2-nd MITS: A LONG-AWAITED SYMPOSIUM HOT DRINKS IN TURKEY COFFEE ROASTING DEGREE & THE RADICAL SCAVENGING ACTIVITY THE MAIN CHALLENGES OF 2011
# 1 (86) 2011
# 1 (86) 2011 Establisher ZAO INTERNATIONAL TEA HOUSE Publisher ZAO INTERNATIONAL TEA HOUSE Chief Editor RAMAZ CHANTURIYA Deputy Chief Editor SVETLANA BELIKOVA Computer aided makeup VALENTINA GUSKOVA Advertising Director JULIA CHANTURIYA Advertising Manager ELENA TREGUB Circulation Manager MARINA FOMINA
THE EDITORIAL BOARD Chairman of the Editorial Board R.O. CHANTURIYA, general director of Rusteacoffee Association
Members of the Editorial Board S.G. BELIKOVA, deputy editor in chief of Coffee&Tea in Russia magazine, PhD of Philology, Editorial Board Secretary
S.V. KASIANENKO,
For thousands of years mankind has been constructing different pyramid-shaped structures. Their properties and effects have been the subject of disputes for centuries... After surfing the Internet, you will come across a large number of various hypotheses, interesting deductions and incredible facts. Some say that pyramid-shaped objects change the structure, increase the pH acid-base (hydrogen) indicator and reduce the number of impurities in water. Others say that pyramids can be used for strengthening a person’s protection against negative effects of electromagnetic fields, and so on, and so forth. I am sure you have already guessed what I am driving at. Yes, small pyramids are becoming part of our tea life. When Unilever had only started its mass promotional campaign for pyramid-shaped teabags, there were a lot of doubts. But now that many leading Russian operators such as May Company and Orimi Trade have shown an interest in this variety of teabags, it becomes obvious where the market has tilted. And there are all reasons to believe that this may be a major shift. Will the tea tetrahedron become a «new wave» and change the structure of the market and, possibly, the properties of tea (as the advocates of «pyramidology» most likely believe)? We will know this next year. By the way, the II International Tea Symposium was held in Moscow on February 7. Over 400 tea industry representatives from 15 countries gathered there to participate in extensive discussion about the future of the market, including the prospects of pyramids. As a result of joint reflection with colleagues on the segment of the tea bag disposable brewing I came to the conclusion that the likely success of the pyramids, linked not so much with the shape but with the material through which you can truly consider the tea inside. I think that in the near future premium teas in tea bags disposable brewing (teabag), will be packed up only in materials based on synthetic fabrics. Read a Symposium review in this issue. In this issue we also publish material, devoted to the impact of various degrees of roasting coffee on its antioxidant properties. I think for coffee growers, partly for marketing, this article will be very useful. Since the year has just begun and since instability on the raw coffee and tea markets can affect the development of these industries, I would like to wish everyone a smooth journey through this period without losses. Health, harmony with nature, and confidence in the future!
Yours truly,
chairman of the board of directors of Orimi Trade company
Ramaz Chanturiya Editor-in-Chief
I.V. LISINENKO, general director of May Company
A. MALCHIC, chief executive of Montana kofe company
R.D. PANZHAVA,
CONTENTS
Georgian Tea Producers Association
M. PEYRIS,
1
EDITORIAL
2
CALENDAR OF EVENTS
4
PRESSING ISSUE The Main Challenges of 2011: Expectations, Concerns and Hopes
International Tea Committee
V.A. TUTELIAN, Head of the Institute of Nutrition of Russian Academy of Medical Sciences, Member of the Academy
G.V. SMIRNOV, general director of SDC FOODS company
A.V. ELSON, general director of KLD Coffee Importers
Photo on a cover: Tea and Coffee, author of the photo — Petr Bolhovitinov, winner of the competition Photograph on the cover
6 14 14 14
Editorial Address: Russia, 123060, Moscow, Berzarina str., 36, building 2, of. 214 tel./fax: +7 495 935-87-07 E mail: magazine@coffeetea.ru, www.coffeetea.ru
Printed in Union Print, Nizhny Novgorod
14 14 14 15 15 15
Distributed worldwide among coffee and tea producers, wholesale companies, shops, and restaurants. Printed in Russia. According to the registration certificate of mass media П И №77 7213 from 30th January, 2001. Reprinting of materials is allowed only by permission of the magazine. The reference to the magazine «Coffee and tea in Russia» is obligatory. The editors don't bear any responsibility for reliability of data placed in advertising blocks or announcements. The editor's point of view may not coincide with the author's point of view. All provided materials will not be returned or reviewed.
16 18
Coffee&Tea International magazine has been included in the VINITI (All Russian Institute of Scientific and Technical Information of the Academy of Sciences Vserossiisky Institut Nauchnoi i Tekhnicheskoi Informatsii (VINITI)) list of synopsis journals and the institute's data base. Information about the magazine will be annually pub lished in the «Ulrich's Periodicals Directory», international handbook of periodic magazines and ongoing publications. Coffee&Tea International is an appendix to the Coffee&Tea in Russia magazine.
18
18 18 18 18
19 19 20
NEWS 2-nd Moscow International Tea Symposium, 7th of February 2011 Sri-Lanka Delegation Visited Nevskie Porogi Caucasian Tea Festival held in Georgia The Food Safety Management System of May Company corresponds to the international standard ISO 22000:2005 ICO Head Became Colombian Ambassador to the UN India Loses Its Share in World Tea Exports Strauss Coffee Ltd. Acquires Russia's Le CafJ Trendy TESS – now in pyramid tea bags Coffee & Tea International Looks Forward to Cooperation Azerbaijanis Will Build Tea Packing Factory in Belarus Buon Giorno, TriestEspresso! SCAA and SCAE Announce Formation of World Coffee Events Georgia Exchanges Tea for Bilberry A Coffee Company to Take Over Bologna Effective as Before, Comfortable in a New Way! Yunnan Province invest 3 billion yuan in boosting its coffee industry Britons Spend 188 days of Their Lives Making Tea or Coffee Results of the Energy of Coffee and Power of Tea Videos Contest Announced Americans Want to Destroy Negative Stereotypes about Coffee Sara Lee makes bold move with new european coffee pod
22 A competition Photograph on the cover summed up! REVIEW&STATISTICS 24 Study of TEA Retail Sales in Russian Cities with the Population over 10,000. Data for June—September 2010 24 Study of COFFEE Retail Sales in Russian Cities with the Population over 10,000. Data for June—September 2010 25 Import of cofee & tea to Russian Federation in 2010 25 Dynamics of manufacture of foodstuff including drinks and tobacco, in %% to monthly average value from 2008 25 Dynamics of a turn of retail trade, in %% to monthly average value from 2007 26 Dynamics of a turn of wholesale trade, in %% to monthly average value from 2007 26 Dynamics of export and import, in %% to december 2007 26 The international reserves of the Russian Federation and official rates of dollar and euro, on the end of month 28 Hot drinks: in Turkey 29 Hot drinks: in the countries of former Yugoslavia 32 Hot drinks: in Kazakhstan 36 Russian Tea Market Has Great Reserve for Innovations ECONOMICS 38 Coffee in US: September 2010 Executive Summary RESEARCH 46 Effect of roasting degree, equivalent thermal effect and coffee type on the radical scavenging activity of coffee brews and their phenolic fraction 52 ADVERTISER INDEX
1
CALENDAR OF EVENTS March 2011 — September 2011
10–12 March 2011
23–25 March 2011
12–18 May 2011
EXPOHORECA 2011
15 FIERA GASTRONOMICA INTERNAZIONALE
INTERPACK – 2011
Country: Poland City: Warsaw Company Page: www.eurogastro.com.pl
23-25 March 2011
VENDEXPO 2011 Country: Russia City: Saint-Petersburg Company Page: www.farexpo.ru/horeca
13–16 March 2011
IFE 11. THE INTERNATIONAL FOOD AND DRINK EVENT Country: UK City: London Company Page: www.ife.co.uk
14–16 March 2011
INTERNATIONAL FAST FOOD FAIR MOSCOW Country: Russia City: Moscow Company Page: www.fastfoodexpo.ru
25–27 May 2011
HOREX 2011 Country: Azerbaijan City: Baku Company Page: www.horex.az
14–18 June 2011
29 March — 1 April 2011
ROSUPAK
HOTELEX SHANGHAI COFFEE & TEA CHINA 2011 Country: China City: Shanghai Company Page: www.hotelexchina.com
Country: Russia City: Moscow Company Page: www.rosupak.ru
22–24 June 2011
WORLD COFFEE EVENTS
30–31 March 2011
UK COFFEE LEADER SUMMIT Country: UK City: London Company Page: www.ukcoffeeleadersummit.com
8–10 April 2011
LONDON COFFEE FESTIVAL
NATIONAL COFFEE ASSOCIATION CENTENNIAL CONVENTION
Country: UK City: London Company Page: www.londoncoffeefestival.com
11–14 May 2011
HOFEX.
TEA&COFFEE WORLD CUP ASIA
ASIAN INTERNATIONAL EXHIBITION OF FOOD & DRINK, HOTEL, RESTAURANT & FOODSERVICE EQUIPMENT, SUPPLIES & SERVICES
Country: Singapore City: Singapore Company Page: www.tcworlscup.com
Country: China City: Hong Kong Company Page: www.hofex.com
21–23 March 2011
Country: Germany City: Dusseldorf Company Page: www.interpack.com
Country: Russia City: Moscow Company Page: www.vendingexpo.ru/eng/
16–19 March 2011
Country: USA City: New Orleans Company Page: www.ncausa.org
2
All materials are provided by support of WWW.COFFEETEA.RU
COFFEE&TEA INTERNATIONAL # 1/2011
Country: Netherlands City: Maastricht Company Page: www.scae.com
13–16 September 2011
WORLD FOOD MOSCOW Country: Russia City: Moscow Company Page: www.world-food.ru
27–30 September 2011
PIR. HOSPITALITY INDUSTRY Country: Russia City: Moscow Company Page: www.pir.ru
PRESSING ISSUE
Pressing issue:
THE MAIN CHALLENGES OF 2011: Expectations, Concerns and Hopes
Polling by Alena Velichko
People say that living at a time of change is the biggest trial of all. We and our contemporaries around the world are living at such a time. We are trying to adapt and looking for strategies that will allow us to be on the crest of the wave of increasingly accelerating changes. Now that we have entered a new year, summed up the results of the past one and made plans for the future, we asked the tea and coffee community what main trends and challenges were in store for the industry in 2011. The answers were not and could not be simple by definition. And we are grateful to all those who found time and courage to express their vision for the main trends and challenges in 2011. At the end of the year we can go back to these views and say how accurate they were. MANUJA PEIRIS, Chief Executive, International Tea Committee LTD: – Speaking about main issues and challenges for the coming year, we all have seen the signs that disposable incomes are increasing and this will result in greater demand for food stuffs and beverages. Particularly, in China and India, if each person drinks one cup of tea more than usual, the demand will considerably increase. With regard to price, tea is relatively, a cheap beverage and I think price is not an issue to be concerned about. Also, in a world we speak much about sustainability, it will be understood that a labourintensive industry such as the tea industry will not have a future if the prices are not attractive and robust enough to attract the required labour. The demand is growing but production increases as well and prices appear to have stabilised.
OLESYA KARPACHEVA, Director of the Department of Marketing Communications and Business Development, SDS-Foods, LLC, TM Ahmad Tea Russia: – The main challenges of any year are substantial changes in the environment that you could not predict. They require a quick reaction, but possibilities for that as a rule are quite limited. Such unexpected occurrences as the «Habitat» television program about tea aired by Channel One on January 19 are really unsettling. In search of cheap sensations, Russian journalism has long forgotten about the quality of information it spreads, and its elementary conformity with reality. But this program is far beyond the notion of good and evil!
ANDREY ELSON, General Manager, KLD Coffee Importers: – The main challenge in 2011 is the fact that all coffee market players are in a unique situation: there is nothing to compare it to, there is no one to ask, and there is no benchmark to live up to... Specifically, I can say that prices on the coffee market will be very high in 2011 and there will be problems with the availability of quality coffee. The situation will deteriorate between September 2011 and March-April 2012. The current state of the market is also connected with a large number of problems – there is big demand for funding, prices for finished products are lagging behind prices for raw materials, and there is the need for forward-looking strategic decisions. It’s hard to believe that changes are irreversible and that the new situation requires totally new solutions. And yet, it seems to be so. It is very important now for every player to make a realistic assessment of his business and make plans that will be free of illusions. Unfortunately, it’s not the time of wonders. So, one can rely only on himself and on the honesty and outspokenness of his partners.
4
ALEXANDER YEGOROV, General Manager, Imperial Tea: – The year 2011 will see consumers gravitating toward something better and more interesting. Tea becomes not just a drink to wash down a sandwich with, but a beverage the knowledge of which can be shared, discussed and even boasted... People’s interest in healthy nutrition is turning into a trend, and tea is a leader among healthy beverages. We can see that demand becomes more and more focused on quality and consumption getting increasingly conscious. Companies are looking for new segments and new premium varieties of tea, trying to find a niche for further development. The majority of people drink black tea, but they need to be offered something else, and our company sees prospects for further growth in green tea. Prices are going up and the time of cheap tea is coming to an end. We should understand that tea is the least expensive drink, and when different price segments are discussed, the price in mind is the one below that of Coca-Cola. So consumers should not be so sensitive to soaring tea prices.
COFFEE&TEA INTERNATIONAL # 1/2011
ALBERTO DAUNISI, Managing Director of Teamac Srl/Italy – Unfortunately the main challenges 2011 will be politicals and socials with a big negative influence in the economic structure of many countries and so in many business, tradings and importexport. The big turbulences in all North Arica countries, as well as the recent financial turbulences in many European countries, linked with the poor level of internal USA demand are promising nothing good in this 2011. Our answer to these challenges must be based on two directions: a) to go all around the world looking for new markets and new customers; b) to increase our offers in terms of products, solutions and innovations. I think that the global tea and coffee market this year will not grow and the level of demand and consumption will be the same one of 2010. I'm noting from last year that tea packers have generally plans to invest in new products and new technology, but, while the big corporations have own funds to invest, the medium and small customers have a big difficult to find financing supports. So, I think that , if we , exporters of technology, will try to find in our countries some credit line for financing our sales, we can offer to many medium and small tea/coffe packers the possibility to invest in new technologies ( and of course to grow ) , otherwise they will remain on the same level of 2010.»
FRANCESCO CORSETTI, Commercial Director, ALMAFOOD : – I think the biggest problem we will face in 2011 will be growing coffee prices. This is the biggest challenge to the coffee industry — how to convince your clients to accept these prices. With the price of coffee having grown by 60 percent over the past six months, the situation will get even more dramatic in the future, and some expect a 100 percent price rise.
hose who attended the II Moscow International Tea Symposium will most likely agree that it was more than just a regular event in the tea world. In fact, it was one of the major events in the industry which had long been awaited and prepared for and without which the start of a new year would not have been the same. Traditions arise out of a community’s needs. This is what gives them roots and keeps them from turning into short-lived occurrences. The idea of the I Moscow International Tea Symposium, realized by the Coffee & Tea in Russia Magazine and the Rusteacoffee Association in 2009, proved so good that the next step two years later appeared to be natural and awaited by many. The Symposium turned out to be a serious business event. Kai Wulff of Glatfelter, which acted as the general sponsor of the Symposium for the second time, pointed to its growing professional level and scale even before the start: «The big and dynamically developing Russian market is a key one for us. It is important for us to be here and sponsor this event. This is not the first event organized by the magazine and the Association that we support: we can see its relevancy and potential. I hope we will be able to talk with colleagues about the needs of the market and consumers.» The ribbon-cutting ceremony at the Symposium opening, attended by officials from leading international and Russian tea organizations and companies, became some sort of symbolic blessing and an expression of support from the tea community for the event that had been made a reality by its organizers’ strong belief in what the tea industry needs. And industry folks’ interested participation in the Symposium proved them right. Mutual support and the need to speak about the main problems, challenges and tendencies brought together more than four hundred tea industry players from around the world*. They gathered at the Swiss^tel’s conference hall on February 7, 2011 in order to discuss pressing issues concerning quality, traditions, innovations and balance between them, while never forgetting the central point – the taste of tea and the attention it warrants.
T
GENERAL SPONSORS:
*
Officials from 18 countries – Armenia, Belarus, Germany, Great Britain, India, Indonesia, Italy, Japan, Kazakhstan, Kenya, Republic of Korea, Russia, Spain, Sri Lanka, Switzerland, Turkey, the United States of America, and Ukraine – attended the II Moscow International Tea Symposium, on February 7, 2011.
