Dried Spent Grain Market
By Nature;
Organic and ConventionalBy Source;
Wheat, Barley, Rice, Sorghum and MilletBy End Use;
Food & Beverages, Bakery, Confectionery, Dairy Products, Health Drinks, Snacks, Nutritional Powder, Shakes, RTD Products, Pharmaceuticals, Nutraceuticals, Animal Feed and BreweriesBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031)Dried Spent Grain Market Overview
Dried Spent Grain Market (USD Million)
Dried Spent Grain Market was valued at USD 15,389.92 million in the year 2024. The size of this market is expected to increase to USD 20,252.08 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 4.0%.
Dried Spent Grain Market
*Market size in USD million
CAGR 4.0 %
| Study Period | 2025 - 2031 |
|---|---|
| Base Year | 2024 |
| CAGR (%) | 4.0 % |
| Market Size (2024) | USD 15,389.92 Million |
| Market Size (2031) | USD 20,252.08 Million |
| Market Concentration | High |
| Report Pages | 336 |
Major Players
- Archer Daniels Midland (ADM)
- Bunge Global
- Cargill
- Louis Dreyfus Company
- The Scoular Company
- Nestlé
- Nomad Foods
- Anheuser-Busch InBev
- Coors (Molson Coors Beverage Company)
- Diageo
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Dried Spent Grain Market
Fragmented - Highly competitive market without dominant players
The Dried Spent Grain Market is evolving as a vital segment in sustainable resource utilization. Generated primarily from brewing, dried spent grain is recognized for its rich protein, fiber, and mineral composition, making it valuable across diverse industries. With more than 65% of breweries repurposing spent grain, the market is increasingly positioned as a driver of circular economy practices.
Strong Role in Animal Nutrition
A major portion of dried spent grain is used in livestock nutrition owing to its 20% protein concentration and over 30% dietary fiber content. Approximately 55% of dried spent grain finds its way into animal feed, reflecting its importance in improving feed efficiency while reducing costs. This growing adoption highlights its role in enhancing sustainable agriculture.
Expanding Use in Functional Foods
Food manufacturers are integrating dried spent grain into baked goods, snacks, and wellness-oriented foods. With 18% of producers utilizing it in formulations, it is widely appreciated for improving product quality, offering natural fiber enrichment, and supporting healthy dietary trends. Its integration into high-protein flours, cereals, and nutrition bars is accelerating its acceptance in the functional food industry.
Sustainability Driving Market Growth
With over 70% of breweries and processors exploring innovative applications, dried spent grain is becoming central to waste reduction and sustainability. From agricultural soil enrichment to eco-material development, its multifunctional benefits are fueling widespread adoption. Rising awareness of sustainable nutrition and green technologies is expected to strengthen the growth trajectory of the dried spent grain market.
Dried Spent Grain Market Key Takeaways
-
Animal Feed Dominance: Dried spent grain (DSG) remains a primary component in livestock feed, offering a cost-effective, high-protein alternative to traditional ingredients like corn and soy.
-
Rising Demand for Sustainable Ingredients: Increasing consumer preference for clean-label, plant-based products is driving the incorporation of DSG into snacks, protein bars, and baked goods.
-
Biofuel Production Growth: DSG is gaining traction as a feedstock for bioethanol production, aligning with global shifts towards renewable energy sources and circular economy practices.
-
Technological Advancements in Drying: Innovations in drying technologies are enhancing the energy efficiency and scalability of DSG processing, facilitating broader industrial applications.
-
Regional Market Dynamics: North America leads in DSG utilization, driven by a robust brewing industry, while the Asia-Pacific region is emerging as a significant growth area due to expanding livestock farming and brewing activities.
-
Regulatory and Supply Chain Challenges: Issues such as perishability, transportation costs, and compliance with food safety regulations pose ongoing challenges to the DSG market.
-
Strategic Industry Partnerships: Collaborations between breweries, agricultural sectors, and food manufacturers are fostering innovation and expanding the value-added applications of DSG.
