Specialty Malt Market Size, Share, Growth and Statistics 2034

Specialty Malt Market Size, Share and Forecast 2034

The global specialty malt market size stood at USD 3.94 billion in 2024 and is forecasted to expand from USD 4.08 billion in 2025 to approximately USD 5.56 billion by 2034, at a compound annual growth rate (CAGR) of 3.50% during the forecast period from 2025 to 2034. Rising demand for the craft and premium beer, growing food and beverage sector demanding the specialty malt for favor, color and texture enhancement, contributed for the robust growth of the market. 

Key Highlights    

• By region, North America dominated the global specialty malt market with the largest share in 2024. Expansion of the market is majorly attributed for the rising craft brewing industries and consumer demand for the high-quality beers specifically in United Staes and Canada. 
• By region, Asia Pacific is expected to grow at a notable CAGR from 20245 to 2034. A growing number of local breweries, heightened awareness of craft beers, abundant raw material availability, and advancements in malt technology are expected to drive the market forward. 
• By application, brewing segment held the major market share in 2024. This segment’s significant market share is primarily attributed to the vital role malt serves in brewing, supplying the necessary sugars for fermentation. 
• By application, distilling segment is projected to grow at a CAGR in between 2025 and 2034. Distillers are utilizing specialty malts in their distillation process to seek product differentiation. 
• By source, barley segment contributed the biggest market share in 2024. Renowned for its robust malt taste and health advantages, such as improved digestibility and better nutrient access, malted barley is widely utilized across multiple uses.
• By form, dry specialty malt segment dominated the market in 2024. Dry specialty malt is devoid of moisture that offers longer shelf life, making it a favorable option for storage and transportation.
• By form, liquid specialty malt segment is expected to grow at a significant CAGR over the projected period. The rising popularity of ready-to-use liquid malt extracts, majorly among craft brewers and homebrewers, is boosting this growth. 

Demand for Craft Beers: Expanding the Market

The specialty malt market refers to production and distribution of specialty malt that are germinated cereals grains thar are treated or processed to improve their color, flavor, and aroma. Craft breweries are progressively exploring specialty malts to develop distinctive and creative beers that distinguish themselves in a competitive market. Shifting consumer tastes for unique and tasty drinks are fueling the craft beer industry, leading to a rise in demand for locally made and artisanal products. The rising fascination with premium beer experiences has driven the growing demand for small-batch, artisanal brews, appealing to millennials and younger audiences. Data from the Brewers Association indicates that the adoption of specialty malts in craft beer brewing has increased lately, as numerous breweries are investing in custom malting machinery to create their own distinctive malts. Specialty malts are utilized in craft beer making to introduce depth of flavor complexity that surpasses what base malts can achieve by themselves. By thoughtfully choosing and mixing various kinds of specialty malts, brewers can produce beers that offer a diverse array of flavors. 

What are the Key Trends in the Specialty Malt Market?

• Rising health awareness among consumers boosting the demand for the malt-based beverages that are not only delicious but also nutritious. Speciality malts are penetrating this market and providing consumers who are aware of their health a natural and healthy alternative and therefore, expanding the market. 
• Emerging sustainability trend evolving the specialty malt market to combat with changing consumer preference. Many specialty malt manufactures are using sustainable practices, from acquiring raw materials to lowering energy consumption in the malting process. An increasing trend is emerging in the use of locally sourced and traditional grain varieties for malt production. 
• The sector for gluten-free foods and beverages is expanding quickly because of greater awareness regarding gluten sensitivities and celiac disease. Consequently, the demand for specialty malts that are gluten-free has increased. Brewers are progressively investigating the use of gluten-free grains like sorghum, rice, and millet to produce gluten-free beers. This trend is backed by malt manufacturers who are creating new gluten-free malt offerings, aiding the market's expansion. 
• The increasing consumer interest in non-alcoholic flavored drinks is a key factor driving the growth of the non-alcoholic malt beverage sector. The addition of specialty malt to these drinks leads to increased sweetness, improved color, intensified aroma, and a longer shelf life for the product. 
• The specialty malt market is poised for significant expansion, partly fueled by the increasing demand in the bakery and confectionery sectors. Specialty malts are commonly utilized in baked goods such as biscuits, bread, pastries, and cereals, where they improve flavor, color, texture, and nutritional advantages. The growing consumer demand for natural, healthy, and clean-label ingredients is driving the uptake of malt-based products in the bakery and confectionery industries.

