Burundi and Rwanda Coffee Harvest Update 2026

Bujumbura  – QAHWA WORLD

Preliminary reports from Burundi and Rwanda indicate promising prospects for the 2026 coffee harvest, with an estimated combined total of around 40,000 metric tonnes (MT) of high-quality green coffee. Teams in both countries have shared insights on volume, quality, and sustainability initiatives supporting farmers.

Burundi Harvest Outlook

Burundi’s coffee harvest for 2026 is expected to increase by over 60% compared to 2025, reaching approximately 24,000 MT. Favourable weather since mid-August has supported strong flowering, with the harvest expected to start fully around 10 March, about one month earlier than last year. Quality monitoring at washing stations is underway, with initial observations indicating good cherry development. The harvest is expected to continue until July, depending on rainfall.

Sustainability Initiatives in Burundi

This season marks the launch of a major public-private initiative to rejuvenate coffee production. The tree stumping programme involves 14,000 farming households and around 700,000 trees. Combined with planting new seedlings, the programme aims to quadruple productivity within three to five years.

Additionally, all Burundian coffee is now offered as IMPACT-verified, Sucafina’s responsible sourcing programme. Farmers receive training and support to improve environmental and social outcomes while enhancing traceability and quality. Approximately 30,000 smallholder farmers are engaged in these sustainability programmes this year.

Rwanda Harvest Forecast

Rwanda’s 2026 harvest is projected at around 16,000 MT, lower than the previous year due to less favourable flowering conditions, but expected to maintain high quality. The harvest began in mid-February and is expected to continue until late June.

Market and Regulatory Factors

Reduced supply is likely to increase market competition. RWACOF (Sucafina in Rwanda) continues to prioritise exceptional-quality cherry and close monitoring of processing at partner washing stations. A new scalable model has been introduced to expand sourcing areas while mitigating market risks.

Sustainability Initiatives in Rwanda

Sucafina’s sustainability programmes in Rwanda include tree rejuvenation, carbon footprint mapping, and regenerative agriculture. Since 2023, 197,782 trees have been stumped, with over 155,000 in 2025 alone. Farmers received inputs such as lime and organic fertiliser, alongside structured monitoring to track “back-to-production” timelines.

The Farmer Development Program, launched with the London School of Economics, provides training, loans, and tree-planting incentives to 3,735 farmers across five service centres. Agroforestry initiatives have distributed 110,064 shade trees, integrating sustainable practices into the supply chain.

Village Savings and Loan Associations (VSLAs) have been scaled, engaging 1,529 members (51% women) and mobilising $30,884 in savings, with 67% loaned to 924 farmers. Over the next six months, Sucafina will establish a 145,000-seedling nursery, expand refresher trainings, and conduct IMPACT verification, expected to make verified coffee available by June 2026.

Coffee Industry Heroes Awards 2026: Finalists Announced

Melbourne – QAHWA WORLD

The Coffee Industry Heroes Awards have revealed the 2026 finalists, recognizing individuals and businesses making a significant impact on Australia’s coffee industry. The awards, part of the Melbourne Coffee Expo 2026, will take place alongside the MICE Opening Party at the Melbourne Convention & Exhibition Centre – Courtyard Venue on Thursday, 26 March 2026, from 5:30 PM to 8:30 PM. Attendees are requested to wear cocktail attire.

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The awards highlight leaders across multiple categories, celebrating innovation, mentorship, sustainability, and community contribution.

  • 2026 Finalists

Best New Cafe

  • Almost French Epicure

  • Ratio Coffee Crows Nest

  • Sidecar Roasters

Coffee Educator (Mentor)

