Updated Oct 9, 2022 15:49

Roasted Coffee Substitutes Market in China

Market Overview
In , after three years of growth, there was decline in the Chinese roasted coffee substitutes market, when its value decreased by -% to $. Overall, consumption showed a slight setback. Roasted coffee substitutes consumption peaked at $ in 2008; however, from 2009 to , consumption remained at a lower figure.

In value terms, roasted coffee substitutes production dropped modestly to $ in estimated in export price. In general, production showed a mild reduction. The most prominent rate of growth was recorded in 2011 with an increase of % against the previous year. Over the period under review, production hit record highs at $ in 2008; however, from 2009 to , production failed to regain momentum.


Consumption
In , consumption of roasted chicory and other roasted coffee substitutes decreased by -% to tons, falling for the second consecutive year after five years of growth. Over the period under review, consumption recorded a mild decline. Over the period under review, consumption hit record highs at tons in 2007; however, from 2008 to , consumption remained at a lower figure.

The revenue of the roasted coffee substitutes market in China declined slightly to $ in , shrinking 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, consumption saw a mild decline. Over the period under review, the market reached the maximum level at $ in 2008; however, from 2009 to , consumption stood at a somewhat lower figure.


Market Forecast
Depressed by shrinking demand for roasted coffee substitutes in China, 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
Over the period under review, imports of roasted coffee substitutes in China 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 roasted coffee substitutes. 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 decreased moderately (less than percentage point) over the period under review.


Trade Balance
China remains a net exporter of roasted coffee substitutes; 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.