Market Opportunity 

Innovation in Specialty Malts Unlocking the Opportunities 

Firms in the specialty malt market are significantly pouring resources into research and development to produce next gen products. This emphasis on innovation has resulted in the development of more energy-efficient, long-lasting, and economical solutions that attract a diverse array of customers. Innovations that enhance malt quality and variety create fresh opportunities for product development. Technological advancements are enhancing the effectiveness of the malting process, assisting companies in fulfilling the increasing demand for premium specialty malts. Notable innovation emphasizes creating distinctive malt varieties with particular flavor characteristics, colors, and functionalities to cater to various consumer tastes in distilling, brewing, and food uses. 

Market Challenge

Supply Chain Disruptions Hampering the Market Growth

Seasonal availability and climate-related factors influencing barley production can lead to fluctuations in supply. The short shelf life of specific malt varieties and the requirement for regulated storage conditions create logistical and operational hurdles for suppliers and distributors in varied climatic areas. Changing global grain prices can impact specialty malt supply chains, resulting in variable product availability and price increases for small-scale brewers and food manufacturers. 

Regional Insights

North America dominated the specialty malt market in 2024.

Expansion of the market is majorly attributed for the rising craft brewing industries and consumer demand for the high-quality beers specifically in United Staes and Canada. The growth in North America is also fostered by developed agricultural technologies and strong supply chains that guarantee the availability and quality of malt grains. 

The United States specialty malt market held prominent position in the market. The latest advancements in the quality and types of non-alcoholic drinks have enhanced the use of specialty malt in this area. Numerous types of malt and specialty malt extracts have developed in this area. The United States has created numerous types of specialty malt to satisfy the various preferences of Americans. The rising accessibility of unique and innovative locally made beers and whiskeys by cafés, quick service restaurants, and hotels is positively influencing the demand for specialty malt. The market is projected to grow due to various factors, including increased consumer purchasing power and heightened demand for natural and organic malt ingredients. 

Asia Pacific expects the significant growth in the market during forecast period.

The growing disposable income and urban expansion may influence food consumption habits in this area. The growing awareness of healthy eating can boost the demand for non-alcoholic malt drinks in this area. A growing number of local breweries, heightened awareness of craft beer, abundant raw material availability, and advancements in malt technology are expected to drive the market forward. The use of specialty malts is prominent in Japan's food sector, emphasizing flavor, coloring, and functional advantages in ready-to-eat dishes, sauces, and baked goods. As China develops its own malt production facilities, it is certainly experiencing increased availability and reduced costs for these specialty malts. 

Specialty malt market of India is experiencing the robust growth. The appetite for craft beer, malt-derived health beverages, and functional food is growing in both local and international markets. Specialty malts are commonly utilized in baby and health beverages in India. Major sectors in India like Amul, Bournvita, and Horlicks are integrating specialty malt into their beverages to enhance flavor and taste. The focus on health and wellness, especially in cities, is prompting more people to add malted beverages to their daily habits as sources of vital nutrients. The expanding middle-class demographic with increased disposable income further enlarges the market potential for these products. This change is driven by government initiatives, rising consumer awareness, and the surging popularity of craft beers and functional health beverages. Millet malting offers a diverse business potential, ranging from crafting millet-based beers to creating malted health beverages and unique food ingredient. 

Segmental Insights

Application Insights

Brewing segment dominated the specialty malt market with the largest share in 2024.

