The Global Hops Market Size accounted for USD 31.1 Billion in 2022 and is projected to achieve a market size of USD 46.9 Billion by 2032 growing at a CAGR of 4.3%from 2023 to 2032.
Hops Market Highlights
Hops are the flowers of the Humulus lupulus plant and are primarily used in the brewing industry to add bitterness, aroma, and flavor to beer. They contain essential oils and acids that contribute to the overall taste and stability of the final product. The hops market has seen significant growth over the past few decades due to the booming craft beer movement and the increasing demand for diverse and unique beer flavors. As craft breweries continue to emerge worldwide, the need for high-quality hops has surged, driving the market's expansion.
In addition to the craft beer trend, the growing popularity of specialty and flavored beers has further fueled the hops market growth. Consumers are increasingly seeking innovative and distinct brews, leading to a rise in demand for various hop varieties with unique aromatic profiles. Moreover, the health benefits associated with moderate beer consumption have positively impacted the market, as consumers perceive hop-derived compounds as having potential wellness properties.
Global Hops Market Trends
Hops Market Report Coverage
|Hops Market Size 2022||USD 31.1 Billion|
|Hops Market Forecast 2032||USD 46.9 Billion|
|Hops Market CAGR During 2023 - 2032||4.3%|
|Hops Market Analysis Period||2020 - 2032|
|Hops Market Base Year||2022|
|Hops Market Forecast Data||2023 - 2032|
|Segments Covered||By Type, By Application, And By Geography
|Regional Scope||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa|
|Key Companies Profiled||Barth Haas Group, Hopsteiner, Yakima Chief Hops (YCH), John I. Haas, Inc., Charles Faram & Co. Ltd., Hop Products Australia (HPA), Puterbaugh Farms, BSG CraftBrewing, Crosby Hop Farm, Select Botanicals Group (SBS Farms), and Indie Hops.
||Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Covid-19 Analysis, Regulation Analysis|
Hops are the flowers of the Humulus lupulus plant, and they play a crucial role in the beer brewing process. The hop cones, which are the female flowers of the plant, contain resins, essential oils, and alpha acids. These compounds contribute to the aroma, flavor, and bitterness of beer. During brewing, hops are typically added to the wort (a mixture of water and malted barley) to extract their flavors and aromas. Depending on the timing and quantity of hop additions, brewers can achieve a wide range of beer styles, from light and floral to bold and bitter. Apart from their role in beer production, hops have been used in traditional medicine for their potential calming and sedative properties.
The applications of hops extend beyond the brewing industry. Due to their aromatic and medicinal properties, hops are used in herbal medicine and natural remedies. They are believed to have mild sedative effects and have been used to alleviate anxiety, aid sleep, and soothe nervousness. In addition to their potential health benefits, hops are used in the production of non-alcoholic beverages, such as hop-infused teas and sodas, to offer unique flavors and herbal notes. Moreover, hops' antimicrobial properties make them useful in some personal care products like soaps and lotions. Overall, hops are a versatile and important plant with wide-ranging applications, making them a valuable commodity in both the beverage and natural health industries.
The craft beer movement, which gained significant momentum over the past decade, has led to an increased appreciation for unique and diverse beer flavors, propelling the need for high-quality hops. Craft breweries, both small and large, have been actively experimenting with different hop varieties to create distinctive brews that cater to consumers' evolving tastes. Moreover, the health and wellness trend associated with moderate beer consumption has positively impacted the hops market. Hops are known for their essential oils and compounds that contribute to beer's aroma and bitterness, and they are also believed to possess certain health benefits. This perception has encouraged consumers to seek out beers with high-quality hops, further boosting the market's growth.
Hops Market Segmentation
The global Hops Market segmentation is based on type, application, and geography.
