Coffee, Already Highly Taxed In Greece, Sees 18.5% Spike – CoffeeTalk

Coffee prices in Greece have risen 18.5% in the last year, making it one of the highest-taxed in the European Union. The rise is attributed to the high prices of Arabica and Robusta beans, which have reached 45-year highs due to climate change, poor harvests, and global geopolitical tensions. The Greek government plans to lower taxes across many sectors, but not the Value Added Tax (VAT) on food and goods in supermarkets. Future coffee contracts have jumped by 50% since early August, as traders bet on tighter supplies, Brazil’s production cuts, and U.S. President Donald Trump’s tariffs have added to the cost. Greeks are switching more to buying coffee in supermarkets instead of Starbucks, as coffee is now considered a luxury item. Analysts predict no slowing in price increases due to the confluence of events and the effect of Trump tariffs, especially on Brazil.

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