CIMBALI
Saturday 23 November 2024
type here...
  • DVG De Vecchi
  • La Cimbali
Home Blog Page 11

ICO Report shows biggest annual increase on record in green coffee exports, I-CIP monthly average down 3.2% in October to 250.56¢

By
Desk3
-
0
ICO coffee exports robustas decent work
The logo of the ICO

LONDON, UK – On Thursday, the Ico released its monthly report for October. Export statistics contained in the report show an unprecedented increase in exports for CY 2023/24. In the coffee year ending 30 September, world exports of all forms of coffee grew by 11.7%, to 137.273 million bags, from 122.92 million in 2022/23.

Positive trends were reported for all coffee groups. Arabica exports recorded double-digit growth (+15.2%), surging to 84.678 million, driven first and foremost by shipments of Brazilian Naturals, which reached the unprecedented volume of 45.283 million (+22.8%).

Exports of Colombian Milds rose to 13.195 million, up 12% on-year. Other Milds also recovered significantly (+5.4%), reaching a total of 26.2 million. Robusta exports reached a new all-time high of 52.595 million (+6.5%).

The ICO Composite Indicator Price (I-CIP) averaged 250.56 US cents/lb in October, a 3.2% decrease from September 2024. The I-CIP posted a median value of 249.99 US cents/lb and fluctuated between 241.70 and 263.96 US cents/lb. The October 2024 I-CIP is above the October 2023 I-CIP by 64.9%, with the 12-month rolling average at 202.92 US cents/lb (whereas the November 2023 I-CIP was 161.53 US cents/lb).

The Colombian Milds and Other Milds decreased by 0.8% and 0.6%, reaching 277.10 and 276.82 US cents/lb, respectively, in October 2024. The Brazilian Naturals also depreciated, decreasing by 0.5% to 255.85 US cents/lb in October 2024. The Robustas contracted 8.3% to 221.93 US cents/lb. The New York and London ICE markets were drivers of the contraction, decreasing by 1.3% and 8.2% and reaching 250.62 and 207.11 US cents/lb, respectively.

On 2 October, a press release was published saying that the European Commission “strengthens support for EU Deforestation Regulation implementation and proposes extra 12 months of phasing-in time, responding to calls by global partners”. The news had a bearish impact on the I-CIP, with a market reaction driving the price to 245.29 US cents/lb by 7 October from 263.96 US cents/lb on 1 October. On 16 October, the Council agreed on its position on the targeted amendment of the EU Deforestation Regulation, postponing its date of application by 12 months. As a result, if agreed by the European Parliament, the obligations stemming from this regulation will be binding from 30 December 2025 for large operators and traders and from 30 June 2026 for micro- and small enterprises. The news of the agreement by the Council appears to have further added to the downward momentum of the I-CIP, which steadily fell throughout the remainder of the month, closing October on 242.25 US cents/lb. The Brazilian Real was an additional downward factor on the I-CIP, which reached a 3.5 year low against the dollar at 5.81 BRL to 1 USD on 31 October.

Exports by Coffee Groups – Green Beans

Global green bean exports in September 2024 totalled 9.69 million bags, as compared with 7.74 million bags in the same month of the previous year, up 25.2%. For coffee year 2023/24, exports of green beans were up 11.8% to 123.75 million bags from 110.72 million bags in coffee year 2022/23, an absolute increase of 13.02 million bags. This is the biggest annual increase on record, surpassing the previous highest of 9.27 million bags in coffee year 1995/96. The rate and the volume of increase in coffee year 2023/24 are largely a reflection of the base effect of two consecutive years of downturn (of 1.1% and 5.6%), with the world green bean exports falling from 118.66 million bags in coffee year 2020/21 to 110.72 million bags in coffee year 2022/23. As such, the double-digit increase in coffee year 2023/24 represents a recovery, and not necessarily an expansion, of the long-term trend. Contextualizing, world exports of green beans have been increasing at an average of 2.36 million bags every coffee year between coffee years 2010/11 and 2020/21, while there was an increase of only 1.69 million bags annually between coffee years 2020/21 and 2023/24. The actual exports level is below the potential level of 125.73 million bags.

Shipments of the Other Milds increased by 22.9% in September 2024 to 1.92 million bags from 1.56 million bags in the same period last year. For coffee year 2023/24, exports of the Other Milds were up 4.7% to 23.05 million bags from 22.02 million bags in coffee year 2022/23.

Green bean exports of the Brazilian Naturals increased in September 2024, jumping by 37.3% to 3.68 million bags. For coffee year 2023/24, exports of the Brazilian Naturals were up 22.6% to 41.89 million bags from 34.16 million bags in coffee year 2022/23.

