After winning in the eliminations, semi-finals, and faced off again at the national finals, they garnered the highest scores from the judges.

Team Tablo (Champion from Luzon) and Team Davao’s Finest (1st Runner-Up from Mindanao) will represent the country at this year’s ASEAN Barista Team Championship. The competition will take place in Bangkok, Thailand from March 5-7, 2025.

The Ultimate Coffee Guide interviews the Philippine delegates as they prepare for yet another challenge that will test their speed, accuracy, and accuracy.

TEAM TABLO
These four young baristas work at different branches under one brand: Tablo. Jaypee Rivera is in charge of operations, training, and R&D. LA Lopez is at Tablo Bistro, Christian Cia is at Tablo 2, while Daniel Tambong is at Matzu or Tablo 1. But whether they work in Paraňaque, Las Pinas, or Quezon City for Tablo 1 to 6, Tablo Bistro, and Vinta, Team Tablo has always been the team to beat since 2023.

Q: This is your third year of winning. What drives you to keep bringing home the bacon?
A: The drive comes from a mix of passion, growth, and the desire to challenge ourselves. Winning for three years straight is not just about the trophy and the recognition. It’s about the process of continuing to push the limits, refining the skills, and learning from each experience. Every victory reminds us of how far we have come and motivates us to reach even higher. Plus, there’s something incredibly satisfying about setting a goal and consistently achieving it, knowing that the effort and commitment have paid off. The drive to keep bringing home the bacon comes from that hunger for progress and the thrill of seeing what’s possible with relentless dedication.

Q: How did you prepare for the eliminations? How about the finals?
A: Preparing for the eliminations and finals has always been a journey of focus and intentional effort. As for the finals, it’s a whole different level. The pressure is higher, so our preparation shifts to managing that pressure. In addition to refining the technical aspects, we worked on staying calm under pressure. We made sure to take time for recovery and mental resets, ensuring that we are not just physically prepared but also in the right mindset to handle whatever came our way. It’s about keeping our confidence up and trusting all the work we put in leading up to that moment. We would constantly remind ourselves of our goals and focus on the things we control, whether it was staying
focused, managing our time, or maintaining our energy levels.

Q: What were the challenges you had during the practice/competition and how did your team overcome it?
A: (Jhaypee) There were definitely some challenges that tested us individually and as a team. One of the biggest hurdles was maintaining consistent performance, especially when things didn’t go as planned. There were moments when I felt like I wasn’t progressing as quickly as I hoped, or when the pressure started to take toll on my focus. The team faced similar struggles, like coordinating smoothly under stress or adapting to unexpected changed in the competition set-up.

What really helped us overcome these challenges was communication and adaptability. We made sure to keep talking openly, sharing what each of us was struggling with and offering support. We also learned to stay flexible in our approach. If something didn’t work in practice, we didn’t dwell on it. Instead, we’d regroup, analyze what went wrong, and adjust our strategy. In the competition, staying calm under pressure was key. We would remind each other to focus on the task at hand and trust the process. There were moments when it felt like everything was on the line, but our ability to work together, adapt quickly, and keep pushing forward made all the difference. Team spirit really became
our secret weapon to overcome any obstacle that came our way.

Q: What did you learn from the finals that is helping you prepare for the regional competition?
A: From the finals, we learned the importance of self-assessment and continuous improvement, which is now shaping our preparation for the competition. As Team Tablo Philippines, we make it a habit to review our performance on stage, analyzing every detail to identify what worked well and what needs refinement. This process helps us sharpen our skills and elevate our execution.
During practice, we don’t just go through the motions, we simulate real competition scenarios, ensuring that every moment, decision, and action becomes second nature. More importantly, we embrace accountability and responsibility, knowing that the discipline we build in practice will define our performance on stage. We believe that excellence is not just a one-time effort but a habit. And that mindset is what drives us forward as we prepare for the regional competition.

