Malt
industry includes establishments that produce malt, primarily for the
manufacture of alcoholic beverages, such as beer and whisky. They are
also used to make confections such as malted shakes, malt vinegar,
flavored drinks such as Ovaltine, Horlicks, and Milo, and some baked
goods, such as bagels, malt loaf, and rich tea. Malted barley is an
ingredient in blended flours specifically used in the manufacture of
yeast breads and other baked goods.
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Malt
is often divided into two categories by brewers such as base malts
and specialty malts. These both are used to provide flavor, and color
to the finished beer. Malt extract is frequently used in the brewing
of beer. The malts are segmented by the raw materials they used such
as acidulated/Sauer malt, aromatic malt, biscuit malt, cara munich,
cara vienna, caramel wheat, chocolate malt, coffee malt, dextrin
malt, flaked barley, flaked rye, flaked oats, honey malt, mild ale
malt, pale 2-row malt, munich malt, smoked malt, special B malt,
toasted malt, vienna malt. The key applications include breweries for
beer production, distilleries for production of premium quality
whisky, food industry for production of confectionary products and
flavored drinks, and pet food, pharmaceuticals industry for
production of tonics, health foods, and slim diets.
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Usage
of the malts in beers is expected to account for a major chunk of the
market followed by distilleries and food industry. Increased in
global beer production is driving foreign breweries to source malt
from industry. Also, the rising popularity of craft beer and the
local beer is expected to further raise demand for domestic malt over
the next five years. Craft beer accounts for about 18.0% of the
global malt demand. Increased in organic malt in making breweries is
boosting the growth of the market. The major challenge to entry for
market entrant is huge initial capital investment in processing
plant, equipment, a malting house and initial purchases. Growing wine
popularity is also a threat to this industry. Widely accepted studies
showing wine\'s health benefits are shifting consumer preferences
from beer to wine thus lowering per capita beer consumption.
Traditionally,
U.S. in North America has been the largest market for malts, sharing
superiority in both production as well as consumption. Western Europe
and Central Europe are also one of the key malts markets. Regions in
Asia Pacific such as China, South Korea and Australia are showing
relatively quicker growth and are expected to be the dominant markets
over the coming years. Regions in Africa such as Zimbabwe and
Botswana constitute of two of the most promising market potentials
followed by Latin America.
Some
of the major companies manufacturing malts in the market are Bairds
Malt Ltd, Cargill Inc., Crisp Malting Group Ltd, Malteurop Group,
Muntons Malt plc and Simpsons Malt Ltd.
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