Specialty coffee gains ground in China

As coffee culture and consumption continue to thrive in China, experts and business leaders at the ongoing seventh China International Import Expo are eyeing specialty coffee to further drive the industry's growth.

At a seminar co-hosted by the Coffee Association of Yangtze River Delta and Asian Coffee Association during the CIIE, coffee bean exhibitors, coffee traders and specialty coffee shop owners gathered to tap into the future of China's coffee industry.

China, as an emerging market for coffee, has seen increasing imports and consumption of coffee in recent years. In 2023, the nation imported 291,000 metric tons of coffee, ranking eighth in the world. From 2013 to 2022, China's coffee consumption cups per capita has grown from 3.2 to 11.3, according to Chen Zhenjia, secretary-general at the Asian Coffee Association and director at the Coffee Engineering Research Center of China.

"Compared with the global coffee consumption cups per capita of 75.2 in 2022, the annual supply in China needs to be increased by 1,623,500 tons to reach the global average consumption level. It means the Chinese market still has great potential to expand," said Chen.

Ding Shan, president of the Coffee Association of Yangtze River Delta, shared the same sentiment.

Ding pointed out that China's coffee consumption market is now the fastest growing market in the world, with an average annual growth rate of around 20 percent, much higher than the global average growth rate of 2 percent. Nowadays, Chinese consumers are able to find coffee beans from various countries in the market, and their demand for taste and coffee quality is naturally getting higher.

Notably, specialty coffee has become a highlight, along with Chinese consumers' growing demand for coffee.

China's specialty coffee market is expected to expand to 27.9 billion yuan ($3.89 billion) this year, from 12.3 billion yuan in 2020. The number of specialty coffee consumers accounts for 18.1 percent of the total, indicating strong momentum for future growth, according to Chen.

"Last year, we were promoting coffee beans from various countries at the last edition of the CIIE, such as the beans from Honduras. This year, we are eyeing higher and focusing on specialty coffee," said Ding.

Ding added that in addition to inking deals, the CIIE is playing a critical role in connecting upstream and downstream supply chain partners, helping them to analyze market trends, find partners and promote the development of China's coffee industry.