Q: How did your team change (personally and professionally) after winning?
A: After winning, our team experienced significant growth both personally and professionally. Personally, the victory transformed us, boosting our confidence in our individual skills and the roles we play within the team. It reinforced our belief in hard work and dedication, encouraging us to step outside our comfort zones. We became more open to sharing knowledge, supporting one another, and striving for even greater achievements. Most importantly, we learned to trust not only ourselves but also our teammates, realizing that success is built only on unity, collaboration, and support.
Professionally, winning opened doors we never imagined. It connected us with key figures in the coffee industry, giving us new opportunities to learn, grow, and refine our craft. More than just a title, this achievement served as a reminder that losing is not the end but rather a stepping stone toward mastery. It fueled our drive to improve, not just as competitors but as individuals committed to excellence. We also embraced the responsibility of sharing our knowledge with those who look up to us, inspiring others to pursue their own journeys. Most importantly, this experience taught us that belief, faith, trust, support, and discipline are the true ingredients for success. Winning wasn’t just
about competition. It was about becoming better as a team and as individuals.

TEAM DAVAO’S FINEST
In Matina and in Puan, four talented baristas from Davao formed a group to represent Mindanao in Joefel Manlod, Rovie Kristel Jabines, Joenar Bryan Ponce, and Wendil Orio Sollano comprise Team Davao’s Finest.

Q: Why did you choose the name Team Davao’s Finest?
A: We want to be a catalyst of coffee professionals to represent the thriving coffee community in Davao. We’re a coffee community with deeper history of camaraderie, brand respect, and economic engagement. We want to honor the name of the city by showcasing what we love to do and elevating the coffee standards in the city. Davao’s Finest does not only represent our individual skills but also collectively as an engaging community.

Q: How did you prepare for the eliminations? How about the finals?
A: We do lots of brainstorming and practice to be able to work smoothly as a team. During the finals, we re-structured our key roles to fill the void or weaknesses that we encountered during the local regional qualifiers.

Q: What were the challenges that you had during the practice/competition and how did your team overcome it?
A: This is the beauty of this competition. It is so unique yet it is so functional which is relatively the set-up of fast-paced cafes. Our team is composed of different individuals working in different cafe brands so schedule for practice is really tough to manage. The financial side also because we have to fly in and out of Cebu and Manila as well as the accommodation.

Q: What did you learn from the finals that is helping you prepare for the regional competition?
A: Competing with seasoned teams gives us better room for understanding like where to score points, proper communications, and most importantly by being critical because we’re following the details required by the given menu.

Q: How did your team change (personally and professionally) after winning?
A: Win or lose, the biggest and most mature thing to do is to embrace the mistakes done during the competition. It’s easier and faster to move forward as a team.

The agreement cements a strategic alliance to standardize and promote the coconut-coffee intercropping for the export market, uniting PCA’s logistical and technical expertise with APLFI’s advocacy and training capabilities. Under the MOU, PCA will spearhead infrastructure and farmer support, while APLFI will lead communication efforts and farmer training initiatives. PCB will drive research and development, particularly in coffee product packaging and market positioning, to ensure high-quality coffee products for export.

Farmers are poised for substantial gains. APLFI has committed to purchasing raw materials at fair trade prices, promoting sustainability and equitable profit sharing. A dividend system will also be implemented, providing farmers with financial returns from final product sales.

“Coconut and coffee are two globally celebrated commodities that have long sustained industries and livelihoods,” stated PCA Administrator and CEO, Dr. Dexter R. Buted. “Today, we unite their potential to uplift our farmers and position Philippine coffee as a globally competitive product,” he added.

APLFI, led by internationally renowned Filipino-American rapper and singer Apl.de.Ap, reaffirmed its commitment to champion sustainable agriculture. Beyond leading communication efforts, APLFI will establish a fair-trade market where farmers receive dividends from end-product sales, guaranteeing just compensation.

