G20 Summit in South Africa and the Uncharted Opportunities for Coffee Industry in Tourism and Hospitality, By Salman Khan.

The G20 Summit, held annually, brings together leaders from across the globe to discuss pressing issues. In 2023, South Africa proudly hosted this prestigious event, which not only elevated the country's profile on the world stage but also unlocked new opportunities for various sectors, particularly tourism, hospitality, and notably, the coffee industry. As the world begins its recovery from the pandemic, events like the G20 Summit can drive growth in these sectors.

In this blog post, I will explore the untapped potential that the G20 Summit has unveiled for the coffee industry within tourism and hospitality in South Africa. By examining emerging trends and opportunities, I will highlight how coffee can enhance tourism experiences while supporting local economies.

The Significance of the G20 Summit

The G20 Summit is a crucial platform that tackles key issues like economic growth, sustainable development, and climate change. Hosting such an event attracts global media attention and boosts local tourism. For example, past Summits in member countries resulted in more than a 30% increase in tourism-related activities and spending.

With South Africa as the Summit's host, the country showcased its rich cultural heritage, beautiful landscapes, and a diverse coffee culture that often goes unnoticed. This moment emphasized the potential for the coffee industry to thrive alongside tourism and hospitality initiatives.

The Current Landscape of Tourism and Hospitality

Travel ,Tourism & Hospitality continued to show its resilience in 2024, contributing direct GDP growth of 3.1% and supporting 6 million net additional jobs in the sector. In total, Travel & Tourism generated US$10.6 trillion (10.2% of global GDP) and 315 million jobs in 2023, equivalent to 1 in 10 jobs in the global economy. The sector accounted for 6.6% of total global exports and almost 30% of total global service exports. (source: WTO) and Africa Hotel Report 2024.

In recent years, South Africa's tourism and hospitality industry has experienced considerable challenges, particularly due to the COVID-19 pandemic. However, as travel restrictions ease, there is renewed hope for recovery. Yet, significant disparities persist, especially for Black African entrepreneurs.

Despite hurdles, the sector is witnessing a revival. For example, the number of Black-owned hotels and tour companies has risen by approximately 25% since 2021, tapping into local culture and offering unique culinary experiences. This rise reflects a shift toward greater inclusivity, demonstrating how Black African entrepreneurs can both contribute to and benefit from the tourism industry's resurgence.

According to the first UNWTO World Tourism Barometer of the year, international tourism ended 2023 at 88% of pre-pandemic levels, with an estimated 1.3 billion international arrivals. Source: UWTO19 Jan 2024. According to Stats SA, international tourist arrivals from January to December 2023 totaled 8.5 million, representing a remarkable 48.9% increase when compared with the same period in 2022.31 Jan 2024.

Tourism GDP as a share of the national economy increasing from 1.5% in 2021-22, to 2.5% in 2022-23. Tourism filled jobs increasing by 42% from 442,600 in 2021-22 to 626,400 in 2022-23. This was 11% or 74,500 fewer jobs than in 2018-19. Source: SA Ministry of Tourism, The travel and tourism added nearly 13.2 billion U.S. dollars ZAR250 Billion to the Gross Domestic Product (GDP) of South Africa in 2024.

South Africa’s Coffee Landscape

South Africa boasts several coffee-growing regions, including the Western Cape, Limpopo, and Mpumalanga, where high-quality beans are produced. Recent reports estimate that local coffee production has increased by over 25% in the past five years, reflecting a growing interest in specialty coffee.

The rise of cafés and roasteries is apparent in cities like Cape Town, Johannesburg, Pretoria and Durban, where coffee events featuring local producers have gained traction. The G20 Summit served as a turning point for these emerging coffee businesses to reach an international audience, showcasing their unique offerings and attracting global interest in South African coffee.

Tourism and Coffee: A Perfect Blend

Coffee is not just a drink; it represents a cultural experience that can greatly enhance tourism. When travelers engage with local coffee producers, they learn about South Africa’s agricultural practices, regional variations, and distinct brewing techniques.

During the G20 Summit, opportunities emerged for collaboration between coffee producers and local tourism operators. Visitors could participate in coffee farm tours, tasting sessions, coffee cupping and coffee-making workshops, offering deeper insights into the region's culture and heritage. For example, a tour of a farm in the KZN might include a firsthand experience of the coffee harvest, allowing tourists to appreciate the hard work behind their favorite beverage.

There is an opportunity for local roasters and café owners to host special promotions and events during the G20 summit to attract high-end customers. These occasions provide an opportunity to introduce home brews, special roasts, and blends as souvenirs for delegates, potentially boosting brand exposure and paving the way for exporting locally roasted coffee beans to international markets. Successful cafés may even explore international expansion by franchising their brands; Tasha’s successful entry into Middle Eastern markets serves as a noteworthy example. Besides roast beans, these souvenirs might include branded coffee-related items like T-shirts, mugs, and other merchandise.