A Long-Awaited Symposium
NEWS
Quality and Time Three key-note presentations at the start of the Symposium gave it a positive impetus and confirmed the correctness of the main vectors stated in the schedule by placing necessary emphases. The first topic raised was the quality of tea that can be discussed endlessly, examined from different angles and applied to a wide range of related issues from health to sales. Quality is directly related to health: the better the tea, the more useful it is for the body. Prof. Andrey Shatihin of the Faculty of Clinical Pharmacology and Propaedeutics of Internal Diseases at I.M. Sechenov First Moscow State Medical University provided the details. He went over all beneficial substances (about 300, all in all!) contained in tea leaves and advised everyone to drink a lot of tea for a long time in order to slow down the aging, including mental regression. Those who apply the term «quality» not only to the quality of tea leaves but also to the quality of filter paper for teabags learned many interesting things about paper production at a seminar sponsored by Glatfelter, which has been making such paper for 145 years. The seminar that focused on the art of creating fruit-and-herb compositions and was sponsored by Martin Bauer GmbH & Co. KG also explored the topic of quality. Unfortunately, the current situation is such that the quality of tea needs to be protected from speculations and unjustified accusations that meet legitimate protest in the tea community. Incompetence underlying scary stories on television broadcast nationwide has gone beyond all reasonable and unreasonable limits. Ramaz Chanturiya, General Director of Rusteacoffee Association, who addressed the audience at the start of the Symposium, spoke of the unacceptability of such situation. Speaking on behalf of the Russian tea producers, he demanded that Channel One refute the information presented in its «Reading Tea Leaves» program as distorting the actual situation on the tea market. The issue raised keen interest among the Symposium’s participants and was actively discussed during tea breaks. Many
8
COFFEE&TEA INTERNATIONAL # 1/2011
of them spoke strongly against ungrounded statements that undermine the reputation of tea and demanded that their authors be brought to account. One of the highlights at the Symposium was an emotional interactive discussion titled «The Future of the Tea Market: Innovations or Traditions?» where the participants spoke about the quality and quantity of tea, and heard arguments in favor of traditional and innovative approaches in tea production and consumption. Mikhail Bayev, the representative of Tea Culture Club and Alexander Borisov, the representative Santi, TM Grand, adhered to key positions, drawing the audience into the discussion by asking each member to make up his mind and vote either for traditions or innovations. The discussion turned out to be fierce and was obviously dominated by the advocates of the traditional approach. This may give some insight into the success of the concept presented by the shopping chains Untsia and Vitrazh that focused on the quality of tea. Sergey Nicolayev, General Director of Untsia chain tea stores, shared his tea business success recipes. In his opinion, the success of tea trade depends not only on quality but also on the location of a store and even on the training of personnel. He believes that having enough time for running a tea store is one of the main factors that help to boost business. If there is not enough time, the results will speak for themselves. Alexey Romanenkov and Mikhail Kisin explained why one should spend his time studying e-commerce, which allows a company to save a great deal of time and money, if it understands the main trends and subtleties of this process. As a matter of fact, time was in short supply at the Tea Symposium due to a large number of simultaneous events and people could talk during the breaks. The audience looked like a constantly simmering pot where the Symposium’s participants sought to find a balance between their desire to talk with colleagues and learning something interesting at educational seminars and presentations…
NEWS
9
NEWS
Balance or No Balance? Production and consumption continue to be a matter of concern to the tea community, primarily in terms of balance and how the current situation will affect the price of tea. So, the presentation by a special guest of the II Moscow International Tea Symposium, International Tea Committee Chief Executive Director, Mr. Manuja Peiris was heard with special attention. Mr. Peiris assured the community that there was no reason to worry about the balance between production and consumption. He noted that tea prices would keep going up, for this is a rather natural trend brought about by the growing quality of life worldwide, including in the producing countries. Higher salaries for tea pickers will inevitably push tea prices up. «But tea is the least expensive drink in the world today, and its growing price should not cause much concern. It is important to understand that the tea industry cannot exist without manual labor, and if there is no decent reward needed for hiring enough workers, the tea industry will have no future.» The topic of commodity-money relations was picked up by the next speaker who volunteered to answer a challenging question: «Will the new Customs Union of three countries balance out commodity trade with third countries?» Elena Bandura, Deputy Director of the Department of the Commission of the Customs Union of the Republic of Belarus, the Republic of Kazakhstan and the Russian Federation, said the creation of a common economic space was a new stage in the integration of the three countries. Reflecting on the balance in different segments of tea production and tea market, Struktura Vody Andrey Alexeyev CEO, who spoke of innovations in the tea industry, made an interesting point: the notion of «balanced tea market» is wrong and is against the laws of nature. Citing numerous surveys and his own experience, Alexeyev spoke about innovations as an outstanding reserve for the development of individual companies and the tea market as a whole. A tide of questions and ideas that came upon the audience members was clearly designed to upset their balanced state and make them think how we can do things differently. The «how we can do things differently» approach based on appropriate quality was also used at another seminar titled «How Can Tea Make Your Restaurant Attractive?» Sergey Khorolsky, General Director of Biryuzovy Chai, spoke of the importance of appropriate tea presentation that should go along with a well considered tea card, luring table setting and trained personnel. Sergey Khorolsky demonstrated all this at the seminar, fascinating the participants with his presentation, excellent tableware, GABA tea and a plenitude of exotic tea appetizers. Discussions and testing continued after the seminar, leaving a lingering aftertaste.
10
COFFEE&TEA INTERNATIONAL # 1/2011
NEWS
11
НОВОСТИ РЫНКА
Taste of Tea, Taste of Life A Tea Symposium can hardly be imagined without tea testing. The seminar with Sergey Khorolsky was not the only place where tea was offered. Everyone could treat himself with Symposium's official drink – Greenfield tea – from early morning till late night. Many found themselves acting as real tea testers at a Kenyan tea seminar, which offered a unique array of quality Kenyan teas that one could taste after putting on a snow-white apron provided by the seminar organizers. Sicily Kariuki, CEO of Tea Board of Kenya, guided the guests through the cornucopia of different varieties of tea. «We are very glad to be here and present high quality Kenyan brands that can be of interest to Russian manufacturers. The Russian market holds a lot of promise for us, and we are open to cooperation,» she said. Tea connoisseurs were noticed drinking tea by the Tea Travel stand, where Sergey Mstislavsky brewed Poire, then Tieguanyin, and then Poire again, making time stop and letting the guests enjoy the exquisite drink. Tea art school representatives led by master of ceremony FarhatJA invited everyone to join or watch tea ceremonies from different countries in the exhibition hall. Dried tea was displayed by various companies at a mini exhibition where they presented their products. And tea could be drunk throughout the evening cocktail party, of course, where the guests brimming with impressions after a busy day were offered a variety of exquisite appetizers. The evening was filled with informal chatting that once in a while would subside under the tide of opera music but then pick up again when something special happened, attracting everyone’s attention. The first such special act was the videos contest award ceremony. On July 9, 2010, the Rusteacoffee Association, Coffee & Tea in Russia Magazine and the COFFEETEA.RU portal announced the video contest Coffee Energy and Tea Strength, the main purpose of which was to promote coffee and tea drinking through creative, active and gifted young people. The contenders were schoolchildren and students who had found the way to express a modern view on these traditional beverages and display their creative abilities. All works meeting the contest terms were posted at www.coffeetea.ru. Having watched all videos, the authoritative jury in January 2011 said that, in entirety, none of the submitted works was worth
12
COFFEE&TEA INTERNATIONAL # 1/2011
giving the main prize – the troy ounce of gold, but decided unanimously to award consolation prizes to three videos. Many of the Symposium’s participants were moved by the Person of the Year 2010 award ceremony. The Coffee & Tea in Russia Magazine had awarded the title to May Company tea expert Igor Boiko, who has devoted his entire professional life to popularizing tea as a product, teaching young specialists and sharing his knowledge of tea. The year 2010 was very eventful for him in this respect, and the 80th anniversary of his birth last year had become a new chapter in his allembracing enlightening and promotional mission. All this had unanimously won him the title. A big cake with the Symposium’s logo, adorned with a tasty teacup and just as delicious a pyramid as a symbol of the new wave in the teabag industry was another delightful moment during of the evening. Tea always leaves an aftertaste that can tell of its quality. The same is true of the Tea Symposium. Its aftertaste will linger in new meetings, partnerships and ideas generated by the Tea Symposium. An optimistic note summing up the results of the event was added by Maria Drabova of Orimi Trade: «We would like to acknowledge the high professional level of the speakers and especially the intensity of emotions that flew high at all events. What is most important is that all of the market players showed an interest in each other and in what is happening in the tea industry. This inspires confidence that the tea market will develop, for this is where genuinely creative people work and care about the tea industry!» The results of the event that occurred on February 7, 2011 can be judged in no more than two years when the Third Tea Symposium will bring together old and new market players in order to raise further questions and look for answers to them, review the achievements and set new tasks. It must be said in the end that the Symposium became possible largely due to the general sponsors and unquestionable industry leaders — Glatfelter and Martin Bauer, and Orimi Trade. The MITS Organizing Committee extended special thanks to them and expressed hope that the forthcoming III Tea Symposium would enjoy just as reliable sponsor support. And this allows us to say confidently: «See you in two years!»
ns
f
m ro
e th
ymp aS Te
— CD ROM — f or s osium
ubs c
rib e
rs o
ft he
m e! in az ag
Pre se nt at io
НОВОСТИ РЫНКА
13
NEWS
Based on the materials by Orimitrade.ru
Sri Lanka Delegation Visited Nevskie Porogi on. Mahinda Samarasinghe, Minister of Plantation Industries of Sri Lanka accompanied by Mr. Udayanga Weeratunga, Extraordinary and Plenipotentiary Ambassador of Sri Lanka in the Russian Federation, and Mr. Hasitha De Alwis–Director(Tea Promotion) of Sri Lanka Tea Board visited the Nevskie Porogi factory. The Ceylon guests and management of Orimi Trade and the factory made
a tour of all enterprise departments and inspected the raw materials, parts and end products warehouse, and tea and coffee production shops. The Minister spoke highly of the enterprise noting, in particular, the level of tea and coffee production automation and expressed his hope for further strengthening of the partnership between Orimi Trade and Sri Lanka tea producers.
H
Caucasian Tea Festival held in Georgia The Association of Georgian Tea Producers (AGTP) with the support of the international organizations Caucasian Business and Development Network (CBDN) and International Alert held a Caucasian Tea Festival in Tbilisi. According to Mr. Tengiz Svanidze, AGTP Executive Director, the Festival was aimed at promoting the economic growth and joint economic projects related to tea farming development and popularization of tea across the Caucasus. New Georgian as well as all-Caucasus tea brands were represented at the Tea Festival for the first time. The participants discussed topical regional market issues, in particular, the options for supplying a wide range of local highquality teas to the Caucasian tea market. Vesti.az
The Food Safety Management System of May Company corresponds to the international standard ISO 22000:2005 Based on the materials by May Company
ay Company has become the first Russian tea company, certified by the British Standards Institution for compliance of the Food Safety Management Corporate System with international standard ISO 22000:2005 (certificate FSMS 559295). Certification on this standard determines all-round control and a capacity of managing the risks related to foodstuffs production safety at all stages – from procurement of raw materials to
M
output of the finished product. All potential risks are considered and assessed as early as at the product development and production technology planning stage. A strict and in-depth analysis of the Management Corporate System of May Company enabled the specialists of the British Standards Institution to draw a number of conclusions. In particular, the company pays great attention to development of the infrastructure and production environment, efficient teaching the personnel of the product quality and safety provision principles.
India Loses its Share in World Tea Exports Between 2005 and 2009, India’s share in world tea exports declined from 15% to 13%, according to a study by the Indian Tea Association. The decline is due to high logistics costs and weather dependence. India's major trade partners are Iraq and CIS with 21% of all exports each, the UAE (13%), the UK and Ireland (11%), Pakistan (7%), the US and Canada (4%), Afghanistan (4%), Kenya (4%), Germany and the Netherlands (3%), Poland and Australia (2%). Other key reasons behind the decrease in the country's exports are the dominance of large producers (74%) saddled with high cost structure, including social costs. Foodmonitor.ru
Strauss Coffee Ltd. Acquires Russia's Le CafJ A leading roast and ground coffee player in the Central and Eastern European market has acquired the Russian brand Le CafJ for $37 million and 51% of Le CafJ's shares for $6 million. Strauss operates the Elite coffee brand in the Russian market and owns a packing factory in the Moscow Region. According to Nielsen, Le CafJ holds the 4th place in Russia in terms of freeze-dried coffee sales. Its products are represented in 73 regions of the Russian Federation and in the Ukraine, Belarus, Kazakhstan, and Armenia. The Instanta Rus company manufactures Le CafJ in Russia. Gazeta.ru
ICO Head Became Colombian Ambassador to the UN Scae.com olombian President-Elect Juan Manuel Santos has named Nestor Osorio, the current Executive Director of the International Coffee Organization, as Ambassador to the United Nations in New York, local reports said already in midAugust. Mr. Osorio, who has many years of experi-
C
14
COFFEE&TEA INTERNATIONAL # 1/2011
ence representing Colombia at the ICO, has also been Colombian Ambassador to the World Trade Organization in Geneva, and an advisor on coffee matters to the Colombian government. He has been ICO Executive Director since 2002, when he became the first non-Brazilian to hold that post.
IGOR LISINENKO: our goal is «Trademark №1» in the world
his year May Company is celebrating its 20 th anniversary. The Company was established in 1991 and is currently one of the largest tea manufacturers in Russia. Today May Company produces more than one hundred tea types. On the eve of its anniversary year, Igor Lisinenko, the founder of the Company and its General Director, answered our questions.
T
Caption: Igor Lisinenko in the Kremlin at the Awarding of the Premium «Trademark №1 in Russia»
– May Company has made its inestimable contribution to development of the tea branch and is a large player in the FMCG market. Igor , how can you, as the founder of the company, assess your achievements? – Our main achievement is confidence of our multi-million consumers. We have been winning this confidence for years, pegging along all 20 years, permanently improving our product, the business process, the production. We have become the first company, offering high-quality tea to the Russian consumers. At that time, in the beginning of the 90s, in the « perestroika» years, a problem with the raw material stocks at tea-packing factories came into being, and the Russians, traditionally fond of tea, faced the total tea shortage; it was Maysky tea that met the needs of all fans of this natural and useful drink. At present Maysky tea brand has become in Russia an appellative, like xerox or jeep in their categories. The consumers in the questionnaires of research companies started pointing out the following three tea brands «Indian», «Ceylon» and «Maysky». We have become the first to establish our representation offices at the main world tea plantations, to construct the state-of-the-art back-end production, one of the largest in Europe, to set up a tea tester school and an expert laboratory of the world class. By doing so, we have provided the quality management in a long chain from the plantation to the end consumers. We were the first in the market to pass certification of the business-process quality
management system for compliance with international standard ISO 9001:2008 of «TUV», the leading German auditing company. I would like to emphasize that this year our company has also passed the external certification of the British Standards Institution (BSI) on the food safety management system. The auditors, who visited us, told us in an informal conversation that upon conduct of approximately 150 audits in Europe, they were surprised at the level and quality of the production processes, which they could observe here, in Moscow. In their opinion, it is even more modern than in the West Europe. – Do you consider export as one of the challenging branch of the activities of May Company? – Taking into consideration the fact that traditionally Russia has always been one of the key tea exporters, we actively develop the export branch, considering it extremely promising. It was already a long time ago when we started supplies beyond the boundaries of the country: it is, first, all former Soviet Republics, as well as far-abroad countries, such as Germany, Israel, USA. There also exist internal pre-requisites for the export development. Russia can be proud of its tea economic sector, where the most modern technologies and high production culture are concentrated. And we see the prospects of the tea culture development and the tea production in Russia, including for export. We take an active part in creation of such prospects, what is actual-
ly our day-to-day work. It is what earns profit for our Company’s team and makes it really happy. – And what is, Igor , the success factor of May Company? What is the primary mission of your team? –Our mission is efficient meeting the needs and shifting the expectations of the consumers. And our main success factor is that we like tea and have a nice eye for tea. Our knowledge about tea offers to us an intellectual advantage, because at present it is knowledge that is the main wealth. Land and money have already become ordinary resources. And expert knowledge, for instance, about tea as a drink that has existed for already 5 thousand years and will, no doubt, continue its successful development, is inestimable. We restore the Russian tea traditions. Approximately one hundred years ago, the Russian tea was awarded with a gold medal of the World Exhibition in Paris. Our brand has already become «Trademark №1 in Russia», our objective is to own trademarks №1 in the world. – Thank you, Igor, for the interview. Recognizing the contribution of May Company to development of the Russian tea market and on the threshold of the coming of year, milestone for the Company, we would like to wish you further prosperity, challenging ideas and opening-up of new vistas. Go on making happy all tea fans by your wonderful product!
