Global Feed Yeast Market Size, Share and Future Trends Analysis Report By Type (Probiotic Yeast, Brewer's Yeast, Specialty Yeast, Yeast Derivatives), By Livestock (Ruminants, Poultry, Swine, Aquatic animals, Pets, Equine), By Form (Powder, Liquid, Others) , Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2025-2034

Report Overview

The Global Feed Yeast Market size is expected to be worth around USD 2.8 Billion by 2034, from USD 1.7 Billion in 2024, growing at a CAGR of 5% during the forecast period from 2025 to 2034.

Feed yeast concentrates are high-protein, nutrient-dense ingredients derived from Saccharomyces cerevisiae or similar strains. They are produced by fermenting carbohydrate substrates under controlled conditions, harvesting the biomass, and concentrating the yeast cells into a powder or paste. This form retains essential amino acids, B-vitamins and β-glucans, making it an ideal supplement for monogastric livestock, aquaculture and pet feeds.

Feed yeast concentrates improve feed conversion ratios and support immune function, addressing growing demands for sustainable and high-efficiency animal nutrition. Globally, compound feed production reached an estimated 1.245 billion tonnes in 2022, growing at approximately 2 percent per annum, and generating over USD 400 billion in turnover

The industrial scenario for feed yeast concentrates is supported by a maturing biotechnology supply chain and rising integration of precision-fermentation facilities. Large-scale fermentation plants in Europe, North America and Asia are increasingly adopting continuous-culture systems to lower costs and improve consistency. In India, the Department of Animal Husbandry and Dairying earmarked INR 4,327.85 crore for the sector in the Union Budget 2023–24, up from INR 3,105.17 crore in 2022–23, demonstrating strong public-sector commitment to feed and fodder development

Driving factors include stringent restrictions on antibiotic growth promoters across major markets, which have accelerated demand for natural, yeast-based immunostimulants. The Animal Husbandry Infrastructure Development Fund (AHIDF) of INR 15,000 crore, established in 2020, offers interest subvention and credit support for poultry, meat processing and feed plant infrastructure, explicitly covering yeast production units

Future growth opportunities are propelled by rapid expansion in aquaculture, where feed represents over 50 percent of operational costs. Global aquaculture production reached 130.9 million tonnes in 2022, surpassing capture fisheries for the first time, and is projected to grow further to meet the UN’s forecast of doubling animal protein needs by 2050

Key Takeaways

• Feed Yeast Market size is expected to be worth around USD 2.8 Billion by 2034, from USD 1.7 Billion in 2024, growing at a CAGR of 5%.
• Probiotic Yeast held a dominant market position, capturing more than a 38.4% share.
• Poultry held a dominant market position, capturing more than a 47.9% share.
• Powder held a dominant market position, capturing more than a 67.5% share.
• Asia Pacific shines as the clear leader in the feed yeast market, capturing a commanding 45.9% share—equivalent to roughly USD 0.7 billion—in 2024.

By Type

Probiotic Yeast shines with a 38.4% share in 2024, thanks to its proven gut-health benefits.

In 2024, Probiotic Yeast held a dominant market position, capturing more than a 38.4% share. Farmers and feed producers have leaned on this type of yeast to improve nutrient absorption and bolster animal immunity, driving its widespread adoption. By early 2025, Probiotic Yeast continued to lead the segment, maintaining its strong foothold as producers invested in quality control and strain innovation. Its popularity is reinforced by supportive livestock health guidelines and growing awareness of antimicrobial alternatives. As research into microflora balance advances, Probiotic Yeast is set to remain the go-to choice for boosting feed efficiency and ensuring healthier herds.

By Livestock

Poultry leads with a 47.9% share as farmers seek faster growth and better feed conversion.

In 2024, Poultry held a dominant market position, capturing more than a 47.9% share. Producers across Asia, Europe and the Americas turned to yeast supplements to boost flock health, improve nutrient uptake and reduce reliance on antibiotics. By mid-2025, Poultry’s slice of the feed yeast pie remained above 47.9%, reflecting ongoing investments in strain refinement and feed formulation. This steady demand is driven by the sector’s scale—poultry operations account for the largest volume of feed consumption—and a growing focus on bird welfare. As poultry integrators pursue higher efficiency and lower mortality, yeast-based additives will continue to be a staple in feed mixes.

By Form

Powder dominates with 67.5% thanks to its seamless blending and consistent dosing.

