the coffee market | Italy

1.1 Definition and presentation

Coffee is a beverage with stimulating and invigorating properties obtained from the infusion of roasted and ground beans. Usually served hot, it can be prepared and presented in different ways. Coffees are sometimes blended to create unique flavors. This technique is called "blending."

There are about 124 varieties of coffee in the world, which can be divided into two main categories:

• Arabica coffee: sweet, not very dense and with great aromatic finesse. It accounts for 75 percent of world coffee production and its beans contain about 1.5 percent caffeine.
• Robusta coffee: more dense, bitter and powerful than Arabica, but less aromatic. It accounts for 20 percent of world production and its beans have a caffeine content of about 2.7 percent.

The market can be segmented by product type (whole beans, ground coffee, instant coffee, pods and capsules) and by distribution chain (hotel, restaurant and cafeteria sector; large-scale distribution, retail).

Coffee is the second most traded commodity in the world after oil and the most consumed beverage after water. The global coffee sector is very dynamic. In July 2021, 10.61 million bags of coffee were exported while coffee prices have increased by 51.3 percent since the beginning of the year. Between 2021 and 2026, the compound annual growth rate is estimated at 4.28%.

Coffee is an integral part of Italian culture. In fact, only 3% of Italians are not used to drinking coffee. In 2018, Italian coffee consumption accounted for 11% of total European consumption. However, the coffee market is highly fragmented, with over 90% independent coffee shops and a small number of international chains in the country.

The coffee sector's turnover fell by 8.6 percent in 2020. This decline is due to the Covid 19 pandemic. The hotels, restaurants, and coffee sector lost 40 percent of its turnover, and the automatic coffee machine sector halved its turnover compared to 2019. The retail and e-commerce sectors, on the other hand, saw their turnover increase.