Opportunity to present G20 emblem as Latter Art.

I propose an idea and challenge for our coffee shop owners: create a limited edition of Latte Art at your establishments to entice and excite visitors during the G20 summit, which will attract over 35,000 attendees including 20 heads of state and their diplomatic entourages. This initiative would showcase nationalism and demonstrate participation as proud South African hosts, whether you own a small takeaway or run an established national coffee shop brand. It will also send a positive message to the government that South Africa's coffee industry fully supports hosting the G20 event and is eager to serve our visitors. Additionally, perhaps offering crash courses on Duolingo could benefit frontline staff in your establishments because they’ll be interacting with foreigners from various parts of the world. The common languages spoken by representatives from twenty G20 members’ countries are French, Portuguese, Arabic, German, and Mandarin among others.

This is an idea below for Latte Art which resemble the G20 emblem, you may colour it or keep it as simple as it is. I am excited to see our talented Barista take on this challenge!

Culinary Experiences and Coffee Integration

As attendees of the G20 Summit sought unique culinary experiences, South Africa's coffee scene offers exciting possibilities for integration into the hospitality sector. Hotels and restaurants can create innovative menus featuring local coffee products, enhancing dining experiences with regional flavors. Perhaps tweaking of the menu to cater for visiting delegates from around the world to attend G20 summit.

Coffee-infused dishes or specialty coffee cocktails not only promote local producers but also enrich visitors’ experiences. Statistics suggest that diners are willing to pay up to 20% more for meals that incorporate locally sourced ingredients, making this a win-win for both the restaurant and the coffee producer. I think Rooibos infused teas and especially Red Cappuccino will be a hit of the century and not forgetting our local delicatessen Malva pudding and slice of pecan nut pie to goes along with cup of coffee. Oh no how, I can forget the introduction of Boer-a-chino (cappuccino with pray of cream) to our international guest.

Sustainable Practices and the Coffee Industry

With sustainability in focus, the G20 Summit addressed environmental conservation and sustainable development. The South African coffee industry can align with these ideals by advocating for sustainable farming practices and ethical sourcing.

Local producers can highlight their commitment to sustainability through eco-friendly farming methods and support for fair trade initiatives. Collaborating with tourism agencies and hotels to design educational packages can help inform travelers about sustainability in coffee production, attracting environmentally conscious visitors. For instance, a package could include a visit to a coffee farm that practices organic farming along with discussions on the importance of sustainable coffee sourcing.

The Role of Technology in Coffee Tourism

Technology is transforming tourism, enhancing the way travelers explore destinations. The rise of digital nomadism allows coffee shops to serve as business hubs. High-speed Wi-Fi, cozy seating, and inviting atmospheres attract remote workers, turning coffee spots into vibrant social and professional spaces.

Mobile apps can simplify the search for local coffee experiences. For example, a visitor in Johannesburg can use an app to find the best coffee shops, learn about unique brewing techniques, and book tasting events easily. This not only enhances the travel experience but also fosters a stronger bond between tourists and local coffee businesses.

Challenges Ahead for the Coffee Industry

While the G20 Summit illuminated numerous opportunities, the coffee industry in South Africa faces challenges. Climate change, competition from other coffee-producing nations, and the ongoing need for quality improvements can hinder growth.

To tackle these challenges, cooperation among local producers, government agencies, and educational institutions is crucial. Collaborative efforts can lead to programs focusing on skill development, research, and resource sharing to support the sustainable growth of the coffee sector.

A Bright Future for Coffee in South Africa

The G20 Summit has positioned South Africa as a vital player in global tourism and hospitality. This new visibility presents significant benefits for the coffee industry.

By joining forces, local producers and tourism operators can weave coffee into the larger tourism narrative. Emphasizing sustainable practices, culinary creativity, and leveraging technology will be essential for shaping the future of the coffee industry in South Africa.

As travelers increasingly seek authentic experiences and cultural immersion, the coffee sector has the potential to thrive within the tourism and hospitality framework. The path forward involves embracing these challenges and seizing opportunities to cultivate a vibrant future for the coffee industry.

This journey calls for innovation and collaboration. The hidden gems waiting to be uncovered are not just success stories for individual businesses, but rather a promising future for the South African coffee industry as it becomes a cornerstone of its tourism and hospitality sectors.

After thoughts, uhmm perhaps this is time for South African coffee industry to be united and put our best foot forward collectively and SCASA might like to lead the way as this is one in million opportunity and it is massive economic and business growth opportunity come to South Africa since soccer world cup in 2010.

Salman Khan is a Barista judge, social entrepreneur, food and drink anthropologist, researcher and culinary educator.

To access 2024 coffee consumer survey report in South Africa please send an email to by a copy of it.

Salman Khan, Paul Harris Fellow, T.I.

salkhan1@yahoo.com

WhatsApp 082 691 6048