  • Ian Abadiano, Coffee Mentality

  • Danny Andrade, Blackboard Coffee Roasters

  • Nadia Araujo Moreira, Southland Merchants

  • Simon Gautherin, Zest Specialty Coffee Roasters

  • Nicole Motteux, Sustainable Coffee Advocate

  • Andres Roaster, Rubra Coffee

  • Chris Short, Cafetto

  • Joshua Walhain, Alternative Brewing

  • Li Wang, Sanjiangwater PTY LTD

Community Champion

  • Ian Abadiano, Coffee Mentality

  • Danny Andrade, Blackboard Coffee Roasters

  • Rodney Ayton, Bean Station Wodonga

  • Andres Felipe Ballesteros Zuluaga, Rubra Coffee Roasters

  • Jon Barnett, Slurpsup Sydney

  • Marcelline Budza, Rebuild Women’s Hope Cooperative

  • Nicole Motteux, Sustainable Coffee Advocate

  • Damien O’Brien, Coffee Foundation

Home Grown Hero

  • Ian Abadiano, Coffee Mentality

  • Rebecca Zentveld, Zentbeld’s Coffee, Farm and Roastery

Lifetime Achievement

  • Danny Andrade, Blackboard Coffee Roasters

  • Angelo Augello, Formerly Bean Alliance Group

  • Sebastián Farias Arcila, Far More

  • Melissa Floreani, Clark St Coffee Roasters

  • Jack Hanna, Single Estate

  • Stephen Hurst, Mercanta Ltd.

  • Nicole Motteux, Sustainable Coffee Advocate

  • Lucy Ward, ST. ALi Coffee

Next-Gen Talent

  • Justin Calpito, Honeybird Coffee

  • Hany Ezzat, Ona Coffee / Ni Wares

  • Danni Lubbe, London Tavern Hotel

  • Jerome and Micah Manion, More Matcha

  • Efthimios Tsiukardanis, Code Black

Sustainability Champion

  • Cateco Trading Pty Limited

  • Clark St Coffee Roasters

  • Coffee Mentality

  • GRADA

  • Grounded Packaging

  • Huskee (BioPak)

  • made by Fressko

  • Pablo & Rusty’s

  • Reground

  • Sustainable Coffee Advocate

The Coffee Industry Heroes Awards honour those who advance Australia’s coffee culture, from innovative cafes and sustainable operators to influential educators and community champions. The announcement of the 2026 finalists marks a key milestone ahead of the Melbourne Coffee Expo 2026, which runs from 26 to 28 March.

Russian Instant Coffee Exports Rise 28% to $366 Million

Moscow – QAHWA WORLD

Russia recorded solid growth in its instant coffee exports in 2025, with total export value rising 28% year-on-year to exceed $366 million.

According to the Federal Center for Agricultural Export Development, Agroexport, citing expert estimates, the shipments included coffee extracts, essences, concentrates, and finished products based on them.

In volume terms, exports surpassed 51,000 tons during the year. No comparative data on year-on-year volume growth was disclosed.

Kazakhstan remained the leading destination market, with export revenues exceeding $131 million, compared with approximately $58 million in 2024, representing more than a twofold increase.

Belarus ranked next, importing nearly $95 million worth of products. Exports to Uzbekistan reached about $33 million, while Georgia imported more than $24 million. Shipments to Israel totaled close to $12 million.

In 2025, exports of this product category to Oman were also resumed, with shipments valued at over $120,000 following a previous توقف.

The figures highlight the continued concentration of Russian instant coffee exports in CIS markets, alongside efforts to re-expand into additional destinations amid steady regional demand for instant coffee products.

JDE Peet’s Reports 15.3% Growth: A New Era in Global Coffee

AMSTERDAM – QAHWA WORLD

In a year defined by unprecedented economic headwinds, JDE Peet’s (EURONEXT: JDEP) has delivered a powerful financial performance, proving the resilience of its global coffee portfolio. The company today reported an impressive 15.3% organic sales growth for 2025, successfully shielding its margins against a massive EUR 1.6 billion surge in cost inflation through disciplined pricing and high-impact innovation.

Mastering the Inflationary Storm

The results underscore JDE Peet’s ability to thrive in a volatile market. By balancing price adjustments with productivity gains, the company saw its organic adjusted EBIT climb to EUR 1.3 billion. Even more significant for investors was the robust cash generation, with free cash flow reaching EUR 1,130 million. This liquidity allowed the company to significantly deleverage its balance sheet, bringing net leverage down to a healthy 2.3x, while maintaining an underlying EPS of EUR 2.46.

Strategic Transformation: “Reignite the Amazing”

The cornerstone of this year’s success was the aggressive rollout of the Reignite the Amazing strategy. CEO Rafa Oliveira emphasized that the company is no longer just defending its position but is actively shaping the market. “Our strategy is delivering tangible results,” said Oliveira. “By focusing on our global powerhouses—Peet’s, L’OR, and Jacobs—we have simplified our organization and sharpened our competitive edge.”

