May/June 2025
REINVENTING A
classic Head of Nescafé on remaining relevant in a rapidly progressing market
Frankencoffee or supply chain solution?
Lab-grown coffee takes the commercial leap
The alternative tax Café chains across the US drop alternative milk charges
All eyes on East Africa
After extreme weather, the region could be set for recovery
gcrmag.com
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CONTENTS M AY/ J U N E 2 0 2 5
18 48 The alternative tax
COVER STORY 10 Reinventing a classic
Don Howat, Nestlé Vice President and Global Category Lead for Nescafé, on remaining relevant in a rapidly progressing market.
What’s causing alternative milk charges to be rapidly dropped at café chains across the United States?
50 Industry matters From expansion at scale to supply chain challenges, 2025’s GCR Leaders Symposium explored key issues.
“There’s no hard and fast rules when identifying new trends.”
INDUSTRY INSIGHTS
Don Howat
22 Artistry meets automation
GLOBAL LEAD NESCAFÉ
Thermoplan on how its WCC partnership blends technology with craftsmanship.
FEATURES
24 Baked fresh, brewed better
15 Frankencoffee or supply solution? The biotech company putting forward its cellular agriculture tech as a solution to the industry’s supply issues.
18 East Africa eyes recovery After five years of extreme weather, coffee growers are hopeful the new harvest will bring a small recovery.
26 Mind the gap The industry is banding together to create the next generation of climateproof coffees amid a funding gap.
41 Regions on the rise: Nepal GCR spotlights the coffee origin and its unique geographies that give rise to complex flavour profiles.
10
As competition for coffee sales grows, one French bakery chain details how it creates great coffee experiences.
44 Coffee for all How Eversys’ Shotmaster machine is empowering one café owner to make specialty coffee more affordable.
46 The Colombian connection Iván Andrés Galindo of Almacafé discusses the Colombian coffee sector’s unique blend of tradition and innovation.
SUSTAINABILITY SHOWCASE 30 Environmental economics IMA highlights how its roasting
44
technology can improve energy efficiency while maintaining quality.
32 For cup and planet How Unic and its parent company Electrolux Professional Group are charging towards their ambitious climate targets.
34 Tools for change ECOM introduces Green Meter tool, its new carbon emissions calculator.
36 Prioritising the planet Simonelli Group’s CEO discusses the company’s eco-friendly initiatives and new energy-saving technology.
38 Signed, sealed, sustainable How Syntegon ensures its customers are regulation-ready with its sustainable packaging portfolio and tailored solutions.
LAST WORD 58 From bean to bar The Brazilian startup turning coffee husk into chocolate products.
REGULARS 04 Editor’s note 06 News in brief 54 Marketplace 56 Diary dashboard
48
GLOBAL COFFEE REPORT
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EDITOR’S NOTE GL OBA L C OF F E E R E P ORT
CHIEF OPERATING OFFICER Christine Clancy
christine.clancy@primecreative.com.au PUBLISHER
Sarah Baker sarah.baker@primecreative.com.au
MANAGING EDITOR
Myles Hume myles.hume@primecreative.com.au
EDITOR
Opportunities for optimism
S
ustainability and traceability are so ingrained in the coffee industry now that they’re topics we cover regularly in Global Coffee Report. However, it’s this integral connection that warrants a dedicated issue each year to explore in-depth the challenges the industry faces, the solutions being masterminded, and the people dedicating their careers to reducing coffee’s impact on the planet. At the heart of this edition you’ll find the sustainability showcase, in which coffee-connected companies across the world share what sustainability means to them – whether it’s affirming their carbon reduction goals and the roadmap to get there or the ground-breaking technology being used to accurately calculate the carbon impact of the complex supply chain. What’s clear from these stories is that momentum is building to make the industry greener. Governments across the world are implementing new legislation that will require companies to report their carbon footprint while consumers are increasingly demanding products with minimal impact on the planet. Yet, despite these external pressures, you’ll also discover that many companies started making these changes decades ago, driven by internal factors and leaders who care about their influence. Innovation is key to progress, and something that caught my eye earlier this year was the introduction of lab-grown coffee as an alternative to tradition cultivation. Coffeesai, a subsidiary of
Israeli biotech company Pluri, recently introduced its cellular agriculture technology as a solution to the industry’s climate and supply woes. The company says it can produce the same amount of coffee cultivated by 1000 plants in just three weeks – a process that would take years using traditional methods. We spoke to CEO Ami Herman about the technology’s potential and whether coffee drinkers would be comfortable with a lab-grown brew. What’s more, our on-the-ground reporter Maja Wallengren shares an update from East Africa, which is eyeing a small recovery following five years of extreme drought and heat. It’s a region that’s being closely watched by the industry, with Ethiopia’s Prime Minister Abiy Ahmed recently reporting that in the past five years the country has doubled its annual coffee production from 500,000 tonnes to more than one million tonnes. Talking about climate change can often feel overwhelming and discouraging, like swimming against an increasingly powerful current. But the stories covered in this issue provide an opportunity for optimism. There are thousands of people in the industry who are working to ensure everyone who wants to enjoy a morning cup of coffee will be able to afford one in 2050. GCR
Kathryn Lewis Editor, Global Coffee Report
Kathryn Lewis kathryn.lewis@primecreative.com.au
JOURNALIST
April Hawksworth april.hawksworth@primecreative.com.au
ART DIRECTOR/DESIGN Daz Woolley
daz.woolley@primecreative.com.au HEAD OF DESIGN Blake Storey
blake.storey@primecreative.com.au BUSINESS DEVELOPMENT AND SALES MANAGER Charlotte Murphy
charlotte.murphy@primecreative.com.au CLIENT SUCCESS Cailtin Pillay
caitlin.pillay@primecreative.com.au CONTRIBUTORS Maja Wallengren
PHOTOGRAPHY Elsa Mesot
HEAD OFFICE Prime Creative Pty Ltd 379 Docklands Drive, Docklands, Victoria 3008 p: +61 3 9690 8766 enquiries@primecreative.com.au gcrmag.com SUBSCRIPTIONS +61 3 9690 8766 subscriptions@primecreative.com.au Global Coffee Report Magazine is available by subscription from the publisher. The rights of refusal are reserved by the publisher.
ARTICLES
All articles submitted for publication become the property of the publisher. The Editor reserves the right to adjust any article to conform with the magazine format.
COPYRIGHT
Global Coffee Report is owned and published by Prime Creative Media. All material in Global Coffee Report Magazine is copyright and no part may be reproduced or copied in any form or by any means (graphic, electronic or mechanical including information and retrieval systems) without written permission of the publisher. The Editor welcomes contributions but reserves the right to accept or reject any material. While every effort has been made to ensure the accuracy of information Prime Creative Media will not accept responsibility for errors or omissions or for any consequences arising from reliance on information published. The opinions expressed in Global Coffee Report are not necessarily the opinions of, or endorsed by the publisher unless otherwise stated.
4 GLOBAL COFFEE REPORT
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IT’S ALL ABOUT THE ART OF COFFEE EXTRACTION, COME AND TASTE. Specialty Coffee Expo
World of Coffee
HOST
Houston
Geneva
Milano
April 25-27 Booth #1722
June 26-28 Booth #2036
October 17-21
unic-espresso.com
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NEWS in brief
26
AFRICA Climate change is taking a toll across East Africa, but unlike most of the world’s coffee producing countries that primarily have been affected by severe drought, dryness and extreme heat, in Tanzania the problems for the coffee crop development have predominantly been from excess rains. The official Tanzania Coffee Board has forecast the 2024-25 harvest to reach about 1.3 million 60-kilogram bags, a small improvement from output of about 1.2 million bags in the 2023-24 cycle. Of this, a little more than 60 per cent was Arabica coffee and the balance was Robusta beans of the Canephora species. If the mid-harvest results for average yields from Tanzania holds through the fly crop, the new 2024-25 crop will bring a whisper of hope to the global coffee market that is facing an unprecedented supply deficit in the hands of massive losses from climate change across near all producing countries. See page 18.
AMERICAS According to data from World Coffee Research (WCR), the global coffee industry could face a supply shortage of millions of bags as early as 2030, as demand for coffee steadily increases amid the challenges of climate change. With more than 200 members across 30 countries, WCR is urging support for agricultural initiatives and the development of climate-resilient coffee varieties to future-proof the sector. What’s more, WCR says agricultural research and development (R&D) to address this issue is lacking, with an estimated annual underfunding of US$452 million. See page 26. Coffee is critical to Colombia. It accounts for around 7 per cent of the country’s GDP and almost 12 per cent of its total agricultural export. Coffee cultivation employs around 2.5 million of its 52.3 million population, with the 2024 Colombian crop valued at more than 14 trillion pesos (US$3.14 billion). Almacafé has played an important role in Colombia’s coffee industry since 1965. As
World Coffee Research is urging support for agricultural initiatives and the development of climate-resilient coffee varieties. Image: Yober Rivera.
the logistics arm of the Colombia Coffee Growers Federation (FNC), it’s main purpose is to provide efficiency and quality in the storage, handling, and distribution of Colombian coffee. See page 46. Since the late 2010s, when soy, oat, almond, and other milk substitutes increasingly became commonplace on coffee menus, most cafés have charged extra for their use, with many stating this was due to plant-based milks being more expensive than dairy. And the data suggest this is the case. Retail statistics from 2022 revealed that on average plant-based milk cost US$7.87 per gallon, while on average cow’s milk cost $4.21 per gallon. Despite dairy milk production being much more resource-intensive than the alternative milk industry, milk alternatives are thought to be more expensive for a number of
US$ 452 million
The estimated annual underfunding of coffee agriculture R&D.
reasons, including the financial support the dairy industry receives from the US Federal Government. See page 48.
ASIA-PACIFIC Over the past decade, extreme weather events across the Bean Belt have seriously impacted the amount of coffee being produced. At the start of 2025, the International Coffee Organization reported green bean exports in January 2025 totalled 9.72 million bags, down 14.2 per cent from January 2024 – a trend that’s expected to persist while demand continues to outpace supply. The team at Coffeesai, a subsidiary of Pluri Biotech, believe their cell-based solution could be the answer to the coffee industry’s supply concerns. Utilising proprietary 3D cell expansion technology originally developed for the pharmaceutical and therapeutical industries, Coffeesai’s scientists say they have developed a cellular agriculture method that can produce the coffee equivalent of 1000 trees in just three weeks – a process that would normally take years, with new coffee trees baring fruit after three to five years. See page 15.
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While Nepal may not be a major contender in the global coffee market, with an estimated annual output of 400 to 500 tonnes – dwarfed by Brazil’s 2.68 million tonnes – it stands out for the quality of its production, the unique geography in which it’s grown, and the processing methods that shape its distinct flavour profile. Of the 75 districts in the country, coffee is cultivated in around 43 with more than 35,000 farmers directly involved. Farms typically range from one acre to one hectare in size, usually located at elevations between 800 and 1600 meters above sea level, making the output primarily microlot coffee. See page 41. Melbourne International Coffee Expo (MICE) welcomed record crowds for its 2025 event, almost doubling last year’s attendance numbers with more than 31,000 coffee professionals and enthusiasts visiting the tradeshow from 20 to 22 March. The first two days
of the event saw industry members convene for breakfast and a networking opportunity before the sell-out GCR Leaders Symposium. Former Global Coffee Report Editor and Prime Creative Media Publisher Sarah Baker moderated the series of panel discussions, which featured industry thought leaders and explored current industry trends and challenges. See page 50.
EUROPE When Don Howat secured his first role at Nestlé in 1989, the coffee industry was almost unrecognisable to what it is today. At the time, freeze-dried was the norm in the United Kingdom (UK), where Howat was part of the marketing team that helped the Nescafé brand further establish itself as a premium product through a series of memorable television adverts. The emergence of coffee shop culture has also been pivotal, according to the
now-Vice President and Global Category Lead, with Starbucks introducing the notion of tailoring the cup to the customer. It’s opened the door to endless creativity and innovation in the sector. More recently, he says the biggest shift has been the emergence of the cold coffee market. “Fifteen years ago, if you had offered a European consumer a cold coffee they may not have drunk it. Starbucks has been pivotal in shifting the mindset on chilled coffee drinks and now it’s being driven by the younger generations,” says Howat. See page 10. Over the course of its 50-year history, Swiss coffee machine manufacturer Thermoplan has cemented its reputation as a pioneer in the coffee industry, first bringing automation to the international market in 1999. Now, as the specialty coffee industry evolves, the company is evolving with it. Since its Black&White4 Competizione automatic espresso machine became the official machine of the World Latte Art Melbourne International Coffee Expo (MICE) 2025 welcomed record crowds. Image: Prime Creative Media.
50 GLOBAL COFFEE REPORT
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NEWS in brief Championships from 2024 to 2027, the company has gained a fresh perspective on the specialty sector. “When the SCA [Specialty Coffee Association] presented this opportunity, it was clear we wanted to dive deeper into this area. As a company, we believe we have created the right equipment for it, and that became the starting point for us to pursue this further,” says Philipp Grammel, Team Leader of the Coffee Academy at Thermoplan. See page 22. For Boulangerie Ange, a bakery chain with locations across France, coffee has always been central to its business model. But as consumer habits shift towards convenience and self-service, Ange faces challenges with differentiation. The answer, according to the bakery chain, lies in creating an experience that goes beyond selling a cup of coffee. “Ange’s slogan, ‘Guardian of the good’, stands for good products, good locations, and good prices. Yet, ‘good’ not only refers to quality but also creating an environment in which customers feel welcome and are inclined to return,” says Nicolas Damery, franchisee of three Ange locations alongside partner Claire Hurand. For the franchise, coffee is a carefully considered part of the customer journey which enhances their experience and drives business success. And for Damery and Hurand, Franke Coffee Systems’ Mytico fully automatic coffee machine was the gateway. See page 24. In recent years, Italian manufacturer IMA Coffee Hub says it has dedicated significant efforts to improving technological solutions that meet the demands of an increasingly complex market and evolving regulations on packaging materials and waste management. At the IMA OpenLab, its network of technological laboratories
800-1600 metres above sea level Typical elevation of a Nepalese coffee farm.
22
Thermoplan’s Black&White4 Competizione became the official machine of the World Latte Art Championships in 2024. Image: Thermoplan.
where daily tests and studies on new packaging materials are conducted, the team have developed new packaging solutions that accommodate a wide range of materials for all types of coffee packaging – from bags to capsules. “An example is our capsule fillers, which are engineered to handle any type of packaging material, from traditional aluminium to compostable options. These systems can be easily configured to optimise the sealing process for each material, ensuring consistently perfect packaging every time,” says Nicola Panzani, CEO of IMA Petroncini and Commercial Director of IMA Coffee Hub. See page 30. Electrolux Professional Group is serious about sustainability. The global food service, beverage, and laundry solutions provider aims to achieve climate neutrality – in which companies reach net-zero greenhouse gas emissions by balancing emissions with removals – in the next five years. It’s not an easy feat for any company, let alone one that works in 110 countries and employs 4300 people. To help reach this target, Electrolux
Professional Group has set itself six sustainable development goals (SDGs), which cover areas including clean and affordable energy, climate action, decent work and economic growth, responsible consumption and production, clean water, and gender equality. See page 32. Governments worldwide are introducing legislation that will require some companies to report their carbon emissions, increasing the demand for accurate primary data. For example, under the upcoming Corporate Reporting Sustainability Direction (CSRD) regulation, some businesses operating in the European Union will be required to report their greenhouse gas emissions, including Scope 3 value chain emissions. At the same time, as consumer awareness of sustainability grows, the need for reliable data on coffee’s carbon footprint becomes even more critical. As part of its commitment to sustainable practices and improving farmer livelihoods, international trading company ECOM has developed a new tool that calculates the carbon footprint of the coffee it sources. Green Meter is a tool based on primary
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data collection and is aligned with the new GHG-Protocol Draft Land Sector and Removals Guidance, the new standard for quantifying all FLAG (Forest, Land and Agriculture) emissions. See page 34. Since 2019, Simonelli Group has reported its Scope 1 and 2 emissions and published an annual sustainability report. The reports highlight how the company has reduced the energy consumption of its headquarters by installing solar panels, switching to 100 per cent renewable energy sources, reducing natural gas consumption by 36 per cent, and increasing self-produced energy by 33 per cent, among other initiatives. “We have just received our 2024 carbon audit, which includes Scope 3 emissions for the first time. Although not yet mandatory, we felt it was important to assess the downstream impacts of our products when in use in cafés,” says CEO Marco Feliziani. “In Scope 3, around 96 per cent of our
impact comes directly from the energy consumption of our espresso machines in coffee shops. Over the past 20 years, we’ve focused on assessing and reducing the energy consumption of our products, conducting Life Cycle Assessment (LCA) studies since 2011, to name just one initiative.” See page 36. With the European Union’s Packaging and Packaging Waste Regulation (PPWR) set to be enforced by 2030, and consumers increasingly demanding eco-friendly alternatives, the multiple material layers used in coffee packaging must meet recycling standards. Given that each component is made from different materials for specific functions, how can roasters ensure their packaging complies with PPWR requirements? The team at Syntegon is helping companies navigate these complexities with their packaging laboratory, expert
Vertical Coffee Bagger PMX 4001. Compact. Sustainable. Future-proof.
consulting services, and industry foresight, ensuring they’re not facing these challenges alone. See page 38. In 2025, consumers can expect to pay around £4.50 (US$5.80) for a specialty flat white in London, United Kingdom. Rising green bean, rent, and energy rates – among other factors – have seen the price of a cup of coffee increase at hospitality venues across the world, with the specialty sector not immune to these pressures. Despite these challenges, when Joseph Lee established Sontag in the heart of London in 2024, he did so with the core aim of making specialty coffee accessible and affordable to everyone. For him, this meant keeping the price of a specialty flat white less than £3.60 (US$4.60) – something rarely seen in the capital city. See page 44.
Rely on the proven machine design of the PMX platform – the compact Vertical Coffee Bagger PMX 4001 ensures premium bag quality for high volumes over the entire life cycle. Further, the robust machine guarantees maximum of utilization for reliable 24 / 7 production processing every packaging material, especially mono materials. Turnkey line solution? Your coffee solution from a single source.
www.syntegon.com
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Don Howat has worked for Nestlé for more than 30 years. Image: Elsa Mesot.
