Australian coffee prices set to soar amid combination of global production, supply issues
Australians’ beloved morning ritual of stopping in at their neighbourhood cafe for a brew is about to become more expensive.
And the industry consensus is that coffee prices will continue to rise exponentially in the coming years.
A number of factors – most notably those relating to global production and supply chains – will result in an immediate increase of about $1 in the price of a cup of barista-made coffee.
The most obvious factor contributing to the increase has been environmental concerns such as drought and frost, which have impacted bean production in Brazil, one of the largest exporters to Australia.
The country produced approximately 50% less coffee in 2021-22 than the previous year, and the crop is expected to suffer for the next three years as a result of these issues.
“If we said $4-$4.50 for a small coffee was the average, I’d expect that to jump to $5-$5.50 very soon,” Steve Fulton, a coffee importer and owner of Soho Coffee Roasters, told 7NEWS.com.au.
Mr Fulton notes that a number of other issues affecting global supply chains, such as high fuel prices resulting from the Ukraine conflict, have not yet impacted Australian consumers.
Read more • 7news.com.au
Source: Coffee Talk