Dried Spent Grain Market Recent Developments
-
In 2023, BASF collaborated with JSP Corporation to develop high-performance expanded polypropylene (EPP) materials for automotive applications, focusing on improved impact resistance and durability.
-
In 2022, Dow Chemical expanded its EPP production capacity in the Asia-Pacific region to meet growing demand and enhance supply chain efficiency.
Dried Spent Grain Market Segment Analysis
In this report, the Dried Spent Grain Market has been segmented by Nature, Source, End Use and Geography.
Dried Spent Grain Market, Segmentation by Nature
The Dried Spent Grain Market is categorized by Nature into Organic and Conventional segments. The rising demand for sustainable and clean-label products has accelerated the growth of the organic segment, driven by consumer preference for naturally sourced ingredients and eco-friendly production practices. Meanwhile, the conventional segment continues to dominate in terms of volume due to its cost efficiency and wider availability across industrial-scale processing facilities.
Organic
The organic dried spent grain category is witnessing strong growth, primarily attributed to the expanding trend of organic food and beverage production and the growing adoption of sustainable agricultural practices. Organic variants also find high acceptance among health-conscious consumers seeking additive-free and environmentally friendly products. Producers are investing in organic certification programs to enhance product value and market competitiveness.
Conventional
The conventional dried spent grain segment remains crucial for industrial and commercial applications, where large-scale, cost-efficient production is prioritized. Its market share is reinforced by widespread availability of raw materials and established processing technologies. Despite facing competition from organic alternatives, the segment continues to expand across animal feed and brewing industries due to consistent supply and affordability.
Dried Spent Grain Market, Segmentation by Source
Based on Source, the market includes Wheat, Barley, Rice, Sorghum, and Millet. Each source offers distinct nutritional properties and processing benefits. Among these, barley-based spent grain dominates the market due to its strong presence in the brewing industry, while wheat and rice sources are gaining traction in the food and nutraceutical sectors for their high fiber and protein content. The diversification of sources supports innovation in functional food formulations and sustainable feed alternatives.
Wheat
Wheat-derived dried spent grain is rich in proteins and dietary fibers, making it suitable for use in bakery, snacks, and nutritional powder formulations. With increasing consumer focus on fiber-enriched diets, wheat-based products are being integrated into both human food and animal feed categories, offering manufacturers versatile application opportunities.
Barley
The barley source segment holds a major market share, supported by its abundant availability from the brewing sector. Barley spent grain offers excellent digestibility and nutrient retention, making it a preferred component in livestock feed and energy bars. Continuous R&D in valorization of barley residues has led to its growing application in nutraceuticals and sustainable bioproducts.
Rice
Rice-based dried spent grain is emerging as a valuable byproduct in regions with large-scale rice production, particularly in Asia. Known for its light texture and mild flavor, it is being incorporated in gluten-free bakery and dietary supplement markets. Manufacturers are leveraging rice-based sources to cater to the rising demand for allergen-free and plant-based nutrition.
Sorghum
Sorghum dried spent grain offers strong nutritional density and is widely adopted in livestock and poultry feed. Owing to its drought resistance, sorghum is increasingly utilized as a sustainable grain source in regions facing climate-related agricultural challenges. Technological advancements in drying and preservation processes are further improving its market potential.
Millet
Millet-derived dried spent grain is gaining momentum for its high mineral content and gluten-free properties. Its use is expanding in functional food and beverage applications, especially in emerging markets with rising health awareness. The integration of millet sources into sustainable value chains is supporting rural income generation and food security initiatives.
Dried Spent Grain Market, Segmentation by End Use
The Dried Spent Grain Market is divided by End Use into Food & Beverages, Bakery, Confectionery, Dairy Products, Health Drinks, Snacks, Nutritional Powder, Shakes, RTD Products, Pharmaceuticals, Nutraceuticals, Animal Feed, and Breweries. This broad utilization underscores its versatility as a high-protein and fiber-rich ingredient. The growing adoption across food and health sectors reflects increasing awareness of sustainable ingredient sourcing and circular economy models.
-
Food & Beverages
Dried spent grain is widely incorporated into food and beverage formulations for its nutritional enrichment and sustainable sourcing. Its application in high-fiber beverages and plant-based formulations is expected to rise by more than 7% CAGR through 2030.
