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Decaffeinated Coffee Market
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Decaffeinated Coffee Market

Author: Debadatta Patel - Senior Consultant, Report ID - DS1901079, Published - January 2025

Segmented in Product Type (Instant, Roast & Ground), Price Range (Premium, Mid-Range, Budget), Distribution Channel, Consumer Age Group and Regions - Global Industry Analysis, Size, Share, Trends, and Forecast 2024 – 2034

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Global Decaffeinated Coffee Market Outlook

Decaf coffee used to be underrated in the beverage industry. The market, for Decaffeinated coffee was estimated at $3.0 billion in 2024. It is anticipated to increase to $4.3 billion by 2030 with projections indicating a growth to around $5.7 billion by 2035. This expansion represents a compound annual growth rate (CAGR) of 5.8% over the forecast period. Now its gaining widespread popularity thanks to a younger generation focused on health looking for tasty caffeine free options besides regular coffee drinks. Evolving food choices and increased awareness of health among consumers along with the rise of coffee scenes have boosted its importance in the market positioning it as a key area for development and expansion, within the beverage sector.


Decaf coffee has become a player in the fancy coffee scenario by combining great flavor with health benefits! It retains all the smells and flavors of regular coffee but without the jolt of caffeine. A hit, with folks looking to cut back on caffeine or savor a cup before hitting the hay.


Market Size Forecast & Key Insights

2019
$3B2024
2029
$5.4B2034

Absolute Growth Opportunity = $2.3B

The Decaffeinated Coffee market is projected to grow from $3.0 billion in 2024 to $5.4 billion in 2034. This represents a CAGR of 5.8%, reflecting rising demand across Culinary Uses, Specialty Beverage Innovations and Health-Conscious Consumption.

The Decaffeinated Coffee market is set to add $2.3 billion between 2024 and 2034, with manufacturer targeting Mid-Range & Budget Price Range projected to gain a larger market share.

With Rising health consciousness, and Evolving consumer preferences, Decaffeinated Coffee market to expand 76% between 2024 and 2034.

Opportunities in the Decaffeinated Coffee Market

Sustainable and Ethical Sourcing

Lately shoppers are paying attention to ethical sourcing and sustainability, especially millennials and Generation Z. For companies that provide coffee from farmers who are treated ethically and use eco friendly practicesThere'sa chance to stand out in this growing market.

Health-Focused Blends and Decaffeinated Coffee Subscriptions

The growing interest in staying presents a great chance to develop decaf coffee blends infused with beneficial ingredients like turmeric and match and mushrooms renowned for their health properties This could appeal to health focused consumers and carve out a unique space, in the decaf coffee market.

Direct to customer subscription services are becoming popular in industries nowadays. The market for decaffeinated coffee could benefit from this movement by providing coffee subscription services that are delivered conveniently. This meets the increasing demand from consumers for ease and personalization while also creating a revenue stream, for companies.

Growth Opportunities in North America and Europe

Europe Outlook

In Western Europe in countries like Italy and France where coffee holds a special place in their culture decaffeinated coffee is quite popular among the consumers due to its mature market status The influence of coffee consumption and trade policies supporting its import can be seen across the region However the market is fiercely competitive dominated mainly by big players like Jacobs Douwe Egberts and Luigi Lavazza. There is room for growth, by focusing on sustainable fair trade decaf coffee sourcing and introducing new and unique decaf flavors that can attract customers attention

North America Outlook

In the decaffeinated coffee market scenario of North America's dominancy shines through as an opportunity for potential investors to explore profitable avenues. The rising awareness of consumer health has fueled the coffee craze with big names like Starbucks and Nestle holding strong positions in the market share. Amidst tough competition there exists ample space, for emerging brands to thrive especially in the organic and flavored decaf coffee sectors.

North America Outlook

In the decaffeinated coffee market scenario of North America's dominancy shines through as an opportunity for potential investors to explore profitable avenues. The rising awareness of consumer health has fueled the coffee craze with big names like Starbucks and Nestle holding strong positions in the market share. Amidst tough competition there exists ample space, for emerging brands to thrive especially in the organic and flavored decaf coffee sectors.

