The global hopped malt extract market provides malt extract products infused with hops in order to impart bitterness, flavor and aroma. Hopped malt extract is a versatile ingredient that finds widespread use in the production of craft beers, allowing brewers to balance the sweetness of malt with hoppy nuances. It offers consistency and convenience as an all-in-one solution for small batch brewing. With health-conscious consumers exhibiting a growing demand for unique craft beers, the hopped malt extract market is poised for significant growth in the coming years.
The Global Hopped Malt Extract Market is estimated to be valued at US$ 10.85 Mn in 2024 and is expected to exhibit a CAGR of 6.3% over the forecast period 2024 to 2030.
Wide application in specialty and craft beer varieties has augmented the need for hopped malt extracts around the world. Its usage provides requisite bitterness and aromatic properties without the need for extended boil times. Additionally, it aids smaller breweries in reproducing commercial beer styles with ease.
Key Takeaways
Key players operating in The Hopped Malt Extract Market are Koninklijke DSM N.V., Muntons plc, Associated British Foods plc, The Malt Company, IREKS GmbH, Doehler, Briess Malt & Ingredients Co., Malteries Soufflet, PureMalt, and Huajia Food Technology. These companies offer a variety of hopped malt extracts tailored for specific styles like IPA, pale ale, porter etc.
The craft beer trend has been driving heavy demand for niche products and customization. Hopped malt extracts facilitate experimentation and help smaller players penetrate specialist segments. The market has observed a spurt in sales from local and regional operations looking to stand out.
Globally, the United States and Western European countries lead the consumption of craft beers. However, emerging economies of Asia Pacific and Latin America are witnessing a surge in craft breweries as well. This expanding footprint of specialty beers worldwide presents lucrative opportunities for hopped malt extract manufacturers seeking international expansion.
Market Key Trends
Customization has become a top priority for craft brewers striving to intrigue evolving consumer palates. In response to the demand for unique flavors, players are coming up with novel hopped malt extracts featuring ingredients like fruit purees, herbs and spices. Experimental varieties infused with elements like coffee, vanilla or chili enable production of exciting beer styles beyond traditional categories. This trend of multifunctional and customized hopped malt extracts will continue shaping market growth patterns.
Porter’s Analysis
Threat of new entrants: Low barriers to entry allow new manufacturers to enter the market easily.
Bargaining power of buyers: Large buyers have significant influence over hopped malt extract manufacturers.
Bargaining power of suppliers: Specialized inputs and lack of substitutes give suppliers significant influence.
Threat of new substitutes: Potential for other ingredients to be used for flavoring and coloring, though none match hopped malt extract’s functionality.
Competitive rivalry: Intense competition exists among existing hopped malt extract producers to capture market share.
Geographical regions
North America accounts for the largest share of the global hopped malt extract market, both in terms of value and volume. This is attributed to extensive usage of hopped malt extract in the production of beer and other alcoholic beverages. With rising demand for craft beer, the U.S. generates high revenues for hopped malt extract manufacturers.
Asia Pacific exhibits the fastest growth and is estimated to expand at a CAGR of around 8% during the forecast timeline. Increasing young population, growing spending capacity, and shifting taste preferences support the market growth in the region. Moreover, developing economies such as China and India are projected to emerge as highly lucrative markets.