Market Size of africa ready to drink coffee Industry
| Icons | Lable | Value |
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Study Period | 2018 - 2030 |
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Market Size (2024) | USD 5.88 Million |
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Market Size (2030) | USD 9.03 Million |
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Largest Share by Soft Drink Type | Iced coffee |
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CAGR (2024 - 2030) | 7.40 % |
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Largest Share by Country | Egypt |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
Africa Ready to Drink Coffee Market Analysis
The Africa Ready to Drink Coffee Market size is estimated at 5.88 million USD in 2024, and is expected to reach 9.03 million USD by 2030, growing at a CAGR of 7.40% during the forecast period (2024-2030).
5.88 Million
Market Size in 2024 (USD)
9.03 Million
Market Size in 2030 (USD)
5.47 %
CAGR (2018-2023)
7.40 %
CAGR (2024-2030)
Largest Segment by Soft Drink Type
23.97 %
value share, Iced coffee, 2023
Convenience and portability of RTD iced coffee, availability of wide range of flavours, and active lifestyles of millennial consumers promote the growth of RTD coffee.
Fastest-growing segment by Soft Drink Type
8.62 %
Projected CAGR, Cold Brew Coffee, 2024-2030
Increase in the consumer focus on healthy lifestyle and benefits of RTD cold brew coffee in boosting the digestive system owing to its natural antioxidant content.
Leading Market Player
57.02 %
market share, Nestle S.A., 2022
The company is evolveing in its product offerings and is investing in brand building, digitalization and sustainability initiatives to meet consumer needs and preferences.
Largest Segment by Country
85.67 %
value share, Egypt, 2023
With the rise in middle-class income the demand for RTD coffee from melinnials increased, emphasis on premium and sustainabile RTD coffee has increased their consumption in Egypt
Fastest-growing segment by Country
17.73 %
Projected CAGR, Nigeria, 2024-2030
Pre-packaged, grab-and-go such as RTD cold brew coffee with regular and permium products, flavours in iced coffee are gaining prominance in the fast-paced lives of consumers.
The developments in the cold coffee sector in the region are likely to propel market growth in the future
- The RTD coffee segment is gaining popularity in Africa, driven by the rising demand for ready-to-drink beverages. This trend is fueled by the convenience it offers, especially appealing to the busy lifestyles of both young and middle-aged professionals. Coffee plays a crucial role in the livelihoods of over 12 million African households, particularly those in rural areas. In countries like Burundi (38%), Tanzania (23%), Uganda (22%), Côte d’Ivoire (17%), and Ethiopia (14%), a significant portion of the population relies on coffee farming for their income.
- Cold brew coffee is poised to exhibit the highest growth rate, with a projected CAGR of 8.62% in value from 2024 to 2030. The cold coffee market is diversifying, attracting new consumers. Innovations in this space include infusing cold coffees with ingredients like mushrooms, CBD, and botanical extracts, offering functional benefits. This sector is also witnessing a surge in premiumization. As the demand for high-quality cold coffee rises, farmers stand to benefit from potential price premiums.
- Young consumers in Africa have a preference for RTD iced coffee. The premium and specialty iced coffee segment is expanding, with a rising interest in artisanal, small-batch offerings. This growth is driven by the younger demographics, particularly millennials and Generation Z, who are more adventurous in exploring coffee varieties and flavors. Thus, the sales value of iced coffee in Africa saw a notable uptick of 19.90% between 2019 and 2023.
Understand The Key Trends Shaping This Market
Rising coffee culture among the youth and travelers drives the market
- The demand for coffee in Africa is increasing due to the rising young middle class and a growing appreciation for the beverage among those travelers. In 2022, Africa saw a notable 2.6% surge in coffee consumption, accounting for 63.8% of the region's overall consumption. This shift in consumer behavior, marked by a preference for high-quality coffee profiles, is bolstering the growth of the ready-to-drink (RTD) coffee market. Projections indicate that the African RTD coffee market is expected to witness a CAGR of 40.11% by value during 2024-2030.
- South Africa holds the second-largest market share. From 2020 to 2028, the South African RTD coffee market grew by 27.07% by value. Notably, coffee consumption patterns in South Africa, particularly in urban areas, are undergoing a transformation. The rise in disposable incomes among the middle class has contributed to this shift. Additionally, there is a rising demand for specialty and premium coffees, including those with specific origins. As major brands diversify their offerings, introducing zero-sugar alternatives to traditional soft drinks, RTD coffee and its variants are gaining traction as a more accessible option.
- In 2022, Egypt's coffee consumption stood at approximately 70,000 tons, marking a significant 94.4% surge from 2017. Egypt is witnessing a surge in the popularity of specialty coffee, with many coffee shops now offering high-quality, single-origin beans for RTD coffee. Notably, the trend of cold brews is driving the RTD coffee market in Egypt. Cold brews, known for their longer shelf life and flexibility in storage, are finding favor among consumers. Egypt stands out as the fastest-growing market for RTD coffee, with projections indicating a robust CAGR of 10.33% by value during 2024-2030.