In 2024, Powder held a dominant market position, capturing more than a 67.5% share. Feed formulators favored the powder form for its uniform dispersion in mash and pelleted feeds, ensuring each batch delivered consistent yeast dosage. By mid-2025, Powder maintained roughly the same share as producers continued to value its low moisture content and extended shelf life. Its fine particle size also eased automation in feed mills, reducing the risk of clumping and blockages. As feed operations scale up and seek reliable mixing, Powder remains the clear choice for delivering yeast benefits efficiently and cost-effectively.

Key Market Segments

By Type

• Probiotic Yeast
• Brewer’s Yeast
• Specialty Yeast
• Yeast Derivatives

By Livestock

• Ruminants
• Poultry
• Swine
• Aquatic animals
• Pets
• Equine

By Form

• Powder
• Liquid
• Others

Drivers

Rising Demand for Sustainable Animal Feed Solutions Driving Feed Yeast Market Growth

The growing global demand for sustainable and high-quality animal feed is a major factor fueling the expansion of the feed yeast market. As the livestock industry seeks efficient protein sources that enhance animal health and productivity, feed yeast emerges as a valuable ingredient due to its rich nutrient profile and probiotic benefits. According to the Food and Agriculture Organization (FAO) of the United Nations, global meat production is expected to reach approximately 376 million tonnes by 2030, reflecting a steady rise in livestock farming worldwide. This increasing scale of animal husbandry drives the need for better feed solutions that not only improve growth rates but also promote gut health and disease resistance in animals.

Feed yeast offers a natural alternative to antibiotic growth promoters, aligning well with government regulations aimed at reducing antibiotic use in animal agriculture. For example, the European Union banned antibiotic growth promoters in livestock feed in 2006, encouraging the adoption of safer and sustainable feed additives like yeast. Additionally, the U.S. Department of Agriculture (USDA) supports initiatives promoting the use of natural feed supplements that improve animal welfare and product quality. These government policies play a crucial role in encouraging farmers and feed manufacturers to adopt yeast-based products.

The World Organisation for Animal Health (OIE) highlights that feed additives such as yeast contribute significantly to reducing the risk of antimicrobial resistance, a growing global health concern. The natural fermentation and immune-boosting properties of feed yeast help improve feed efficiency and animal performance, reducing the environmental impact of livestock farming by optimizing nutrient utilization. With such benefits and supportive regulatory frameworks, feed yeast is increasingly preferred as a sustainable component in animal nutrition.

Restraints

High Production Costs and Supply Chain Challenges Restraining Feed Yeast Market Growth

One significant challenge holding back the growth of the feed yeast market is the relatively high production costs and supply chain complexities associated with yeast-based feed additives. Producing feed yeast involves specialized fermentation processes that require precise conditions, quality raw materials, and advanced equipment. These factors contribute to higher costs compared to traditional feed ingredients like grains or soy. According to the Food and Agriculture Organization (FAO), feed costs can account for up to 70% of total livestock production expenses globally, putting pressure on producers to keep input costs low to maintain profitability. The added expense of yeast products can deter smaller or cost-sensitive farmers from widespread adoption.

Furthermore, the supply of quality raw materials such as molasses or other carbon sources used in yeast cultivation can be inconsistent due to seasonal variations and agricultural output fluctuations. This unpredictability affects the steady production and availability of feed yeast, sometimes leading to supply shortages or price spikes. For example, the International Sugar Organization reports that global sugar production, a key raw material for yeast fermentation, can vary by several million tonnes annually depending on weather and crop conditions. Such variability directly impacts yeast manufacturers relying on sugar derivatives.

Government policies in some regions also indirectly affect the feed yeast market by imposing tariffs or strict quality regulations on imported raw materials and additives. These regulations, while aimed at ensuring safety and sustainability, can increase operational costs and limit market entry for newer or smaller yeast producers.

Opportunity

Government Support for Sustainable Livestock Practices Boosting Feed Yeast Market

Government initiatives promoting sustainable agriculture and animal health are significantly driving the growth of the feed yeast market. In India, the Department of Animal Husbandry and Dairying (DAHD) has implemented programs like the National Animal Disease Control Program (NADCP), which aims to vaccinate 500 million livestock against Foot and Mouth Disease and 36 million female bovines against Brucellosis. These efforts enhance livestock health, indirectly increasing the demand for quality feed additives such as feed yeast.

Globally, the European Union and the United States have imposed restrictions on the use of antibiotic growth promoters in animal feed. This regulatory shift has led to a growing interest in alternative products like feed yeast, which offer benefits in improving animal health and growth performance.

