Fermented Ingredients Market
Updated Date : 16 January 2026   |   Report Code : 5610

Fermented Ingredients Market Size, Growth, and Trends 2025 to 2035

The global fermented ingredients market size is projected to grow from USD 48.41 billion in 2026 to reach USD 125.85 billion by 2035, reflecting a CAGR of 11.2% over the forecast period from 2026 to 2035. Rising awareness of gut health, growing use of fermented ingredients in functional foods, beverages, and personal care products, and advancements in fermentation technology are fueling market expansion.

Last Updated: 16 January 2026 Category: Food & Beverages Ingredients Insight Code: 5610 Format: PDF / PPT / Excel

Fermented Ingredients Market Size 2025 to 2035

The global fermented ingredients market size reached at USD 43.53 billion in 2025 and is expected to rise from USD 48.41 billion in 2026 to nearly reaching USD 125.85 billion by 2035, growing at a CAGR of 11.2% during the forecast period from 2026 to 2035. Rising consumer awareness regarding fermented products as well as demand for the organic and clean label ingredients significantly contributed for the market growth.

Fermented Ingredients Market Size 2025 to 2035

Key Highlights

  • By region, Europe dominated the market with the highest share of 36% in 2025. The fermented ingredients market of Europe is experiencing growth due to the growing demand for sustainable, natural, and functional bio-based components in food, medical, and industrial uses. 
  • By region, Asia Pacific is expected to grow at a notable CAGR from 2026 to 2035. The Asia-Pacific fermented ingredient market is experiencing substantial growth due to rising consumer demand for functional and nutritionally improved processed foods. 
  • By product, the vinegar segment contributed the largest market share of 44% in 2025. Vinegar is significantly in various sectors such as food and beverages, pharmaceutical textile and dyeing.
  • By product, the cider segment is predicted to grow at the remarkable CAGR of 11.9% between 2026 and 2035. This expansion is due to the rising consumer inclination towards alcoholic drinks that offer distinct flavors and low-calorie alternatives.
  • By application, food and beverages segment dominated the market in 2025. This dominance of the segment is fostered by an increasing global population and rising demand for diverse ready-to-consume foods and beverages.
  • By application, pharmaceutical segment is expected to grow at a significant CAGR over the projected period. The pharmaceutical sector is concentrating on creating new ideas and products featuring specialty components, such as fermented ingredients.

Fermented Ingredients Industry Coverage

Study Coverage Details
Growth Rate from 2026 to 2035 CAGR of 11.2%
Market Size in 2026 USD 48.41 Billion
Market Size in 2027 USD 53.83 Billion
Market Size by 2035 USD 125.85 Billion
Largest Market Europe
Base Year 2025
Forecast Period 2026 to 2035
Regions Covered North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa

Demand for Healthy Food and Beverages Expanding the Fermented Ingredients Market

Fermented ingredients significantly contribute to food preservation for both plant and animal, enhancing flavor, and promoting gut health, which is vital for the food and beverage, pharmaceutical, and cosmetics sectors. Health and wellness have become a significant issue for most of the global population. Additionally, as the prevalence of medical issues like heart disease, cancer, osteoporosis, diabetes, and strokes rises alongside healthcare costs, consumers worldwide are becoming more conscious of the connection between diet and health. Recognizing the present need for a healthy lifestyle, businesses worldwide are tirelessly working to adjust the kinds of food consumption on a global scale.

The rise in the intake of fermented foods indicates that consumers have broadened their understanding of wellness to encompass advantages like gut health. Consumers are constantly looking for functional food for health benefits and probiotics available in fermented ingredients corresponds with consumer demand and boosts the fermented ingredients market. rise in the understanding of gut-brain connection and demand for the healthy microbiome increased the demand for fermented plant protein. 

  • Consumer shift towards clean label food products encouraging the manufactures to provide natural products to consumer. Consumer demand for natural and organic ingredients in food and beverages boosts the market of fermented ingredients because of their consideration as wholesome and minimally processed ingredients.
  • The beauty industry incorporates fermented ingredients in skincare products due to their enhanced bioavailability and skin-loving benefits. With technological progress, producers develop new formulations to expand product applications and adjust to evolving consumer and industry demands. 
  • Integrating fermented ingredients meets consumer demand for efficient, natural, and eco-friendly beauty products, benefiting both formulators and mindful shoppers. Additionally, the global demand for cultured dairy items is increasing. This demand is driven by innovative product development, enhanced flavor and versatility, along with strong marketing support, which are anticipated to enhance the overall growth of the fermented ingredients market in the years ahead. 
  • The expansion of the biopharmaceutical industry is also profitable as therapeutic proteins and vaccines are created via fermentation. The increasing demand for personalized nutrition and functional foods presents an additional opportunity for advanced fermentation ingredients aimed at specific health objectives.

