Updated Oct 9, 2022 15:47

Roasted Coffee Substitutes Market in Brazil

Market Overview
In , after five years of growth, there was decline in the Brazilian roasted coffee substitutes market, when its value decreased by -% to $. In general, consumption recorded a relatively flat trend pattern. As a result, consumption reached the peak level of $. From 2009 to , the growth of the market remained at a somewhat lower figure.

In value terms, roasted coffee substitutes production shrank modestly to $ in estimated in export price. Over the period under review, production continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2008 with an increase of % against the previous year. As a result, production reached the peak level of $. From 2009 to , production growth remained at a somewhat lower figure.


Consumption
In , consumption of roasted chicory and other roasted coffee substitutes in Brazil declined to tons, remaining constant against the year before. The total consumption volume increased at an average annual rate of +% 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 2008; however, from 2009 to , consumption stood at a somewhat lower figure.

The size of the roasted coffee substitutes market in Brazil contracted 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, however, recorded a relatively flat trend pattern. As a result, consumption attained the peak level of $. From 2009 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 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 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 (- percentage point) over the period under review.


Trade Balance
Brazil remains a net importer of roasted coffee substitutes; 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 $.