Nutritional Yeast Market

The nutritional yeast market size was valued at USD 229.14 Million in 2022 and is projected to reach USD 745.15 Million by 2031, expanding at a CAGR of 14% during the forecast period, 2023-2031. The growth of the nutritional yeast market is attributed to the rising trend of vegan meals. Increasing health benefits of nutritional yeast are anticipated to drive the market.

A common food item frequently used in vegan cuisine is nutritional yeast, also known as "nooch." The name of this powdered yeast comes from the variety of vitamins, minerals, and antioxidants that it has, including protein. Deactivated yeast known as nutritional yeast is often produced using strains of Saccharomyces cerevisiae. Nutritional yeast is created by picking, rinsing, and then drying S. cerevisiae, which is produced on either cane or beet molasses.

Get Free Sample Report

Nutritional yeast lacks leavening properties as a result of being a deactivated form of yeast. The market for nutritional yeast is expanding as a result of growing consumer demand due to its factors such as calorie, low sodium, fat-free, gluten-free, and sugar-free content. Nutritional yeast provides several health benefits, including strengthening the immune system, lowering cholesterol, and promoting strong, healthy skin, hair, and nails.  

As a dietary and nutritional supplement, nutritional yeast is gaining popularity all over the world. The majority of the carbohydrates in nutritional yeast are in the form of dietary fiber. It contains a lot of B-complex vitamins, including vitamin B12, vitamin B9, vitamin B6, pantothenic acid, niacin, riboflavin, and thiamine. Additionally, it is a good source of trace minerals like zinc, manganese, magnesium, and copper. Without considerably increasing the intake of fat, calories, or cholesterol, nutritional yeast provides an easy method to get more of the nutrients that are deficient in plant-based diets.

Legumes, a plant-based food source of protein, have 9g of protein per 100g. Compared to other sources of protein, nutritional yeast provides 50g of high-quality protein per 100g, making it an essential component of a balanced plant-based diet. These qualities make nutritional yeast appealing in a variety of market areas, from sports nutrition to veganism. These qualities make nutritional yeast appealing in a variety of market areas, from sports nutrition to veganism.

Western diets usually have eggs, dairy products, fish, and meat, the absence of these items from a vegan diet increases the need for alternative sources of vitamin B12 such as nutritional yeast. Beyond its capacity to fill dietary deficiencies, nutritional yeast is appealing to consumers in other ways as well. They create and release amino acids that impart a cheesy, nutty, or savory flavor that gives food its umami flavor.   For plant-based cooks, nutritional yeast is a go-to ingredient because of its flavor profile. They use it in a variety of dishes, from enhancing salad dressing to giving roasted veggies a savory boost.

Perhaps the most typical application for nutritional yeast is to replace parmesan, where its cheese flavor gives vegan food a touch that would otherwise be challenging to recreate with plant-based components. Cooks have utilized nutritional yeast as a trampoline for a variety of other purposes, such as a vital element in pesto and mac and cheese. In addition to adding umami flavor to foods like popcorn, nutritional yeast may also be used to make vegan stocks that have a meaty flavor.  

Each application makes use of the flavor profile of nutritional yeast, which is very different from the conventional flavors of foods made from plants. The unique flavor of nutritional yeast opens up new opportunities for plant-based cuisine. The most popular and commonly used application of nutritional yeast is probably to approximate the flavor of parmesan cheese.

However, using nooch on its own as popcorn seasoning is by far the most popular application. It works great as a seasoning on vegetables before or during any type of cooking, including grilling or roasting. When nutritional yeast is melted into vegetarian stocks and broths, it can replicate the taste of meat. The most intriguing discovery in nutritional yeast utilization in recent years is that it can be used as a dough relaxer in hand-pulled lamian noodles since it contains glutathione.