To support this growth, the company advanced its EUR 500 million productivity program, achieving EUR 70 million in savings this year alone. This was driven by a bold operational overhaul, including the optimization of its manufacturing footprint with the closure of facilities in the U.K., Brazil, and the U.S. to ensure a leaner, more agile supply chain.

Regional Dominance and the “China Growth Engine”

JDE Peet’s performance in emerging markets was nothing short of extraordinary. The LARMEA region (Latin America, Russia, Middle East, and Africa) emerged as a primary growth driver, recording a staggering 39.7% organic sales increase. Meanwhile, in Asia, Peet’s China continued to defy regional trends with strong double-digit growth, proving the brand’s immense appeal to the new generation of specialty coffee consumers.

Innovation as a Global Catalyst

From the viral success of Dubai Chocolate to the technical sophistication of the L’OR Barista Absolu machine, JDE Peet’s has kept itself at the center of the global coffee conversation. The launch of Peet’s ready-to-drink Cold Brew and Popping Pearls has further solidified its presence in the fast-growing iced coffee segment, ensuring the company meets the evolving tastes of a younger, more diverse audience.

The KDP Merger: Final Countdown

The acquisition by Keurig Dr Pepper (KDP) is now entering its final phase. With 69% of shares already committed and all essential competition clearances secured, the EUR 31.85 per share offer is on track to close early in the second quarter of 2026. This transition marks the beginning of a new chapter where JDE Peet’s will combine its global coffee expertise with KDP’s distribution power to create an industry-leading powerhouse.

World of Coffee San Diego 2026: Last Chance for Early Bird Rates

SAN DIEGO, CALIFORNIA – QHWAW WORLD

The countdown has officially begun for the global specialty coffee community. With World of Coffee San Diego 2026 just around the corner, the Specialty Coffee Association (SCA) has announced that “Early Bird” registration rates are set to expire on March 1, 2026. This leaves attendees with just one week to take advantage of significant savings before prices increase.

A Strategic Hub for a Growing Industry

Set in the vibrant city of San Diego, this event is expected to be a cornerstone for coffee professionals and enthusiasts alike. From roasters and farmers to equipment suppliers and baristas, the exhibition serves as a premier platform for networking, discovering innovations, and exploring the trends shaping the future of the specialty coffee market.

Badge Options and Pricing Details

The 3-Day World of Coffee Badge provides full access to the exhibit hall, the World Latte Art Championship, the SCA Lecture Series, and public cuppings from April 10 to April 12, 2026.

Pricing Overview (Early Bird ends March 1):

Badge Category (3-Day) Early Bird Price Regular Price (After March 1)
SCA Paid Members $299 $340
Non-Members $360 $399

Single-day badges are also available for Friday, Saturday, or Sunday to accommodate those with tighter schedules.

Expert-Led Workshops and Hands-On Learning

The event features an intensive series of SCA workshops, ranging from 2.5 to 3.5 hours. These sessions offer practical, hands-on solutions to industry challenges, covering everything from flavour development to business management. Early bird rates for workshops start at $250 (with additional discounts for members), and seats are expected to fill quickly due to high demand for specialised training.

Digital-Only Registration and Logistics

The organisers have noted that World of Coffee is a non-cash event, requiring all badge purchases to be made online via credit or debit card. For international visitors, visa invitation letters can be generated during the registration process. Additionally, Maritz has been appointed as the official housing provider, offering curated accommodation options near the venue to ensure a seamless experience for all attendees.

Russia Updates Instant Coffee Standards for the First Time in 32 Years

MOSCOW – QAHWA WORLD

Russia has officially revised its national standard for instant coffee, marking the first update since 1994. According to Readovka, the previous GOST standard, introduced in January 1994, applied only to powdered instant coffee. The newly adopted regulation significantly broadens the classification and aligns it with today’s market realities.

Expanded Product Classification

Under the updated standard, three categories of instant coffee are now formally recognized:

  • Powdered instant coffee

  • Granulated instant coffee

  • Freeze-dried (sublimated) instant coffee

This expansion reflects the technological evolution of the sector and the diversity of products currently available to consumers.