This segment’s significant market share is primarily attributed to the vital role malt serves in brewing, supplying the necessary sugars for fermentation while also contributing to the flavor, color, and body of the finished product. Previously, flavored brewed drinks were primarily enjoyed in areas like Europe and North America; however, lately, their global demand has surged dramatically. This element has had a beneficial impact on the entire business. The vast scope of the beer sector indicates that each US$1 million in GDP is directly produced by the worldwide brewing industry; the global rise of craft breweries exemplifies this trend. With every carefully created batch, they’re influencing not only palates, but also the terrain of the brewing industry. At the center of this transformation is the increasing need for these malts the genuine essence of these creative mixtures. The distilling segment is noted to expand at the quickest pace throughout the forecast period. 

Distilling segment is observed to grow at the fastest rate during the forecast period.

Distillers are utilizing specialty malts in their distillation process to seek product differentiation. It is similarly used in the distillation sector for creating beverages like whiskey, bourbon, and malt liquors. The taste and hue provided by this malt can add intricacy and richness to these distilled drinks. The production of whiskey and its demand are reaching unparalleled highs. With significant funds being allocated to current distilleries and the arrival of numerous new distilleries in the market.

Source Insights

Barley segment held the largest share of the specialty malt market in 2024.

Barley ranks among the most significant crops globally, occupying the fourth-largest land area dedicated to grain production. Renowned for its robust malt taste and health advantages, such as improved digestibility and better nutrient access, malted barley is widely utilized across multiple uses. The market is also anticipated to experience notable demand from whiskey distilleries, the beer sector, beverages, and food products. Moreover, the increase in organic agriculture and heightened worries about environmental sustainability are further propelling the market's expansion. 

• Most Malted Barley exports globally are sent to Russia, the United States, and Ukraine. Worldwide, the leading three exporters of Malted Barley are Germany, Canada, and Russia. Germany tops the global Malted Barley export market with 10,146 shipments, while Canada follows with 6,285 shipments, and Russia claims the third position with 4,809 shipments. (Source: Volza)

Form Insights

Dry specialty malts segment led the specialty malt market in 2024.

Dry specialty malt is devoid of moisture that offers longer shelf life, making it a favorable option for storage and transportation. Different varieties of dry specialty malts are also available, permeating brewers to gain specific color and flavor characteristics in their beer products. The rising demand for craft beer and the growing number of craft breweries are propelling the expansion of dry specialty malts. 

Liquid specialty malts segment is expected to grow at the fastest rate in the specialty malt market during the forecast period.

Liquid specialty malt id formulated by dissolving the soluble ingredients of malted grains, such as sugars and taste components, into liquid form. The rising popularity of ready-to-use liquid malt extracts, majorly among craft brewers and homebrewers, is boosting this growth. Furthermore, liquid specialty malt is utilized in baking, confectionery, and producing malted drinks. Fluidity of liquid form offer easy incorporation into various recipes and provide producers the flexibility they demand to get the proper composition.  

Recent Developments in the Specialty Malt Market

BeeYoung

• Product launch: In February 2025, BeeYoung, which is the crafted beer of India launched BeeYoung Beyond for expansion of its portfolio in craft beer market of India by offering premium quality option for consumers. This new product is formulated with the blend of the Belgian specialty malt and Doon Basmati rice from Uttarakhand, to provide beer smooth and velvety texture. (Source: Restaurant India.In)

Valley Malt 

• Product launch: In December 2024, Valley Malt introduced three new items in the market including Pilsner Malt, Wheat Malt, and Pale Malt, that are Regenerative Organic Certified®. Valley Malt bought wheat and barley from Breath Deep Farm in Claverack, NY. (Source: Valley Malt)

Specialty Malt Market Leading Companies

• Groupe Soufflet
• Malteurop Group
• Crisp Malting Group Limited
• Muntons
• Viking Malt
• Cargill
• GrainCorp
• Malt Products Corporation
• Briess Malt & Ingredients Co.
• IREKS GmbH

Segments Covered in the Report

By Application

• Brewing
• Distilling
• Non-Alcoholic Malt beverages  
• Baking

By Source

• Rye
• Barley
• Wheat

By Form

• Liquid Specialty Malts
• Dry Specialty Malts

By Region

• North America
• Europe
• Asia Pacific
• Middle East and Africa (MEA)
• Latin America