Covid-19 Impact on Nutritional Yeast Market

The pandemic increased the prevalence of "panic-buying" for groceries and food items. Demand for nutritional yeast increased significantly in the supermarkets. Consumption of soups, nutritious snacks, and salads has increased as a result of customers' growing need for convenience and the desire to resolve their health concerns, which has increased consumer interest in nutritional yeast products. During the early phases of the COVID-19 pandemic, several manufacturers decreased the bulk product packaging and marketed it in tiny sachets in order to fulfill the increasing demand. People spent more time at home as a result of pandemic, which increased the demand for flour and yeast products used in domestic cooking.

Nutritional Yeast Market Dynamics

The research report on the nutritional yeast market provides a complete market overview by focusing on major restraints, key drivers, and emerging trends that can shape the overall performance or outcome of the market during the forecast period, 2023 to 2031.

Emerging Trends

Rising number of health-conscious and vegetarian people
The report finds that the increasing trend toward a vegan lifestyle accompanied by a rise in vegetarian and health-conscious people are the key factors estimated to create immense opportunities for the market players. A high prevalence of lifestyle-related diseases and rising consumption of low-carbohydrate and low-fat food products are anticipated to boost the global market.

Leading nutritional yeast manufacturers are estimated to work with government and semi-government organizations to carry out in-depth R & D activities that promote sustainable development. Countries with high R&D expenditure include the United Kingdom, India, France, China, Japan, Canada, Germany, and the United States. For instance, Lallemand Development and Research S. created a novel YANG yeast strain by merging two other yeast strains, C. cerevisiae and C. jadinii, in a specific fraction.

Key Drivers

• Increasing demand from several industries

The retail sales of nutritional yeast food products have increased as customers are becoming aware of the advantages of buying them. the US ranks among the top consumers of nutritional food products worldwide. Growing demand for nutritional yeast from animal feed, personal care, and other industries is anticipated to drive market growth during the forecast period.

The increasing popularity of veganism is anticipated to increase the demand for products containing plant-based proteins, and the limited availability of such products is estimated to fuel the demand for food containing nutritional yeast. The launch of new products with distinct flavors is anticipated to drive the market in the coming years.

• Rising anxiety level among people is driving the market growth

The majority of industrialized and developing economies are experiencing lifestyle transitions. Rapid changes in daily life have led to the emergence of lifestyle disorders, which are a major cause of concern for people.  Diabetes, chronic diseases, and cardiovascular or heart disorders are all becoming increasingly prevalent globally as a result of changing lifestyles.

Based on current rates of alcohol and cigarette use, air pollution, and other factors, the Center of Science and Environment estimated that there will be more than 1.7 million new cases of cancer in India. This has encouraged people to consume healthy diets that are rich in nutrients and minerals. Vitamin B12 is abundant in nutritional yeast and helps to reduce stress and anxiety. According to research by Victoria University in Australia, nutritional yeast-based spreads can help adults feel less stressed and anxious. These key factors are projected to propel the market growth.

Major Restraints

• High consumption of nutritional yeast to cause digestive disorder

High levels of fiber can be found in nutritional yeast. Abdominal pains and diarrhea might result from consuming too much nutritional yeast in one's diet. For digestive health, a high-fiber diet is beneficial. To allow the body to comfortably adjust to increased fiber consumption, the fiber should, however, be added gradually, and the amount of yeast should be raised gradually. High consumption of nutritional yeast is estimated to cause digestive disorder which is projected to hamper market growth.

• May cause migraine attacks or facial flushing

Several side-effects of nutritional yeast include inflammatory bowel disease, facial flushing, digestive disorder, and migraine or headache. Nutritional yeast may provoke migraine attacks in some people who are migraine susceptible, due to the presence of tyramine in it. Niacin, often known as vitamin B3, is a crucial component of nutritional yeast and is necessary for proper body function. Niacin intake above a certain level (often 500 mg) might result in face flushing.

Scope of Nutritional Yeast Market Report

The report on the global nutritional yeast market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.

