Fermented Ingredients Market Size, Share & Trends Analysis Report By Product (Vinegar, Cider), By Application (Food & Beverages, Pharmaceuticals), By Region, And Segment Forecasts, 2024 - 2030

Fermented Ingredients Market Size & Trends

The global fermented ingredients market size was valued at USD 35.3 billion in 2023 and is projected to grow at a CAGR of 11.1% from 2024 to 2030. Increasing consumer awareness about the health benefits of fermented products, such as improved digestion and enhanced immune function, is a major contributor. Additionally, the rising demand for natural and organic food products, coupled with the growing trend of clean-label ingredients, is propelling market expansion. Technological advancements in fermentation processes are also enhancing production efficiency and product quality, making fermented ingredients more accessible and affordable. Furthermore, the expanding applications of fermented ingredients in various industries, including food and beverages, pharmaceuticals, and cosmetics, are fueling market growth. Also, the increasing popularity of plant-based diets and the demand for sustainable and eco-friendly products are further boosting the market.

Growing cases of health diseases and increasing vitamin deficiencies have become major concerns in recent years. Addressing these issues requires solutions such as a balanced diet. Fermented ingredients used to produce fermented foods are among the oldest food preservation methods and offer benefits such as enhanced immunity, improved digestion, and reduced pancreatic burden.

In addition, the fermented ingredients market is expanding as these ingredients are increasingly incorporated into skincare products. Consumers associate prebiotics, probiotics, and postbiotics with health, well-being, and sustainability, leading to the global popularity of probiotic cosmetics. The fermentation process generates numerous secondary products, known as postbiotics, which include vitamins, amino acids, lactic acids, polysaccharides, and beta-glucans. These components play a crucial role in nourishing and immunizing the human body.

Product Insights

The vinegar segment dominated the market and accounted for a share of 43.0% in 2023 owing to vinegar’s extensive use across various industries, including food and beverages, healthcare, and cleaning products. In the culinary world, vinegar is a staple ingredient, valued for its ability to enhance flavors, preserve food, and act as a natural preservative. The health benefits associated with vinegar, such as improved digestion, blood sugar regulation, and antimicrobial properties, have further fueled its demand. Additionally, the growing trend of natural and organic products has led to increased consumer preference for vinegar-based products, which are perceived as healthier alternatives to synthetic chemicals.

The cider segment is anticipated to grow at a CAGR of 11.8% from 2024 to 2030 attributed to the rising popularity of cider as a refreshing and healthier alcoholic beverage alternative. Consumers are increasingly seeking beverages that offer unique flavors and health benefits, and cider fits this demand perfectly. The fermentation process used in cider production not only enhances its taste but also contributes to its probiotic content, which supports gut health. Moreover, the trend towards craft beverages and artisanal products has led to a surge in small-scale cider producers, further boosting market growth.

Application Insights

The food & beverage segment dominated the market in 2023, reflecting the widespread use of fermented ingredients in this industry. Fermented foods and beverages, such as yogurt, kefir, sauerkraut, kimchi, and kombucha, have gained immense popularity due to their health benefits, including improved digestion, enhanced nutrient absorption, and boosted immune function. The increasing consumer demand for natural, organic, and clean-label products has further propelled the adoption of fermented ingredients in the food and beverage sector. Additionally, the culinary trend toward traditional and artisanal foods has led to a resurgence in the popularity of fermented products. The versatility of fermented ingredients, which can be used to enhance flavors, preserve food, and improve texture, makes them indispensable in the food and beverage industry.

The pharmaceutical segment is anticipated to witness the fastest growth over the forecast period, driven by the expanding recognition of the therapeutic benefits of fermented ingredients. Fermented ingredients, such as probiotics, prebiotics, and postbiotics, are increasingly being incorporated into pharmaceutical products to support gut health, enhance immune function, and improve overall health outcomes. The growing prevalence of chronic diseases and the rising awareness of the importance of gut microbiota in maintaining health are key factors driving this segment’s growth. Additionally, advancements in biotechnology and fermentation processes are enabling the development of innovative pharmaceutical products that leverage the bioactive compounds produced during fermentation. The increasing focus on personalized medicine and the demand for natural and effective health solutions are further boosting the adoption of fermented ingredients in the pharmaceutical industry.