NEWS
Trendy TESS – now in pyramid tea bags Coffeetea.ru
he TESS tea brand has been expanded to include a leaf tea collection in transparent pyramid tea bags. The brand targets mainly young consumers, who today form a new tea culture, establish a new «trendy» consumption style, are on the look-out for «their» drinks, and respond eagerly to new offers. The pyramid tea bag collection comes in three lines, Black Tea, Green Tea, and Herbal Tea. These original tea compositions have been created based on exclusive recipes only from natural components. Black Tea comprises three flavors: Forest Dream; Lemon Tree; and Berry Bar. Green Tea is represented by two original varieties: Ginger Mojito and Pina Colada. The Summer Time flavor in the Herbal Tea line has been designed for herbal tea lovers.
T
Coffee & Tea International LOOKS FORWARD TO COOPERATION Coffeetea.ru
f you have your own vision for the processes on the coffee and tea market, if you are willing to share your professional knowledge, observations and conclusions, and offer vital topics for publication,
I
Contact telephone and e-mail address:
please contact the Coffee & Tea International editorial board! All of your relevant texts and materials will be thoroughly studied and the most pertinent of them will be published in the magazine.
Tel./fax: +7 495 935 87 07 • E-mail: magazine@coffeetea.ru
Azerbaijanis will Build Tea Packing Factory in Belarus The guests from Azerbaijan visited the metropolitan region and discussed the plans to set up a number of production enterprises. The Number One project is construction of a tea factory. The plans are to ship the stock to Belarus where it will be packaged and sold. The businessmen from Transcaucasia also consider the option of building a cannery, sugar mill, and paper mill. One of the Azerbaijani delegation representatives noted that, in view of the geopolitical situation and promising economic outlook of the Republic of Belarus, Transcaucasian tea companies are interested in implementing a range of projects and are already prepared to formalise some of them provided that the terms and conditions are mutually acceptable for both parties. Ctv.by
15
Photo: ITH
By Elena Tregub
Photo: ITH
BUON GIORNO, TriestEspresso! I taly cannot be imagined without coffee, as well as coffee couldn't exist without Italy. This axiom has been proven for the fifth time by an exhibition in Trieste, one of the best known cities of coffee. The world of espresso came to the large exhibition center Fiera Trieste on October 28–30 in order to surprise the visitors, whose number exceeded eight thousand this year. How do Italians combine coffee traditions with the utterly futuristic design of their coffee machines? Different sizes, colors and forms, like diamonds in a shop window, shining with captivating glitter. You would think that innovations stop right there, at machines. No way! There is a variety of triangle shaped coffee-pods, cups soaring in mid-air, and barrels of roasted coffee beans emitting so strong an aroma that it knocks you down. There are Italians who seem to be speaking on the phone all the time and visitors from other countries who try hard to learn Italian; the noise of coffee grinders and the voice of announcers commenting on the 2010 Barista Championship in Trieste. This is what the atmosphere is like at the TriestEspresso exhibition. We couldn’t stay away from this coffee magic. Coffee &Tea International was the only exhibitor from Russia. We were happy to present our new issue with a huge coffee bean on the front cover and a special review in Italian on hot drinks in Italy, much to the delight of the local public. Such exhibitions are undoubtedly a perfect place for presenting oneself to the industry, and the number of participants and visitors are a vivid confirmation of that. The next TriestEspresso Expo is two years away, but there is no doubt that it will surprise us again because Italy and coffee are inseparable!
Photo: ITH
Photo: ITH
Photo: ITH
NEWS
SCAA and SCAE Announce Formation of World Coffee Events Based on the materials by Scae.com he Specialty Coffee Association of America (SCAA) and Speciality Coffee Association of Europe (SCAE) announced the formation of World Coffee Events (WCE), a nonprofit joint venture that will develop and manage competitive events on behalf of both organizations. The WCE organization will build upon the close partnership established between the SCAA and SCAE while holding such competitions as the World Barista Championship, World Cup Tasting Championship and others. The WCE organization will also operate the annual World Latte Art
T
Championship, Coffee in Good Spirits Championship, World Cevze/Ibrik Championship and new competitions currently under development. In 2011, WCE branded events will be held in more than 50 countries with the support of thousands of volunteers in front of a vast audience of live and Internet viewers. The 11th annual World Barista Championship will be held June 2—5, 2011 in Bogota, Colombia. The next World Latte Art, Coffee in Good Spirits, Cup Tasters’, and Cevze/Ibrik Championships will be held June 22—24, 2011 in Maastricht, The Netherlands.
Georgia Exchanges Tea for Bilberry Georgian tea may soon become a rarity as the Tbilisi authorities have decided to replace tea plantations with bilberry. At present, the government actively discusses the project for replacing tea crops with bilberry plantations at a number of depreciated plots in Eastern Georgia. The Ministry of Agriculture expects that replacing tea with bilberry will be the first step on the way to successful bilberry cultivation in the country. To start with, the government plans to buy a few saplings and develop the land plots for setting the tea-to-bilberry transition experiment. Currently, bilberry enjoys high demand in Europe while only several countries cultivate it on a commercial scale. Georgiatimes.info
A Coffee Company to Take Over Bologna Representatives of the Segafredo coffee company will become new owners of Italian Bologna. At present, the club is on the verge of bankruptcy. A club statement on the official website read: «After a long and complex negotiation process we have reached an agreement. In the next few days, we will formalise all the contracts.» The club President and General Manager held the talks on behalf of Bologna.
Yunnan Province invest 3 billion yuan in boosting its coffee industry Most of the money will be used to improve soil quality so barren land can be converted into coffee plantations, as well as for building research centers and coffee growing training. Subsidies will also be granted to some promising coffee processing enterprises, said Xiong Xiangru, head of the Coffee Association of Yunnan. The provincial government wants Yunnan to produce 200,000 tons of coffee beans per annum by 2020, up from the current annual output of 38,000 tons. To achieve the target, over the coming five years 66,667 hectares of land needs to be converted into coffee plantations. Presently Yunnan has 33,333 hectares of land being planted with coffee, accounting for 98 percent of the nation's total. The coffee industry provided an income for many people in the province's border areas. There are around 6,667 hectares of coffee in Dehong Dai and Jingpo Autonomous Prefecture, with approximately 300,000 people engaged in coffee growing and related business. English.cri.cn
Britons Spend 188 days of Their Lives Making Tea or Coffee Only working lifetime, without sleep hours and weekends, is taken into account. Tea and coffee fans spend up to 24 minutes a day in the office kitchen, which equals 188 days and 21 hours spent on making hot drinks over a working lifetime. Four in ten Britons do a tea run for work mates at least twice a day, while only one in seven people make a drink for themselves. With an average salary of Ј26,000 a year, it means workers rack up Ј416 a year in lost productivity waiting for the kettle to boil.
Sports.ru
Bloomberg.com
Coffeetea.ru
Effective as Before, Comfortable in a New Way! ussia’s leading industry resource www.coffeetea.ru had changed its appearance by the beginning 2011. The new version of the website has preserved all the best features that secured its high popularity among professionals, while making it even more informative and convenient to use. «We tried to use all available technological options. For example, the site features interesting videos, daily news comes with illustrations, and a visitor can now leaf through one of the issues of the magazine online or subscribe to it — there is detailed subscription information on the appropriate page,» says Svetlana Belikova, Coffee & Tea in Russia and Coffee & Tea International Deputy Editor-in-Chief. The Billboard has also been redesigned: it
R
18
COFFEE&TEA INTERNATIONAL # 1/2011
remains free but is more convenient to use now. Upon registration, market players can place unlimited offers of cooperation, or purchase/sale of coffee, tea and equipment for their production or brewing, etc. Pro-active people will like the opportunity to express their views on the most pressing and interesting issues using preferential voting, while social network fans can enter our pages from Twitter and Facebook. «The new version of www.coffeetea.ru will continue to be improved further, and we will appreciate any suggestion or comment to this end,» Svetlana Belikova goes on and adds, «We want to make it as easy for the market players to visit our site as possible, and we want to fill it with very informative and diversified contents.»
NEWS
Results of the Energy of Coffee and Power of Tea Videos Contest Announced coffeetea.ru
n July 9, 2010, the Rusteacoffee Association, Coffee & Tea in Russia Magazine and the COFFEETEA.RU portal announced the video contest Energy of Coffee and Power of Tea, the main purpose of which was to promote coffee and tea drinking through creative, active and gifted young people.
O
The contenders were schoolchildren and students who had found the way to express a modern view on these traditional beverages and display their creative abilities. All works meeting the contest terms were posted at www.coffeetea.ru. In January 2011, they were judged by an authoritative jury.
The videos were evaluated by the following criteria: conformity with the contest’s topic, creativity and performance. The jury highly appreciated the contenders’ activity and their desire to find more interesting and original concepts. Nevertheless, in entirety, none of the submitted works was worth giving the main prize – the troy ounce of gold.
Anyway, the jury made a decision to award consolation prizes to one animation work, coffee fairytale and video LeTea.* The contest organizers thank all the competitors for their activity and wish them creative success in their new undertakings. * You can watch all the best videos at www.coffeetea.ru
Americans Want to Destroy Negative Stereotypes about Coffee Scientists in the Beauty&Health Institute have developed a new product Green Coffee. When consumed regularly, it takes off excess weight and improves one's health and mood. Its authors claim that taking a cup of green coffee at breakfast has a great effect on one's figure and health. However, daily physical activity is required to achieve the full effect, the scientists say. Such Green Coffee has made a revolution in the health industry. It has the advantage or increasing metabolism, detoxifying and cleansing one's body, and making one feel revitalized and energized; besides, it fastens the fat burning process. Bloomberg.com
19
NEWS
SARA LEE MAKES BOLD MOVE WITH NEW EUROPEAN COFFEE POD
Brian Morgan, Beverages Analyst at Euromonitor International
In April 2010 Sara Lee Corp launched L'Or branded coffee pod capsules in France for use on Nestlй SA's Nespresso machines, the first competitor to offer pods on what had been a proprietary system. Nestlй owns 1700 patents on the Nespresso system design and has vowed to challenge the new products if they find patent infringement, so Sara Lee is taking a great risk that such legal measures will not be successful in stopping the sale of their products. But for Sara Lee, a company highly dependent on its European coffee business since the sale of its North American coffee brands to Segafredo Zanetti in 2006, it is a gamble worth taking. L'Or pods will be priced 10-20% less than Nespresso pods and the company is hoping that consumers will respond to a less premium priced offering, especially one available through supermarkets and mass outlets. Nespresso capsules are typically shipped directly to the consumer or purchased in its branded stores. TOP hot drinks companies in Western Europe, 2010 Retail Value RSP – US$ mn
Source: Euromonitor International, 2011
WESTERN EUROPE POD MARKET SHOWS POTENTIAL Nespresso has built success throughout Western Europe in part through its reputation for quality and has also gained a cachet through sleek design. Nespresso machines are shiny with chrome trim, and its boutiques are often found in trendy cosmopolitan areas, offering consumers perks like free espressos. Nespresso is the leading brand of all fresh ground coffee by value sales in both France and Switzerland, with more than half the market in 2009 in the latter, all while not being sold through traditional grocery retail. Coffee pods themselves are one of the fastest growing segments of hot drinks, comprising more than 20% of ground coffee value sales in Belgium and Germany, and more than 40% in France, Switzerland, and the Netherlands in 2009, according to Euromonitor International figures. More importantly, coffee pods are projected to grow by more than US$1.2 billion in Western
20
Europe by 2014, in constant 2009 dollars, contributing the majority of expected growth in fresh ground coffee sales for that period. Nestlй is the overall leader in Western European coffee sales with a 17% value share in 2010, but stands to see some of that lead erode with this new competition for Nespresso. Sara Lee stood in third place behind Kraft with 7% of value sales in 2010 through its Senseo, Douwe Egberts, and L'Or brands, typically priced much cheaper than Nespresso. At 30 euro cents, the new L'Or capsules will be a significant step up from 10 euro cents Senseo pods, but still cheaper than existing Nespresso offerings. Sara Lee has slowly gained nearly a full point of market share since 2004, and this new launch should help to further that trend by appealing to consumers looking for cheaper options, especially those who might have cut back on spending during the recent global downturn.
COFFEE&TEA INTERNATIONAL # 1/2011
NESPRESSO: AN OPEN PLATFORM? Perhaps even more worrisome for Nestlй is the possibility that Sara Lee's move will be replicated by others. Already another competing pod is set to be launched in May from Ethical Coffee Co., a company organised by a former CEO of Nespresso. Ethical Coffee plans to launch its capsules in Germany, France, Switzerland, Spain, and Austria in 2010 and 2011. Initial orders from retailers reached 4 billion units. Clearly there is a demand for these new, lower priced versions of Nespresso pods. Nestlй is no doubt hoping that its higher level of quality will still justify its higher prices in the eyes of consumers. Indeed, Nestlй offers more than 15 flavours of Nespresso, often with exclusive coffees from places like Tanzania and Peru. Ethical Coffee and even a large producer like Sara Lee will find difficulty matching the breadth and quality of these offerings without added production capacity and investment. Consumers lured by lower prices may eventually return to original Nespresso pods to find the same level of quality, but it is unlikely that all of them will have this reaction. Nestlй was able to clearly separate itself from lower priced competitors when Nespresso was a distinct brewing system. This will be much more difficult to maintain now that consumers can directly compare coffees brewed through the same process. While the lead they have built is likely safe in the short term, Nestlй will likely need to take new steps to meet this threat, through more exclusive offerings, expansion into supermarkets, or legal options to defend their patents if possible. In the meantime, a strong growth opportunity has just opened up for pod competitors in the world's most developed coffee pod region.
