INSTANT BEVERAGE PREMIXES MARKET ANALYSIS

Regional Analysis

• Asia Pacific is expected to be the largest market in the instant beverage premixes over the forecast period. India and China are projected to be the growth engines in the region. This is due to traditional inclination of the populace towards coffee and increasing number of manufacturers setting up production facilities in the region. According to the government of India, among the total consumption of coffee, instant coffee comprises 57%. Moreover, in 2016, Nestle India launched Nescafe Sunrise Insta-Filter, to expand their business in the Indian coffee market. This product offers the taste of filter coffee with a convenience of an instant coffee. In 2017, Tata Coffee Limited, subsidiary of Tata Group, announced to set up an instant coffee plant in Vietnam with a capacity of 5,000 metric tons per annum. This has resulted in growth of the instant coffee segment in Asia Pacific, further driving growth of the instant beverage premixes market.
• Europe is expected to be the second largest region in terms of revenue growth in the global instant beverage premixes market, owing to rampant increase in consumption of instant tea and coffee in this region. According to Coherent Market Insights, Russia is one of the biggest tea markets around 88% of the Russians consuming tea. This is further resulting in rise in number of instant tea premix consumers in Russia and thereby, significantly contributing to growth of the Europe instant beverage premix market.
• North America is projected to exhibit significant growth in the instant beverage premixes market, owing to increasing working population and presence of major market players in this region. Major players in this region are focusing on expanding their business in the emerging countries of Asia Pacific and Africa. For Instance, in 2017, The Kraft Heinz Co. entered into an agreement with Suntory Beverage & Food Ltd. — a Kotobuki Realty company — to acquire its instant coffee business and Cerebos food business in New Zealand and Australia. Moreover, in 2016, Jacobs Douwe Egberts BV — a Mondelez International company — entered into agreement to acquire Super Group’s instant food and beverage firm for US$ 1.09 billion.