Unlocking market potential: boom for tapioca, potato protein and brewer’s yeast [66th edition of PLANT-BASED newsletter]

Welcome back to our Newsletter!

In this edition of our newsletter, we delve into the growing markets for these products, each driven by unique factors and consumer demands. From the growing popularity of tapioca as a gluten-free alternative in food and cosmetics to the growing interest in plant-based potato protein, we will analyse the numbers behind these trends. In addition, we will find out why the brewer’s yeast market is booming, driven by the boom in alcoholic beverages and the growing demand for nutritional supplements. Read the full analysis to get ahead of the market and discover how the leading players are capitalising on these growth opportunities.

Let’s see what else has happened in the market recently!

Products

Tapioca (cassava starch)

The global tapioca market is experiencing steady growth, valued at USD 4.1 billion in 2023 and is projected to reach USD 6.3 billion by 2033 at a CAGR of 4.4%. This growth is largely driven by the increasing demand for tapioca as a gluten-free alternative in various industries, including food, feed, pharmaceuticals and cosmetics. The Asia-Pacific region continues to dominate the tapioca market due to rising income levels and demand for tapioca feed in the livestock industry. The Chinese market, in particular, is growing rapidly, holding 50% of the tapioca market share in East Asia, with growth driven by consumption of confectionery and bakery products. The US also holds a significant position in North America, accounting for 65% of the region’s market share. Key market players such as Cargill Inc. and Authentic Foods are focusing on new product launches and strategic expansion to maintain their presence in the market.

Potato protein

The potato protein market continues to grow, driven primarily by increasing demand for plant-based and allergen-free protein sources. The market size was valued at USD 196.2 million in 2023 and is expected to reach approximately USD 310.1 million by 2032, growing at a CAGR of approximately 5.3%. Asia Pacific currently holds the largest market share, which is attributed to the growing consumer awareness of plant-based protein and the growing vegan population in the region. Innovations in potato protein extraction techniques and the introduction of new products such as potato protein isolates and concentrates are key factors driving market growth.

Beer yeast

The beer yeast market is set for significant growth in 2024, reaching a valuation of $4.91bn, up from $4.46bn the previous year. This growth is expected to maintain momentum, with the market reaching a value of USD 6.95bn by 2028, at a projected CAGR of 10.1%. The main factor driving this expansion is the growing demand for alcoholic beverages. As a key ingredient in fermentation, brewer’s yeast is widely used in the production of beer and other alcoholic beverages.

In addition, health-conscious consumers are increasingly turning to brewer ‘s yeast for its rich nutritional profile. They are becoming increasingly common in food supplements and as a flavour enhancer, especially in poultry and  dairy products. They are also growing in importance in animal feed, as they support the growing global demand for livestock. Due to its versatile applications, brewer’s yeast has become a key ingredient in both human food products and animal nutrition.

News

Global rice prices fall after India resumes exports

Global rice prices have fallen after India, the largest exporter of the grain, resumed rice exports, increasing global supply and lowering prices, especially for poorer countries in Asia and Africa. India has allowed exports of non-basmati white rice and reduced the export duty on parboiled rice to 10 per cent, causing other exporters such as Thailand, Vietnam and Pakistan to also reduce their prices to remain competitive.

Low water levels in northern Brazil hamper grain shipments

Low water levels in the rivers of northern Brazil are forcing carriers to reduce barge loads and divert some grain shipments to ports in the south-east of the country. Grain shipments on the Madeira River have been halted and barge capacity on the Tapajós River has been reduced by 40%. The problem is delaying deliveries and increasing costs, especially as some deliveries have to be diverted to more expensive ports in southern Brazil. This is the second year in a row that northern export corridors have faced such difficulties.

Coffee prices fall after EU delays anti-deforestation law

Coffee prices have fallen sharply after the EU postponed the introduction of an anti-deforestation law, easing concerns about supply constraints. Favourable rainfall in Brazil further added to the downward pressure. Despite recent peaks in coffee prices due to adverse weather conditions in Brazil and Vietnam, the market is now responding to an improved outlook and rising stock levels. Find out more about how global coffee price dynamics are changing in our latest update.