Jeleonora Aliba eva, Coffee is a drink of
l tea h herba ning wit essi, Mor Serzh D
God
ecently in the pages of our magazine it has been announced a competition «Photograph on the cover», the task of which was to attract amateurs of coffee and tea to create high-quality aesthetic associations awaking by these amazing drinks. The results exceeded all our expectations. We have got more than 200 various pictures to the portal www.photokonkurs.com which has kindly agreed to become our guide in the world of photos. The pictures sent to the portal were funny and serious, childishly naive and with a difficult studio production — and for this variety we are very thankful to all the participants! Finally, it is time to determine the winners of the first stage of the competition. These are: 1. Pavel Sinegubov, author of the photo «Kofejok», placed on the cover of the first issue of the magazine Coffee and Tea in Russia. 2. Petr Bolhovitinov, author of the photo «Tea and Coffee», placed on the cover of this issue. Their works were recognized by the editorial board of the magazine worthy of placement on the covers. We congratulate Pavel and Petr on victory and give them a one-year subscription to our magazine! We also wanted to make special mention of the photos of a participant under nick name Pretty Marina and award her with an annual subscription to the magazine as well. It was also decided to place photos, which were selected by the editorial staff of the magazine and received a high evaluation, in the final report of the completion for the attention of our dear readers. The competition «Photograph on the cover» continues. Please Pavel Sinegubov, Kofejok send us your photos and possibly in the near future one of them will be selected to be placed on the cover of the magazine. The editorial board of C&T is particularly grateful to the administration of the portal www.photokonkurs.com for a cooperation in this project. Petr Bolhovitinov,Tea and Coffee
R
The editorial board of Coffee and Tea International magazine
nking ov, Rosy tea dri Dmitrij Kolesnik
Arrowwood Pretty Marina,
tea with lemon
A COMPETITION
hotograph on the cover SUMMED UP
Julija O nuchina , Coffee
with love
Tea , Green nuchina Julija O
Pretty Mar ina,
Vanilla
Konstantin Gorshkov, Still life with samovar
Pretty Marina, ***
Magic in, The Gavrilk Mihail
Pretty Marina, If rains outside
e of Coffe
REVIEW&STATISTICS
Study of TEA Retail Sales in Russian Cities with the Population over 10,000. Data for June—September 2010 Distribution of TEA Sales in Terms of Money Percent Source June-July 2010
by urban type population of 10 000 – 49 000 population of 50 000 – 249 000 population of 250,000 – 999 000 population over 1 million by distribution channel supermarkets mini-markets grocery stores kiosks and pavilions, open markets
August-September 2010
FOR SUBSCRIBERS ONLY
FOR SUBSCRIBERS ONLY
Source: Nielsen Russia
Share of Leaf, Granulated & Mixed Tea in Total Sales Volume of TEA sales volume,% June-July 2010
August-September 2010
Main cities with the Population over 10,000
FOR SUBSCRIBERS ONLY
Tea in teabags Granulated Leaf Mixed (leaf + granulated)
Source: Nielsen Russia
Share of Packed Tea in Total Sales Volume of TEA Physical sales volume, percent June-July 2010
Tea in teabags Packed tea
Monetary sales volume, percent
August-September 2010
June-July 2010
August-September 2010
FOR SUBSCRIBERS ONLY Source: Nielsen Russia
Share of Each Category in Total Sales Volume Physical sales volume, percent June-July 2010
black black flavored mixed: Hedbal&Frui green green flavored red white black & green
Monetary sales volume, percent
August-September 2010
June-July 2010
August-September 2010
FOR SUBSCRIBERS ONLY Source: Nielsen Russia
REVIEW&STATISTICS
Study of COFFEE Retail Sales in Russian Cities with the Population over 10,000. Data for June—September 2010 Share in Total Sales Volume Physical sales volume, percent June-July 2010
Sublimated instant Granulated instant Powdered instant Coffee mixes Ground coffee and coffee beans
August-September 2010
Monetary sales volume, percent June-July 2010
August-September 2010
FOR SUBSCRIBERS ONLY Source: Nielsen Russia
24
COFFEE&TEA INTERNATIONAL # 1/2011
REVIEW&STATISTICS
Distribution of COFFEE Sales in Terms of Money. Percent June-July 2010
by region Central Northwestern Volga Ural Siberia Far East by urban type Population of 10,000 – 50,000 population of 50,000 – 250,000 population of 250,000 – 1 million population over 1 million by distribution channel supermarkets mini-markets grocery stores kiosks and pavilions open markets
August-September 2010
FOR SUBSCRIBERS ONLY Source: Nielsen Russia
Import of cofee & tea to Russian Federation in 2010 Custom code
Description
Total Thousand. kgs
_0901
Coffee
_0902
Tea
From CIS Countries Mln. USD
Thousand. kgs
Mln. USD
From All Other Countries Thousand. kgs
Mln. USD
FOR SUBSCRIBERS ONLY Source: Federal Agency of the state statistics
Dynamics of manufacture of foodstuff including drinks and tobacco In %% to monthly average value from 2008
Dynamics of a turn of retail trade In %% to monthly average value from 2007
25
REVIEW&STATISTICS
Dynamics of a turn of wholesale trade In %% to monthly average value from 2007
Dynamics of export and import In %% to december 2007
The international reserves of the Russian Federation and official rates of dollar and euro
REVIEW&STATISTICS
million US dollars
on the end of month
26
COFFEE&TEA INTERNATIONAL # 1/2011
REVIEW&STATISTICS
in Turkey
Long established traditions of tea production and consumption have helped established Turkey as the world's second largest market for tea by volume sales, behind only India. Turkey also boasts the highest per capita consumption of tea in the world, at 3 kg per person in 2009. Despite this maturity in the marketplace, the dynamics continue to shift in this category, creating spaces for new growth and innovation.
and begin choosing value-added products and health and wellness pro-ducts due to increased health concerns. In addition, manufacturers are looking into ways of making their products more sophisticated in terms of health benefits. Such developments are expected to become popular in Turkey, particularly amongst women and young people. Manufacturers will, therefore, launch greater numbers of flavours, including adding ingredients such as ginseng and a high variety of fruit flavours, in order to
to produce 3,000 tonnes of organic tea
increase consumer demand. Fruit/herbal
leaves in 2009, which the company plans to
tea is expected to regain its position as the
In 2009, the rate of volume and value
convert into packaged dry tea to be export-
tea type with the most dynamic growth in
growth of higher priced teas, such as
ed to the EU and also launch into the
the category by 2012–2013, according to
fruit/herbal tea and green tea, slowed
domestic market. The availability of organic
Euromonitor International forecasts.
down due to the adverse effects of the eco-
tea will translate into the creation of a more
nomic crisis. On the other hand, loose black
premium segment within the category and
standard tea saw a steady 3% retail volume
should attract new interest from consumers
gain, as this is a traditional tea type with
in the future.
ECONOMIC RECESSION GIVES MOMENTUM TO BLACK TEA
Within this shifting landscape of tea choices, domestic producers have tradi-
dominant sales which is considered as a necessity in the country and an essential part of Turkish culture. Black tea is extreme-
28
SPACE OPENING FOR MULTINATIONALS
tionally built an advantage through local
OUTLOOK BETTER FOR FRUIT/HERBAL TEAS
production and access to distribution chan-
ly popular in Turkey and is the country's
Though relatively minor in sales com-
nels. This is exemplified by Cay Isletmeleri,
favourite national drink, and also comprises
pared to black teas, fruit/herbal tea was
which in 2009 continued to lead total tea
more than 95% of all tea volume sales.
one of the best performing categories from
sales with a retail value share of 52%.
Tea is consumed throughout the day
2004-2009. Although the loose format of
Unilever, with its Lipton brand, was ranked
in Turkey and is enjoyed by people of all
fruit/herbal tea is traditionally popular in
second in 2009 with a retail value share of
ages.
Turkey, sales of packaged fruit/herbal tea
16%, and until 2008 was the only multina-
The prevalence of black tea in the homes
also increased significantly. There were over
tional with a significant presence within tea
and cafйs of Turkey has not led to conformi-
20 types of fruit/herbal tea available in
in Turkey.
ty in purchasing behaviour though. In 2009,
Turkey by 2009, with the most popular
But in 2008 Coca-Cola entered the mar-
the share of private label increased as a result
being ihlamur tea, made from lime blossom
ket by purchasing Dogadan Gida, the coun-
of rising price-sensitivity among consumers
leaves which is thought to combat cough
try's leading producer of fruit/herbal teas.
and a higher number of private label prod-
and cold symptoms. The high prices of
Dogadan is a well recognized name in
ucts offered by supermarkets/hypermar-
these teas caused a drop in consumer
Turkey and Coca-Cola has since built upon
kets. The products offered by the leading
demand during the recent downturn how-
this brand equity by expanding Dogadan
companies were of standard quality, where-
ever. For example, whereas the review peri-
into black standard tea.
as the brands of small tea companies and pri-
od value CAGR of fruit/herbal tea was 10%,
finding success through catering to local
vate label were considered to be economy
in 2009 this category registered only 2%
tastes, creating a Turkish variety of its glob-
products.
current value growth.
al Lipton brand, Lipton Dogu Karadeniz
Unilever is also
Domestic producers have focused on
The perceived health benefits of herbal
Cayi. The flavour better approximates the
highlighting this difference in quality
teas over black tea should help them regain
stronger aroma of teas from the Black Sea.
through further new product development
traction in the marketplace in Turkey once
in 2009, in the hopes that consumers will
an economic recovery is underway.
seek out higher priced teas once again as
2010–2011, the negative effects of the eco-
their economic situation improves. Leading
In
A NEED FOR STRONGER FLAVOURS IN THE EAST
nomic crisis are predicted to still be visible
The smuggling of tea is also a major
company Cay Isletmeleri launched new teas
in hot drinks, with customers reducing their
problem in Turkey. Around 30,000 tonnes
for its Ovit Cayi, Diyarbakir Cayi and Zumrut
expenditure on luxury products. However,
of illegal tea enters the country every year.
Yesil brands. In the summer of 2009, Cay
from 2012 onwards, the sales of luxury and
Although leading tea producers are relative-
Isletmeleri also became involved with the
health and wellness drinks are expected to
ly unaffected by the availability of illegal
organic production of tea in the Black Sea
pick up again given their performance prior
imports, some small regional players have
region of the country, where most tea
to the economic crisis. Consumers are
been forced out of business. Tea is typically
farming is conducted. The company aimed
expected to become less price-sensitive
smuggled from neighbouring countries such
COFFEE&TEA INTERNATIONAL # 2/2010
REVIEW&STATISTICS
in the countries of former
Yugoslavia
prefer the strong taste of tea from across the border. Leading tea company Cay Isletmeleri owns a brand called GAP, developed specially for the Eastern part of the country where the consumption of illegal tea is high, although, this brand is not particularly successful. In 2009,
Cay
Isletmeleri
developed another brand called Diyarbakir (taking its name from the largest city of the south-east of Turkey), with a stronger flavour (as favoured by the people of the region) compared to standard tea sold by the company, which aimed to reduce the consumption of illegal tea. The illegal market for tea represents a very visible pocket of consumption that is still not being reached by existing players, and could be an opportunity for Unilever, Coca-Cola, or another multinational tea producer. Since tea consumption lished, growth will come from companies able to identify these kinds of specific differences in preferences
between
consumers, especially as the priorities informing their purchase decisions shift along with the economy. Innovations in new tea types, flavours, and packaging are still underutilised and could be an engine of further growth and a point of entry for companies still looking to gain a foothold in one of the largest global markets for tea.
Brian Morgan, Beverages Analyst at Euromonitor International
in Turkey is well estab-
SERBIA
The article is prepared by Euromonitor International Experts
sumers in eastern Turkey
HOT DRINKS
border and many con-
NEW OPPORTUNITIES FOR TEA SALES IN TURKEY
as Syria on the southeast
Serbia is a nation of coffee drinkers and its consumers prefer fresh coffee to all other categories. Despite this, the most dynamic category was instant coffee reaching 16% retail value growth in 2009 with younger consumers increasingly turning to it for convenience. Tea sales are quite modest with a limited product offering, but a wider offering from both foreign and domestic producers has increased penetration. Other hot drinks category grew rapidly over the last five years but volume sales are negligible when compared to coffee. Hot drinks is characterised by impulse buys of, primarily, small pack sizes in local retail outlets. As a result of this, small grocery retailers led volume distribution in 2009 despite a declining trend in volume share. Supermarkets/hypermarkets accounted for an increasing volume share thanks to its use of various promotional techniques, including in-store advertising. According to Euromonitor International, despite volume sales dropping in 2009, coffee, which is nearing maturity, is expected to continue to dominate hot drinks. As volume growth stagnates, value sales will drive growth over the next five years with valueadded products driving unit prices higher. A prime example is the migration from fresh coffee to instant coffee which has a higher unit price per cup. As the economic downturn dissipates and disposable incomes again edge higher, launches of premium brands of coffee are expected. The recent abolition of visas and the resultant surge in Serbian consumers travelling abroad is expected to strengthen premiumisation trends, as Serbian consumers, exposed to premium coffee in more developed countries, recreate the experience at home. Over the next five years, hot drinks market is forecasted to grow by around 1% annually in retail value terms and reach US$320 mn in 2014.
CROATIA The economic downturn in Croatia affected hot drinks as well, resulting in decreased demand for products and a slowdown in total volume and retail value sales, particularly in fresh coffee which decreased by — 21% in total volume and — 27% in retail value terms in
29
REVIEW&STATISTICS
2009. Products in hot drinks are perceived as non-necessity products among Croatian consumers, which can be substituted with alternative products or even avoided altogether during periods of economic negativity. Like in Serbia, instant coffee in Croatia continued to benefit from strong demand in 2009 as a result of which it registered positive total volume growth (around 2%) despite the negative economic circumstances in Croatia. Companies in instant coffee continued to promote their products relentlessly, which thus helped to sustain demand for products in this category.
both in volume and value terms and reaching almost 11 thousand tonnes in retail volume terms. The positive growth was chiefly influenced by the strong performance of coffee, both in value and volume terms. Tea and other hot drinks showed weaker performances in terms of off-trade volume sales, registering declines, mainly influenced by the lower consumption and increases in unit prices. In terms of value, however, tea and other hot drinks were also able to generate positive growth. The on-trade channel was able to outperform the off-trade channel in terms of volume growth for hot drinks in
Hot drinks market in 2009 Total Volume — Ton
Source: Euromonitor International, 2010
Instant coffee was in fact the only category of hot drinks to register positive total volume growth in 2009. The substantial slowdown in retail volume and retail value sales of hot drinks in 2009, as a result of the negative economic circumstances in Croatia, is expected to prompt players in hot drinks to make strong efforts to recapture sales and to boost demand once signs of economic recovery appear. Therefore, hot drinks is expected to register positive total volume and constant retail value growth over 2010—2015 year period. Due to price increases, retail value sales of hot drinks are expected to reach pre-economic crisis levels in 2012 however total volume sales are expected to remain below pre-economic crisis levels, even in 2014.
2009. However, compared to the previous year, the on-trade channel registered a sharper slowdown in volume growth, which was mainly ascribed to the higher unit prices of hot drinks.
According to Euromonitor Interna-tional, the hot drinks market in Slovenia was influenced by two distinctive trends in 2009. Firstly, with increasing numbers of people faced with time constraints, the feature of convenience was an important factor within hot drinks. Instant coffee was able to benefit from this trend. Secondly, the health and wellness trend saw further development within hot drinks as consumers displayed a strong preference for healthier and more natural products. The category of instant decaffeinated coffee benefited from this trend as consumers are increasingly avoiding caffeine as they endeavour to follow healthier life-styles. Within tea, the green tea and other tea categories were the absolute winners in terms of volume growth while in terms of value growth the category of other tea registered the best performance. Over 2010—2015 year period the hot drinks market is expected to grow at a faster 2% off-trade annual constant value terms than that observed over the last five years (less than 1% annually). The future performance of hot drinks will be influenced by a strong performance by coffee, tea and other hot drinks in value terms. However, while the categories of coffee and tea are expected to benefit from new product launches and innovative solutions, other hot drinks is likely to suffer from a lack thereof, which will be reflected in declining volume sales. Nevertheless, hot drinks is expected to produce good value growth over the next five years since there is still much room for the development of niche segments such as, for example, organi products.
Hot drinks market growth in 2007—2012 Retail Value — US$ mn
SLOVENIA Hot drinks performed relatively well in Slovenia in 2009 by showing 1—2% growth Source: Euromonitor International, 2010
30
COFFEE&TEA INTERNATIONAL # 2/2010
32
COFFEE&TEA INTERNATIONAL # 1/2011
By Violeta Mordas, Research Analyst at Euromonitor International
HOT DRINKS
in Kazakhstan According to the latest research by Euromonitor International the Kazakh hot drinks markets grew during the 20092010 and reached 32 thousand tonnes in retail volume terms and US$ 611 million in retail value terms in 2010. Market is lead by tea, which accounts for 91% of total hot drinks volume sales. In spite of high saturation level, the retail volume growth of tea reached 11% in 2009 and showed 8% growth rate in 2010. Coffee market was benefited from growing popularity of it; as a result, retail volume sales grew by 10% in 2010. Nevertheless, 2009 and 2010 years were rather stable for «other hot drinks»* in comparison with tea and coffee. Category providing 2% retail volume growth rate in 2010 did not show significant changes in terms of growth rates in comparison with previous year.
CHANGING CONSUMER HABITS INFLUENCED PREFERENCES IN DRINKS INDUSTRY OVERALL During the 2009-2010 major part of consumers switched to cheaper goods and reduced their expenses on some products categories, which were not considered as priority. Such tendency had impact on hot drinks as well. However, consumers did not reduce, but even increased consumption of hot drinks. Major part of consumers stayed loyal to their favourable products of good quality and taste. Retail volume sales in 2009 boosted by significant 10% and slightly lower 8% growth rate in 2010. The main driver of such rapid volume sales raise was reinforced popularity of tea caused by economic downturn. Consumers switched from rather expensive sweet and considered as unhealthy carbonated soft drinks to traditionally favourable hot drink, tea. Growing number of coffee lovers, as well as, stable demand of chocolate-based flavoured powder drinks carried their impact on positive hot drinks growth rates.
BLACK TEA REMAINS THE LARGEST CATEGORY WHILE GREEN TEA IS THE FASTEST GROWING ONE Traditionally, favourable black loose standard tea continued to dominate in retail tea sales and reached 18 thou-
* «Other hot drinks» — All flavoured, malt or plant-based powders, granules, blocks or tablets mixed with milk or water. The packaging usually recommends either milk or water, but consumers do not always follow this for different reasons, for example cultural reasons, dietary or cultural requirements. These products can be consumed hot or cold. The packaging often has serving recommendations. Only products other than tea and coffee are included.