Nutritional Yeast Market Segment Insights

The organic nutritional yeast segment accounted for a key market share in 2021

Based on nature, the global nutritional yeast market is bifurcated into conventional nutritional yeast and organic nutritional yeast. The organic nutritional yeast segment was valued at USD 5 million in 2021. The several health advantages that consumers gain from eating organic products are causing it to become popular. Organic products are expensive even though consumers are willing to pay more for products that contain organic ingredients. This is due to a considerable increase in per capita GDP in both developed and emerging countries.

This has resulted in a significant rise in the demand for organic nutritional yeast, which is frequently used in popcorn, dips, casseroles, salads, and soups. Additionally, organic nutritional yeasts are devoid of genetically modified organisms (GMOs), sodium, soy, minerals, vitamin B, chemical preservatives, and artificial flavors. This provides nutrition and flavor while also lowering the possibility of side effects after eating. Global demand for organic products and the growing necessity to substitute monosodium glutamate (MSG) as an additive in food products are propelling the segment growth.

The inactivated dry yeast segment is projected to expand at a high growth rate during the forecast period

On the basis of product types, the global nutritional yeast market is segregated into revivable yeast, fortified yeast, and inactivated dry yeast. The inactivated dry yeast segment is projected to account for a market share of around 96%. Growth of the segment is attributed to increasing demand from the animal feed industry. The addition of dry, inactive yeast makes animal feed palatable, which increases feed consumption.

Additionally, it boosts livestock performance and immunity. Inactive dry yeast can be used as an active ingredient in animal meals to increase the nutritional content. The easy availability of inert ale yeast and growing public awareness of its benefits as an ingredient in animal feed is driving the growth of the global nutritional yeast market.

The fortified yeast segment is estimated to grow at a rapid pace during the forecast period. Products with added probiotics, such as fortified yeast, are a preferred option for those trying to improve their health. The growing popularity of plant-based diets is another factor driving the growth of fortified yeast products.

Widespread applications of fortified yeast include personal care, dietary supplement, food & beverage, and other industries. They provide improved stability, an extended shelf life, consistent texture, and the capacity to be combined with other products. Factors such as rising health and flavor consciousness are boosting the segment.

Get Free Sample Report

The food industry segment is estimated to hold a key market share in the coming years

In terms of end-users, the global nutritional yeast market is fragmented into poultry, pharmaceutical, livestock, and food industry. The food industry segment is further segregated into sports drinks, snacks & sausage, HoReCa, bakery, and dietary supplements. The food industry segment was valued at USD 63 million in 2021.

Nutritional yeast has established itself as a standard ingredient in the vegetarian meal as a rich flavor enhancer. The cheesy flavor and texture of nutritional yeast make it a popular component in vegan cooking among consumers who avoid dairy-based products. Changing eating habits and busy work schedules are the key factors for segment growth.

Get Free Sample Report

The supermarket segment is expected to expand at a high CAGR during the forecast period

Based on distribution channel, the global nutritional yeast market is divided into online stores, hypermarkets, supermarkets, convenience stores, and others. The supermarket distribution channel segment is expected to expand at a high CAGR during the forecast period. There is a rising demand for both active and inactive yeast products in supermarkets.

In order to fulfill the rising demand during the early stages of the COVID-19 pandemic, some companies reduced the bulk product packaging and sold it in smaller sachets. The pandemic caused people to spend more time at home, which has raised the demand for flour and yeast products used in home cooking.

North America is anticipated to dominate the market during the forecast period

On the basis of regions, the global nutritional yeast market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America is anticipated to dominate the market during the forecast period. The US is expected to hold a key market share owing to the increasing demand for organic food products and customers' growing attention to their health. Veganism has also been growing in the country as individuals become health conscious.