Exports of the Colombian Milds increased by 22.3% to 0.99 million bags in September 2024 from 0.81 million bags in September 2023. For coffee year 2023/24, exports of the Colombian Milds were up 14.3% to 12.22 million bags from 10.69 million bags in coffee year 2022/23. For coffee year 2023/24, total green beans exports of Arabicas were up 15.47% to 77.17 million bags from 66.68 million bags in coffee year 2022/23.

Overall, for the Arabicas, the double-digit growth in coffee year 2023/24 should, like the total green bean exports, be viewed as recovery back onto the long-term trend. Like the total exports, exports of the Arabicas in coffee year 2023/24 followed two consecutive years of negative growth (3.1% and 10.4%) before recording the biggest absolute annual increase on record at 10.29 million bags. Contextualizing, exports of the Arabicas have been increasing at an average of 1.45 million bags every year between coffee years 2010/11 and 2020/21. The potential level of exports is 81.38 million bags.

Green bean exports of the Robustas were up 15.4% to 3.1 million bags in September 2024 from 3.59 million bags in September 2023. For coffee year 2023/24, exports of the Robustas were up 6.2% to 46.58 million bags from 43.84 million bags in coffee year 2022/23. It is the biggest annual exports on record and was largely driven by Brazil, which exported 9.02 million bags as compared with 2.84 million bags in coffee year 2022/23. The growth in Brazil’s exports more than compensated the large drop in exports from Vietnam, which shipped 23.19 million bags in coffee year 2023/24 as compared with 26.13 million bags in coffee year 2022/23. The origin, the world’s largest producer and exporter of the Robustas, has been struggling with domestic supplies, with production falling below the potential levels due to adverse weather conditions.

For coffee year 2023/24, the Arabicas’ share of total green bean exports increased to 62.4% as compared with 60.4% in coffee year 2022/23.

Exports by Regions – All Forms of Coffee

In September 2024, South America’s exports of all forms of coffee increased by 30.8% to 6.2 million bags. For coffee year 2023/24, exports of the region were up 30.7% to 66.13 million bags from 50.59 million bags in coffee year 2022/23. The region’s two largest producers and exporters, Brazil and Colombia, saw their total exports jump by 34.3% and 13.7%, respectively, to 49.03 million bags and 11.91 million bags. For Brazil, these are the largest exports on record. Part of the impetus for Brazil’s growth was the gap in the market created by Vietnam in the Robustas market. Although it is not widely acknowledged, Brazil is the second-largest Robustas producer in the world, accounting for 32.0% of global supply in coffee year 2022/23.

Exports of all forms of coffee from Africa increased by 14.3% to 1.37 million bags in September 2024 from 1.2 million bags in September 2023. For coffee year 2023/24, exports from the region were up 17.3% to 16.02 million bags from 13.66 million bags in coffee year 2022/23. Ethiopia was the main driver of the region’s double-digits growth, with the origin’s exports up 63.5% to 5.59 million bags in coffee year 2023/24 as compared with 3.42 million bags in coffee year 2022/23.

These are the largest exports on record for the origin, and it is also the first time the 5.0 million bags ceiling has been breached. The underlying reason for Ethiopia’s double-digit growth was the resolution of internal contract disputes, which had led to export shipments being delayed in coffee year 2022/23. Once again, contextualization is necessary when analysing the exports of Ethiopia: exports fell in coffee year 2022/23 by 15.0% to 3.42 million bags from 4.02 million bags in coffee year 2021/22, the lowest level since 3.09 million bags in coffee year 2015/16. As a result, the 5.59 million bags should be viewed as a recovery.

In September 2024, exports of all forms of coffee from Mexico & Central America were up 18.1% to 0.9 million bags as compared with 0.76 million bags in September 2023. For coffee year 2023/24, exports of the region were down 4.1% to 14.51 million bags from 15.13 million bags in coffee year 2022/23. The downturn was primarily driven by Honduras and Nicaragua, which suffered from decreases of 12.1% and 16.5%, respectively. The former’s exports were hampered by its off-years in the biennial production cycle, while the latter’s exports were negatively affected by the bankruptcy of Mercon Coffee Group in December 2023, a coffee trader and the owner of CISA Exportadora, a company responsible for more than half of Nicaragua’s coffee exports. Exports from Guatemala and Mexico were the two main mitigating positive factors of the region, increasing by 8.6% and 8.9% to 3.28 million bags and 2.97 million bags, respectively.