REVIEW&STATISTICS
sand tonnes in retail volume terms and US$ 207 million in retail value terms in 2010. Nevertheless, increased variety of tea in stores and consumer interest and longing to try different types and flavours of tea, showed sales increase of «not traditional»
10% increase in comparison with 4% in 2009. However, per capita consumption remained low and reached only 0.16 kg. Fresh coffee, with 12% growth of retail volume sales, was the most active category in 2010. In spite of high fresh coffee growth
Hot drinks in Kazakhstan Retail Volume — Tonnes
Australasia or plant-based hot drinks widely consumed in Latin America (ie, powder extracted from soya beans, cereals, oat, sesame, coconut or walnut) are not presented in the Kazakh market. The only hot drink from «other hot drinks» category, which has its loyal consumer group, is chocolate-based flavoured powder drinks loved by younger consumers. Retail volume sales of children favourable hot drinks maintained stable and showed 2% growth reaching 250 tonnes in 2010.
HOT DRINKS INDUSTRY IS FORECASTED TO REACH US$ 712 MILLION IN 2015
Source: Euromonitor International, 2011
tea types. As a result, black loose standard tea lost its share and accounted 64% of retail volume sales in 2010 in comparison with 68% in 2008. Number of consumers who sought greater diversity with regard to tea consumption continued to increase. As a result, demand of fruit/herbal tea, black speciality tea and green tea increased. Green tea, which considered among consumers as more healthy type of tea in comparison with black, showed one of the highest retail volume growth rates. Green tea sales increased by 16% in 2009 and showed 14% growth rate in 2010. Black speciality tea, which was on the second position of tea sales, also showed significant increase by 13% in 2009 and growth rates of 10% in 2010. Due to convenience and short time of preparation, more consumers give their preference to tea bags, instead of loose tea. As a result, tea bags black retail volume sales showed significant 22% increase in 2010.
rates, instant coffee remained «Number 1» coffee type among consumers. It accounted for 94% of retail volume coffee sales in 2010, which was 1% less in comparison with 2009.
CHOCOLATE-BASED FLAVOURED POWDER DRINKS DOMINATES IN «OTHER HOT DRINKS» CATEGORY «Other hot drinks», such as malt (or barley) based drinks, which are rather popular in
According to Euromonitor International, Kazakh hot drinks market is forecasted to perform around 4% average annual retail volume and 3% average annual retail value sales over the next five years reaching US$ 712 million in 2015. Euromonitor also predicts consumers to become more open for the novelties, which encourage change in their preferences. It will stimulate hot drink sales further; however, people still remain price sensitive. Looking a bit deeper to the categories, the popularity of loose black tea alternatives will continue to increase and tea volume sales will perform positively despite rather high tea saturation level in Kazakhstan. Culture of coffee consumption is set develop and fresh coffee will see even higher annual volume growth rates — 10% in comparison with 4% of instant coffee retail sales over the next five years. Chocolate-based flavoured powder drinks will continue to be stable with annual volume growth of around 3% over 2010-2015.
Hot Drinks in Kazakhstan Retail Volume — '000 Tonnes
FRESH COFFEE DRIVES THE COFFEE MARKET GROWTH Coffee market in Kazakhstan is growing along with culture of coffee consumption. In 2010, retail volume sales of coffee showed
34
COFFEE&TEA INTERNATIONAL # 1/2011
Source: Source: Euromonitor International, 2011 *Forecasted data
Our machines are used in Russia by NADIN company
AGENT IN RUSSIA: TEA HOUSE TONUS, St. Dubininskaya, 90 office #402 115093 Moscow Tel. 007 495 9527154 Fax 007 499 2379908 E mail:tonus@teahousetonus.ru
REVIEW&STATISTICS
RUSSIAN TEA MARKET H A S G R E AT R E S E R V E for INNOVATIONS Andrey Alekseev
Development means turn for the better. That is a fundamental process, where we are both actors and spectators. Any time I hear from both sides «Russian tea market froze at equilibrium level», «All niches have been occupied, there are no opportunities for new players» etc., I recognize the situation «as like calm before storm». Surely, new ideas have already started to bust the market and while most of companies rest on their laurels some of them rapidly raise their future success. It is very important to answer the Graduated from Moscow Institute of Physics and question: what Technology. Since 1994 deal with consumer next step of conmarketing. Marketing director, brand manager sumer demand of Ahmad Tea in Russia from 1999 to 2008. Now development we chief of «Structura Vody» effective marketing should expect in solutions company, http://structuravody.ru the future? Perhaps, it will be the WHERE COULD BE NEW IDEAS demand for functional products and drinks, strongly promoted at the moment by milk TAKEN FROM? companies such as Danone. Indeed, tea still There are a lot of ideas around us. New keeps its healthy image as well as associatideas «hang in the air», «lie under feet», ed with revival effect. Adding to its func«adjoin on edges», «occur in heads». Those tionality some features of easy wellness regmay concern both tea as a product itself and ulator, we can suggest for consumer more promotion tools, retail development or innoconvenient, easy and tasty product, than vations in telecommunication sphere. Let us yoghurt, with wider range of benefits. Prior start with the product: what new suggeswho promotes such product can drop contions could be done for consumers in tea sumer attention from yoghurts to tea and genre, which seems to be the most tradigain a great success on the market. tional drink in the world? ANDREY ALEKSEEV
Source 1: Look at Neighbor Markets People consume many products, not only tea, but yoghurts, juices, candies, soft drinks and hundreds other goods as well. It is often enough to exceed the bounds of tea market stereotypes and look at another markets in order to find a lot of interesting ideas. Events on those markets could also affect consumer behavior and attitude for tea. It is the bright illustration, which circumstances caused the «second boom» of flavored tea in the middle of last decade. As we remember, the first peak of interest for flavored teas in Russia happened in the middle of 90th. Many Russians tasted Pickwick tea, suggested then wide range of flavor additives. However consumer interest for such product died soon, seemed forever. What took place some later? Big growth of juice market! People appreciated healthy properties and nice natural taste of great variety of exotic fruits and their combinations. When consumers got a little tired of juices, their look turned to ice tea and brewed tea with natural taste of flavorings. Now more than one of ten Russians prefers fruit flavored or herbal teas.
36
tea market: requirement of more and more easy, convenient process of brewing tea. Ice tea gives consumers the easiest way – no brewing at all! Regarding to another trends on soft drink and juice markets – rejection of sparkling drinks and tiredness from saturated juices — you can see that the success was so natural. Following «easiness trend» future consumers probably tend to expect from tea «both no brewing and no purchasing features, fresh hot or ice tea», i.e. pouring hot or cold from a tap. It could seem to be joke, but just peer at Nestle’s efforts on coffee machines market. Source 3. Consumer Analysis There is a consumer demand for products, which hasn’t appeared on the market. They are known many methods for calculation those, for example «co-joint» analysis, regarding properties combinations and comparing several versions of products among each other on consumer preference basis. For instance, take three scales for important consumer benefits: 1) TRUST to product quality, 2) PREMIUM package, 3) CONVINIENCE of brewing. Sample 1 — loose tea in carton package – has good trust level because of tea leaves view in brewing not premium package, is not convenient in brewing. Sample 2 – foil enveloped teabags – has good premium package, is convenient in
Source 2: Understanding Consumer Trends Everything is changing. It is true for preferences of tea too. Consumer current attitude is based on his previous experience and opinions, flows twisty like tiny brook and runs into great river of market trends. Reviewing Russian tea market trends, it could be too simple to consider those always like strait lines. In order to forecast market moving, it is more important to know where the trend will turn tomorrow, than The most usual points of purchase of tea, Russia, 2004-2010 where it is directed today. When in 2003 Lipton ice tea appeared on the market, it met some skepticism from many analytics: «who will buy old brewed tea in pourlooking plastic bottle at price above a beer?!» Nevertheless, a fact is obvious: Lipton quickly became a leader of rising ice tea market in Russia. That success was supported by a deep trend, presenting on
COFFEE&TEA INTERNATIONAL # 1/2011
Source: TNS Media&Marketing Index, Russia, 16+, by Euro Publicity advertising agency
REVIEW&STATISTICS
brewing, but has not high trust level as tea leaves hidden inside. Sample 3 — teabags in pyramids — is convenient in brewing, has premium package and trust because of tea leaves view.I don’t know exactly, whether Lipton was going by this way or another, but its pyramids success on the market could be calculated in advance. Source 4. Producers of Packaging Equipment It is not a secret, that variety of tea packing facilities is quite limited by several types of tea bags machines, carton and caddy packaging lines. How one brand could be distinguished from another one in that case? Producers of packaging machines are people with technical turn of mind in comparing with tea operators. They tend to be inventors, innovators. Because of different view towards the world, they can create such ideas, which never come to mind of the best marketing guru. Every new technical innovation opens door for new marketing opportunities. It is very important to collect and deeply analyze all ideas, to imagine how some technical solution can live on the market, how will be refracted in consumer mind, how it helps to promote brands. Only in this case you can achieve a success which nobody expects from you. For example, could Greenfield tea rise so big on the market, if it would be packed not in foil enveloped teabags? I think, no.
INNOVATIONS IN PROMOTION Success of tea brand is not only on product basis. Contemporary consumer requires more service while purchasing and more social benefits with the brands. A good suggestion must also include uninterruptible presence tea on the shelves, promotion activities on regular basis, easy way of making right choice of particular blend, nice looking and modern package design. Now we see huge changes in retail, communication in internet, mobile phones and computers, which strongly affect consumer behavior, giving new opportunities for promotion and new challenges for marketing specialists.
ON POINT OF SALES Visiting super — or hypermarket in Russia we can see from 400 to 600 SKUs of tea on the shelves. They make multi-color painting in avant-gardist style of the artist Kandinsky. We can make much effort to create eye catching design of the brand. However, effect is negligible: by this way we change only a fragment, just «one pixel» of that motley picture. In order to solve the task of shelf-impact, we need exceeding the bounds of package itself, create more attractive and interactive area of communication with consumers. For example, some «funny provocative» stickers, protruding from faces of the packages, various ringlets and others could be used for those purposes. It is a very good news, that many similar ideas haven still appear in Russia.
IN E-COMMERCE Internet selling throw the is very young business in Russia. It often copies off-line trading schemes or subjected to specific programmers’ mentality. At the same time internet technology opens many extremely new opportunities for sales promotion, which have no analogues anywhere else. In internet we can individually regictrate any purchase, any consumer, recommenders and conditions of purchases. It is a very interesting concept of «Cloud promotion». Based on that concept can be built wide discount-bonus promotion networks, generating direct sales and marketing from consumer-to-consumer in clouds of social networks, blogs, entertainment sites, on million private sites and mobile devices far from «mother» internet-shop. Con-siderring the possibility of electronic commerce, it should be taken into account, that good internet shop is not a virtual store, but rather a virtual consultant, personal shop assistant for every customer.
Frequency of consumption of ICE TEA, Russia, 2000-2010.
Source: TNS Media&Marketing Index, Russia, 16+, by Euro Publicity advertising agency
Frequency of consumption of JUICE, Russia, 2000-2010
IN COMMUNICATION AREA Russian consumer spends in about average 45 minutes a day drinking tea. Purchasing process takes from 5 to 15 minutes in twice average in a month. In fact, consumer spends much more time in communication with family, friends and colleges, playing with children, watching TV, listening to radio, surfing internet. It is the communication area, where is the largest reserve of promotion. Current level of telecommunication development allows to «catch» a consumer in the situation of communication, promote new products, based on the context, provoke impulse purchase, get feedback and prompt further recommendations to «friends of friends». Besides, it is a rare good case, when promotion is affordable both for big companies and new players oriented on niches or local marketing.
Source: TNS Media&Marketing Index, Russia, 16+, by Euro Publicity advertising agency
Preference of Danone's subbrands, Russia, 2004-2010.
Source: TNS Media&Marketing Index, Russia, 16+, by Euro Publicity advertising agency
Consumption of type of tea, Russia, 2002-2010
IN CLOSING Of course, promotion of innovations is not a simple matter. Every company individually defines its role in market development – to be an active participant or just a spectator. New opportunities open and close every day, in every place, therefore if someone ignores a chance, another one certainly uses it for achieving great success in the future. Source: TNS Media&Marketing Index, Russia, 16+, by Euro Publicity advertising agency
37
ECONOMICS
COFFEE in US he incidence of use and average frequency of use, among coffee drinkers, have remained steady in recent years. This steady rate of use has contributed to the stability of the overall retail market and has created a context in which many brands have been able to command the moderate price premiums that have driven sales growth. However, it is also clear that some subcategories such as ready-to-drink (RTD) coffee are vulnerable during times of economic downturn, when many look for ways to reduce spending. The current economic environment as well as health and wellness trends suggest that sales of roasted coffee will continue to grow at a modest pace in the foreseeable future. However, demand for some sugar-laden RTD options as well as additives that are heavily processed, relatively expensive and high in calories could continue to wane as Americans increasingly take steps to save for the proverbial «rainy day» while trying to maintain health and avoid costly visits to the doctor. The following points are central to the analysis that follows:
T
Market poised for moderate growth Before adjusting for inflation, overall retail sales of ground, whole bean, instant and RTD coffee products grew from approximately $6.1 billion in 2005 to $7.2 billion in 2010, a gain of approximately 19%. Mintel expects coffee sales to continue to grow at a steady pace over the next five years as well. Energy drinks pose primary competitive threat One of the biggest challenges facing long-term growth in the coffee market is the fact that young adults and teens drink coffee in far lower numbers than their older counterparts. It is also evident that many young adults who do drink coffee prefer to consume it at cafйs; many have a penchant for the sweet and creamy specialty drinks such as Starbucks’ Frappuccino drinks. Tea is also a competitive threat to coffee sales, particularly among Asians. As such, coffee marketers may want to consider diversifying their portfolios by adding or expanding their tea offerings. Retail channels Supermarkets represent the largest share of retail coffee sales. Over the past five years, this channel has seen sales increase 18% to reach $3.4 billion in 2010. Sales within the «other channels» segment, including mass merchandisers and
38
September 2010 Executive Summary Materials provided by Jennifer G. Ballard, PR Coordinator, Mintel International Group, Ltd.
dollar stores, posted similar overall growth rates of 19% to reach an estimated $3.8 billion in 2010.
Population growth, health and the economy help boost sales Demand for coffee is highest among over-45s. The over-55 segment is growing at a faster pace than any other age segment. Demand for coffee, and in particular instant coffee, is also especially high among Hispanics. Marketers may want to consider developing low calorie RTD products that include coffee as well as protein or other nutritional supplements that, taken together, are appropriate as a better-for-you snack and/or breakfast substitute. The economy continues to struggle and this is likely to drive demand for roasted coffee and other varieties that can be used to brew coffee at home or work. Folgers and Maxwell House roasted varieties driving category growth FDMx sales of roasted coffee drove overall market growth during the review period and grew 3.8% between June of 2009 and 2010, faster than any other major segment. Instant coffee holding steady FDMx sales of instant coffee remained essentially flat during the review period and totaled about $520 million for the 52 weeks ending June 2010. Via success signals demand f or premium Starbucks’ Via has thrived at FDMx outlets, reaching $7 million for the 52 weeks ending June 2010. Spanish language packaging could help further growth of value brands FDMx sales of NescafЩ Clasico—some of which is sold with bilingual packaging— increased by 10.9% during the review period. Ready to drink (RTD) segment sales stagnant Like the instant segment, FDMx sales growth of RTD options was also essentially flat, rising just 0.3% during the 52 weeks ending June 2010. Coffee additive/flavorings, substitutes and concentrates sales continue decline The findings suggest that manufacturers may want to consider introducing additives and substitutes that are made with natural ingredients and are low in calories yet can be used to create fancy coffee drinks like those commonly sold at coffeehouses.
COFFEE&TEA INTERNATIONAL # 1/2011
Unflavored most popular; eco-friendly and fair trade becoming more common Based on data from Mintel’s GNPD, unflavored varieties of coffee continued to be the most common type of new coffee launch, and accounted for 202 of the 307 total new coffee products launched in 2009. Consistent with the analysis offered in Mintel’s Beverage Packaging Trends—U.S., February 2010, eco-friendly claims are increasingly associated with launches of new coffee products. Fair trade products are also becoming somewhat more common and this seems to signal a broader trend toward ethical responsibility discussed in Mintel’s American Lifestyles—U.S., January 2010. Incidence and frequency of use remains stable Overall, the incidence of coffee use remained quite stable, across categories, between 2004 and 2009. This indicates that growth is driven largely by increased prices paid for coffee and, to a lesser degree, an increase in the frequency with which the beverage is consumed by users. Reflecting the fact that many people use coffee to get a boost of energy, about 90% of coffee drinkers use caffeinated blends while 46% use decaffeinated blends at least occasionally. This higher level of consumption helps to explain why the roasted category has played such a central role in driving overall category growth while instant sales have consistently been much lower. Most prefer national brands over regional and premium varieties Mintel’s proprietary survey indicates that 70% of coffee drinkers who participated in the survey use national brands like Folgers and Maxwell House while 32% use coffee house brand such as Starbucks. More than 80% of those aged 55+—the segment with the largest number of frequent drinkers—use national brands compared with only 55% of 18–24s. Most use a drip-style coffee maker Most coffee drinkers who participated in the survey (79%) make coffee at home using a drip-style coffee maker. Over-35s are considerably more likely than their younger counterparts to use such a device. Young adults, by contrast, are significantly more likely to use a «pod style» coffee maker, a French press, percolator, or espresso machine. Most young adults (and teens) prefer sweetened options Younger coffee drinkers, aged 18–34, are much more likely to prefer sweetened
ECONOMICS
Total U.S. retail sales and forecast of coffee, at current prices, 2005–15 Value
2005 2006 2007 2008 2009 2010 (est.) 2011 (fore.) 2012 (fore.) 2013 (fore.) 2014 (fore.) 2015 (fore.)
