The price of coffee and beans in China showed an upward trend in 2014.

Affected by extreme weather, the global supply and demand of coffee beans, the raw material of coffee, has been challenged this year. Multi-party data show that due to the main producing areas of coffee beans, such as Brazil, affected by drought, diseases and insect pests and other factors, coffee bean production has dropped sharply this year, resulting in coffee beans in short supply and prices showing an upward trend.

At present, it has also entered the picking season of domestic coffee beans. Yesterday (November 25), Hu Lu, deputy secretary general of the Yunnan Coffee Industry Association, said in an interview with the Daily Economic News that the current harvest of coffee beans in Yunnan Province is expected to increase by 30% to 40% over previous years, and the price is double that of last year.

The supply of coffee in the main producing areas has been affected, and coffee beans made in China have become an emerging force in supply. Foreign media quoted PIERS, a transportation information service, as saying that Starbucks imported nearly 14000 bags of Arabica coffee beans from China to the United States in the first nine months of this year, more than five times the total imported last year.

The output of coffee beans in the main producing areas has dropped sharply.

Since the beginning of this year, Brazil, the world's largest coffee producer, has been hit by a severe drought, which has hit the Brazilian coffee growing industry and sharply reduced coffee bean production, which in turn has affected the global price of coffee beans.

The Brazilian Coffee Association expects Brazilian coffee bean production to fall 18 per cent to 40.1 million bags by the end of next month's harvest, compared with a 3.1 per cent year-on-year decline last year.

Hu Lu told reporters that major coffee bean producing areas in the world, such as Brazil and other parts of South America, are facing drought, diseases and insect pests, resulting in an imbalance between supply and demand, leading to a rise in the price of coffee beans. "although the production of coffee beans in Yunnan has increased this year, it still cannot make up for the shortage of coffee beans in the world."

Data show that Brazil, as the world's largest supplier of coffee beans, supplies about 40% of the coffee beans to the global coffee industry, and its market performance is also directly reflected in the global coffee futures price. The reporter learned that from the beginning of this year, the price of Arabica coffee futures has risen all the way, and some analysts have estimated that the futures price will rise to 2.25 US dollars / pound by the end of the year.

Compared with Brazil's coffee bean production, China's coffee bean market performance is very "gratifying". At present, more than 90% of coffee beans in China are produced in Yunnan Province, a major coffee growing province.

Hu Lu said that Yunnan coffee beans have recently entered the picking season. Due to the expansion of the planting area this year, the output has also increased a lot. It is expected to produce 120000 tons this year, an increase of 40, 000 to 50, 000 tons over previous years, an increase of about 30% and 40%.

Moreover, the price of coffee beans in Yunnan is much higher than in previous years because of changes in supply and demand. According to Hu Lu, the current purchase price of coffee beans is 25 yuan / kg, double that of last year.

Potential of Coffee consumption in China

Due to the imbalance between global coffee supply and demand, Chinese coffee beans have become one of the emerging forces in the global coffee bean supply in recent years. Global coffee giants such as Starbucks and Nestl é have increased their local purchases in Yunnan to meet strong market demand.

"the purchasing quantity of large enterprises in Yunnan accounts for 10% of Yunnan coffee beans, about 10,000 tons, and shows a trend of increasing every year." "on the one hand, the main reason is the increasing demand from the giants, and on the other hand, coffee produced in Yunnan is becoming more and more recognized," Hu said. "

Recently, foreign media quoted data from PIERS, a transportation information service, as saying that Starbucks imported nearly 14000 bags of Arabica coffee beans from China to the United States in the first nine months of this year, more than five times the total imported last year.

The United States is expected to import nearly 75000 bags of coffee beans from China in 2014, up from 2013 and well above the average of 5700 bags a decade ago, according to the International Trade Commission.

In addition to the coffee beans made in China, the end consumption of coffee in China also shows great potential. In recent years, China's coffee consumption market has skyrocketed at an annual rate of 25%. Some experts predict that China will become the world's largest coffee consumption market within 10 years.

A restaurant chain said, "Coffee sales formats for different consumers and different positioning will emerge one after another in the future." The popularization of coffee consumption will make the coffee marketing mode develop in a diversified direction. "

With the continuous growth of coffee consumption in China, the number of cafes is also growing. Statistics show that the number of teahouses in China has increased by 4% in the past five years, while the number of cafes has grown rapidly from more than 10,000 to more than 30,000.

Howard Schultz, chairman and CEO of Starbucks, said at a recent performance presentation that Chinese consumer participation in the Starbucks brand is the highest in history and that China is already Starbucks' fastest-growing market. It is reported that Starbucks opened 120 new stores in China in the fourth quarter alone, setting a record for the fourth quarter.

Some people in the industry told reporters that in addition to the fast-growing market, the huge profits of the coffee industry is also an important reason to attract competitors to join.