Exports of all forms of coffee from Asia & Oceania increased by 19.6% to 2.29 million bags in September 2024 as compared with 1.91 million bags in September 2023. For coffee year 2023/24, exports of the region were down 6.7% to 40.62 million bags from 43.54 million bags in coffee year 2022/23. Vietnam, the largest producer and exporter in Asia & Oceania, was the main driving force behind the region’s annual downturn, with its exports decreasing by 11.7% to 24.96 million bags. This is the lowest exports level since 22.03 million bags in coffee year 2014/15. Tightness in domestic supply due to lower production from adverse weather conditions and loss of productive areas to other cash crops, and depletion of local stocks, was the main reason for the double-digit downturn. India was a positive mitigating factor within the region, recording a 10.0% increase in its exports to 6.98 million bags in coffee year 2023/24 as compared with 6.34 million bags in coffee year 2022/23.

Exports of Coffee by Forms

Total exports of soluble coffee increased by 24.3% in September 2024 to 1.02 million bags from 0.82 million bags in September 2023. For coffee year 2023/24, soluble coffee exports were up 11.6% to 12.82 million bags from 11.48 million bags in coffee year 2022/23.
Soluble coffee’s share in the total exports of all forms of coffee for the year to date was 9.3% in September 2024, the same for the same period a year ago. Brazil is the largest exporter of soluble coffee, having shipped 0.37 million bags in September 2024 and 3.89 million bags in coffee year 2023/24.

Exports of roasted beans were down 9.2% in September 2024 to 54,544 bags, as compared with 60,040 bags in September 2023. For coffee year 2023/24, roasted coffee exports were down 0.5% to 0.71 million bags from 0.713 million bags in coffee year 2022/23.

Coffee futures prices rally on renewed weather concerns

By
Desk3
-
0
ICE coffee arabica robusta futures Intercontinental Exchangemarkets futures London prices exports CRSP amendments Vietnam NYSE Exchange Arabica Arabica robusta Sucden coffee market
The ICE logo

MILAN – Coffee futures soared as world exports hit new all-time highs: on the day, the ICO released its new export figures for coffee year 2023/24, futures markets in London and New York recorded a sharp surge driven by climatic, technical and financial factors. Yesterday, Thursday, 7 November, the contract for December delivery in New York gained 1,165 points, to close at 260.40 cents, its highest in three weeks.

In London, Ice Robusta’s main contract for January delivery appreciated by $179 to settle at $4,486.

Contributing to this sudden rebound were weather reports from Vietnam, where Typhoon Yinxing is expected to bring heavy rains to the Central Highlands area, which may affect harvesting operations.

Market players also continue to monitor closely the development of the new crop in Brazil following the flowering in the coffee belt.

One should note that the first reliable estimates on next year’s crop will not arrive until January.

Further support for prices was also provided by the fall of the dollar against the real.

Vietnam exported 1.15 million metric tons of coffee in the first 10 months of calendar year 2024, down 11.2% from the same period in 2023, government data released on Wednesday showed.

Coffee export revenue in the same period rose 39% to a record $4.6 billion, the General Statistics Office said in a report.

According to recent data from the Ministry of Agriculture and Rural Development, Vietnam’s agricultural exports for the first 10 months of 2024 reached $51.74 billion, up 20.2% compared to the same period in 2023.

The sector recorded a trade surplus of approximately $15.2 billion, marking a significant increase of 62.2% from the previous year.

Do Ha Nam, Vice Chairman of the Vietnam Coffee-Cocoa Association, described 2024 as an “extraordinary year.” For the first time, Vietnamese Robusta coffee fetched a higher price than Arabica on the world market.

Domestic prices have been falling in Vietnam since the beginning of the new crop season. “If the price falls below 100,000 dong per kilogram, beans hoarding like in early 2024 may recur, with people holding on to beans while waiting for higher prices,” said Nguyen Ngoc Quynh, deputy chief of the Mercantile Exchange of Vietnam, quoted by Reuters. One trader offered 5% black and broken-grade 2 robusta at the same level as London prices to the January contract.

Farmer Brothers Coffee reports first quarter fiscal 2025 financial results

By
Desk3
-
0
Farmer Bros
Farmer Bros. Co. logo

FORT WORTH, Texas, USA – Farmer Bros. Co. yesterday reported its first quarter fiscal 2025 financial results for the period ended Sept. 30, 2024. The company filed its Form 10-Q, which can be found on the Investor Relations section of the company’s website.

“We are encouraged by the improvements we saw during the first quarter, particularly in terms of gross margins and adjusted EBITDA on a year-over-year basis, as well as positive trends related to sales and customer growth and retention,” said Farmer Brothers President and Chief Executive Officer John Moore.

