Specialty Malt Market

Specialty Malt Market Outlook (2023 to 2033)

The global specialty malt market has reached a valuation of US$ 2.2 billion in 2023 and is forecasted to exhibit expansion at a healthy 6.1% CAGR over the next ten years. Worldwide demand for specialty malt is expected to reach a market revenue of US$ 4 billion by 2033-end.

Malt that is steeped in unique ways to bring out a specific desired flavour is known as a specialty malt. The expanding demand for alcoholic and non-alcoholic beverages around the world is projected to be a key prospect guiding demand for specialty malt over the coming years.

Specialty malts are being specifically used in craft beers, which have gained massive popularity in recent years and are projected to influentially boost market growth in the future. The surging popularity of cannabidiol (CBD) infused beverages, evolving consumer preferences, high per capita disposable income, establishment of new microbreweries, and growing consumption of alternatives to regular beer are other key aspects that could benefit specialty malt demand over the next ten years.

• In March 2023, Hi-Wire Brewing, a craft beer company founded in 2013, revealed that it was opening its first brewery in Ohio. The brewery was estimated to feature a taproom, patio, rooftop bar, and a variety of beers to choose from.

Increasing use of specialty malt in the bakery industry is also forecasted to open up new frontiers of opportunity for established as well as new specialty malt companies throughout the forecast period. The multi-functional nature of specialty malt is also expected to widen its application scope across several industry verticals and bolster market development in the long run.

• In May 2021, O&H Danish Bakery released a limited-edition pastry celebrating the history of malted milk. The Racine Chocolate Malt Kringle was available for two weeks starting from 7th August 2021 at the bakery’s 5 locations in the United States.

Growing use of malt in health drinks to enhance flavour profile and increasing focus on health are also predicted to boost consumption of specialty malt over the coming years.

On the contrary, fluctuations in raw material prices and production costs are anticipated to be major restraints for specialty malt shipments across the forecast period. Increasing costs of equipment servicing and labor expenditures are also expected to create obstacles for specialty malt producers over the coming years.

Report Attributes	Details
Market Size in 2023	US$ 2.2 Billion
Projected Market Value (2033F)	US$ 4 Billion
Global Market Growth Rate (2023 to 2033)	6.1% CAGR
Share of United Kingdom in European Market (2023)	>20%
Growth Rate of China Market (2023 to 2033)	6.9% CAGR
Share of China in Asia Pacific Market (2033F)	30%
Key Companies Profiled	IREKS Gmbh Groupe Soufflet Malteurop Axereal Baird’s Patagonia Briess Malt & Ingredients Company Viking Malt Oy Simpsons Malt Limited Cargill Inc. Weyermann Barmalt India Pvt Ltd. GrainCorp Ltd. Cooperative Agraria Agroindustrial

Which Start-ups are Propelling Specialty Malt Consumption?

“New Craft Beer Companies Bolstering Demand for Specialty Malt”

The surging popularity of beers with different flavors and growing demand for healthy beverages are creating a lucrative setting for craft beer companies. Evolving consumer preferences of people around the world are also offering attractive growth scope for aspiring breweries. Specialty malt is a key ingredient in craft beer formulation and plays a crucial role in imparting flavor and color to craft beers.

All of the aforementioned factors coupled with the increasing establishment of new microbreweries around the world are slated to offer lucrative growth scope for upcoming specialty malt suppliers through 2033.

More information on new developments by start-ups and how they alter product standards and pricing trends have been discussed extensively in this latest specialty malt market research study by Fact.MR, a market research and competitive intelligence provider.

Country-wise Insights

What is Alluring Specialty Malt Companies to Invest in China?

“Surging Demand for Organic Beverages – Prime Growth Initiator”

China and other developing Asian countries such as India and Japan are expected to witness a notable hike in demand for specialty malt in the future, which can be ascribed to increasing disposable income and changing consumer preferences. Rapid urbanization and the high availability of cheap labor and production costs are also predicted to crucially shape specialty malt consumption in China over the next ten years.

Growing focus on health and surging demand for organic food and beverages are also expected to boost sales of organic beverages and benefit specialty malt market development in the future.

• Shipments of specialty malt in China are forecasted to account for nearly 30% share of the Asia Pacific regional market by the end of 2033.