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COVER STORY NESCAFÉ
REINVENTING A
classic
Don Howat, Nestlé Vice President and Global Category Lead for Nescafé, discusses the evolution of the industry, remaining relevant in a rapidly progressing market, and using AI to power a new era of product development. BY KATHRYN LEWIS
W
HEN DON HOWAT secured his
first role at Nestlé in 1989, the coffee industry was almost unrecognisable to what it is today. At the time, instant coffee was the norm in the United Kingdom (UK), where Howat was part of the marketing team that helped the Nescafé brand further establish itself as a premium product through a series of memorable television adverts. “One of the first projects I worked on was the Nescafé love story ad campaign in the late 1980s starring Anthony Head and Sharon Maughan. It became a somewhat iconic series,” Howat tells Global Coffee Report. “In the three decades that have passed since, there have been some pretty seismic shifts in the coffee industry. We’ve moved away from the times when people would buy roast and ground coffee in a bag and leave it in their cupboard for months or years. Consumers have switched on to the importance of the freshness and quality, which has given rise to hot coffee systems such as Nespresso.” The emergence of coffee shop culture has also been pivotal, according to the Vice President and Global Category Lead,
with Starbucks introducing the notion of tailoring the cup to the customer. It’s opened the door to endless creativity and innovation in the sector. More recently, he says the biggest shift has been the emergence of the cold coffee market. “Fifteen years ago, if you had offered a European consumer a cold coffee they may not have drunk it. Starbucks and other coffee shops have been pivotal in shifting the mindset on chilled coffee drinks and now it’s being driven by the younger generations. Yet Nescafé remains as relevant today as it has always been, and we see great growth potential in many markets globally,” he says. “Part of my role now as Global Category Lead for Nescafé is driving our research and development (R&D) department to ensure we are producing global innovations and remaining relevant in the market as trends such as chilled coffee emerge.” Man on the move
Before being appointed head of Nescafé in 2016 and joining the team at the group’s head offices in Vevey, Switzerland, Howat held positions across the world at the brand’s international offices. He’s lived
in Eastern Europe, Malaysia, and the Philippines, and visited more than 60 countries through his role. “A lot of the work I have done has been introducing Nescafé to developing markets and that’s taken me on a very interesting journey,” he says. “When I moved from Eastern Europe to Malaysia, it was a shock to swap -20 degrees for Kuala Lumpur’s hot and humid climate. The biggest difference in these moves has been the culture shift, both generally and in the beverage landscape. When I arrived in the Philippines, for example, there was a big chocolate and juice drink culture, while in Malaysia it was a big Milo market.” One of the company’s main goals over the past few decades has been introducing Nescafé to traditionally non-coffee drinking markets and converting consumers to the joys of coffee. Part of Howat’s role has been embedding himself in these markets and strategising a bespoke plan to grow the brand. “It’s interesting working in different parts of the world and trying to grow the coffee segment because the challenges are different in each place. The consumers are different and so are their beverage GLOBAL COFFEE REPORT
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COVER STORY NESCAFÉ
Nescafé’s Espresso Concentrate was created in response to the rise in interest in chilled coffee beverages. Image: Nestlé.
preferences. My job was to understand that and adapt the strategy,” he says. While each market is unique, he admits there are broad principles that apply to any developing markets when introducing coffee. “Affordability is important, so this is where we’d look at something such as introducing small pack sizes in a market in which that would make it more affordable. You also have to understand what people are drinking at that moment and what insights can help you unlock coffee,” he says. Howat believes the final broad key to success is consumer immersion, listening to the audience and learning about the culture to discover the best angle. From this will come a tailored advertising strategy that will have a much better chance of success. “For example, in Nigeria everyone has a side hustle to complement their income. Coffee is quite a good stimulator and energiser to start the day and think about your side hustle, so we found that was a nice positioning for the role coffee can play in the country,” he says. Emerging markets
Developing new markets still falls under Howat’s remit, despite his move to HQ. So far in 2025 he’s visited India, Thailand, and
China – just three of the markets Nescafé is currently eyeing for expansion. “Coffee consumption in these countries is much lower than in Europe. India, for example, has a deeply ingrained teadrinking culture, but more recently coffee consumption has been rising quite rapidly,” he says. “There is also a huge amount of opportunity in China. Currently, coffee consumption among its almost 1.5 billion population is less than 10 cups per person per year, compared to more than 400 in the UK. That’s a huge number of consumers not drinking coffee.” Africa is another area of interest for the Nescafé team, as well as Latin America. While Mexico is the brand’s biggest market, Howat believes there are still many markets in the region in which the brand has opportunity to expand. “We tend to use Mexico as our lighthouse in that part of the world. In Mexico the product is called Nescafé Clasico and the recipe is slightly different as consumers there tend to drink it black with sugar,” he says. While Howat and his team are constantly exploring regions in which their product can grow, Nescafé is already truly a global brand, officially available in 180 of the 195 countries in the world. Despite this enviable
reach, each Nescafé product is tailored to the market in which it’s sold. “In developing markets, the products tend to be a little milder in strength and over time they may gradually become more robust. We do a lot of work in sensory insight and understanding the preparation methods generally used in that region,” says Howat. “And then in established regions, tastes often change over time, so we have to adapt the recipes. When I was growing up in the UK, my mother prepared coffee on the stove with milk instead of water, and three spoons of sugar. Today, people in the UK have moved to used hot water and skimmed milk, and broadly don’t add sugar. Our coffee has had to adapt to these shifts in preparation.” Like all businesses in the industry, Nescafé has had to navigate the recent volatility in the coffee market. Producing a product with such a distinct flavour that is loved by so many consumers, its unique challenge has been keeping the product consistent during supply and demand imbalances. “In my career I’ve been through many of the coffee pricing cycles. I’ve witnessed frosts in Brazil drive prices up and then seen them tumble back down again. What’s been unusual this time is the sustained increase,” Howat says.
Mexico is the brand’s biggest market. Image: Nestlé.
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“In regard to sourcing, we have flexibility to explore different origins that can provide similar taste profiles for our blends. The priority is to have a consistent taste that gives us flexibility to navigate the current economic context. “On coffee market dynamics, things are a little volatile at the moment so it’s difficult to predict where they will go in the future.” Howat believes Nescafé has in fact done quite well over the past few years, despite the market volatility, because it provides “a very affordable cup of coffee” compared to purchasing out of home. “We have focused on our communication and reminding consumers there are 55 cups of coffee in a regular jar,” he says. “We also try as much as possible to find cost savings all the way through our supply chain. A huge part of my job over the past years has been looking at the areas in which we can be more efficient.” Cold comfort
Another key part of Howat’s current role is overseeing Nescafé’s global innovation. With R&D centres around the world, the brand aims to be at the forefront of technology and innovation to continue to improve its products. A new element of the process that he’s particularly excited about is the integration of AI tools to generate fast prototype ideas. “Integrating the use of AI in R&D has been a huge learning curve for us. We use AI to scour social media and other sources to identify global trends, which is much more efficient than a person doing it manually,” he says. “We also use AI to write concepts. Previously, we would all stand around a flip chart to try and craft the wording. Now, we simply need to input the key words we want to include and then refine the results. It’s much faster and more effective.” While AI has been beneficial in the R&D process, Howat stresses the human element is still integral. “It’s the questions asked and the input that’s fed to the computer that directs the quality of the material the AI program produces,” he says. “Using this technology has allowed us to speed up the product development process. That’s another thing that has changed almost completely during my career – it used to take a relatively long time to launch a new product, while now an idea can be turned into a product in a matter of months.” He highlights Nescafé’s Espresso
Concentrate as one of the new launches that has benefited from the company’s accelerated R&D process. “Within a few months of coming up with the idea, we were testing it in Kroger grocery stores in the United States (US). Within six months, after making some tweaks, we had a fully packaged product that was ready for market. If you’d asked me a few years ago, I would have said that’s impossible,” he says. The brand’s line of liquid concentrate coffees was developed in response to the emerging international preference for chilled coffee beverages. Howat says it’s hard to predict the trends that will stick and those that will fade. “There are some trends you follow that turn out to be quite small and others you start to get the feeling are going to be big,” he says. “We had started to see liquid concentrates emerge in the US and China, and these were two of the first countries we launched the product in.” Another area of opportunity is functional beverages, such as collagen, protein, and mushroom coffees. “It’s an interesting space, but the key is working out if it’s going to remain niche or become a much bigger trend. There’s no hard and fast rule when identifying trends.” As well as looking to social media for these emerging trends, the brand also pays close attention to the independent and
specialty coffee markets. In fact, as part of its R&D team, Nescafé employs a champion barista who regularly comes into the lab to share the latest updates and trends from the specialty scene. Sustainability in action
When looking to the future of the business, Howat is eager for Nescafé to continue its sustainability efforts and gain more recognition for the projects it has established and supports. “Sustainability has been part of our DNA for the past 30 years. For example, at origin we have many agronomists on the ground advising on how to improve yield, practices, and the conditions for farmers,” he says. “Something that makes us unique is our R&D centre in Tours, France, that’s dedicated to developing more climate-resilient coffee varieties. We have distributed millions of plantlets to farmers across the world.” In 2022, Nestlé launched Nescafé Plan 2030 as a roadmap to help drive regenerative agriculture, reduce greenhouse gas emissions, and improve farmers’ livelihoods. As part of the plan, the brand has pledged to invest more than CHF1 billion (US$1.14 billion) over eight years. “My hope over the next few years is that we can bring our sustainability ambitions to life for our consumers,” he says. “I also hope to continue to surprise people with our innovations and make the most of our amazing R&D team.” GCR
A farm in Vietnam from which Nescafé sources its coffee through the Nescafé Plan. Image: Nestlé.
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FEATURE
Images: Coffeesai.
L A B - GROW N C OF F E E
Coffeesai uses 3D cell expansion technology to produce the coffee equivalent of 1000 trees in just three weeks.
Frankencoffee or supply solution? Could cellular agriculture solve coffee’s climate woes? One biotech company believes its technology provides a solution to the industry’s supply issues.
C
OFFEE IS a very particular plant. To grow, it prefers a tropical or sub-tropical climate, some varieties require high altitudes, frost often spells disaster, and abundant sunshine, rain, and fertile soil are non-negotiables. The plant’s fastidious nature is why most of the world’s coffee is produced in what’s referred to as the Bean Belt, a region hugging the equator between the Tropics of Cancer and Capricorn that includes parts of Central and South America, Africa, the Middle East, and Asia. With much of
the coffee grown in this region exported to the rest of the world that doesn’t have the climate to cultivate it, the industry has an often long and sometimes complex supply chain. What’s more, because coffee thrives in these very specific conditions, it is highly vulnerable to the effects of climate change – it doesn’t have much tolerance when the temperature drops lower than normal or when drought keeps rain away for longer. Over the past decade, extreme weather events across the Bean Belt have seriously
impacted the amount of coffee being produced, which in turn has caused prices to rise. At the start of 2025, the International Coffee Organization reported green bean exports in January 2025 totalled 9.72 million bags, down 14.2 per cent from January 2024 – a trend that’s expected to persist while demand continues to outpace supply. The industry is at a sticking point. But what if coffee could be grown anywhere and without the worry of shifting climatic conditions? The team at Coffeesai, a subsidiary of Pluri Biotech, believe their GLOBAL COFFEE REPORT
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FEATURE L A B - GROW N C OF F E E
The target market for Coffeesai’s product is the mass coffee industry.
cell-based solution could be the answer to the coffee industry’s supply concerns. Utilising Pluri’s proprietary 3D cell expansion technology, originally developed for the pharmaceutical and therapeutical industries, Coffeesai’s scientists say they have developed a cellular agriculture method that can produce the coffee equivalent of 1000 trees in just three weeks – a process that would normally take years, with new coffee trees bearing fruit after three to five years. “The coffee industry is facing a very significant challenge,” says Ami Herman, CEO of Coffeesai. “The erratic climate is greatly impacting production in the coffee growing regions that are already part of a very complex supply chain. What we have developed is a novel way of coffee production that’s free of the concerns of climate change and the supply chain.” The Coffeesai process takes the plantation into a laboratory environment. It starts
with isolating the cells from the specific coffee plant to be reproduced and then duplicating those cells in a bioreactor. After two to three weeks, the desired number of cells required is reached, which is referred to as a biomass of cells. This is removed from the growing chamber within the bioreactor and dried, roasted, and ground like any other coffee. “We are not talking about alternatives here. This is real coffee grown from cells extracted from the plant leaf,” says Herman. “Although the initial biomass of cells doesn’t look like conventional coffee beans, once it is dried, roasted, and ground it looks much like traditional ground coffee. The roasting process is modified slightly, because the coffee material is a different shape, so we have had to tweak it to get the right roast profile.” Each selected cell holds all the genetic information of that specific coffee species, which is influenced by the environment in which it was cultivated. This means the
team at Coffeesai can reproduce any coffee plant species – be it a Vietnamese Robusta or a Panamanian Geisha – utilising its technology. Herman says they can also take the process a step further, tailoring the plant’s genetics to create desired flavour profiles. “When the cell is removed from the leaf, we put it in a liquid medium with nutrients to help it grow efficiently, not dissimilar to the fertiliser process in conventional farming. However, we can control the quality and properties of the nutrients to ensure we get the desired result from the cells,” he says. “What’s more, the bioreactor is a highly controlled environment, which we can adapt to provide the ideal conditions for the specific type of coffee. Therefore, the bioreactor can mimic the conditions of a Colombian coffee plantation, but be in Israel, Australia, China, or anywhere around the world.” In the taste-testing stages of the protocol’s
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development, the scientists discovered new flavour profiles they don’t believe have previously been detected in coffee. “Assessing the taste of the coffee is an essential step in the development of this technology. Our first mission is to ensure the sweet and bitter flavours consumers come to expect from coffee are present, yet we’ve also come across some new flavours we didn’t expect that we are keen to explore,” says Herman. There are several companies and organisations that have experimented with producing coffee in a laboratory environment. In 2021, a team of researchers at the VTT Technical Research Centre of Finland brewed what is thought to be the first lab-grown coffee using cell cultures. In 2023, the research group released its process to the public in the Journal of Agriculture and Food Chemistry. “Our wish is that the publication of this scientific article, which clearly demonstrates proof of concept for labgrown coffee, nudges forward the creation of an ecosystem or a collective that has the resources, know-how, and drive to pioneer an entirely new type of coffee,” said Dr Heiko Rischer, Leader Researcher, in a statement at the time. “It is a huge challenge but one VTT is prepared to take on with the right partners and experts.” Despite discussing a possible collaboration between VTT and Coffeesai, Herman says nothing came of the discussions. “The beginning of VTT’s process is quite similar to ours but the bioreactor technology is different,” says Herman. “I appreciate their work but currently there is no collaboration.” Coffeesai’s technology is now in the development phase, but is expected to be ready for international roll out in the next two to three years. The company’s ambition is to make coffee production possible anywhere in the world. “We want to give producers the ability to create coffee close to their consumers and market, giving them complete control of the supply chain,” he says. “A single cell can be reproduced again and again. Just imagine, producers won’t have to worry about climate change, shipping issues, or global commodity prices.” Coffeesai plans to license its technology to international partners, who will establish a production line to take the product all the way to market. If successful, this new method of coffee production could radically
“We are not talking about alternatives here. This is real coffee grown from cells extracted from the plant leaf.” Ami Herman CEO, COFFEESAI
change the industry as we know it. The target market for this is the mass coffee industry, with the aim to blend the lab-grown coffee with traditionally grown beans in freeze-dried coffee products. “With a 10/90, 25/75, or even 50/50 split of lab-grown coffee to traditional coffee, producers can be sure a proportion of their supply will be of a consistent quality and available when needed,” says Herman. “They don’t have to worry about yearover-year differentiation. Adding this solution to their standard product will increase their efficiency in the market and better control prices.” Another benefit for large-scale coffee producers, according to Herman, is the ability to control flavours. The scientists at Coffeesai can modify the caffeine levels, bitterness, sweetness, and general flavour profile to blend seamlessly with a roaster’s existing coffee.
Ami Herman, CEO of Coffeesai, says the technology is currently in the development phase, but is expected to be ready for international roll out in two to three years.
If successful, Herman says this coffeeproduction process will not only solve the industry’s supply problem but also make it more efficient, greener, and cheaper. “The existing coffee production industry is not only impacted by climate change but is also a contributor of greenhouse emissions. The current system requires a huge amount of energy – and that’s before it’s transported across the world,” he says. “We foresee that, once we have scaled up our cellular agriculture model, our partners will be able to produce coffee much more efficiently and with a reduced impact on the environment.” While Coffeesai’s model appears to be at odds with the conventional coffee farming industry, Herman stresses the innovation is designed to coexist alongside farmers and won’t threaten their livelihoods. “We are here to support farmers not replace them. By 2050, the demand for coffee is expected to triple, but farmers are already struggling to meet today’s demand. There’s no way we could reach the demand of 2050 without mass deforestation,” he says. “By filling the supply and demand gap, we can support coffee growing countries and farmers to focus on what they do best. We can also work together with farmers and researchers to help protect and preserve varieties of coffee that aren’t faring well due to climate change. We can ensure consumers can continue to enjoy the coffee varietals that are currently at risk.” The industry, according to Herman, is keeping a close eye on the development of Coffeesai’s technology. He says he is already in discussion with many of the world’s biggest coffee companies, which are eagerly looking for solutions as coffee prices continue to rise. “We have a long waiting list of companies that are fascinated with what we are doing. I get calls every day asking to visit us to taste the product. We are already in negotiations with many of the biggest names in the industry,” he says. The CEO has big ambitions for this futuristic technology. In the next 10 to 15 years, he hopes to have seven to 10 per cent market share of the industry that currently stands at around 170 million 60-kilograms bags per year. “Our product will bring a huge amount of stability to the industry, while also reducing carbon emissions and increasing efficiency,” says Herman. “We are here to ensure people can enjoy coffee for the long term.” GCR GLOBAL COFFEE REPORT
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FEATURE E A S T A F R IC A
The view of Mount Kilimanjaro from the Machare Estate in Tanzania.
Images: Maja Wallengren.
