Huggs Coffee expands from cafes in CBD to supplying corporate pantries and hospitals
Clarissa Choo is a brand director of Huggs Coffee and a second-generation leader of the business, which was founded by her father Ron Choo. PHOTO: BT FILE
Huggs Coffee expands from cafes in CBD to supplying corporate pantries and hospitals
SINGAPORE - Having established itself in the Central Business District (CBD), Huggs Coffee seeks to delve deeper into workplaces – not just offices, but hospitals too.
This is under its business-to-business (B2B) division Huggs Professionale, which focuses on corporate and healthcare workers.
The chain began in 2008 with cafes in the CBD, offering both traditional Nanyang-style kopi and artisanal Western-style coffee.
After Huggs became established among office workers, the company ventured into another industry where caffeine is key: hospitals.
'For us, it is a natural extension – looking outside the CBD and into hospital spaces,' said Clarissa Choo, brand director of Huggs Coffee and a second-generation leader of the business, which was founded by her father Ron Choo.
Huggs made its first foray into healthcare with a cafe in Tan Tock Seng Hospital in 2017, followed by one at National University Hospital in 2022, and another at the National Cancer Centre Singapore in October 2023.
It was also in 2023 that the company launched Huggs Professionale, offering coffee beans, coffee machines and vending machines – with a selected range of freshly brewed coffees – to businesses.
'This really allows us to diversify our footprint – not just within the retail space, but also in corporate pantries,' said Ms Choo.
In 2024, Huggs opened cafes in Ng Teng Fong General Hospital and Mount Elizabeth Hospital, with the latter also featuring the first Huggs Professionale vending machine.
As hospitals run around the clock, their staff may need coffee at any time of the day. But this has implications for labour costs, Ms Choo noted. 'It's not commercially viable to open our cafe 24/7.'
Vending machines solve this problem. Even after the cafe closes at 5 pm, staff can still get a fresh brew from the vending machine.
Ms Choo looks forward to setting up vending machines in other hospitals while improving both the coffee – with a wider range of blends – and the machines themselves.
For instance, Mount Elizabeth worked with Huggs to create its own coffee blend for staff and patients named 'It's Possible', after the hospital's tagline.
Custom brews
Huggs has already been offering packaged coffee beans for retail in their CBD cafes. But the B2B division enables the company to look at retail and customisation in a 'more structured manner', said Choo.
With corporate offices, for instance, Huggs works with clients' requests for coffee blends and coffee machines.
For those unsure of which blends to stock, Huggs holds blind tasting sessions – similar to those for Mount Elizabeth – where clients can taste Huggs' coffee blends in different variations, as well as its non-caffeinated drinks.
'We introduce a realm of different taste profiles and dive into a very extensive R&D (research and development) session,' she said.
These range from fruitier, tropical blends to ones that are thicker and more chocolatey, the director added.
Local, international expansion
Corporate clients aside, Huggs is strengthening its consumer presence, aiming to reach Singapore's speciality coffee drinkers.
In June 2024, it launched its first Sojourner outlet in the Royal Group Building along Phillip Street. The new concept is part of the so-called 'fifth wave' of coffee: modern, business-centred cafes that serve high-quality, artisanal brews.
The aim is to reach more coffee connoisseurs and those who are more 'discerning and adventurous' with their coffee, said Ms Choo.
Sojourner brings in premium beans such as Ethiopia Bensa and those from less well-known regions such as Papua New Guinea; it also brews its own artisanal blends.
A second Sojourner outlet was later opened in private vault The Reserve, and is exclusive to its employees. Similarly, Apple employees also have exclusive use of a Huggs Coffee cafe.
This June, Huggs will open its third Sojourner outlet in Capital Tower and its 19th Huggs Coffee outlet in Punggol Digital District, with the help of an SME Working Capital Loan from UOB, under the government's Enterprise Financing Scheme.
The Punggol branch will include a Huggs Professionale showcase and a vending machine that remains accessible, even after the cafe's business hours.
Ms Choo wanted to live up to the district's name by digitalising the cafe experience, as well as taking the opportunity to showcase Huggs Professionale's automation.
Regionally, Huggs Coffee plans to expand to Malaysia and the Philippines, and is considering Japan and Dubai.
The company is still in preliminary discussions with partners and master franchisees, and is still undecided about which market to enter first. Obtaining adequate information is key, said Ms Choo. 'Otherwise, it's uncharted territory for us.'
Going abroad may require some adaptation, as the Nanyang-style coffee offered in Huggs outlets in Singapore is tailored to the local market.
