Brazil seeks new markets for its specialty coffees due to the drop in exports

Brazil is working to expand into new markets for its specialty coffees, such as middle East and the east of Asiato compensate for the drop in exports of its best grains.

The export of Brazilian differentiated coffees has fallen by 14.9% since 2019, according to data from the Brazilian Coffee Exporters Council (Cecafé).

Sales to traditional markets are still feeling the consequences of confinement, when many cafes closed, reducing “the consumption of differentiated coffees, which is still carried out mainly outside the home”as explained by Paulo André Kawasaki, spokesperson for Cecafé.

Brazil produces 8 million bags of specialty coffees each year, according to the Brazilian Specialty Coffee Association (BSCA) and exports 80% from the same.

The average price of a bag of differentiated coffee, a category that includes specialty coffees along with others that have some sustainability certificate, is 1,140 reais (US$ 233), a value that exceeds it by 187 reais (US$ 38) to normal coffee.

In this context of declining exports, the executive director of the BSCA, Vinícius Estrela, observes an encouraging trend in expansion towards the Middle East and East Asia, which are growing “vigorously” due to the transformation of coffee consumption habits after the pandemic.

In the case of the United Arab Emirates, imports of this type of product grew by 30% in 2022, according to data collected by the association led by Estrela.

From the BSCA they also observe a growth in “interest of the Chinese market in Brazil”which is reflected in the number of professionals in the country who attend events related to this product.

A change in tastes in coffee consumption

The pandemic caused a significant change in consumption habits, which has become a promising opportunity for specialty coffees of Brazilian origin, despite the fact that they had a drop in 9.6% in exports in the last year.

In Estrela’s words, the return to drinking coffee outside the home after months of preparing it at home has generated a longing in people for new experiences.

“Now there is a search for what makes a coffee different, which is creating more opportunities for small businesses”, he declares. An illustrative example is found in Japan, a country where sweet or chocolate-like flavor profiles were traditionally preferred.

However, after confinement, part of the population began to be interested in “more exotic coffees, such as fermented, more liquorous or acidic coffees,” says Estrela.

Variations in consolidated markets

The tendency to seek novelty has also had an impact on the most consolidated coffee markets, such as the United States, a country that purchases approximately twenty% of the special category from Brazilian coffee producers.

“These markets are looking for differentiation, so they are buying very well-rated coffees or with sensory profiles that are different from the traditional one,” points out the director of the BSCA.

Another phenomenon that the association has analyzed is the increase in businesses focused on specialty coffee, whether cafeterias or micro-roasters.

This is the case of Spain, a country that “Import has been progressively increasing until reaching double figures this year,” concludes Estrela.