- CAGR (2025 to 2035)
- 10.7%
Coffee Grounds Market Size, Market Forecast and Outlook By FMI
The coffee grounds market stood at USD 708.3 million in 2025 and is projected to reach USD 1,962.5 million by 2035. The market is anticipated to register a 10.7% CAGR during the forecast period. Arabica coffee grounds led product type with a 73.1% share, while agriculture accounted for 39.3% share of end-use demand in 2025.
Key Takeaways, Market Size, and Forecast
| Metric | Value |
|---|---|
| Market Size (2025) | USD 708.3 Million |
| Market Size (2035) | USD 1,962.5 Million |
| CAGR (2025–2035) | 10.7% |
| Leading Product Type (2025) | Arabica Coffee Grounds |
| Arabica Coffee Grounds Share (2025) | 73.1% |
| Leading End-Use (2025) | Agriculture |
| Agriculture Share (2025) | 39.3% |
| Fastest-Growing Country | China |
| China CAGR | 11.6% |
Summary of the Coffee Grounds Market
- Demand and Growth Drivers
- Circular economy practices are expected to increase coffee grounds use across agriculture and personal care applications.
- Rising coffee consumption is likely to improve raw material availability for recycled coffee grounds-based products.
- Organic farming trends are anticipated to support coffee grounds adoption as soil amendment and fertilizer inputs.
- Product and Segment View
- Arabica coffee grounds are expected to remain the leading product type due to high availability from premium coffee consumption.
- Agriculture is likely to remain the main end-use segment as growers use coffee grounds for soil improvement.
- Cosmetic and personal care applications are anticipated to expand as brands use coffee grounds in exfoliating products.
- Geography and Competitive Outlook
- China is expected to lead country-level expansion as coffee consumption and imports increase the availability of grounds.
- Japan is likely to record strong expansion as coffee grounds recycling gains wider use in food and retail formats.
- Companies with recycling partnerships and branded sustainability claims are anticipated to strengthen their position.
- Analyst Opinion
- Nandini Roy Choudhury, Principal Consultant for Food and Beverage at FMI, suggests, “The coffee grounds market is moving from waste recovery into a practical circular material category. Suppliers with reliable collection networks, agriculture-grade processing, and application-specific product formats are likely to gain advantage as brands and growers seek low-waste inputs with clear commercial use.”
- Coffee Grounds Market Value Analysis
- The coffee grounds market is shifting from discarded coffee waste toward a usable input for agriculture and consumer products.
- Demand is likely to rise as farms, skincare brands, and biofuel producers repurpose spent coffee grounds.
- Adoption is expected to improve as recycling systems connect coffee retailers with product manufacturers.
- Spending is anticipated to be supported by organic agriculture, sustainable cosmetics, and bio-based material development.
| Attributes | Details |
|---|---|
| Coffee Grounds Market Value for 2025 | USD 708.3 million |
| Projected Market Value for 2035 | USD 1,962.5 million |
| Value-based CAGR of Market for 2025 to 2035 | 10.7% |
Major Exporting and Importing Countries of Coffee Grounds
Used extensively in agriculture as organic fertilizer and soil conditioners, coffee grounds find rising demand in cosmetics, bioenergy, and packaging sectors. This shift towards circular economy practices, combined with growing environmental awareness, is driving innovation and expanding market opportunities. As coffee consumption continues to rise globally, the availability of coffee grounds as a raw material is increasing, fueling the development of new products and industries focused on waste reduction and resource efficiency.
- Leading Exporters: Major coffee-producing countries such as Brazil, Vietnam, and Colombia dominate coffee grounds exports. These exporters benefit from large-scale coffee cultivation and established processing facilities that generate significant quantities of spent coffee grounds for commercial use.
- Key Importers: Regions like North America, Europe, and Asia-Pacific are key importers of coffee grounds, using them in products ranging from fertilizers and animal feed to personal care items. Growing environmental awareness and circular economy initiatives have increased the demand for recycled coffee grounds in these markets.
Per Capita Spending on Coffee Grounds
Per capita spending on coffee grounds varies significantly across regions, influenced by factors such as coffee consumption habits, awareness of sustainable products, and availability of coffee grounds-based applications. In developed markets like North America and Europe, higher coffee consumption and a growing focus on eco-friendly products lead to greater per capita spending on coffee grounds used in gardening, cosmetics, and bioenergy.
- Developed Markets (North America and Europe): Higher per capita spending driven by strong coffee consumption, widespread use of coffee grounds in gardening, cosmetics, and bioenergy, and increased focus on sustainability and eco-friendly products.