Clearer Quality Parameters

As outlined by Rosstandart, the revised standard introduces specific quality indicators for each type of instant coffee. These include:

  • Appearance of the powder or granules

  • Color of the dry product

  • Aroma

  • Taste of the prepared beverage

The new GOST prohibits the presence of foreign impurities and any off-flavors or odors not characteristic of coffee. Flavorings are permitted; however, manufacturers are required to clearly declare them in the ingredient list.

Stricter Technical Requirements

The updated regulation also establishes precise technical benchmarks:

  • Complete dissolution in hot water (96–98°C) within 30 seconds

  • Dissolution in cold water (18–20°C) within a maximum of three minutes

  • Moisture content not exceeding 6% in the dry product

These measures aim to ensure product consistency, performance, and consumer transparency across all categories.

Market Context: Health and Pricing Pressures

Previous reports have suggested that moderate coffee consumption may be associated with a 10–15% reduction in overall mortality. However, these potential benefits can be offset when sugar or flavored syrups are added in significant amounts.

Meanwhile, the coffee market has faced notable price increases over the past two years, with costs rising more than 2.5 times. The surge is largely attributed to a global shortage of green coffee beans and ongoing supply chain disruptions.

The revision of Russia’s instant coffee standard signals a broader effort to modernize regulatory frameworks and raise quality benchmarks in a market that continues to evolve rapidly.

Russian Coffee and Roasted Coffee Market 2026

MOSCOW – QAHWA WORLD

The Russian coffee market continues to reach record sales levels, driven by strong domestic demand and rising per capita coffee consumption. According to analysis by Roif Expert, the market volume increased by approximately 300 billion rubles in recent periods, marking the highest level recorded since monitoring began.

Analysts note that this growth is supported by increased domestic production of both regular and roasted coffee. Major Russian producers are expanding their production capacities to meet rising consumer demand. At the same time, coffee imports continue to show a stable upward trend, making the Russian market attractive to foreign companies, while exports, despite some international restrictions, have potential for expansion.

Growth in Roasted Coffee Production

The roasted coffee sector has seen a significant increase in production, driven by rising local demand and the need to partially replace imported products. Production is concentrated in key regions, and the market shares of major companies remain relatively stable compared to previous periods.

Roif Expert highlights that the entry of new players intensifies competition, especially for companies with the resources to expand geographically and increase production volumes. Additionally, the market is directly influenced by the overall economic situation, regional factors, and geopolitical conditions, making adaptability crucial for companies to maintain their market share.

Imports and Exports of Roasted Coffee

  • Imports: Determined by domestic demand and price fluctuations between Russian and foreign producers, imports show a steady growth trend.

  • Exports: Primarily directed to international markets, although global restrictions can affect the attractiveness of Russian roasted coffee abroad.

Key Market Trends

According to Roif Expert, the main trends in the Russian coffee market include:

  • Growth in production of both regular and roasted coffee to meet domestic demand.

  • Continued increase in per capita coffee consumption.

  • Steady import growth with potential for expanding exports.

  • Stability in market shares of major producers alongside rising competition from new entrants.

  • Coffee prices are increasing faster than sales volumes.

Market Outlook

Analysts expect the Russian coffee market to continue its growth in the coming years, driven by increasing domestic production and expanding roasted coffee exports. The market remains attractive to investors due to high profitability and growing consumption, particularly in the roasted coffee segment, where competition among major players is strong.

Roif Expert’s analysis confirms that the Russian coffee and roasted coffee market is flexible and capable of adapting to changes in demand and pricing, enhancing its growth potential both domestically and internationally in the medium and long term.

Caffè Nero Acquires Compass Coffee Assets in Bankruptcy Auction

DUBAI – QAHWA WORLD

U.K.-based coffee company Caffè Nero has secured the winning bid to acquire the majority of assets belonging to Washington, D.C.-based Compass Coffee, which filed for Chapter 11 bankruptcy protection last month.

The final bid reached $4.75 million following a competitive, three-day auction involving five prospective buyers. Caffè Nero had initially set the baseline offer at $2.9 million through a “stalking-horse” bid. The transaction remains subject to approval by the bankruptcy court.

Operations to Continue Under Compass Name

For now, the 17 Compass cafés operating across the D.C. area are expected to remain open under their current brand. Whether the Compass name will be retained long term has not yet been determined.