Europe Outlook

In Western Europe in countries like Italy and France where coffee holds a special place in their culture decaffeinated coffee is quite popular among the consumers due to its mature market status The influence of coffee consumption and trade policies supporting its import can be seen across the region However the market is fiercely competitive dominated mainly by big players like Jacobs Douwe Egberts and Luigi Lavazza. There is room for growth, by focusing on sustainable fair trade decaf coffee sourcing and introducing new and unique decaf flavors that can attract customers attention

Growth Opportunities in North America and Europe

Established and Emerging Market's Growth Trend 2025–2034

1

Major Markets : United States, Brazil, Germany, France, China are expected to grow at 3.8% to 5.6% CAGR

2

Emerging Markets : India, Brazil, South Africa are expected to grow at 6.7% to 8.0% CAGR

Market Analysis Chart

The decaffeinated coffee market is influenced by factors that contribute to its growth and popularity among consumers today. One significant driver is the rising awareness of health issues associated with caffeine consumption such as sleep disturbances and heart conditions. As more individuals become conscious of these health risks linked to caffeine intake there is a shift towards choosing decaf coffee as a healthier option. Additionally the active promotion of coffee, by leading coffee chains and restaurants further enhances its attractiveness to consumers. Despite these aspects the decaf coffee market also encounters challenges that hinder its expansion and development.

Recent Developments and Technological Advancement

December 2024

Starbucks Corporation introduced a range of decaffeinated coffee offerings focused on promoting good health choices among consumers.

November 2024

To enhance the taste of its decaffeinated coffee brand Nescafé® Nestlé SA has put resources into cutting edge decaffeination technologies.

September 2024

Dunkin Donuts has just launched a decaf cold brew coffee in convenient ready to drink containers to meet the growing demand, for chilled coffee drinks.

The decaf coffee industry has experienced growth due to consumers growing focus on health awareness. A notable trend is the rise of decaf coffee as more people seek chemical free products. This market segment is expected to see a surge in demand as consumer interest, in options continues to rise.

Impact of Industry Transitions on the Decaffeinated Coffee Market

As a core segment of the Food & Beverage industry, the Decaffeinated Coffee market develops in line with broader industry shifts. Over recent years, transitions such as Emergence of Speciality Decaf Brews and Rise in Health-conscious Coffee Drinkers have redefined priorities across the Food & Beverage sector, influencing how the Decaffeinated Coffee market evolves in terms of demand, applications and competitive dynamics. These transitions highlight the structural changes shaping long-term growth opportunities.

1

Emergence of Speciality Decaf Brews:

The decaf coffee market is experiencing an uptrend in specialty decaf coffees lately due to changing consumer tastes towards a range of unique flavors in their coffee choices—whether caffeinated or not. Manufacturers are also responding by offering a selection of distinct blends and flavors, in their decaf options to cater to a broader range of consumer preferences and palates.

2

Rise in Health-conscious Coffee Drinkers:

There has been a shift in the decaffeinated coffee market due, to the increasing number of health conscious coffee enthusiasts seeking ways to savor their beloved blends without the stimulating effects of caffeine.

Global Events Shaping Future Growth

The chart below highlights how external events including emerging market developments, regulatory changes, and technological disruptions, have added another layer of complexity to the Food & Beverage industry. These events have disrupted supply networks, changed consumption behavior, and reshaped growth patterns. Together with structural industry transitions, they demonstrate how changes within the Food & Beverage industry cascade into the Decaffeinated Coffee market, setting the stage for its future growth trajectory.

Market Dynamics and Supply Chain

Driver: Rising Health Consciousness, and Technological Advancements in Decaffeination Processes

Consumers are also becoming more aware of the impacts of consuming too much caffeine and this has also played a key role in boosting the decaffeinated coffee markets growth in popularity. With a growing number of people looking for options to replace their regular caffeinated beverages decaffeinated coffee has also become a favored option because of its delicious flavor and aroma along, with its reduced caffeine levels.
Advancements in technology have also improved how coffee flavor and scent are also preserved during decaffeination processes which has also contributed to the growth of the market, for decaffeinated coffee products by making the process more efficient and affordable.
There has also been a change in what consumers prefer when it comes to specialty drinks lately. One of the options gaining popularity is also decaf coffee among the younger crowd. This shift is also influenced by the rise of café culture and the increasing desire, for unique beverage choices.

Restraint: High Production Costs

The decaffeination process is intricate. Comes at a higher cost compared to regular coffee production methods. This results in elevated prices for decaffeinated coffee in stores. Leads to a drop in demand from consumers, in markets where price plays a crucial role. Producers of coffee frequently face challenges in finding the right mix of quality and affordability in their products.