Market Opportunity 

What Technological Advancements are Creating Opportunities in the Market?

The market for fermented ingredients boasts appealing investment prospects, mainly driven by its swift expansion, rising interest in functional foods, and advancements in biotechnology. The fermented ingredients market is projected to expand because of improvements in fermentation techniques driven by technological advancements, especially in bioreactor design and automation. New biological technologies are transforming industries and creating opportunities for food.

By 2050, fermented novel proteins might account for roughly 4 percent of total protein output, creating an annual market valued between $100 billion and $150 billion, influenced by climate policies and the speed of technological advancements. Innovations in fermentation methods and ingredient manufacturing are improving the efficiency, quality, and versatility of fermented ingredients. Innovations like precision fermentation, regulated microbial cultures, and bioengineering enable the mass production of stable and high-purity fermented ingredients.

Market Challenge 

Increased Production Cost and Quality Control

The fermented ingredients market is hindered by the elevated costs linked to its production and the stringent regulations regarding quality control. Fermentation requires bioreactors, an environment that must be carefully regulated, and specific microbial strains, all contributing to increased operational expenses. Additionally, variations in the supply of raw materials and microbial efficacy present obstacles to achieving consistent production for large-scale commercialization.

Value Chain Analysis of Fermented Ingredients Market

Raw Material Procurement

  • In the fermented ingredients industry, the raw material procurement deals with strategic procedure of purchasing, evaluating, processing, sourcing and packaging of highly varied, instant quick solutions and functional and sustainable ingredients to meet consumer health profiles.

Packaging and Branding

  • Branding and Packaging for global fermented ingredients market focuses on creating packaging which may ensures remain stable, safe and fresh by protecting them from contamination, light and moisture.

Waste Management and Recycling

  • The waste management and recycling of the fermented ingredients market support recycling and waste management through clean-label and processed production that reduces food waste and enhances consumer personalization and time savings.

Fermented Ingredients Market Regional Insights 

Europe Dominated the Fermented Ingredients Market in 2025 

The market of Europe is experiencing growth due to the growing demand for sustainable, natural, and functional bio-based components in food, medical, and industrial uses. Fermentation Europe serves as the industry association for innovative fermentation-based food and ingredients, spearheading efforts for a more sustainable food future, boosting market in Europe. European consumers favor a diverse array of products, including kombucha, fermented juices, kefir, and vegetables, along with various digestive health supplements. The emergence of cutting-edge technologies, like microencapsulation, opens up opportunities for manufacturers to launch new businesses in the European market.

The fermented ingredients industry in Europe is experiencing rapid growth driven by the increasing strong demand in pharmaceuticals and food and beverages, rising innovative fermentation for sustainable sourcing, gut health and better digestion, expansion through dairy/meat substitutes and probiotics and consumer demand for plant-based alternatives, healthy and natural foods, with major markets in UK, France and Germany.

Europe Fermented Ingredients Market Size 2025 to 2035

The Europe fermented ingredients market size was valued at USD 15.67 billion in 2025 and is expected to rise from USD 17.43 billion in 2026 to nearly reaching USD 45.94 billion by 2035, growing at a CAGR of 11.36% during the forecast period from 2026 to 2035.

Europe Fermented Ingredients Market Size 2025 to 2035

Fermented Ingredients Market of Germany 

Germany boasts a rich culinary heritage that features fermented products like beer, sauerkraut, and sourdough bread, creating a need for fermentation ingredients. Individuals in Germany are increasingly aware of the components present in their food and drinks. The demand for fermentation ingredients that are natural, clean label, and devoid of artificial additives and preservatives is on the rise. Germany's fermentation ingredients sector is characterized by a significant focus on quality, innovation, and sustainability. 