East Africa eyes recovery Coffee growers across Kenya, Tanzania, and Uganda are hopeful that, after 5 years of drought and extreme heat, the 2024-25 harvest will bring in a small recovery to communities in most regions. BY MAJA WALLENGREN
R
ISING AGAINST THE BACKDROP of
the majestic snow-covered Mount Kilimanjaro in Tanzania, the lush green coffee trees at the Machare Estate are getting ready for the final part of the 2024-25 cycle with cherries starting to mature on branches. “The trees are looking quite good at the moment and after a few difficult years because of the weather, this year we should have a decent harvest,” says Machare Manager Bente Luther-Medoch, speaking to Global Coffee Report during a visit to the farm in late February. Climate change is taking a toll across the region, but unlike most of the world’s coffee producing countries that primarily have been affected by severe drought, dryness and extreme heat, in Tanzania the problems for the coffee crop development have predominantly been from excess rains. “With climate change it’s either too much rain or too little, but here it has been the opposite of other countries and we have had too much rain. Our rain fall has actually doubled and last year we only
harvested 25 per cent of the regular crop,” says Luther-Medoch. “In this part of the Kilimanjaro region, this year the rainfall has also been higher than usual but only by 20 per cent, so the crop development is still doing okay.” In parts of East Africa a second smaller harvest known as the fly crop is typically harvested from April to June, and has traditionally accounted for between 20 and 25 per cent of total annual coffee production in these regions. The official Tanzania Coffee Board (TCB) has forecast the 2024-25 harvest to reach about 1.3 million 60-kilogram bags, a small improvement from output of about 1.2 million bags in the 2023-24 cycle. Of this, a little more than 60 per cent was Arabica coffee and the balance was Robusta beans of the Canephora species. Tanzania is home to an estimated 320,000 smallholder coffee farmers, with an average of 200 trees each on an average land size between 0.2 to 0.8 hectare, according to official TCB statistics. If the mid-harvest results for average
yields from Tanzania holds through the end of the season, the new 2024-25 crop will bring a whisper of hope to the global coffee market that is facing an unprecedented supply deficit in the hands of massive losses from climate change across near all producing countries. Producers from these regions face at least two more crop cycles before coffee trees stressed out by and damaged from weather losses will be able to post at least a modest recovery. In neighbouring Kenya, last October coffee growers had high hopes at the beginning of the 2024-25 harvest that the new crop would be able to produce a recovery and return to 750,000 bags. For a country that in the mid-1990s produced close to 1.7 million bags, but for years has been struggling to reach between 650,000 and 700,000 bags, this would have seemed within realistic expectations. By mid-February, however, these hopes were clearly not materialising. In a report published on 28 January 2025, Swiss multinational coffee merchant Sucafina said the harvest was expected to end lower
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Images: Maja Wallengren.
but highlighted good quality. “Kenya’s 2025 coffee volumes are down 10 to 15 per cent, but quality is significantly higher, with premium grade making up to 80 per cent of the harvest,” Sucafina quoted Richard Mugi Ndiang’ui, Field Sourcing Coordinator at Kenyacof, an incorporated trading partner in Kenya. At the Endebess Coffee Estate in the western Kenyan town of Endebess, Farm Manager Collins Ndwiga confirms that, except for a few farms and regions, the dry weather has persisted across most of Kenya’s coffee producing regions. Inspecting the crop development ahead of the fly crop, weather continues to be much too dry for comfort and the accumulated stress trees are enduring from five years of prolonged drought, heat, and insufficient rains are visible across the farm. “Right now the trees are very thirsty and we really need the rain soon. At the moment we still have an opportunity for a good fly crop to complement the main harvest, but it’s already been more than
two weeks since the last rains and it’s not just the bean development for the fly crop but also the flowering for the next crop in the 2025-26 cycle that is starting to suffer without rain,” Ndwiga says. Over a month later, rain had still not arrived in many parts of East Africa and pictures of trees with a fast-growing loss of leaves due to defoliation caused by dry and hot weather spread across social media. When trees shed a significant percentage of leaves, a minimum average of 50 per cent of the next flowering will have to go towards the production of new foliage rather than fruit in order for the tree to survive, hence cutting into the potential for the next crop. Coffee growers and climatologists suggest the smaller second harvest in Kenya and parts of Tanzania and Uganda is starting to disappear from the coffee map. “The weather here in Kenya and in most of East Africa continues to be more dry and hot every year, exactly as we have seen in so many other parts of the world. Today, we continue to see regions here in Kenya
where there isn’t a fly crop any longer,” says Ndwiga. The global coffee market had high hopes the new 2024-25 coffee crop across East Africa would provide a healthy recovery of at least 2 to 3 million bags, which would help offset at least a part of global losses to crops elsewhere from weather damage. Most of this recovery was expected to emerge from Uganda, Africa’s second largest grower, where political support towards increasing output is high and growers are working hard to heed the call of the central government to expand production. As the harvest is being wrapped up, any new growth has been limited by the lack of timely rains and most growers interviewed by Global Coffee Report said they are harvesting less as the dry weather caused the bean size to shrink and yields are lower. “Last year we had the problem with the drought, which left the coffee in a bad situation. This year the trees lost a lot of leaves because of the drought, so we have
Farm Manager Collins Ndwiga says the dry weather has persisted across most of Kenya’s coffee producing regions.
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FEATURE E A S T A F R IC A
A typical coffee village in Western Uganda’s Mount Elgon region.
been getting fewer coffee beans,” says Rose Chepsikor, a grower of the Mount Elgon Coffee and Honey Cooperative in Western Uganda. Adding to the weather problems impacting trees’ overall coffee development from flower to fruit, farmers across both Arabica and Robusta regions are increasingly struggling with crop pests. There are increased reports of the rust and wilt fungous diseases, which attack the leaves and roots respectively and eventually cause the tree to die unless treated early. Since 2017, the Uganda Coffee Development Authority (UCDA) has worked on implementing a policy paper named The Coffee Road Map, which seeks to increase total national production to 20 million bags between 2025 and 2030. However, official figures from the UCDA in February suggest the 2024-25 crop will end at about 6 million bags, unchanged from the previous year. The lion’s share of Uganda’s coffee crop is Robusta beans. At the heart of the plan is the replanting of old trees as well as expanding the cultivated area through the distribution of “millions of coffee seedlings”, a key challenge for growers together with access to pesticides.
“I have 16 coffee trees and I would like to grow more coffee because the prices are very good this year, but it’s a real struggle because we don’t have a lot of land and we don’t have access to financing to buy new plants, seeds, or pesticides,” says Isa Sempijja, a smallholder farmer in the Robusta region of Jinja. According to the UCDA, Uganda’s 1.7 million smallholder farmers have an average of 0.1 to 0.15 hectare. Back at Uganda’s main Arabica region around the eastern town of Mbale on the slopes of Mount Elgon, growers are reporting not just lower-than-expected yields but also final crop numbers below those reached in the last 2023-24 harvest cycle. According to Wasibi Rogers, General Manager of the Mount Elgon Coffee and Honey Cooperative, women coffee growers, who make up more than half of the farmers across East Africa, struggle more than most. Each day, they have to make between four and five trips by foot to fetch basic necessities for their homes and families. This includes a minimum of three times walking a total four to five hours to the nearest river to collect water.
Children as young as four must help with carrying four to six litres back to their homes. Women also have to fetch firewood and food supplies, and are still expected to contribute with at least two to four hours of work in the farm tending to the coffee crop as well as taking care of the home, meals, and children. “More than half of our 850 members are women. We founded the cooperative in 2017 with special attention to the situation of the women in order to help them get more income and better opportunities to sell their coffee at a better price, but the lack of water in the communities still is a big problem for almost all the women,” says Rogers. Chepsikor adds that growers are happy with the recent high prices that have resulted in better prices for their coffee and eased the pressure on their daily survival. “If we had a source of water or a well in the community, we women could save at least four to five hours daily which we could use on growing other crops like tomatoes, and go down to the market once or twice a week to sell some of our produce and earn some extra money for our families,” she says. “Life here is very hard but at least the
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prices are better this year and that is helping us with everything in the community.” From the early efforts to replant old coffee fields in Tanzania launched more than 25 years ago, to the more recent political goal of expanding production in Uganda, results have been slow to show in global coffee statistics. But combined with similar initiatives in Kenya, industry officials believe the three East African countries could expand combined output to about 10 million bags in the next three to five years from the current number of about 8 million bags. However, this will only be achieved with continuing political and financial support from the governments and stake holders such as multinationals and roasters. Constraints from the increasingly extreme weather events like storms, flooding, drought, and excessive heat will, however, be taken into account whenever growers consider coffee against other agricultural crops and few doubt that coffee production will get easier. “We started the renovation at Machare
Ugandan farmer Rose Chepsikor says growers are happy with the recent high prices that have resulted in better prices for their coffee.
in 1998 after leasing the farm from the Government and we have come a long way, replanting all the old coffee area,” says Luther-Medoch. “Here at Machare we are much higher at 1350 to 1550 meters, but across the coffee growing belt in Tanzania as soon you go lower there is a challenge with rain and it
will be increasingly difficult to grow coffee on the lower altitudes at 1000 meters or below,” she says. Like the rest of the world, coffee production is set to become ever more difficult in the future ahead. Yet for the next year, at least, in East Africa there will be a small recovery. GCR
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INDUSTRY INSIGHTS T H E R MOPL A N
Artistry meets automation
Images: Thermoplan.
Thermoplan’s Black&White4 Competizione made its debut at the 2024 World Coffee Championships in Copenhagen.
Thermoplan on how its involvement in the World Coffee Championships has helped blend automation with craftsmanship.
O
VER THE COURSE of its 50-year history, Swiss coffee machine manufacturer Thermoplan has cemented its reputation as a pioneer in the coffee industry, first bringing automation to the international market in 1999. Now, as the specialty coffee industry evolves, the company is evolving with it. Thermoplan’s next chapter blends craftsmanship with automation, where it endeavours to demonstrate that these elements are not mutually exclusive. This combination has unlocked a new market segment for the company to position it as a key player in the specialty coffee world. Philipp Grammel, Team Leader of the Coffee Academy at Thermoplan, explains that as a manufacturer of automatic espresso machines, the company’s core focus in the past was meeting the demands of high-volume environments, where consistency and speed were key priorities, rather than the finer details often associated with specialty coffee. However, since Thermoplan’s Black&White4 Competizione automatic espresso machine became the official machine of the World Latte Art Championships from 2024 to 2027, the
company has gained a fresh perspective on the specialty sector. “Events like World of Coffee represent a major opportunity for us to showcase our equipment,” says Grammel. “By being present at these events, we can demonstrate the machine’s capabilities, which is important for larger customers. But at the same time, we understand that for smaller customers in the specialty coffee sector, it’s crucial to test the machine and experience how it brews coffee. This is why we decided to increase our presence at these events and become more involved in the coffee community.” The machine made its debut at the 2024 World Coffee Championships in Copenhagen. It wasn’t Thermoplan’s first time at such an event, but it was the first time the BW4 Competizione was used as a World Championship machine, making it a very special moment for the team. “When the SCA [Specialty Coffee Association] presented the opportunity, it was clear we wanted to dive deeper into this area. As a company, we believe we have created the right equipment for it and that became the starting point for us to pursue this further,” says Grammel.
This presented a unique opportunity for Thermoplan to blend automation with the creativity and craftsmanship that define specialty coffee – a core element of the coffee shop experience. “I believe the craftsmanship is extremely important in the coffee scene, especially when you visit a coffee shop and pay a certain price, you expect a certain level of skill,” says Grammel. He explains that the opportunity for automation lies in its ability to make coffee more consistent and comparable. “Automation can level the playing field, making processes more even. While it may not apply to every aspect of coffee or our equipment, there is certainly potential in the broader coffee industry. The automation trend is growing and there’s definitely room for more innovation in this area,” he says. As the World Latte Art Championship is centred around the milk, Grammel says that, coupled with the company’s long history with milk foam, it was the perfect platform to showcase the capabilities of the Competizione. The machine was initially met with some scepticism, according to Grammel, but as
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Images: Thermoplan.
more people began using it, they embraced its benefits. The most rewarding moment came in 2024 when Thermoplan first worked with World Coffee Championships competitors. For some, it was their first experience with a fully automatic coffee machine and the feedback received was much more positive than the company had anticipated. “As we got closer to the competition and started delivering the first machines to the competitors – offering training and providing opportunities to use the machine for local and world championships – the feedback became increasingly positive. This response exceeded our expectations and the feedback was incredibly encouraging – much better than we had hoped for.” Grammel explains that one key takeaway from the feedback was how the focus shifted more towards latte art, rather than solely on the coffee itself. The Competizione was originally designed to provide both precision and speed, ensuring a high-quality coffee product for competitions, which Grammel says makes it the ideal assistant for baristas in the specialty coffee world. “On one hand, it allows baristas to showcase their skills, particularly with milk foam. On the other hand, when moving away from the competition setting, the machine’s automation supports individuals
with little experience in creating perfect milk foam,” he says. This combination of enabling skilled baristas while also assisting less experienced users is what sets the machine apart. It is designed to excel on the world stage, where a barista can create perfect milk foam, while also providing the automation to help others achieve the same result. Participation in these events has unlocked a new way forward for Thermoplan, especially as it continues to engage with baristas in the process. “When we originally developed the machine, we had a lot of baristas involved. However, as we engage with more roasters, they are bringing forward new ideas for features that could enhance a coffee machine. These ideas often push the boundaries and encourage us to think outside the box,” says Grammel. And thanks to this involvement with specialty coffee, he believes Thermoplan now has a deeper understanding of what truly matters when it comes to its equipment. “In the specialty coffee area, we can focus on what’s essential in craftsmanship. This will not only benefit the next generation of coffee machines but also the next generation of coffee professionals,” he says. “We can also support professionals by educating them and the wider
community on what specialty coffee is, what Thermoplan is doing in this space, and showcasing the artistry behind the coffee machine and espresso. There’s so much behind it, and I think it’s important to share this knowledge with the next generation.” Looking to the future of equipment, the company considers the needs of baristas to showcase their skills. While fully automated machines are part of the equation, Grammel believes a certain level of artistry should always be behind the process. “This is where we excel in making decisions and catering to individuals with varying needs,” he says. As for the World of Coffee 2025 events, Grammel says the team are keen to bring the world of specialty coffee to home soil when Geneva hosts the show from 26 to 28 June. “As a Swiss manufacturer, all our machines are produced here in Switzerland, so it feels a bit like a home race,” he says. “We’re excited to be here, and it’s also a great opportunity for our employees, friends, and family to come and see us at a show.” GCR
For more information, visit thermoplan.ch/en The Black&White4 Competizione was originally designed to provide both precision and speed, ensuring a highquality coffee product for competitions.
GLOBAL COFFEE REPORT
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INDUSTRY INSIGHTS FRANKE
Nicolas Damery, Ange franchisee, says his customers expect quality and efficiency but also value human interaction.
Images: Franke.
Baked fresh, brewed better As competition for coffee sales grows, one bakery chain demonstrates how to create a great coffee experience that keeps customers coming back.
G
OOD COFFEE is now widely available, with convenience stores, petrol stations, and kiosks having stepped up their game to offer highquality coffee at competitive prices, often alongside fresh baked goods. This shift may leave many bakery owners
wondering how they can stand out from the crowd, retain customers and, most importantly, retain bakery sales with those who usually pick up a loaf alongside coffee who are now able to source their morning cup in a variety of new venues. For Boulangerie Ange, a bakery chain The Ange team face the Mytico Due towards the customer to grab their attention and create an authentic barista experience.
with locations across France, coffee has always been central to its business model. But as consumer habits shift towards convenience and self-service, Ange faces challenges with differentiation. The answer, according to the bakery chain, lies in creating an experience that goes beyond selling a cup of coffee. Guardian of the good
“Ange’s slogan, ‘Guardian of the good’, stands for good products, good locations, and good prices. Yet, ‘good’ not only refers to quality but also creating an environment in which customers feel welcome and are inclined to return,” says Nicolas Damery, franchisee of three Ange locations alongside partner Claire Hurand. For the franchise, coffee is a carefully considered part of the customer journey that enhances their experience and drives business success. And for Damery and Hurand, Franke Coffee Systems’ Mytico fully automatic coffee machine was the gateway. “Our customers expect quality and efficiency, but they also value human interaction and the warm atmosphere of our bakeries,” says Damery. “That’s where Mytico helps us shine – it allows us to offer
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Images: Franke.
premium coffee quickly while keeping our focus on customer experience.” Ange had long been a go-to destination for fresh bread and pastries. However, to strengthen its coffee offering and stand out in a competitive market, it needed a solution that delivered both quality and efficiency, and was easily integrable into daily operations. Damery and Hurand sought a coffee machine that could maintain the bakery’s high standards, was intuitive for staff, and created a memorable customer experience. Seeking a solution
Ludovic Roquigny, Business Development Manager for France at Franke Coffee Systems, says Damery and Hurand’s decision was not made lightly. They carefully assessed different coffee machines, looking for one that would align with their goals: ensuring consistency, making operations smoother, and offering customers a high-quality coffee experience. Their search was guided by Cupdate, Franke’s local distributor in France. With a keen understanding of Ange’s requirements, Philippe Da Costa, CEO of Cupdate, listened carefully to their expectations, provided expert advice, and ensured they found the right solution for their business. After weighing their options, they chose the Mytico Due and introduced it at their Luan location to test its impact before considering further expansion. Damery and Hurand selected the Mytico Due for its ability to enhance customer experience. They say the machine’s sleek, modern design allows it to be prominently positioned in the bakery and helps engage customers. “It consistently delivers barista-level coffee, ensuring each cup meets Ange’s high standards. Just as importantly, its intuitive interface means all staff members – regardless of their experience – can prepare high-quality drinks efficiently,” says Damery. Beyond its ease of use, Mytico Due is designed to ensure consistent and highquality results thanks to its intelligent extraction system, iQFlow. Moreover, brewing temperatures can be individually adjusted allowing users to serve a variety of coffee blends at their ideal flavour profile. And to maintain purity, the PureShot function empties the coffee pipes between extractions to prevent residue from affecting the next brew. The Mytico Due features two independent
“It consistently delivers barista-level coffee, ensuring each cup meets Ange’s high standards. Just as importantly, its intuitive interface means all staff members – regardless of their experience – can prepare high-quality drinks efficiently.” Nicolas Damery ANGE FRANCHISEE
coffee modules designed for speed and reliability, allowing quick service during peak hours and an energy-saving mode for quieter times to optimise efficiency.
