Unlocking Opportunities in the Coffee Market: 2025-2034 Forecast Report

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What Will the Coffee Industry Market Size Be by 2025?

The scale of the coffee market has significantly increased over the past few years. It is projected to expand from $69.06 billion in 2024 to reach $73.98 billion in 2025, exhibiting a compound annual growth rate (CAGR) of 7.1%. The historical growth is driven by factors such as evolving customer tastes, the need for convenience and mobility in modern life, growing popularity of specialist and craft coffee products, and aspects of global commerce and trade.

What's the Long-Term Growth Forecast for the Coffee Market Size Through 2029?

The anticipated robust expansion of the coffee market is set to reach a market size of $96.48 billion in 2029, progressing at a compound annual growth rate (CAGR) of 6.9%. This predicted advancement for the impending years can be linked to the emphasis on health and wellness, upscale coffee trends, ethical and sustainable procurement practices, the rise in e-commerce and online retail, and the popularity of functional and specialty coffee. The forecast period will witness trends like personalization and do-it-yourself tendencies, unique collaborations and limited-edition products, a focus on health and wellness, innovative packaging for user convenience, and a worldwide exploration of coffee sources.

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What Are the Key Growth Drivers Fueling the Coffee Market Expansion?

The rise in coffee consumption is set to stimulate growth in the coffee concentrate, essence, and extract market. Coffee is a beverage derived from roasted coffee beans, with coffee consumption measuring the daily caffeine intake of an individual. The various benefits of coffee such as enhanced mental clarity, mood uplifting, and metabolism boosting, have led to an increase in its preference. This, in turn, escalates the demand in the coffee concentrate, essence and extract markets. Indicatively, the International Coffee Organization (ICD), a UK-based federal coffee agency, reported in November 2022, that coffee extract exports rose by 1.6%, reaching 19.56 million bags in the first two months of 2022/23 - a substantial rise from 19.25 million bags during the same period in 2021/22. Therefore, the amplifying coffee consumption propels the growth of the coffee concentrate, essence, and extract market.

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What Are the Key Trends Driving Coffee Market Growth?

Innovative product introduction is a trend gaining traction in the market for coffee concentrate, essence, and extract. Key players in the market are putting their energy into developing novel products in order to fortify their position. Companies emphasize product differentiation and innovation more than ever. As an example, in March 2023, Reborn Coffee, a retailer of specialty coffee based in the US, revealed a line of one-of-a-kind and super-premium cold brew ice creams made with coffee extract and concentrates. This new product line distinguishes itself by using natural ingredients to deliver exceptional flavors, along with a creamy and rich texture, differentiating it from other ice cream brands.

How Is the Coffee Market Segmented?

The coffee market covered in this report is segmented -

1) By Type: Cold Brew Coffee Concentrate, Iced Coffee Concentrate, Top Roast Coffee Concentrate, Black Coffee Concentrate

2) By Variety: Arabica, Robusta

3) By Caffeine Content: Regular, Decaffeinated

4) By Distribution Channels: Super markets And Hyper markets, Online Store, Convenience Stores

Subsegments:

1) By Cold Brew Coffee Concentrate: Ready-To-Drink Cold Brew, Cold Brew Coffee Pods, Liquid Cold Brew Concentrates

2) By Iced Coffee Concentrate: Liquid Iced Coffee Concentrate, Powdered Iced Coffee Mixes, Flavored Iced Coffee Concentrates

3) By Top Roast Coffee Concentrate: Single-Origin Top Roast Concentrates, Blended Top Roast Concentrates, Flavored Top Roast Extracts

4) By Black Coffee Concentrate: Ready-To-Drink Black Coffee, Liquid Black Coffee Extracts, Instant Black Coffee Concentrates

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Which Companies Are Leading the Charge in Coffee Market Innovation?

Major companies operating in the coffee market include Grady's Cold Brew LLC, PepsiCo Inc., Tata Coffee Limited, Royal Cup Inc., Ueshima Coffee Co. Ltd., Red Thread Coffee Co., Christopher Bean Coffee, Nestle SA, Slingshot Coffee Co., Synergy Flavors Inc., Artemis Brew LTD., Monin Incorporated, S&D Coffee Inc., Aspen Beverage Group, The J.M. Smucker Company, Illycaffe SpA, The Coca-Cola Company, Tate & Lyle PLC, Jacobs Douwe Egberts BV, Folgers Coffee Company, Sensient Technologies Corporation, Cafe de Colombia, Keurig Dr Pepper Inc., Tchibo GmbH, Strauss Group Ltd., Massimo Zanetti Beverage Group S.p.A., The Kraft Heinz Company, Segafredo Zanetti S.p.A., UCC Holdings Co. Ltd.

Which Regions Are Leading the Global Coffee Market in Revenue?

North America was the largest region in the coffee concentrates, essences, and extracts market in 2024. The regions covered in the coffee concentrates, essences and extracts market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

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