Beer Processing Market Projected to Reach $815.4 Billion by 2025, at a CAGR of 3.1%.

December 09 15:26 2019
Beer Processing Market Projected to Reach $815.4 Billion by 2025, at a CAGR of 3.1%.

MarketsandMarkets™
The beer processing market is estimated at USD 677.5 billion in 2019 and is projected to reach a value of USD 815.4 billion by 2025, at a CAGR of 3.1%.

The report “Beer Processing Market by Brewery Type (Macrobrewery, Microbrewery, Brew Pubs, Regional), Beer Type (Lager, Ale & stout, Specialty beer, Low alcohol beer), Distribution Channel, Price Category, Equipment Type, and Region – Global Forecast to 2025″ The beer processing market is estimated at USD 677.5 billion in 2019 and is projected to reach a value of USD 815.4 billion by 2025, at a CAGR of 3.1%.  Rising trend of low- or no-alcohol, & organic beer and continuous innovations in the brewery equipment are factors driving the growth in the beer processing market. Focus on digitalization and automation using IoT and Big Data are opening several opportunities in the beer processing market.

Beer Processing Market

Fermentation equipment dominates the macrobrewery equipment segment in the beer processing market

In the macrobrewery equipment market, the fermentation equipment segment is projected to be the largest beer processing market in 2025. It is a specialized tank used for fermenting the wort and produce beer. Based on the type of beer to be produced, there are three major types of fermentation–warm, cold, and spontaneous. Typical fermentation equipment is a stainless vessel with a cylindrical top and conical bottom. The cone’s opening allows the yeast to flow toward the bottom of the tank to ensure proper delivery. After completion of the fermentation process, the solid particles and yeast get flushed out of the port, which is situated at the tip of the cone. For wheat beer fermentation, the open fermentation vessels are used. The open top fermenter is beneficial for the collection of top-fermenting yeasts. The risk of infection is higher in the case of top fermentation equipment.

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Craft brewery segment is projected to grow at the highest CAGR during the forecast period in the beer processing market

With the growing trend of craft beer consumption and the rising number of craft breweries, especially microbreweries, and brewpubs, this segment is projected to grow at the highest CAGR in the next six years. In craft breweries, the beer is manufactured using a variety of ingredients to achieve the desired aroma, body, flavor, and finish. The process may be traditional, but some constant experimentations and innovations are being undertaken to create varieties.

North America is projected to be the fastest-growing region in the brewery equipment market, due to the increasing investments by key beer manufacturers for expansions in the region and rising demand for craft beer

North America is projected to be the fastest-growing region during the forecast period in the brewery equipment market. The high growth rate in North America and the increasing investments by leading beer manufacturers for expansions is further projected to drive the market growth. Also, the region is witnessing significant demand for craft beer.

Mexico is one of the most favorable markets for beer manufacturers to expand due to the rising demand for beer and easy availability of raw materials. According to Kirin Holdings Company, Limited, the US was the second-largest beer producing country in the world in 2017 and is witnessing a significant rise in the number of breweries. Due to these factors, the brewery equipment market witnesses a high growth rate in this region. The global beer processing market is segmented region-wise, with a detailed analysis of each region. These regions include North America, Europe, the Asia Pacific, and Rest of the World (RoW).

The Asia Pacific is projected to account for the largest market share during the forecast period in the beer industry

The Asia Pacific region accounted for nearly 33% of the market share in the total beer volume market. The region is witnessing a growing trend of premiumization and low or no alcohol beer beverages due to its health benefits. Various large beer manufacturers including Anheuser-Busch InBev (Belgium), Heineken N.V. (Netherlands), United Breweries (India), China Resources Snow Breweries Limited (China), and Carlsberg A/S (Denmark) have their production bases in the region. Some of the beer equipment manufacturers present in this region include Alfa Laval (Sweden), GEA Group (Germany), Krones (Germany), and Ningbo Lehui International Engineering Equipment Co Ltd (China).

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Recent Developments:

In May 2019, Heineken acquired a significant stake in Biela Ecuador from a group of local investors. It helped Heineken to enter the Ecuadorian beer market.  

In March 2019, Carlsberg purchased a minority stake in the Chinese craft brewery, Jing-A. Jing-A produces a wide range of craft beers for the Chinese market, including Flying Fist IPA, Tuhao Gold Pils, and Koji Red Ale. This partnership is projected to support Carlsberg in maintaining a strong distribution network.

In March 2019, Alfa Laval launched a magnetic mixer—the Alfa Laval LeviMag, engineered for the aseptic processing of food, beverages, and dairy products. The product offers reduced maintenance costs, increased yields, as well as improved performance.

 

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