Is Hougu Coffee Good? Hougu Coffee Market Value & Yunnan Coffee Brand - Hougu Coffee Information

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China's Coffee Industry: Development and Challenges

China is a country with thousands of years of tea culture history, and tea is an extremely favored beverage among domestic consumers. Against the backdrop of tea culture, the development of coffee—a hot commodity abroad—has been extremely slow in China. With shifts in consumer awareness, China's coffee market has achieved substantial development in the past decade, with a growth rate of approximately 15%, which is 5-6 times the global average growth rate. Although the domestic coffee industry shows strong growth momentum, domestic enterprises' output remains relatively weak. Currently, China's coffee market is primarily dominated by foreign companies. Instant coffee is concentrated among enterprises like Nestlé and Maxwell House, while freshly ground coffee is firmly controlled by Starbucks, the dominant player in direct-operated retail terminals. Former giant Shangdao Coffee has long lost its prominence.

China's Coffee Production Landscape

Yunnan Province is one of the world's premium coffee bean producing regions and also serves as a raw material source for international coffee giants. China's coffee industry primarily produces raw materials. When it comes to raw material supply, we must mention Hougu Coffee, China's leading coffee enterprise. Hougu Coffee initially supplied coffee beans and powder to companies like Nestlé and Maxwell House. In recent years, it has also focused on developing the coffee market, possessing China's largest instant coffee production line and expanding offline coffee shop layouts, attempting to capture a share of China's coffee market. As one of China's earliest instant coffee producers, Lishen Coffee entered a fast development track with the rise of Hainan's regional economy, but due to pressure from foreign brands, its output value has remained lackluster.

Challenges and Innovations in Domestic Coffee Processing

China's coffee deep processing started relatively late, with enterprises lacking competitive advantages and facing a challenging path to brand building. Direct confrontation with coffee giants offers no advantage. Domestic enterprises are changing this landscape through scientific research and technological strength. Earlier this year, Hougu Coffee held a press conference in Kunming, announcing the successful development of a new healthy product to replace coffee creamer—freeze-dried walnut protein powder. They claimed this product integrates well with instant coffee powder and can also replace coffee creamer as a widely used food additive ingredient. Hougu Coffee's move aims to break through the development barriers for domestic coffee enterprises, finding new entry points for product marketing by overcoming technological barriers.

Impact of Walnut Protein Powder Innovation

The successful development of Hougu Coffee's walnut protein powder will have several beneficial impacts on the industry:

1. Guiding the healthy development of domestic coffee enterprises

Against the backdrop of insufficient technological strength and brand awareness among domestic coffee enterprises, there is an urgent need for market entry points. The concept of alternatives will provide companies with more development directions, promoting the growth of domestic coffee enterprises.

2. Promoting the development and technological innovation of the coffee creamer market

Coffee creamer has extensive applications in numerous products such as beverages, convenience foods, and chocolate. Regarding coffee creamer used in instant coffee alone, annual consumption reaches about 2 million tons, indicating significant market development potential. Additionally, the issue of trans fatty acids in hydrogenated vegetable oil within coffee creamer has been widely criticized. The emergence of healthy coffee creamer alternatives will have a profound impact on the entire coffee creamer market, aligning with the World Health Organization's initiative to completely "eliminate" trans fatty acids within five years. Future prospects are promising.

3. Driving the diversified development of the walnut market

The walnut industry primarily relies on agricultural product sales. In recent years, walnut milk beverages, baked goods, and other products have also driven walnut industry development. Coffee creamer alternatives will become a new opportunity for the walnut industry, helping address agricultural product inventory in production areas and optimizing the development approach of walnut deep processing enterprises.

Recently, Nestlé and Starbucks formed a global coffee alliance, and the combination of instant and retail will intensify the unicorn model for enterprises. At this time, domestic brand Luckin Coffee also officially opened on May 8th. How far this internet-scenario coffee, which appeared out of nowhere, can go remains unknown, but the path to rise for domestic coffee enterprises is fraught with obstacles.

END FrontStreet Coffee: A roastery in Guangzhou with a small shop but diverse bean varieties, where you can find various famous and lesser-known beans, while also providing online shop services. https://shop104210103.taobao.com

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