- Emerging Markets (Asia-Pacific and Latin America): Lower per capita spending due to less widespread use and lower awareness, but growing interest in sustainable applications and rising environmental consciousness are gradually boosting demand.
Analysing Coffee Grounds Market by Top Investment Segments
Arabica Coffee Grounds Lead Market Due to Cultivation and Popularity
Arabica coffee grounds are expected to dominate the coffee grounds market with around 73.1% share by 2025. This prominence is closely tied to the fact that Arabica coffee beans make up the majority of global coffee cultivation, estimated at about 60% by the United States Department of Agriculture in 2017.
Because Arabica beans are widely consumed, their processed grounds are more available in the market. Major producers like Nestlé, Starbucks, and Lavazza heavily feature Arabica coffee in their blends, fueling the demand for associated by-products such as coffee grounds. The smooth flavor and aromatic profile of Arabica beans make their grounds attractive not only for brewing but also for secondary applications such as natural exfoliants in cosmetics and organic fertilizers.
For example, Lush Cosmetics uses coffee grounds in its scrubs, leveraging their antioxidant properties. This broad acceptance in various industries supports sustained market growth. As consumer preference continues to lean towards premium and specialty coffees, Arabica coffee grounds will maintain their strong market position.
Agricultural Sector Drives Coffee Grounds Usage with Sustainable Practices
The agricultural use of coffee grounds is projected to capture about 39.3% of the market share in 2025. Farmers and growers are increasingly embracing coffee grounds as a natural soil amendment and fertilizer, valued for their nutrient-rich content and ability to improve soil structure. In countries such as Japan and the Netherlands, coffee grounds are recycled as part of sustainable urban farming and community garden projects, reducing waste and enhancing crop productivity.
Companies like GroCycle have innovated by using spent coffee grounds to grow mushrooms, demonstrating an eco-friendly circular economy model. Additionally, organic farms in regions like California and Brazil use coffee grounds as mulch to conserve moisture and deter pests. This approach supports the rising trends in organic farming and indoor vertical farming, where space and soil quality optimization are critical.
Coffee Grounds Market Insights
- With personal gardening becoming a hobby for a significant number of people, especially among the older generation, the demand for coffee grounds from the horticulture sector is progressing at a rapid pace.
- Coffee grounds are riding the wave of popularity enjoyed by compostable materials, and are thus becoming more commonplace in residences.
- Rising pet adoption, with claims of more than 65% of American households having a pet, the need to rid them of fleas rises. Coffee grounds are emerging as a chemical-free and cost-effective way for pet owners to do so.
- With upgrades in lifestyle, more attention is being paid to the upkeep of homes. Coffee grounds, with their odor-repelling properties, are thus seeing greater adoption in residences.
- With the increased demand for sustainable fuels, coffee grounds are being used for the manufacture of biofuel in growing measures.
Trends in the Coffee Grounds Market
- With fertilizer sales thriving, materials in their production, such as coffee grounds, are being called upon to a greater degree.
- Trend of recycling coffee grounds, practiced in both industrial and household use, is boosting the market.
- Advertising through the medium of social media, where the benefits of coffee grounds are expounded, is paying dividends for market players.
- Suppliers are packaging coffee grounds with coffee itself to appeal to consumers more and with coffee sales showing no signs of slowing down, the coffee grounds industry is benefitting.
- Coffee flour is emerging as a significant off-beat material in the making of bakery products and confectionaries. Developing demand for coffee flour is thus another avenue of growth for the market.
- As the demand for organic ingredients in skincare products rises, the cosmetics industry is playing a key role in the growth in demand for coffee grounds.
- Lack of awareness among consumers regarding the multipronged uses of the product, sees significant quantities of usable coffee grounds go to waste, which hampers the growth of the market.
Country-wise Analysis
Presence of major coffee-producing nations like Vietnam, Indonesia, and India, all in the top 10 of the world according to World Atlas, bolsters the market in the Asia Pacific. Significant taking up of gardening as an activity by individuals is also planting the seeds for the growth of coffee grounds in the region.