The Ange team report that customers enjoy watching staff assemble the coffee, highlighting the bakery’s focus on craftsmanship. They say the Mytico’s intuitive user-experience simplifies the process and ensures consistency while making it easy for staff members to operate. “In terms of precision and ease of use, Mytico is by far the best,” says Hurand. Damery believes that while the competition for coffee sales is fierce, Ange now has an advantage as they are not just selling coffee – they are crafting an experience. “At Ange, we’ve always believed that a bakery should be more than just a place to buy bread. It’s about the smell of fresh pastries, the warmth of a friendly smile, and now, a coffee that customers love to come back for,” he says. “By elevating our coffee offering with the Mytico Due, we are reinforcing Ange’s role as a ‘Guardian of the good’: delivering quality, creating moments, and ensuring customers don’t just pass through but return, time and time again.” GCR For more information, visit mytico.franke.coffee
Focus on quality
“We chose the Mytico machine for its design and made a clear decision to showcase Ange coffee by positioning it facing the customer,” says Damery. “The goal is to stage it, to create the barista feeling, because we believe it’s a real contribution in terms of turnover for our company.” According to the duo, the Mytico Due has quickly grabbed customers’ attention with its expanded beverage offering, ranging from espressos to cappuccinos and customisable drinks. “One of the main advantages of this machine is the phenomenal time savings compared to the coffee machines we have in our other shops,” says Hurand. “It also offers incomparable coffee quality. Unlike our other machines, it allows customers to choose between a strong or smooth coffee, providing a more personalised experience.” She says the visual presence of the Mytico Due also plays a key role. “It catches customers’ attention – they enjoy seeing the coffee being prepared in front of them rather than just receiving a drink from a fully automatic machine. This enhances transparency and the perceived quality of our products,” says Hurand.
Claire Hurand, Ange franchisee, says in terms of precision and ease of use, Mytico is the best.
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FEATURE WOR L D C OF F E E R E SE A RC H
WCR’s breeding team and staff at the WCR research farm Flor Amarilla in Santa Ana, El Salvador. Image: Jody Johnston.
Mind the gap
As extreme weather events threaten global coffee supplies, the industry is banding together to fund the next generation of climate-proof coffee varieties amid a colossal funding gap.
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MID GLOBAL supply shortages and the coffee market climbing to historical highs, with green coffee hitting US$4 for the first time in February 2025, nonprofit research organisation World Coffee Research (WCR) is rallying the global coffee industry to drive sciencebased solutions to address the sector’s climate challenges. With more than 200 members across 30 countries, WCR is urging support for agricultural initiatives and the development of climate-resilient coffee varieties to future-proof the sector. According to data from WCR, the global coffee industry could face a supply shortage of millions of bags as early as 2030, as demand for coffee steadily increases amid the impacts of climate change. WCR says the recent price hikes reflect an urgent need for new technologies and innovations
that help farmers tackle the combined challenges of extreme weather, pests, and disease. What’s more, it is estimated that nearly three quarters of the world’s coffee is produced in only five countries, leaving the supply chain vulnerable to climate change and other risks. “It can and will reduce origin diversity and increase supply shocks like the one we are seeing right now,” says Hanna Neuschwander, Senior Advisor, Communications at WCR. “When we are highly dependent on just two origins to produce most of the world’s coffee, and those two origins experience climate events at the same time, supply is highly affected. But we are so reliant on Brazil and Vietnam because they have far outpaced other countries in productivity and they produce coffee very efficiently. In
order for coffee to continue to be a viable crop in other countries, they must increase productivity to effectively compete.” She says there are many ways to achieve this, but agricultural innovation such as creating better varieties to help farmers produce more with less is an essential driver. Yet, WCR says agricultural research and development (R&D) to address this issue is lacking, with an estimated annual underfunding of US$452 million. Neuschwander explains this problem is multifaceted, but in short, is a market failure. Since coffee is a tree crop, and trees take a while to grow, any new innovations take a long time to show a return on investment. This makes it harder for businesses to justify spending a lot of money on R&D. “Public coffee research institutions are
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located in mostly lower-income economies with many competing economic priorities and are deeply underfunded. Because coffee is a tree crop that doesn’t need to be replaced every year, there is a difficult – though not impossible – business case for a private company to build a breeding-andseed-sales business. Coffee has languished in this grey area for far too long,” says Neuschwander. To close this funding gap, multi-year commitments from WCR’s member companies have helped launch two global coffee breeding networks for Arabica and Robusta that together include the participation and collaboration of 11 producing countries, which export 43 per cent of the world’s coffee. This includes the global industry making a renewed US$10 million commitment (a small component of this total is contingent on green coffee volumes and is calculated with historical averages, which may result in fluctuations to future revenue) to its worldwide coffee breeding and seed sector strengthening programs. “These networks are creating the next generation of coffee varieties that will ensure stable supplies from diverse origins.
“Without the foundational investments made by the private sector such as WCR member companies, these tools would not exist.” Hanna Neuschwander SENIOR ADVISOR, COMMUNICATIONS , WCR
WCR is on track to deliver 100 improved Arabica varieties by 2030, with Robusta to follow. On top of that, the 11 countries participating in WCR’s collaborative breeding networks will also release their own varieties developed from materials shared via the networks. WCR’s member funding goes directly to support and operate our global breeding networks and connected programs,” says Neuschwander. According to WCR CEO Dr Jennifer
‘Vern’ Long, 2024 was a “milestone” year in the organisation’s breeding networks and its global journey to create the next generation of varieties. She explains that WCR’s Arabica and Robusta breeding programs, along with its trials and nursery and seed system initiatives, have entered new phases that are expected to bring greater stability and resilience to the sector in 2025 and beyond. “I see the transformational impact these efforts will have – not only on our industry – but also the social impacts delivered from stable coffee export revenues and, most especially, the economic and environmental benefits that coffee farmers around the world will experience firsthand,” says Dr Long. “This journey, on which we’ve embarked together, is absolutely the course that will get us where we need to be as a global coffee community.” Neuschwander believes public-private partnerships are essential to help close coffee’s long-standing innovation investment gap. She explains when coinvestment happens, everyone benefits: the companies investing to secure access to the volumes of green coffee they need for their
At the Chirinos cooperative in San Ignacio, Peru, technicians are growing baby coffee trees that will become mother trees for seed production. Image: Yober Rivera.
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FEATURE WOR L D C OF F E E R E SE A RC H
A nursery in El Salvador producing trees for coffee farm renovation. Image: Jody Johnston.
businesses; farmers that can now access better trees, earning more and creating resilience; and coffee-producing nations that earn significant amounts of export revenue from coffee that helps them build roads and schools. An example of a successful public-private collaboration comes from El Salvador. In 2021, its Government initiated an ambitious project to renovate approximately 35,000 hectares of land with 150 million new coffee trees to revitalise the country’s sector after a major decline in national production over the past 15 years. “They were particularly focused on planting high-yielding, high-quality, coffee-leaf-rust resistant plants. Additionally, to ensure farmers receive plants that are truly rust-resistant and high quality, the Government implemented new regulations regarding seed and seedling production,” she says. Any seed lot contracted to produce seeds was required to comply with criteria related to genetic conformity and seed health. Neuschwander says this level of quality control is not the norm in coffee. “WCR worked with a panel organised
“This journey, on which we’ve embarked together, is absolutely the course that will get us where we need to be as a global coffee community.” Dr Jennifer ‘Vern’ Long CEO, WORLD COFFEE RESEARCH
by the government to advise on these regulations, and El Salvador is using DNA fingerprinting tools and seed health protocols developed by WCR to ensure high quality seed production,” she says. This approach is said to ensure farmers will receive the maximum benefit from these plants, and decreases the risk for El Salvador of this multi-million dollar investment in their coffee sector.
“Without the foundational investments made by the private sector such as WCR member companies, these tools would not exist and this kind of partnership would not be possible,” says Neuschwander. In 2024, WCR also activated seed sector partnerships between public and private actors to boost access to high-performing planting material. In collaboration with eight Peruvian partners, WCR established 10 new seed lots of improved varieties across three major regions, generating enough seed to grow approximately four million plants annually, supported by investment from international coffee companies JDE Peet’s and Keurig Dr Pepper. Additionally, in partnership with the Uganda Coffee Development Authority (UCDA), WCR distributed 100,000 diseaseresistant plants to farmers, backed by investment from Strauss Coffee B.V. and core funding from WCR members, while training more than 100 nursery operators and seed producers in three regions with additional support from United Kingdom brand Taylors of Harrogate. Ten new farmer-led Robusta nurseries have also
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been established, which together will be able to deliver 100,000 high-quality trees each year. Throughout the industry and outside of the WCR network, there has been a rising tide of public commitments in support of closing the coffee R&D gap, and other investments to enhance agricultural productivity in coffee and support smallholder livelihoods. In 2024, G7 countries endorsed the importance of public sector involvement for “activating investments in public goods like research and development, policy reforms, and support to smallholder farmers”. WCR members are also calling on governments to join the industry and invest in agricultural R&D investment and coffee seed systems to enhance productivity and prosperity for farmers, reduce the environmental footprint of coffee agriculture, and sustain choice for consumers. The first waves of new WCR coffee varieties are expected to arrive at farms across the globe as early as 2036 as the organisation races to accelerate timelines in
plant breeding. From there, WCR plans to deliver new varieties every three years. “We aim to change the culture and norms around coffee agriculture from a poverty mindset to an innovation mindset,” says Neuschwander. “Coffee needs to move on from ‘one and done’ breeding efforts where farmers might get access to one new variety every 20 years – if that. Most farmers in most places are still growing varieties that are 50 to 100 years old and 50 per cent of the world’s coffee trees need to be replaced in the next 10 years – but farmers don’t have great choices for what to replace their current trees with.” She explains that climate change requires the industry to move towards a new norm of cyclical variety development and variety replacement. “Of course, the most fundamental aspect of this has to be that new varieties really are better than older ones,” she says. “We are confident the future is arriving. We aim to deliver 100 new Arabica varieties by 2030, with Robusta to follow. And that will only be the beginning.” GCR
Seedlings germinating in a nursery in El Salvador. Image: Jody Johnston.
Precision, performance and design, this is the Black Eagle Maverick, the ultimate coffee machine designed for those who refuse to compromise on quality. Whether you run a specialty coffee shop, a high-volume shop, or a fine dining establishment, Black Eagle Maverick gives you total control with cutting-edge technologies, ensuring every espresso is brewed with absolute precision and energy efficiency. Take your coffee program to the next level, Black Eagle Maverick isn’t just a machine; it’s a statement of excellence.
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SUSTAINABILITY IMA
Environmental economics
Images: IMA.
IMA’s research and development efforts are focused on enhancing performance in coffee production and promoting sustainable practices.
Big or small, coffee companies throughout the supply chain are prioritising sustainability. IMA Coffee Hub highlights how its roasting and packaging technologies can improve energy efficiency while maintaining quality.
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or most forward-thinking companies, choosing to operate more sustainably is not only an environmental choice but also an economic strategy. Reducing consumption, minimising waste, and promoting more responsible production can shrink costs and grow sales and profits. Nicola Panzani, CEO of IMA Petroncini and Commercial Director of IMA Coffee Hub, an Italian manufacturer of complete coffee processing and packaging solutions, observes both large and small roasters are embracing sustainability. He notes that larger businesses are focusing on largescale investments while smaller operations are leaning into more localised and flexible solutions. “The importance of focusing on quality, sustainability, and traceability in production processes is growing, especially with largescale productions,” says Panzani. “Large-scale operations are increasingly asking to reduce energy waste, adopt ecofriendly packaging materials, and ensure the highest standards of quality throughout their production chains.” Panzani believes digitalisation plays a
crucial role in this transition by providing advanced tools for monitoring and optimising every step of the process – from sourcing raw beans to roasting and packaging. “Through data-driven insights, it is now possible to enhance efficiency, reduce environmental impact, and ensure sustainability is not sacrificed for scale,” he says. “At IMA Coffee Hub, we are committed to helping coffee producers of all sizes adopt these sustainable practices, ensuring quality eco-friendly solutions. Digital innovation is at the heart of the coffee production process, today and in the future.” The main challenges large roasters face when trying to make their businesses more sustainable, according to Panzani, are integrating sustainability into their daily operations, optimising resources, reducing environmental impact, and meeting growing consumer expectations without compromising economic competitiveness. “This requires not only investment in advanced technologies but also continuous commitment to responsible supply chain management and process improvement,
balancing economic efficiency and environmental impact,” he says. “Roasting is an energy-intensive process. Roasteries must therefore invest in advanced technologies to reduce energy consumption, such as heat recovery systems. These not only reduce energy use but also address the challenge of reducing carbon dioxide emissions and managing industrial waste responsibly. Environmental regulations are becoming stricter and companies must adapt to new laws by investing in advanced treatment systems for exhaust gases.” Over the past year, IMA Coffee Hub has been working on several key innovations aimed at enhancing the energy efficiency of its roasting technologies while also preserving a high-quality product. “We have been working on developing a modular hybrid roasting technology for large-scale production by combining the traditional gas heating system with a secondary heating source. This approach is based on the demand of a higher level of process customisation, which enables our customers to find the optimal balance between energy efficiency and operational cost reduction, all while ensuring a
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reduction in carbon dioxide emissions,” says Panzani. “The use of both energy sources gives us the flexibility to fine tune the roasting process, achieving greater efficiency without compromising the quality of the roast.” Additionally, IMA has focused on advancing its heat recovery systems, particularly for its smaller roasting machines. Panzani says by optimising the thermodynamic cycle, IMA’s machinery can capture and reuse more of the heat generated during roasting, which significantly reduces energy consumption. “We are also developing a roasting system based on a new thermal heating principle. This innovative system enhances thermal exchange efficiency, providing roasting results that are comparable to traditional gas systems but with the added benefit of improved energy performance. This approach not only reduces energy usage but also contributes to a cleaner, more sustainable process,” he says. As well as monitoring and reducing energy use and emissions, roasters must also review their product range’s impact on the environment, including packaging materials used to maintain and transport the coffee. “Shifting to more sustainable packaging materials, such as biodegradable or recyclable ones, without compromising product shelf life and quality is a challenge,” says Panzani. “Large roasteries must find packaging solutions that are cost efficient while also meeting consumer sustainability demands. However, the transition process can be complex and expensive if they don’t have the right partner.” In recent years, IMA says it has dedicated significant efforts to improving technological solutions that meet the demands of an increasingly complex market and evolving regulations on packaging materials and waste management. At the IMA OpenLab, its network of technological laboratories where daily tests and studies on new packaging materials are conducted, the team have developed new packaging technologies that accommodate a wide range of materials for all types of coffee packaging – from bags to capsules. “An example is our capsule fillers, which are engineered to handle any type of packaging material, from traditional aluminium to compostable options. These systems can be easily configured to optimise the sealing process for each
material, ensuring consistently perfect packaging every time,” says Panzani. “Additionally, we have recently enhanced our technologies for processing traditional filter paper-based coffee pods. This ensures they can efficiently handle pods and various materials and formats for the protective outer envelope and secondary packaging, all while maintaining high production rates.” In line with its mission to provide technologies that meet demanding highquality standards, IMA Coffee Hub’s efforts have been focused on developing a new industrial coffee grinder to offer greater precision and consistency. “The new grinders are equipped with advanced technology that ensures a more uniform grind size, leading to a more consistent extraction during brewing. This is especially important for high-end coffee, where even small variations in grind size can significantly affect the flavour profile and overall quality of the cup,” he says. “The new solutions are engineered to provide greater control over grind consistency, resulting in a more predictable and repeatable cup every time. This level of customisation is vital in markets with high-quality standards, where even the smallest adjustments can make a significant difference in the final product.” The process of grinding is closely linked with packaging because of the degassing phase, a natural chemical reaction that occurs once beans have been roasted and ground. Preventing package inflation and
avoiding oxidation are critical factors that have driven the widespread adoption of degassing technologies. “Recent studies conducted on our CO-Tube coffee degassing system have highlighted its unique ability to achieve a highly controlled and efficient degassing process while preserving the freshness and quality of high-end coffee, ultimately extending its shelf life,” says Panzani. “One of the key advantages of the COTube system is its ability to accelerate the degassing time using deep vacuum technology while also reducing the risk of over-degassing. With CO-Tube technology, the desired carbon dioxide level in the final product can be precisely set as a key process parameter, ensuring the ground coffee retains its full flavour potential. This guarantees the coffee is ready for packaging without compromising its taste and quality.” Through all these sustainable solutions, IMA Coffee Hub aims to solidify its role as a reference hub for the coffee processing and packaging industry. “We want to continue to be a centre for research, development, and innovation in coffee production,” he says. “From our perspective, innovation and digitalisation processes go hand in hand with sustainability. Digitalisation enables greater efficiency in production flows and helps avoid production waste.” GCR
For more information, visit ima.it/coffee
Over the past year, IMA has driven innovation across the entire coffee production process.
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SUSTAINABILITY U N IC
Images: UNIC.
The main objective of the Unic R&D team is designing machines that have less impact on the planet than their predecessors.
For cup and planet Reaching climate neutrality in operations by 2030 is an ambitious goal, yet Unic and its parent company Electrolux Professional Group are charging towards their target.