“Our focus is on driving top-line growth and sustainable profitability improvements while proactively navigating the near-term macroeconomic and commodity pricing environments. Overall, we believe this quarter’s performance provides a glimpse into the long-term potential of Farmer Brothers.”

Farmer Bros. Co.: First quarter 2025 business highlights

  • Completed additional milestones related to its SKU rationalization initiative, which is on track to be completed in the third quarter of fiscal 2025.
  • Continued progress related to its brand pyramid initiative, including the completion of the refresh of its premiere, premium Boyd’s Coffee brand.
  • Made marked progress related to its branch and direct store delivery (DSD) route optimization efforts.

First quarter fiscal 2025 financial results

  • Net sales increased $3.2 million, or 4%, to $85.1 million compared to $81.9 million in the first quarter of fiscal 2024.
  • Gross profit was $37.3 million, or 43.9%, compared to $30.8 million, or 37.6%, in the prior year period. The increase in gross profit was primarily due to improved pricing compared to the same period in the prior fiscal year.
  • Operating expenses were $40.1 million or 47.2% of net sales. This was a $7.3 million increase compared to the prior year period, which saw an operating expense of $32.9 million, or 40.1% of net sales. This increase was primarily due to a $8.5 million decrease in asset sales, as there were no branch sales during the first quarter of fiscal 2025.
  • Net loss was $5 million compared to a net loss of $1.3 million for the first quarter of fiscal 2024. This was primarily driven by a $1.7 million loss associated with the disposal of assets and $500,000 of non-cash stock compensation. The $1.3 million net loss for the first quarter of fiscal 2024 included a $6.8 million gain from the disposal of assets and $1.6 million of non-cash stock compensation.
  • Adjusted EBITDA was $1.4 million, an increase of almost $2 million, compared to a loss of $452,000 in the first quarter of fiscal 2024.

Balance Sheet and Liquidity

As of Sept. 30, 2024, Farmer Bros. Co. had $3.3 million of unrestricted cash and cash equivalents, $1.9 million in restricted cash, $23.3 million in outstanding borrowings and $27.1 million of borrowing availability under its revolving credit facility.

Ernesto Illy International Coffee Award 2024: 9 artist posters to celebrate the best sustainable coffee nature has to offer

By
Desk3
-
0
illycaffè Ernesto Illy International Award
The illycaffè logo

NEW YORK, USA – The ninth edition of the Ernesto Illy International Coffee Award is fast approaching. This annual recognition honors the best coffee producers worldwide by selecting the countries that have excelled in combining quality with sustainability. For this occasion, illycaffè renews its special creative project, fusing the world of art with the world of coffee by inviting nine international illustrators to create a poster representing each of the nine finalist countries.

Through artistic language, carefully chosen graphic elements, and a lively color palette, illycaffè aims to convey the deep-rooted values that underpin coffee production and the cultural essence of each country.

The nine finalists for the Ernesto Illy International Coffee Award 2024 are Costa Rica, Ethiopia, Brazil, El Salvador, Guatemala, Honduras, India, Nicaragua, and Rwanda. This award, named in memory of Ernesto Illy – a visionary leader of illycaffè, the son of the company’s founder, and a pioneer of sustainable, high-quality coffee production – celebrates each country’s unique coffee heritage. Each illustrator, with their distinctive style, has created a poster to reflect the landscapes and traditions of their assigned country, while also capturing the aromatic notes and spirit of its coffee.

New York-based illustrator Lauren Martin draws inspiration from Costa Rica’s renowned flora and fauna, while Berlin artist Natascha Baumgärtner captures Ethiopia’s lush landscapes. Young American illustrator Haley Tippmann chose to depict a serene moment of contemplation against the Nicaraguan coastline, blending nature-inspired elements with warm coffee tones in her bold, colorful style. British illustrator Alice Brisland pays tribute to Rwanda with a richly detailed, softly-toned landscape that evokes a calming atmosphere.

In contrast, warmth, spices, and surrealism come to life in Cosmo Danchin-Hamard’s almost cartoon-like portrayal of Indian architecture and the bold flavors of its coffee. Brazilian artist Camila Rosa highlights the country’s longstanding coffee culture through the figure of a woman holding a cup of coffee in the foreground.

Young designer Marcello Velho captures the iconic volcanic peaks of El Salvador’s Cordillera de Apaneca in a serene scene of a farmer savoring the fruits of his labor. Finally, Argentinian illustrator Sebastian Ariel Curi, known for his bold lines and large characters, and illustrator Nina Dzyvulska, with her playful style, bring to life the landscapes, people, and rituals of Guatemala and Honduras, respectively.