  • In March 2025, the company introduced MicroBell, a dry kibble formulated with Calysta’s FeedKind protein, as part of the Marsavet product line. The protein comes from a gas fermentation method that utilizes methane as a carbon and energy source for microorganisms. The grain-free dog food formulation mixes fermented protein with peas, sweet potatoes, and potatoes, making it ideal for dogs with hypersensitivity or sensitive digestions. (Source: green queen)

Asia Pacific Expects the Significant Growth in the Fermented Ingredients Market During the Forecast Period

The Asia Pacific fermented ingredient market is experiencing substantial growth due to rising consumer demand for functional and nutritionally improved processed food. In the Asia Pacific region, there is a notable increase in consumer preference for natural ingredients. A lot of consumers think that natural components are healthier, safer, and more environmentally friendly than synthetic alternatives. Countries like China, Japan, South Korea, India, and Australia, both developed and developing, experience urbanization growth alongside an expanding middle class, creating numerous opportunities for market participants, as consumers are prepared to spend more on clean-label products and boosts the fermented ingredients market. 

Fermented Ingredients Market Share, By Region, 2025 (%)

Fermented Ingredient Market of China 

China boasts a rich history of fermented foods and drinks, firmly embedded in its culinary heritage. Fermented components such as fermented tofu, soy sauce, vinegar, and pickled vegetables have been essential to Chinese culinary traditions for centuries. Health awareness is increasing in China, and fermented ingredients are valued for their possible health advantages. Chinese consumers are more frequently looking for natural foods high in probiotics that enhance gut health and overall wellness. Chinese customers value the intricate and distinctive tastes that fermented ingredients add to meals and demand fermented ingredients. 

Middle East and Africa Fermented Ingredients Market Trends

The fermented ingredients industry in the region is driven by the versatility of ingredients such as fermented cereals, consumer interest in gut health, innovations in fermentation, increasing use in diverse industries such as pharmaceuticals and food & beverage, demand for natural products and rising health awareness.

South Africa Fermented Ingredients Market Trends

The fermented ingredients industry is witnessing rapid growth, driven by rising consumer preference in natural products, functional foods, and probiotics. Major drivers include rising innovation in traditional products and plant-based proteins, growing fermented foods industry especially fermented vegetables/dairy and demand for microbial cultures, amino acids and yeast extracts, further drives the market growth. 

How is Latin America Driving the Fermented Ingredients Market in 2025?

The fermented ingredients market in Latin America is driven by the focus on sustainability, rapid urbanization, demand for convenience and processed foods, growing e-commerce, substantial demand in animal feed and food and beverage, and increasing demand for processed food, and increasing demand for healthier, hygiene and transparency options. Major players in the region, offer high quality nutritional and functional products. 

Brazil Fermented Ingredients Market Trends

Brazil is the leading company in the Brazil fermented industry due to the demand for natural products, expansion of biofuel sector, rising health awareness, increasing demand for sustainable ingredients, probiotics and functional foods, fermented dairy products and beverages also lead the market growth in Brazil.

Fermented Ingredients Market Segmental Insights 

Product Insights

The Vinegar Segment Dominated the Fermented Ingredients Market with the Largest Share in 2025 

Vinegar is significantly in various sectors such as food and beverages, pharmaceutical textile and dyeing. Vinegar is the multifaceted ingredient that can be utilized in pickling, cooking, and salad dressings, widely used ingredient in many cuisines globally. The surge of health-conscious consumers looking natural options and integrating vinegar into diets for its health advantage, including improving digestion and supporting weight loss, has further boosted the market expansion. Additionally, clean-label and organic food trends are changing consumer preferences, leading to increased demand for naturally fermented vinegar devoid of synthetic preservatives. Apple cider, organic balsamic, and rice vinegar are receiving popularity because of their minimal processing and perceived purity. 

  • Worldwide, the leading three vinegar exporters are India, Italy, and South Africa. India tops the global Vinegar export market with 98,738 shipments, while Italy comes next with 68,326 shipments, and South Africa ranks third with 43,803 shipments. (Source: Volza)

The Cider Segment is Observed to Grow at the Fastest Rate During the Forecast Period

This expansion is due to the rising consumer inclination towards alcoholic drinks that offer distinct flavors and low-calorie alternatives. Cider, commonly viewed as a gluten-free and fruit-derived choice, has increased in popularity as health-minded individuals look for substitutes to conventional beers and spirits. Presenting a variety of tastes such as berry combinations or unusual infusions like elderflower addresses changing consumer desires. Cider is gaining more popularity as an alternative to beer or malt drinks in various mainstream cultures. Besides its antioxidants and anti-inflammatory properties, cider is produced from bitter, tannin-heavy grapes. Nutritious alcoholic drinks are gaining popularity among millennials. 