According to HealthFocus, over 17% of Americans between the ages of 15 and 70 prefer vegan food, which is estimated to drive the nutritional yeast market in the US. The nutritional yeast market size in Asia Pacific is anticipated to expand at a substantial CAGR during the forecast period. China accounts for a market share of around 9% Rising adoption of vegan and plant-based foods by the millennial population is anticipated to increase nutritional yeast consumption in the region.

The Europe nutritional yeast market is expected to grow at a rapid pace during the forecast period. Demand for meatless foods and vegetable proteins has increased as a result of increased awareness about meat-borne illnesses in the nation, such as swine flu and avian flu. Consumers with lactose and gluten intolerance, food allergies, and even those on restricted diets can benefit greatly from nutritional yeast.

Get Free Sample Report

Segments

The global nutritional yeast market has been segmented on the basis of

Nature

• Conventional
• Organic

Product Types

• Revivable Yeast
• Fortified Yeast
• Inactivated Dry Yeast

End-users

• Poultry
• Pharmaceutical
• Livestock
• Food Industry
  • Sport Drinks
  • Snacks & Sausage
  • HoReCa
  • Bakery
  • Dietary Supplements

Distribution Channels

• Online Stores
• Hypermarkets
• Supermarkets
• Convenience Stores
• Others

Regions

• Asia Pacific
• North America
• Latin America
• Europe
• Middle East & Africa

Key Players

• The Archer Daniels Midland Company
• Lesaffre
• Lallemand
• Biomin
• Chr. Hansen A/S
• Angel Yeast
• Alltech
• ABF Ingredients
• Pacific Ethanol, Inc.
• Leiber GmbH

Competitive Landscape

Key players competing in the nutritional yeast market include The Archer Daniels Midland Company; Lesaffre; Lallemand; Chr. Hansen A/S; Biomin; Angel Yeast; Ecoideas; Alltech; ABF Ingredients; Pacific Ethanol, Inc.; and Leiber GmbH. Angel Yeast one of the leading suppliers of yeast extract in the world is promoting the use of nutritional yeast by offering a product that is the result of years of scientific and nutrition team study.

To make its flakes, the company drum-dries nutritious yeast mixed with yeast polysaccharides. This process increases rigidity and strength, ensuring that the final product has the complete nutritional benefits of yeast as well as the robust nutty cheese flavor and crunchy texture that have made nutritional yeast a staple in many modern kitchens.

The research report on the nutritional yeast market covers a complete market overview by focusing on various key strategies and business development methods adopted by the leading nutritional yeast manufacturer to ensure their presence intact in the global competition. Some of the strategies include product launches, acquisitions or mergers, partnerships or collaborations, and expansion of production units. For instance,

• In February 2022, Bragg has been a household name in the food sector Since 1912 and recently announced the arrival of its new flavored nutritional yeast seasonings in the American market. Two new tastes have been introduced to boost sales include roasted garlic and smokey BBQ. The new flavors increase the nutritional yeast's application as a delicious plant-based seasoning. Additionally, each serving of Bragg's nutritious yeast provides five grams of complete protein and is a good source of vitamins B6 and B12.

• In May 2021, Because Animals, a leading yeast manufacturer that specializes in producing plant-based pet food, announced the addition of a new flavor to its range of dig cookies: Pumpkin Noochies. Nutritional yeast is used in the formulation of Pumpkin Noochies- which the company refers to as "Nooch" includes pumpkin, beta-glucan to strengthen the immune system, applesauce, coconut oil, ancient grains, cinnamon, syrup, and Vermont maple.

• In June 2021, Ecoideas announced the extension of its nutritional yeast range with the addition of new items, such as nutritional yeast with B12 & D2 and organic nutritional yeasts.

• In September 2021, Angel Yeast launched nutritional yeast flakes which are excellent for vegetarian dietary supplements and sports nutrition. Through a proprietary procedure, the component is extracted from specific pure strains of Saccharomyces cerevisiae that are derived from sugar cane or beet molasses.