Updated Jan 22, 2023 01:44

Green Coffee Market in Argentina

Market Overview
In , the Argentinian green coffee market increased by % to $, rising for the second year in a row after three years of decline. In general, the total consumption indicated moderate growth from 2007 to : its value increased at an average annual rate of +% over the last fifteen years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on figures, consumption increased by +% against indices. As a result, consumption attained the peak level and is likely to continue growth in the immediate term.


Consumption
In , consumption of coffee (green) was finally on the rise to reach tons after two years of decline. Over the period under review, consumption, however, recorded a relatively flat trend pattern. Over the period under review, consumption hit record highs at tons in 2013; however, from 2014 to , consumption stood at a somewhat lower figure.

The value of the green coffee market in Argentina surged to $ in , jumping by % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, the total consumption indicated moderate growth from 2007 to : its value increased at an average annual rate of +% over the last fifteen years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on figures, consumption increased by +% against indices. As a result, consumption reached the peak level and is likely to continue growth in the immediate term.


Market Forecast
Depressed by shrinking demand for green coffee in Argentina, the market is expected to continue its downward consumption trend over the next eight years. The performance of the market is forecast to contract with an anticipated CAGR of -% for the period from to , which is projected to depress the market volume to tons by the end of .

In value terms, the market is forecast to contract with an anticipated CAGR of -% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Green coffee market in Argentina consists almost entirely of imported products. In recent years, import price have increased sharply. Despite the hike in price, Argentina relies completely on foreign supplies: the volume of domestic output remains insufficient to satiate market demand.


Trade Balance
Argentina remains a net importer of green coffee; in physical and value terms, imports consistently exceeded exports from 2007 to . In , there was a significant trade deficit of tons, which was equal to $. This tangible trade deficit reflects the fact that the market remains dependent on imports, which is likely to continue in the medium term.