Challenge: Health Concerns

Decaf coffee is seen as a choice for people cutting down on caffeine consumption but some worry about the health impacts of the chemicals used in its production process which could hold back its popularity, among consumers and slow down its market growth even though these concerns may not only be entirely justified.

Supply Chain Landscape

Decaffeination & Processing

Swiss Water Decaffeinated Coffee Company

Coffeas

Bean Cultivation & Harvesting

Starbucks Corporation

Nescaf

Distribution & wholesaling
Keurig Dr. Pepper / Nestle / JM Smucker
Retail & Consumption
Dunkin' Brands / McDonald's Corporation
Decaffeination & Processing

Swiss Water Decaffeinated Coffee Company

Coffeas

Bean Cultivation & Harvesting

Starbucks Corporation

Nescaf

Distribution & wholesaling

Keurig Dr. Pepper

Nestle

JM Smucker

Retail & Consumption

Dunkin' Brands

McDonald's Corporation

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Leading Providers and Their Strategies

Application AreaIndustryLeading ProvidersProvider Strategies
Home Consumption
Food and Beverage
Nestle, Starbucks
Offering a variety of tastes and flavors, using innovative marketing strategies, and highlighting health benefits to consumers
Restaurant and Cafes
Hospitality
Peets Coffee, Dunkin'
Tailoring product offerings for restaurant chain requirements, collaborative marketing strategies, and building long-term business partnerships
Supermarkets
Retail
Kraft Foods, Lavazza
Developing strategic shelf placement to increase visibility, offering bundled products, and promotional discount strategies
Health and Wellness Sector
Healthcare Industry
Green Mountain Coffee, Jacobs Douwe Egberts
Emphasizing on the health benefits of decaf coffee, organic labeling, and collaborations with healthcare settings

Elevate your strategic vision with in-depth analysis of key applications, leading market players, and their strategies. The report analyzes industry leaders' views and statements on the Decaffeinated Coffee market's present and future growth.

Our research is created following strict editorial standards. See our Editorial Policy

Applications of Decaffeinated Coffee in Specialty Beverage Innovations, Culinary Uses and Health-Conscious Consumption

Specialty Beverage Innovations

The popularity of coffee has surged in the realm of unique specialty drinks as well. It is being utilized more in blended alcoholic coffee concoctions and upscale coffee concoctions. The Coffee Bean & Tea Leaf and Dunkin Donuts are, among the companies broadening their selections to attract consumers with specialty drinks.

Culinary Uses

Decaf coffee is a loved beverage and widely utilized in cooking as well. It is incorporated in recipes like sweets, sauces and marinades. In baking it enhances the flavor of chocolate treats and baked goods. Nestle and Starbucks are, at the forefront of providing coffee to the culinary scenario with their distinct flavors and blends that elevate the taste experience of dishes.

Health-Conscious Consumption

The rise in health consumers has led to an increase in the popularity of decaffeinated coffee because of its minimal caffeine levels. It provides the flavor and aroma as regular coffee and comes with health advantages making it a great option for individuals aiming to cut back on their caffeine consumption. Big companies such, as Green Mountain and Nespresso have placed emphasis on their caffeine products in their marketing strategies to highlight the health benefits offered.

Decaffeinated Coffee vs. Substitutes:
Performance and Positioning Analysis

Decaf coffee offers a coffee experience with reduced caffeine content and is marketed as a healthier option compared to regular coffee and other caffeinated drinks It appeals to health conscious individuals and shows potential for growth, in the market

Decaffeinated Coffee
  • herbal tea /
  • chicory coffee /
  • Green Tea
    Reduces the risk of chronic illnesses, Suitable for individuals sensitive to caffeine
    Taste may be less flavorful, Decaffeination
    Lower caffeine levels, varied flavor profiles
    Limited energy boost, potential flavor dilution due to decaffeination process

Decaffeinated Coffee vs. Substitutes:
Performance and Positioning Analysis

Decaffeinated Coffee

  • Reduces the risk of chronic illnesses, Suitable for individuals sensitive to caffeine
  • Taste may be less flavorful, Decaffeination

herbal tea / chicory coffee / Green Tea

  • Lower caffeine levels, varied flavor profiles
  • Limited energy boost, potential flavor dilution due to decaffeination process

Decaf coffee offers a coffee experience with reduced caffeine content and is marketed as a healthier option compared to regular coffee and other caffeinated drinks It appeals to health conscious individuals and shows potential for growth, in the market

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Research Methodology

This market research methodology defines the Decaffeinated Coffee market scope, gathers reliable data, and validates findings using integrated primary and secondary research. Our systematic framework ensures precise market sizing, growth trend analysis, and competitive benchmarking.


