Mexico Instant Coffee Market - Forecasts from 2020 to 2025
Mexico instant coffee market is estimated to grow at a CAGR of 4.95% during the forecast period of 2020-2025. The market is propelled to grow at a significant pace in the forecast period owing to the maximum consumption of soluble coffee in the region. As per the USDA estimates, soluble coffee is predicted to hold around 50 to 60% of the market share for domestic consumption. The country, in 2018/2019 observed higher domestic product supplies for fulfilling the demand, in addition to more anticipated domestic supply for the year 2019/2020. The growing popularity of soluble coffee among the people of low-income groups is bolstering the market demand in the forecast period.
The post-consumption statistics for both roasted and soluble coffee was predicted to be 2.7 million 60kg bags for the marketing year, MY 2019/2020. This showed that the production is quite robust along with stable domestic prices. The consumption for the year 2018/2019 was reported to be around 2.5 million 60kg bags, which was considered to be lower than the expected growth, however, it was higher than the previous year (source: USDA).
The increasing retail sales of instant coffee are propagating the market growth in the forecast period.
It has been observed that in spite of the growth of coffee shops for specialty coffee, the preference for instant coffee continues, while the specialty market remains niche, further contributing to hold a significant market share in the forecast period.
Coffee cultivation and facility establishment for soluble coffee production: Arabica holds a major share in terms of coffee cultivation in Mexico, accounting for around 96%, on the other hand, Robusta is accounted to hold a share of around 3 to 4%. Due to the enhanced consumption of soluble or instant coffees in the country, significant efforts are made by the government and coffee sector for increasing the robusta production. A planned Nestle coffee processing plant in Veracruz was announced by the Government in December 2018, the 154 million USD industry was the first large investment recorded and also promised to create around 10,000 job opportunities.
In 2016, it was observed that over 40% of robusta was produced in Mexico and since then, the country raised its Robusta production to almost three times from around 200,000 60 kg bags to more than 700,000 60 kilo bags for the time period 2017-2018. It was however reported that from 1992-2016, the country enhanced its imports for Robusta coffee for producing soluble coffee for consumption. At present, around 1.4 kg of coffee per year in the form of ground or soluble coffee is consumed by an inhabitant in Mexico.
Segmentation:
§ Food Services
The post-consumption statistics for both roasted and soluble coffee was predicted to be 2.7 million 60kg bags for the marketing year, MY 2019/2020. This showed that the production is quite robust along with stable domestic prices. The consumption for the year 2018/2019 was reported to be around 2.5 million 60kg bags, which was considered to be lower than the expected growth, however, it was higher than the previous year (source: USDA).
The increasing retail sales of instant coffee are propagating the market growth in the forecast period.
It has been observed that in spite of the growth of coffee shops for specialty coffee, the preference for instant coffee continues, while the specialty market remains niche, further contributing to hold a significant market share in the forecast period.
Coffee cultivation and facility establishment for soluble coffee production: Arabica holds a major share in terms of coffee cultivation in Mexico, accounting for around 96%, on the other hand, Robusta is accounted to hold a share of around 3 to 4%. Due to the enhanced consumption of soluble or instant coffees in the country, significant efforts are made by the government and coffee sector for increasing the robusta production. A planned Nestle coffee processing plant in Veracruz was announced by the Government in December 2018, the 154 million USD industry was the first large investment recorded and also promised to create around 10,000 job opportunities.
In 2016, it was observed that over 40% of robusta was produced in Mexico and since then, the country raised its Robusta production to almost three times from around 200,000 60 kg bags to more than 700,000 60 kilo bags for the time period 2017-2018. It was however reported that from 1992-2016, the country enhanced its imports for Robusta coffee for producing soluble coffee for consumption. At present, around 1.4 kg of coffee per year in the form of ground or soluble coffee is consumed by an inhabitant in Mexico.
Segmentation:
- By Type
- Freeze-Dried Instant Coffee
- Spray-Dried Instant Coffee
- Others
- By Distribution Channel
- Offline
§ Food Services
- Online
- By Province
- Chiapas
- Veracruz
- Puebla
- Oaxaca
- Others
1. INTRODUCTION
1.1. Market Definition
1.2. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
2.2. Assumptions
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. The threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. MEXICO INSTANT COFFEE MARKET ANALYSIS, BY TYPE
5.1. Introduction
5.2. Freeze-Dried Instant Coffee
5.3. Spray-Dried Instant Coffee
5.4. Others
6. MEXICO INSTANT COFFEE MARKET ANALYSIS, BY DISTRIBUTION CHANNEL
6.1. Introduction
6.2. Offline
6.2.1. Retail
6.2.2. Food Services
6.3. Online
7. MEXICO INSTANT COFFEE MARKET ANALYSIS, BY PROVINCE
7.1. Introduction
7.2. Chiapas
7.3. Veracruz
7.4. Puebla
7.5. Oaxaca
7.6. Others
8. COMPETITIVE ENVIRONMENT AND ANALYSIS
8.1. Major Players and Strategy Analysis
8.2. Emerging Players and Market Lucrativeness
8.3. Mergers, Acquisitions, Agreements, and Collaborations
8.4. Vendor Competitiveness Matrix
9. COMPANY PROFILES
9.1. Nestle
9.2. CAFIVER
9.3. General de Solubles, S.A.
9.4. List is not exhaustive*
1.1. Market Definition
1.2. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
2.2. Assumptions
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. The threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. MEXICO INSTANT COFFEE MARKET ANALYSIS, BY TYPE
5.1. Introduction
5.2. Freeze-Dried Instant Coffee
5.3. Spray-Dried Instant Coffee
5.4. Others
6. MEXICO INSTANT COFFEE MARKET ANALYSIS, BY DISTRIBUTION CHANNEL
6.1. Introduction
6.2. Offline
6.2.1. Retail
6.2.2. Food Services
6.3. Online
7. MEXICO INSTANT COFFEE MARKET ANALYSIS, BY PROVINCE
7.1. Introduction
7.2. Chiapas
7.3. Veracruz
7.4. Puebla
7.5. Oaxaca
7.6. Others
8. COMPETITIVE ENVIRONMENT AND ANALYSIS
8.1. Major Players and Strategy Analysis
8.2. Emerging Players and Market Lucrativeness
8.3. Mergers, Acquisitions, Agreements, and Collaborations
8.4. Vendor Competitiveness Matrix
9. COMPANY PROFILES
9.1. Nestle
9.2. CAFIVER
9.3. General de Solubles, S.A.
9.4. List is not exhaustive*