-
Bakery
In the bakery sector, dried spent grain enhances the fiber content and texture of bread, biscuits, and cookies. Manufacturers are adopting it to appeal to health-conscious consumers and reduce ingredient waste from brewing processes.
-
Confectionery
The confectionery segment leverages spent grain as a functional filler for energy bars and chocolate-based snacks. This application supports clean-label product innovation and boosts sustainability credentials in the premium snack market.
-
Dairy Products
Dried spent grain is being tested as a texturizing and fortifying additive in dairy-based drinks and yogurts. Its integration improves nutritional density while supporting functional food development.
-
Health Drinks
Driven by the global wellness trend, health drink manufacturers are utilizing dried spent grain for its fiber and protein enrichment. This segment has seen rapid innovation in ready-to-mix and fortified beverage blends.
-
Snacks
Snack formulations incorporating dried spent grain benefit from added crunch and improved nutrient profile. The trend toward high-protein, low-fat snacks is fueling segment expansion globally.
-
Nutritional Powder
Nutritional powders enriched with dried spent grain are gaining popularity among athletes and health enthusiasts for their natural protein and amino acid composition. This application also aligns with the plant-based nutrition movement.
-
Shakes
Protein shakes and meal replacements are integrating dried spent grain for its digestibility and clean-label attributes. Companies are leveraging this ingredient to enhance the satiety and functional nutrition value of their products.
-
RTD Products
The ready-to-drink (RTD) segment utilizes dried spent grain in fiber-fortified beverages and smoothies. With consumer demand for on-the-go nutrition rising, RTD innovation continues to accelerate.
-
Pharmaceuticals
In pharmaceutical formulations, dried spent grain derivatives are explored for use as natural excipients and fiber supplements. Its biocompatibility and cost-effectiveness enhance its potential in nutraceutical-grade ingredients.
-
Nutraceuticals
Nutraceutical companies are incorporating dried spent grain into functional blends, capsules, and powders targeting digestive health, energy metabolism, and weight management. The segment benefits from increasing consumer shift toward natural wellness solutions.
-
Animal Feed
The animal feed segment remains the largest consumer of dried spent grain, accounting for more than 60% of global consumption. It provides an affordable and nutrient-rich option for livestock, poultry, and aquaculture industries.
-
Breweries
Breweries generate dried spent grain as a byproduct and are now repurposing it through circular economy models to produce value-added feed and food ingredients, thereby minimizing waste and improving sustainability outcomes.
Dried Spent Grain Market, Segmentation by Geography
In this report, the Dried Spent Grain Market has been segmented by Geography into five regions: North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Regions and Countries Analyzed in this Report
North America
North America leads the global dried spent grain market, supported by a robust brewing industry and strong investments in sustainable ingredient recovery. The U.S. and Canada are early adopters of spent grain valorization technologies, contributing to more than 35% of the global market share.
Europe
Europe showcases mature adoption of dried spent grain, driven by stringent environmental regulations and circular economy initiatives. Countries such as Germany and the UK lead in functional food innovation using spent grain-derived fibers and proteins.
Asia Pacific
The Asia Pacific region is witnessing the fastest growth, with expanding beer production and animal feed industries in China, India, and Australia. Increasing investments in food technology and agricultural sustainability are expected to accelerate market expansion.
Middle East & Africa
In the Middle East & Africa, the market is evolving with growing brewery operations and feed manufacturing units. Adoption is gradually increasing due to greater awareness of circular economy practices and local sourcing efficiency.
Latin America
Latin America is a promising market with increasing brewing capacity and diversification into functional food ingredients. Countries such as Brazil and Mexico are witnessing growing utilization of spent grain in feed and nutraceutical applications.
Dried Spent Grain Market Forces
This report provides an in depth analysis of various factors that impact the dynamics of Dried Spent Grain Market. These factors include; Market Drivers, Restraints and Opportunities Analysis, Market Opportunity Mapping, PEST (Political, Economic, Social and Technological) Analysis and Porter's Five Forces Analysis.