Starting November 8th, these illustrations will be unveiled on the social media profiles of illycaffè and the artists, highlighting how atmospheres, cultures, and flavors are celebrated through art and beauty. This project further strengthens the unique connection illycaffè has cultivated with contemporary art, showcasing nine international artists each year who, through their creative visions, transport us to the world’s most thriving coffee plantations, natural wonders, and untouched paradises.

Countries & Artists:

  1. Brazil – Camila Rosa @camixvc
  2. Costa Rica – Lauren Martin @laurenmartin_studio
  3. El Salvador – Marcello Velho @marcellovelho
  4. Ethiopia – Natascha Baumgärtner @trudeiskrude
  5. Guatemala – Sebastian Ariel Curi @sebacuri
  6. Honduras – Nina Dzyvulska @nina_dzyvulska
  7. India – Cosmo Danchin-Hamard @cosmoillustrator
  8. Nicaragua – Haley Tippmann @haleytippmann
  9. Rwanda – Alice Brisland @alicebrislanddesign

 

Marex Group announces third quarter 2024 results

By
Desk3
-
0
Marex Group logo
Marex Group logo

NEW YORK, USA – Marex Group plc, a diversified global financial services platform, announces strong results for the third quarter (Q3) and nine months (9M) ended 30 September 2024, and upgraded outlook for the full year.

Ian Lowitt, Group Chief Executive Officer, commented: “This has been another strong quarter for Marex as we continue to deliver double digit revenue growth in all our business segments, thanks to continued positive momentum across all our businesses and supportive market conditions.

Our strategy to bring new clients to our platform and deepen existing client relationships by offering additional capabilities has delivered significant growth and increases our confidence in our ability to deliver through various market conditions including a lower interest rate environment.

In the last few months, we have invested to further diversify our global platform, expanding our capabilities and geographic footprint, in line with our strategy to add new clients and increase the services we can provide them. We have continued to grow our capital base and diversify our funding sources with a successful senior debt issuance, and we were pleased to see strong investor demand for the recent share placement launched by our shareholders, which increased liquidity in our stock.

Thanks to the strong performance so far this year and continued momentum across our business segments, we have increased our guidance for the full year.”

Marex Group plc: Financial Highlights

  • Delivered strong performance in Q3 2024: Continued positive momentum across all business segments during the third quarter supported by a positive market backdrop and continued growth in exchange volumes in both commodities and financials.
  • Upgraded guidance for full year 2024: Due to the strong performance in the third quarter, we anticipate our Adjusted Operating Profit to be approximately $300 million to $305 million for the full year ending 31 December 2024 (previously $280 million to $290 million).
  • Strategic growth investments: We announced four investments in line with our strategy to expand our geographic footprint and build out our product capabilities. We are expanding our footprint in the Middle East through the acquisition of Aarna Capital and our FX capabilities through the acquisition of Hamilton Court Group. We are also investing to further build out our environmental products capabilities through the acquisition of biogas specialist, Dropet and a carbon credit partnership with Key Carbon.
  • Successful secondary equity placement: Upsized deal resulted in existing shareholders placing 9.7 million shares with institutional shareholders in October 2024, increasing public float to approximately 52%.
  • Prudent approach to capital and funding: Successfully issued $600 million 5-year senior unsecured notes, further diversifying our funding sources and increasing our liquidity headroom, to support future growth of our franchise and growing our client base, particularly in clearing and prime services.
  • Dividend: Dividend of $0.14 per share to be paid in the fourth quarter of 2024.

Westrock Coffee Company releases 3Q 2024 results

By
Desk3
-
0
Westrock Coffee Company
Westrock Coffee logo

LITTLE ROCK, Ark., USA – Westrock Coffee Company yesterday reported financial results for the third quarter ended September 30, 2024. Scott T. Ford, CEO and Co-founder stated, “Westrock Coffee Company had a strong third quarter despite what continues to be a challenging macroeconomic environment for the consumer.

This is the third consecutive quarter of impressive, combined segment, year over year performance, which is driven by improvements in our base business, as the Conway extract and ready-to-drink facility will not see substantive revenues until early 2025.

As it relates to the new Conway facility, the sales and customer onboarding work that the team has excelled at over the past two years is nothing short of phenomenal.

It has resulted in more than a dozen new customers who will begin placing orders in the first quarter of 2025, from whom, once fully onboarded, are expected to produce more annual Consolidated Adjusted EBITDA than the entirety of our current base business.

This is the promised earnings power of transitioning this facility from a construction and product development project to a filled and operational production plant.”