Application Insights

The Food & Beverage Segment Held the Largest Share of the Fermented Ingredients Market in 2025 

This dominance of the segment is fostered by an increasing global population and rising demand for diverse ready-to-consume foods and beverages. Furthermore, the spurge trend in beer consumption contributes to the growth of the food and beverage industry. Fermented ingredients are widely used in variety of food products such as kefir, yogurt, sauerkraut, and kombucha, all of which are receiving attention because their probiotic characteristics. As health-conscious consumer look option that aid gut health and general wellness, the utilization of fermented ingredients in popular food and beverage items is subjected to rise. 

The Pharmaceutical Segment is Seen to Grow at a Notable Rate During the Predicted Timeframe

The pharmaceutical sector is concentrating on creating new ideas and products featuring specialty components, such as fermented ingredients. Amino acids, vitamins, and associated compounds, along with industrial enzymes, are frequently utilized as fermented components in the pharmaceutical sector. Throughout fermentation, important bioactive substances like antibiotics, amino acids, and essential vitamins for creating effective pharmaceutical products are generated. Additionally, ongoing progress in biotechnology and pharmaceuticals emphasizes the utilization of fermented substrates for production to enhance drug efficiency. 

Recent Developments in the Fermented Ingredients Market

Layn Natural Ingredients

  • Launch: In February 2023, Layn Natural Ingredients declared its intention to introduce Galacan, a new beta glucan ingredient, at this year's Expo West which was an important trade event for the nutraceutical sector. This came after the company's expansion of facilities, which would enhance its capacity to produce pure and sustainable bioactive ingredients via precision fermentation on a large scale. Galacan, the new heteropolysaccharide from the company, would be produced at the newly enlarged facility in Guangxi, China, utilizing precision fermentation. (Source: Nutraceutical Business Review)

Vivici

  • Launch: In March 2025, Vivici has revealed the U.S. introduction of its Vivitein beta-lactoglobulin protein created via precision fermentation. The firm is focusing on the active nutrition sector, which reached a value of US $28.4 billion worldwide in 2023, growing by 8.5% during that year, as reported by Global Data and LEK Consulting. (Source: NutraIngredients

Somersby

  • Launch: In February 2025, Somersby, the leading company in the modern cider category, launched an innovative new product named as Somersby Zero. This is the inaugural sugar-free, calorie-free cider without alcohol, now on the market in Germany. As the Beyond Beer category continues to prosper, this introduction showcases the Carlsberg Group's capability to connect with essential consumer trends, providing a relaxed option for individuals who wish to indulge mindfully without sacrificing flavor. (Source: Carlsberg Group)

Fermented Ingredients Market Leading Companies

Fermented Ingredients Market Companies

Segments Covered in the Report

By Product 

  • Vinegar
  • Cider
  • Others

By Application 

  • Food and Beverages
  • Pharmaceuticals
  • Others

By Region 

  • North America
  • Europe
  • Asia Pacific
  • Middle East and Africa (MEA)
  • Latin America
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  • Report Covered: [Revenue + Volume]
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Vidyesh Swar, Senior Research Analyst at Towards Food & Beverages, specializes in market research, focusing on supply-demand evaluation, pricing analysis, alternative proteins, plant-based foods, and sustainable food technologies within the industry.

Learn more about Vidyesh Swar

Aditi Shivarkar, with 14+ years in Food and Beverages market research, specializes in food, beverage, and eco-friendly packaging. She ensures accurate, actionable insights, driving Towards FnB's excellence in industry trends and sustainability.

Learn more about Aditi Shivarkar

Related Insights

FAQ's

Answer : The global fermented ingredients market reached USD 43.53 billion in 2025 and is projected to rise to USD 125.85 billion by 2035, growing at a CAGR of 11.2%. This growth is fueled by rising demand for functional foods, clean-label ingredients and cosmetics.

Answer : Europe led the global fermented ingredients market in 2025, accounting for the highest regional share of 35%, driven by demand for sustainable, bio-based, and natural ingredients.

Answer : Key trends include the consumer shift toward clean-label and probiotic-rich foods, rising adoption in skincare, the emergence of precision fermentation, and growth in functional alcoholic beverages like cider. There\'s also strong momentum in plant-based fermented proteins linked to gut-brain health.

Answer : By product, vinegar dominated with 44% share in 2025 due to its widespread use across sectors. Cider is the fastest-growing product segment (CAGR 11.9%). By application, food and beverages hold the largest share.

Answer : Leading companies include Nestlé, Danone, Yakult, ADM, Chr. Hansen, DSM, Vivici, and Perfect Day. Startups like Cultivated Biosciences and Chunk Foods are also innovating in the precision fermentation and alternative protein segments.