With Retail Coffee Prices Jumping Nearly 21% In August And Tariffs Driving Prices Up Further, Roasters Are Sounding The Alarm – CoffeeTalk

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The rising costs of coffee beans are causing concern for coffee roasters and their customers. Retail coffee prices jumped nearly 21% in August compared to the same time last year, partly due to the Trump administration’s tariffs. In July, Brazil was slapped with one of the highest duties, at 50%, while Vietnam has 20% tariffs and Colombia has 10% tariffs. America imports more than 99% of its coffee, most of which comes from Brazil — 30.7% of US coffee imports based on net weight, according to the UN Comtrade Database.

The average price of regular coffee at restaurants in August was 10 cents more than the same time last year, bringing the average price to $3.52. Some relief may be on the way, as Rep. Don Bacon and Democratic Rep. Ro Khanna introduced the bipartisan “No Coffee Tax Act” in September to exempt coffee products from tariffs. Price hikes may cause some consumers to start brewing their coffee at home, but they will likely continue buying cups from local shops as occasional indulgences.

Coffee drinkers in the nation’s capital are seeing more expensive drip and espressos these days. According to data from Toast, a regular hot coffee in Washington, DC, averaged $4.21 in August, up 4% from last year. And the average price of a cold brew costs $5.35, up 3.7% year-over-year.

Swing’s Coffee Roasters, founded in 1916 and having three locations in Virginia and Washington, DC, has been hit with higher-than-usual costs. Owner Mark Warmuth told CNN that Trump’s tariffs caused a “really difficult situation across the board” when combined with environmental and labor factors that make coffee more expensive. The cost of a single cup could go up about 10 or 15 cents, and even if importing beans costs 50% more, it’s unlikely a single cup would also increase 50%.

Despite price increases, Vigilante Coffee Company owner Chris Vigilante said he’s optimistic that there are still ways “folks can continue to enjoy great specialty coffee that works for their wallet.” The 50% tariff on top US exporter Brazil, which has seen its coffee bean supply shrink due to a drought, weighs the heaviest on businesses.

Read More @ CNN

Source: Coffee Talk

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