The Japan instant coffee market is estimated to reach US$4,568.192 million by 2030 from US$3,879.050 million in 2025, growing at a CAGR of 3.32%.
Instant coffee is a type of easy-soluble coffee that is made using coffee beans. This helps offer the consumer an easy coffee-preparation experience. The major factor propelling the Japanese instant coffee market expansion is the increasing consumption of coffee. The demand for coffee in the nation witnessed significant growth, majorly due to the rising population.
Japan is among the biggest consumers of coffee worldwide. Various global organizations, like the International Coffee Organization, stated in their report that the annual consumption of coffee in Japan witnessed a major growth during the past few years. Asahi Group Japan, Ltd., in its report, stated that the average consumption of coffee in Japan was recorded at 400,000 tons annually in 2023.
The rise of domestic food and beverage sales in the nation is among the key factors propelling Japan’s instant coffee market expansion during the forecasted timeline. The nation witnessed a major growth in its domestic demand for food and beverage retail products. The METI Journal ONLINE Management Office, in its report, stated that in Japan, the commercial sales of the sector in 2023 witnessed a growth of 1.6%, at YEN 594 trillion.
Similarly, the Ministry of Economy, Trade and Industry of the Japanese Government stated that in 2022, the food and beverage industry in the nation was recorded at YEN 208,303.1 billion, in which the food industry was recorded at 18.2%, whereas the restaurants & food service industry was recorded at 13.6%.
The increased demand for freeze-dried instant coffee in Japan has been continuously driven by convenience, changing customer preferences, and a turning culture. The freeze-dried instant coffee retains flavors and aromas much better than regular instant coffee and is, therefore, an option of choice among coffee lovers seeking quality and convenience. With the growing complexity of Japanese lifestyles, many consumers prefer to invest time into brewing only if the outcome is a high-quality cup of coffee, for they have little time at home. This trend is seen more in the younger generations and in greater cities, who appreciate all the packaging offers in ease of use and sophistication.
Further, Japan has a long-standing culture of coffee, and it has been a consumer of imaginable experiences, expecting exciting discoveries. Freeze-dried coffee fits well into such a narrative, promising an almost complete replacement of high-quality flavors with convenience. Firms are already bracing up to the need, and names such as AGF Maxim are the front-runners. AGF Maxim offers convenient stick shapes for instant freeze-dried coffees, including taste and aroma preservation through domestic roasting and processes of freeze-drying. Moreover, the Louis Dreyfus Company and Zephyr Japan entered into a joint venture concerning Japan's specialty coffee market, responding to the increasing demand for specialty and on-the-go premium coffee.
Furthermore, as the market for freeze-dried instant coffee continues evolving and expanding, whereby companies invest in technologies to up their sustainability game, the efforts will counter threats from makers of the same products. One such example is using recyclable materials for packaging or even the most advanced methods to produce coffee. This action impresses Japanese consumers, who admire novelty as well as tradition. Further on, demand for this freeze-dried coffee will increase due to easy access, better quality, and society's cultural connection to coffee.
Instant coffee is increasingly being demanded through online channels by consumers in Japan, with the convenience of buying and blooming e-commerce being primary drivers. These demands have further skyrocketed by the cloud caused by the pandemic when consumers diverted their buying acts to online services. AGF, UCC, Key, Nescafe, Blendy, and Maxim have been offering a wide variety of products corresponding to the Japanese palate. All these instant coffees are also on different platforms, with an increased demand for convenience coffees.
Fast Retailing, as Uniqlo's parent tag, reported a 15% increase in sales at the same stores and online for June 2024 in Japan. It is mostly concerned with the growing occurrence of online sales across industries such as food and beverages, among others. Moreover, according to METI-the Ministry of Economy, Trade, and Industry-Japan's e-commerce sector has been growing stage by stage. For instance, slight increases culminated in the maximal value of the B2C e-commerce market, which amounted to $180 billion. Out of that value, approximately $20 billion came from the food and beverage category during 2020. Furthermore, the Japanese e-commerce market has established itself. This is as per the USDA research involving the country’s e-commerce trends and market growth opportunities. Japan is the world's fourth-largest electronic commerce market, valued at an estimated $4 trillion.
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Report Metric | Details |
| Japan Instant Coffee Market Size in 2025 | US$3,879.050 million |
| Japan Instant Coffee Market Size in 2030 | US$4,568.192 million |
| Growth Rate | CAGR of 3.32% |
| Study Period | 2020 to 2030 |
| Historical Data | 2020 to 2023 |
| Base Year | 2024 |
| Forecast Period | 2025 – 2030 |
| Forecast Unit (Value) | USD Million |
| Segmentation |
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| Geographical Segmentation | Tokyo, Kyoto, Osaka, Others |
| List of Major Companies in the Japan Instant Coffee Market | |
| Customization Scope | Free report customization with purchase |