Compass co-founder and CEO Michael Haft stated in an interview with The Washington Post that representatives from Nero will begin meeting with Compass staff as part of the transition process. While Nero has indicated interest in keeping the existing leadership team, formal employment offers have not yet been finalised.

A court hearing is scheduled for February 26, the earliest date on which Nero could formally assume control of the company.

Background on Both Companies

Founded in 1997 by Gerry Ford, Caffè Nero has grown into an international brand with more than 1,000 locations across 11 countries. In the United States, however, its presence remains concentrated primarily in the Boston area, with no current locations in Washington, D.C.

Compass Coffee was established in 2014 by former Marine Corps officers Michael Haft and Harrison Suarez. The company expanded rapidly in its early years, focusing heavily on high-traffic downtown locations. It also invested substantially in a large roasting and production facility in Ivy City, aiming to scale its operations.

Financial Struggles and Bankruptcy

Despite its early growth, Compass struggled to achieve sustained profitability. The pandemic forced temporary closures of several downtown cafés and prompted the company to diversify revenue streams, including selling packaged coffee through grocery stores and direct-to-consumer channels, as well as producing hand sanitiser during the height of demand.

In recent years, additional pressures compounded the company’s financial strain. These included rising coffee costs, wage increases, reduced downtown foot traffic, a shrinking federal workforce, legal disputes with landlords and suppliers, and internal conflict between the founders. Suarez departed the company in 2021, and litigation between the co-founders followed.

By early January, Compass filed for Chapter 11 protection.

The $4.75 million sale will not cover all outstanding obligations. Total debts exceed $12 million, with secured creditors expected to recover approximately $2 million. Unsecured creditors remain owed several million dollars, and investors—including the founders—are not expected to recoup their contributions.

Looking Ahead

In a message to employees, Haft expressed optimism about the transition, suggesting that new ownership could provide stability in a market environment that has shifted significantly since 2020. He noted that downtown business patterns and consumer habits have changed, requiring a different operational approach than in the company’s early years.

If approved, the acquisition will mark the end of Compass Coffee’s 12-year period as an independent, founder-led company and signal Caffè Nero’s entry into the Washington, D.C., market.

Ethiopia Elevates Its Coffee Ceremony to the Global Stage

Founder Seada Mustefa Leads UNESCO Recognition Push Through Ethiopian Coffee Culture Day

Addis Ababa – Qahwa World × Buna Kurs – Media

At a moment when global coffee discussions revolve around traceability, sustainability, and value distribution at origin, Ethiopia is redirecting attention toward something more foundational: culture.

At the Adwa Victory Memorial Museum, industry leaders, diplomats, cultural institutions, exporters, and development stakeholders convened for Ethiopian Coffee Culture Day 2026—an initiative led by Warka Coffee to advance UNESCO Intangible Cultural Heritage recognition for the Ethiopian coffee ceremony.

Yet the gathering went beyond heritage recognition. It marked a strategic move to formalize Ethiopia’s ceremonial tradition as both a cultural legacy and an economic instrument.

A Living Cultural System, Not a Symbol

For generations, the Ethiopian coffee ceremony has structured social life across communities—embedding dialogue, patience, hospitality, and shared presence into daily interaction.

At this year’s celebration, more than eleven regional expressions of the ceremony were presented in what organizers described as a “living museum” format. Participants did not merely observe; they engaged. Coffee was roasted, ground, brewed, and served under the guidance of cultural custodians from across Ethiopia’s regions.

The experience was immersive. Coffee was framed not simply as a beverage, but as social architecture—a ritual that organizes community life and reinforces collective identity.

For international observers, the message was clear: Ethiopia is not only the botanical birthplace of Coffea arabica but also the guardian of one of coffee’s most enduring and sophisticated social traditions.

From Ceremony to Strategy

The event drew representatives from government ministries, the Ethiopian Heritage Authority, tourism and trade institutions, women-led enterprises, development organizations, and members of the diplomatic corps.

Panel discussions moved beyond symbolism to policy and positioning, exploring:

  • Coffee as soft power and diplomatic bridge

  • Women as custodians of ceremony and drivers of small-business growth

  • The integration of farmers, exporters, tourism, and technology

  • The role of communal brewing in well-being and social cohesion

The framing was deliberate: Ethiopia’s coffee ceremony is not folklore. It is diplomatic capital, economic leverage, and narrative authority within the global coffee sector.

