In crop year 2019/2020, approximately **** million 60kg bags of coffee were exported from Indonesia. Indonesia was one of the world’s largest coffee producers and exporters worldwide. However, increasing domestic consumption was forecasted to impact the volume of coffee it exported.

Indonesia’s coffee export markets

Indonesia’s coffee exports were valued at approximately *** million U.S. dollars in 2019. The leading markets for Indonesian coffee in that year were the United States, Italy, and Malaysia. Most of the coffee grown in Indonesia were exported from two ports in Sumatra, Lampung and Medan. Despite the global outbreak of COVID-19, initial reports showed that Indonesia’s coffee exports from the port of Lampung had been increasing, indicating strong demand in its export markets.

Increasing domestic demand

Domestic demand for Indonesian coffee had also been steadily rising over the years. The past decade had seen a rise in domestic coffee consumption, and a change in consumer preference for coffee-based drinks. The coffee retail sector has also evolved to cater to local tastes, which preferred sweet, iced milk coffee-based drinks. In 2019, home-grown coffee chains such as Janji Jiwa, with their variety of milk coffee-based drinks akin to bubble tea, have overtaken global brands in terms of market presence.

Indonesia’s domestic coffee consumption has almost quadrupled since 1990, reaching the equivalent of *** million 60-kilogram bags of coffee in 2019/2020. This growing demand is fueled by a younger generation switching over from tea to coffee, and a newfound appreciation for locally-produced coffee. Global tastes As one of the world’s leading producers of coffee, Indonesia had previously exported most of the coffee beans that it produces. The local coffee consumption was largely dominated by instant coffee and “kopi tubruk” – a thick and sweet drink made using coffee grounds. In recent years, however, a growing middle class and a more cosmopolitan, youthful population have changed consumer preferences. This is reflected in the spread of U.S.-based coffee shop giant Starbucks in Indonesia, which had 365 licensed stores in Indonesia in 2019. Going local Local coffee products are also gaining in popularity, and this can be seen in the instant coffee market. In 2016, local brand Pt. Javaprima Abadi, known for producing “kopi luwak”, held more than a third of the instant coffee market share. Indonesian consumers are also entering the “third wave of coffee consumption”, as seen in the rise of specialty roasters and artisanal coffee shops that emphasize local, single-sourced beans, especially in Jakarta and Bali. The rise of the artisanal coffee market, with its emphasis on buying local and forging stronger relationships between producers and roasters, has already been cited by some industry experts as having an impact on Indonesia’s coffee exports.

The Indonesian domestic coffee machine market totaled $278M in 2024, with an increase of 4.1% against the previous year. Over the period under review, the total consumption indicated a temperate expansion from 2012 to 2024: its value increased at an average annual rate of +4.4% over the last twelve-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, consumption increased by +13.4% against 2018 indices.

The global robusta coffee bean market is a dynamic sector characterized by substantial growth potential. While precise market size figures are unavailable, considering the global coffee market's overall value and robusta's significant share (approximately 40%), we can estimate the 2025 market size to be around $8 billion USD, based on reports showing total coffee market value of approximately $20 billion. A conservative Compound Annual Growth Rate (CAGR) of 5% is projected for the period 2025-2033, driven by increasing global coffee consumption, particularly in emerging economies with a preference for robusta's strong, bold flavor profile and its lower cost compared to arabica. This growth is further fueled by the rising popularity of instant coffee and coffee blends incorporating robusta beans, along with the expanding café culture worldwide. However, challenges such as fluctuating coffee bean prices due to climate change and supply chain disruptions, coupled with potential health concerns surrounding robusta's higher caffeine content, act as restraints. Market segmentation involves various factors including roast type (light, medium, dark), bean origin (Vietnam, Indonesia, Brazil are major producers), and product form (whole beans, ground coffee, instant coffee). Leading companies like Nestlé, Lavazza, and Illy are major players, constantly innovating to meet consumer demands. Regional variations exist, with significant markets in Asia-Pacific (driven by strong domestic consumption and export demand from Vietnam), Europe, and North America. As consumer preferences evolve toward ethically sourced and sustainably produced coffee, the market will likely see growth in organic and fair-trade certified robusta beans. This trend, coupled with technological advancements in coffee processing and roasting, will continue to shape the future of the robusta coffee bean market.

In 2024, Vietnam exported coffee amounting to about *** billion U.S. dollars, the second-biggest exporter in the world. Another major coffee exporter in the Asia-Pacific region was Indonesia, which followed with more than *** million U.S. dollars of coffee exports in the same year. Coffee market in Vietnam Coffee was introduced to Vietnam by French colonists in the 19th century, and since then, it has been integrated into the Vietnamese culture and economy. The country has become one of the largest coffee producers and exporters in APAC, with beans being the dominant type of coffee exported. The coffee consumption in Vietnam has steadily increased over the years, reaching more than ***** million 60kg bags of coffee. Traditionally, Vietnamese drink their coffee as drip coffee, often mixed with sweetened condensed milk. As trends evolve, many local variations of this beloved drink have emerged, including egg coffee, salted coffee, and coffee with coconut milk. APAC’s staple drinks The beverage export landscape in APAC goes beyond coffee, with tea also playing a significant role. China leads the tea export market in the region, with exports valued at over *** billion U.S. dollars. While tea is most often consumed at home, the rise of tea shops has increased tea consumption, offering drinks such as bubble tea, milk teas, and fruit tea mixes, among others. As the region continues to develop, both coffee and tea remain central to its beverage industry.

Brazil is by far the largest coffee producing country in Latin America, with an average annual production of more than ** million 60-kilogram bags. In the 2023/24 crop year, the country reached an output of **** million bags, representing over one third of the global coffee production that year. Colombia ranked second in the region, with almost **** million bags produced. Brazil: a robust coffee producer Even on a global scale, Brazil leads its competitors by a wide margin. Home to most of the world’s arabica beans, the Portuguese speaking nation produces more coffee than Vietnam, Colombia, Indonesia, and Ethiopia combined. However, Brazil’s numbers falter when it comes to exports to United States, who make up the largest population of coffee consumers in the world. In 2021, Colombia led the coffee import market in the U.S., surpassing Brazil by about 100 million U.S. dollars. Colombia: a competitive coffee market Famous for its mild arabica roast, Colombia’s presence as a competitive coffee powerhouse goes without saying. In 2021, the South American country’s coffee exports generated over ***** billion U.S. dollars. That same year, Colombia’s coffee imports amounted to approximately *** thousand tons, while domestic consumption was estimated at over *** million bags. Ultimately, with a population of ** million people, Colombia is a significant coffee player in both production and consumption.