Regional Insights

North America fermented ingredients market was identified as a lucrative in 2023 attributed to a cultural shift towards traditional foods with fermentation practices, prompting companies to innovate their products to meet this demand. Rising sustainability concerns have led to a trend towards clean-label food products, directly impacting the demand for fermented ingredients. Additionally, the growth of e-commerce platforms has enhanced the availability of fermented products, significantly shaping the market.

U.S. Fermented Ingredients Market Trends

The U.S. dominated the North American fermented ingredients market in 2023, driven by increasing consumer prioritization of health, which has surged the demand for fermented ingredients offering functional benefits. The versatile application of these products across various industries, such as pharmaceuticals, food & beverages, animal feed, and personal care, due to their natural properties, makes them a better alternative to artificial additives, fueling market growth in recent years.

Canada’s fermented ingredients market is expected to grow the fastest in the North American region from 2024 to 2030. This growth is attributed to cultural shifts towards the adoption of fermented foods, driven by the country’s diversified demographic population. Technological advancements have resulted in the production of high-quality products on a large scale, increasing their availability to consumers and significantly growing the market in the country.

Europe Fermented Ingredients Market Trends

Europe dominated the fermented ingredients market in 2023 with a revenue share of 34.9% driven by rising sustainability concerns in the region, which have increased the adoption of fermentation processes that decrease energy consumption and provide benefits such as extended shelf life for foods. Additionally, growing concerns about gut health have led to increased adoption of probiotics in diets, thereby boosting the demand for fermented foods. The thriving food and beverage industry has also been a significant factor in the market’s growth in the region.

France fermented ingredients market is expected to grow rapidly in the coming years due to government initiatives promoting healthy diets among citizens and encouraging local manufacturers to produce fermented products. The rise of specialty stores and e-commerce platforms has enhanced the availability of these products on a mass scale, directly impacting sales in recent years.

Asia Pacific Fermented Ingredients Market Trends

Asia Pacific fermented ingredients market is anticipated to grow fastest, with a CAGR of 12% from 2024 to 2030. This growth is attributed to rapid urbanization and rising disposable incomes, which have shifted consumer preferences towards clean-label and natural preservative products. This shift has encouraged manufacturers to produce fermented ingredients on a large scale. Furthermore, improved production techniques and government initiatives have played a vital role in propelling the market in the region.

China fermented ingredients market held a substantial market share in 2023, owing to cultural traditions that include a variety of fermented food products such as tofu, pickled vegetables, soy sauce, and fermented rice. Additionally, the increased awareness of health benefits, such as improved gut health and probiotic advantages, has gained popularity among consumers, thereby surging the demand for these products.

Key Fermented Ingredients Company Insights

Some of the key companies in the fermented ingredients market include Vander Mill, LLC., Dupont, AngelYeast Co, Ltd., Lonza, and others. Organizations are focusing on increasing their customer base to gain a competitive edge in the industry. Therefore, key players are taking several strategic initiatives, such as mergers and acquisitions and partnerships with other major companies. 

• DuPont is a U. S based science and technology company that offers a vast portfolio of offerings such as probiotics, enzymes, and fermentations that help in improving the quality of foods, their nutritional profile, or health benefits to the consumers.

• Vander Mill, LLC offers a complete portfolio of hard ciders brewed using fresh apples from South Eastern Michigan and other creative products, new-age drinks, and blend ciders to meet the increasing market for naturally fermented and crafted products.

Recent Developments

• In February 2024, Evonik established a strategic partnership with Jland Biotech to introduce a novel, vegan collagen specifically formulated for the cosmetic and personal care industry. Leveraging Jland Biotech's advanced fermentation-based production process, Evonik aims to deliver high-purity, non-animal-derived collagen for incorporation into skincare products.

• In February 2024, Lesaffre and DSM-Firmenich established a comprehensive partnership focused on developing yeast-derived solutions for the savory ingredients market. Through this collaboration, Lesaffre will acquire DSM-Firmenich's yeast extract processing technologies, thereby enhancing its capacity to deliver innovative products and services to customers in both savory and other fermentation-based applications.

Fermented Ingredients Market Report Scope

Global Fermented Ingredients Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global fermented Ingredients market report based on product, application, and region.

• Product Outlook (Revenue, USD Million, 2018 - 2030)

  • Vinegar

  • Cider

  • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Food and Beverages

  • Pharmaceuticals

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • France

    • UK

  • Asia Pacific

    • India

    • China

  • Latin America

    • Argentina

  • Middle East and Africa (MEA)

    • UAE