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LECTROLUX PROFESSIONAL GROUP
is serious about sustainability. The global food service, beverage, and laundry solutions provider aims to achieve climate neutrality – in which companies reach net-zero greenhouse gas emissions by balancing emissions with removals – in the next five years. It’s not an easy feat for any company, let alone one that works in 110 countries and employs 4300 people. “At Electrolux Professional Group, we want to do our part to improve society and generate value for our stakeholders. We have considered the external challenges the world is facing and assessed what we can do to help overcome these hurdles,” says Swapnil Choudhari, Electrolux Professional Group VP Sustainability & Quality. To help reach this target, Electrolux Professional Group has set itself six sustainable development goals (SDGs), which cover areas including clean and affordable energy, climate action, decent work and economic growth, responsible consumption and production, clean water, and gender equality. Choudhari says these goals are avenues through which the company can have a meaningful impact and provide an opportunity to make a difference. “These SDGs guide our sustainability
strategy. This goes hand in hand with our company mission to make our customers’ work life easier, more profitable, and truly sustainable,” he says. As part of its SDGs in clean energy and climate action, Electrolux Professional Group is developing energy efficient products as well as improving the energy efficiency of its own operations. “We continue investing in increasing the renewable electricity share at our manufacturing sites while also improving the efficiency of our plants to reduce energy demands. Since 2019, we have already
Swapnil Choudhari, Electrolux Professional Group VP Sustainability & Quality.
reduced our Scope 1 and 2 emissions by 61 per cent,” says Choudhari. “We also have a major focus on developing sustainable products for our customers. We do that by ensuring we innovate products that consume less energy, water, and detergent as well as using materials efficiently to reduce the impact caused throughout our value chain.” Unic, Electrolux Professional Group’s commercial espresso machine brand, has fully embraced this focus on energy reduction. Its research and development team have integrated a structured and sustainable approach into all stages of new product development and technological innovation, which has resulted in some of the most energy efficient products on the market. Jeremy Coquille, Research and Development Manager of Unic, says the team’s main objective when designing a new product is ensuring it has less impact on the planet than its predecessor. “We start by thinking how we can produce a product in a better way and reduce its energy consumption,” says Coquille. “A major focus is the raw materials used to build the espresso machine. Creating a machine that’s highly recyclable is
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Images: UNIC.
fundamental – we no longer use a material that cannot be recycled.” In addition, the team use 3D modelling analysis to improve the design of the machine’s components to reduce the quantity of the material used while achieving the same functionality. An example is the latest Tango XP super automatic espresso machine, which is 42 kilograms lighter than the previous model. This not only decreases the amount of material used but also reduces transport emissions. In the creation of the Tango XP, the design team also made a commitment to reduce the amount of chemicals used. This resulted in the machine’s unpainted casing. “Previous models were painted with an epoxy coating. Painting the machines has a high energy demand, as the operator needs to be wearing strong protection, cleaning chemicals are required to clean the tools, and the epoxy coating needs to be set in an oven at a high temperature,” says Coquille. “Instead of painting the machines, we swapped the casing and frame material to stainless steel, which doesn’t require a protective coating.” At the end of the Tango XP’s life, the machine can be disassembled and fully recycled. What’s more, each machine features a sticker with the details of the service company that will collect the model, disassemble it, and ensure every component is recycled. If spare parts or maintenance is required, Coquille and team have designed the machine in a smart modular manner so that small parts can be replaced without having to unnecessarily waste working components. “At Unic, we have effectively utilised the concept of modularisation, surpassing many competitors in this regard. Our approach allows for easy machine repairability, enabling specific components to be replaced individually in the event of a failure. This means other components within the same module can still be reused,” he says. Coquille believes Unic’s modular design facilitates more efficient maintenance, as service technicians can simply replace broken components rather than the entire module. “For instance, many machines on the market today feature an all-in-one boiler that cannot be dismantled. If the heating element breaks, the entire boiler must be replaced,” he says. “In contrast, our design allows the
heating element to be replaced while the boiler module and other parts can still be reused, thereby reducing the strain on material resources.” For the Tango XP boiler module, Coquille and team reduced its size, resulting in less energy needed to maintain the desired water temperature. “For our next machine, we’re working on an AI system that will analyse the use of the machine and determine the trends around activity and peak demand,” he says. “The machine will automatically adapt the energy use and regulation of the boiler according to the anticipated peaks across the day.” In addition to the sustainability work taking place at Unic’s headquarters, the brand works with its long-standing clients to ensure they can reach their own sustainability goals. Cafés Richard, one of France’s leading coffee roasters serving 40,000 clients per year, has worked with Unic for more than 30 years. As part of its approach to corporate social responsibility, the coffee roaster has established a reconditioning program to extend the life of its espresso machines, with Unic acting as subcontractor. Eric Duriez, Purchasing Director for Expresso Equipment and Service at Cafés Richard, says 15,200 machines were reconditioned as part of the program in 2024, including 450 Unic machines. “Unic’s expertise in the design and manufacture of fully automatic Tango machines legitimises Unic in
subcontracting the reconditioning of this type of equipment,” says Duriez. The reconditioning program features six stages: collection, aesthetic quality control, workshop repair including replacement of worn parts, reconditioning, technical quality control, and finally installation at customer site. A Reconditioned Machine logo is provided along with a box of accessories and cleaning tablets. A daily and weekly cleaning tutorial via QR code is also supplied to make users aware of the need for daily maintenance to guarantee the durability of their work equipment. “By choosing reconditioned equipment, customers are working alongside Cafés Richard in a shared circular economy approach to achieve more sustainable growth,” says Duriez. “They are also made aware of where the equipment is manufactured: with Unic, the ‘designed and made in France’ argument, attested by the Origine France Garantie certification of the machines, responds to the growing desire to operate in short circuits. It’s also worth noting that public authorities and major groups are becoming more aware of the issue and are now asking suppliers like Cafés Richard to include a proportion of reconditioned equipment in their tenders for new contracts.” GCR
For more information, visit unic-espresso.com
In 2024, a partnership with Cafés Richard saw 450 Unic machines reconditioned and sent to new homes.
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SUSTAINABILITY E C OM
Images: ECOM.
ECOM employs agronomists and field technicians around the world to help introduce carbon reductions and removals projects.
Tools for change ECOM introduces its Green Meter tool and discusses how the new carbon emissions calculator can help its team design feasible and applicable interventions for coffee farmers.
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OFFEE COMPANIES share a common challenge: accurately calculating the carbon footprint of their products and decarbonising their supply chains. Effective selection and planning of impactful carbon reduction and resilience interventions require data-driven decisions based on a deep understanding of farmers’ current practices and the reasons behind them. Governments worldwide are introducing legislation that will require some companies to report their carbon emissions, increasing the demand for accurate primary data. For example, under the upcoming Corporate Reporting Sustainability Direction (CSRD) regulation, some businesses operating in the European Union will be required to report their greenhouse gas emissions, including Scope 3 value chain emissions. At the same time, as consumer awareness of sustainability grows, the need for reliable data on coffee’s carbon footprint becomes even more critical. The complex coffee supply chain, which often involves collecting data from smallholder farmers in remote parts of the world, makes assessments of carbon
emissions challenging and highly context dependent. To produce accurate emissions reports, roasters often rely on their green coffee merchants to provide data on the carbon footprint of the beans before they reach the roastery. Many merchants have traditionally relied on secondary data – information collected or published by others, including industry averages and databases, used to provide estimates – to determine emissions. As part of its commitment to sustainable practices and improving farmer livelihoods, international trading company ECOM has developed a new tool that calculates the carbon footprint of the coffee it sources. Green Meter is a tool based on primary data collection and is aligned with the new GHG-Protocol Draft Land Sector and Removals Guidance, the new standard for quantifying all FLAG (Forest, Land and Agriculture) emissions. “The majority of the carbon footprint of coffee is generated at the cultivation phase at farm level. The drivers of emissions are practices such as land use change, fertiliser usage, and lack of residue management, among other factors,” says Ana Nicod, Head
of Climate Change Strategy at ECOM. “After calculating our own carbon footprint in alignment with our net zero commitment, we quickly realised relying on secondary databases does not accurately reflect the realities of our supply chain or the differences between producing countries. The available emission factors are limited and often fail to capture the true variations on the ground as well as measure any improvement on practices for specific supply chains. “Since 2022, we have produced a sustainability report detailing our carbon footprint, reinforcing the need for more precise, primary data to drive meaningful action. For instance, in Ethiopia, we used Green Meter and the results showed a decrease of emission factor by more than 90 per cent compared to secondary emission factors.” Nicod says ECOM had tried other tools on the market, but that they were not fit for purpose with regard to reporting or usability, and general structure and inputs did not reflect and capture all the practices at farm level. Therefore, the team saw a gap for a bespoke tool and built their
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Images: ECOM.
own from the bottom up, designed in collaboration with their field technicians and agronomists across its coffee producing origins. “We started by asking ourselves the following questions: What are the farming practices that occur in our different supply chains? What are the inputs being used? What are all the possible tree species identified as shade trees in the coffee landscapes? What types of products do we buy, from coffee parchment to green bean? Once we understood these complexities, we developed models to calculate a product carbon footprint, broken down by farm, with the ability to extrapolate to a supply chain,” says Yazmin Leon, Global Carbon Manager at ECOM. “Creating the tool was just the beginning: even after its development, we needed to understand how to use it effectively and ensure it was fit for purpose. Over the past year since its official launch, we have worked a lot in the field – refining processes, validating data, conducting indepth training, and continuously improving the tool. Now, we can confidently say our efforts have paid off.” The ECOM team work mostly with data traceable to farm, but the tool can also work with cooperative or processing unit data. In August 2024, Green Meter was third-party reviewed by SustainCERT and confirmed to align with the GHG Protocol’s Land Sector and Removals draft guidance. Green Meter uses data from surveys – translated into local languages – carried out by ECOM’s field technicians and agronomists stationed across the world. The data obtained from the surveys undergoes quality checks before being analysed to produce an accurate carbon footprint for the coffee from that farm. “Once the report has been produced, the climate department analyses the results, highlighting the main emission contributors, and creates a roadmap of interventions for the specific supply chain that can be used to reduce its carbon impact. The selected interventions are proposed based on agronomic expertise from the field teams, considering appropriate and feasible interventions. We want to support farmers to tackle the challenges they face and incentivise climate resilience,” says Leon. When ECOM’s climate department was established in 2021, the team didn’t set out to reinvent the wheel but to look at the work that was already being done and build on that to quantify and, in turn, further
reduce and remove carbon from the coffee supply chain. “Coffee is a commodity with many opportunities because there is a lot of willingness from our partners to implement carbon projects. In many projects there are existing sustainability programs, therefore our job is to see what we can introduce or scale up to the work that’s already being done,” says Nicod. “These programs can focus on a wide range of priorities, from achieving certification premiums to planting new trees to ensuring a living income.” One of the team’s priorities is introducing programs designed to increase resilience to climate change while also improving productivity. Nicod says this is key to reducing the carbon footprint of coffee by producing more on the same land. What’s more, each of these programs is tailored to the specific origin. “A project in Colombia is going to look very different to one in Brazil. For example, coffee farms in Colombia often have more shade trees, which can impact carbon sequestration, whereas farms in Brazil typically operate in full sun, requiring different sustainability approaches. Our field technicians and agronomists are essential to this tailored programming and work closely with the farmers to decide what will be feasible and benefit the individual farm,” says Leon. “Many of our farmers are interested
in adopting regenerative farming practices with the right incentives and safeguards. Farmers have shared how these practices are helping their coffee thrive, with improved resilience to pests, diseases, and climate shifts. Their feedback and adaptation of these methods are just as valuable as the knowledge being shared, and we’re grateful for this joint effort.” Leon says, despite many farmers being engaged with sustainability projects, an important factor of introducing these regenerative projects is providing incentives and financial support through the transition. “We want farmers to feel part of the strategy, and that’s why the data collection through Green Meter and the feasibility analysis really make sense for us,” she says. “Now Green Meter is up and running, we continue to focus on using it to assess emissions and obtain data that can support us in assessing the climate resiliency of farmers. Climate resilience and supporting farmers to create a higher value for their products through carbon is a common goal that we share, which inspires us every day to keep pushing forward.” GCR
For more information, visit ecomtrading.com
ECOM’s Green Meter tool analyses primary data from farms to produce emissions and removals reports.
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SUSTAINABILITY
Images: Simonelli Group.
SI MON E L L I GROU P
The development of the Black Eagle Maverick resulted in an energyrequirement reduction of almost 37 per cent compared to the previous model.
Prioritising the planet Simonelli Group is working to make the world of espresso more sustainable. CEO Marco Feliziani shares the company’s eco-friendly initiatives and its new energy-saving technology.
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USTAINABILITY has been a core pillar of Simonelli Group’s philosophy for decades. While some European manufacturers only began considering their environmental impact after the European Union (EU) set the ambitious goal of reaching net-zero carbon emissions by 2050, Simonelli Group – which encompasses brands Nuova Simonelli and Victoria Arduino – has long been producing some of the most energyefficient espresso machines on the market. For CEO Marco Feliziani, the company’s approach to sustainability stems from a deep respect for people and the environment, which he says also generates long-term sustainable shared value for Simonelli Group’s investors. “At Simonelli Group, we are committed to driving meaningful changes that benefit not only the planet but also our local community in Belforte del Chienti and the communities of our customers around the world,” says Feliziani. Under the EU’s Corporate Sustainability Reporting Directive, due to commence in 2026, all large companies will need to disclose their carbon emissions. This
includes Scope 3 emissions, indirect emissions that occur outside of the company’s direct operations. Since 2019, Simonelli Group has reported its Scope 1 and 2 emissions and published an annual sustainability report. The reports highlight how the company has reduced the energy consumption of its headquarters by installing solar panels, switching to 100 per cent renewable energy sources, reducing natural gas consumption by 36 per cent, and increasing self-produced energy by 33 per cent, among other initiatives. “We have just received our 2024 carbon audit, which includes Scope 3 emissions for the first time. Although not yet mandatory, we felt it was important to assess the downstream impacts of our products when in use in cafés,” he says. “In Scope 3, around 96 per cent of our impact comes directly from the energy consumption of our espresso machines in coffee shops. Over the past 20 years, we’ve focused on assessing and reducing the energy consumption of our products, conducting Life Cycle Assessment (LCA) studies since 2011, to name just one initiative. This report confirmed our hard
work has paid off – work we began long before Scope 3 even existed.” A major focus of Simonelli Group’s research and development (R&D) team has been energy recovery systems and thermal stability. Feliziani highlights the advancement from the Victoria Arduino VA388 Black Eagle espresso machine to the Black Eagle Maverick, which resulted in an energy-requirement reduction of almost 37 per cent. “We developed a Thermal Energy Recovery System, which uses the hot water discharged from flushing the group head to warm up new water entering the boiler,” he says. The Black Eagle Maverick also features a more efficient boiler. While the VA388 Black Eagle required a 14-litre boiler to deliver peak performance, the Maverick delivers the same pressure and consistency with less water from an eight-litre boiler. Also designed to produce fewer emissions is the Victoria Arduino Eagle One machine. Its NEO engine features an instant heating system with a unique insulation mechanism, which reduces both heat dispersion and energy
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consumption. A LCA found that, compared to other machines in the same category, the Eagle One has a 23 per cent lower environmental impact. In fact, the company is already working on the next generation of Eagle machines, featuring a new insulation system that will reduce energy consumption even further. “I can’t say too much about it at the moment, but our R&D team has been working very hard to produce our most sustainable machine to date,” says Feliziani. In December 2024, Simonelli Group acquired a stake in Swedish filter machine company 3TEMP. Feliziani says the company’s shared commitment to sustainability and energy-reduction was pivotal in the acquisition. “3TEMP brewers are boilerless, so they only heat up the exact amount of water needed. This makes a huge difference in terms of energy consumption, while also delivering much better results,” he says. “The team at 3TEMP share our values, so we felt the partnership was a natural fit. Our search for the right partner to accelerate our ambitious growth plans has always been focused on finding a company that aligns with our relentless commitment to quality, innovation, and sustainability.” Feliziani says that recent consolidation in the café and coffee shop sector has led venues to increasingly look for sustainable options when updating their equipment. “The industry has changed in recent years and big corporations are now leading the market. These big companies face increasing pressure to report on their environmental and social impact, not only from governments but also from consumers,” he says. “We were one of the first manufacturers to offer products that are Leadership in Energy and Environmental Design (LEED) compliant. LEED is a globally recognised green building certification system that allows venues to earn points towards the certification of their own buildings by the implementation of our products.” To remain at the forefront of innovation and sustainability, Simonelli Group invests in two tiers of research: an internal R&D team of engineers, and its Research and Innovation Coffee Hub (RICH), founded in 2016 in collaboration with the University of Camerino. Whereas the internal team work on the development of new equipment and technology, RICH focuses on a wider range of topics. “Around 90 to 95 per cent of the Hub’s
research is centred in sustainability,” says Feliziani. “One of the most recent projects focused on recovering caffeine and other compounds from spent coffee grounds. In order to reduce waste, it explored reusing these caffeine compounds as ingredients for energy drinks.” For Feliziani and the whole company, sustainability means more than just developing espresso machines and grinders with a reduced impact on the planet. Every year, the company sets a range of goals – from corporate to environmental – with one of the key focuses being society. The company allocates one per cent of its net profits to support social initiatives. “We are constantly engaged in projects that align with our values of social responsibility. We support local cultural institutions and private organisations that promote inclusion and assist vulnerable social groups. For instance, we support the local basketball team and recently invested in a school for young women who want to play the sport,” he says.
“These projects are part of our broader philosophy to give back to our community, as well as to our shareholders and stakeholders. As a company, we’re not only responsible for maintaining a profitable business but also have a social responsibility to the network around us. For this reason, we’re currently launching a startup incubator to provide qualified training programs, facilities, and networking support to promising startup projects with sustainable and innovative business ideas.” Simonelli Group’s effort to make a positive impact also extends to the people within the company. With nearly 250 employees worldwide, Simonelli Group is strengthening its welfare offerings with economic support, service benefits, and training opportunities to help achieving a better work-life balance. GCR
For more information, visit simonelligroup.com
For Simonelli Group CEO Marco Feliziani, the company’s approach to sustainability stems from a deep respect for people and the environment.
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SUSTAINABILITY S Y N T E G ON
Images: Syntegon.
Signed, sealed, sustainable
Syntegon is helping companies navigate sustainability requirements with its packaging laboratory, consulting services, and industry foresight.
How Syntegon ensures its customers are regulation ready with its sustainable packaging portfolio and tailored solutions.
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VERY LAYER of coffee packaging serves a purpose. Usually, there’s an inner layer for strength and sealing, an aluminium layer or barrier layer to shield the coffee from external elements, and an outer layer to enhance the product’s premium appeal as well as an additional degassing valve to preserve freshness. With the European Union’s Packaging and Packaging Waste Regulation (PPWR) set to be enforced by 2030, and consumers increasingly looking for eco-friendly alternatives, each of these layers and all elements of the packaging together must meet recycling standards. Given that each component is made from different materials for specific functions, how can roasters ensure their packaging complies with PPWR requirements? The team at Syntegon are helping companies navigate these complexities with their packaging laboratory, expert consulting services, and industry foresight, ensuring customers are not facing these challenges alone. Backed by its sustainability regulationready packaging solution portfolio – ranging from packaging materials to line machines – one of the company’s standout features is its tailored consultancy.
