Malt Market size is projected to accrue significant gains through 2027, driven by the product’s immense application in the beer industry. In this case, it would be crucial to note that increased growth in the beer market would add to the growth dynamics of malt industry in the coming years. In 2019, global beer production accounted for 1.91 billion hectoliters.
Malt is a product that is prepared from grains through the malting process, encompassing partial germination, to modify the grains’ natural food substances.
The surge in market can currently be ascribed to the thriving beer industry. Beer is now considered a casual drink across the globe, and less harmful in comparison to other alcoholic beverages. The expanded use of malt in F&B industry, wherein it is used for diverse products, is further likely to act as a growth opportunity for business expansion. In addition to this, use of organic malt in making breweries would further boost the product demand, favoring the market growth.
Increasing consumption of wine and other beverages, aligned with rising concerns related to heightened intake of beer, would potentially challenge the malt market growth in the years ahead.
Considering the type, liquid malt segment is expected to capture considerable growth over 2021 to 2027, owing to the product’s ability to be used as a straight malt replacement or a brew extender, when added to a conventional mash. Liquid malt extract is a natural food component that augments the color, aroma, and sweetness of a particular dish while simultaneously enhancing its appearance, flavor palatability, and food value.
Malt is expected to witness incredible demand from the beverages industry. The product offers sugar and carbohydrates, which are vital to give the beverage different textures, flavors, and colors. More so, the product is also responsible for imparting the aroma and mouthfeel to alcoholic beverages. Owing to these attributes, the beverages segment across malt industry is predicted to account for an appreciable market share over the foreseeable time frame.
Based on brewers, malt market is categorized into standard, base, and specialty. Out of these, specialty malt segment is estimated to record prolific gains through 2027. Specialty malt is generally used to augment flavor. The product can be used in various baked goods, cereals, bars, cookies, and other food items to impart color, augment the flavor, and grant eminent functionalities. The increasing adoption of malt as a natural sweetener and additive and its growing usage in the pharmaceutical industry has produced a demand spurt for specialty market worldwide.
Geographically, Europe is poised to capture an incredible momentum in the overall malt industry. This can be attributed to the increasing awareness of people about healthy dietary habits. Other crucial factors complementing the regional market growth are a surge in the consumption of beer and rise in craft breweries. Moreover, different uses of malts in non-alcoholic beverages and food industries would also further bolster the market expansion in the near future.
Malt industry is highly concentrated and boasts of the presence of leading market players including Cargill, Soufflet, Bairds, Crisp Malting, Heineken, Malteurop, and others. These participants are leaving no stone unturned to introduce novel products in the developments. Besides, the conglomerates have also been involved in various industry practices and strategies like acquisitions, mergers, and collaborations, to gain a competitive edge in the market.
For instance, Bairds recently released Malt 2.0 produced from the new Sassy barley variety. Likewise, in 2020, Crisp Malting announced opening a new 2 million euros packaging line in Wee County to offer more access to barley that is grown, malted, and packaged in Scotland.
Malt industry recorded a significant reduction in market numbers during 2020, mainly due to the decreasing consumption of beer. More so, halt in production and disruptions in supply chains would further negatively influence the global malt market statistics through 2027.