Australia Coffee Industry

Essay by peddymanUniversity, Bachelor'sB+, March 2007

download word file, 14 pages 4.0

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1.0 Introduction

Coffee is one of the most popular beverages in the world and it is a product which is strongly connected to our daily life in Australia. Nowadays the industry has experienced a big step from an early stage to a developed industry due to the coming of machine harvesting in the mid 1980s and the development of management systems to produce a high quality of coffee (Drinnan & Peasley, 1998, p. 391). In addition, Australia's strong coffee drinking culture has also brought significant growth in Australia's market. According to the Australian Coffee Traders Association (2006), there are over one billion cups of coffee consumed in cafés, restaurants and other outlets each year. The statistics show a dramatic increase of 65% over the last 10 years. That is why the industry has become a rapid grow industry in Australia.

The assignment will basically focus on the Australian coffee bean market.

Then by providing some figures and graphs to describe the market share, market size, and market channel. Secondly, political, economic, sociological and technological will be analysed. Thirdly, the opportunities and threats in the industry will be provided. Then, by giving some issues of the industry, it is beneficial to understand the industry. Finally, the future trends will also be included.

2.0 Background

The Australia coffee industry began to produce high yielding and high quality Arabic coffee from the north and south-east Queensland and the northern river region. However, the industry did not survive in the past 1920s because the high labour costs could not compete with those of countries which had cheap labour costs (Rural Industries Research and Development Corporation (RIRDC), 2003). In the 1980s, the introduction of machine harvesting and the gradual mature techniques which reduced the costs of production encouraged a revival of the industry in...