Sales at current prices $millions
% annual change
6,073 6,393 6,652 6,826 7,014 7,202 7,521 7,859 8,197 8,537 8,882
– 5.3 4.1 2.6 2.8 2.7 4.4 4.5 4.3 4.1 4.0
FIGURE 1 Index
Index
2005 = 100
2005 = 100
100 105 110 112 115 119 124 129 135 141 146
84 89 92 95 97 100 104 109 114 119 123
Source: Mintel/based on SymphonyIRI Group InfoScan® Reviews; U.S. Bureau of Labor Statistics, Consumer Expenditure Survey
coffee drinks (40% of 18-34s vs. 25% of 55-64s and 21% of over-65s), suggesting that demand for such products could rise in the future.
Hispanics are a high-value segment In general, Hispanics are more likely to report using coffee than whites and blacks and they are far more likely to use the beverage than Asians, many of whom prefer tea.
MARKET SIZE AND FORECAST Before adjusting for inflation, overall retail sales of ground, whole bean, instant and RTD coffee products grew from approximately $6.1 billion in 2005 to $7.2 billion in 2010, a gain of approximately 19%. Sales are expected to grow between 4% and 4.5% between 2010 and 2015 before adjusting for inflation. Incidence of coffee use in the U.S. has remained steady in recent years, a key factor contributing to the stability of the market, which has proven resilient to the recessionary pressures.
Brew at home continues even as commodity prices percolate The relatively high and very steady incidence of use, combined with strong demand for moderately priced premium options, will help to drive sales gains between 2010 and 2015 in much the same way it did during earlier years in the review period. Moreover, Mintel’s American Lifestyles— U.S., January 2010 notes that consumers continued to spend more time at home in 2009 than they have typically done during better economic times. It is important that
marketers continue to make efforts to evaluate the competitive landscape to ensure their products are priced competitively. However, as reported in Food Engineering in July 2010, the single serve pods produce considerably more paper waste than, for instance, what is used by a percolator or espresso machine, and this is a sensitive issues for a variety of companies such as Kraft that are working to «green» their operations in part by reducing waste. The Economistalso reported in August of 2010 that a shortage of Central American and Columbian arabica beans have caused a significant increase in coffee prices and they could continue to rise until the next Brazilian crop hits the market later this year. However, it also seems clear that many retailers—cognizant of the fact that consumers are as frugal as ever—are taking steps to keep prices low in order to drive category sales and garner customer loyalty. Taken together, these factors and others described in subsequent sections of this report help to explain why retail sales of coffee continued to grow throughout the recession and why they are expected to continue to climb between 2010 and 2015. (FIGURE 1) As noted below, after adjusting for inflation, sales grew by about 6% between 2005 and 2010 and are expected to continue to grow at a slightly faster pace between 2011 and 2015. (FIGURE 2)
Walmart sales Considering Food, Drug and Mass Merchandiser sales including Walmart (FDMW) as measured by SymphonyIRI InfoScan® and MarketInsightTM for Walmart (i.e. not the total market as shown
above), Walmart accounted for 24.0% of sales of FDMW during 2009. This share was 24.0% in 2008. Mintel defines this market by combining, in full or in part, the following SymphonyIRI segments: • Cappuccino/iced coffee • Coffee additive/flavoring • Coffee substitutes • Ground coffee • Ground decaffeinated coffee • Instant coffee • Instant decaffeinated coffee • Refrigerated coffee concentrate • Refrigerated ready-to-drink coffee • Single cup coffee • Whole coffee beans.
SEGMENT PERFORMANCE Roasted sub-category continues to drive overall category growth As shown in the following Figure, sales of roasted coffee are driving overall growth in FDMx coffee sales. While the ground coffee sub-category continues to play a critical role in driving this growth, sales of single cup pods and disks are rising rapidly. This suggests that many Americans are consuming relatively small amounts of coffee in each sitting and that many prefer a fresh-brewed cup over one that has been sitting in a coffee pot at home or the workplace. As noted in Supermarket News in August 2010, sales of coffee continued to climb in 2010 as many Americans increased the amount of coffee they brew and drink at home. The journal also noted that single cup coffee products such as K-Cups and other single cup pods showed particularly strong
Total U.S. retail sales and forecast of coffee, at inflation-adjusted prices, 2005-15 Year
2005 2006 2007 2008 2009 2010 (est.) 2011 (fore.) 2012 (fore.) 2013 (fore.) 2014 (fore.) 2015 (fore.)
Sales at constant 2010 prices $millions
% annual change
6,792 6,926 7,007 6,928 7,144 7,202 7,410 7,621 7,828 8,020 8,208
2.0 1.2 -1.1 3.1 0.8 2.9 2.8 2.7 2.5 2.3
FIGURE 2 Index
Index
2005 = 100
2005 = 100
100 102 103 102 105 106 109 112 115 118 121
94 96 97 96 99 100 103 106 109 111 114
Source: Mintel/based on SymphonyIRI Group InfoScan® Reviews; U.S. Bureau of Labor Statistics, Consumer Expenditure Survey
40
COFFEE&TEA INTERNATIONAL # 1/2011
ECONOMICS
FDMx sales of coffee, by segment, 2009 and 2010 52 weeks ending Jun 14, 2009
FIGURE 3
Share of market
52 weeks ending Jun 13, 2010
%
$million
Share of market
2009-10
$million
%
% change in sales
Roasted coffee
3,019
79.7
3,133
80.3
3.8
Ground coffee Whole coffee beans Ground decaffeinated coffee Single cup coffee
2,344 334 263 79
61.9 8.8 6.9 2.1
2,401 331 255 146
61.5 8.5 6.5 3.7
2.4 -0.9 -3 85.9
Instant coffee
520
13.7
520
13.3
0.1
Instant coffee Instant decaffeinated coffee
422 98
11.1 2.6
425 95
10.9 2.4
0.8 -3
Ready to drink coffee
234
6.2
235
6
0.3
Cappuccino/iced coffee Refrigerated ready-to-drink coffee
219 15
5.8 0.4
218 17
5.6 0.4
-0.5 12.1
Coffee additive/flavoring, substitutes, and concentrates
14
0.4
13
0.3
-7.8
Coffee additive/flavoring Refrigerated coffee concentrate Coffee substitutes
12 1 1
0.3 0 0
10 1 1
0.3 0 0
-11.6 26.4 0.2
3,787
100
3,901
100
3.0
Total
Source: SOURCE: Mintel/Based on SymphonyIRI group InfoScan® Reviews™
growth, indicating that many are consuming relatively small amounts of fresh coffee. The findings outlined below also indicate that sales of RTD coffee are on the rise. Current economic trends could discourage some from using these products while motivating them to use other categories such as instant to make their own chilled, sweet, and creamy coffee drinks at home. (FIGURE 3)
INCIDENCE AND FREQUENCY OF USE Overall, the incidence of coffee use remained quite stable, across categories, between 2004 and 2009. Reflecting the fact that many people use coffee to get a boost of energy, about 90% of coffee drinkers use caffeinated blends while 46% use decaffeinated blends at least occasionally. There is a strong positive correlation between age and frequency of consumption such that adults aged 45+ are far more likely than their younger counterparts to consume coffee on a daily basis. Mintel’s proprietary survey indicates that that more than 80% of coffee drinkers aged 55+ consume the beverage on a daily basis, compared to only 27% of 18-24s and 54% of 25–34s. On average, users of regular roasted whole bean or ground coffee consume about 4.44 cups per day, while decaffeinated users consume about 3.27 cups
per day and instant drinkers use 2.68 cups per day.
Incidence of use has remained stable for the last several years The sales growth described in previous sections of this report is not a product of more Americans drinking coffee but rather is an outcome of price increases and, to some degree, the rapid growth of the Hispanic and age 55-74 segments, which have a concentration of heavy users. These findings clearly indicate that the category is resistant to recession and that usage is likely to remain stable in the foreseeable future. As shown below, about eight in 10 U.S. households use coffee at least occasionally. Consistent with the sales estimates offered in preceding sections, the Figure below indicates that roasted ground coffee is the most popular sub-category and instant is used in approximately three in 10 U.S. households. While use of flavored instant coffee has dropped in recent years, the growth of Starbucks’ Via shows that there is considerable demand for premium instant coffee. That growth, combined with strong demand for sweet energy drinks among young adults and teens suggests that manufacturers may want to consider targeting young adults with flavored instant coffees that can be positioned as an alternative to energy drinks. Such products could be promoted on college campuses during the winter months, when
many seek a boost of energy around exams as well as a warm drink to stave off the winter chill. (FIGURE 4)
Most users drink coffee on a daily basis Mintel’s exclusive consumer research finds that about 66% of adults who consume coffee do so on a daily basis. As explained in Mintel’s Green Living— U.S., February 2010, many young adults have a penchant for green products and are willing to pay a modest premium for eco-friendly products. This suggests that marketers may want to consider targeting young adults with competitively priced organic and fair trade coffees while also providing recipes to help them make cafйlike drinks, such as flavored lattes, at home. The findings also suggest that older adults should be targeted with larger-thanaverage package sizes that are appropriate for frequent users. (FIGURE 5) Household coffee preferences in ground/whole bean coffee The majority of coffee users prefer caffeinated varieties of ground or whole bean coffee. However, as Baby Boomers age and take steps to optimize nutrition, some may take steps to avoid excessive caffeine intake. This suggests that manufacturers may want to consider developing more «half caf» products that contain only a small amount of caffeine. (FIGURE 6)
Trended household use of coffee and espresso products, by type, 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ Coffee, including espresso Coffee, not including espresso Ground or whole bean coffee Espresso/cappuccino Instant coffee Instant flavored coffee mixes
24,686
24,617
FIGURE 4
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09
24,467
24,571
24,801
24,489
%
%
%
%
%
%
80 78 61 17 33 20
79 77 62 18 26 20
78 77 62 17 25 19
79 77 63 18 26 18
79 77 63 17 25 18
79 78 63 18 29 16
Source: SOURCE: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
42
COFFEE&TEA INTERNATIONAL # 1/2011
ECONOMICS
Frequency of coffee consumption, by age, June 2010
Base: internet users 18+ who drink coffee Every day 5-6 days per week 3-4 days per week 1-2 days per week Less than once a week
FIGURE 5
All
18-24
25-34
35-44
45-54
55-64
65+
1,449
149
272
248
24,801
236
272
%
%
%
%
%
%
%
66 10 10 9 5
27 17 16 26 15
54 14 14 10 7
60 14 11 11 3
75 6 11 4 4
80 7 5 6 3
84 3 5 6 2
Source: SOURCE: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
Trended household use of caffeinated and decaffeinated coffee, 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses ground or whole bean coffee Caffeinated (Regular) Decaffeinated
FIGURE 6
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09 15,982
15,295
15,751
15,849
16,107
16,202
%
%
%
%
%
%
87 52
87 48
88 49
88 49
89 47
90 46
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
Trended household use of ground and whole bean coffee, 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses ground or whole bean coffee Ground Whole bean
FIGURE 7
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09 15,215
14,332
14,871
14,907
15,222
15,255
%
%
%
%
%
%
89 27
90 26
91 26
90 27
90 28
90 27
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
Trended daily household use of ground regular coffee, 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses regular ground or whole bean coffee 15 or more cups per day 10 — 14 cups per day 7 — 9 cups per day 5 — 6 cups per day 4 cups per day 3 cups per day 2 cups per day 1 cup per day Less than 1 cup per day Mean # cups HH drinks in average day
FIGURE 8
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09
9,970
10,393
10,547
10,898
11,067
11,050
%
%
%
%
%
%
4 6 9 15 17 12 19 9 10
3 7 8 15 16 12 18 11 9
4 6 9 16 16 13 18 10 9
3 6 9 16 17 13 17 9 8
3 7 8 15 16 13 19 10 8
3 8 8 15 17 13 17 10 9
4.36
4.38
4.39
4.42
4.35
4.44
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
Trended daily household use of ground decaffeinated coffee, 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses decaffeinated ground or whole bean coffee 15 or more cups per day 10-14 cups per day 7-9 cups per day 5-6 cups per day 4 cups per day 3 cups per day 2 cups per day 1 cups per day Less than 1 cup per day Mean # cups HH drinks in average day
FIGURE 9
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09
7,399
7,302
7,415
7,447
7,331
6,973
%
%
%
%
%
%
2 3 6 13 15 15 21 12 15
1 3 6 12 15 14 22 13 14
1 3 5 11 15 13 22 15 15
2 3 5 11 14 12 22 16 14
1 3 7 10 14 12 22 14 17
1 4 5 11 14 13 22 15 14
3.36
3.35
3.17
3.37
3.28
3.27
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
43
ECONOMICS
Trended daily household use of instant coffee, 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses instant coffee 10 or more cups per day 7-9 cups per day 5-6 cups per day 4 cups per day 3 cups per day 2 cups per day 1 cups per day Less than 1 cup per day Mean # cups HH uses i n average day
FIGURE 11 Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09
9,098
7,086
7,123
6,974
6,875
8,249
%
%
%
%
%
%
4 4 8 13 12 25 18 17
4 3 9 11 12 24 20 17
4 4 9 12 13 22 19 16
3 3 8 12 12 25 19 18
5 2 8 13 12 23 18 18
4 3 8 11 13 25 21 15
2.73
2.66
2.84
2.65
2.77
2.68
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
Trended household use of regular and sugar-free flavored coffee mixes, 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses instant flavored coffee mixes Regular Sugar-free
FIGURE 12
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09 3,503
4,773
4,585
4,586
4,276
4,418
%
%
%
%
%
%
91 19
89 18
90 20
84 26
86 23
85 26
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
Trended household use of regular or decaffeinated instant coffee 2004-09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses instant coffee Regular Decaffeinated
FIGURE 10
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09 8,140
8,535
8,535
6,652
6,531
6,437
%
%
%
%
%
%
78 41
77 38
80 38
78 38
80 36
83 35
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
While there appears to be considerable demand for bulk gourmet coffee, it is also apparent that there is far more demand for mainstream ground varieties such as those sold under the Folgers and Maxwell House brands. (FIGURE 7)
Household use of roasted coffee— caffeinated use skews higher than decaf As shown in the following Figure, the average coffee-drinking household consumes about four cups per day, a level of usage that has remained relatively steady in recent years. Pod-style coffee machines that produce four cups of coffee at one time will likely be well received, as this will provide an appropriate amount of coffee for most users. (FIGURE 8) Households that use decaffeinated coffee tend to use somewhat less per day than those that use regular coffee. This suggests that there is considerably less demand for
large package sizes in the decaffeinated category. In order to maximize margins and share of wallet, retailers may want to consider emphasizing premium blends of decaffeinated coffee by placing these at eye level on store shelves. Such varieties could also be promoted using in-store tastings designed to encourage customers to purchase premium varieties. Some may also want to consider offering recipes for flavored coffee beverages as a way of encouraging occasional drinkers to consume coffee with greater frequency. (FIGURE 9)
Most households that use instant coffee consume caffeinated varieties While the preceding Brand Share— Instant Coffee section of this report clearly shows demand for premium instant coffee, it is also evident that pricing can be particularly important as many heavy users of
instant come from households with incomes of $50K or less. (FIGURE 10) Compared to daily household use of roasted coffee, households that use instant coffee tend to consume fewer cups per day. (FIGURE 11)
Coffee mixes hold less promise Just 16% of household currently use flavored instant coffee mixes, and the incidence of use has been declining in recent years. Innovations in alternative sweeteners combined with a continued emphasis on wellness may help drive interest in such products. (FIGURE 12) The low average daily use of instant coffee mixes is another indication that demand for flavored instant coffee mixes is relatively low in the U.S. and therefore is not a subcategory that most manufacturers will want to focus upon when considering ideas for new products and line extensions.(FIGURE 13)
Trended daily household use of instant flavored coffee mixes, 2004–09 Jan 04-Sept 04 Jan 05-Sept 05 Base: adults 18+ whose HH uses instant flavored coffee mixes 4 or more cups per day 3 cups per day 2 cups per day 1 cups per day Less than 1 cup per day Mean # cups HH uses in an average day
FIGURE 13
Jan 06-Oct 06
Jan 07-Nov 07
Oct 07-Dec 08
Nov 08-Dec 09
5,022
4,850
4,871
4,605
4,714
3,805
%
%
%
%
%
%
10 9 21 24 36
11 7 19 29 34
11 10 20 26 32
12 10 20 25 33
11 10 20 24 35
9 9 22 26 35
1.51
1.49
1.58
1.6
1.56
1.47
Source: Mintel/Experian Simmons NCS/NHCS: Fall 2004, Fall 2005, Fall 2006, Fall 2007, Fall 2008, Fall 2009 Adult Full Year—POP
44
COFFEE&TEA INTERNATIONAL # 1/2011
RESEARCH
ffect of roasting degree, equivalent thermal effect and coffee type on the radical scavenging activity of coffee brews and their phenolic fraction *
Journal of Food Engineering 90 (2009) Giampiero Sacchetti **, Carla Di Mattia, Paola Pittia, Dino Mastrocola, Dipartimento di Scienze degli Alimenti, Via Carlo R. Lerici 1, Mosciano Stazione, 64023 Teramo, Italy