In overseas ventures, Huggs may have to tweak the intensity and composition of its coffee, to align it more with the taste buds of coffee drinkers there, said Ms Choo.
Overseas menus may incorporate artisanal coffee, as well as the new market's own version of kopi.
'Depending on the market that we penetrate, we need to see what their version of everyday coffee (is), and localise.' THE BUSINESS TIMES
Join ST's Telegram channel and get the latest breaking news delivered to you.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Straits Times
an hour ago
- Straits Times
Ukraine asks allies to allocate 0.25% of GDP to boost its weapons production
Ukrainian servicemen preparing to fire a howitzer towards Russian troops, at a front line position in Ukraine's Zaporizhzhia region, on June 16. PHOTO: REUTERS Ukraine asks allies to allocate 0.25% of GDP to boost its weapons production KYIV - President Volodymyr Zelensky has called on Ukraine's Western partners to allocate 0.25 per cent of their GDP to helping Kyiv ramp up weapons production and said the country plans to sign agreements this summer to start exporting weapon production technologies. In remarks released for publication by his office on June 21, Mr Zelensky said Ukraine was in talks with Denmark, Norway, Germany, Canada, the United Kingdom, and Lithuania to launch joint weapon production. 'Ukraine is part of Europe's security and we want 0.25 per cent of the GDP of a particular partner country to be allocated for our defence industry and domestic production,' Mr Zelensky said. As the war with a bigger and better-equipped Russia has intensified in recent weeks, Ukraine's need for new weapons and ammunition is constantly growing. This year, Kyiv had secured US$43 billion (S$55 billion) to finance its domestic weapon production, Mr Zelensky said. Member nations of the Nato military alliance are expected to meet next week in The Hague, to discuss higher defence spending. Nato Secretary-General Mark Rutte has proposed that countries should each agree to spend 5 per cent of their GDP on defence and security measures. Mr Zelensky said he was likely to visit the Nato summit, adding that several meetings with Western leaders had been set up on the sidelines. He also said that he hoped to meet US President Donald Trump. Last week, Mr Zelensky attended the Group of Seven summit in Canada as he sought to discuss stronger sanctions against Russia and more military support for Ukraine with Mr Trump there. But he failed to meet the US President as Mr Trump left a day early for Washington to address the Israel-Iran conflict. Ukraine currently covers about 40 per cent of its defence needs with domestic production, and the government is constantly looking for ways to increase production further. Kyiv plans to launch joint weapon production outside of the country and will start exporting some of its military production technologies, Mr Zelensky said. 'We have launched a programme 'Build with Ukraine', and in the summer we will sign relevant agreements to start exporting our technologies abroad in the format of opening production lines in European countries,' Mr Zelensky said. The discussions focused on producing different types of drones, missiles, and potentially artillery, he said. REUTERS More on this Topic Zelenskiy says Ukraine developing interceptor drones to counter Russian attacks Join ST's Telegram channel and get the latest breaking news delivered to you.
Straits Times
3 hours ago
- Straits Times
Ukraine asks allies to allocate 0.25% of GDP to boost its weapon production
FILE PHOTO: Ukraine's President Volodymyr Zelenskiy carries flowers to pay tribute to victims, who were killed during Russian drone and missile strikes on Tuesday, at the site of a damaged apartment building, amid Russia's attack on Ukraine, in Kyiv, Ukraine June 19, 2025. Ukrainian Presidential Press Service/Handout via REUTERS/File Photo Ukraine asks allies to allocate 0.25% of GDP to boost its weapon production KYIV - President Volodymyr Zelenskiy has called on Ukraine's Western partners to allocate 0.25% of their GDP to helping Kyiv ramp up weapons production and said the country plans to sign agreements this summer to start exporting weapon production technologies. In remarks released for publication by his office on Saturday, Zelenskiy said Ukraine was in talks with Denmark, Norway, Germany, Canada, the United Kingdom, and Lithuania to launch joint weapon production. "Ukraine is part of Europe's security and we want 0.25% of the GDP of a particular partner country to be allocated for our defence industry and domestic production," Zelenskiy said. As the war with a bigger and better-equipped Russia has intensified in recent weeks, Ukraine's need for new weapons and ammunition is constantly growing. This year Kyiv had secured $43 billion to finance its domestic weapon production, Zelenskiy said. Member nations of the NATO military alliance are expected to meet next week in The Hague, to discuss higher defence spending. NATO Secretary General Mark Rutte has proposed that countries should each agree to spend 5% of their GDP on defence and security measures. Zelenskiy said he was likely to visit the NATO summit, adding that several meetings with Western leaders had been set up on the sidelines. He also said that he hoped to meet U.S. President Donald Trump. Last week, Zelenskiy attended the Group of Seven summit in Canada as he sought to discuss stronger sanctions against Russia and more military support for Ukraine with Trump there. But he failed to meet with the U.S. President as Trump left a day early for Washington to address the Israel-Iran conflict. Ukraine currently covers about 40% of its defence needs with domestic production, and the government is constantly looking for ways to increase production further. Kyiv plans to launch joint weapon production outside of the country and will start exporting some of its military production technologies, Zelenskiy said. "We have launched a program 'Build with Ukraine' and in summer we will sign relevant agreements to start exporting our technologies abroad in the format of opening production lines in European countries," Zelenskiy said. The discussions focused on producing different types of drones, missiles, and potentially artillery, he said. REUTERS Join ST's Telegram channel and get the latest breaking news delivered to you.