However, its core strength according to Ellen Reichmann, Syntegon Group Leader of Application Engineering, is its ability to remain ahead of the regulatory curve, which helps ease customers into future sustainability frameworks. “When we first started work on this in 2020, we expected the regulations to be in place by 2025. Now, five years later, we’ve made a lot of progress,” says Reichmann. As an example of this progress, Syntegon has assisted the German roaster NewCoffee in transitioning to the Package Maker PMX, a new machine capable of handling both conventional and mono-materials. The roaster made the proactive decision to switch before the legal requirements were fully defined. “It turned out to be the right decision, as the roaster is now one of the first to adopt this technology and is already in production. The successful transition shows the move to these materials is not only possible but also advantageous,” says Reichmann. As the industry prepares to transition to a new sustainability framework, she highlights the importance of selecting the right mono-materials and understanding how they differ from current standard
materials. Syntegon’s consultancy services are available to modify solutions and guide companies through this process. The advantages of mono-materials lie in recyclability and sustainability, but not necessarily in the processing of the materials or improving their properties. When it comes to barrier properties, Reichmann says materials with an aluminium layer currently provide the best protection. “At the moment, there is no recyclable material with comparable barrier strength. However, there are other materials that still offer adequate protection for coffee, ensuring a shelf life of about one to one and a half years, with some providing up to two years,” says Reichmann. She explains that current standard materials, such as aluminium laminate as well as those containing polyester layers, are not recyclable. In contrast, newer recyclable materials are emerging such as mixed polyolefin, which is in its commercial production phase. “Even better are mono PP (polypropylene) or mono PE (polyethylene) structures, as these are almost entirely made from the same material,” she says. When comparing mono-material bags
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Images: Syntegon.
to traditional ones, they tend to be softer and less stiff than those made with PETaluminium structures. While the sealing might be good, Reichmann explains the reduced stiffness can make them harder to process on the production line, as the bags can fall from the edges or struggle to maintain their shape. “The mechanical resistance is not as strong as with PET-aluminium structures, making them also more challenging to convert during printing and laminating processes. This is because, with less stiffness, there is more elongation during production,” she says. Although these mono-material bags offer less barrier protection, they are recyclable, which is a significant decisive factor for consumers as the industry shifts to ecofriendly solutions. “It’s not just about complying with legal requirements – the market is also driven by consumer preferences,” says Reichmann. To assist with legal requirements and production efficiency, Syntegon has a dedicated packaging lab where the team of packaging engineers can test materials independently of the manufacturers. “This allows us to test before fullscale production begins, saving our customers time and effort while ensuring product safety. This is something that adds significant value to the process,” says Reichmann. During the implementation process, the lab first tests materials using Syntegon’s packaging machine technologies, then move to full-scale production on the packaging line. This process involves collaboration between brand owners, film suppliers, and Syntegon as the machine supplier. Reichmann explains that film suppliers may ask the team to test material suitability, for which they use lab tests and a small packaging line to provide early insights. This helps improve materials before presenting them to the customer and avoiding costly production interruptions. She also highlights how Syntegon is continually improving critical interaction points between the coffee packaging machine and the packaging material, which are a key focus for optimisation. “In our machines, we’ve also made adjustments to improve the process. We guide the material more effectively before feeding it into our vacuum lines. We use spreaders to open the bags and employ guidance reels to ensure the seams are fixed to the bottom when the material is still
warm after sealing,” she says. “And by cooling it down with the guidance reel, we ensure the material stays in place. Without this guidance, the material could slip back, which would lead to misalignment and other issues.” While certain aspects of the machine cannot be altered, understanding the material’s value limits helps anticipate its behaviour when fed into the machine. In response to these insights, Syntegon is aware of common technical difficulties and proactively develops solutions to address them. “Sealing is critical, as it’s essential to ensure the bag is tight and properly protects the coffee,” says Reichmann. “New materials are sensitive to heat, and since they often have layers made from the same base material, their melting points are very close to each other. When sealing, there needs to be a temperature difference between the outside and inside of the bag, as heat is transferred from the outside to the inside. “Sealing times can also be optimised using both mechanical adjustments and software – the latter can be used to track and better control the temperature.” She believes that smart machines with data monitoring functions can be helpful
in detecting issues early on. Ideally, machines could be self-regulating, meaning they could recognise changes in sealing temperatures and adjust accordingly. “If the machine detects an issue with the sealing temperature, it could automatically lower the temperature a few degrees to stabilise the system. This is important because maintaining the correct temperature in the sealing tools is affected by factors like the room temperature or machine speed,” says Reichmann. Yet, perhaps the most crucial part of the process is ensuring the end consumer is properly educated. “We can use smart features for consumer education. By labelling the packaging or including a QR code, consumers can easily access information about how to dispose of or recycle the material properly,” she says. “When consumers know whether a bag is paper, plastic, or something else and how to recycle it properly, they are more likely to follow the correct recycling procedures. Clear instructions make it easier for everyone involved.” GCR
For more information, visit syntegon.com
Ellen Reichmann, Syntegon Group Leader of Application Engineering.
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Green Meter: A tool that calculates your coffee, cocoa and cotton supply chain's carbon footprint to support decarbonization and climate resilience
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REGIONS ON THE RISE N E PA L
Nepal has an estimated annual output of 400 to 500 tonnes of coffee. Image: Mikhail/stock.adobe.com.
Regions on the rise Nepal Global Coffee Report spotlights Nepal and the unique geographies that give rise to the complex flavour profiles it produces.
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EPAL MAY NOT BE the first region
that comes to mind when thinking of coffee origins. However, the country is home to not only the world’s highest peak but also some of the most distinctive coffee varieties in the market. While Nepal may not be a major contender in the global coffee market, with an estimated annual output of 400 to 500 tonnes – dwarfed by Brazil’s 2.68 million tonnes – it stands out for the quality of its production, the unique geography in which its coffee is grown, and the processing methods that shape its beans’ distinct flavour profiles. Of the 75 districts in the country, coffee is cultivated in around 43, with more than 35,000 farmers directly involved. Farms typically range from one acre to one hectare in size, usually located at elevations between 800 and 1600 meters above sea level, making the output primarily microlot coffee. As a relatively small market, the Nepal Coffee Producers Association (NCPA) helps connect Nepalese coffee to the global specialty market by unifying producers, smallholder farmers, and cooperatives from the growing regions. Nima Sherpa, Coffee Producer at Lekali
Coffee Estate in Kathmandu, is a member of the NCPA and says the association teaches best cultivation practices, processing methods to ensure consistency, strategic marketing support to expand market reach, and promotes sustainable practices across the supply chain. Safeguarding coffee in this region by developing new varieties is as important as ever as coffee gains popularity in both local and international markets. “Coffee has experienced a boom in domestic consumption, and it’s slowly becoming an important part of the economy and adding income streams,” says Sherpa. Although Nepal is traditionally a teadrinking country with tea the primary crop for many farmers, the growing demographic of coffee drinkers is adding new revenue streams for farmers, who are now benefiting from growing the commodity. “Coffee is adding a new income stream for farmers in addition to traditional agricultural crops. Compared to growing other crops, coffee offers two to three times better prices and revenue. This has significantly boosted income generation for these farmers,” says Sherpa.
While Nepal doesn’t have a long history with coffee, Sherpa says over the past five or six years there has been a noticeable increase in interest from farmers – whether they own private coffee farms, are part of cooperatives, or are smallholder farmers. He attributes this to the effects of globalisation. “One reason for this is that many young people in Nepal are going abroad to get proper education and then returning home. When they come back, they bring new habits with them, including a love of fresh coffee. This has led to increased demand for Nepali coffee,” he says. “Additionally, many migrant workers, especially those going to Gulf countries, own land back in Nepal. They’ve realised coffee is a globally sought-after product, so they are starting to grow it back home to generate a good income.” As a result, the NCPA has been active in running advocacy programs to help these farmers benefit from coffee cultivation, and this is contributing to the growing coffee economy in Nepal, as well as to the community at large. “The NCPA supports producers in growing coffee by helping them improve productivity and quality. We focus on GLOBAL COFFEE REPORT
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FEATURE N E PA L
Coffee is adding a new income stream for Nepalese farmers in addition to traditional agricultural crops. Image: Lekali Coffee Estate.
improving processing standards as well. At the same time, the NCPA works to link the market with buyers for their coffee,” says Sherpa. He says one of the key industry challenges is the migration of labour from Nepal due to unemployment. “Coffee is one sustainable crop that can help reduce this labour migration. With the help of the NCPA, we’re running advocacy programs in rural areas of Nepal, encouraging people to grow coffee as a cash crop,” says Sherpa. Although situated at the top of the world, regions in Nepal are not immune to the effects of climate change. It is a global issue, and Nepal is no exception. To address this and safeguard the coffee growing regions, the NCPA is conducting various agricultural training programs focusing on soil health, proper pruning practices, and improved processing techniques. These efforts help farmers improve the quality of their coffee. The effects of climate change, according to Sherpa, are particularly noticeable in the lowlands of Nepal. “Traditionally, coffee in Nepal has been grown at elevations between 1000 to 1400 meters. However, with ongoing climate change, the coffee needs to be grown at higher altitudes,” he says. At higher elevations – especially as farms creep above 1600 metres – frost poses a significant challenge. To mitigate this, the NCPA and industry stakeholders are
working on introducing coffee varieties that are resistant to frost and diseases. “We’re also exploring rare, exotic varieties, and any other options we can to improve the yield per plant. At the same time, we’re focusing on plants that have better resistance to the fluctuating temperatures happening globally,” says Sherpa. Complex and nuanced
Nepal’s unique geography has an influence on its coffee-growing regions, with the country’s distinct microclimate differentiating it from other coffeegrowing regions around the world. Typically, the ideal growing temperature for Arabica coffee is between 18 and 22 degrees Celsius, but Nepal doesn’t quite fit within that zone because it is not in the equatorial belt and its altitude creates a very different climate. According to Sherpa, this microclimate serves as an advantage for coffee growing. The temperature swings between daytime and nighttime are not extreme, which is beneficial for the plant. And since coffee harvest in Nepal starts later compared to other countries – usually from the beginning of December to the end of March or early April – this period allows the coffee cherries to develop unique flavour profiles. Nepalese coffee flavour profiles can range from fruity and floral to complex and nuanced, with a distinct brightness that reflects the cooler, high-altitude growing conditions.
“It has a lot of sweetness, a body reminiscent of tea, and a citrusy acidity. The coffee tends to have chocolatey notes, with some flavour characteristics similar to Brazilian and Colombian coffees. It also has the clean processing profile found in Kenyan coffee,” says Sherpa. In recent years, with the evolution of processing techniques – such as extended naturals, extended honeys, and anaerobic processing – the flavour profiles of Nepalese coffee have become even more developed. “The same coffee can taste different depending on the processing method used, such as washed versus anaerobic or extended naturals. Farmers are experimenting with these processes, which is making the coffee even more diverse in terms of flavour,” says Sherpa. Quality over quantity
Since Nepalese coffee is not produced in large volumes, its competitive advantage lies in its quality and is what sets it apart from major economies such as India and China. “As long as we focus on maintaining and improving that quality, we want our buyers, roasters, and importers to not just purchase Nepali coffee but to also showcase our story. Coffee in Nepal is grown in very remote areas, where farmers face numerous challenges such as no roads, no electricity, and limited resources,” says Sherpa. “Our aim is to highlight these farmers’ stories, as it’s not just about selling coffee:
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it’s about sharing the experience and the journey of the farmers. Through platforms like this, or through partnerships with roasters, we want to make sure the story of Nepali coffee is told, and that there is a genuine respect and appreciation for it. It’s not only about the coffee itself but also about the people behind it.” One such roaster sharing this story is David Kennedy of Bun Coffee in Byron Bay, Australia. With more than 30 years of experience within the coffee industry, he says he rarely encounters a single origin that ticks as many boxes as Nepalese coffee. Beyond a superior flavour profile, Kennedy says the coffee aligns with his own ethical and sustainable ethos – and it’s certified organic. “Not only are they great people to deal with but it’s also a great coffee, and it fits in with our ethos of being sustainably grown. It helps the communities around where they grow it and it’s a beautiful coffee to drink as well,” he says. The processing methods used on Bun Coffee’s Everest Supreme single origin are straightforward: it’s washed using water that comes from a river fed by the Himalayan snow melt. “The processing methods fit into that classical coffee flavour,” says Kennedy. The Everest Supreme single origin is sourced from an estate about 75 kilometres north of Kathmandu, and is grown at
an elevation of 610 metres, alongside the Trishuli River in the Ganesh Himal mountain range. Above all, Kennedy notes that sustainable practices are the main appeal of Nepalese coffee. “They also work with the International Centre for Integrated Mountain Development, which works to fortify agriculture in the region – not just Nepal. They aim to help people with agriculture to grow sustainably, and to help the environment and the people that are growing the products,” he says. “It’s really good for us to be able to work with someone like that.” Demand boom
As the demand for Nepalese coffee grows, both globally and domestically, the industry is facing a bottleneck in supply. “The supply of coffee has been inconsistent, which is one of the main challenges. To meet the growing demand, we need to increase the supply, and that starts with improving productivity,” says Sherpa. To invest more in the farms and introduce more coffee varietals that are disease-resistant while still maintaining the specialty quality, growers like Sherpa are working with the NCPA and the Nepal Coffee Development Board to launch various productivity programs. “These include workshops where we go to
different rural areas and educate farmers on growing specialty coffee and the technical know-how required to improve their farms,” he says. Additionally, Sherpa says private companies are showing interest in investing in coffee farms, which will help improve the overall supply chain and increase coffee yields. “With more investment and education, I believe the coffee industry in Nepal will continue to grow and thrive in the coming years,” he says. To meet this growing demand, increasing productivity is a key focus for the next few years. Nepal is seeing a rise in interest for its coffee, but the challenge lies in scaling up the production. “If we can improve productivity over the next five years, I truly see Nepal becoming one of the rising players in the specialty coffee sector, known for producing highquality, unique coffees,” says Sherpa. “Nepalese coffee is a product of dedication, innovation, and a strong desire to improve both the quality and livelihood of the farmers. The coffee industry in Nepal may still be in its early stages compared to some other countries, but the potential for growth is immense. The combination of a unique flavour profile, a dedicated community of farmers, and a focus on sustainability makes Nepali coffee a rising star in the global coffee market.” GCR
Increasing productivity among Nepalese coffee farmers is a priority over the next five years. Image: Lekali Coffee Estate.
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INDUSTRY INSIGHTS E V E R S YS
Sontag Founder Joseph Lee says he found the Eversys Shotmaster first and built the rest of the café ecosystem around the machine. Image: Sontag.
Coffee for all How Eversys’ super-automatic Shotmaster machine is empowering one independent café owner to make specialty coffee more accessible and affordable.
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N 2025, CONSUMERS can expect to
pay around £4.50 (US$5.80) for a specialty flat white in London, United Kingdom. Rising green bean, rent, and energy rates – among other factors – have seen the price of a cup of coffee increase at hospitality venues around the world, with the specialty sector not immune to these pressures. Despite these challenges, when Joseph Lee established Sontag in the heart of London in 2024, he did so with the core aim of making specialty coffee accessible and affordable for everyone. For him, this meant keeping the price of a specialty flat white less than £3.60 (US$4.60) – something rarely seen in the capital city. “Sontag was inspired by the writer Susan Sontag and the idea that there’s high culture and low culture, and that each is only available to certain groups. Our ethos explores how we can make the beautiful experience of specialty coffee accessible to everyone,” says Lee.
“In this current climate, we want to make quality coffee more economically viable for more people. I believe we’re one of very few coffee shops in central London serving very good beans and charging £3 to £4 per cup.” Unlike most café owners who start with the initial idea for their venue and then choose a machine and equipment to fit with their vision, Lee says he found the Eversys Shotmaster first and built the rest of the café ecosystem around the super-automatic espresso machine. “My background is in tech and hospitality, so I think that set me up to view innovation as a method to improve quality and experience,” he says. For Lee, the Shotmaster was the key to making quality coffee affordable. He says the machine enables Sontag’s baristas to serve customers quickly, efficiently, and consistently without years of barista experience. “More than 60 per cent of our baristas had no barista experience or training before
they started with us. Using the Shotmaster, they quickly have confidence navigating the machine, therefore much of our training is based on brewing a strong specialty coffee culture at the café,” he says. “It’s increasingly difficult to find experienced baristas in London, but we believe talent isn’t just about what’s on a CV. There are passionate people out there who haven’t yet had the chance to break into specialty coffee. At Sontag, we’re committed to lowering the barrier to entry for the industry. With our automated systems and supportive training environment, we can teach the skills needed to thrive.” Long queues are a rare occurrence at Sontag, with the morning rush of office workers quickly tamed thanks to the Shotmaster. The machine can produce a significant number of espressos per hour, depending on the operator’s coffee recipe. “Customers are often very surprised at how quickly the queue goes down,” he says. “People will come in and comment
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on how quiet it is, but it’s not that we don’t have any customers – they’ve just already been served.” Around 60 per cent of Sontag’s menu is crafted via the Shotmaster. Responding to the trend for chilled and signature drinks, matcha drinks make up around 40 per cent of the offering, with the milk for matcha lattes prepared using the superautomatic machine. In terms of quality and consistency, Lee says the shots produced are as good – or better – than any other machine he’s used. “We regularly host cuppings at the shop, and people in the industry are often surprised by the quality the machine delivers,” he says. “But at the end of the day, it’s how well you look after a machine that will determine the quality. You could have the best machine in the world, but if it’s not maintained the quality will drop. The Shotmaster cleans itself, so as an operator that removes a responsibility while maintaining the high level of consistency.” Lee believes Sontag is the first specialty coffee shop in the UK operating exclusively with an automatic machine from day one. While the specialty coffee world often debates automation versus tradition,
Sontag’s customers aren’t concerned. “For them, it’s simple: consistently excellent coffee, served quickly and thoughtfully. We’re here to help shift the industry’s perception – and set a new norm for what great coffee can look like,” Lee says. “I would guess around one in every 200 customers comments on the machine, and when they do it’s usually curiosity. We don’t hide it away or cover the logo, the Shotmaster is more than a machine to us – it’s the vehicle that drives our business.” The compact size of the Shotmaster gives the Sontag team more space to prepare other drinks such as pourover coffees. If the shop is quiet, sometimes the barista will steam the milk manually using the steam wand, but Lee says the machine itself produces a very high standard of textured milk. Around 50 to 60 per cent of Sontag’s customers are regulars – an impressive figure for a café located just steps from Covent Garden, The British Museum, and other major tourist destinations. For Lee, the key to this loyalty lies in the freedom the Shotmaster provides. With the machine handling precision brewing, the team have more time to connect with customers, build relationships, and foster a
daily routine for the community. “The machine frees up the barista to have a good conversation with each customer. They feel empowered using the machine, and that gives them the confidence to spend more time on each person who comes through our door,” he says. While the Sontag setup is unique and faces competition nearby from big coffee chains including Starbucks and Costa, Lee says the concept is working well and that other independent coffee shops could learn from its example. “Having our café concept designed around a super-automatic machine doesn’t only serve our ethos of making specialty coffee more accessible but also solves the wider problem of managing the rising costs the industry faces,” he says. “What we have created is a step towards making the independent café business model more sustainable. I believe this could be a way to level the playing field so that independent coffee shops can compete with the corporate conglomerate coffee chains.” GCR For more information, visit eversys.com/en The compact size of the Shotmaster gives the Sontag team more space to prepare custom drinks. Image: Social Fixation.