1. INTRODUCTION Besides fruits and vegetables, plant beverages contribute to the dietary intake of antioxidants (Pellegrini et al., 2003; Natella et al., 2002). Among beverages, coffee shows the greatest total antioxidant activity and recently, has been reported to be the major source of antioxidants in the US diet (Pellegrini et al., 2003; Vinson et al., 2005). The antioxidant activity (AOA) of coffee brews is strongly affected by the coffee roasting process. In fact, although phenolic antioxidants (i.e. chlorogenic acid) naturally occurring in coffee are lost during the roasting process (Parliment, 2000; Steinhart et al., 2002; Delgado-Andrade and Morales, 2005), the antioxidant content can be maintained, or even enhanced, by the formation of compounds with antioxidant activity, such as Maillard reaction products (MRPs) (Nicoli et al., 1997a; Borrelli et al., 2002; Del Castillo et al., 2005). The chemistry of MRPs has been studied both in foods and in model systems and these compounds are reported to have antioxidant or even pro-oxidant properties (Nicoli et al., 1999; Manzocco et al., 2001). The effect of coffee roasting on the AOA of coffee brews was investigated in several earlier studies but discordant results were obtained: (i) an increase of AOA in brews from medium roasted coffee and an AOA decrease in those from dark roasted coffee (Nicoli et al., 1997a; Nicoli et al., 1997b; Steinhart et al., 2002; Del Castilloet al., 2002; da Silveira-Duarte et al., 2005; Cдmmerer and Kroh, 2006) (ii) a decrease of AOA in brews from light roasted coffee and an increase in those from dark roasted coffee (Daglia et al., 2000; Anese and Nicoli, 2003; Wen et al., 2005); (iii) an increase of AOA of brews with roasting (Anese et al., 2000; Borrelli et al., 2002; Sanchez-Gonzales et al., 2005); (iv) a decrease of AOA of brews with roasting (Richelle et al., 2001; Borrelli et al., 2002). Discrepancies in literature data could be due to the use of different methods to test AOA (C@mmerer and Kroh, 2006) but also to a lack of a standard definition of roasting degree, which could be described by colour changes, density decrease or weight loss (Illy and Viani, 1995; Eggers and Pietsch, 2001). The latter is often the only parameter used to define the roasting degree in literature studies even if, during roasting, coffee could reach the same values of weight loss at different time–temperature combinations (Schenkeret al., 2002). The use of different time–temperature profiles could affect both the development of Maillard reaction and AOA changes (Nicoli et al., 1999; Anese and Nicoli, 2003). * The **
NOMENCLATURE z CTref
T Tref
cook value (min) o
inner temperature of the roasting chamber ( C) reference temperature (180oC)
Z
temperature increase required for the Bigelow’s thermal dependence curve to traverse one Log cycle (oC)
EaB
thermal dependence factor of the browning reaction (J)
K T
rate constant (min )
—1
time (min)
Another important factor which makes the comparative analysis of literature data difficult is the type of raw materials used in the experiments. In fact the concentration of compounds which could act as reagents in the Maillard reaction vary according to the type of coffee (Eggers and Pietsch, 2001) resulting in different AOA (Daglia et al., 2004; Del Castillo et al., 2005; Lуpez-Galileaet al., 2006). The aim of this study was to investigate the radical scavenging activity (RSA) of coffee brews obtained from different types of coffee as a function of the roasting degree and equivalent therz mal effect (expressed as CTref) and to evaluate the relative contribution of the phenolic fraction and non-phenolic fraction to the overall RSA. 2. MATERIALS AND METHODS 2.1. Materials Green coffee from different species and of different origin were provided by an Italian roasting company (Saquella caffP, Pescara, I) which included a sample of Coffea arabica from Brasil, a sample of Coffea canephora var. Robusta from India, and a blend of these two (20% and 25%, respectively) with other arabica and robusta coffees of different origins. Coffee sampling was carried out from the provider by taking several aliquots of each sample at different sites in each lot following a standardized procedure (ISO, 1982). Coffee (140 g ca.) was submitted to a roasting process in a rotary laboratory roaster (mod. PRE 1, Probat, Emmerich, DE) with hot air circulation. All samples were roasted for 10 min using three different time–temperature combinations with average temperatures reaching 170,
article is published under license number 2595221025779 on 12/01/2011, issued by the Copyright Clearance Center (USA). Corresponding author. Tel.: +39 0861 266913; fax: +39 0861 266915. E-mail address: gsacchetti@unite.it (G. Sacchetti).
46
COFFEE&TEA INTERNATIONAL # 1/2011
RESEARCH
180 and 190 C; by setting the hot air temperature at 200, 210 and 220 oC, respectively. Only the coffee blend was roasted for different times (2, 4, 6, 8 and 10 min) at a 180 oC average temperature. Coffee was naturally brought to ambient temperature (20±2oC), packed in plastic pouches and stored in dry conditions. Prior to analysis samples were ground in a coffee mill (Super Junior «S», Moulinex, Paris, F) to obtain a mean particle size of 496 :m. 2.2. Equivalent thermal effect calculation The equivalent thermal effect of the different roasting z processes was quantified using the cook value (CTref). The latter was calculated by Eq. (1) (IFTPS, 2004) using the registered roaster temperature profile and the z value for the browning reaction (zB). 10
CTzref =
T Tref z
t
10
(1)
0
where Tref was set as the average temperature of the range studied in this work, i.e. 180 oC, and zB =
2.303RT 2 Ea B
(2)
EaB is the thermal dependence factor for the browning reaction deduced from the Arrhenius equation. The time–temperature profiles registered in the roasting z chamber were used to compute CTrefinstead of those at the product core; this is because it was impractical to position the thermocouples precisely inside the coffee beans in the rotary roaster. The z CTref value was thus reported as the ‘theoretical cook value’. 2.3. Colour measurement Colour measurements were carried out on ground coffee using the standard CIE conditions (C.I.E., 1986) and a Minolta (Osaka, Japan) CM-508d spectrophotometer (Minolta, Osaka, Japan) equipped with the CIE illuminant C (6774 K). Measurements were carried out on SCI modality using a 10o standard observer. Before analysis, the instrument was calibrated on a white standard tile (L*= 98.82; a*=–0.18; b*=–0.31). Colour
was measured in CIELab coordinates and the hue angle (ho) was calculated as ho=tan–1(b*/a*). 2.4. Total solids Total solids were determined by gravimetric method No. 968.11 of AOAC (2000). 2.5. Brews preparation Beverages were obtained by solid–liquid extraction with deionized water at 100oC for 10 min under constant stirring. The ratio between coffee powder and water was 1:10 (w/w). After extraction, the samples were rapidly cooled in cold water and centrifuged for 15 min at 1814g and 4oC by an ALC International (Milan, Italy) 4237R centrifuge and then filtered through Whatman No. 40 ashless filters (Maidstone, UK). 2.6. Sample extraction Brews were separated into two fractions by a solid phase extraction (SPE) procedure using commercially available octadecyl C18 cartridges (1 g, 6 mL) (International Sorbent Technology, Tucson, AZ). The separation of phenolic and non-phenolic fractions was carried out according to Di Mattia et al. (2007) and Piva et al. (2008). Before loading the sample, the column was conditioned with 2 mL of methanol and 5 mL of sulphuric acid 0.1 N. Coffee brews (1 mL) were loaded and then washed with 2x4 mL of sulphuric acid 0.1 N to eliminate the hydrophilic compounds not bound to the column. This fraction, which represents the non-phenolic fraction (NPF), was collected and brought to a final volume of 10 mL with sulphuric acid 0.1 N. The compounds retained by the solid phase were eluted with 2x4 mL of 60% methanol solution and brought to a final volume of 10 mL with the same solvent; the collected solution was accounted for the phenolic fraction (PF). 2.7. Radical scavenging activity The antioxidant activity was determined by measuring the radical scavenging activity according to the method described by Re et al. (1999) with some modifications. ABTS (Fluka, Buchs, CH) was dissolved in water to a 7 mM concentration, the radical cation ABTS+ was formed by reacting ABTS+ stock solution with
Roasting parameters and colorimetric coordinates (mean ± standard deviation) of coffee samples Sample
Roasting temperaturea (Co)
Table 2
z
Time
CT
(min)
(min)
ref
L*
o
h
Roasting degreeb
Means ( ± s.d.) followed by the same letter are not significantly different at a p < 0.05 level. a Average value calculated over roasting time. b LR: Light roasted (L* > 35); MR: Medium roasted (25 < L* < 35); DR: Dark roasted (L*< 25).
47
RESEARCH
Fig.1.
Browning kinetics of coffee blend at three different temperatures as described by plotting the reciprocal of lightness (L* against roasting time)
2.45 mM potassium persulfate and allowing the mixture to stand in the dark at room temperature for 12–16 h before use. The ABTS+ stock solution was diluted with deionized water to reach an absorbance of 0.70 ± 0.02 at 734 nm and at 25oC. Thirty microliters of differently diluted extracts (from 1:2 to 1:20 in a 60% methanol solution for PF and in sulphuric acid 0.1 N for NPF) or coffee brews (from 1:20 to 1:200 in deionised water) were added to 2.97 mL of diluted ABTS+ solution. The absorbance at Fig. 2.
Regression between the theoretical cook value and the lightness index (L* forall the samples. Dotted line represents non linear regression applied to all the data; continuous line represent linear regression applied to commercial samples (medium and dark roasted)
734 nm was read using a Perkin Elmer (Boston, MA) Lambda Bio 20 spectrophotometer. The time of analysis, 5 min, was chosen after preliminary tests and represented the time necessary to reach 80% of the overall inhibition of the ABTS radical at a given concentration. For each dilution, the percentage of inhibition (I%) was calculated as ((Absinitial– Absfinal)/Absinitial)x100. The percent of inhibition was plotted as a function of concentration and the TEAC (Trolox Equivalent Antioxidant Capa-city) was calculated by the ratio of the linear regression coefficient of the sample and that of the Tro-lox standard (Fluka, Buchs, CH). Results were expressed as lmol Trolox equivalents (TE) mL–1. 2.8. Total polyphenols The total polyphenol content of PF and NPF was evaluated using the Folin– Ciocalteau reagent and following a method
48
COFFEE&TEA INTERNATIONAL # 1/2011
adapted from Singleton and Rossi (1965). The sample (0.1 mL) was diluted with deionized water to a volume of 5 mL and then 500 :L of Folin–Ciocalteau (FC) reagent were added; after 3 min 1 mL of a 35% Na2CO3 solution was added and then deionised water up to 10 mL final volume. Solutions were maintained at room temperature under dark conditions for 60 min and the total polyphenols content was determined at 725 nm using a Perkin Elmer Lambda Bio 20 spectrophotometer. Gallic acid standard (Fluka, Buchs, CH) solutions wereused to calibrate the method. 2.9. Statistical analysis Three analytical determinations (five for colour) were carried out on three aliquots from each coffee sample. Means and relative standard deviations were calculated. Experimental data were analysed by one way ANOVA and statistical significance of means was determined by the LSD test. Linear and non-linear regression was performed on the experimental data using the «Quasi Newton» algorithm supplied by STATISTICA (StatSoftTM, Tulsa, OK). 3. RESULTS AND DISCUSSION The most important modifications occurring in coffee beans during roasting are weight loss, density reduction and colour change (Illy and Viani, 1995; Eggers and Pietsch, 2001). The latter is due to non enzymatic browning (NEB) reactions such as Fig. 3.
Change in Radical scavenging activity (DRSA) between roasted coffee and green coffee in brews from different coffee types and roasted at different temperatures, as a function of coffee beans browning (DL*).
RESEARCH
Fig.4.
Fig.5.
Radical scavenging activity of the brews extracted from the coffee blend roasted for different times at different temperatures as a function of lightness (a) and the theoretical cook value (b)
Total polyphenol content of the brews extracted from different coffee types roasted under different time–temperature combinations, as a function of lightness (L*)
Maillard reaction and caramelization (Massini et al., 1990; Parliment, 2000). Colour is the most widely used parameter to describe the roasting level of coffee which is classified as light, medium and dark according to colour lightness (Illy and Viani, 1995; Eggers and Pietsch, 2001). The values of L* and ho colour parameters of the coffee samples under study are reported in Table 1. Samples were classified into different roasting levels on the basis of L* values (Nicoli et al., 1997b; Anese et al., 2000; Da Porto et al., 1991) and the L* colour index was tested as a time–temperature indicator of the total thermal effect. A second order correlation was found between L* and roasting time (Fig. 1). The browning rate constants (KB) were calculated by linear regression by setting the process temperature at its average value (Fig. 1). Then the natural logarithm of KB was correlated to the reciprocal of the average temperature (K–1) to obtain an Arrhenius-type equation (ln KB=—7235T–1+11; R2=0.962). The thermal dependence factor of the Arrhenius equation was then used to calculate the zB value (IFTPS, 2004), which was equal to 56oC, and this value was used to compute the z cook value CTref according to Eq. (1). The cook value was calculated for different types of coffee roasted with different time–temperature combinations (see Table 1) and plotted against L* (Fig. 2). A strong correlation z between CTref and L* was found (Fig 2). In commercial samples (medium and dark roasted coffees), L* was linearly correlated z with CTref(r=–0.962; p<0.01); therefore L* was considered to be a direct index of the total thermal effect. A 82 test was carried out to establish the predictive ability of the linear model which proved to be significant at p < 0.001 level. On the basis of the classification reported in Table 1, light coffees were obtained by roasting z processes with CTref<4 min, medium roasted coffees by processz z es with 4<CTref<7, and dark coffees by processes with CTref >7. The RSA values of brews obtained from coffee blends roasted for different times at 180oC and for 10 min each at 170 and 190oC, are reported in Fig. 3a as a function of L* It is clear that the RSA of brews increase as L* values decrease up to a )L* value of about 30. With the further decrease in L*, the initial increase in RSA is followed by an eventual decrease. Similar antioxidant activity changes with roasting were also observed by Nicoli et al. (1997b). According to this and other studies (Steinhart et al., 2002; Nicoli et al., 1997a; Nicoli et al., 1997b; Del Castillo et al., 2002; da Silveira-Duarte et al., 2005) the highest RSA was observed in coffee brews obtained from medium roasted coffee, which is the
coffee type suitable for a slow percolation and usually used for preparing American style drip coffee brew (Illy and Viani, 1995). Brews obtained from dark roasted coffee can instead result in a higher or lower antioxidant activity than green coffee brews depending on the roasting degree. In Fig. 3b, the RSA values are reported as a function of the equivalent thermal effect. The overall data trend is almost similar to that observed in Fig. 3a and L* can be shown to be a robust index of the severity of thermal effect. Roasting processes carried out using different time–temperature profiles, but yielding z similar CTrefvalues, resulted in similar L* (Fig. 2) and RSA values (Fig. 3b) regardless of the average temperature variation from 170 to 180oC. Anese et al., 2002 investigated the effect of equivalent thermal effect on AOA for pasteurized tomato purees and obtained similar results. The AOA change of brews obtained under different coffee roasting conditions was investigated earlier (Nicoli et al., 1997a; Nicoli et al., 1997b; Del Castillo et al., 2002; da Silveira-Duarte et al., 2005), and the increase in AOA with roasting intensity was ascribed either to the release of highly active low molecular weight polyphenols (C@mmerer and Kroh, 2006) or to the formation of brown compounds with a wide range of molecular weights (from <350 to 4000 Da) that show antioxidant activity (Borrelli et al., 2002; Del Castillo et al., 2002). These neo-formation compounds, generally known as Maillard reaction products (MRPs) (Parliment, 2000; Nunes and Coimbra, 2001), are heterocyclic compounds and melanoidins formed respectively during the intermediate and advanced phases of the Maillard reaction which were shown to act as effective antioxidants (Fuster et al., 2000; Yanagimoto et al., 2004). Besides MRPs accumulation, dark roasting, typically used for espresso brews (Illy and Viani, 1995), determines oxidation and thermal degradation of phenolics, which are the natural antioxidants mainly present in green coffee (Homma, 2001). Phenolics degradation results in the formation of compounds which show lower AOA than the originals (Borrelli et al., 2002; Del Castillo et al., 2002). The concentration of total phenolics in brews from different types of coffee decreased linearly with increasing intensity of thermal process as described by L* (Fig. 4). The sample which showed the highest total polyphenol content (Robusta coffee) underwent the highest rate of polyphenol loss upon roasting, since the rate of chemical reactions depends on the concentration of reactants.
