BREW NEWS
COFFEE PERKS UP IN INDIA
Report predicts cafés there to double
Specialty coffee shops in India are
expected to nearly double by 2015 to
about 4,000, according to a report by
Rabobank, the international financial
services firm.
The entry of Starbucks into the
Indian market last year, along with
the growth of domestic chains like
Café Coffee Day, will drive growth at
a compound annual rate of more than
20 percent, according to the report,
entitled "Raj-accino." Although tea
consumption in India is still higher,
coffee has a faster growth rate.
Other factors driving coffee growth
are the rising levels of prosperity in
India and a dense population that
potentially could see coffeehouses as
a valuable gathering place. The report
estimates that 95 percent of consumers
will drink their coffee on-site instead of
to go, compared with about 60 percent
in the U.S. Inhibiting factors could
include the high price of Indian real
estate and competition for labor.
COFFEE TRIUMPHS DOWN
UNDER
Surpasses tea
in popularity,
report says
Coffee has surpassed tea as the most
popular hot beverage in Australia.
The Coffee and Beverages 2012
report by market research firm BIS
Foodservices claimed that since 2010,
Australians have consumed 12.9 billion
units of coffee, compared with about
9.8 billion units of tea. That represents
a 19.5 percent increase for coffee and
an 8 percent drop for tea. This surge
happened despite an 7 percent rise in
the average price of takeout coffee (to
US$4.03).
"The demise of tea can largely be
attributed to the demise in popularity of
black tea," Sissel Rosengren, head of BIS
Foodservices, told Australia's SkyNews.
NESPRESSO MACHINE GETS
RIVAL
Former brand chief unveils brewer
The running battle between Nestlé
and competitors over the Nespresso
system just saw another skirmish, as a
former Nespresso chief has announced
plans to market a machine compatible
with Nespresso capsules.
Ethical Coffee Co., based (like Nestlé)
in Switzerland, will start selling the
machines in France in February. Ethical
is headed by Jean-Paul Gaillard, who
managed the Nespresso brand between
1988 and 1997. The new machine will
be capable of making coffee from any
Nespresso-compatible capsule.
Nestlé has fought a legal battle for
years with Ethical Coffee and other
competitors over the rights to make
products compatible with the Nespresso
system. Gaillard says Ethical plans to
raise production to about 500 million
capsules in 2013, an increase of nearly
80 percent.
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