Updated Feb 7, 2023 04:38

Decaffeinated Coffee Market in Brazil

Market Overview
After seven years of growth, the Brazilian decaffeinated coffee market decreased by -% to $ in . The market value increased at an average annual rate of +% from 2007 to ; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. Decaffeinated coffee consumption peaked at $ in , and then reduced slightly in the following year.

In value terms, decaffeinated coffee production reached $ in estimated in export price. The total output value increased at an average annual rate of +% over the period from 2007 to ; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth appeared the most rapid in 2008 with an increase of % against the previous year. Over the period under review, production attained the peak level at $ in ; however, from to , production remained at a lower figure.


Consumption
In , the amount of decaffeinated coffee consumed in Brazil reduced slightly to tons, which is down by -% compared with the previous year's figure. The total consumption volume increased at an average annual rate of +% over the period from 2007 to ; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. Over the period under review, consumption attained the peak volume at tons in , and then declined slightly in the following year.

The value of the decaffeinated coffee market in Brazil reduced modestly to $ in , approximately reflecting 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). The market value increased at an average annual rate of +% from 2007 to ; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. Decaffeinated coffee consumption peaked at $ in , and then fell modestly in the following year.


Consumption by Type
Unroasted decaffeinated coffee ( tons) constituted the product with the largest volume of consumption, comprising approx. % of total volume. Moreover, unroasted decaffeinated coffee exceeded the figures recorded for the second-largest type, roasted decaffeinated coffee ( tons), sevenfold.

From 2007 to , the average annual rate of growth in terms of the volume of unroasted decaffeinated coffee consumptions totaled +%.

In value terms, unroasted decaffeinated coffee ($) led the market, alone. The second position in the ranking was held by roasted decaffeinated coffee ($).

From 2007 to , the average annual rate of growth in terms of the value of unroasted decaffeinated coffee markets amounted to +%.


Market Forecast
Driven by increasing demand for decaffeinated coffee in Brazil, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to tons by the end of .

In value terms, the market is forecast to increase 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
Over the period under review, imports of decaffeinated coffee in Brazil were negligibly small compared to the production volumes. Therefore, the share of imports in the total market was practically nonexistent, both in volume and in value terms. This situation has remained constant over the period under review, which means that domestic producers entirely meet the domestic demand for decaffeinated coffee. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports remained relatively constant over the period under review. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports increased moderately ( percentage point) over the period under review.


Trade Balance
Brazil remains a net exporter of decaffeinated coffee; in physical and value terms, exports consistently exceeded imports from 2007 to . In , there was a significant trade surplus of tons, which was equal to $. This tangible trade surplus reflects the fact that the market remains buoyed by domestic production, and the industry is highly incorporated into the global market, which is likely to continue in the medium term.