China Strengthening Business Ties With Latin America As Mixue Group Signs Trade Deal With Brazil – CoffeeTalk

Chinese tea and ice cream chain Mixue Group has signed a MoU with Brazilian trade and investment promotion agency ApexBrasil to deepen cooperation in agricultural trade and accelerate the former’s market entry into the South American country. The agreement will expand the use of Brazilian agricultural products in Mixue’s global supply chain, such as coffee beans and fruit products, and ApexBrasil will provide support for the company’s business operations and retail expansion in Brazil. Mixue plans to invest no less than 4 billion yuan in sourcing agricultural products, primarily coffee beans, from Brazil over the next three to five years, creating around 25,000 jobs in Brazil.

Brazil, the world’s largest coffee producer, plays a major part in China’s agricultural imports, particularly amid the rising popularity of ready-to-drink coffee in China. Brazilian coffee exports to China have seen particularly strong momentum, with the Brazilian Coffee Exporters Council reporting a 186.1 percent year-on-year surge in the 2023-24 crop year to reach 1.64 million 60 kilogram-bags.

Latin American coffee, particularly Brazilian beans, is showing strong growth potential in the Chinese market, as Chinese consumers become more sophisticated in their coffee preferences. As more brands adopt low-price strategies, Brazilian beans are one of the emerging popular choices that strike a balance between convenience, quality, and affordability. Mixue’s up-scaling of global operations for Mixue, which launched its ground coffee brand in 2017, is promoting Brazilian coffee culture in China.

Bilateral trade between China and Latin America continues to grow steadily, with imports from Latin America surging 46% over the past five years to $241.3 billion. Latin American agricultural products are increasingly present on Chinese dining tables, with imports of Chilean cherries, Ecuadorian bananas, Nicaraguan honey, and Honduran white shrimp experiencing surges in recent years. Chile has become China’s second-largest supplier of fresh fruits, with cherry exports for 2024 totaling $3.09 billion, with more than 90% destined for the Chinese market.

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