Hops Market By Type
In terms of types, the cascade hops segment has seen significant growth in the recent years. The segment's growth has been fueled by the increasing demand for craft beers, which often feature hop-forward profiles to cater to consumers' evolving tastes. Cascade hops' versatility makes them suitable for various beer styles, such as pale ales, IPAs (India Pale Ales), and lagers, contributing to their widespread appeal and continued market growth. Furthermore, the rise of the craft beer movement has led to greater consumer interest in unique and locally-sourced ingredients, including specific hop varieties like Cascade. Craft brewers, who often prioritize quality and distinct flavors, have showcased Cascade hops' potential to create standout brews. The segment's growth has also been driven by increased collaboration between hop growers and breweries, where brewers seek out unique and customized hop profiles to differentiate their products in a competitive market. As craft beer continues to gain popularity globally, the demand for Cascade hops is expected to remain robust, further driving growth in this segment of the hops market.
Hops Market By Application
According to the hops market forecast, the medicinal drugs segment is expected to witness significant growth in the coming years. Hops contain various bioactive compounds, including essential oils, bitter acids, and flavonoids, which have been studied for their potential medicinal properties. One of the most notable compounds found in hops is xanthohumol, which has been the subject of research due to its antioxidant, anti-inflammatory, and potential anticancer properties. The medicinal drugs segment in the hops market has been driven by increasing research and clinical studies exploring the potential health benefits of hop-derived compounds. These studies have led to a growing interest from pharmaceutical and nutraceutical industries in incorporating hops extracts and derivatives into medicinal products. Additionally, hops have been used traditionally in herbal medicine for their calming and sedative effects, and this has contributed to their inclusion in natural remedies for sleep and relaxation.
Hops Market Regional Outlook
The Middle East & Africa
Hops Market Regional Analysis
North America dominates the hops market for several key reasons, making it a significant player in the global hops industry. One of the primary factors contributing to North America's dominance is its long-standing tradition of craft brewing. The craft beer movement in the region gained momentum decades ago, and it has remained a driving force behind the demand for hops. Craft brewers in North America have a strong emphasis on quality and innovation, often using a wide variety of hop flavors and aromas to create unique and distinct beer styles. This has led to a consistent and substantial demand for hops from local and international hop growers. Additionally, North America is home to the largest hop-producing region in the world, the Pacific Northwest, specifically the states of Washington, Oregon, and Idaho. These areas have ideal climatic conditions and soil profiles that are conducive to hop cultivation. The Pacific Northwest's long sunny days, cool nights, and abundant water supply provide an optimal environment for hops to thrive. As a result, the region produces a significant portion of the world's hops, enabling North American brewers to access a diverse range of high-quality hop varieties locally.
Hops Market Player
Some of the top hops market companies offered in the professional report include Barth Haas Group, Hopsteiner, Yakima Chief Hops (YCH), John I. Haas, Inc., Charles Faram & Co. Ltd., Hop Products Australia (HPA), Puterbaugh Farms, BSG CraftBrewing, Crosby Hop Farm, Select Botanicals Group (SBS Farms), and Indie Hops.
The market size of hops was USD 31.1 Billion in 2022.
The CAGR of hops is 4.3% during the analysis period of 2023 to 2032.
The key players operating in the global market are including Barth Haas Group, Hopsteiner, Yakima Chief Hops (YCH), John I. Haas, Inc., Charles Faram & Co. Ltd., Hop Products Australia (HPA), Puterbaugh Farms, BSG CraftBrewing, Crosby Hop Farm, Select Botanicals Group (SBS Farms), and Indie Hops.
North America held the dominating position in hops industry during the analysis period of 2023 to 2032.
Asia-Pacific region exhibited fastest growing CAGR for market of hops during the analysis period of 2023 to 2032.
The current trends and dynamics in the hops market growth include growing demand for craft beers and specialty brews, increasing popularity of flavored and innovative beer products, and health and wellness trends associated with moderate beer consumption.
The medicinal drugs applications held the maximum share of the hops industry.