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Coffee Exchange to be established in Yunnan Free Trade Zone of China

Published: 2026-02-25 Author: World Gafei

Last Updated: 2026/02/25, Pacorini, a well-known international warehousing operator in Italy, is threatening to join hands with the Shanghai agricultural products market to set up Asia's first coffee exchange in the Shanghai free trade zone. However, on October 28, Kunming, Yunnan Province, first announced the listing of the Kunming Coffee Exchange Center, with ambitions to become the world's third largest coffee exchange after New York and London. The first Asian name falls by the side.

Pacorini, a well-known international warehousing operator in Italy, is threatening to join hands with the Shanghai agricultural products market to set up Asia's first coffee exchange in the Shanghai free trade zone.

However, on October 28, Kunming, Yunnan Province, first announced the listing of the "Kunming Coffee Trading Center", with ambitions to become the world's third largest coffee exchange after New York and London. The name "the first in Asia" is next to Kunming, but the Shanghai Free Trade Zone Coffee Exchange, which is actively preparing for construction, is still full of confidence.

In recent years, the development of coffee industry in China can be described as "amazing". In the past five years, China's GDP and coffee data show that GDP is growing at an average annual rate of nearly 10 per cent, while total coffee consumption is growing at an average annual rate of more than 20 per cent. The huge consumer group in China is the pillar of the expansion of the coffee market. Instant coffee "sinking" and chain brands "opening stores" continue to occupy the Chinese market, constantly promoting the expansion of the whole coffee industry.

Calls for the establishment of China's own coffee exchange are growing in the industry, and Shanghai, which has a free trade zone, has undoubtedly become a popular option.

The Chinese market has great potential.

With the rapid development of China's economy, coffee consumption in Chinese cities is gradually associated with modern life, driving the rapid increase of coffee consumption and forming a huge potential consumption market.

Relevant industry data show that the space of China's coffee market will continue to expand. China's coffee market will enter a period of rapid growth in the next 10 years, and its consumption is expected to reach 300 billion yuan by 2020.

Lin Kuangshi, Pacorini Asia-Pacific Regional Director, admitted in an exclusive interview with the International Finance News that the Asia-Pacific region has now become an indispensable part of the coffee industry. "not only in China, but also in India, the coffee market is also growing year by year. Japan has a more mature coffee market. Coffee is becoming more and more popular in South Korea. Coffee has been integrated into the living habits of Asians." Lin Kuangshi pointed out that in Japan, for example, as Asian countries, Japan and China also use tea as the main drink, and the Japanese tea ceremony is famous all over the world, but few people may know that coffee sales in Japan have surpassed those in Europe. Vietnam, the world's second largest producer of coffee beans after Brazil, has also seen its consumer production weight rise year after year. Nevertheless, there has been no mature coffee market in Asia. Lin Kuangshi said that Asia needs a sound trading market to integrate the demand for coffee in various countries. "Asia is not only growing coffee production, but also the region with the fastest growth in coffee consumption in the world. The annual growth of coffee sales is about 3% in the world and more than 15% in Asia, while China has a particularly huge market potential because of its low starting point and large consumer groups. " Of course, Pacorini also sees the development potential of RMB pricing and wants to firmly seize the opportunity of RMB internationalization.

After careful consideration, Singaporean Lin Kuangshi finally decided to set up a coffee exchange in Shanghai. "Shanghai is the distribution center of Asia and plays an important role in the entire Asia-Pacific region." Lin Kuangshi explained, "it is not limited to coffee, when enterprises choose strategic locations, local supporting communications, financial institutions and other infrastructure are very important." The development of a free trade zone in Shanghai is not only for domestic enterprises, but also conducive to the expansion of business to the surrounding countries and regions, which is consistent with our demand. "