Coffee consumption in Russia may decline due to rising prices

Published 2024년 10월 2일

Tridge summary

The article provides an overview of Russia's coffee market, highlighting a decrease in domestic deliveries of coffee products last year due to increased imports, leading to an oversupply. Despite a slight predicted decrease in this year's supply volumes, which are expected to hover around 193 thousand tons, consumption is anticipated to see a slight growth. The cost of raw materials and production components will contribute to a market growth, with Russia producing most types of instant and roasted coffee. The main coffee suppliers to Russia are Vietnam and Brazil, with Vietnam focusing on robusta variety, which has seen record prices. The article ponders the potential impact of these high prices on the final product price, but assumes that coffee consumption will persist at high levels.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Last year, the volume of coffee products delivered to Russia decreased due to the fact that in 2022 imports increased sharply - they imported more than necessary just in case. The market was overstocked with coffee. And now this surplus is gradually being washed out of the market, says the head of the Roschaikofe Association Ramaz Chanturia. This year, it is predicted that last year's supply volumes will be maintained (almost 193 thousand tons) or a slight decrease with a relatively small increase in consumption. In the first half of the year, consumption growth was 0.8%. "In monetary terms, the market will grow for many reasons, including the cost of raw materials and other production components that affect the price of the product. We understand that the tax base, loan rates are growing, and general inflation is having an effect," Chanturia explains. Mainly green coffee is imported, and then roasted and packaged here. "Today, we produce here, in Russia, virtually all types of ...

Source: RG