Which European Country Should Specialty Malt Suppliers Target?

“United Kingdom to Be Gem in European Landscape”

Growing popularity of beer and non-alcoholic malt beverages in the United Kingdom is projected to influentially promulgate the consumption of specialty malt over the coming years. The presence of a highly lucrative malting industry and growing exports of malt from the United Kingdom to leading brewers around the world are also creating highly rewarding business opportunities for specialty malt providers in the country.

Expanding demand for organic foods and beverages is also anticipated to boost shipments of organic specialty malt in the United Kingdom across the forecast period. Expansion of the retail industry and increasing consumption of craft beer are also expected to uplift the consumption of roasted malt in the country in the future.

• Demand for specialty malt in the United Kingdom accounts for more than 20% share of the European marketplace at present.

Germany, Austria, Romania, Poland, Ireland, etc. are projected to emerge as other noteworthy markets in the European region over the next ten years and as consumption of malt-based beverages in these countries increases.

Why is the United States a Salient Market in This Space?

“High Consumption of Alcoholic & Non-alcoholic Malt Beverages”

The United States is projected to emerge as a highly rewarding marketplace owing to increasing sales of malt-based healthy beverages and rising interest in seasoned malt beverages. The hunt for unique flavored beverages by millennials in the country is also expected to open up new windows of opportunity for specialty malt suppliers going forward.

Increasing investments in the food and beverage manufacturing industry, the presence of key beverage companies, and growing awareness regarding the benefits of specialty malt use in the bakery industry are other aspects influencing specialty malt demand in the United States across the forecast period.

Category-wise Insights

Which Source is Widely Preferred for Malting Across the World?

“Barley Highly Desirable for Malting Process”

Based on source, the market for specialty malt is segmented into barley, wheat, rye, and others.

Barley is the most commonly used and widely preferred grain for malting owing to its high enzyme content and its ability to easily germinate in low temperatures. The unique taste of barley also contributes to its high use in the preparation of different types of specialty malt beverages. All of the aforementioned factors allow barley to account for a commanding share in the global marketplace at present.

An elaborative yet concise assessment of all aspects influencing segmental and global market growth such as local supply, product standards, etc., has been mentioned exclusively in this Fact.MR research report.

What Type of Specialty Malt is Set to Lead Revenue Generation?

“Roasted Malt Sales Projected to Exceed Expectations”

Based on product type, the market for specialty malt is segmented into caramelized malt and roasted malt.

Roasted malt is anticipated to account for a significant share of the global marketplace throughout the forecast period. The high availability of a wide range of flavors in roasted malt such as burned sugar, nutty, toffee, caramel, etc. is also anticipated to boost its demand in the future.

The presence of dietary fiber in roasted malt helps in improving cholesterol absorption and reducing insulin activity, which promotes its demand in dietary supplement formulation. The aforementioned aspects are estimated to contribute to the growing use of roasted malt in different applications going forward.

Competitive Landscape

Prime specialty malt providers are penning agreements to acquire and collaborate with other companies to expand their business scope and hasten product research and development.

• In November 2021, Murphy & Rude Malting Company collaborated with Three Notch’d Brewing Co. as one of its many specialty malt suppliers. The move was aimed at utilizing more Virginia-grown malted grain.
• In November 2019, Boormalt Group, a subsidiary of Axereal, announced the completion of its acquisition of Cargill’s malt business. The company took over 16 malt houses and 27 malting plants through this acquisition and increased its share in the global competitive landscape by a handsome margin.

Established specialty malt companies are also focusing on expanding their production capacity by investing in improving their manufacturing facilities.

• In August 2020, Briess Malt & Ingredients Company, a renowned malt manufacturer based in the United States, completed its US$ 17 million expansion project at its Manitowoc facility. Most of the malting operations of the company were expected to take place at this facility and other facilities were expected to be phased out in the future.

Key Segments of Specialty Malt Industry Research

• By Product Type :

  • Caramelized Malt
  • Roasted Malt

• By Source :

  • Barley
  • Wheat
  • Rye
  • Others

• By Extract :

  • Dry
  • Liquid
  • Malt Flours

• By Application :

  • Individual
  • Institutional
  • Promotional

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA