Beer Malt Market Size & Share Trends, 2033

Beer Malt Market Overview

The Beer Malt Market size was valued at USD 3828.47 million in 2024 and is expected to reach USD 5259.42 million by 2033, growing at a CAGR of 3.5% from 2025 to 2033.

The beer malt market forms the backbone of the global brewing industry, supporting the production of over 1.91 billion hectoliters of beer consumed annually worldwide. Malted barley remains the primary raw material, with more than 45 million metric tons produced globally in 2023. As the key ingredient in beer formulation, beer malt contributes to flavor, color, and fermentation efficiency. More than 80% of beer produced globally uses malted barley as the primary base, with wheat, rye, and sorghum malts accounting for the remaining share. In 2023, over 1,200 malting facilities operated globally, supplying both macro-breweries and over 39,000 craft breweries. The U.S. produced over 2.4 million metric tons of beer malt, while Europe, led by Germany and France, contributed more than 10.2 million metric tons. Asia-Pacific’s demand surged due to expanding middle-class consumption, with China and India importing over 1.3 million metric tons combined. The market also includes specialty malt variants, which are gaining popularity for ale and stout production. Specialty malt usage rose by 9.8% in 2023, reflecting growing demand for artisanal and craft-style beer variants. With increasing consumer preference for unique flavors and regional beer styles, the beer malt market remains dynamic and essential for the brewing sector.

Key Findings

Driver: Rising global consumption of craft and premium beers increasing demand for high-quality malt inputs.

Country/Region: Europe led the market with over 10.2 million metric tons of malt produced for brewing purposes.

Segment: Malt with leaching rates above 81% accounted for 42% of global usage due to superior extract yield.

Beer Malt Market Trends

The beer malt market is experiencing transformative shifts driven by evolving consumer preferences, innovation in brewing technologies, and rising global beer consumption. In 2023, global beer production exceeded 1.91 billion hectoliters, with over 1.5 billion hectoliters relying primarily on malted barley. Craft beer growth significantly impacted malt trends, as over 39,000 craft breweries worldwide consumed approximately 6.7 million metric tons of specialty and base malts. One prominent trend is the increasing use of high extract yield malt, with leaching rates above 81%, now comprising 42% of global production. These malts offer better efficiency and consistency, allowing breweries to reduce grain input by up to 11% without compromising beer volume. In 2023, breweries in the U.S., Germany, and Australia collectively used over 2.8 million metric tons of high leaching malt. There is also a notable rise in organic and non-GMO malt demand. Organic malt production reached 420,000 metric tons in 2023, with Europe accounting for 64% of total certified organic beer malt usage. Premium brands in Belgium, the U.K., and Scandinavia led this transition, driven by sustainability mandates and eco-labeling programs.

Local sourcing and traceability have become key trends, particularly in North America and Europe. In 2023, over 47% of breweries in the U.S. sourced malt within a 300-mile radius, helping reduce transportation emissions and improve batch consistency. Similarly, France and Germany implemented blockchain-backed traceability systems that tracked more than 1.9 million tons of beer malt from farm to glass. Hybrid malts and roasted variants are gaining traction among craft brewers. Roasted malt usage increased by 13.4% in 2023 due to growing popularity of porters and stouts. In the Asia-Pacific region, flavored malts infused with local spices or herbs emerged in Vietnam and Thailand, where over 20,000 metric tons of flavored malt were sold to boutique breweries. Another trend is the adoption of automation in malting operations. In 2023, over 150 new malting facilities were equipped with AI-integrated germination and kilning systems, reducing energy use by up to 18%. These innovations helped major players improve operational efficiency and meet expanding demand. Together, these trends reflect a market transitioning toward efficiency, quality enhancement, and product diversity, supporting the global evolution of the brewing industry.

Beer Malt Market Dynamics

DRIVER

Rising global consumption of craft and premium beers

The expansion of the craft beer industry remains the most influential driver for the beer malt market. In 2023, more than 39,000 craft breweries operated worldwide, with the U.S. contributing over 9,400 and Europe over 12,000. Collectively, these breweries consumed over 6.7 million metric tons of specialty and base malts. The average malt usage per barrel in craft beer is approximately 19.6 kg, higher than macrobrewery use due to the focus on flavor complexity and diversity. Moreover, countries such as Brazil, Vietnam, and South Korea have seen a 15–20% increase in small-batch beer production, further accelerating demand for specialty malts with distinct leaching properties and flavor profiles.

RESTRAINT

Supply chain disruptions and raw material volatility

A significant restraint in the beer malt market is the fluctuation in barley yields and logistical constraints. In 2023, global barley production declined by 3.4%, with drought conditions in Canada and parts of Europe reducing overall supply by over 1.8 million metric tons. This shortage impacted malt producers, particularly in Western Canada and Eastern Europe. Additionally, freight costs for bulk malt shipments increased by 27% in 2023, delaying delivery schedules across Asia and Africa. As a result, several breweries in India and Nigeria reported temporary production halts due to inconsistent malt supply. Moreover, quality inconsistencies in barley due to climatic stress have resulted in higher rejection rates—over 9.6% of harvested barley in 2023 failed to meet malting standards.

OPPORTUNITY

Growth in low-alcohol and functional beer categories

The emergence of low-alcohol and functional beers presents a new opportunity for malt innovation. In 2023, over 290 million liters of non-alcoholic beer were produced in Europe alone, a 12.3% increase from the previous year. This category requires unique malt types that retain flavor and body despite limited fermentation. Malt suppliers in Germany and Spain have introduced enzyme-rich specialty malts, with more than 75,000 metric tons sold for low-alcohol beer formulations. Additionally, functional beers infused with vitamins, botanicals, or electrolytes have gained traction, with over 120 product launches globally. These products require tailored malt profiles, offering new demand channels for maltsters focusing on innovation and health-conscious segments.

CHALLENGE

Rising production costs and energy consumption in malting

Malting is an energy-intensive process, especially during the kilning and germination stages. In 2023, the average energy cost per ton of malt produced increased by 21%, particularly in Europe where gas prices spiked due to geopolitical tensions. Maltsters in France and Poland reported up to €110 per ton in energy expenses. In response, several producers have begun retrofitting kilns with heat recovery systems, though such upgrades can cost up to €2.5 million per facility. Small- to medium-sized maltsters are especially vulnerable, with over 42 independent operations in Central Europe halting production temporarily in 2023 due to high input costs. These factors pose long-term challenges to scalability and margin retention.

Beer Malt Market Segmentation

The beer malt market is segmented by leaching rate and application. Leaching rate defines malt extract efficiency, categorized into below 79.5%, 79.5–81%, and above 81%. In 2023, malts above 81% accounted for 42% of global production, due to their superior brewing yield. The 79.5–81% segment made up 36%, serving mid-sized breweries, while malts below 79.5% accounted for 22%, primarily used in traditional ale production. By application, ales consumed 34% of total malt, lagers used 48%, and stouts and porters combined accounted for 18%, with dark roasted and specialty malts dominating these subcategories.

By Type

Malt leaching rate <79.5%: accounted for 22% of the total malt used in 2023, equating to approximately 9.9 million metric tons. These malts are favored in traditional ale brewing, especially in the U.K. and Ireland, where flavor richness is prioritized over extract yield. However, due to lower brewing efficiency, usage is declining in large-scale breweries. This segment remains relevant for regional and heritage-focused brewing operations.
Malt leaching rate between 79.5% and 81%: served the mid-range segment, covering 16.2 million metric tons globally. These malts balance cost and quality, making them ideal for medium-sized breweries producing both ales and lagers. Countries such as Poland, Mexico, and Japan predominantly use this malt range for standard commercial beer.
Malt leaching rate >81%: is the most efficient and accounted for over 18.9 million metric tons in 2023. These malts are widely adopted by macro-breweries aiming for high output with optimal grain usage. In the U.S., more than 68% of macro-scale beer was brewed using malts with a leaching rate above 81%.

By Application

Ales: consumed around 15 million metric tons of malt globally, with high usage of caramel and crystal malts. Craft ale brewers in the U.S., Canada, and Belgium were major contributors, with over 6,800 breweries focused on ale production.
Lagers: consumed the largest share—about 21.4 million metric tons—in 2023. The style’s global popularity, particularly in China, the U.S., and Germany, sustained consistent demand for pale and pilsner malts. In China alone, over 7.1 million metric tons were used for lager brewing.
Stouts and porters: used approximately 8 million metric tons in 2023, mainly roasted and black malts. The U.K. and Ireland remained leading markets, contributing over 2.2 million metric tons, with increased interest from U.S. craft brewers.

Beer Malt Market Regional Outlook

North America

North America represented one of the most dynamic beer malt markets in 2023, with total consumption exceeding 8.4 million metric tons. The United States alone consumed over 6.5 million metric tons, driven by more than 9,400 craft breweries and five major macrobrewery groups. Canada contributed around 1.2 million metric tons, supported by strong exports to Asia and Europe. The U.S. also led in specialty malt demand, with over 1.3 million metric tons used in IPA, pale ale, and porter production. Craft brewers in California, Oregon, and New York prioritized locally-sourced malt, and over 48% of U.S. breweries used regional suppliers within 500 kilometers.

Europe

Europe remained the global leader in beer malt production and consumption, with over 18.6 million metric tons used in 2023. Germany, the U.K., France, and Belgium were the primary consumers, with Germany alone accounting for 5.3 million metric tons. France exported over 1.1 million metric tons of malt, particularly to Africa and South America. Craft beer innovation surged across Scandinavia and Eastern Europe, increasing demand for roasted and caramel malts by 14%. Organic malt demand in Europe reached 270,000 metric tons, with Germany and Denmark leading. More than 120 malt houses in Europe implemented energy-saving upgrades to align with EU decarbonization goals.

