How a Brazilian Coffee Brand Entered China’s Competitive Market

When Brazilian coffee brand TABOM CAFE first tried to break into China, it faced a harsh reality: high-end coffee shelves were crowded with global giants like Starbucks and illy, while independent roasters and importers had little interest in an unknown name from Brazil. For the company’s general manager in Shanghai, She Qiongzhi, the big question wasn’t just how to sell coffee beans—but whether the business could survive at all.

The short answer: yes, but not by selling retail. After failing to secure distributors or gain supermarket shelf space, TABOM CAFE carved out a foothold through the foodservice channel—supplying restaurants rather than chasing end consumers directly.

A New Brazilian Coffee Brand in a Crowded Market

In late 2010, She Qiongzhi joined Hebang Trading (Shanghai) Co., Ltd. as general manager. The company, headquartered in Brazil, had just entered China. With only three employees—including She, his partner, and an assistant—working out of a modest fourth-floor office in Shanghai’s Xuhui District, the brand TABOM CAFE was virtually unheard of. The challenge? Establishing a presence for both the company and its coffee in a market dominated by well-known international names.

Why Brazilian Coffee Struggles in China

Brazil is the world’s largest coffee producer, responsible for 35% of global output. Its coffee industry has developed highly efficient, low-cost production methods. Most Brazilian coffee is grown on large, flat plantations without shade or high altitudes. The country favors modified Arabica varieties that can be machine-harvested and processed using semi-washed (pulped natural) methods. These practices yield coffee that is low in acidity, with heavy nuttiness, chocolate notes, and a balanced body—ideal for espresso blends and everyday drinking. But while Brazilian coffee is affordable and reliable, it rarely achieves premium recognition.

Despite these strengths, Brazilian coffee brands struggle with marketing. “Brazilians are great at growing coffee, but not at selling it,” explained She Qiongzhi. This marketing gap is a key reason why no major Brazilian coffee brand has achieved global fame—and why TABOM CAFE started from scratch in China.

High Prices and Distribution Barriers

TABOM CAFE positioned itself as a premium coffee brand. On platforms like JD.com, its least expensive traditional coffee (454g) retailed for around 90 RMB, while its gourmet offerings reached 158 RMB for the same size. These prices were significantly higher than average Brazilian coffee seen in blends, making it a hard sell against both cheaper options and well-established premium competitors.

Initially, the company tried to enter through regional distributors. But China’s coffee distribution market is split: one segment serves high-end imported brands like illy and LAVAZZA, while the other focuses on low-cost domestic private labels. Neither was interested in taking on an unfamiliar, mid-to-high priced Brazilian brand. Attempts to enter supermarkets or five-star hotels faced prohibitive slotting fees that TABOM CAFE couldn’t afford.

Success Through Foodservice Channels

With retail and distribution channels blocked, TABOM CAFE shifted strategy. The company targeted the foodservice sector—restaurants and cafes—as its entry point. This approach allowed TABOM CAFE to bypass costly retail margins and distributor markups, offering its coffee to chefs and F&B operators who were more willing to experiment with quality beans without the pressure of consumer branding.

This move proved crucial. By focusing on B2B relationships within the foodservice industry, TABOM CAFE established a practical path to growth without relying on mass-market visibility or expensive retail placements.

Frequently Asked Questions

What is TABOM CAFE?

TABOM CAFE is a Brazilian coffee brand owned by Hebang Trading (Shanghai) Co., Ltd., a Brazilian company that entered the Chinese market in 2010. It offers premium single-origin and specialty-grade Brazilian coffee beans, though it initially struggled to gain recognition in China.

Why is Brazilian coffee generally inexpensive?

Brazilian coffee is typically low-cost due to large-scale, mechanized farming on flat plantations, efficient harvesting, and cost-effective processing methods like semi-washed (pulped natural) techniques. These factors allow for high yields and consistent quality at lower prices.

Why is it hard for Brazilian coffee brands to succeed in China?

Brazilian coffee brands face challenges in China due to a lack of marketing expertise, strong competition from global brands like Starbucks and illy, and consumer price sensitivity. Most Chinese distributors are already committed to established premium or low-cost brands, leaving little room for unknown Brazilian entrants.

How did TABOM CAFE enter the Chinese market?

TABOM CAFE first attempted to enter through distributors and retail channels but faced rejection due to its unknown brand status and higher price points. Eventually, it succeeded by targeting the foodservice sector—supplying restaurants and cafes instead of selling directly to consumers.

Where can I buy Brazilian coffee beans in China?

Brazilian coffee beans are widely available in China through online retailers like JD.com, as well as specialty coffee shops and importers. FrontStreet Coffee also offers several Brazilian single-origin options, including the celebrated Brazil Queen Manor.

Recommended FrontStreet Beans for Exploring Brazilian Coffee

For drinkers curious about Brazilian coffee, FrontStreet Coffee offers several notable options. The Brazil Queen Manor comes from the high-altitude Mogiana region and is made with Yellow Bourbon beans. It features creamy, nutty, and toasted bread aromas with a clean, low-acid profile—great for pour-over or espresso. FrontStreet’s Black Cocoa Blend also contains a significant portion of Brazilian beans, contributing to its smooth, sweet, and chocolatey character, ideal for milk drinks. Both showcase the balanced, approachable nature of well-grown Brazilian coffee. Freshly roasted within 5 days · Orders placed before 17:00 ship the same day · Next-day delivery across most of Guangdong Province.