Clamor among Europeans to make households pleasing is influencing the growing adoption of coffee grounds in Europe. Thriving cosmetics industry in North America is informing the growth of the market in the region.
| Countries | CAGR (2025 to 2035) |
|---|---|
| China | 11.6% |
| Japan | 10.0% |
| United States | 7.9% |
| Germany | 8.7% |
| India | 7.2% |
Growing Coffee Production Conducive to Market Growth in India
The market is anticipated to register a CAGR of 7.2% in India for the forecast period. Some of the factors driving the growth of the market in the country are:
- Despite hardships like unseasonal rains and raw material shortage, India remains one of the major coffee-producing countries in the world, paving the way for coffee grounds growth in the country.
- Rising Western influence is seeing coffee become a fixture of a significant number of Indians' daily intake and thus coffee grounds demand is swelling up in the country.
Popularity of Luxurious Coffee Brands Makes the United States Promising for Coffee Grounds
The United States is set to see the market expand at a CAGR of 7.9% over the forecast period. Prominent factors driving the growth of the market are:
- With rising income among the younger generation, premium coffee brands are seeing growth in the United States, which is positively influencing the coffee grounds market.
- All-in-one packages containing coffee, coffee beans, and coffee grounds are climbing in popularity in the United States, benefitting the market.
Increasing Import of Coffee Positively Impacts the Market in China
The market is expected to register a CAGR of 11.6% in China over the forecast period. Some of the factors driving the growth of the market in China are:
- To satiate the notable coffee needs of the country, while local production is being ramped up and imports are also increasingly being called upon in China, from prominent coffee-producing nations like Ethiopia. Thus, the presence of coffee grounds too is rising in the country.
- Local Chinese coffee beans are impressing more consumers in China, such as those from Pu'er, and their popularity is also benefitting the coffee grounds industry.
Innovative Use of Coffee Grounds Ensuring Progress of the Market in Germany
The market is set to progress at a CAGR of 8.7% in Germany for the forecast period. Factors influencing the growth of the market in Germany include:
- Coffee grounds are being used by German manufacturers inventively, for example, Hakle using it for toilet paper manufacture, and thus the market is flourishing in the country.
- Luxury products in Germany are using coffee grounds to heighten the sensory experiences of consumers. For example, in 2022, Lilienthal Berlin launched a watch with a case made of coffee grounds, made by Kaffeeform.
Recycling of Coffee Grounds Rising in Significance in Japan
The market is expected to register a CAGR of 10.0% in Japan over the period from 2025 to 2035. Some of the reasons for the growth of coffee grounds in the country are:
- Recycling of coffee grounds, as part of the wider effort to limit coffee-related waste, is becoming more prominent in Japan. For example, in May 2022, Starbucks Japan opened a drive-thru store in Togane concentrated on recycling coffee grounds.
- Use of the koji technique in Japan, as practiced by Soi, is widening the scope of coffee grounds in the country, turning them into coffee bars.
Competitive Landscape in the Coffee Grounds Market
Hoping to capitalize on the rising affinity towards coffee grounds, coffee-makers are entering the market. Thus, the market sees multinational coffee giants compete with smaller concentrated coffee grounds vendors.
Death Wish Coffee Company is bundling coffee grounds with other coffee products to enlarge the demand for the product. Other market players are focused on collaborating with other coffee sector stakeholders to enhance demand.
Recent Developments in the Coffee Grounds Market
- In May 2022, Kaffeeform launched the Weducer Cup Refined, a coffee mug made from coffee grounds.
- In July 2023, Tim Hortons opened the Green Environmental Protection Experimental Store in Shenzhen, China, which is focused on coffee grounds.
- In September 2022, Nivea launched a face cream as part of its Naturally Good range, containing recycled coffee grounds. The company leveraged its Kaffe Bueno for the development of the product.