Asia-Pacific

Asia-Pacific saw rapid growth in beer malt consumption, reaching over 9.7 million metric tons in 2023. China led the region with over 5.4 million metric tons, followed by Japan at 1.3 million, and India at 950,000 metric tons. India’s beer malt demand rose by 11.2%, driven by growth in premium lagers and craft beer. Imports from Australia and France met over 52% of China’s malt requirement. In Southeast Asia, Vietnam, the Philippines, and Thailand together consumed over 1.2 million metric tons, largely used for local lager production. The expansion of boutique brewing in South Korea and Indonesia added more than 95,000 metric tons of specialty malt demand in 2023.

Middle East & Africa

Middle East and Africa consumed approximately 3.1 million metric tons of beer malt in 2023. South Africa led with 1.2 million metric tons, followed by Nigeria with 740,000 metric tons. Egypt and Kenya each consumed over 300,000 metric tons, primarily for lager and malt-based beverage production. The African beer market’s expansion, particularly in Ethiopia and Ghana, drove an additional 8.5% rise in malt imports. In the Middle East, non-alcoholic malt beverages accounted for over 500,000 metric tons of malt usage. Saudi Arabia and the UAE imported over 260,000 metric tons, supporting both halal-certified malt beverage categories and new low-alcohol beer products.

List Of Beer Malt Companies

Cargill
Graincorp
Soufflet Group
Malteurop North America Inc.
Agraria
Viking Malt AB
Ireks GmbH
Simpsons Malt Limited
Barmalt Malting India Pvt. Ltd.

Cargill: In 2023, Cargill emerged as the largest global player in the beer malt market, producing over 2.9 million metric tons across its malting operations in North America, Europe, and Australia. The company supplied malt to more than 230 brewing conglomerates and 6,000 craft breweries, with significant expansion in Africa and Asia. Its Belgian and U.S. plants collectively exported over 870,000 metric tons to 38 countries.

Graincorp: Graincorp ranked second, with total beer malt output surpassing 2.1 million metric tons in 2023. Operating through its division, United Malt Group, it maintained strong market presence in Australia, Canada, and the U.S. Over 680,000 metric tons were produced for lager and ale brewing in Asia-Pacific, and the company introduced energy-efficient kilns in its Victoria plant, reducing emissions by 14% per ton of malt produced.

Investment Analysis and Opportunities

In 2023, the global beer malt sector witnessed capital investments exceeding $1.1 billion USD-equivalent in facility expansions, energy-efficient malting systems, barley R&D, and regional distribution enhancements. Europe led in infrastructure modernization, with over $410 million allocated to upgrading kilns and germination equipment. France’s three leading malt producers collectively expanded output by 420,000 metric tons, targeting African and South American export markets. In North America, Cargill and Malteurop invested over $240 million to boost specialty malt production, particularly in Wisconsin, Minnesota, and Ontario. These facilities added a combined 310,000 metric tons of capacity for dark, caramel, and enzyme-enhanced malts used in stouts, porters, and experimental lagers. Meanwhile, Canada’s Alberta government co-funded $32 million for barley breeding programs to support high-extract-yield malt varieties. Asia-Pacific attracted over $260 million in new investment, with China’s COFCO Group expanding its malting facility by 180,000 metric tons to support domestic lager production. In India, Barmalt Malting commissioned a new plant in Rajasthan with annual capacity of 75,000 metric tons, supplying both industrial and craft breweries. Vietnam’s two largest brewers announced joint investments of over $58 million in malt warehousing and local sourcing agreements. Africa received a growing share of attention, particularly from European maltsters. In Nigeria, over $45 million was invested in malt import terminals and processing units, as local barley cultivation covers only 28% of national malt demand. Ethiopia and Kenya signed procurement contracts with European suppliers to import over 130,000 metric tons annually for the next five years. Key opportunities include the growing demand for functional malts used in non-alcoholic and fortified beverages. Malt manufacturers targeting the low-alcohol segment reported 18% higher margins due to premium formulation requirements. Another opportunity lies in carbon-neutral malting, with pilot plants in Belgium and Canada showing 28–33% lower emissions using biomass-fueled drying systems. These investments signal a strategic shift toward diversification, sustainability, and regionalization, enabling beer malt producers to better serve the evolving needs of brewers across macro, craft, and non-alcoholic beverage sectors globally.

