Sake Market Size, Share, Industry, Forecast and Outlook (2024-2031)

Sake Market is segmented By Type (Ordinary Sake, Junmai, Honjozo, Junmai Ginjo, Ginjo, Junmain Daiginjo), By Age Group (20-40 Years Old, 20-40 Years Old, Above 60 Years Old), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031

Market Overview

The Global Sake Market reached USD 9.1 billion in 2022 and is expected to reach USD 12.9 billion by 2030 and is expected to grow with a CAGR of 4.5% during the forecast period 2024-2031.  Sake, originated in Japan, is an alcoholic beverage made from fermented rice. As a result, in certain places where it is exported, it is referred to as rice wine. Water, yeast, and koji-kin (a mold that secretes enzymes) are also needed to make sake.

The brewing process for sake differs from the process for beer, where the conversion from starch to sugar and then from sugar to alcohol occurs in two distinct steps. Sake, which is also known as "Saki" and "Nihonshu," contains roughly 15–18% alcohol. Sake is often pale in color and sweet tasting. 

Sake is increasingly being recognized as a versatile beverage that complements various cuisines beyond traditional Japanese dishes. For instance, restaurants and culinary experts are exploring and promoting sake pairing with a range of international cuisines, including Western, Asian, and fusion foods. According to a report by Tastewise, 2.58% of restaurants offer Sake on their menus. This trend promotes the sake market to grow significantly.

Market Summary

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Market Dynamics

The Increasing Trend of Exporting Sake is Expected to Drive the Sake Market

Exporting sake allows sake producers to diversify their customer base and expand into new markets. By reaching consumers outside of Japan, sake producers can tap into growing international demand and increase their sales potential. Exporting sake can be a significant source of revenue for sake producers. Accessing international markets opens up opportunities for higher sales volumes and premium pricing, especially if the exported sake is positioned as a premium or niche product.

Exporting sake contributes to cultural exchange between Japan and other countries. It facilitates the sharing of sake-related traditions, brewing techniques, and appreciation for Japanese cuisine. According to Japan Sake and Shochu Makers Association, the total export volume of sake in 2020 was 21,761 Kiloliters. This leads to cultural exchange which can generate interest, drive tourism, and increase consumption of sake both domestically and internationally.

Rising Consumer Interest in Japanese Cuisine is Driving the Sake Market

Sake has long been associated with Japanese cuisine, and its flavors and characteristics are often considered a perfect complement to a variety of Japanese dishes. According to a report by Tastewise, 14.73% of restaurants offer Japanese on their menus. As consumer interest in Japanese cuisine grows globally, there is a natural inclination to explore and appreciate sake as an integral part of the culinary experience.

Japanese cuisine is highly regarded for its authenticity and attention to detail. Many consumers seeking an immersive cultural experience are drawn to Japanese restaurants and dining establishments that offer traditional cuisine, including sake. Sake enhances the authenticity of the dining experience, providing consumers with a taste of Japanese culture and tradition. 

Cultural Perception and Consumer Awareness are Restraining the Market

Sake is deeply rooted in Japanese culture and traditions, which can create a barrier for consumers who are not familiar with sake or have limited exposure to Japanese cuisine. Cultural differences and perceptions surrounding sake may influence consumer attitudes and preferences towards the beverage, potentially limiting its acceptance and consumption in certain markets.

Sake may face challenges in markets where consumers have limited knowledge or awareness of the beverage. Lack of familiarity with sake's flavors, brewing processes, and serving methods can result in consumer hesitance or reluctance to try it. This lack of awareness can hinder the growth and adoption of sake in new or less-exposed markets.

Market Segment Analysis

The global sake market is segmented based on type, age group, and region.

Junmai Sake Grade is Emerging at a Rapid Rate in Sake Market

Junmai sake is brewed using traditional methods, where it is made solely from rice, water, yeast, and koji (rice malt). It does not contain any added alcohol or other ingredients. This adherence to traditional brewing techniques and the purity of ingredients often make Junmai sake highly regarded among sake enthusiasts and connoisseurs. According to the report of the National Tax Agency, within the premium sake category, the share of junmai sake is increasing at a rapid rate. 