By pursuing a formal UNESCO pathway, organizers aim to protect the integrity of the ceremony while reinforcing Ethiopia’s leadership role in shaping the global coffee narrative.

Founder-Led Cultural Stewardship

At the center of the initiative is Seada Mustefa, founder and CEO of Warka Coffee, who has positioned Ethiopian Coffee Culture Day as a bridge between heritage preservation and industry advancement.

Her approach reflects an emerging model of origin leadership—one that views geography not merely as a site of production, but as a source of cultural governance and institutional influence.

Under her direction, the event brought together women entrepreneurs, traditional pottery artisans, exporters, and technology stakeholders into a unified ecosystem. A notable feature was the Embassy Coffee Culture Exchange, where diplomatic missions based in Addis Ababa shared their own coffee traditions—reinforcing Ethiopia’s role as both origin and global convener.

The ambition is clear: elevate a domestic ritual into an internationally recognized institutional platform.

Cultural Value in a Commodity Market

The global coffee market continues to wrestle with volatility, sustainability metrics, and uneven value distribution. Ethiopian Coffee Culture Day reframed that conversation.

If the future of coffee depends on strengthening equity at origin, safeguarding cultural systems may be as critical as improving yields or optimizing logistics.

The 2026 edition welcomed thousands of participants across industry, community, and diplomatic sectors. It signaled Ethiopia’s intention to anchor its global coffee identity not only in export volumes but also in ceremony.

In an industry that often reduces origin to tasting notes and lot numbers, Addis Ababa delivered a reminder: coffee’s enduring power lies in relationship.

And in Ethiopia, that relationship still begins with a jebena—shared slowly, in a circle.

U.S. Coffee Prices Hit Record Levels Despite Stable Global Markets

DUBAI – QAHWA WORLD

By any measure, coffee should be getting cheaper.

International green coffee prices have eased in recent months as production rebounds in major origins. Yet in the United States, retail coffee prices continue to climb — reaching levels not seen in decades.

According to data from the U.S. Bureau of Labour Statistics, the average retail price of roasted coffee in the United States hit $9.37 per pound in January, up 33% year over year. That marks the highest level since federal record-keeping began in the 1980s.

At the same time, global benchmark prices for green coffee have fallen to roughly $3.64 per pound, reflecting improved crop expectations and stabilising supply chains.

So why is the world’s largest coffee-consuming economy moving in the opposite direction?

Tariffs and Trade Policy Still Ripple Through the Market

The answer begins with trade policy.

During the previous administration of Donald Trump, tariffs were imposed on key coffee-exporting countries. The United States introduced:

  • A 46% tariff on imports from Vietnam

  • A 10% tariff on imports from Brazil and Colombia

Vietnam, Brazil, and Colombia collectively supply more than 60% of U.S. coffee imports. Any disruption involving these origins has immediate consequences for American roasters.

In July, an additional 40% tariff on Brazilian food and beverage imports was proposed. Although that measure was later reversed, the market had already reacted. Coffee is traded months in advance, and importers typically lock in contracts well before shipments arrive. By the time policies shift, pricing structures are already embedded in the supply chain.

In coffee, timing is everything — and costs move slowly in one direction.

The Lag Between Global Prices and Retail Shelves

Green coffee prices are only one component of what consumers pay. Roasting, freight, warehousing, labor, packaging, and retail margins all compound the final number on a supermarket shelf or café menu.

Even when global commodity prices fall, retailers rarely adjust immediately. Contracts must roll over. Inventories must clear. New pricing agreements must be negotiated.

There is also a behavioural element at play. Coffee remains a daily ritual for millions of Americans. Demand has proven remarkably resilient, even in periods of inflation. When consumers continue buying at higher prices, businesses face little urgency to cut them.

Corporate Performance Signals Strong Demand

Publicly traded coffee giants reflect this resilience.

Shares of Starbucks are up roughly 14% year to date in 2026. Meanwhile, Keurig Dr Pepper has gained about 5% over the same period.

Strong performance suggests that consumers are still spending on coffee, whether in cafés or at home. For investors, it’s a sign of pricing power. For consumers, it means relief may not come quickly.

A Market Split: Global Relief, Domestic Pressure

Globally, supply conditions are improving. Brazil’s production outlook has strengthened, and earlier disruptions in key growing regions have begun to ease. That has kept international prices from climbing further.

