Finlays ramps up cold brew coffee business with new UK facility

22 Oct 2021 --- The latest installation of a coffee extraction plant at UK supplier Finlays’ facility in northern England is projected to invigorate the cold brew coffee industry with upscaled production to hospitality sectors by 2022.

Branded and own-label suppliers to the UK and European grocery sectors will be among the first to benefit from the facility’s production capacity, the company highlights.

The plant, located at Finlays Europe’s tea decaffeinated installation in Hull, will facilitate the supply of bulk concentrate, ready-to-drink (RTD) cans and bag-in-box offerings via ambient and refrigerated supply chain networks.

The UK market for cold brew coffee produces annual sales of around £56 million (US$77 million) to date, according to Finlays. The sector is heading in the same direction as the US coffee market, where complex yearly brew coffee sales are worth £917 million (US$1,267 million). 

By not using heat pressure, subtleties in coffee flavor can be extracted which is one reason why cold brew coffee is growing in popularity.Ian Bryson, managing director at Finlays Europe, says the extraction facility will allow the company to manufacture in a flexible range of formats.

“After explosive growth in the US, we believe we are about to see the same thing happen in Europe,” he predicts.

Excellent as a coffee brew
The cold brew process produces a smooth, sweet flavor profile that is less acidic than coffee brewed with hot water.

Coffee beans are steeped in room-temperature water for several hours to produce a concentrate that can be used for various food and beverage applications. By not using heat pressure, subtleties in coffee flavor can be extracted.

Finlays Europe’s new factory will produce cold brew coffee from beans extracted using a specialized filtered water process. Unlike many other products, their cold brew coffee does contain soluble coffee, which is replicated consistently. 

“Our plan in Europe is to emulate the successful model we have in the US to deliver the same premium quality, a pure cold brew that has taken the North American market by storm,” Bryson elaborates.

Discerning coffee consumers map the way
Cold brew is the fastest-growing beverage segment in Europe in RTD/Iced Coffee, while the average price paid for coffee in supermarkets has risen by 0.8%. The process is being driven by soaring demand for more premium formats, and take-home sales for RTD iced coffee have increased by about 37.6%.

According to Innova Market Insights, coffee started to gain a share in 2019 from tea in terms of NPD in hot drinks. Global sales were 3% then and 5% of NPD.

“Combining our rich coffee heritage with our pioneering extraction expertise, we can work closely with the UK and European brand owners, retailers and foodservice outlets to provide bespoke cold brew coffee solutions,” Bryson concludes.

Edited by Inga de Jong