Third Quarter Highlights

Consolidated Results

  • Net sales were $220.9 million for the third quarter of 2024, an increase of $1.2 million, or 0.6%, compared to the third quarter of 2023.
  • Gross profit for the third quarter of 2024 was $37.1 million and included $0.5 million of non-cash mark-to-market losses, compared to gross profit of $35.1 million for the third quarter of 2023, which included $1.2 million of non-cash mark-to-market losses.
  • Net loss for the period was $14.3 million, compared to a net income of $16.6 million for the third quarter of 2023. The $14.3 million net loss for the third quarter of 2024 included $2.5 million of transaction, restructuring and integration expense, $7.9 million of pre-production costs related to our Conway, Arkansas extract and ready-to-drink facility (the “Conway Facility”), $4.0 million of scale-up costs related to the Conway Facility, $1.2 million of impairment charges related to our previously announced plant closures, and $5.5 million non-cash gains from the change in fair value of warrant liabilities. The $16.6 million net income for the third quarter of 2023 included $3.1 million of transaction, restructuring and integration expense, $3.0 million of pre-production costs related to our Conway Facility, and $25.1 million of non-cash gains from the change in fair value of warrant liabilities.
  • Consolidated Adjusted EBITDA1 for the third quarter of 2024 was $10.3 million and included $4.0 million of scale-up costs associated with our Conway Facility. Consolidated Adjusted EBITDA for the third quarter of 2023 was $11.6 million and did not include any scale-up costs associated with our Conway Facility.

Segment Results

  • Beverage Solutions segment contributed $164.0 million of net sales and had Segment Adjusted EBITDA2 of $11.8 million for the third quarter of 2024, compared to $176.8 million and $9.9 million, respectively, for the third quarter of 2023.
  • Sustainable Sourcing & Traceability (“SS&T”) segment, net of intersegment revenues, contributed $56.9 million of net sales and had Segment Adjusted EBITDA of $2.5 million for the third quarter of 2024, compared to $42.8 million and $1.7 million, respectively, for the third quarter of 2023.

1 Consolidated Adjusted EBITDA is a non-GAAP measure. The definition of Consolidated Adjusted EBITDA is included under the section titled “Non-GAAP Financial Measures” and a reconciliation of Consolidated Adjusted EBITDA to the most comparable GAAP measure is provided in the tables that accompany this release.
2 Segment Adjusted EBITDA is a segment performance measure. While not a U.S. GAAP measure, a segment performance measure is required to be disclosed by U.S. GAAP in accordance with FASB Accounting Standards Codification 280, Segment Reporting. Segment Adjusted EBITDA is defined consistently with Consolidated Adjusted EBITDA, except that it excludes scale-up costs related to the Conway Facility.

U.S. specialty coffee market to reach $81.8 billion by 2030

By
Desk3
-
0
coffee microbiome
Roasted coffee beans (credits: Ri Butov from Pixabay)

SAN FRANCISCO, USA – The U.S. specialty coffee market size is anticipated to reach USD 81.8 billion by 2030 and is projected to grow at a CAGR of 9.5% from 2025 to 2030, according to a new report by Grand View Research, Inc. The market is driven by a confluence of evolving consumer preferences and innovative industry practices. Consumers are increasingly seeking out high-quality, ethically sourced coffee beans, leading to a demand for nuanced flavor profiles and a deeper understanding of the coffee’s origin story.

This trend is fueled by a growing coffee culture that emphasizes artisanal brewing methods and a greater appreciation for the art and science of coffee making, from pour-over to espresso. Furthermore, the rise of third-wave coffee shops and cafes has played a pivotal role in educating consumers about the intricacies of specialty coffee, fostering a more discerning and demanding clientele.

The growing health and wellness trend has also influenced consumer demand for specialty coffee. Consumers are seeking out coffee options that align with their health goals, driving interest in low-acid coffees, organic choices, and functional coffee blends that incorporate health-promoting ingredients. The perception of coffee as a healthy beverage, particularly when consumed in moderation, combined with a growing awareness of its potential health benefits, has contributed to its continued popularity among health-conscious consumers. This trend presents an opportunity for specialty coffee brands to innovate and offer products that cater to these evolving health preferences.

The U.S. market is influenced by the rise of the third-wave coffee movement, placing a premium on quality, origin, and the overall experience. Coffee shops are no longer just places to grab a quick caffeine fix; they have evolved into community hubs, offering a unique atmosphere and fostering a culture of appreciation for the craft of coffee. Consumers are drawn to coffee shops that prioritize meticulous brewing techniques, offer educational workshops on coffee origins and tasting notes, and create a welcoming environment for connection and community. This focus on the experience, coupled with the growing appreciation for the nuances of coffee flavor, is driving demand for higher-quality, specialty coffees.