Business Times
11 hours ago
- Business Times
Trump pledge of quick China magnet flows has yet to materialise
[HONG KONG] Almost 10 days since US President Donald Trump declared a 'done' trade deal with Beijing, US companies remain largely in the dark on when they will receive crucial magnets from China, and whether Washington, in turn, will allow a host of other exports to resume. While there has been a trickle of required permits, many American firms that need Chinese minerals are still waiting on Beijing's approval for shipments, according to sources familiar with the process. China's system is improving but remains cumbersome, they said, contrary to Trump's assurances rare earths would flow 'up front' after a Jun 11 accord struck in London. The delays are holding an array of American industries hostage to the rocky US-China relationship, as some firms wait for magnets and others face restrictions son elling to China. That friction risks derailing a fragile tariff truce clinched by Washington and Beijing in Geneva last month, and triggering fresh rounds of retaliation. Interviews with multiple Western buyers, industry insiders and officials familiar with discussions revealed frustration over vague policies in both countries and lingering confusion about what level of magnet approvals from China would trigger Trump to abandon his tit-for-tat export curbs. 'Even if export approvals accelerate, there are so many unknowns about the licensing regime that it's impossible for companies to have a strong sense of certainty about future supply,' said Christopher Beddor, deputy China research director at Gavekal Research. 'At a minimum, they need to factor in a real possibility that talks could break down again, and exports will be halted.' In response to China's sluggishness on magnets, Trump last month restricted US firms from exporting chip software, jet engines and a key ingredient to make plastic to China until President Xi Jinping restores rare-earth exports. Companies subject to Washington's curbs have halted billions of US dollars in planned shipments as they wait for players in unrelated sectors to secure permits from Beijing, which could take weeks or even months to process, given the current pace. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Corporate chiefs affected by the export-control spat have sought clarity from the administration on its strategy, according to sources familiar with the matter. The Commerce Department, which administers the rules, has offered few details, they added. Oil industry executives have tried to convince Trump officials that blocking exports of ethane – a gas used to make plastics – is contrary to US national security interests, according to sources familiar with the deliberations. Business leaders have asked for export restrictions to be removed but that's been unsuccessful so far, the sources said. Energy and chemical giant INEOS Group Holdings has one tanker full of ethane waiting to go, while Enterprise Products Partners has three to four cargo ships stuck in limbo, according to a source familiar with the matter. That's particularly galling because China has adequate ethane supplies in reserve and can switch to using naphtha from the Middle East and other regions for much of their production, the sources said. Representatives from the companies did not respond to requests for comment. Industry figures have consistently told the Trump administration the ethane export restrictions are inflicting more pain on US interests than on China, according to the sources. China's Ministry of Commerce, which administers export licenses, has not responded to Bloomberg's questions on how many for rare earths have been granted since the London talks. At a regular briefing in Beijing on Thursday, spokesperson He Yadong said Beijing was 'accelerating' its process and had given the go-ahead to a 'certain number of compliant applications'. Access to rare earths is an issue 'that is going to continue to metastasise until there is resolution,' said Adam Johnson, chief executive officer of Principal Mineral, which invests in US mineral supply chains for industrial defence. 'This is just a spigot that can be turned on and off by China.' China only agreed to grant licenses, if at all, for six months, before companies need to reapply for approvals. Firms doing business in the US and China could see recurring interruptions, unless the Commerce Ministry significantly increases its pace of process applications. Adding an extra layer of jeopardy for US companies, Chinese suppliers to America's military-industrial base are unlikely to get any magnet permits. After Trump imposed sky-high tariffs in April, Beijing put samarium – a metal essential for weapons such as guided missiles, smart bombs and fighter jets – on a dual-use list that specifically prohibits its shipment for military use. Denying such permits could cause ties to further spiral if Trump believes those actions violate the agreement, the terms of which were never publicised in writing by either side. That sticking point went unresolved during roughly 20 hours of negotiations last week in the UK capital, sources familiar with the details said. Complicating the issue, companies often buy magnets from third-party suppliers, which serve both defence and auto firms, according to a person familiar with the matter. That creates a high burden to prove to Chinese authorities a shipment's final destination is a motor not a missile, the source added. Beijing still has not officially spelt out the deal's requirements, nor has Xi publicly signalled his endorsement of it – a step Trump said was necessary. 