PCB President and Co-Chair Pacita U. Juan emphasized coffee standardization’s crucial role in elevating Filipino coffee beans internationally. Following the signing, Apl.de.Ap, serving as Coconut-Coffee Ambassador, underscored Filipino farmers’ vital role in shaping sustainable agriculture’s future.

Support extends beyond production and trade. Department of Agriculture-High Value Crops Development Program (DA-HVCDP) will provide agricultural inputs under the Coconut Farmers and Industry Development Plan (CFIDP) to amplify impact.

The partnership is expected to create ripple effects across the sector, enhancing global competitiveness while securing better livelihoods for Filipino farmers. With unified efforts from government agencies, private organizations, and grassroots communities, the future of Philippine coconut and coffee is set for remarkable feats.

This article first appeared on Philippine Coconut Authority.

Team Tablo and Team Davao’s Finest snagged the chance to represent the Philippines at the ASEAN Barista Team Championship (ABTC) in Bangkok, Thailand on March 5-7, 2025 within the THAIFEX HORECA show.

The national finals was held at the Enderun Colleges’ The Atrium last Feb. 4, 2025 and was attended by coffee enthusiasts from all over the country. Team Clutch got the second runner-up award while Iloilo’s Team Coffee Brewthers finished third. Every year, the PCBI holds the Luzon/NCR and Visayas/Mindanao eliminations to produce two teams who will represent the Philippines at the regional tilt.

Team Tablo and Team Davao’s Finest will compete with other teams from eight other ASEAN countries, including Hongkong.

Special thanks to Worldbex Services International for being PCBI’s official expo/venue partner from Manila to Cebu.

Credit also goes to the 2024 Official Partners who supported our local baristas from start to finish with their amazing products:

Last January 25, stakeholders from across the Philippine coffee sector gathered for the “Living and Prosperous Income” workshop, organized by the International Coffee Organization’s Coffee Public-Private Task Force (ICO/CPPTF) in partnership with the Philippine Coffee Board and the University of the Philippines School of Economics. The workshop’s primary goal was to explore the concept of “living income” within the Philippine coffee sector and determine pathways to achieve it.  

Defining Living Income and Its Importance

“Living Income,” as defined by the Living Income Community of Practice, represents the net annual income required for a household in a specific location to afford a decent standard of living for all its members. This includes essential needs like food, water, housing, education, healthcare, transport, clothing, and provision for unexpected events.

Achieving a living income is not just about economic stability; it’s a fundamental human right, as enshrined in UN conventions. Low incomes and poverty contribute to a host of social and environmental challenges, from deforestation to immigration. Furthermore, ensuring farmers earn a decent living from their coffee is crucial for managing supply, mitigating risks, and guaranteeing the quality and quantity of coffee demanded by the market.

The Living Income and Living Wage 2024 Update Report for tobacco farmers in Ilocos Sur revealed that a family’s living expenses amount to PHP 26,210 but the gross living wage is only PHP 17,744, highlighting the urgency of this issue. Focusing on improving farmers’ incomes is essential for continuous improvement and long-term prosperity within the coffee sector.

The workshop and its key takeaways

The “Living and Prosperous Income” workshop held in UP Diliman brought together a diverse group of stakeholders, representing the entire coffee value chain, from farmers and academics to government officials, NGOs like the Asia Farmers Association, roasters, and café owners. This diverse participation underscored the collaborative nature of the challenge and the need for collective action.

The workshop’s core message resonated strongly: achieving a living income for coffee farmers requires a concerted effort from all involved—government, civil society, and the private sector.  Participants recognized that shared responsibility is paramount. A key outcome of the workshop was the agreement to form a mini task force in the Philippines. This group will be dedicated to further defining the Prosperous Income level specific to the Philippine context, laying the groundwork for targeted interventions and strategies.

The workshop was facilitated by Mr. Christopher Wunderlich, Co-coordinator of the ICO/CPPTF’s Living and Prosperous Income and Director of Agrofuturo Global, whose expertise guided the discussions and helped participants navigate the complexities of the living income concept.

