Thursday 9 March 2017

Stimulating Prospects for India’s Coffee and Tea Industry

When it comes to tea and coffee consumption in India, there’s huge potential brewing. Companies in the last decade have positioned tea and coffee as recreational products, which have proved beneficial in attracting younger population. Tea bags have made tea drinking convenient, just as instant coffee is creating a huge demand in packaged coffee segment. The convenience, versatility of flavour and format, and branded experience provided by instant coffee and tea enable them to be positioned as premium hot drink options.
Furthermore, the focus on high-protein, low-sugar diets is stimulating demand for green tea, ground coffee and artificial sweeteners, which have shown strong signs of promise over the past three years.
According to “India Coffee Market Outlook, 2021”, packaged coffee market is expected to grow at a CAGR of around 12% over next five years. A positive consumer outlook towards new experiences such as premium coffee, higher disposable incomes and the growing number of young professionals were some of the important factors that are promoting growth in coffee consumption in India in recent years.
The packaged coffee market is dominated by Nestle and HUL, while the packet tea market is led by Tata Tea and HUL who together account for almost 40% of the market. Partnering with the majority of tea and coffee companies is Nichrome. In fact, the first ever four-line seal, standup pouch for tea packaging was adopted by Tata Tea in 2005 when they invested in Nichrome’s automated pouch formation, filling and sealing process.
The stand up pouch introduced by Nichrome became a huge success, with many tea companies following suit. Today, among tea and coffee packaging machines, Nichrome’s Sprint 250 PLUS Series is a trend setter. It offers 2 pouch formats — CSPP and Gusset pouch, and packs up to 2 Kgs at a speed of 120 packs per minute. It helps preserve the freshness and flavor of the tea or coffee while delivering a smart package that is not only easy to store and transport but stands out on the retail shelf.
Nichrome’s other offering for this industry is the Excel Plus Series. The Excel Plus Intelligent Electronic Weigh Filler for tea pouch packaging, and the Excel Plus — Servo Auger for coffee pouch packaging, pack up to 10 Kgs at a speed of 80 pouches per minute.
Nichrome also offers a full range of accessories and allied equipment with the Excel Plus and Sprint 250 Series. These include Dynamic Check Weigher, Online Metal Detection System, Date/Batch Coding Devices, Dust Extraction System, PIP System, Baling Machine for secondary packaging and Flexi Block System, among others.
Also on offer are a range of Pre-Packaging and Post-Packaging equipment which can be integrated as per requirement to improve overall operating efficiency and reduce costs and downtime.
Nichrome’s Integrated Packaging Solutions combined with their proven superiority in packaging equipment establishes Nichrome as the packaging partner of choice for tea and coffee manufacturers.
Coffee market consists two categories, such as packaged coffee and coffee shops & cafe market. Instant coffee is creating a huge demand in packaged coffee segment. The easy preparation of instant coffee, as well as its aptitude to be tailored to local taste preferences has made it the “coffee of choice” in most markets in India. Instant coffee has propelled brands like Nestle, HUL and Tata Coffee in its category. However filter coffee is also expanding its presence among Indian consumers. The market for filter coffee is predominantly southern India where the competition from local/regional player is significant.
More information visit: http://www.nichrome.com/

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