Products from Brewery Spent Grain and Distillery By-Products: Manufacturing Guide and Business Opportunities
Brewery Spent Grain Business in India Beer and Spirits in India has experienced a tremendous growth in the last 10 years. The Indian market is now the second biggest in the world for whisky and 8–10% of the population are drinking beer every year. This growth equates to increasing amounts of processing waste, such as brewer’s spent grain (BSG) from the brewing industry and distillery spent wash from alcohol production. BSG is the barley malt and adjunct grain used to make the wort that is left over from the brewing processes. About 20kg of wet BSG is produced for every 100 liters of beer produced. The wet BSG is produced by a large Indian brewery (1 lakhs liters per month) and is sold/donated as cattle fodder at Rs. 200 per ton. 1,000–3,000 per ton. BSG is 25–30% protein, 15–25% dietary fiber and has a high content of B vitamins and antioxidants. With the rise in market demand for high fiber, high protein food ingredients like protein bars, sports nutrition, functional foods, food enrichment, there is scope for processing BSG into food grade ingredients which fetches high price of Rs. 100–250 per kg versus Rs. 1- 3 per kg feed as wet cattle feed. The distillery spent wash is a by-product of the alcohol distillation process that contains high levels of BOD (50,000-100,000mg/l) and is rich in potassium, nitrogen and organic compounds useful as crop fertilizers. However, the regulatory pressure (i.e. effluent discharge prohibition) and fertilizer requirement creates a business structure for valorization of spent wash. Top 8 Products from Brewery and Distillery Waste 1. Brewer’s Spent Grain Protein Flour Dried (drum dryer or spray dryer) spent grain after centrifuge and ground to fine flour has a protein content of 25-30% and a fibre content of 15% (dietary fibre). Protein enriched bread, crackers, pasta and health food products use food grade BSG flour. It sells at Rs. 80–150 per kg versus Rs. 1–3 per kg wet. A BSG drying and milling unit will cost Rs. 60–150 lakh. 2. Dried Distillers Grain (DDG) for Animal Feed Dried and pelletised distillery grain residue (corn, sorghum or barley based) is high in protein (26–30%), high in metabolisable energy and high in fat (9–11%) making it a premium animal feed ingredient. DDG can be used in rations for dairy cattle, poultry and swine as a protein-energy source at a competitive price. DDG is a product of large grain-based distilleries and smaller operations can be given the chance to complement their facility with drying and pelletising. Get Detailed Project Report (DPR): Business Plan for Starting Animal Feed Production 3. Spent Wash Potash Fertiliser (Bio-Composted) Distillery spent wash (after multi-effect evaporation) is mixed with agricultural biomass (bagasse, press mud) and forms an organic manure containing 2-3% K₂O, 1.5-2% N and 1% P₂O₅. The Fertiliser Control Order allows spent wash compost as an acceptable organic fertiliser. The cost of the spent wash treatment by composting plant is Rs. It is able to save 50-150 lakh and also addresses the effluent compliance. 4. Biogas from Spent Wash Amongst all industrial effluents, spent wash generates the most energy efficient biogas from high-rate reactors such as UASB and CSTR with 25-35 m³ of gas per m³ of spent wash. The biogas is fired in boilers in place of biomass or coal. A number of large Indian distilleries (United Spirits, Radico Khaitan, Allied Blenders) have installed biogas plants from spent wash. Cost of 1 million litre/day distillery spent wash biogas plant is Rs. 3–8 crore. Get Detailed Insights from This Book: Handbook on Biogas and Its Applications 5. Protein Supplement for Aquaculture Feed Dried and pelletised with balanced amino acid profile, Brewer’s spent grain protein is accepted in tilapia, rohu, catla and shrimp aquafeed at inclusion levels of 10-20%. In the context of the rising production in Andhra Pradesh, West Bengal and Odisha, the demand for plant-based protein feed alternatives to fishmeal is increasing. The price of BSG protein supplement is Rs. 40,000–70,000 per tonne in the aquafeed market. 6. Yeast Extract (from Surplus Brewing Yeast) Protein-rich by-product of the brewing process, surplus brewer’s yeast can be lysed (heated or treated with enzymes) before spray drying into yeast extract, a savory flavour ingredient found in processed soups, sauces, seasoning blends and pet food. The price of yeast extract is Rs. It is imported at present, and costs 200–500 per kg. The cost of a yeast extract production unit is Rs. 1–3 crore. 7. Biosorbent (Spent Grain for Heavy Metal Removal) Chemical processed (acid washed and crosslinked) spent grain is used to make a biosorption material that is efficient in the removal of heavy metals (lead, cadmium, chromium) from industrial effluents. A specialty, niche chemical application for the ETP industry. The cost of a specialty biosorption preparation unit is Rs. 40–100 lakh. 8. Compostable Packaging Material Dried and compressed BSG fibre with starch binders, can be used to create rigid compostable packaging trays, plates and containers. These products are in competition with bagasse and wheat bran moulded packaging products — the single-use plastic alternative market. The cost of a BSG moulded packaging unit is Rs. 80–200 lakh. Discover business ideas that actually make money Investment and Market Summary Product Investment (Rs.) Price Key Buyer BSG Protein Flour (Food Grade) 60–150 lakh Rs. 80–150/kg Health Food, Bakeries DDG Animal Feed Pellets 40–100 lakh Rs. 25–40/kg Dairy, Poultry, Aquafeed Spent Wash Compost 50–150 lakh Rs. 4,000–8,000/MT Organic Farmers Biogas from Spent Wash 3–8 crore Fuel Cost Saving Self-Consumption, OMC Yeast Extract 1–3 crore Rs. 200–500/kg Food Flavour, Pet Food Related Article: Strategic Role of Zinc and Copper in Animal Nutrition: Why Every Feed Formulation Must Include Trace Elements Raw Material Contracts with Breweries and Distilleries Formal contracts must be signed with breweries and distilleries to assure supply of BSG and spent wash including agreed delivery dates, quality data (moisture, protein content), and price. In addition, large breweries are willing to outsource the entire BSG logistics to a processor, even if they have to pay









