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What fueled the previous growth in the fresh compressed yeast market?

In the past few years, the fresh compressed yeast market has shown vigorous growth. The market scale, projected to rise from $5.05 billion in 2024 to $5.48 billion in 2025, reflects a compound annual growth rate (CAGR) of 8.5%. Reasons contributing to this growth during the historical period include the surge in the bakery industry, its pivotal role in traditional baking practices, the widening scope of the food processing industry, increasing population and urbanization, along with a heightened awareness of health and preference for natural ingredients.

What will be the fresh compressed yeast market size in the future?

Expectations are high for a significant expansion in the fresh compressed yeast market in the coming years, with projections indicating growth to “$7.37 billion in 2029 at a Compound Annual Growth Rate (CAGR) of 7.7%. The anticipated surge during this predicted period is largely due to factors such as the popularity of specialty and artisanal baked items, the rise in quick-service restaurants, gluten-free and allergen-free product innovations, the worldwide increase in baked goods consumption, and the advancement of e-commerce for sales in food ingredients. Key trends projected to influence this period include the development of yeast strains through research, adherence to sustainable and eco-friendly practices, progress in microbial fermentation technologies, breakthroughs in packaging technology, and the production of clean-label and non-GMO products.

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What main drivers are fueling expansion in the fresh compressed yeast market?

The growth of the fresh compressed yeast market is being driven by the surging demand for bakery items. These are generally made in bakeries that specialize in creating and selling baked goods made from flour, such as cookies, cakes, pastries, bread, and pies. Fresh yeast, also known as compressed yeast, is commonly incorporated in bakery products like bread, rolls, and other yeast-leavened foods. As it has a short shelf-life, it must be used within a few days. Fresh compressed yeast is a key ingredient in baking this variety of products. For example, statistics from Euromonitor International in October 2022, published on the Government of Canada’s official website, indicated that the retail sales of baked goods in the US amounted to $67.9 billion in 2021 and are predicted to reach $75.8 billion by 2026. Hence, the fresh compressed yeast market is seeing substantial growth due to the escalating demand for bakery goods.

What key areas define the segmentation of the global fresh compressed yeast market?

The fresh compressed yeast market covered in this report is segmented –

1) By Product Type: Baker’s Yeast, Brewer’s Yeast, Bio-ethanol Yeast, Feed Yeast

2) By Form: Fresh Yeast, Active Dry Yeast, Instant Yeast, Other Forms

3) By Application: Functional Food, Beverage Segment, Feed, Other Applications

Subsegments:

1) By Baker’s Yeast: Active Dry Yeast, Instant Yeast, Fresh Yeast

2) By Brewer’s Yeast: Ale Yeast, Lager Yeast, Wild Yeast

3) By Bio-ethanol Yeast: Saccharomyces Cerevisiae, Other Yeast Strains

4) By Feed Yeast: Dry Yeast, Live Yeast, Yeast Extracts

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Who are the dominant players expanding their reach in the fresh compressed yeast market?

Major companies operating in the fresh compressed yeast market include Lesaffre, AB Mauri, Lallemand Inc., Angel Yeast Co. Ltd., Pakmaya, Biorigin, DSM Food Specialties, Kerry Group, Alltech, Oriental Yeast Co. Ltd., ICC Brazil, Kothari Fermentation and Biochem Ltd., Jinan Yuansheng Biological Technology Co. Ltd., AHD International, Hebei Jiuding Yeast Co.Ltd., Shandong Bio Sunkeen Co. Ltd., Algist Bruggeman NV, Hansens, Fada Yeast, Vinayak Ingredients India Pvt. Ltd., Biospringer, Cargill, Puratos, Altech Biotechnology, Bioenox, Hefei Xingye Biotechnology Co. Ltd., Guangxi Forise Yeast Co. Ltd., Renaissance BioScience Corp., Titan Biotech Ltd., Heilongjiang Jiuding Yeast Co. Ltd.

How are evolving market trends shaping fresh compressed yeast Strategies?

Innovations in technology are becoming a prevalent trend in the fresh compressed yeast industry. A majority of the leading companies in the sector are embracing new technologies to maintain their marketplace presence. For example, in December 2022, EvodiaBio, a manufacturer of natural fragrances based in Denmark, introduced a sophisticated yeast-based technology solution designed for the beverage sector. For the first time, this approach allows cost-effective, long-term biotech production of volatile fragrance molecules from beans. The utilization of this method enables brewers to conserve scarce plant resources and to reduce their water and CO2 emissions by over 90%. This specialized yeast not only enhances the taste of non-alcoholic beer, but also represents a more sustainably-conscious alternative to traditional methods of hop cultivation, transportation, and processing.

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Which regions are emerging as leaders in the fresh compressed yeast market?

Asia-Pacific was the largest region in the fresh compressed yeast market in 2024. The regions covered in the fresh compressed yeast market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

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