The first wave of instant coffee in the world is not in South Korea, and its market share is down 9.4% from the same period last year.

China Economic Network, Beijing, Dec. 8 (Reporter Wu Jing) according to Yonhap news agency, the industry data released by South Korea's Ministry of Agriculture, Food and Rural Affairs (Ministry for Agriculture, Food and Rural Affairs, hereinafter referred to as MAFRA) on Tuesday showed that although South Korea's total coffee consumption showed an upward trend in 2015, the market share of instant coffee continued to decline. More and more Koreans like to patronize coffee shops or buy other types of coffee drinks.

Retail sales of instant coffee in South Korea this year totaled 1.05 trillion won ($895.6 million), down 9.4% from the same period last year and 14.7% from the same period in 2012, according to the data.

Total sales of instant coffee in September were 751.3 billion won, down 5.7 per cent from a year earlier, according to MAFRA.

It is reported that more than 80 per cent of the market share of instant coffee in South Korea has long been occupied by Dongsuh Foods, with Nanyang Dairy (Namyang Dairy Products) and Nestle Korea ranking second and third respectively, with a market share of 12 per cent and 4.2 per cent respectively.

Instant coffee, which has been popular in South Korea for decades, is no longer popular today, while high-end coffee shops are springing up all over the country, offering freshly ground coffee and espresso drinks, which are popular among young people. At the same time, other coffee products, such as ready-to-drink coffee and coffee capsules, also divert some consumers.

In addition, instant coffee has been criticized for its high sugar and fat cream problems, prompting coffee manufacturers to regain market confidence by reducing sugar intake and looking for healthier alternatives.

According to the Korea Customs and Trade Development Institute, South Korean adults consume an average of 341 cups of coffee a year, an increase of 23.1% over 2009.

Source: China Economic Network

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