Get Ready to Pay More for Your Morning Joe

Coral Murphy-MarcosReporting on the caffeinated economy ☕️

Climate shocks in Brazil and shipping bottlenecks have pushed the price of coffee beans higher — and farmers and roasters are feeling the effects.

That also means your coffee could get more expensive. Here’s why →

Get Ready to Pay More for Your Morning Joe

Coral Murphy-MarcosReporting on the caffeinated economy ☕️

The cost of coffee beans is up nearly 43 percent in 2021. A pound of arabica beans in the futures market, usually $1.20 to $1.40, rose above $2 in July, the highest since 2014.

Get Ready to Pay More for Your Morning Joe

Coral Murphy-MarcosReporting on the caffeinated economy ☕️

Maria Magdalena Arrellaga for The New York Times

This is because in Brazil — the world’s largest coffee exporter — drought and unusually cold weather, which can damage or even kill coffee trees, have affected crops.

Get Ready to Pay More for Your Morning Joe

Coral Murphy-MarcosReporting on the caffeinated economy ☕️

Plus, a shortage of shipping containers has restricted exports and led to higher shipping costs. Now, small roasters are worried that raising prices would alienate customers.

Get Ready to Pay More for Your Morning Joe

Coral Murphy-MarcosReporting on the caffeinated economy ☕️

Efrem Fesaha, founder of Boon Boona Coffee in Renton, Wash., specializes in selling coffee from Ethiopia, Uganda, Burundi and other African countries. His customers, in the East African community in Renton, practice traditional coffee ceremonies with the beans he provides. But rising shipping costs may make him raise prices, Fesaha said. The increase “would be too great for us to even operate without passing the cost on to the consumer.”

Get Ready to Pay More for Your Morning Joe

Coral Murphy-MarcosReporting on the caffeinated economy ☕️

If the cost of beans remains high long enough, even Starbucks and Nestlé will have to consider raising prices.

Buying coffee more than a year in advance has helped Starbucks, but smaller roasters can’t hold off that long.