The ICO’s vision and approach

The International Coffee Organization’s Coffee Public-Private Task Force (ICO/CPPTF) is committed to ensuring a sustainable coffee sector for future generations of both producers and consumers. Its vision centers on creating farmer prosperity, supporting transparent markets, and building resilience and value at the origin.

Its approach to achieving this involves working at scale, engaging all key stakeholders, and identifying the specific drivers of income within the coffee sector. It also emphasizes the importance of shared responsibility throughout the value chain, ensuring that costs and risks are not disproportionately borne by farmers, a common and detrimental practice.

Opportunities and methodology

Adopting the Living Income concept presents numerous opportunities for the Philippine coffee sector. It can promote the economic and social value of Philippine coffee, support compliance with market regulations, raise awareness about the income needs of farming households, provide a clear goal for strategies and collective efforts, and inform strategies to improve incomes and economic resilience.

Doing this involves measuring income gaps, identifying existing support programs, analyzing income drivers, and assessing the impact of different income components (including price). Monitoring progress and creating marketing opportunities are also crucial. Working in groups, the participants identified income drivers and key stakeholders in the Philippine coffee sector, and ways to improve producers’ incomes and economic resilience of the sector.

The road to prosperous income

Achieving living incomes for coffee farmers is a complex but essential undertaking. It requires genuine collaboration and shared responsibility among the public and private sectors, as well as civil society, working across the entire coffee value chain. By working together, the Philippine coffee sector can create a future where farmers thrive and the industry flourishes.

Coinciding with this celebration is the 22nd anniversary of the Philippine Coffee Board Inc. (PCBI). Established in 2002, PCBI is a private sector-led NGO that was initially formed as the National Coffee Development Board (NCDB) and later incorporated by its founding trustees for sustainability despite changes in the administration of the national government agencies. For the past 22 years, PCBI has been dedicated to promoting the growth and sustainability of the Philippine coffee sector, from bean to cup.

The shift from consumption to production

In its early years, PCBI’s primary mission was to educate Filipinos about the benefits of coffee and encourage domestic consumption. Through various campaigns and initiatives, PCBI successfully raised awareness of Philippine coffee and fostered a growing appreciation for the local beverage. However, as the demand for Philippine coffee increased, PCBI realized the need to shift its focus to production.

“From promoting Philippine coffee over the last two decades PCBI has made great strides in spreading awareness about coffee origins. Now, it’s time to plant more coffee to satisfy the increasing domestic demand,” says Chit Juan, PCBI President and Co-Chair.
To address the growing domestic demand, PCBI has launched initiatives to encourage coffee planting and cultivation. By providing farmers with technical assistance, training, and access to resources, the organization aims to increase coffee production in the country. This strategic shift reflects PCBI’s commitment to not only promoting Philippine coffee but also ensuring a sustainable supply of high-quality beans for both domestic and international markets.

Current state, challenges and solutions

The Philippine coffee industry is experiencing a remarkable surge in popularity and growth. Coffee shops are popping up in cities and towns across the country, catering to a growing number of coffee enthusiasts. This increased demand has spurred greater awareness about coffee origins, with consumers seeking traceable and high-quality beans. “Traceability is a feature many consumers now look for. Farmers now have leveled up their skills in processing better coffee because of increased opportunities to showcase their products at trade fairs, expos and competitions — both local and regional,” Juan adds.

And yet, despite the industry’s vibrancy, Filipino coffee farmers continue to face significant challenges. One of the primary areas for improvement is coffee quality. By adopting better processing techniques, farmers can enhance the flavor profile of their beans, making them more appealing to discerning buyers. PCBI plays a crucial role in addressing these challenges through training programs that focus on nursery establishment, farm maintenance, proper harvesting, and processing methods.

Future growth and PCBI’s goals

The country currently consumes more coffee than it produces, creating a gap that needs to be filled. To meet this increasing demand, it is crucial to expand coffee production. PCBI’s plans include training more farmers in sustainable coffee cultivation practices and inspiring the next generation to embrace agriculture, particularly coffee planting. By investing in human capital and promoting sustainable farming methods, PCBI aims to ensure the long-term growth and prosperity of the Philippine coffee industry.