49
RESEARCH
Total polyphenols content and antioxidant activity (mean Âą standard deviation) of brews extracted from different coffee samples and their aqueous and amphiphilic extracts Sample
Roasting temperaturea (Co)
Time (min)
Total polyphenols (mg kg-1 GAE)
Table 2
RSA (PFb)
RSA (NPFc)
RSA (brew)
(lmolTE/mL)
(lmolTE/mL)
(:molTE/mL)
Means (Âą s.d.) followed by the same letter are not significantly different at a p < 0.05 level. a Average value calculated over roasting time. b Methanol/water extracts (PE). c Acidified aqueous extracts (NPE).
Even if MRPs formation and phenolic degradation are considered the main causes of coffee AOA changes, there have been few attempts to evaluate the relative contributions of phenolic and non-phenolic fractions to the overall AOA (C@mmerer and Kroh, 2006; Delgado-Andrade and Morales, 2005; Steinhart et al., 2002). In the latter works the phenolic and MRPs fractions were separated on the basis of their molecular size, by assuming that melanoidin structures are larger than polyphenols, even if small reductones, formed as intermediates in the Maillard reaction, and polymeric phenolic compounds, such as condensed tannins, are present in coffee (Gonzalez De Colmenares et al., 2006) and both these compounds are effective antioxidants. In this study the phenolic fraction (PF) and non-phenolic fraction (NPF) were tentatively separated by solid phase extraction (SPE). The RSA recovery in NPF was tested on a MRP model system (Di Mattia et al., 2007) and accounted for 75%. The remaining 25% was eluted by the 60% methanol solution. In coffee extracts the alcohol soluble fraction can elute with phenolics resulting in an overestimation of the RSA of PF and an underestimation of RSA of NPF. In contrast, SPE cannot separate the phenolic compounds incorporated in the melanoidin structures (Delgado-Andrade and Morales, 2005; Bekedam et al., 2008) resulting in the opposite effect (Di Mattia et al., 2007). RSA values of the phenolic (PF) and non-phenolic fraction (NPF) of brews were reported in Table 2. The sum of the values of the RSA of the PF and NPF, which showed an average relative standard deviation (RSD) of 2.72%, was generally equal to the overall RSA of the brews which, in turn, showed a RSD of 1.87%. On the basis of these results, it can be concluded that the method of fractionation used in this study results in a good recovery of all the antioxidant compounds after separation. The total RSA of green coffee extracts is mostly determined by the phenolic fraction even if about 12% is determined by highly hydrophilic molecules not bound to the C18 cartridge (Table 2). The total polyphenol analysis was carried out on the NPF of the green blend and the molecules eluted in the aqueous phase reacted with the FC reagent. These molecules could thus be highly hydrophilic phenols not bound to the C18 phase. The ratio between the RSA of the NPF of the green blend and its response
50
COFFEE&TEA INTERNATIONAL # 1/2011
to FC reagent was 3154 mol TE/mol GAE, this value is much higher than that of polyphenols eluted with the amphiphilic solution (9.17 mol TE/mol GAE) and this suggests that highly hydrophilic molecules not bound to the C18 phase show a high RSA. The RSA of the NPF progressively increased with roasting intensity, while the RSA of the PF decreased (Fig. 5) due to the thermal or oxidative degradation of phenolic compounds (Del Castillo et al., 2002; Manzocco et al., 2001). It is worth noting that polyphenols in their intermediate state of oxidation can exert higher RSA than the original compounds (Nicoli et al., 1997b,1999); thus the RSA of both NPF and brews from light and medium roasted samples do not decrease with roasting despite significant reduction in their total polyphenols content (Table 2). However, the experimental data confirm the hypothesis that the AOA of roasted coffee is dependent on the AOA of the PF, which generally decreases during roasting, and the AOA of NPF, which increases during roasting due the MRPs formation (Borrelli et al., 2002; Del Castillo et al., 2002). Recently, it has been suggested that, under mild roasting conditions, polyphenols are mainly Fig. 6.
Radical scavenging activity of the phenolic (PF) and non-phenolic (NPF) fractions of brews from coffee blend roasted at 180oC average temperature for different times
RESEARCH
responsible for the free radical scavenging activity of coffee brews, whereas MRPs are mainly responsible for the free radical scavenging activity of more severely (medium and dark) roasted coffees (Del Castillo et al., 2005). This hypothesis was not confirmed by the present study because the contribution of the NPF to the overall AOA was very modest; this result is also consistent with the work of Charurin et al. (2002) on model systems and by other authors (Steinhart et al., 2002; Delgado-Andrade and Morales, 2005) on coffee brews. In the present study the average relative contribution of NPF to the total RSA of brews from dark roasted coffee samples was 19.3±4.9% which is close the values reported for melanoidins by Steinhart et al. (2002) and Delgado-Andrade and Morales (2005), respectively. In order to evaluate the effect of coffee type on RSA evolution during roasting, the change in RSA ()RSA) between roasted coffee and green coffee was plotted as a function of the intensity of the roasting process expressed as )L* (see Fig. 6). It is clear that DRSA correlates with )L* regardless of the type of coffee. All types of coffee show an increase in RSA at medium roasting levels followed by a decrease at higher roasting intensities. The RSA changes seem to be much more dependent on roasting severity, as described by L* than on the raw material (Fig. 6). Also Parras et al. (2007) did not find any significant difference in the RSA of filter coffee brews obtained from different coffee type, processed for the same roasting time. 4. CONCLUSION Many chemical changes occur during coffee roasting; among which the activation of Maillard reaction and degradation of polyphenols. The former causes antioxidant activity increase in extracts from light and medium roasted coffee. At higher roasting intensities, the thermal degradation of polyphenols causes antioxidant activity to decrease and this process is not counterbalanced by further MRP formation. In all cases, the contribution of the non-phenolic fraction to the overall antioxidant activity of the brew is much lower than that of the phenolic fraction. The antioxidant activity changes in brews from medium and dark roasted coffee are negatively influenced by the intensity of thermal process and seem to be much more dependent on roasting severity than on the type of coffee.
melanoidins. Journal of Agricultural and Food Chemistry 50, 6527–6533. Cдmmerer, B., Kroh, W., 2006. Antioxidant activity of coffee brews. European Food Research and Technology 223, 469–474. C.I.E., 1986. Colorimetry, second ed. Publ. 15, Suppl. 2. Wien: Central Bureaux of the Commission Internationale de l’Eclaraige, pp. 1–83. Charurin, P., Ames, J.M., Del Castillo, M.D., 2002. Antioxidant activity of coffee model systems. Journal of Agricultural and Food Chemistry 50, 3751– 3756. Da Porto, C., Nicoli, M.C., Severini, C., Sensidoni, A., Lerici, C.R., 1991. Study on physical and physico-chemical changes in coffee beans during roasting Note 2. Italian Journal of Food Science 3, 197–207. Da Silveira-Duarte, S.M., De Abreu, C.M.P., Castle de Menezes, H., Dos Santos, M.H., Paiva-Gouvea, C.M.C., 2005. Effect of processing and roasting on the antioxidant activity of coffee brews. Ciкncia e Tecnologia de Alimentos 25, 387– 393. Daglia, M., Papetti, A., Gregotti, C., Bertй, F., Gazzani, G., 2000. In vitro antioxidant and ex vivo protective activities of green and roasted coffee. Journal of Agriculture and Food Chemistry 48, 1449–1454. Daglia, M., Racchi, M., Papetti, A., Lanni, C., Govoni, S., Gazzani, G., 2004. In vitro and ex vivo antihydroxyl radical activity of green and roasted coffee. Journal of Agriculture and Food Chemistry 52, 1700–1704. Del Castillo, M.D., Ames, J.M., Gordon, M.H., 2002. Effect of roasting on the antioxidant activity of coffee brews. Journal of Agricultural and Food Chemistry 50, 3698–3703. Del Castillo, M.D., Gordon, M.H., Ames, J.M., 2005. Peroxyl radical-scavenging activity of coffee brews. European Food Research and Technology 221, 471–477. Delgado-Andrade, C., Morales, F.J., 2005. Unravelling the contribution of melanoidins to the antioxidant activity of coffee brews. Journal of Agricultural and Food Chemistry 53, 1403–1407. Di Mattia, C., Sacchetti, G., Seghetti, L., Piva, A., Mastrocola, D., 2007. ‘Vino cotto’composition and antioxidant activity as affected by nonenzymatic browning.Italian Journal of Food Science 19, 413–424. Eggers, R., Pietsch, A., 2001. Technology 1: roasting. In: Clarke, R.J., Vitzthum, O.G.(Eds.), Coffee: Recent Developments. Blackwell Science, Oxford, pp. 90–107. Fuster, M.D., Mitchell, A.E., Ochi, H., Shibamoto, T., 2000. Antioxidative activities of heterocyclic compounds formed in brewed coffee. Journal of Agricultural and Food Chemistry 48, 5600–5603. Gonzбlez De Colmenares, N., Ramнrez-Martнnez, J.R., Aldana, J.O., Clifford, M.N., 2006. Analysis of proanthocyanidins in coffee pulp. Journal of the Science of Food and Agriculture 65, 157–162.
ACKNOWLEDGEMENT Saquella caffи (Pescara, Italy) is acknowledged for the provision of coffee samples and for the technical assistance in the roasting process.
Homma, S., 2001. Non-volatile compounds. In: Clarke, R., Witzhum, O.G. (Eds.), Coffee. Recent Developments. Blackwell Publishing, London. IFTPS, 2004. Nomenclature for studies in thermal processing. Institute For Thermal Processing Specialists, Guelph.
REFERENCES
Illy, A., Viani, R., 1995. Espresso Coffee: The Chemistry of Quality. Academic Press, San Diego. ISO 4072-1982 (E), 1982. Green coffee in bags – sampling. Geneve International Organization for Standardization, pp. 1–3.
Anese, M., Nicoli, M.C., 2003. Antioxidant properties of ready-to-drink coffee brews. Journal of Agricultural and Food Chemistry 51, 942–946. Anese, M., De Pilli, T., Massini, R., Lerici, C.R., 2000. Oxidative stability of the lipid fraction in roasted coffee. Italian Journal of Food Science 12, 457–462. Anese, M., Falcone, P., Fogliano, V., Nicoli, M.C., Massini, R., 2002. Effect of equivalent thermal treatments on the color and the antioxidant activity of tomato purees. Journal of Food Science 67, 3442–3446. AOAC, 2000. Official Methods of Analysis 13th ed. Method n. 968.11. Washington: Association of Official Analytical Chemists. Bekedam, E.K., Schols, H.A., Van boekel, M.A.J.S., 2008. Incorporation of chlorogenic acids in coffee brew melanoidins. Journal of Agricultural and Food Chemistry 56, 2055–2063. Borrelli, C.R., Visconti, A., Mennella, C., Anese, M., Fogliano, V., 2002. Chemical characterization and antioxidant properties of coffee
Lуpez-Galilea, I., Anduezam, S., di Leonardo, I., Paz de Peсa, M., Cid, C., 2006. Influence of torrefacto roast on antioxidant and pro-oxidant activity of coffee. Food Chemistry 94, 75–80. Manzocco, L., Calligaris, S., Mastrocola, D., Nicoli, M.C., Lerici, C.R., 2001. Review of non-enzymatic browning and antioxidant capacity in processed foods. Trends in Food Science and Technology 11, 340–346. Massini, R., Nicoli, M.C., Cassarа, A., Lerici, C.R., 1990. Physico-chemical changes of coffee beans during roasting. Note 1. Italian Journal of Food Science 2, 123–130. Natella, F., Nardini, M., Giannetti, I., Dattilo, C., Scaccini, C., 2002. Coffee drinking influences plasma antioxidant capacity in humans. Journal of Agricultural and Food Chemistry 50, 6211–6216. Fig. 6. Radical scavenging activity of the phenolic (PF) and non-phenolic (NPF) fractions of brews from coffee blend roasted at 180 C average temperature for different times.
51
ADVERTISER INDEX
AHMAD TEA LTD.
ZWIRNEREI A.D. WUTACH GmbH
AHMAD TEA LTD. Tel: +44(0)23 8027 8900 Fax: +44(0)23 8025 5867 www.ahmadtea.com Official distributor in Russia: «SDC-FOODS» Ltd. www.ahmadtea.ru report@ahmadtea.ru Moscow: Tel: +7(495) 234 69 91 Fax: +7 (495) 234 69 95
GLATFELTER COMPOSITE FIBERS BUSINESS UNIT
Zwirnerei a. d. Wutach GmbH P.O. Box 1163, .. 79780 Stuhlingen/ Germany Phone +49 7744 9396-0 Fax +49 7744 9396-20 info@zwirnerei-wutach.com www.zwirnerei-wutach.com
MAI S.A.
MAI S.A. SOLIS 8250 B7608FLR — Mar del Plata Argentina Tel.: (54-223) 482-1817 Fax: (54-223) 481-0234 mdp@maisa.com.ar www.maisa.com.ar
Worldwide contact: GLATFELTER Gernsbach GmbH & Co. KG Phone: +49 7224 66 0 composite.fibers@glatfelter.com Russian contact: GLATFELTER Russia Phone: +7 495 775 69 22 service.russia@glatfelter.com www.glatfelter.com TEAMAC S.r.L.
TEAMAC S.r.L. ViaMenghini,1 40054 Budrio(BO), Italy Tel.: +390516926276 Fax: +390516926277 info.teamac@marchesini.it Agent in Russia: TEA HOUSE TONUS St. Dubininskays – 90 Office #402, 115093, Moscow Tel.: 007 (495) 9527154 Fax: 007 (499) 2379908 tonus@teahousetonus.ru
KLD COFFEE IMPORTERS
KLD COFFEE IMPORTERS 9 Pushkarev Pereulok Moscow, 107045, Russia Tel.: +7 (495) 223 0347 Fax: +7 (495) 223 0349 office@kld-coffee.ru www.kld-coffee.ru
HALSSEN & LYON GMBH :
MAY COMPANY 19, Proektiruemy proezd 4294 Moscow, Russia 109235 Tel.: +7 (495) 775 7505 Fax: +7 (495) 775 5515 info@maycompany.ru www.maycompany.ru
:
MAY COMPANY
HALSSEN & LYON GMBH Pickhuben 9 20457 Hamburg, Germany Phone: +49 (0)40 361 43-0 Fax: +49 (0)40 361 43-117 info@haelssen-lyon.de www.haelssen-lyon.de
ELISENTAL
DRAHTWERK ELISENTAL W. Erdmann GmbH & Co Werdohler Str. 40 58809 Neuenrade P.O. Box 1260, 58804 Neuenrade, Germany Phone: +49 2392 697-31 Fax: +49 2392 697-39 teabag@elisental.de www. elisental.de
52
COFFEE&TEA INTERNATIONAL # 1/2011
ORIMI TRADE, Llc.
ORIMI TRADE, Llc. 3, Tobolskaya str., St. Petersburg, 194044, Russia Tel: (812) 346 82 40 Fax: (812) 542 15 01 market@orimitrade.ru www.orimitrade.ru