Key Companies in the Coffee Grounds Market
- Death Wish Coffee Company
- Folgers Coffee
- Hills Bros. Coffee
- Kicking Horse Coffee
- Peet's Coffee
- Red Thread
- Royal Kona
- Starbucks Corporation
- The Kraft Heinz Company
- UCC
Key Coverage in the Coffee Grounds Industry Report
- Coffee Grounds Market Size and Share Analysis
- Assessment of sale of coffee grounds
- Used coffee grounds industry coverage
- Spent coffee grounds market report
- Coffee ground market value share in coffee waste market analysis
- Coffee ground market value share in coffee byproduct market analysis
Report Scope Table - Coffee Grounds Market
| Report Attributes | Details |
|---|---|
| Current Total Market Size (2025) | USD 708.3 million |
| Projected Market Size (2035) | USD 1,962.5 million |
| CAGR (2025 to 2035) | 10.7% |
| Base Year for Estimation | 2024 |
| Historical Period | 2020 to 2024 |
| Projections Period | 2025 to 2035 |
| Quantitative Units | USD million for value and thousand tons for volume |
| Product Types Analyzed (Segment 1) | Arabica, Robusta, Others (Liberica, Excelsa) |
| End Uses Analyzed (Segment 2) | Food & Beverage, Agriculture, Cosmetic & Personal Care, Insecticides & Pesticides, Biofuel |
| Regions Covered | North America; Latin America; Western Europe; Eastern Europe; South Asia and Pacific; East Asia; Middle East & Africa |
| Countries Covered | United States, Canada, Mexico, Brazil, Argentina, Germany, France, United Kingdom, Italy, Spain, Netherlands, China, India, Japan, South Korea, ANZ, GCC Countries, South Africa |
| Key Players influencing the Coffee Grounds Market | Death Wish Coffee Company, Folgers Coffee, Hills Bros. Coffee, Kicking Horse Coffee, Peet's Coffee, Red Thread, Royal Kona, Starbucks Corporation, The Kraft Heinz Company, UCC |
| Additional Attributes | Demand trends in organic agriculture and biofertilizers, Application growth in cosmetics and pest control, Rising biofuel applications, Regional coffee production and waste recycling |
| Customization and Pricing | Customization and Pricing Available on Request |
Key Segments
By Product Type:
- Arabica
- Robusta
- Others (Liberica, Excelsa)
By End Use:
- Food & Beverage
- Agriculture
- Cosmetic & Personal Care
- Insecticides & Pesticides
- Biofuel
By Region:
- North America
- Latin America
- Europe
- South Asia
- East Asia
- Oceania
- Middle East and Africa (MEA)
Frequently Asked Questions
How Big is the Coffee Ground Market?
The coffee ground market is estimated to be USD 708.3 million in 2025.
What are the Key Companies in the Coffee Grounds Market?
Death Wish Coffee Company, Folgers Coffee, Hills Bros. Coffee, and Kicking Horse Coffee are some of the key companies in the coffee grounds market.
How Much Will the Coffee Grounds Market Be Worth in 2035?
The coffee grounds market is expected to reach a valuation of USD 1,962.5 million in 2035.
What is the Outlook for the Coffee Grounds Industry?
The coffee grounds industry is penned in to progress at a sturdy CAGR of 10.7% over the period from 2025 to 2035.
What are the Segments of the Coffee Grounds Market?
The coffee grounds market can be segmented into the following categories: product type, and end-use.
How Will Demand for Coffee Grounds Progress in the United States?
The coffee grounds market is predicted to progress at a CAGR of 7.9% in the United States over the period from 2025 to 2035.
How Will Demand for Coffee Grounds Progress in China?
The coffee grounds market is slated to progress at a CAGR of 11.6% in China over the period from 2025 to 2035.
Preview the report firsthand - request a free sample
Get SampleGet the brochure for pricing and purchase details.
Get PDFTable of Content
- 1. Executive Summary
- 2. Market Overview
- 3. Market Background
- 4. Global Market Analysis 2020 to 2024 and Forecast, 2025 to 2035
- 5. Global Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Type
- 5.1. Arabica
- 5.2. Robusta
- 5.3. Others (Liberica, Excelsa)
- 6. Global Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Application
- 6.1. Food and Beverage
- 6.2. Agriculture
- 6.3. Cosmetic and Personal Care
- 6.4. Insecticides
- 6.5. Pesticides
- 7. Global Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Region
- 7.1. North America
- 7.2. Latin America
- 7.3. Western Europe
- 7.4. Eastern Europe
- 7.5. South Asia and Pacific
- 7.6. East Asia
- 7.7. Middle East and Africa
- 8. North America Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Country
- 9. Latin America Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Country
- 10. Western Europe Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Country
- 11. Eastern Europe Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Country
- 12. South Asia and Pacific Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Country
- 13. East Asia Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Country
- 14. Middle East and Africa Market Analysis 2020 to 2024 and Forecast 2025 to 2035, By Country
- 15. Key Countries Market Analysis
- 16. Market Structure Analysis
- 17. Competition Analysis
- 17.1. Death Wish Coffee Company
- 17.2. Folgers Coffee
- 17.3. Hills Bros. Coffee
- 17.4. Kicking Horse Coffee
- 17.5. Peet's Coffee
- 17.6. Red Thread
- 17.7. Royal Kona
- 17.8. Starbucks Corporation
- 17.9. The Kraft Heinz Company
- 18. Assumptions & Acronyms Used
- 19. Research Methodology