Philippine Coffee Month Celebration

As part of its commitment to promoting the industry, PCBI has organized “Coffee Goes Full Circle” in partnership with SM Makati, Side B Upcycling, Primal Brew Coffee Roastery, Common Folk, and Commune. This event will take place from October 4-6 and aims to bring coffee shops closer to the Makati community while showcasing circular economy initiatives such as using coffee hulls and spent coffee grounds to create charcoal briquettes. Free learning sessions will also be offered during the weekend.
Additionally, PCBI will be offering free coffee to foreign delegates attending the Asia Pacific Ministerial Conference on Disaster Risk Reduction (APMCDRR) at the Philippines International Convention Center (PICC) from October 14 to 18. This initiative provides an opportunity introduce international visitors to the unique flavors of Philippine coffee.

Coffee processing, the transformation of cherry into bean, is a critical step in determining a coffee’s final flavor. From the sun-dried simplicity of natural processing to the meticulous washing and fermentation of wet processing, each method imparts unique characteristics.

What are the different coffee processing methods?

Coffee is processed in many ways but we’re focusing on the three traditional methods: natural, washed, and honey. Let’s explore how these methods shape the complex and nuanced world of coffee flavor.

Natural processing

The natural, or dry, processing method is one of the oldest and simplest ways to prepare coffee beans.

After harvesting, ripe coffee cherries are laid out on drying patios or raised beds to dry in the sun. This process can take several weeks, depending on climate conditions. As the cherries dry, a natural fermentation occurs within the fruit, influencing the flavor profile of the beans.   

Because of the extended contact between the bean and the fruit during drying, natural process coffees are often characterized by full-bodied, complex flavors with notes of fruit, sweetness, and sometimes even wine-like characteristics. However, the process is susceptible to defects if not carefully monitored, as rain or humidity can ruin the entire crop.   

Washed (wet) processing

Unlike natural processing, washed coffee undergoes a more intricate process. 

Upon harvest, the outer skin and pulp of the coffee cherries are removed. The remaining coffee beans, covered in a sticky mucilage, are then fermented in water to remove this substance. This fermentation process is crucial for developing the coffee’s flavor profile. Following fermentation, the beans are washed to remove any remaining impurities and then dried, either in the sun or mechanically.

Washed coffees are generally characterized by their clean and bright cup profile. They often exhibit pronounced acidity, floral or citrus notes, and a crisp, clear taste. 

This processing method is commonly used to produce high-quality Arabica coffees, as it helps to highlight the bean’s inherent characteristics.

Honey processing

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Honey processing is a hybrid method that falls between natural and washed processing.

After harvesting, the coffee cherries are pulped to remove the outer skin, but a portion of the sweet, sticky mucilage is left intact. The beans are then dried with the remaining mucilage adhering to them. This process lends its name to the method, as the coffee beans resemble honey-coated seeds.

Honey processed coffees offer a balance between the sweetness and complexity of natural coffees and the clarity of washed coffees. The flavor profile often showcases intense fruit notes, with varying levels of sweetness depending on the amount of mucilage left on the bean. This processing method allows for a wider range of flavor possibilities, making for a more complex cup.

In Brazil, the term “pulped naturals” is more common for honey processed coffees.

Other types of coffee processing methods

Coffee is always evolving and these days, it’s not hard to come across newer and experimental types of coffee processing methods. These include anaerobic process and carbonic maceration.

Anaerobic processing is a technique where coffee cherries or pulped coffee is fermented in airtight containers without oxygen. The absence of oxygen creates unique fermentation conditions, producing distinctive acids like lactic acid. These acids contribute to intense, complex flavors often described as juicy, fruit-like, or even funky. 