Comprehensive Market Impact Matrix
This matrix outlines how core market forces Drivers, Restraints and Opportunities affect key business dimensions including Growth, Competition, Customer Behavior, Regulation and Innovation.
| Market Forces ↓ Impact Areas → | Market Growth Rate | Competitive Landscape | Customer Behavior | Regulatory Influence | Innovation Potential |
|---|---|---|---|---|---|
| Drivers | High impact (e.g., tech adoption, rising demand) | Encourages new entrants and fosters expansion | Increases usage and enhances demand elasticity | Often aligns with progressive policy trends | Fuels R&D initiatives and product development |
| Restraints | Slows growth (e.g., high costs, supply chain issues) | Raises entry barriers and may drive market consolidation | Deters consumption due to friction or low awareness | Introduces compliance hurdles and regulatory risks | Limits innovation appetite and risk tolerance |
| Opportunities | Unlocks new segments or untapped geographies | Creates white space for innovation and M&A | Opens new use cases and shifts consumer preferences | Policy shifts may offer strategic advantages | Sparks disruptive innovation and strategic alliances |
Drivers, Restraints and Opportunities
Drivers:
- Environmental Sustainability
- Increasing Demand for Animal Feed
-
Growing Craft Beer Industry: The expansion of the craft beer sector on a global scale has significantly bolstered the production of spent grains, creating a ripple effect throughout various industries. Craft breweries typically produce smaller batches of beer compared to large-scale breweries, resulting in a higher concentration of spent grains per batch. This increase in production directly contributes to a greater availability of raw materials for drying and reuse in other sectors.
As craft breweries continue to gain popularity worldwide, their production of spent grains has grown proportionally. These grains, primarily barley, retain substantial nutritional value even after the brewing process. Their high protein and fiber content make them an ideal ingredient for animal feed, particularly for livestock such as cattle, pigs, and poultry. This dual benefit—producing high-quality beer while generating a valuable byproduct for animal nutrition—underscores the sustainability of craft brewing practices.
Restraints:
- Quality and Storage Challenges
- Regulatory Constraints
-
Competition from Alternative Feed Sources: Dried spent grains encounter significant competition from alternative feed sources like soybean meal and corn gluten meal, which are well-established in the animal feed market. Soybean meal, derived from soybeans, is prized for its high protein content and balanced amino acid profile, making it a preferred choice for livestock nutrition. Corn gluten meal, a byproduct of corn processing, is valued for its protein concentration and digestibility, particularly in poultry diets.
These alternative feed sources often enjoy widespread availability and established supply chains, which can pose challenges to the market penetration of dried spent grains. Livestock farmers and feed manufacturers may opt for these alternatives due to consistent quality, reliable supply, and established nutritional profiles, thereby impacting the demand for dried spent grains.
Opportunities:
- Rising Adoption of Dried Spent Grains in Biofuel Production
- Innovations in Processing Technologies
-
Expanding Applications in Food and Beverage Industry: Exploring dried spent grains in novel applications within the food and beverage industry presents promising avenues for market expansion. These grains, rich in fiber, protein, and other nutrients, offer potential as functional food ingredients or dietary supplements. Their nutritional profile makes them suitable for enhancing the nutritional content of various food products, including baked goods, cereals, snacks, and health bars.
As consumer awareness of sustainability and nutrition grows, there is increasing interest in products that utilize byproducts like dried spent grains. Incorporating these grains into food formulations not only adds nutritional value but also aligns with trends favoring sustainable practices in food production. This can appeal to health-conscious consumers seeking products with natural, minimally processed ingredients.
The versatility of dried spent grains allows for innovation in product development. They can be processed into flours, extracts, or concentrated forms that enhance the texture, flavor, and health benefits of food products. These innovations cater to diverse consumer preferences and dietary needs, potentially opening up new market segments and enhancing the overall market competitiveness of dried spent grains.
Dried Spent Grain Market Competitive Landscape Analysis
Dried Spent Grain Market is witnessing significant transformation with key players leveraging strategies, collaboration, and partnerships to strengthen their presence. Companies are focusing on innovation and operational efficiency to capture market share, while the overall industry shows an approximate 28% concentration in leading enterprises, highlighting a competitive yet growth-oriented landscape.