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INDUSTRY PROFILE A L M AC A F É
Coffee accounts for about seven per cent of Colombia’s GDP.
Images: Almacafé.
The Colombian connection Iván Andrés Galindo, CEO of Almacafé, discusses the Colombian coffee sector’s unique blend of tradition and innovation, the structural challenges requiring a new vision, and its opportunity to become a global leader.
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HILE MANY producing countries are forecast to struggle to gain much growth in the 2024-25 coffee harvest, Colombia appears to be bucking the trend with an anticipated yield of about 14 million 60-kilograms bags – up 23 per cent from 2023-24. The country’s success has been attributed to several factors, including advances in sustainability, productivity, traceability, climate-resistant crops, and market diversification. For Iván Andrés Galindo, CEO of Almacafé, the positive outcome is a result of the Colombian coffee industry working in harmony. “It is essential that the international coffee industry values the single most essential link in the value chain: the coffee grower. We must appreciate the effort, tradition, and resilience of the more than 530,000 coffee growers who make each harvest possible, maintaining a balance between tradition and innovation,” he says. “When you buy Colombian coffee, you are not only buying a high-quality product but also supporting a coffee tradition that represents the hard work of thousands of families, respect for the land, and a
sustainable production model that seeks the long-term prosperity of the sector.” Coffee is critical to Colombia. It accounts for about seven per cent of the country’s GDP and almost 12 per cent of its total agricultural export. Coffee cultivation employs around 2.5 million of its 52.3 million population, with the 2024 Colombian crop valued at more than 14 trillion pesos (US$3.14 billion). Almacafé has played an important role in Colombia’s coffee industry since 1965. As the logistics arm of the Colombian Coffee Growers Federation (FNC), its main purpose is to provide efficiency and quality in the storage, handling, and distribution of Colombian coffee. “Over the years, we have evolved into a comprehensive logistics operator, offering specialised solutions in logistics, storage, transformation, evaluation of coffee quality, customs agency, and transport management. Our main focus continues to be the coffee industry, where we have our own production processes, such as threshing, roasting, and maquilas,” says Galindo. “Within the coffee supply chain, we play
a key role by acting as a bridge between producers, cooperatives, exporters, and international buyers. We make sure Colombian coffee retains its freshness, quality, and certified origin, meeting export requirements and facilitating its arrival in global markets such as the United States, Europe, and Asia.” The company is recognised as an Authorised Economic Operator, which means it has been approved by or on behalf of national administration in compliance with the World Customs Organization or equivalent. As the FNC’s specialised logistics operator, its work is aligned with the Federation’s principles and objectives, directly contributing to the development of coffee growers and the strengthening of the value chain. “Almacafé is more than a logistics operator: it is a strategic ally of the Colombian coffee sector, working daily to strengthen the competitiveness and sustainability of our industry and the coffee sector in the global market,” says Galindo. “We also work with an institutional commitment to strengthen the industry,
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Images: Almacafé.
protect the interests of coffee growers, and ensure the long-term sustainability of Colombian coffee growing.” Galindo joined Almacafé in September 2023, bringing with him more than 15 years of experience in the logistics sector. “What attracted me to Almacafé was its key role in the logistics and processing of Colombian coffee – a dynamic and strategic sector,” he says. “The combination of innovation, logistical challenges, and the impact on national coffee growing motivated me to contribute to the growth of this organisation.” He says Colombia’s unique geography and climatic conditions provide the ideal environment for growing highquality beans. “Colombian coffee is recognised worldwide for its exceptional quality, unique sensory characteristics, and the reliability of its production chains,” he says. “The adoption of new technologies, the strengthening of international certifications, and the growth in specialty coffee consumption have boosted its global competitiveness.” Over the past few years, Almacafé has contributed to this growth by promoting new logistics and production solutions. Its Fulfilment Project, for example, was developed to optimise order management, storage, packaging, and distribution to ensure efficient delivery both nationally and internationally. “We have also introduced controlled environment silos that are designed to keep the beans in optimal condition close to the milling centres, which also minimises shipments to nature conservation centres,” he says. “What’s more, we have developed a stateof-the-art coffee capsule production plant for domestic and international markets and established Regional Industrialisation Centres in the main coffee-growing regions to assist growers in their continued climb up the value chain.” While the Colombian coffee industry prospered in 2024, Galindo admits, like many other producing countries, it has faced challenges. He highlights climate variability, rising production costs, and volatile international prices that directly affect producer profitability and the sector’s sustainability. “Colombian coffee growing faces structural challenges that require a renewed vision,” he says. “In this context, it is essential to promote the transformation and industrialisation
of coffee, adding value from the source, accessing differentiated markets, and responding to new commercial demands.” The implementation of efficient fulfilment models, the modernisation of processing plants, and the optimisation of transportation are further factors Galindo identifies as key methods to improve productivity, reduce costs, and strengthen the logistics chain. “At Almacafé, we are committed to this transformation and the creation of value in the sector, offering innovative solutions and efficient logistics that will overcome these challenges and strengthen the competitiveness of Colombian coffee globally,” he says. “We are promoting key projects such as the expansion of the Regional Industrialisation Centres in the roasting and milling service, and the coffee cherry processing and processing plants. We are also optimising distribution with our transportation subsidiary and the rail operation in Big Bags.” The Big Bag project has been introduced to offer efficient and sustainable transportation of large volumes of coffee, which Galindo believes will revitalise the country’s rail network while also strengthening export logistics operations. “We aim to be an engine of development for the country, boosting the productivity
of coffee growers and entrepreneurs, and supporting them on their path to prosperity. We not only evolve with the industry but also lead its transformation,” he says. On the back of Colombia’s success in the 2024-25 harvest, Galindo and the team at Almacafé are optimistic about the future of the local coffee industry. “We hope the Colombian coffee industry will continue to consolidate its global leadership, driven by innovation, sustainability, quality, and a profound transformation that includes industrialisation and modernisation processes. We work to be a profitable sector in which all actors in the chain prosper – especially coffee growers – so they have better opportunities, access to new markets, and benefit from optimised transportation and logistics,” he says. “We believe in a future where Colombian coffee continues to be a global benchmark, supported by a robust, transformed, and efficient supply chain, and an increasingly competitive and prosperous coffee sector. As our General Manager, Germán Bahamón, says, ‘Colombian coffee has more future than past’.” GCR For more information, visit almacafe.com.co/en/
Almacafé is the logistics arm of the Colombian Coffee Growers Federation (FNC).
GLOBAL COFFEE REPORT
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FEATURE A LT E R NAT I V E M I L K S
Starbucks removed its alternative milk charge in the US and Canada in November 2024. Image: Starbucks.
The alternative tax
In the United States, alternative milk charges are rapidly being dropped at café chains across the country. What’s causing the movement and is it overdue?
P
eet’s Coffee CEO Eric Lauterbach probably didn’t have receiving a letter from The Beatles icon Sir Paul McCartney on his March 2025 bingo card. Teaming up with animal rights organisation PETA, the musician called on Lauterbach to remove alternative milk charges from the menu of the roaster’s 200 coffee bars across the United States (US). In the letter, McCartney said: “I must say this [vegan milk upcharge] surprised me as I understand that your company is committed to reducing methane emissions and water waste, yet cow’s milk significantly contributes to them. I would like to politely request that you consider dropping the upcharge on plant milks, just as Starbucks
and Dunkin’ have recently done.” This pressure on Peet’s is the latest in a chain of events that has seen many of the US’ biggest coffee chains drop additional charges for dairy alternatives. Since the late 2010s when soy, oat, almond, and other milk substitutes increasingly became commonplace on coffee menus, most cafés have charged extra for their use, with many stating this was due to plant-based milks being more expensive than dairy. And the data suggests this is the case. Retail statistics from 2022 revealed that on average plant-based milk cost US$7.87 per gallon while cow’s milk was $4.21 per gallon. Despite dairy milk production being much more resource-intensive than the alternative milk industry, milk alternatives
are thought to be more expensive for a number of reasons, including the financial support the dairy industry receives from the US Federal Government. Despite the price difference, there’s a growing movement in the country looking to end alternative milk charges, with some suggesting the additional cost is discriminatory. As such, in November 2024 the No Milk Tax campaign was launched by The Center for Responsible Food Business. “Non-dairy surcharges are discriminatory because they unfairly penalise those who cannot digest dairy, including the majority of people of colour,” says Taylor Warren, President of The Centre for Responsible Food Business. “As much as 75 per cent of the global
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population is lactose intolerant. About 50 million Americans are lactose intolerant, including 80 per cent of Black Americans, 90 per cent of Asian Americans, and 50 per cent of Latino Americans. This population is forced to choose between paying up to $1.50 more for non-dairy drinks or risking nausea, diarrhoea, bloating, gas, and abdominal pain.” Warren believes the surcharges also disproportionately disadvantage consumers who choose not to consume dairy products due to health, sustainability, or ethical concerns, incentivising customers to avoid an option that he says is better for their own wellbeing, the environment, and animal welfare. The No Milk Tax campaign was launched in response to Starbucks’ announcement on 30 October 2024 that it would be removing alternative charges from its US stores. Warren says he saw Starbucks’ decision as an opportunity to accelerate change. “No Milk Tax aims to capitalise on that momentum to ensure fair pricing for nondairy milks becomes standard practice in the coffee industry as rapidly as possible,” he says. “Consumers are increasingly aware of dairy’s environmental impact and health concerns, and we support efforts that make sustainable, non-dairy options more accessible. We also believe this change benefits companies. For them, dropping the ‘milk tax’ is not just about customer demand: it’s about staying relevant.” Despite other large café chains dropping the charge before Starbucks – most notably Panera Bread in 2020, which is thought to be the first major brand to make the move – the US’ biggest coffee chain started a ripple effect in the industry. Removing the charge in the US and Canada was one of the first major moves by incoming CEO Brian Niccol, who pledged to get Starbucks back on track. “Core to the Starbucks experience is the ability to customise your beverage to make it yours. By removing the extra charge for non-dairy milks we’re embracing all the ways our customers enjoy their Starbucks,” said Niccol at the time of the announcement. The company says that since the charges were removed on 7 November, its customers in the US and Canada have been taking advantage of the change. In its first quarter 2025 results, Starbucks reported its non-dairy customisations had grown year-over-year.
“About 50 million Americans are lactose intolerant, including 80 per cent of Black Americans, 90 per cent of Asian Americans, and 50 per cent of Latino Americans.” Taylor Warren
PRESIDENT, THE CENTRE FOR RESPONSIBLE FOOD BUSINESS
“As we shared last quarter, we’ve seen strong increases in customer interactions with our brand and non-dairy customisations grew mid-single digits year-over-year off a double-digit decline in the prior year. Additionally, price parity for non-dairy milk customisations brought back lapsed Starbucks Rewards members,” says a Starbucks representative. “We are also supporting growth in dairy-free alternatives around the world
Taylor Warren, President of The Centre for Responsible Food Business, says non-dairy surcharges are discriminatory. Image: The Center for Responsible Food Business.
by introducing no extra charge for nondairy substitutes in more than 25 markets globally. As with everything on our menu, we continuously evaluate our plant-based menu items and their pricing on a productby-product and market-by-market basis.” Following Starbucks’ announcement, in March 2025 the country’s second largest chain, Dunkin’, followed suit and removed the charge from its 9775 venues across the country. Dutch Bros, Tim Hortons, and Scooter’s Coffee also all removed their charges in early 2025. “By our tally, more than 325 coffee chains have ditched this outdated fee. This incredible momentum in the coffee industry would not have happened had consumers not made their voices heard. More than 1600 people have signed our petition, sending up to 15 emails each to different coffee company executives,” says Warren. Yet, the team at the No Milk Tax Campaign don’t believe their job is done and dusted. Warren says many smaller and mid-size chains are falling behind by maintaining the pricing models. “We have engaged with many of these companies directly, and we have been particularly dismayed to see chains with strong social responsibility and sustainability claims refusing to live by their own values,” he says. Whether pressured by Sir McCartney’s letter or its competitors making the change, Peet’s Coffee announced the removal of its alternative milk charges just days after PETA launched the campaign against it. In a statement, the company outlined that the new prices would commence on 4 June 2025 and that Peetnik Rewards members would have early access via its app starting from 1 April. As one of the world’s most influential coffee markets, the US’ move away from alternative milk charges is expected to be adopted around the world. As the plantbased milk sector is still in its infancy, some economists suggest the price of these products may fall over the next few years as it matures and more competitors enter the market. “Reducing reliance on dairy milk is one of the most effective ways for coffee chains – and all food service businesses – to shrink their environmental footprint,” says Warren. “Compared to oat or soy milk, dairy production emits about three times more greenhouse gases, uses 10 times more land, and consumes 20 times more water.” GCR GLOBAL COFFEE REPORT
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EVENTS
Industry matters
Melbourne International Coffee Expo 2025 welcomed more than 31,000 coffee professionals and enthusiasts.
Images: Prime Creative Media.
G C R L E A DE R S S Y M P O SI U M
Thought leaders gathered in Melbourne to discuss key industry issues at the 2025 GCR Leaders Symposium. From expansion at scale to supply chain challenges, here are the highlights from this year’s series of panel discussions.
M
ELBOURNE International Coffee Expo (MICE) welcomed record crowds for its 2025 event, almost doubling last year’s attendance numbers with more than 31,000 coffee professionals and enthusiasts visiting the tradeshow from 20 to 22 March. The first two days of the event saw industry members convene for breakfast and a networking opportunity before the sell-out GCR Leaders Symposium. Former Global Coffee Report Editor and Prime Creative Media Publisher Sarah Baker moderated the series of panel discussions, which featured industry thought leaders and explored current industry trends and challenges.
Expansion on a global scale
The first session of the GCR Leaders Symposium focused on doing business overseas, how to approach the international market, the realities no one talks about, and how to build community in a foreign city. Shae Macnamara, Founder of Expat. Roasters in Indonesia, kicked off the discussion by sharing the non-negotiables
he put in place to grow his wholesale coffee customers from zero in 2016 to more than 650 today. “When you have almost 700 wholesale customers, they are all representing your brand. Therefore, very early we had to set in place our service and quality standards to ensure our coffee was served to the standard we expect,” said Macnamara. “We now have trainers across Indonesia who complete audits at all our wholesale partners once every four to six weeks. If coffee isn’t being prepared to our standards, we offer training up to three times, after that we will remove the brand from that customer. It’s strict, but it’s part of our nonnegotiables to maintain quality.” The conversation then turned to international expansion, with Toby’s Estate General Manager Jody Leslie sharing insights from the Australian roaster’s expansion into the United Arab Emirates (UAE) and the United States (US). “No marble was spared in the opening of our new site in the UAE within the longawaited Dubai Mall. The budget for the new store was definitely more than we’d spend in Australia, but in the UAE we’re able to
charge a little more,” said Leslie. “In the Middle East, opening hours are a lot longer and the demand for coffee higher. Coffee shops are a gathering place and many stay open until around 2am, therefore the financial model is very different. People expect to pay double for a cup of coffee in the Middle East in comparison to Australia, and the sites are a lot more luxurious.” With the next flagship from Toby’s Estate due to open in New York City midway through 2025, the discussion then explored the untapped potential of the US market. Michael Meates, Founder of Day For It Hospitality, believes smaller cities such as Austin and Nashville provide huge opportunities for specialty coffee brands. “Everyone goes to establish themselves in New York, but over the past couple of years I’ve seen some great brands have huge success in smaller markets. Places like Nashville and Austin have a fantastic, affluent crowd who are screaming out for speciality coffee – they want an elevated experience and are happy to pay New York prices,” said Meates. “That’s the amazing thing about these smaller markets. You’re going to charge
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Images: Prime Creative Media.
US$8 or $9 for a latte, but you won’t be paying New York premiums for real estate. You have much more potential to have a bigger venue, which means more room for things like kitchens and event spaces.” The megatrends shaping coffee’s future
With more than 25 years’ experience in the industry, including Managing Director roles at Nestlé, international coffee consultant Gerd Mueller-Pfeiffer delivered this year’s keynote speech on the megatrends shaping the future of coffee. He explored the global coffee phenomenon and the growth of the industry over the past 30 years, highlighted the importance of cold coffee and ready-todrink products, and discussed the trend for market consolidation, among many other topics. “In the past 30 years, the consumption of coffee has doubled. In 1994, the production was around 90 million bags, while in 2024 it was 176 million bags,” said Mueller-Pfeiffer. “In the near future, we will start to see production countries such as Ethiopia turn into consumption countries. India is another production country that’s starting to become a consumer – the coffee category there has grown around 10 per cent in the past 10 years to US$400 million.” He also highlighted South Korea as a place of interest. The East Asian country has
a population of around 51 million people, but has more than 100,000 coffee shops. In its capital, Seoul, Starbucks operates 3000 stores – in the entire country of Germany the café chain operates 156 venues. “Seoul has the highest concentration of coffee shops in the world and is a trendsetter for global coffee innovation,” he said. When discussing the challenges facing the coffee market, Mueller-Pfeiffer focused on the impact of the COVID-19 pandemic, container shortages, frosts in key production regions, and inflation. “The past five years have not been easy. Coffee is getting more expensive for everyone. As a consumer, you should buy coffee now instead of summer as I guarantee it will increase in price by 10 to 15 per cent,” he said. “Another major concern is the average age of farmers, which in many origin countries is around 55 years old. There is an urban exodus of the younger generation who don’t want to become farmers, and this will lead to less coffee being available if a solution isn’t provided. “The future of coffee is in our hands. In a way, coffee is crisis proof and will continue to exist. Despite all the challenges on the global scale, the demand for quality and sustainability is growing. Optimisation and artificial intelligence will become much stronger and coffee as an experience will continue to grow.”
