The malt extracts market in North America is expected to reach US$ 361.87 million by 2027 from US$ 217.00 million in 2018; it is expected to grow at a CAGR of 6.0% from 2019 to 2027.
Growing popularity of craft beer is bolstering the growth of the malt extracts market in the North American region. An increasing number of lounges, breweries, and bars is boosting the growth of this market. Rise in millennial population is anticipated to create a lucrative opportunity for the craft beer during the forecast period. In the overall beer market, the craft beer market holds nearly 15% market share. Growth of Gen Y and Gen X population has also incited the demand for craft beer. Depending upon the brewer’s formulation, the beer producers are adding variable amount of malt extracts which is boosting the growth of the market. The microbrewery is a brewery that is focused on producing small amounts of beer associated to large-scale corporate breweries and independently owned breweries. According to the US Brewers Association, there are lucrative opportunities and areas for growth in the microbrewery industry. Malt and its extracts are the major ingredient used for producing craft beer. Thus, increasing consumption if craft beer and rising number of breweries in the US and Canada over the past few years have boosted to growth of the malt extract market in North America.
In terms of application, the beverages segment dominated the North America malt extracts market. Malt extract is basically made through brewing the whole grain in the same way as beer is prepared but skipping the fermentation step; once varying amounts of water has been evaporated, the result is a syrup, liquid, or soluble powder. In addition to the generally grown interest in plant-based and multi-functional natural ingredients, malt extract sweeteners provide sector-specific benefits for the spectrum of beverage-industry items. Malt-based beverages offer not only unique flavor profiles and subtle sweetness; however, unlike cane sugar, high-fructose corn syrups, and artificial sweeteners, it contains an abundance of antioxidants (five times the amount of broccoli) along with essential amino acids, vitamins, minerals, and soluble fiber. Malt-based beverages for sports are quite popular, along with non-alcoholic beer. In the US, generally unique flavors are added with malt-based beverage, for extra sweetness and fruitier notes. This results in drinks such as dark & light malt beverages, specialty beers, weizen, stout, pilsner, radlers, ciders, and soft & energy drinks.
COVID-19 pandemic has affected industries and economies in various countries due to lockdowns, business shutdowns, and travel bans. The US has the highest number of confirmed cases of COVID-19 compared to Canada and Mexico. Due to the COVID-19 outbreak, the supply and distribution chain is likely to get affected. Also, the overall manufacturing processes, research, and development activities will also negatively impact market growth.
The overall North America malt extracts market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining overview and forecast for the North America malt extracts market with respects to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants who typically take part in such a process include industry experts such as VPs, business development managers, market intelligence managers, and national sales managers along with external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the North America malt extracts market. Maltexco S.A.; Malteurop Group; Ireks Gmbh; Malt Products Corporation; United Malt Group; Groupe Soufflet; Muntons Plc; Boortmalt N.V.; Rahr Corporation; Complementos Alimenticios, SA de CV; and Liotecnica are among a few players operating in the North America malt extracts market.