Carbonic maceration, a method inspired by winemaking, involves placing whole, unripe coffee cherries in an airtight container pumped with carbon dioxide. This creates a controlled fermentation process where the fruit ferments from the inside out. The resulting coffee often exhibits complex “boozy” flavors, similar to red wine. 

Wrapping up

Coffee flavor is a complex interplay of factors, including bean variety, terroir, roasting, brewing methods, and as you’ve learned, coffee processing. From the classic natural and washed processes to innovative techniques like carbonic maceration, each technique unveils a distinct spectrum of taste. So, the next time you savor a cup, consider the fascinating process that transformed the bean from cherry to brew.

The Philippine Chamber of Agriculture and Food Inc. (PCAFI) said the country would become self-sufficient in coffee if the government would plant the commodity alongside coconuts in at least 144,000 hectares in the region alone.

At least 480,000 hectares in CALABARZON are planted with coconuts today, according to the Philippine Statistics Authority (PSA).

PCAFI president Danilo Fausto said achieving such intercropping goal would yield 144,000 metric tons in additional coffee output that would significantly reduce the country’s dependence on importation.

The country currently imports at least 60 percent of its coffee bean requirements as local production cannot keep up with the growing demand for the commodity.

Fausto proposed that the government, particularly the Philippine Coconut Authority (PCA), prioritize its coffee-coconut intercropping program to expand coconut and coffee production at the same time.

There are about 17,700 hectares of farm areas nationwide that are intercropped with coffee and coconut, based on the government’s coconut industry roadmap.

Intercropping in coconut farms has been one of the flagship programs of the government in boosting coconut farmers’ income and improving their welfare.

The PCA targets to spend P3.3 billion for the intercropping of coconut farms, which includes coffee, cacao, livestock and poultry, across five years of implementing the Coconut Farmers Industry and Development Plan (CFIDP) which is being financed by the coconut levy trust fund.

The PCA and the Philippine Coffee Board Inc. (PCBI) established the country’s first coconut-coffee model farm in Amadeo, Cavite recently to showcase the income opportunity of such farm practice.

A one-hectare of farm with 100 coconut trees intercropped with coffee could generate an income of at least P1 million a year, based on PCA and PCBI’s estimates.

This article first appeared on Philippine Star, by Jasper Emmanuel Arcalas on August 6, 2024.

The acquisition of a 10% stake in Botrista, known for its sophisticated beverage-dispensing technologies, aligns with Jollibee’s ambitions to enhance its offerings through convenient coffee and automation, and expand into the coffee market.

Similarly, the purchase of a 70% stake in the fast-growing Compose Coffee chain in South Korea demonstrates Jollibee’s strategic approach to tapping into key coffee markets in Asia.

These acquisitions highlight the group’s proactive stance in diversifying its portfolio and capitalising on the growing demand for coffee and tea products, both domestically and internationally.

By leveraging innovative technologies and entering new markets, Jollibee aims to strengthen its position as a leading player in the coffee and beverage sector.

“⁠It’s not the first time Jollibee is entering into the coffee space – they also acquired Coffee Bean & Tea Leaf, and more recently Common Man Coffee Roasters out of Singapore,” says Andre Chanco, Co-founder of Yardstick Coffee.

“I don’t think these brands necessarily have to synergize with the Jollibee core brand, but there are some backend processes that can help these brands scale, either locally or globally.”

JFC isn’t the first multinational to invest in coffee brands – it’s a way to push them into new markets, and there’s also something in it for them. Asia – and Southeast Asia – traditionally more tea-drinking cultures, are increasingly embracing coffee, and multinationals want a piece of the pie.

“Jollibee is awash with cash and is riding the global coffee trend. They have a growing history of acquiring coffee brands. They know the numbers, and how Asians have taken to coffee versus tea,” says Pacita Juan, President of the NextGen Organization of Women Corporate Directors.

South East Asia has a rising and diverse coffee consumption that attracts investors

The coffee market in South East Asia is experiencing rapid growth and evolution, driven by changing consumer preferences, urbanisation, and a rising café culture across the region.

