Market Trends of South America Mate Industry
This section covers the major market trends shaping the South America Mate Market according to our research experts:
Emerging Export Potential Driving Production
Burgeoning demand for mate in the United States and European countries, such as France Germany, and Spain, besides Syria and Turkey in the Middle East, has been witnessed in recent years, that can be primarily attributed to the perceived benefits of mate to conventional drinks like tea and coffee. As per studies conducted by the University Cardiology Foundation in Brazil, regular mate consumption has been observed to establish a correlation with increased energy levels, increased antioxidants, and lower cholesterol levels. According to UN Comtrade's statistical database, South America, together with the Caribbean Aggregation, exported a total of 80,411.0 metric tons of mate in 2019, as against 66,093.0 metric tons in 2017. Moreover, the emerging demand in the international markets, especially Europe, is also dominated by a growing inclination towards exotic foreign beverages complementing drinks with added health benefits like no other. For instance, Spain imported 1,313.0 metric tons of mate in 2017, which rose by 28.86% to 1,692.0 metric tons in 2019.
Brazil - The Largest Mate Producing Country
According to the Food and Agriculture Organization's statistics, Brazil produced a total of 546,618.0 metric tons of mate in 2018, as compared to 302,099.0 metric tons in Argentina, during the same year, thus, ranking Brazil as the largest producer of mate in the region as well as globally. However, the production level has declined considerably from 630,556.0 metric tons in 2016, primarily due to the significant fall in the area harvested, which stood at 74,943.0 hectares in 2016, when compared to 71,979.0 hectares in 2018. Due to the sprouting global demand for yerba mate, global giants are eyeing to capitalize on the untapped market space with innovative products sourced from the Brazilian farms. For instance, Coca-Cola Brazil launched its new product range of yerba mate pods under the Leao brand in 2019, with the ingredients sourced specifically from farms in southern Brazil. Such developments are further expected to boost the production of yerba mate in Brazil, in the coming years.
