The global Inactivated Yeast Market is witnessing significant growth, projected to reach a valuation of USD 3.5 billion by 2035. This robust expansion, with a compound annual growth rate (CAGR) of approximately 5.9% from 2025 to 2035, is largely driven by the rising consumer demand for functional food products and dietary supplements. As consumers become increasingly health-conscious and seek nutritious alternatives, inactivated yeast is emerging as a vital ingredient in the food and beverage industry, as well as in nutritional supplements.

Inactivated yeast, also known as deactivated yeast, is yeast that has been rendered inactive through heat or other processes, preventing it from fermenting. Unlike active yeast, which is commonly used in baking and brewing, inactivated yeast does not cause fermentation but retains a high nutrient content, including proteins, vitamins (especially B-complex), minerals, and essential amino acids. This makes it an excellent source of natural nutrition, widely incorporated into functional foods, animal feed, and dietary supplements.

The broad range of applications for inactivated yeast is a key factor driving market growth. In the food industry, it is valued for its flavor-enhancing properties and nutritional benefits, making it a popular additive in soups, sauces, snacks, and ready-to-eat meals. The growing demand for plant-based and fortified food products further fuels its use, as manufacturers aim to meet consumer preferences for healthier and more natural ingredients.