Moreover, the increasing consumer demand for high-quality meat products is prompting livestock producers to adopt feed additives that enhance animal performance. Feed yeast, known for its probiotic properties, helps in improving digestion and boosting immunity in animals, thereby contributing to better growth and productivity.

Trends

Regional Analysis

Asia Pacific shines as the clear leader in the feed yeast market, capturing a commanding 45.9% share—equivalent to roughly USD 0.7 billion—in 2024. Rapid growth in livestock and aquaculture sectors across China, India and Southeast Asia has driven this dominance. In China alone, poultry production rose by over 3% year-on-year in 2024, fueling demand for performance-enhancing feed additives like yeast. Meanwhile, India’s government launched a ₹150 crore initiative in early 2025 to support innovative feed technologies for dairy and poultry, further underpinning yeast uptake. In Southeast Asia, expanding shrimp and tilapia farms leaned on yeast supplements to stabilize water quality and boost survival rates, contributing to double-digit volume growth in feed mills.

Meanwhile, rising consumer focus on food safety and antibiotic-free production has encouraged farms to adopt yeast-based probiotics in place of growth-promoting drugs. Regulatory frameworks in countries such as Vietnam have approved specific yeast strains as non-antibiotic feed enhancers, creating a secure pathway for feed millers to integrate these products. In markets like Thailand and Indonesia, government-backed research centers are collaborating with universities to test new yeast blends, with preliminary trials indicating a 4–6% improvement in feed conversion ratios for broilers.

Infrastructure improvements—such as upgraded feed mills and cold storage facilities—have also made it easier to handle and store yeast in powder form, reducing spoilage risks and ensuring consistent quality from mill to farm. As farming operations modernize and regional policies continue to favor sustainable practices, Asia Pacific’s leadership is set to endure. Other regions may see incremental growth in the coming years, but APAC’s scale, supportive initiatives and fast-evolving feed landscape cement its position at the forefront of the global feed yeast market.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • Australia
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of MEA

Key Players Analysis

Alltech Inc., founded in Kentucky in 1980, leads with yeast-based feed additives designed to boost gut health and nutrient use. Its dedicated research campuses in the US, Europe and Asia trial probiotic strains with university and USDA support. Alltech works directly with farmers in over 80 countries, tailoring yeast blends for poultry, swine and aquaculture diets. Through on-farm demonstrations and government-backed pilot programmes, it validates performance gains and supports sustainable livestock practices, helping producers lower costs and reduce antibiotic reliance with proven yeast solutions.

Angel Yeast Company, headquartered in Yichang, China, specializes in yeast fermentation and downstream processing for animal feed. It operates one of Asia’s largest yeast factories and maintains R&D centres in Europe and North America. Angel collaborates with China’s Ministry of Agriculture on probiotic initiatives that promote antibiotic-free farming. Its powder and dry-blend yeast supplements support gut health in poultry and swine, with field trials showing consistent feed conversion improvements. Strong export networks ensure that Angel Yeast’s feed solutions reach farms across more than 50 countries worldwide.

Archer Daniels Midland Company (ADM) integrates coarse grain processing with yeast fermentation to supply feed mills globally. ADM’s fermentation division produces live and dried yeast strains tailored for livestock health, supported by partnerships with US land-grant universities and the USDA’s Cooperative Research Service. By leveraging its vast grain network, ADM ensures dependable yeast supply at scale. Field advisors work alongside government extension agents to optimize inclusion rates in rations, helping poultry and swine operations increase weight gain and resilience without resorting to chemical growth promoters.

Top Key Players in the Market

• Alltech Inc.
• Angel Yeast Company
• Archer Daniels Midland Company
• Associated British Foods PLC
• Biomin Gmbh
• Cargill Inc.
• Chr. Hansen
• Diamond V Mills Incorporated
• Hansen A/S
• Kemin
• Kerry Group
• Kothari Fermentation and Biochem Ltd.
• Lallemand Inc.
• Leiber GmbH
• Lesaffre

Recent Developments

In 2024, Alltech reported peak revenues of USD 1.6 billion and employed over 6,000 people, investing about 1% of that revenue into R&D focused on yeast-based feed solutions.

In 2024, Associated British Foods PLC’s Agriculture division—which covers its feed yeast operations—generated £1,650 million in revenue, down 9% year-on-year, while adjusted operating profit held steady at £41 million with a 2.5% margin.

Report Scope