Secondary Research Approach


We begin secondary research by defining the targeted market at macro and micro levels. As part of the Food & Beverage ecosystem, we analyze Decaffeinated Coffee across Instant and Roast & Ground Applications. Our team gathers data systematically from country level ministerial sources, industry associations & federations, trade databases, company annual & quarterly reports and other credential sources, enabling us to map global and regional market size, pricing trends, regulatory standards, and technology advancements.



Key Sources Referenced:

Food and Agriculture Organization (FAO)

Food Substances - FDA

Prodcom / Census US / Statcan / e-stat Japan / ABS Australia / KOSIS Korea

USA Trade Census

DEFRA UK / Ifastat

Climate.gov

Annual Reports / Industry Magazines / Country Level Ministerial Sources

We benchmark competitors such as Nestle SA, Starbucks Corporation, and The Kraft Heinz Company by reviewing company financial statements, and regulatory filings. Our secondary insights identify key market drivers and constraints, forming the analytical foundation for primary research.


Primary Research Methods


We conduct structured interviews and surveys with industry stakeholders, including Decaffeination & Processing, Bean Cultivation & Harvesting, and Distribution & wholesaling. Our geographic coverage spans Americas (40%), Europe (30%), Asia-Pacific (25%) and Middle East & Africa (5%). Our online surveys generally achieve a response rate of above 65%, and telephone interviews yield 60%, resulting in above 92% confidence level with a ±7% margin of error.


Through targeted questionnaires and in-depth interviews, we capture purchase intent, adoption barriers, brand perception across Segment Type. We use interview guides to ensure consistency and anonymous survey options to mitigate response bias. These primary insights validate secondary findings and align market sizing with real-world conditions.


Market Engineering & Data Analysis Framework


Our data analysis framework integrates Top-Down, Bottom-Up, and Company Market Share approaches to estimate and project market size with precision.


Top-down & Bottom-Up Process


In Top-down approach, we disaggregate global Food & Beverage revenues to estimate the Decaffeinated Coffee segment, using historical growth patterns to set baseline trends. Simultaneously, in Bottom-up approach, we aggregate Country-Level Demand Data to derive regional and global forecasts, which provide granular consumption insights. By reconciling both approaches, we ensure statistical precision and cross-validation accuracy.


We evaluate the supply chain, spanning Decaffeination & Processing (Swiss Water Decaffeinated Coffee Company, Coffeas), Bean Cultivation & Harvesting (Starbucks Corporation, Nescaf), and Distribution & wholesaling. Our parallel substitute analysis examines herbal tea, chicory coffee, and Green Tea, highlighting diversification opportunities and competitive risks.


Company Market Share & Benchmarking


We benchmark leading companies such as Nestle SA, Starbucks Corporation, and The Kraft Heinz Company, analyzing their capabilities in pricing, product features, technology adoption, and distribution reach. By assessing company-level revenues and product portfolios, we derive market share comparisons, clarifying competitive positioning and growth trajectories across the ecosystem.


Our integration of data triangulation, supply chain evaluation, and company benchmarking, supported by our proprietary Directional Superposition methodology enables us to deliver precise forecasts and actionable strategic insights into the Decaffeinated Coffee market.


Quality Assurance and Compliance


We cross-reference secondary data with primary inputs and external expert reviews to confirm consistency. Further, we use stratified sampling, anonymous surveys, third-party interviews, and time-based sampling to reduce bias and strengthen our results.


Our methodology is developed in alignment with ISO 20252 standards and ICC/ESOMAR guidelines for research ethics. The study methodology follows globally recognized frameworks such as ISO 20252 and ICC codes of practice.

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Decaffeinated Coffee Market Data: Size, Segmentation & Growth Forecast