Countries like Indonesia, Vietnam, Thailand, and the Philippines have emerged as key markets for coffee chains and specialty coffee shops, with a growing emphasis on quality, variety, and experiential consumption.

Consumption trends in South East Asia reflect a shift towards premium and specialty coffee offerings, as consumers seek diverse flavours, ethical sourcing practices, and unique brewing methods. What is most interesting is that the region has a wide diversity of consumer preferences.

“What is unique with the Southeast Asia region is that each market has a ‘default’ coffee,” says Andre. “While sweet coffee drinks dominate across the region, Singapore remains an anomaly with a very simple coffee menu offering. The Philippines has a more utilitarian consumption of coffee, with some coffee shops open 24/7.”

The region’s market strengths lie in its vibrant coffee culture, rich coffee-growing heritage, and increasing disposable incomes, making it an attractive destination for coffee chains and international brands looking to expand their footprint.

“What we’re seeing recently is the venture capital-backed coffee chains, from Kopi Kenangan in Indonesia, Zeus from Malaysia and Pickup Coffee from the Philippines,” says Andre. “These target a different segment of the market with their price positioning, but I think it helps the overall industry in terms of funnelling more coffee drinkers into the habit.”

The acquisition of Compose Coffee chain in South Korea by Jollibee Food Group serves as a strategic entry point into the broader South East Asian coffee market, indicative of the region’s potential for robust growth and investment opportunities.

Over the last three decades, the market has been emerging, which has brought a spectacular rise in coffee consumption to the region’s fast-growing economies. The Philippines was one of the biggest players in the traditional market, followed by emerging markets Indonesia, Vietnam, and South Korea.

“We have always been coffee drinkers in the Philippines, but this has picked up all over Southeast Asia, partly because of the easy access to coffee – from Indonesia to Vietnam, and many imports coming through Singapore,” says Pacita.

South East Asia’s rising influence in the global coffee market

The consolidation of coffee chains and acquisitions by key players like Jollibee Food Group underscore South East Asia’s emergence as a competitive coffee market hub.

Coffee chains from Southeast Asia have been expanding beyond their local markets, with specialist coffee and tea shops in the region posting sales soaring to $4.4b in 2023, with an expected 8% annual growth rate through 2028.

The coffee chain landscape in Southeast Asia is poised for further consolidation, with profitable players expanding their footprint and wiping out less profitable ones. Investor funding will play a key role in this development.

The region is also unique in that it counts coffee producing countries, which enters the equation when it comes to market power.

“That, plus a growing middle-class and expanding cafe lifestyle are positive signs that encourage growth in the broader coffee industry,” says Andre. “There are challenges with the higher end of specialty coffee, as some markets have more limited spending power, but we do see some concepts pushing that price point up.”

Diversifying service options to include dine-in experiences and exploring alternative channels such as vending machines, drive-throughs, and subscription services help enhance convenience and accessibility for consumers in the region – a major reason behind JFC’s partial acquisition of Botrusta.

Regional trade agreements are also a boosting factor for the regional coffee market, creating an enabling trade environment that encourages business and boosts consumption.

“Regional trade makes it easier, compared to coffees from other origins that are heavily taxed in countries like Thailand, the Philippines and Indonesia,” says Andre.

Pacita explains  that groups like the ASEAN Coffee Federation, have been conducting regional events to build networking between Southeast Asian states.

“We have also established the ASEAN Coffee Institute, where we teach in our own languages like Bahasa, Filipino, and English, making it easier for our farmers and baristas to learn about coffee,” she says.

Jollibee’s strategic moves in strengthening its coffee and tea business reflect the broader trend of South East Asia’s growing prominence in the coffee industry.

With a thriving market landscape, increasing consumer demand, and strategic acquisitions driving expansion, the region stands poised to shape the future of coffee consumption and trade on a global scale.

This article first appeared on Coffee Intelligence, by Sarah Charles on July 12, 2024

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