'The Geneva and London talks made solid progress towards negotiating an eventual comprehensive trade deal with China,' White House spokesperson Kush Desai said. 'The administration continues to monitor China's compliance with the agreement reached at Geneva.' China's Commerce Ministry is working to facilitate more approvals even as it asks for reams of information on how the materials will be used, according to sources familiar with the process. In some cases, companies have been asked to supply data including detailed product designs, one of the sources said. Morris Hammer, who leads the US rare-earth magnet business for South Korean steelmaker Posco Holdings, said Chinese officials have expedited shipments for some major US and European automakers since Trump announced the agreement. China's Advanced Technology & Materials said on Wednesday it had obtained permits for some magnet orders, without specifying for which destinations. The company's customers include European aerospace giant Airbus SE, according to data compiled by Bloomberg. Around half of US suppliers to Toyota Motor, for example, have had export licenses granted, the company said – but they're still waiting for those materials to actually be delivered. It's likely some of the delays are transport-related, one of the sources said. Even with permits coming online, rare-earth materials are still scarce because overseas shipments were halted for two months starting in April, depleting inventories. Trump's agreement 'will allow for rare earths to flow out of the country for a short period of time, but it's not helping the auto industry because they are still talking shutdowns', Hammer said. 'Nobody trusts that this thaw is going to last.' For many automakers, the situation remains unpredictable, forcing some to hunt for alternatives to Chinese supplies. Two days after Trump touted a finalised trade accord in London, Ford Motor chief executive officer Jim Farley described a 'day-to-day' dynamic around rare-earths licenses – which have already forced the company to temporarily shutter one plant. General Motors has emphasised it's on firmer footing in the longer term, because it invested in domestic magnet making back in 2021. The automaker has an exclusive deal to get the products from MP Materials in Texas, with production starting later in the year. It has another deal with eVAC of Germany to get magnets from a South Carolina plant starting in 2026. In the meantime, GM and its suppliers have applied for permits to get magnets from China, a source familiar with the matter said. Scott Keogh, the CEO of Scout Motors – the upstart EV brand of Volkswagen – told Bloomberg Television his company is re-engineering brakes and drive units to reduce the need for rare earths. Scout is building a plant in South Carolina to make fully electric and hybrid SUVs as well as trucks starting in 2027. Until the rare-earth supply line is reopened to Washington's satisfaction, Trump has indicated that the US is likely to keep in place its own export restrictions. Senior US officials have suggested the curbs are about building and using leverage, rather than their official justification: national security. Commerce Secretary Howard Lutnick said the measures were used to 'annoy' China into complying with a deal US negotiators thought they'd already reached. Restrictions on sales to China of electronic design automation (EDA) software for chipmaking are emblematic of the standoff. Those EDA tools are used to design everything, from the highest-end processors for the likes of Nvidia and Apple to simple parts, such as power-regulation components. Fully limiting China's access to the best software, made by a trio of Western firms, has been a longtime priority in some Washington national security circles – and would build on years of US measures targeting China's semiconductor prowess. While some senior Trump officials specifically indicated the administration would relax some semiconductor-related curbs if Beijing relents on rare earths, EDA companies still lack details on when, and whether, their China access will be restored, said industry officials who requested anonymity to speak candidly. Even if that happens, there's a worry that heightened geopolitical risks will push Chinese customers to hunt for other suppliers or further develop domestic capabilities. 'The risk is there for the London deal to fall apart,' said Alicia Garcia Herrero, chief economist for Asia-Pacific at Natixis. 'Because rare earths is a very granular issue and mistakes can be made.' BLOOMBERG
