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Frigid Mongolia Warms to Coffee
Ulaanbaatar, Mongolia
By Mainbayar Badarch
Mongolia is a country with a vast territory and a very small population in northeast Asia.
It is the coldest country in the world. Although far below the Arctic Circle, Mongolia’s high altitude, which averages 4,900 feet above sea level, and arid desert climate bring cool summers and bitterly cold winters. Mongolia’s winter begins in November and lasts through the end of April. Temperatures hover around 20 degrees below zero.
The country’s tea culture is closely linked to its nomadic livestock industry. Traditionally Mongolians drink their tea mixed with cow’s milk. A Georgian green tea is the most popular brand in the country. As the economy expands and more affluent young people emerge in the workplace, a rapidly growing coffee industry has emerged.
In Ulaanbaatar, the nation’s capital, many coffee shops opened their doors during the past few years. Several are international coffeehouse chains such as The Coffee Bean & Tea Leaf and Caffe Bene, a South Korean coffee chain with 1,000 stores.
Last year the local company Modernize obtained a franchise from Tom n Toms coffee of South Korea, introducing a new brand. Coffee shops such as United Coffee Lovers, Ubean Coffee, Nayra, Caffe Ti Amo, Jack’s Coffee, and Bugis coffee also provide delicious tasting coffee and service. The Ubean coffeehouse, for example, is importing green coffee from Latin America, Africa, and Asia.
Mongolians are unfamiliar with the various ways coffee is brewed and until recently the many variations in drinks. They refer to Americano as a black coffee and latte and cappuccino as a milk coffee and were not keen to explore others. This is also changing as coffee use rises in the country.
A visiting coffee lover consultant from the US said coffee prepared at the Nayra coffee shop was similar to Columbian coffee. He complimented the shop’s cozy ambiance for business and leisure. Patrons engage in conversation there and read interesting books and magazines. In parallel, a Japanese expat says that although Mongolia does not grow coffee, the coffee market is emerging with an emphasis on specialty coffee.
A main problem facing coffee shops in Mongolia is a shortage of coffee making equipment and the absence of repair and maintenance services, says Garid Ganbat, a barista at Bossam House Korean Restaurant. He hopes to open a repair service in the near future to repair espresso coffee machines. Ganbat criticizes some coffee shops as they serve their clients instant coffee from a single serve packet with powdered milk or automatically pour milk and sugar into coffee without asking.
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Frigid Mongolia Warms to Coffee
The counter at Caffe Ti AMO.
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Frigid Mongolia Warms to Coffee
Several European, Korean, and American coffee chains such as California-based Coffee Bean & Tea Leaf have built coffee shops in Ulaanbaatar.
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Frigid Mongolia Warms to Coffee
Mongolia’s government building in the capital.
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Frigid Mongolia Warms to Coffee
Downtown Ulaanbaatar
Coffee market
The total market for imported coffee is estimated at $360,000. Seventy percent of coffee is processed imports. No coffee is grown in the country and there are few roasters. Coffee and tea are popular consumer goods found in 40% of the city’s households. Office coffee is popular. Almost all private and public offices consume coffee widely and market surveys show that coffee consumption is increasing year to year.
Agiimaa Ariunbold, the managing director of the Mandakh Gazar company says that it will cost MNT300 million ($150,000) to establish a coffee processing plant large enough to provide 50% of the total domestic coffee. She has initiated a project titled “To produce coffee in Mongolia”.
Her company has partnered with several Korean companies to import tea and coffees. Since 2012 they have studied coffee processing from JNFood of Korea while they were importing. Ariunbold plans to import equipment with a capacity to fill 50,000 packets per day from HS Pack of Korea. Pricing will depend on the cost of raw materials and quality of product. Her goal is to offer products at a lower price than imported coffees.
In the capital city, anyone can easily see overcrowded small and medium sized supermarkets and groceries. The shelves of supermarkets carry a variety of instant coffee. The most popular brands are MacCoffee (a 3-in-1), Nescafe, and Jakobs. Among the locally produced instant coffees there are Khaan, Ogedei Khaan, and Khaan Classic for sale. Several local companies import various types of instant coffee from South Korea, Singapore and Germany.
Getting social
Coffee is emerging on social networks. Coffee lovers of Mongolia created a CoffeeMongolia Group on Facebook in October 2013. The group was formed to study and analyze coffee from an “Art” perspective. Group members have been meeting and sharing their experiences and making various kinds of coffee. The group has 1,566 likes so far. Most members are coffee shop owners and baristas.
The basic training course costs MNT5000 ($2.50) which includes a cup of coffee to drink. Another coffee group named OrganoGold has 989 members. There are also TV programs on topics such as “Tea or Coffee” and “Golf and Coffee” that have been broadcast successfully. Mongolia’s coffee market is expanding and there are good business opportunities.
Mainbayar Badarch is a freelance writer based in Ulaanbaatar.