China39;s coffee consumption jumped 15 in latest season
New coffee shops open at breakneck speed, face harsh competition
College students boost demand for coffee in large and midsized cities
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SHANGHAI, Dec 29 Reuters Chinese coffee consumption is growing quickly, spurring cutthroat competition between local and foreign coffee chains that have opened thousands of branded shops in recent months and surpassed the number of coffee stores in the United States.

Analysts expect China39;s growing thirst for coffee to be a key driver of future demand for the beans as coffee shops expand beyond Beijing and Shanghai to dozens of midsized cities where young professionals have warmed to the beverage.

China39;s rising coffee demand is an opportunity for international chains like Starbucks and Tim Hortons that are investing heavily in China, though they face a steep challenge from rapidly expanding local brands.

Data from the International Coffee Organization sent to Reuters shows coffee consumption in China grew 15 in the yearlong season ended in September from the previous cycle to 3.08 million bags.

The Chinese consumer is increasingly adopting Western life styles and coffee is obviously one of the beverages that represent that, said Jason Yu, greater China managing director of market research firm Kantar Worldpanel.

The number of branded coffee shops in China grew a staggering 58 in the last 12 months to…