Online sales have become a significant force in the U.S. market, offering unparalleled convenience and access to a diverse range of products. Moreover, the e-commerce platforms and direct-to-consumer (DTC) models have enabled smaller roasters and specialty coffee brands to connect with a broader customer base nationwide. Besides, the growing popularity of online subscription services for coffee beans and brewing equipment further underscores the convenience and accessibility that online channels provide, contributing to a steady increase in online sales and solidifying its position as a primary driver in the future of the U.S. market.

The precision agriculture techniques, utilizing sensors and data analytics, are optimizing coffee production by monitoring soil conditions, irrigation, and crop health. This not only boosts yield and quality but also promotes sustainable practices by minimizing resource consumption. Simultaneously, advancements in coffee roasting technology, including automated roasting profiles and real-time monitoring, are enabling roasters to achieve greater consistency and control, delivering a more nuanced and flavorful product to consumers.

U.S. Specialty Coffee Market Report Highlights

  • The Southeast U.S. coffee market is expected to grow at the fastest CAGR of 10.3% from 2025 to 2030. Increased urbanization and a growing young adult population, particularly in cities like Atlanta, Charlotte, and Nashville, are fueling demand for premium coffee experiences. Moreover, the region’s warm climate and outdoor lifestyle encourage coffee consumption throughout the year, with iced coffee and cold brew variations gaining popularity. The rise of independent coffee shops and roasters catering to specific tastes and offering unique blends is further stimulating market growth.
  • Based on age group, the 25-39 years segment is estimated to grow at the fastest CAGR over the forecast period. This group is less focused on novelty or extreme trends and more drawn to consistency and reliable quality. They value convenience factors such as drive-thru services, loyalty programs, and subscription options, while still appreciating the craft and skill involved in specialty coffee preparation.
  • Based on distribution channel, the retail segment is estimated to grow at the fastest CAGR over the forecast period. Supermarkets and hypermarkets are actively responding to this demand by enhancing their coffee sections, offering in-store coffee bars, and expanding their selections of premium and organic coffee options. Moreover, convenience stores are also playing an increasingly important role in catering to the growing demand for grab-and-go specialty coffee options, with an expanding range of ready-to-drink coffee and single-serve products.

Circana reveals U.S. consumers experience 6 billion special occasions annually, offering major opportunities to cater to evolving consumer needs

By
Desk3
-
0
Circana South Korea
Circana logo

CHICAGO, USA – Circana, a leading advisor on the complexity of consumer behavior, today released insights from its latest Kitchen Audit. The audit revealed that the average U.S. consumer experiences around 18 special occasions per year, translating to roughly 6 billion consumer occasions annually. The study provides an in-depth look at U.S. kitchens, highlighting favored appliances and generational differences in entertaining and cooking habits.

Understanding the foods, beverages, appliances, and tools that consumers rely on offers valuable opportunities for consumer packaged goods (CPG) marketers and kitchen appliance manufacturers, who are looking to meet consumers’ shifting needs as they balance convenience, social occasions, and cost-conscious cooking.

Key findings of Circana ‘s study include:

  • Special Occasions and Entertaining: The average U.S. consumer experiences more than one special occasion per month. While entertaining can bring joy, it also introduces stressors, particularly around food preparation and hosting, which varies across the generations. Special occasions differ from everyday meals, often involving guests, restaurant-sourced food, weekend gatherings, and dinner, leading to different appliances used during these occasions.
  • Appliances: As in-home meals and quick heat-and-eat solutions rise in popularity, fast-growing appliances like air fryers, griddles, and food processors reflect the need for speed and taste. Empty nesters prioritize versatile appliances like coffee makers and griddles to accommodate their changing meal needs. Smart kitchen device ownership is growing, but future interest is waning, and accomplished home cooks are twice as likely to own a device.
  • Meal Preparation: Consumers across generations are focused on quicker meal prep, often using pre-cooked ingredients. As home cooking rises and dining out declines, reliance on social media for recipes has surged. TikTok is Gen Z’s top online source but is used less often by other generations. Millennials and Gen Xers are expanding their skills through frequent recipe use, while older Gen Zers, who honed their cooking abilities during the pandemic, now see themselves as accomplished home cooks. Despite fewer stock-up trips, consumers opt for just-in-time supplies due to cost pressures, creating new opportunities as digital platforms shape kitchen habits.

“The kitchen serves as the heart of many U.S. households, and brands that align their food and beverage offerings with the appliances and gadgets people already own will win,” said Darren Seifer, industry advisor, Consumer Goods and Foodservice, Circana.

