India’s Coffee Consumption Set to Double in 5–10 Years as Youth Fuel Rapid Beverage Shift

Continental Coffee ramps up capacity; branded sales grow, sachets dominate, and Asia–Europe exports remain strong

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India is entering a major coffee consumption boom, with demand expected to double over the next 5–10 years, according to Continental Coffee Limited (CCL). The surge is being driven by a young population rapidly embracing coffee culture — a transformation unfolding faster than in many developed nations.

Youth Are Powering India’s Coffee Revolution

CCL’s Chief Marketing Officer Raja Chakraborty said today’s youth are switching to coffee in big numbers, boosting both in-home and café consumption. Changing lifestyles, urbanisation, café chains, and premium instant coffee formats are accelerating the shift.

Capacity Expansion to Meet Rising Demand

To keep up with soaring consumption, CCL has:

• Doubled production capacity across India and Vietnam
• Expects 100% capacity utilisation by FY29
• Will explore further expansion as soon as its units reach full capacity

CEO Praveen Jaipuriar noted that CCL is also open to partnerships with companies looking to outsource manufacturing from under-utilised units.

CCL’s combined global production capacity now exceeds 75,000 metric tonnes per year across plants in:

• India
• Switzerland
• Vietnam

Branded Coffee Leads Domestic Sales

CCL’s India business is dominated by branded products, which contribute:

• 70% of total domestic sales
• 30% coming from private label and bulk supply

The company expects the branded share to increase further as consumers opt for premium, packaged, and convenient coffee formats.

Strong Global Export Footprint

Exports remain central to CCL’s business, with shipments distributed as follows:

• 35–40% to Asia
• 35–40% to Europe, Russia & CIS
• 10% to the Americas
• Minimal presence in Australia

Jaipuriar highlighted West Asia and Asia as the most dynamic and aspirational coffee markets globally, with fast-growing consumption in both home and café spaces.

Sachets Rule the Indian Market

In India, 70% of the coffee market is sachet-driven, reflecting the importance of affordability and convenience.

Key trends:

• Sachets will continue to dominate for years
• CCL is pushing deeper into micro-markets to widen sachet reach
• The company is adding niche offerings like premix sachets in small, consumer-friendly packs

A Decade of High-Growth Ahead

With India’s young consumers driving demand and brands scaling rapidly, CCL believes the country is set to witness a doubling of coffee consumption by 2030–2035 — marking one of the fastest beverage transitions in the world.