The coffee market in Bangladesh is experiencing significant growth, with projections indicating a substantial increase in both at-home and out-of-home consumption. While tea remains the dominant hot beverage, coffee's popularity is rapidly rising, with an estimated market worth of Tk 1,200 crore. Specifically, the at-home segment, encompassing retail sales, is expected to reach $568 million, while the out-of-home segment, including cafes and restaurants, is projected to hit $1.2 billion in revenue.
Here's a more detailed look:
Market Size:
The overall coffee market in Bangladesh is estimated to be around Tk 1,200 crore, with projections indicating substantial growth.
At-Home Segment:
This segment, which includes sales through supermarkets and convenience stores, is expected to reach $568 million in 2024, according to Statista.
Out-of-Home Segment:
This segment, encompassing cafes, restaurants, and other food service outlets, is predicted to be the larger driver of growth, reaching $1.2 billion in 2024.
Growth Rate:
The at-home segment is projected to grow at an impressive 8.83% (CAGR 2024-2028), according to Statista.
Consumption:
While tea still dominates, coffee consumption is growing at a much faster rate, with some reports indicating an annual growth of 56% compared to tea's 5%.
Import Trends:
Coffee imports have increased significantly in the past decade, with a notable rise from 264 tonnes in 2012 to 1,745 tonnes in 2022, according to The Daily Star.
Leading Brands:
Nestle's Nescafé is a dominant player, holding a large market share, but other brands and smaller entrepreneurs are also entering the market.
Import Sources:
Bangladesh imports coffee from around 40 countries, with India, Indonesia, Malaysia, Brazil, and Vietnam being the major sources.
Coffee Culture:
The rise of coffee culture in Bangladesh is evident in the increasing number of cafes and the growing demand for both instant and roasted coffee.
Source: Online/GFMM
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