Report Overview

Increasing consumer demand for diverse beer flavors, rising popularity of craft breweries, a growing beer consumption culture driven by economic growth, urbanization, and changing consumer preferences are contributing to the market's expansion drive the Middle East and Africa Beer Adjuncts Market during the forecast period between 2023 and 2029.

Middle East and Africa Beer Adjuncts Market – Industry Trends & Forecast Report, 2029

The Middle East and Africa beer adjuncts market size was estimated at USD 2.51 billion in 2022. During the forecast period between 2023 and 2029, the size of Middle East and Africa beer adjuncts market is projected to grow at a CAGR of 4.83% reaching a value of USD 3.32 billion by 2029. The Middle East and Africa beer adjuncts market is influenced by several key driving factors, including a growing consumer demand for diverse beer flavors and types, leading breweries' efforts to innovate and experiment with ingredients, a rising preference for craft and artisanal beers, and the region's expanding young population seeking new beverage experiences. Also, the increasing disposable income in Middle Eastern and African countries contributes to higher beer consumption and the exploration of unique adjuncts. Regulatory changes, such as relaxed alcohol laws in certain regions, further stimulate market growth, as does the cultural acceptance and integration of beer into social and dining experiences.  

Beer Adjuncts - Overview

Beer adjuncts are non-malt ingredients added to beer during the brewing process to enhance flavor, body, or other characteristics. Common adjuncts include grains like corn, rice, wheat, and oats, as well as sugars, fruits, spices, and even coffee. While traditional brewing methods adhere to the purity law (Reinheitsgebot) that limits ingredients to water, malt, hops, and yeast, adjuncts can add unique flavors and textures to beer. They are often used in lighter lagers and American-style beers to lighten the body and reduce production costs. The use of adjuncts is a subject of debate among beer enthusiasts, with some favoring traditional methods and others embracing innovation.

Middle East and Africa Beer Adjuncts Market

Growth Drivers

Rising Demand for Craft Beer

One key growth driver of the Middle East and Africa beer adjuncts market is the increasing demand for craft beer in the region. Craft beer enthusiasts and the growing popularity of artisanal breweries have driven the need for a diverse range of adjuncts, including various grains, spices, and fruits, to create unique and flavorful brews. Consumers are seeking distinctive tastes and high-quality brews, prompting breweries to experiment with different adjuncts. This trend is expected to boost the sales of beer adjuncts and offer lucrative opportunities for suppliers and manufacturers in the Middle East and Africa.

Restraints

Regulatory Challenges

Middle East and Africa beer adjuncts market faces several restraints, primarily driven by regulatory hurdles. Stringent alcohol regulations in many countries limit the production and consumption of beer, affecting market demand. Also, cultural and religious factors in the region often discourage alcohol consumption, further constraining market growth. High import tariffs on adjunct ingredients and the limited availability of certain adjuncts locally contribute to elevated production costs, affecting pricing and profitability. Geopolitical instability, fluctuating exchange rates, and challenging supply chain logistics also pose significant challenges for businesses operating in this market.

Impact of COVID-19 on Middle East and Africa Beer Adjuncts Market

Middle East and Africa beer adjuncts market faced substantial setbacks due to the COVID-19 pandemic. Lockdowns, restrictions, and economic uncertainties reduced beer consumption and disrupted supply chains, causing a decline in demand for adjuncts such as malt, corn, and rice. Breweries faced challenges in maintaining production, and some even temporarily closed. Despite these hurdles, the market adapted with innovative strategies, emphasizing e-commerce, takeout, and home consumption. As the region navigated pandemic-induced challenges, the Middle East and Africa beer adjuncts market started showing signs of recovery, emphasizing the resilience of the industry in the face of adversity.

Middle East and Africa Beer Adjuncts Market

Segmental Coverage

Middle East and Africa Beer Adjuncts Market – By Type

Based on type, Middle East and Africa beer adjuncts market is divided into Unmalted Grain (Unmalted Corn, Unmalted Rice), Sugar, Cassava, and Potatoes segments. The largest segment in the Middle East and Africa beer adjuncts market is unmalted grain, which comprises Unmalted Corn and Unmalted Rice. This segment dominates the market, followed by Sugar, Cassava, and Potatoes segments. Unmalted grain serves as a primary ingredient in beer production, contributing to its substantial market share. This segment's popularity may be attributed to its cost-effectiveness and its impact on the flavor and brewing process, making it a key player in the regional beer adjuncts industry.

Middle East and Africa Beer Adjuncts Market – By Form

By form, the Middle East and Africa beer adjuncts market is split into Liquid and Dry segments. These segments represent the primary forms in which beer adjuncts are available within the market. The liquid segment typically includes adjuncts in a liquid or syrupy form, which are often used in the brewing process to add specific flavors, sugars, or other ingredients to the beer. On the other hand, the dry segment encompasses adjuncts that are in powdered or dried form, serving a similar purpose in brewing but with different characteristics. These two segments play a pivotal role in shaping the diversity of beer offerings within the region.

Middle East and Africa Beer Adjuncts Market – By Country

Geographically, Middle East and Africa beer adjuncts market is divided into Saudi Arabia, UAE, Qatar, Kuwait, South Africa, Nigeria, Algeria, and Rest of MEA. South Africa is the largest country in the Middle East and Africa beer adjuncts market. The country holds a significant share of the market due to its robust beer industry and a growing consumer base for various beer adjuncts. South Africa's well-established brewing culture and the presence of several breweries contribute to its dominance in the market. Other countries, including Saudi Arabia, UAE, Qatar, Kuwait, Nigeria, Algeria, and the Rest of MEA, also play essential roles but South Africa stands out as the most prominent and influential segment within this market.

Competitive Landscape

Major players in the Middle East and Africa beer adjuncts market include South Africa Breweries, Heineken N.V., Anheuser-Busch InBev SA/NV, Nigeria Breweries Plc., Consolidated Breweries Limited, Guinness Nigeria Plc., Golden Breweries, Others. To grow their market share, these companies are also focusing on investing in innovations, collaborations, and expansions.

Scope of the Report

By Type

• Unmalted Grain

• Unmalted Corn

• Unmalted Rice

• Sugar

• Cassava

• Potatoes

By Form

• Liquid

• Dry

By Country

• Saudi Arabia

• UAE

• Qatar

• Kuwait

• South Africa

• Nigeria

• Algeria

• Rest of MEA