Report AttributeDetails
Market Value in 2025USD 3.2 billion
Revenue Forecast in 2034USD 5.4 billion
Growth RateCAGR of 5.8% from 2025 to 2034
Base Year for Estimation2024
Industry Revenue 20243.0 billion
Growth OpportunityUSD 2.3 billion
Historical Data2019 - 2023
Growth Projection / Forecast Period2025 - 2034
Market Size UnitsMarket Revenue in USD billion and Industry Statistics
Market Size 20243.0 billion USD
Market Size 20273.6 billion USD
Market Size 20294.0 billion USD
Market Size 20304.3 billion USD
Market Size 20345.4 billion USD
Market Size 20355.7 billion USD
Report CoverageMarket revenue for past 5 years and forecast for future 10 years, Competitive Analysis & Company Market Share, Strategic Insights & trends
Segments CoveredProduct Type, Price Range, Distribution Channel, Consumer Age Group
Regional scopeNorth America, Europe, Asia Pacific, Latin America and Middle East & Africa
Country scopeU.S., Canada, Mexico, UK, Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Mexico, Argentina, Saudi Arabia, UAE and South Africa
Companies ProfiledNestle SA, Starbucks Corporation, The Kraft Heinz Company, Dunkin Donuts, JM Smucker Company, Jacobs Douwe Egberts, McDonald's Corporation, Costa Coffee, Peet's Coffee & Tea, Tim Hortons, Caribou Coffee Company Inc and Community Coffee Company
CustomizationFree customization at segment, region or country scope and direct contact with report analyst team for 10 to 20 working hours for any additional niche requirement which is almost equivalent to 10% of report value

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Table of Contents

Industry Insights Report - Table Of Contents

Chapter 1

Executive Summary

Major Markets & Their Performance - Statistical Snapshots

Chapter 2

Research Methodology

2.1Axioms & Postulates
2.2Market Introduction & Research MethodologyEstimation & Forecast Parameters / Major Databases & Sources
Chapter 3

Market Dynamics

3.1Market OverviewDrivers / Restraints / Opportunities / M4 Factors
3.2Market Trends
3.2.1Introduction & Narratives
3.2.2Market Trends - Impact Analysis(Short, Medium & Long Term Impacts)
3.3Supply Chain Analysis
3.4Porter's Five ForcesSuppliers & Buyers' Bargaining Power, Threat of Substitution & New Market Entrants, Competitive Rivalry
Chapter 4

Decaffeinated Coffee Market Size, Opportunities & Strategic Insights, by Product Type

4.1Instant
4.2Roast & Ground
Chapter 5

Decaffeinated Coffee Market Size, Opportunities & Strategic Insights, by Price Range

5.1Premium
5.2Mid-Range
5.3Budget
Chapter 6

Decaffeinated Coffee Market Size, Opportunities & Strategic Insights, by Distribution Channel

6.1Supermarkets & Hypermarkets
6.2Online Retail
Chapter 7

Decaffeinated Coffee Market Size, Opportunities & Strategic Insights, by Consumer Age Group

7.1Young Adults (18-35)
7.2Adults (36-54)
7.3Seniors (55+)
Chapter 8

Decaffeinated Coffee Market, by Region

8.1North America Decaffeinated Coffee Market Size, Opportunities, Key Trends & Strategic Insights
8.1.1U.S.
8.1.2Canada
8.2Europe Decaffeinated Coffee Market Size, Opportunities, Key Trends & Strategic Insights
8.2.1Germany
8.2.2France
8.2.3UK
8.2.4Italy
8.2.5The Netherlands
8.2.6Rest of EU
8.3Asia Pacific Decaffeinated Coffee Market Size, Opportunities, Key Trends & Strategic Insights
8.3.1China
8.3.2Japan
8.3.3South Korea
8.3.4India
8.3.5Australia
8.3.6Thailand
8.3.7Rest of APAC
8.4Middle East & Africa Decaffeinated Coffee Market Size, Opportunities, Key Trends & Strategic Insights
8.4.1Saudi Arabia
8.4.2United Arab Emirates
8.4.3South Africa
8.4.4Rest of MEA
8.5Latin America Decaffeinated Coffee Market Size, Opportunities, Key Trends & Strategic Insights
8.5.1Brazil
8.5.2Mexico
8.5.3Rest of LA
8.6CIS Decaffeinated Coffee Market Size, Opportunities, Key Trends & Strategic Insights
8.6.1Russia
8.6.2Rest of CIS
Chapter 9

Competitive Landscape

9.1Competitive Dashboard & Market Share Analysis
9.2Company Profiles (Overview, Financials, Developments, SWOT)
9.2.1Nestle SA
9.2.2Starbucks Corporation
9.2.3The Kraft Heinz Company
9.2.4Dunkin Donuts
9.2.5JM Smucker Company
9.2.6Jacobs Douwe Egberts
9.2.7McDonald's Corporation
9.2.8Costa Coffee
9.2.9Peet's Coffee & Tea
9.2.10Tim Hortons
9.2.11Caribou Coffee Company Inc
9.2.12Community Coffee Company