Junmai sake is often associated with higher quality and craftsmanship. The focus on using premium rice and meticulous brewing processes contributes to the complexity of flavors and the overall character of the sake. The attention to detail and the commitment to traditional brewing methods can result in a product that is valued for its taste and quality.

Market Geographical Share

North America Held the Largest Market Share of the Sake Market

North America is known for its cultural diversity and the willingness of consumers to explore different cuisines. Japanese cuisine, including sushi, ramen, and other traditional dishes, has gained significant popularity in North America. According to Japan Sake and Shochu Makers Association, in 2020, the sake export volume of the USA was 5,270 kiloliters, holding the first position in the sake export. As a result, sake has become more widely available and consumed, driving its market growth.

Sake breweries from Japan and other regions have expanded their distribution networks to reach North American markets. Collaborations between sake producers and local breweries or wineries have also contributed to the availability and promotion of sake in the region. These efforts have helped meet the demand for sake and expand its market share in North America.

Market Companies 

The major global players in the market include Hakutsuru Sake Brewing Co., Ltd., Ozeki Sake, KANPAI London Craft Sake, Aramasa Shuzo Co., Sun Masamune Pty Limited, Takara Holdings Inc., Blue Current Brewery, Asahishuzo CO., Ltd., Tatsuuma-Honke Brewing Co. Ltd., and Gekkeikan Sake Co., Ltd 

Impact Analysis on Market

Covid-19 Impact:

COVID-19 led to disruptions in global supply chains, affecting the production and distribution of sake. Restrictions on movement and lockdown measures in various countries impacted the import and export of sake, potentially causing delays, shortages, or disruptions in the availability of sake products. The hospitality and food service industry, including restaurants, bars, and izakayas, experienced significant challenges due to COVID-19. Lockdowns, social distancing measures, and temporary closures of these establishments resulted in a decline in on-premise sake consumption, directly impacting the demand for sake.

Russia-Ukraine War Impact:

Geopolitical conflicts can lead to economic instability in the involved countries and even spill over to neighboring regions. Uncertainty and economic downturns may affect consumer purchasing power and overall market demand for premium and imported products such as sake. Conflicts and tensions between countries can sometimes impact consumer sentiment. In some cases, consumers may choose to boycott or reduce their consumption of products associated with countries involved in the conflict. This sentiment shift could potentially influence the market demand for the sake in affected regions.

By Type

• Ordinary Sake
• Junmai
• Honjozo
• Junmai Ginjo
• Ginjo
• Junmain Daiginjo

By Age Group

• 20-40 Years Old
• 20-40 Years Old
• Above 60 Years Old

By Region

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • The U.K.
  • France
  • Italy
  • Spain
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In April 2023, SOTO premium sake announced the first release as part of a new, limited-edition series, SOTO X YAMAGATA MASAMUNE Omachi Kimoto Junmai Daiginjo. The collaboration between SOTO and Japan's finest producers celebrates the most sought-after "Grand Cru" breweries in Japan and around the world.
• In May 2023, to cater to this increasing appreciation of sake, 'Sake Meguri 2023' launched for the first time in Singapore on 22 July 2023 at Peridot 201-203 @ MAX Atria, Singapore Expo. Sake enthusiasts will not only have the chance to taste over 200 prime sake brands but also get to learn more about the history of each sake.
• In June 2023, Sake Sling, an RTD cocktail brand launched Sake-based cocktails in the UK revolutionizing the Ready-To-Drink market.

Why Purchase the Report?

• To visualize the global Sake market segmentation based on type, age group, and region and understand key commercial assets and players.
• Identify commercial opportunities in the market by analyzing trends and co-development.
• Excel data sheet with numerous data points of Sake market-level with all segments.
• The PDF report consists of cogently put-together market analysis after exhaustive qualitative interviews and in-depth market study.
• Product mapping is available as Excel consists of key products of all the major market players.

The global Sake market report would provide approximately 53 tables, 50 figures and 190 Pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies