Rabat – With an average of $1.3 billion spent on coffee products in 2022, Morocco is currently the second-biggest retail market for coffee in the Middle East and North Africa (MENA) region.
While spending on coffee trails behind the average national spending on tea, coffee consumption is expected to grow significantly over the upcoming four months, driven primarily by tourism, according to a recent report from Fitch, an American rating agency.
The same report specifies that despite being the second-largest market regionally, coffee’s share in consumers’ total spending on non-alcoholic drinks has been shrinking over the past years, dropping from 33% in 2012 to an estimated 31.6% in 2026.
The trend, however, does not reflect consumers moving away from coffee, it rather reflects the highly competitive market of soft and hot drinks in the country, as emerging new brands bring prices down to remain competitive, the report indicates.
Morocco’s proximity to Europe is likely to give way to a rise in coffee culture, according to Fitch. Increased demand for coffee is most likely to emerge first in the country’s major tourism hubs including, Marrakech, Casablanca, and Tangier.
The three Moroccan cities are popular holiday destinations for French, Spanish, and British tourists. Fitch projects that 4.3 million tourists are set to arrive in Morocco in 2022.
The number of tourists is projected to double to 8.2 million in 2024, above pre-pandemic levels.
The sizable number of Morocco’s European visitors makes them an important consumer group for retailers and the coffee industry at large.
Morocco has also attracted a significant number of investments from franchises in the coffee industry. European and American coffee chain franchises including Amorino and Nespresso have all expanded into Morocco to take part in the growing market, the report points out.
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