New Product Development

The beer malt market has witnessed significant innovation in product development between 2023 and 2024, largely driven by the evolving needs of craft brewers, sustainability mandates, and the rapid expansion of non-alcoholic and specialty beer categories. One major area of development has been the introduction of high-efficiency malts with leaching rates exceeding 81%, designed to improve brewing yield and lower raw material requirements. In 2023, more than 3.8 million metric tons of such high-performance malts were sold globally, with macrobreweries in the United States, China, and Germany adopting these for more than 60% of their lager production. Malt producers also launched roasted and caramel variants tailored specifically for porters, stouts, and dark ales. In the U.K., specialty malt sales increased by 14.7%, with Simpsons Malt introducing three new roasted profiles to support over 2,300 craft brewers. Similarly, in the U.S., Briess Malt & Ingredients launched a chocolate malt with reduced husk bitterness, with more than 1,200 breweries adopting it in 2023. The increasing complexity of flavor demands among consumers has encouraged maltsters to invest in profile-specific roasting techniques, resulting in more than 58 new malt SKUs introduced in the market within one year. Organic and non-GMO malt products also entered the mainstream, responding to rising consumer awareness and regulatory pressures. Over 420,000 metric tons of certified organic malt were produced in 2023, led by suppliers in Germany, Denmark, and Canada. Viking Malt introduced a fully traceable organic barley malt used in over 190 product SKUs in Europe alone, and its adoption expanded into the Nordic and Baltic regions. In Asia, the introduction of malt varieties with local flavor integration marked a major innovation step. Producers in Vietnam, Thailand, and Japan began using regionally-sourced botanicals like lemongrass and black rice during malting, with over 20,000 metric tons of these hybrid malts sold in 2023. These developments helped meet rising demand for beer styles that reflect regional identity and support local agriculture. Advancements in enzyme-enhanced malts also gained traction. These malts offered improved attenuation and were used in non-alcoholic beers, which saw over 18% global growth. German producers launched beta-glucanase-rich malt blends that enhanced filtration efficiency and were adopted in over 120 brewing operations within six months of release. Such innovations are expanding the functional value of malt, making it central to the brewing strategies of both mainstream and craft producers worldwide.

Five Recent Developments

In March 2023, Cargill expanded its Minnesota malting facility by 120,000 metric tons, focused on high-efficiency leaching malt for North American craft brewers.
In June 2023, Graincorp’s United Malt Group opened a new specialty malt plant in the U.K. with a capacity of 95,000 metric tons, supporting demand for roasted and caramel malts.
In September 2023, Barmalt Malting India began production at its new Rajasthan plant with an output of 75,000 metric tons, targeting domestic breweries and export clients.
In December 2023, Viking Malt AB initiated a pilot program in Finland using biomass-fueled kilns, achieving a 31% reduction in malting energy costs.
In February 2024, Malteurop signed a five-year export contract with Nigerian brewers to supply 210,000 metric tons of malt annually, reinforcing European-African trade ties.

Report Coverage of Beer Malt Market

This report offers a comprehensive and data-rich analysis of the global beer malt market, presenting in-depth insights into production trends, demand drivers, product segmentation, regional outlook, competitive positioning, and innovation pipelines. The market covered over 45 million metric tons of malted barley production in 2023, with over 90% of global beer relying on malt as a base fermentable ingredient. The study focuses on both traditional base malts and emerging segments such as specialty, organic, and high-leaching efficiency malts. The segmentation analysis includes malt types categorized by leaching efficiency—below 79.5%, between 79.5% and 81%, and above 81%—detailing usage volumes, brewing efficiency metrics, and end-user application preferences. In 2023, high-efficiency malts (>81%) accounted for 42% of total usage, driven by industrial-scale breweries across North America, Europe, and East Asia. Meanwhile, ales and stouts continued to rely heavily on specialty roasted and caramelized malts. Geographic analysis spans North America, Europe, Asia-Pacific, and the Middle East & Africa, with each region’s demand profile, production volume, trade flows, and investment initiatives quantified. Europe remained the largest producer and exporter, with over 18.6 million metric tons, while Asia-Pacific emerged as the fastest-growing demand center, consuming 9.7 million metric tons of malt for brewing in 2023. The competitive landscape focuses on leading producers such as Cargill and Graincorp, who together controlled over 5 million metric tons of global supply. Company profiles include manufacturing capacity, regional footprint, innovation strategies, and vertical integration efforts. Investment analysis highlights capital expenditures exceeding $1.1 billion globally in 2023 across facility upgrades, barley breeding, and green energy integration. Innovation sections detail the rise of functional malts used in low-alcohol and non-alcoholic beverages, AI-enabled malting systems, carbon-neutral production lines, and biomass-fueled kilns. The report further outlines regulatory movements around sustainability labeling, specially in the EU and Canada, which are expected to shape malt procurement decisions through 2025. Designed for use by raw material suppliers, brewery procurement managers, agricultural stakeholders, and market analysts, this report delivers high-resolution intelligence necessary for strategic decision-making in the global beer malt industry.