“As Boomers increasingly turn to social media for meal ideas, there is a unique opportunity to reach all generations with engaging content. By helping consumers feel more confident in the kitchen, especially for large gatherings, brands can enhance the overall experience and make special occasions more enjoyable for everyone.”

Nescafé introduces Nescafé Aero Honeycomb Mocha

By
Desk3
-
0
Nescafé
Nescafé Aero Honeycomb Mocha (credits: Nestlé)

BRYANSTON, South Africa – Nescafé is introducing Nescafé Aero Honeycomb Mocha bringing the indulgent taste of a creamy mocha, blended with the light and bubbly- aerated texture of NESTLÉ AERO honeycomb chocolate.

Available in easy-to-use sachets, NESCAFÉ AERO Honeycomb Mocha is perfect for both warm and cold indulgence. Whether enjoyed hot for a comforting cup experience or cold on those hot South African summer days, it is designed for every season, every moment and every mood.

This exciting innovation is a dynamic collaboration between NESCAFÉ Cappuccino, #1 Instant Cappuccino Brand in South Africa*and NESTLÉ AERO chocolate, blending coffee and chocolate into an effort to delight the tastebuds of consumers across the country. Speaking to NESCAFÉ’s commitment to pushing the boundaries of what coffee can be.

“At NESCAFÉ, we believe that coffee plays a role in the lifestyle of consumers and our innovation principles are focused on taste, quality and simplicity. With our all-new NESCAFÉ AERO Mocha, we’ve created a decedent cappuccino experience that consumers can enjoy in the comfort of their own home in mere minutes, confirming our belief that Now is ALWAYS good for a NESCAFÉ cappuccino. Whether you’re savouring a quick break at the office or unwinding after a gym session (hint hint, Springbok superstar Cheslin Kolbe agrees!) we have crafted this product to be enjoyed at any moment of the day, because you deserve decadence whenever, however” said NESCAFÉ Category Marketing Manager, Nivasha Pather.

The single-serve sachets are designed for ultimate convenience, making it easy to enjoy a rich, café-style drink anywhere, anytime. Simply add hot water for an instant treat or experiment by serving it iced for a refreshing take on a mocha.

The product is available in nationwide in South Africa across major retailers, Checkers, PnP and SPAR.

Tim Hortons Holiday Smile Cookie campaign returns Nov. 18-24 with 100% of proceeds donated to local charities and community groups

By
Desk3
-
0
Tim Hortons Smile
Tim Hortons logo

TORONTO, Canada — Tim Hortons second-annual Holiday Smile Cookie campaign is returning from Nov. 18 to 24 with 100 per cent of proceeds donated to local charities and community groups, including Tim Hortons Foundation Camps.

“Supporting communities is at the heart of the Tim Hortons brand and there’s no better time than the holiday season for us to rally with guests, Tims restaurant owners and team members to spread kindness right across Canada,” says Axel Schwan, President of Tim Hortons.

“Since 1996, Canadians have shown incredible support for our iconic Smile Cookie program, which has now raised over $129 million for charities and community groups. Last year we launched the inaugural Holiday Smile Cookie campaign and it was an amazing success, raising $9.8 million.

We’re looking forward to serving Canadians millions of hand-decorated Holiday Smile Cookies starting Nov. 18 and together supporting over 400 local charities and community groups, including Tim Hortons Foundation Camps.”

The mission for Tim Hortons Foundation Camps is to provide life-changing opportunities for underserved youth across Canada to help them reach their full potential. Over 320,000 youth have been supported through multi-year development programs in the foundation’s 50-year history.

“We cannot thank Canadians enough for their support and generosity throughout Holiday Smile Cookie week! Each cookie holds the power to change the life of someone in your community,” says Caroline Barham, President of Tim Hortons Foundation Camps, and Western Canada Restaurant Owner. “With 100% of proceeds donated to local charities and Tim Hortons Foundation Camps, even the smallest bites make the biggest difference!”

Visit timhortons.ca/holiday-smile-cookie to learn about the local charity or community group being supported in your region along with Tim Hortons Foundation Camps.

1...101112...2,775Page 11 of 2,775

© Copyright 2024 - Editoriale Comunicaffè
P.IVA 05752870963 | tel. +39 335 5967702

About us

Since the first issue, on May 1st 2001, the objective of Comunicaffe International has been to provide an updated, punctual and essential information service to operators in the sector. The idea is to be useful, providing information on the coffee, cocoa and tea supply chains in order to develop critical thinking and debate. Stay with us.
Comunicaffe International is also a daily newsletter sent to 38.000 professionals in Italy and more than 85.000 worldwide. Follow us.
Contact us: info@comunicaffe.com | tel. +39 335 5967702

Sections

Editor choice