Updated Oct 9, 2022 16:00

Roasted Coffee Substitutes Market in Mexico

Market Overview
The Mexican roasted coffee substitutes market fell to $ in , dropping 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). In general, consumption, however, recorded a modest expansion. As a result, consumption reached the peak level of $, and then reduced in the following year.

In value terms, roasted coffee substitutes production reduced dramatically to $ in estimated in export price. In general, production, however, continues to indicate a relatively flat trend pattern. The pace of growth was the most pronounced in when the production volume increased by % against the previous year. As a result, production attained the peak level of $, and then contracted markedly in the following year.


Consumption
In , consumption of roasted chicory and other roasted coffee substitutes decreased by -% to tons, falling for the second year in a row after five years of growth. In general, consumption, however, showed a relatively flat trend pattern. Over the period under review, consumption hit record highs at tons in ; however, from to , consumption failed to regain momentum.

The value of the roasted coffee substitutes market in Mexico shrank modestly to $ in , dropping 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). Over the period under review, consumption, however, saw a relatively flat trend pattern. As a result, consumption attained the peak level of $. From to , the growth of the market remained at a somewhat lower figure.


Market Forecast
The roasted coffee substitutes market is expected to start a downward consumption trend over the next eight years. The performance of the market is forecast to decrease slightly, with an anticipated CAGR of -% for the eight-year 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 Mexico 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
Mexico 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.