Market Structure and Concentration
The Dried Spent Grain Market exhibits a moderately concentrated structure, with top players commanding near 35% of production. Merger and acquisition activities are shaping the market hierarchy, fostering expansion across regions. Strategic alliances and joint ventures contribute to technological advancements and increased operational efficiency, defining the competitive equilibrium.
Brand and Channel Strategies
Leading companies employ robust brand strategies and multi-channel distribution models to enhance reach and visibility. Emphasis on partnerships with distributors and retailers strengthens market penetration, supporting growth. Approximately 42% of sales are routed through integrated channels, reflecting strategic alignment between brand positioning and innovation in marketing efforts.
Innovation Drivers and Technological Advancements
Innovation remains pivotal with players investing in technological advancements to improve drying processes and nutritional retention. Research collaborations and partnerships facilitate product diversification and operational optimization. Enhanced automation and process innovation contribute to roughly 30% efficiency improvement, reinforcing the market’s competitive growth trajectory.
Regional Momentum and Expansion
The market demonstrates significant expansion across North America and Europe, with Asia-Pacific showing rising adoption. Strategic collaboration and regional alliances support network development and technological advancements. Around 33% of new production capacities are established in emerging regions, reflecting aggressive growth and market penetration strategies by key players.
Future Outlook
Looking forward, the Dried Spent Grain Market anticipates continued growth driven by innovation and strategic partnerships. Companies focusing on technological advancements and market expansion are expected to secure stronger positions. Proactive strategies and collaborative efforts indicate an optimistic future outlook with sustained competitive momentum and sectoral evolution.
Key players in Dried Spent Grain Market include:
- AB InBev / EverGrain Ingredients
- Cargill, Inc.
- GrainCorp Limited
- Malteurop Group
- The Andersons, Inc.
- Bühler Group
- Boortmalt
- Muntons plc
- PureMalt Products Ltd.
- AgriProtein Technologies
- Rahr Corporation
- Tate & Lyle PLC
- Lesaffre Group
- EverGrain / AB InBev’s upcycled grain operations
- Kerry Group plc
In this report, the profile of each market player provides following information:
- Market Share Analysis
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Nature
- Market Snapshot, By Source
- Market Snapshot, By End-Use
- Market Snapshot, By Region
- Dried Spent Grain Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Environmental Sustainability
- Increasing Demand for Animal Feed
- Growing Craft Beer Industry
- Restraints
- Quality and Storage Challenges
- Regulatory Constraints
- Competition from Alternative Feed Sources
- Opportunities
- Rising Adoption of Dried Spent Grains in Biofuel Production
- Innovations in Processing Technologies
- Expanding Applications in Food and Beverage Industry
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Dried Spent Grain Market, By Nature, 2021 - 2031 (USD Million)
- Organic
- Conventional
- Dried Spent Grain Market, By Source, 2021 - 2031 (USD Million)
- Wheat
- Barley
- Rice
- Sorghum
- Millet
- Dried Spent Grain Market, By End Use, 2021 - 2031 (USD Million)
- Food & Beverages
- Bakery
- Confectionery
- Dairy Products
- Health Drinks
- Snacks
- Nutritional Powder
- Shakes
- RTD Products
- Pharmaceuticals
- Nutraceuticals
- Animal Feed
- Breweries
- Dried Spent Grain Market, By Geography, 2023 - 2033 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Dried Spent Grain Market, By Nature, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- AB InBev / EverGrain Ingredients
- Cargill, Inc.
- GrainCorp Limited
- Malteurop Group
- The Andersons, Inc.
- Bühler Group
- Boortmalt
- Muntons plc
- PureMalt Products Ltd.
- AgriProtein Technologies
- Rahr Corporation
- Tate & Lyle PLC
- Lesaffre Group
- EverGrain / AB InBev’s upcycled grain operations
- Kerry Group plc
- Company Profiles
- Analyst Views
- Future Outlook of the Market

