Challenges in the coffee market – opportunities for coffee packaging?

Rising green coffee prices, changing consumer habits, greater price sensitivity, and now the PPWR – the coffee industry is undergoing far-reaching change. But given the increasingly challenging market conditions, how can packaging for ground coffee and whole beans be made fit for the future? How can production efficiency and brand appeal be improved? How can regulatory risks be reduced? And finally, which trends are currently shaping the market?

SÜDPACK has explored these very questions, identifying key drivers and trends in the coffee market. SÜDPACK is more than a family-owned manufacturer of films and packaging. Drawing on its expertise in extrusion and materials, years of project experience, and comprehensive services, it also acts as a development partner, working with customers to drive the transition from conventional laminates to packaging concepts designed for recyclability.

The coffee market at a glance

The coffee market is one of the largest and most stable food markets worldwide. Europe is currently the largest market, accounting for around 30% of global coffee consumption, with an estimated market value of approximately USD 56 billion in 2026 and an average annual growth rate of over 5%. Germany accounts for the largest share of the European coffee market, with coffee consumption of 456,000 metric tons and turnover of nearly EUR 9 billion in 2025. However, the industry is also changing – from new consumer groups and markets to coffee products and packaging sizes. 

Ground coffee remains a major market segment, but whole beans are becoming increasingly popular. And although rising coffee prices, volatile raw material markets, climate change, and growing global demand are increasingly reinforcing coffee’s image as a premium product to be savored, it remains a familiar pleasure enjoyed by people from all walks of life.

The industry’s growing international reach and increasingly diverse consumer preferences are also driving these developments. Major coffee roasters are increasingly looking beyond their traditional markets for growth. Some are tailoring their offerings to regional preferences, while others are attracting consumers with a wide variety of coffees, exotic blends, or innovative product categories such as coffee concentrates, ready-to-drink products, functional coffee, collagen coffee, and high-protein coffee. 

Current packaging trends 

While 1-kg packs of whole beans and traditional 500-g vacuum packaging for ground coffee remain standard, smaller formats, such as 250-g packs, are becoming increasingly popular. Modified atmosphere packaging (MAP) for ground coffee is also gaining traction in certain segments.

The market is also shifting away from ground coffee toward whole beans. Whole beans are currently the strongest-performing segment in Germany, with sales reaching record highs. Why? One in three households already owns a fully automatic coffee machine – a reflection of how much people value a good cup of coffee. 

With coffee prices high and consumers’ purchasing power reduced, flexible packaging concepts, rapid design changes, small print runs and pack sizes, and new price points are becoming key competitive factors. At the same time, packaging is becoming a brand ambassador in its own right, helping to showcase coffee’s premium appeal. High print quality, haptic lacquers, and matte or gloss effects are reinforcing this premium positioning and helping win over discerning consumers.

For film manufacturers such as SÜDPACK, the implications are clear: Packaging must adapt to changing trends, provide reliable product protection to preserve the coffee’s aroma, freshness, and shelf life, and meet consumer expectations for a premium product.

Recyclability, processing, and product protection – finding the right balance

The PPWR is accelerating an industry-wide shift in packaging away from conventional laminates, with or without aluminum, toward PP- or PE-based mono-material structures. Established recycling streams for both polymers already exist in many European countries. This raises a number of important questions for most coffee roasters and packers: Which films can be processed efficiently on existing machines while maintaining high throughput? How can optimal product protection be ensured? And how can regulatory and business risks be minimized? 

The barrier properties of a new packaging material must match the high level of protection provided by conventional aluminum laminates, which shield the characteristic aromas developed during roasting from oxygen, light, and moisture and play a key role in preserving product quality. 

CarbonLite®: PP-based packaging solution for coffee

SÜDPACK’s CarbonLite® product family offers a packaging concept that seamlessly combines product safety and performance with high-quality design optimized for recyclability. With its PP-based Flow Pack, the film manufacturer offers a high-performance film that can enter established recycling streams in many European countries. 

This mono-PP laminate can be processed on existing vertical form-fill-seal (VFFS) machines and offers high sealing performance and sealing strength. The material can be equipped with effective barriers against oxygen, water vapor, and UV radiation. It also offers high rigidity, good puncture resistance, and resistance to substances such as oils. PP-based aroma protection valves can also be easily heat-sealed into the packaging, allowing the coffee to degas after roasting.

In addition to its PurePP film, SÜDPACK offers a metallized version that makes metallic effects in the print image stand out. Even without metallic effects, both materials can be enhanced with vibrant print images, using flexo print, rotogravure printing, or digital printing to suit the application and customer preferences. Another option is SÜDPACK’s SPQ® printing technology. Its standardized seven-color (7C) color space and fixed process parameters ensure high quality and consistent printing results while reducing ink and solvent consumption.

Solid evidence, reliable implementation

SÜDPACK supports customers as they transition to new packaging concepts, providing film solutions tailored to their requirements and backing up its developments with solid evidence. An internal screening of coffee packaging shows that replacing a conventional 100-μm-thick PET/aluminum/PE laminate with CarbonLite PurePP film of the same thickness can reduce the overall carbon footprint by 43%. The calculation tool was developed in accordance with ISO 14040/44, and the figures are based on a cradle-to-grave approach that excludes printing and the use phase. End-of-life treatment is accounted for using the German recycling mix.

SÜDPACK also supports producers at every stage of the development process, from the initial idea through to final implementation. The aim is to minimize the risks associated with the transition, ensure that new packaging concepts can be reliably integrated into existing production processes, and, above all, deliver greater flexibility, faster time-to-market, and future-ready packaging concepts with strong market appeal. 

1) Source: German Coffee Association, European Coffee Market Size, Share, and Growth Overview, 2031