But the United States operates within its own pricing ecosystem — shaped by trade policy, distribution costs, and consumer behaviour.

The result is a widening gap between falling global bean prices and rising American retail prices.

Will U.S. Coffee Prices Come Down?

They may — but not immediately.

As older contracts expire and lower global prices filter through the system, wholesale costs could soften. However, whether those savings reach consumers depends on competitive pressure, corporate strategy, and demand trends.

Coffee has evolved far beyond a commodity. It is a cultural staple, a daily necessity, and for many households, a non-negotiable expense.

For now, Americans are paying record prices for their morning cup — even as the rest of the world sees relief.

And until supply contracts reset and market forces realign, that disconnect is likely to persist.

Italy Coffee Market Outlook 2026–2031

Tradition Anchors Growth as Pods, Specialty and RTD Gain Ground

DUBAI – QAHWA WORLD

Italy’s coffee sector is projected to expand steadily through 2031, supported by strong domestic consumption, product innovation and premiumisation trends, even as competition from alternative beverages intensifies.

According to a recent industry analysis published by Research and Markets, the Italian coffee market is estimated at USD 5.92 billion in 2026, up from USD 5.61 billion in 2025. The market is forecast to reach USD 7.71 billion by 2031, representing a compound annual growth rate (CAGR) of 5.44% between 2026 and 2031.

A Market Rooted in Culture

Coffee consumption remains deeply embedded in Italy’s daily life and social fabric. Espresso culture, regional roasting traditions and the central role of cafés continue to sustain stable demand across retail and foodservice channels.

Data from the European Coffee Federation shows European coffee sales rising from EUR 2.45 billion in 2022 to EUR 2.57 billion in 2023, reflecting consistent consumption patterns in mature markets such as Italy. The country continues to shape broader European coffee dynamics through its heritage brands and café culture.

Ground coffee remains the backbone of the market, reflecting traditional brewing habits in both households and professional settings.

Segment Performance: Leaders and Fastest Growers

Ground Coffee: Market Leader

Ground coffee accounted for 34.10% of market share in 2025, maintaining its leadership due to Italy’s strong preference for authentic espresso preparation. Its versatility across brewing methods and wide range of blends and roast profiles reinforce its dominance.

Pods and Capsules: Fastest Growth

Coffee pods and capsules represent the fastest-growing segment, with a projected CAGR of 6.31% through 2031. Growth is driven by convenience, single-serve machine adoption and demand for consistent quality in homes and offices. Innovation in cross-compatible systems and flavor diversification continues to support expansion.

Plain Coffee: Cultural Mainstay

Plain coffee holds a commanding 78.20% market share in 2025, underscoring consumer preference for traditional, unflavored coffee that highlights bean quality and roasting craftsmanship.

Flavored Coffee: Emerging Momentum

Flavored coffee is projected to grow at a 7.02% CAGR through 2031, reflecting changing tastes among younger consumers and urban markets seeking diversified flavor experiences.

Innovation and Premiumisation

Italian consumers remain loyal to tradition but increasingly embrace innovation that blends heritage with modern preferences. Product development is expanding into:

  • Specialty and single-origin offerings

  • Ready-to-drink (RTD) coffee

  • Sustainable and ethically sourced products

  • Smart brewing systems

  • E-commerce and digital sales channels

International brands are also adapting to the Italian market. In February 2023, Starbucks Corporation introduced its Oleato olive oil coffee range in Italy, combining espresso with olive oil in beverages designed to align with local culinary identity while offering a differentiated experience.

Sustainability and ethical sourcing are increasingly important purchase drivers, while climate volatility remains a structural risk factor affecting global green coffee supply.

Competitive Pressures from Alternative Beverages

The broader beverage landscape in Italy is evolving. Functional teas, energy drinks, matcha, kombucha and plant-based beverages are gaining visibility, particularly among younger consumers. Specialty tea shops and bubble tea outlets are expanding in major cities, competing with traditional coffee bars as social spaces.

In response, coffee companies are diversifying portfolios to include tea, functional drinks and wellness-oriented beverages, leveraging established distribution networks and brand recognition.

