Hot drinks saw total volumes rise in Iraq in 2024. Prices remained relatively stable after the high inflation of previous years.
In 2024, Iraq experienced greater political and economic stability due to reduced violence across the country. This stability has fostered significant market growth across various sectors and has led to a boom in local tourism, positively impacting the consumption of high-demand products, particularly coffee.
Hot drinks on Iraq is still dominated by loose black tea consumption, typically enjoyed with breakfast and after lunch and dinner. Iraqis are well-versed in black tea, as it has long been a staple in their consumption patterns.
Tea remains the dominant category in the market across the country due to its strong tradition of consumption and lower price compared to coffee. However, the tea market is already saturated, and many people, particularly in urban centres, are gradually shifting towards coffee.
Iraq’s infrastructure is seeing continuous development, driven mainly by heavy government investment in roads and other transportation methods. This development is enabling the more efficient distribution of products, which were more expensive and harder to obtain a few years ago.
The forecast period is expected to see robust growth in volume sales across all categories of hot drinks. However, it is clear that demand for tea is already saturated, with black tea set to remain the preferred hot drink of most of the Iraqi population.
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Hot Drinks
This report originates from Passport, our Hot Drinks research and analysis database.
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