In this case study, a US-based bioethanol company engaged CPL Business Consultants to provide information on the market for Grain Distiller’s Dried Yeast (GDDY) and recommendations for its growth strategy.
This market study assisted a client in understanding the market for brewer‘s dried yeast and also grain distillers’ dried yeast.
The client produced dried yeast as a by-product from its ethanol business and consequently required information about the market. This included the global market size (but with a focus on the US), value, prices, and how these yeasts are used. Additionally, it required information on the products it competes against (can customers switch away from yeast if the price rises). Finally, it wanted information on value-adding IP (e.g. as pre-mixes or similar to add flavour and allow salt reduction).
The project provided an overview of dried yeast market dynamics, in order to inform the client’s product growth strategy.
CPL identified 297 fuel ethanol plants either presently producing or about to come on-stream. Of these, 208 were in the United States and Canada, 84 were in Europe; 5 Chinese plants were also included
During the course of this study, CPL made ~70 direct contacts with individuals in companies participating in the yeast business, including producers, traders and users. In addition, through extensive use of professional networking groups, we made around 30 additional contacts with producers of products related or similar to Grain Distillers Dried Yeast (GDDY), end-users including animal nutrition specialists and North American traders.
We contacted yeast traders and producers of other by-product yeast from outside the US bioethanol co-products industry either directly or through networking groups. We prioritized the major bioethanol-producing countries, for example, Brazil, India, Germany and the UK.
Click to see the contents of the study, or look below for an outline.
Brewer’s and Grain Distiller’s Dried Yeast Market
Objective, Method & Principal findings
- Sales, Price and Value
Conclusions & Recommendations
Yeast and bioethanol co-product definitions
- Grain distillers dried yeast – GDDY
- Non-grain derived dried yeast by-products from wines and alcohol distilleries
- Yeast culture
Linkage of GDDY supply to global bioethanol market
- Brazil and India (CSDDY)
- USA and China
GDDY sales – US domestic and global
Price and value
- End user demand drivers for GDDY
- Historical pricing
- Value proposition to the customer for using the product
External dynamics – risks assessment
- Modelling of GDDY related production volumes
- 8 GDDY-related producers
- 7 sugar cane distillers dried yeast SCDDY producers & processors
- 10 dried brewery yeast producers and processors
- Active dried yeasts (direct fed microbials) for animal nutrition
- 8 suppliers
- 14 yeast products somewhat similar to GDDY
- 5 special purpose yeast products
- Vegetable proteins
Overview of Major Brewery Yeast Players
- 18 producers of inactive yeast related products
- 13 potential end users
- 7 suppliers and traders
Patents and Technology Innovations
- 12 general news articles
- 4 DDGS & added value processing articles
- 8 yeast and its co-products in animal feed articles
- 3 biodiesel and other competing product substrates articles
- 5 fermentation end product butanol as alternative to ethanol articles
- 9 technology innovations relating to bioethanol production
- 18 2nd generation bioethanol articles