Japan Instant Coffee Market Size, Share, Opportunities, And Trends By Type (Freeze-Dried Instant Coffee, Spray-Dried Instant Coffee, Others), By Distribution Channel (Offline (Foodservice, Retail (Supermarket/Hypermarket, Convenience Stores, Others)), Online), And By Province - Forecasts From 2025 to 2030

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.

What are the Japan Instant Coffee Market growth drivers?

• Growth of the domestic food and beverage sector

 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%.

• Growing demand for freeze-dried coffee

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.

• Growing domestic online retail sales

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.

Key developments in the Japan Instant Coffee Market:

• In November 2024, Nestle Japan launched Nescafe Gold Blend Caffein Half, the first soluble instant coffee in Japan, with 50% less caffeine content.
• In August 2023, Ajinomoto AGF, Inc. launched 11 new types of instant coffee in Japan, featuring four varieties of Little Luxury Coffee Shop instant coffee and two varieties of Maxim instant coffee.

Japan Instant Coffee Market Scope:

The Japan Instant Coffee Market is analyzed into the following segments:

• By Type
  • Freeze-Dried Instant Coffee
  • Spray-Dried Instant Coffee
  • Others
• By Distribution Channel
  • Offline
    • Foodservice
    • Retail
      • Supermarket/Hypermarket
      • Convenience Stores
      • Others
  • Online
• By Province
  • Tokyo
  • Kyoto
  • Osaka
  • Others

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base and Forecast Years Timeline

1.8. Key benefits for the stakeholders

2. RESEARCH METHODOLOGY  

2.1. Research Design

2.2. Research Process

3. EXECUTIVE SUMMARY

3.1. Key Findings

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. The Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

4.5. Analyst View

5. JAPAN INSTANT COFFEE MARKET BY TYPE

5.1. Introduction

5.2. Freeze-Dried Instant Coffee

5.3. Spray-Dried Instant Coffee

5.4. Others

6. JAPAN INSTANT COFFEE MARKET BY DISTRIBUTION CHANNEL

6.1. Introduction

6.2. Offline

6.2.1. Foodservice

6.2.2. Retail

6.2.2.1. Supermarket/Hypermarket

6.2.2.2. Convenience Stores

6.2.2.3. Others

6.3. Online

7. JAPAN INSTANT COFFEE MARKET BY PROVINCE

7.1. Introduction

7.2. Tokyo

7.3. Kyoto

7.4. Osaka

7.5. Others

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Market Share Analysis

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Competitive Dashboard

9. COMPANY PROFILES

9.1. Nestlé

9.2. KEY COFFEE INC

9.3. Ajinomoto AGF, Inc.

9.4. UCC Ueshima Coffee Co., Ltd.

9.5. KATAOKA & Co., Ltd.

9.6. Suntory Boss Coffee

9.7. POKKA SAPPORO Food & Beverage Ltd. 

Nestlé

KEY COFFEE INC

Ajinomoto AGF, Inc.

UCC Ueshima Coffee Co., Ltd.

KATAOKA & Co., Ltd.

Suntory Boss Coffee

POKKA SAPPORO Food & Beverage Ltd.