Corporate Spotlight: Illycaffè Expands U.S. Production

Premium Italian roaster Illycaffè plans to begin production in the United States in 2026 as part of its international growth strategy.

Chief Executive Officer Cristina Scocchia stated that between 15% and 20% of the company’s U.S. sales volume will be produced locally starting early next year. The move aims to improve supply chain flexibility and enhance proximity to consumers.

Illycaffè expects overall turnover to rise approximately 10% year-on-year to around €690 million, with reported growth of 11% in Italy and 19% in the United States at constant exchange rates. However, the company faces continued cost pressure from elevated green coffee prices, which rose significantly in 2025 due to weather-related supply disruptions and global market volatility.

Founded in 1933 in Trieste, Illycaffè operates in more than 140 countries and remains a key player in the premium espresso segment.

Market Structure and Key Players

The Italian coffee market is segmented by:

  • Product Type: Whole bean, ground coffee, instant coffee and others

  • Flavor: Plain and flavored

  • Category: Conventional and specialty

  • Bean Type: Arabica, Robusta and others

  • Distribution Channel: On-trade and off-trade

Major companies operating in the market include:

  • Luigi Lavazza S.p.A.

  • Nestlé S.A.

  • Kimbo S.p.A.

  • Starbucks Corporation

  • Gruppo Illy S.p.A.

  • Tchibo GmbH

  • JDE Peet’s N.V.

  • Segafredo Zanetti S.p.A.

  • Massimo Zanetti Beverage Group

Outlook

Italy’s coffee market remains mature but dynamic. Traditional espresso culture continues to anchor demand, while growth is increasingly concentrated in pods, capsules, specialty formats and ready-to-drink beverages.

As sustainability priorities, technological integration and premium positioning reshape the competitive landscape, Italy is expected to maintain its dual role as both a heritage-driven coffee market and a hub for innovation within Europe’s broader coffee industry.

University of Kentucky Launches Coffee Science and Culture Certificate

DUBAI – QAHWA WORLD

The University of Kentucky is set to introduce its first academic certificate dedicated entirely to coffee, marking a notable step in the growing recognition of coffee as both an agricultural system and a global cultural force.

The new Coffee, Science and Culture Certificate is led by David Gonthier, associate professor in the Department of Entomology at the Martin-Gatton College of Agriculture, Food and Environment. The program is designed for undergraduate students and aims to explore coffee from farm production and global trade to roasting, sensory evaluation and cultural history.

  • From Origin to Academia

Gonthier’s connection to coffee began through family ties in Honduras, one of the world’s leading coffee-producing countries. Time spent with relatives involved in coffee farming provided early insight into the realities of production and the economic pressures facing smallholder growers.

His academic path later focused on coffee systems in southern Mexico, alongside continued involvement in a small coffee operation in Honduras. He also earned certification as a Q Grader, a professional credential that qualifies specialists to assess and score coffee quality through standardized sensory evaluation.

Recognizing that few U.S. universities offer structured coffee education, Gonthier developed a program that integrates agriculture, economics, science and culture into a unified academic framework.

  • A Multidisciplinary Approach to Coffee Education

The Coffee, Science and Culture Certificate provides students with a comprehensive view of the coffee value chain. Coursework addresses:

The history and cultural significance of coffee

Global trade and smallholder production systems

Roasting science and brewing techniques

Sensory analysis and flavor evaluation

Two core undergraduate courses anchor the program:

Not Just Coffee, which examines coffee’s historical roots and cultural impact

Coffee Sensory Science, focused on flavor perception, tasting methodology and quality assessment

  • The UK Coffee Lab: Hands-On Training

Practical learning takes place at the UK Coffee Lab roastery, located at the university’s Horticulture Research Farm (South Farm). There, students observe roasting in action, study coffee varieties and analyze how roast profiles influence aroma, acidity, body and overall cup character.

The lab and curriculum were developed with the support of Briana Bazile, part-time instructor and graduate fellow in the Gonthier Agroecology Lab, and Viktor Halmos, research analyst at Martin-Gatton CAFE and alumnus of the Department of Natural Resources and Environmental Science.

  • Launch Timeline

Pending final approval, undergraduate students are expected to begin enrolling in the Coffee, Science and Culture Certificate in Fall 2026.

For more information about the certificate program or the UK Coffee Lab, inquiries can be directed to David Gonthier at [email protected]
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