Coffee at scale
On day two of the GCR Leaders Symposium, the first panel deep-dived into the Australian quick-service sector, discussing the evolution of the foodservice category, growing consumer connection, coffee pricing, and balancing quality versus volume. Joining moderator Sarah Baker was Jared Chapman, Head of McCafé, Liam O’Brien, 7-Eleven Product Owner Dispensed Beverages, and Sam Taylor, Soul Origin National Coffee Manager. Chapman discussed McCafé’s journey from its inception in Melbourne in 1993 to its current success, which sees the business serve around 600,000 cups a day across Australia. Producing one in five coffees served in the country, McCafé has the challenge of creating a blend that will appeal to the masses. “It’s definitely a challenge and you can’t make everyone happy. The most important factor is listening to what the customers want. Generally speaking, we alter the blend every three to five years, but that’s determined by what we’re hearing from our customers. Our current blend is a mix of Brazil, Honduras, Ethiopia, and Kenya,” he said. “Consistency is hugely important to us and to achieve that we focus on training. We have roughly 15,000 baristas across the country, so you can imagine getting them all to do things in a consistent way is not
Shae Macnamara, Founder of Expat. Roasters in Indonesia, shared the non-negotiables he put in place to grow his business.
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EVENTS G C R L E A DE R S S Y M P O SI U M
The sell-out GCR Leaders Symposium will return in 2026.
easy. But what we are passionate about is passing on that passion and knowledge to the rest of the team, and to do that we have set up five barista academies across Australia to elevate that training.” In 2009, 7-Eleven stores in Australia started selling coffee for AU$1 and, despite increasing the cup price to AU$2 in 2022, has kept the price remarkably stable despite the rest of the market feeling the pinch. “For the 450 7-Eleven franchise owners across the country, coffee is very important for foot traffic and so we are continuing to ensure we can hold onto that for as long as possible. In an ideal world, we don’t want to put that at risk,” said O’Brien. “Our coffee program has been so successful because of the consistency of the offer. With the push-button machines we use, you get a consistent quality that doesn’t depend on the experience of a barista. In 15 years, we have only changed our blend once, almost two years ago, which was the result of almost 18 months of research.” Barista-made coffee is a core pillar of Soul Origin’s nutritious fast-food offering. Taylor said one of the keys to the brand’s success is being a founder-led business. “We are about 13 years into this journey and have grown very quickly, but we’ve
done it with the foundational principles of taking a fresh-food approach and well-made coffee. One thing I’ve learnt is meeting customers at their level and understanding what they want and how they like to drink their coffee, and that leads to product innovation,” he said. “Sourcing and making sure the farmers that produce our coffee are getting their value helps to influence the way customers feel safe with our brand. So, our challenge is helping baristas to understand the supply chain in a quick and translatable way. “It’s important for them to understand the journey that those beans have gone on and how many touch points there are in the supply chain. This influences the level of care when producing that cup of coffee, which they then pass on to the customer who ultimately enjoys it.” The supply chain challenges we face
In the final panel discussion, members of the Australian Coffee Traders Association explored the roadblocks in green bean transportation and logistics, the pricing crisis and its impact across the supply chain, and solutions to drive the industry forward. The panel featured Luke Terrey of Condesa Co Lab, Stephen Bannister
of Cofi-Com, Angelo Augello of Bean Alliance Group, and Dominic Enthoven of MPC International. “The past five years have been very challenging from a transport perspective. It started with COVID-19 in 2020, then in March 2021 the ship got stuck in the Suez Canal. Then came Russia’s invasion of Ukraine, and the Hamas attacks on Israel, which saw Houthi rebels in Yemen attack ships. It’s been a series of unfortunate events stretching into 2025,” said Enthoven. “It’s sometimes said that shipping lines like disruption because when you have disruption, rates tend to go up. In 2022, amid much of the disruption, shipping lines made massive profits.” Enthoven suggested that green bean merchants spread their risk and strengthen relationships with long-term partners. “It’s not going to get much better in the next 12 months, so it’s a chance to take stock, look at your business, and diversify your suppliers,” he said. “On the commercial side, keep on the competition and see what they’re doing. If you’re looking too much at internal processes, you’ll lose sight of what the rest of the world is doing.” Venus Packaging, a 100 per cent Australian-owned packaging solutions provider, supported this year’s GCR Leaders Symposium in addition to showcasing its products on the MICE show floor. “Venus Packaging aims to bring innovative packaging solutions to the coffee industry. The GCR Leaders Symposium brings together industry leaders and experts to discuss challenges and opportunities. By sponsoring this event, we aim to contribute to meaningful conversations that drive the industry forward,” said Laura Venus, Director of Venus Packaging. “The Symposium was an incredible opportunity to gain valuable insights and explore the future of the Australian coffee industry. We personally loved the discussion on day one, Expansion on a Global Scale. Shae, Michael, and Jody had a wealth of knowledge that was very insightful, and it was inspiring to hear about the many great things Australians are doing for the coffee industry overseas.” The GCR Leaders Symposium will return at MICE2026, which will take place in Melbourne from 26 to 28 March. GCR For more information, visit internationalcoffeeexpo.com
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Don’t miss the latest coffee industry news, market reports, must-read features, leader interviews, and more. Subscribe now to get Global Coffee Report’s free weekly newsletter delivered direct to your inbox.
gcrmag.com/newsletter/
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PRODUCT M A R K E T PL AC E
PRODUCT marketplace
Image: Eversys.
Eversys Shotmaster ms/Classic Designed for speed and quality, the Shotmaster ms/ Classic produces 350 espressos or milk drinks per hour and 170 hot water products. Featuring flexible 1.5-Step milk options to satisfy diverse customer tastes, this machine is a favourite among baristas, while its efficient design optimises workflow. For more information, visit eversys.com
ECOM Research Deforestation Analysis (ERDA) is an innovative tool to accurately detect deforestation in cocoa- and coffeegrowing regions. Using advanced satellite imagery and radar data, ERDA predicts 87 per cent of detected deforestation events correctly, whereas traditional methods predict 25 per cent, according to Cranfield University. This technology empowers ECOM and like-minded businesses to proactively address deforestation risks, promote sustainable sourcing, and support the livelihoods of farming communities. Integrating ERDA into sustainability initiatives reinforces the company’s shared responsibility for environmental stewardship and responsible supply chain management.
Image: ECOM.
ECOM Research Deforestation Analysis
For more information, visit ecomtrading.com
From the heart of Switzerland to the world, the Black&White4 Competizione by Thermoplan embodies precision, creativity, and top performance – essential for excelling at the World Latte Art Championships. The centrepiece is its intelligent steam wand, elevating milk frothing to the next level. With the AirSteam function, milk is automatically frothed to the desired consistency. AutoSteam offers full control, allowing baristas to adjust air intake and foam texture, while an integrated sensor ensures optimal milk temperature. The Black&White4 Competizione lets baristas focus on what matters most – creating perfect latte art.
Image: Thermoplan.
Thermoplan Black&White4 Competizione
For more information, visit thermoplan.ch
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Image: Syntegon.
Syntegon degassing valves Achieve quality coffee and long shelf life with Syntegon’s foodsafe degassing valves. Button and sticker valves can be easily applied inside or outside the packaging, and also to recyclable mono-materials. Thanks to the prevention of overpressure in airtight packages, the reliable aroma protection is assured and interim storages are eliminated. Complete your sustainable packaging solution with degassing valves, applicators, and customised engineering – all from one source.
Consistency sets premium coffee experiences apart. With Franke Mytico, baristas can rely on the patented iQFlow technology to ensure every cup delivers the same rich aroma and balanced taste as the one before. This precision in brewing builds customer trust – because when coffee quality never wavers, loyalty follows. In a competitive market, standing out means offering more than just great coffee – it’s about delivering excellence, day after day.
For more information, visit syntegon.com
For more information, visit mytico.franke.coffee
Image: IMA.
Image: Franke.
Franke Mytico
Victoria Arduino Black Eagle Maverick
For more information, visit victoriaarduino.com
Image: Victoria Arduino.
The Black Eagle Maverick introduces important improvements in terms of performance, precision, and sustainability. The evolution of its T3 technology offers the same precision and control while using 37 per cent less energy, while its T3 Genius technology was developed to provide baristas with absolute control over the extraction, giving them the tools to achieve maximum precision and unmatched efficiency. The machine also includes PB Tech, an on/off espresso extraction technology that uses water pulses to give the coffee puck more space to expand, designed to obtain a more balanced result in the cup in terms of aroma and flavours.
IMA CO-Tube Coffee Degassing System CO-Tube is a system capable of accelerating the coffee degassing process using deep vacuum technology, reaching up to -800 millibar with nitrogen injection. The technology’s most innovative feature is its closed-circuit system, which allows for partial recovery of the nitrogen used during the process. Mechanical recirculation ensures the product is precisely mixed with nitrogen inside the silo. The specific process engineering allows the setting of both the degassing time and the desired final carbon dioxide percentage as parameters for each recipe, ensuring the desired product and aromatic profiles. For more information, visit ima.it/coffee
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DIARY dashboard
Global coffee 1
World of Coffee Jakarta
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JAKARTA, INDONESIA
15 – 17 May 2025 The second edition of the World of Coffee tradeshow will take place in Jakarta, Indonesia, at the Jakarta Convention Centre from 15 to 17 May 2025. The event will run in addition to the Specialty Coffee Association’s annual World of Coffee tradeshows in the Middle East and Europe. In 2025, the event will focus on the connection to Indonesia as one of the world’s largest coffee-producing countries. Potential visitors are encouraged to stay up to date via the website and social media channels as more information is released throughout the year.
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asia.worldofcoffee.org
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3
4
World of Coffee
SIGEP Asia
GENEVA, SWITZERLAND
SINGAPORE
26 – 28 June 2025
16 – 18 July 2025
Malaysian International Food & Beverage Trade Fair
More than 80 competitors from around the globe will gather at the World Coffee Championships (WCC) at World of Coffee Geneva. The event includes the 2025 World Latte Art, World Coffee in Good Spirits, World Coffee Roasting, and Cezve/Ibrik Championships. Alongside the competitions, attendees will have the chance to interact with more than 430 exhibitors, including 120 roasters from around the world. There will also be a series of cupping events, lectures, and workshops.
SIGEP Asia showcases the entire coffee and tea supply chain, from specialty coffee beans and tea leaves to roasters, grinders and barista equipment, catering to a wide range of processing techniques and tasting. The chocolate section of the event will bring together the best Italian and international manufacturers in chocolate production, machinery, equipment, and accessories. The exhibition will also celebrate artisan gelato, pastry, and bakery.
worldofcoffee.org
sigepasia.com.sg
KUALA LUMPUR, MALAYSIA
30 July – 1 August 2025 The 23rd edition of the Malaysian International Food & Beverage Trade Fair will take place at the Kuala Lumpur Convention Centre. More than 12,000 visitors and 50 exhibitors from more than 50 countries are expected to attend the event, which will feature a tradeshow exhibition, conference talks, expert masterclasses, and more, targeted at a number of industries – including coffee and tea.
mifb.com.my
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events around the world 8
Melbourne International Coffee Expo MELBOURNE, AUSTRALIA
2 7
26 – 28 March 2026
5
4 3
Melbourne International Coffee Expo (MICE) is the largest dedicated coffee event in the Asia-Pacific. MICE connects café owners, roasters, equipment manufacturers, service suppliers and more to facilitate real business opportunities. The 2025 event saw 31,000 visitors attend the three-day expo at the Melbourne Convention and Exhibition Centre. MICE2026 will once again host the Global Coffee Report Leader Symposium and Café Owners Education Series, as well as an exciting new series of activations. It welcomes the international coffee community to explore the Australian market and maximise growth opportunities.
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internationalcoffeeexpo.com
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Cafe Show China
Let’s Talk Coffee
HostMilano
BEIJING, CHINA
LIMA, PERU
MILAN, ITALY
29 - 31 August 2025
25 – 27 September 2025
17 – 21 October 2025
Established in 2013, Cafe Show China is a professional coffee exhibition held at the China International Exhibition Center (Chaoyang Hall) in Beijing. The 2025 edition is expected to welcome more than 300 exhibitors from across the coffee supply chain – from beans to syrups to equipment suppliers. More than 10 delegations from coffee producing countries are also anticipated to attend. Alongside the exhibitors, the event will host a series of barista tasting competitions, roasting competitions, and cup testing activities.
Organised by coffee importer Sustainable Harvest, Let’s Talk Coffee is an annual supply chain gathering. Now in its 20th year, it brings together roasters, growers, and other stakeholders in the coffee supply chain to share knowledge and build relationships in a relaxed setting. The invitation-only event is said to bring together leaders from across the supply chain to learn from each other and do business.
The professional hospitality exhibition returns to Milan in October 2025 for its 44th edition. The biannual event is specifically aimed at the HoReCa industry and provides a global platform for professionals in the sector to come together. HostMilano attendees will have the opportunity to learn about the industry’s supply chains, consumer trends and more as the event offers in-depth analysis on technologies and new innovations to help equip hospitality and catering businesses with the tools to succeed.
cafeshow.cn
letstalkcoffee.org
host.fieramilano.it
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LAST WORD
From bean to bar
CoffeeCoa is made from coffee husk.
Image: Cellva.
C I RC U L A R C HO C OL AT E
One Brazilian startup has found a way to repurpose coffee husk into chocolate, addressing key sustainability concerns across both supply chains.
A
S SUSTAINABILITY across the
coffee supply chain is increasingly put under the microscope, many companies are finding ways to shift to a more circular economy. The journey from bean to cup is known to have a relatively high carbon footprint. Similarly, chocolate production generates significantly more emissions than most other fruit and vegetables. And now, as both commodities reach record high prices, Brazilian startup Cellva is attempting to address both sustainability and supply issues by taking advantage of the fact coffee and chocolate undergo similar processes that contribute to their flavour profiles. The result is CoffeeCoa, which is said to deliver the sensory experience of cocoa with added functional benefits, making it a versatile ingredient for baked goods, beverages, and functional foods. To produce the product, the company is tapping into a valuable resource that has been largely overlooked – coffee husk waste. Coffee production generates an immense amount of waste, with approximately 10 million tons of coffee beans produced annually. This is accompanied by an estimated one to one and a half times that amount in by products, such as husks, pulp, and grounds. “If CoffeeCoa captures just one per cent of global coffee husk waste, it could repurpose more than 100,000 tons annually, diverting it from landfills and reducing methane emissions,” says Cellva CEO Sérgio Pinto. “Beyond waste reduction, this also offers manufacturers a cost-effective alternative to cocoa – 30 per cent cheaper on average – while ensuring stability amid the volatility of cocoa prices driven by climate change and supply chain disruptions.” What’s more, Pinto says CoffeeCoa requires up to 90 per cent less land compared to conventional cocoa, cutting
deforestation risks and preserving approximately 1800 hectares of tropical forest annually. It is also said to reduce water consumption by more than 70 per cent, saving approximately 56 billion litres per year, which is the equivalent of the annual water use of 500,000 people. “Additionally, CoffeeCoa lowers carbon dioxide emissions by at least 50 per cent, preventing the release of 7500 tons of carbon dioxide per year, which is comparable to removing 1600 cars from the roads,” says Pinto. Since coffee and cocoa have intrinsically similar flavour notes and characteristics, Cellva’s engineering aims to isolate these compounds and insert them into chocolate formulations. “We ensure CoffeeCoa closely resembles traditional cocoa, leveraging its naturally sweet flavour profile by blending with its caramelised notes and maintaining its rich composition of antioxidants and fibre. This also offers health benefits such as improved digestion, increased satiety, and better metabolic health,” says Pinto. Although the technology is in the pre-launch phase, Pinto says it has garnered significant commercial interest – securing more than US$5 million in committed interest contracts, with partners indicating a demand exceeding 450 tons per year – with much of this attention coming from the premium coffee and high-end confectionery sectors as well as global distributors. “To meet this demand, we are in the final stages of establishing a manufacturing facility in Bahia, Brazil, in collaboration with an extremely experienced operator. Additionally, we are refining distribution agreements across Latin America and Australia to ensure broad market access,” says Pinto. He says the commercial partners were
drawn to CoffeeCoa’s unique sensory profile and sustainable value proposition. “One is a leading Brazilian coffee brand exploring the addition of CoffeeCoa as a signature ingredient in specialty blends. The other is an Australian distributor developing a new line of artisanal baked goods, where CoffeeCoa will serve as a distinctive flavour element,” says Pinto. Beyond its environmental benefits, CoffeeCoa is said to be a health-positive alternative to traditional chocolate. “CoffeeCoa provides a lower-fat alternative while still delivering potent antioxidant and anti-inflammatory properties. Additionally, its high dietary fibre content offers potential gut-health benefits, making it a functional ingredient that not only mimics cocoa’s sensory qualities but also provides distinct nutritional advantages,” says Pinto. While both cocoa and CoffeeCoa are said to be rich in antioxidants and anti-inflammatory compounds, Pinto says the latter contains chlorogenic acids, trigonelline, and polyphenols, which are known for their metabolic benefits, supporting heart health, cognitive function, and gut microbiome balance. Pinto expects Europe to emerge as a key market, especially countries with a strong specialty chocolate and bakery scene, where ‘clean-label’ alternative ingredients are in high demand. “We also see growing interest in the Asia-Pacific – especially in Japan and South Korea – where there’s a cultural openness to novel food experiences and functional ingredients,” says Pinto. “Notably, we’ve already secured a commercial relationship in Australia, a market known for its advanced food innovation landscape and appetite for sustainable sourcing.” CoffeeCoa’s first commercial delivery is expected to take place by mid-2025. GCR
58 GLOBAL COFFEE REPORT
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Image: Cellva.
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