STiR coffee and tea magazine

Volume 3, Number 5

Issue link:

Contents of this Issue


Page 7 of 93

8 STiR tea & coffee industry international C © 2014 October Multimedia Inc. STiR Tea & Coffee Industry International is published bimonthly in January, March, May, July, September, and November by October Mul- timedia Co., Ltd., with production and distribution overseen by October Inter Co., Ltd., 1126/2 New Petchburi Road, Vanit Bldg. 2 Room 1403A, Bangkok 10400 THAI- LAND. Tel +66 22 55 66 25, Fax +66 26 55 22 11 E-mail: Visit: for the latest news. From the Editor Publisher Glenn Anthony John Managing Editor Dan Bolton Art Director Somjet Thitasomboon Global Tea Report Jane Pettigrew Global Coffee Report Jenny Neill Contributing Writers Si Chen Anne-Marie Hardie Larry Luxner Frank Miller Katrina Munichiello Joe Nolan Dan Shryock Kelly Stein Helen Xu Fei Translations (Chinese) Helen Xu Fei Director, October Inter Co., Ltd. Boonthin Tubsongkroh Administrative Assistant Sayaporn Wattanaking Sales Director Emerson Leonard Sales Representatives Jonathan W. Bell Chris Michaelides Editorial/Circulation Offices STiR Tea & Coffee Industry International c/o October Inter Co. Ltd. Vanit Building 2, Room 1403A 1126/2 New Petchburi Rd. Bangkok 10400 THAILAND Tel +66 2255 6625 Fax +66 2655 2211 Published by: A Member of: Ambassador of Good Will offee is the great ambassador of good will. It is universally accepted as greeting yet every culture in which it thrives has adapted the versatile brew in unique ways. This spring Euromonitor International produced a graphic plotting the globe's cof- fee drinking countries and tea drinking countries based on consumption. The pattern is telling, Asians favor tea while countries in the northern reaches of the globe drink coffee. Established markets in America, Europe and Japan consume 53% of the world's coffee. There are no hillside plantations or pulping mills dotting the landscape in these countries yet all drink gallons. Germans, for example, drink an average 29 cups a week at home, office and away, consuming 5.5 kilos per capita. It is the third largest coffee market in the world. (Germany's Third Wave Shops, Pg. 56). Panamanians, by comparison, drink only 1.2 kilos per year and Colombians consume only 1.8 kilos despite the fact these countries grow some of the finest coffees in the world. In fact, the coffee producing members of the International Coffee Organization (ICO) consume only 30% of the global supply. Emerging market countries, many of which grow coffee, consume only 9% of the coffee produced each year. In this issue STiR Tea & Coffee takes a close look at the one exception to this rule: Brazil. Our feature article by Latin American correspondent Kelly Stein in São Paulo looks at the history of coffee; the emerging specialty market, and business opportunities in Bountiful Brazil, Pg. 28. Brazil presents great business opportunities along the entire length of the supply chain. It is a nation of largely small growers, many of whom still lack farm-level infrastructure. In the cities consumers are eagerly experimenting with blends, origins and espresso drinks. Most coffee is made at home but coffee shops are springing up in São Paulo, a city of 11 million located in the heart of Brazil's coffee producing regions. India, Indonesia and Mexico have a combined population of 1.5 billion, but together consume just 5 million 60-kilo bags of coffee a year, according to ICO. In Brazil, coffee consumption has more than doubled since the 1980s. It is now the second largest consum- ing market in the world. Growing at 5% per year it will soon overtake the United States. Specialty coffee roasters are finding plenty of opportunity to upsell coffee as most of the country brews an unsophisticated blend of Robusta and Arabica that is roasted nearly black to conceal defects. This is because for generations Brazil's Arabica has been shipped to the United States, Germany, and Japan. Brazil's best Robusta finds its way to Eastern Europe and Russia. All that will soon change as 42 million middle income ($10,000+) households discover the delight of quality coffee. Brazil demonstrates that geography and proximity are not enough - the key is promotion. Its success can be replicated in many coffee lands.That is why ICO developed a comprehensive step-by-step guide to help producing countries promote their beans in their own domestic markets, increasing sales and improving margins. This guide remains a valuable tool a decade after its publication and can be downloaded at no cost at: Professionals from many lands con- tinue to add to the guide, share their knowledge and accomplishments at www.coffeeclub-

Articles in this issue

Links on this page

Archives of this issue

view archives of STiR coffee and tea magazine - Volume 3, Number 5