Projection:
||US$ 295.7 Mn
- Europe: Western Europe and Eastern Europe
- By Type: Flue Cured, Air Cured, Sun Cured and Fire Cured
- By Application: Smoking and Smokeless
- By Form: Semi Processed, Chewing, Snuff, Homogenized and Tobacco Extracts
Axereal Group, Cargill, Incorporated, IREKS GmbH, Doehler Group SE, VIVESCIA Industries, Polttimo Oy, Malt Products Corporation, Malteries Soufflet SAS, Simpsons Malt Limited and Muntons Plc.
- Growing demand for diastatic malt extract which is produced from sprouted grains and can be used as an alternate of sugar & honey
- High cultivation of raw materials such as barley and wheat grains used for the manufacturing of malt extracts
|Restraints & Challenges:
- The fluctuating market of beer is a major factor expected to demand malt extracts
- Seasonal variations lead to poor harvesting of the barley and wheat due to changing climatic conditions
Growing consumption of bakery products is projected to bring new opportunities for the market of Europe malt extracts. Moreover, growth in the food retail market in Germany is also expected to augment the market growth of the malt extracts. According to the Germany trade &invest, total food retail revenue grew significantly reaching EUR 243 billion in 2017. Thus, growth in the food retailing industry is expected to fuel the market growth of the Europe malt extract.
The rising demand for malt extracts-based beverages is projected to offer new opportunities to the market of malt extracts. Growing demand for non-alcoholic beverages such as sports drinks and energy drinks among athletes is expected to foster the market growth of the malt extracts. This is attributed to the increasing number of consumers participating in sports activities in the Europe region. Thus growing demand for healthy beverages is expected to accelerate the market growth of Europe malt extracts.
Figure 2. Europe Malt Extracts Market – Opportunity Analysis
Market Trends/Key Takeaways
Shifting preferences for gluten-free malt extracts among health-conscious consumers is a trend in the market and is projected to provide immense growth opportunity to the market of malt extracts. This is attributed to the rising prevalence of joint-pain, obesity, and other health-related issues. Moreover, gluten-free malt extracts are also gaining huge demand across geriatric populations. The aforementioned factors are projected to foster market growth.
Increasing preferences for sugar-free label products is a growing trend in the market due to the rising adoption of a healthy lifestyle among consumers. Malt extracts remove the need for added sugars in the food products and also reduce the need for artificial additives. Use of malt-extracts allows bakery and beverages products to be labeled as sugar-free. This is one of the major factors growing demand for such products across health-conscious consumers.
Value Chain Analysis (Description or image)
Europe Malt Extracts Market - Impact of Coronavirus (Covid-19) Pandemic
The covid-19 pandemic has immensely affected malt extracts market, owing to decreasing demand from beverage application. The coronavirus pandemic has also impacted the beverage sector, owing to lockdown measures. Coca-Cola reported a volume decline of approximately 25% in the month of April 2020. The beverage market is also hindered, owing to reduced business from movie halls, restaurants, and others. The alcoholic beverage industry is experiencing an unprecedented demand for off-premise alcohol sales.
Key players operating in the Europe malt extracts market are Axereal Group, Cargill, Incorporated, IREKS GmbH, Doehler Group SE, VIVESCIA Industries,Polttimo Oy, Malt Products Corporation, Malteries Soufflet SAS, Simpsons Malt Limited, Muntons Plc.
Few Recent Developments
In November 2019, Axereal, France’s largest grain cooperative, today announced the acquisition of Cargill’s malt business on behalf of its subsidiary, Boortmalt. This acquisition strengthens Axereal’s position globally and makes Boortmalt the world’s leading player in the production of malt.