Instant Coffee Market Latest Trends 2026 | Major Key vendors Keurig Green Mountain Inc., Alpine Start Inc., Starbucks Corp, Nestle S.A., Tata Global Beverages Ltd., Unilever Plc, Tchibo Coffee International Ltd, Luigi Lavazza S.p.A., The J.M. Smucker Comp

Instant coffee is coffee powder that is produced by coffee beans that have been brewed at a higher ratio of coffee to water as compared to the regular coffee. In the production of instant coffee, there are two methods for drying coffee including spray drying and freeze-drying. In spray drying method, a spray device is used, in order to dry the coffee extract. The device transfers the hot air into the container and converts the product into fine powder. Further, in freeze drying method, the coffee extract is freeze at approximately -40 degree Celsius and then, the ice particles are treated separately in evaporation and drying chambers to produce instant coffee flakes.

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Key Players

The major companies operating in this market include Keurig Green Mountain Inc., Alpine Start Inc., Starbucks Corp, Nestle S.A., Tata Global Beverages Ltd., Unilever Plc, Tchibo Coffee International Ltd, Luigi Lavazza S.p.A., The J.M. Smucker Company and Strauss Holdings Ltd.

Market Dynamics:

Convenience is the major factor propelling growth of the instant coffee market, as it is easy to prepare as compared to fresh coffee. The fast paced lifestyles of consumers is fuelling demand for convenient food products, which in turn, is supporting market growth. Furthermore, the longer shelf life of instant coffee as compared to the bean or ground coffee, owing to its powdered texture, is another factor, aiding in the growth of the market. Furthermore, coffee contains various nutrients, such as lipids, carbohydrates, vitamins, amino acids, phenolic compounds, alkaloids and minerals. Polyphenols in coffee, works as an antioxidants which fight against free radicals. Owing to the rising awareness regarding these health benefits, there is a growing demand for coffee worldwide.

Market Outlook:

Asia-Pacific market is expected to record the fastest growth during the forecast period, witnessing highest CAGR among all. Growing demand for instant coffee in China and India is majorly supporting the regional growth of the market. For instance, according to the United States Department of Agriculture (USDA), the export of soluble coffee (instant coffee) in India had increased from 1,667 thousand 60 kg bags during 2013-2014 to 1,833 thousand 60 kg bags during 2016-2017. In 2017, Starbucks announced to purchase more than 1300 stores in China, in a deal worth US$ 1.30 Bn, in order to cater the growing demand for coffee. Further, according to the International Coffee Organization (ICO), in 2015, the instant coffee had contributed approximately 99% and 98% in the total retail sales of Chinese coffee market by volume and value respectively. Thereby, growing coffee market in China, is supporting the overall growth of instant coffee market as well.

In 2016, Europe held the significant market share in the global instant coffee market. This is majorly attributed to the high consumption of coffee in the region. According to the International Coffee Organization (ICO), Europe recorded the highest consumption of coffee among all the regions during 2013 to 2017 and the total coffee consumption had increased from 50,179 thousand 60 kg bags during 2013-2014 to 51,693 thousand 60 kg bags in 2016-2017.

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