In addition to pushing the price up for your morning java, the impact of droughts and wildfires is leading small-scale coffee producers to struggle, putting some businesses in Brazil at risk of having to cease activity, as the Associated Press reported.
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Wholesale coffee prices, which typically adjust every three months, have been going up for most of the last year, she said. For Country Fair, a pattern has emerged, with rising wholesale prices effectively subtracting 5 cents a cup from the chain's profit margin every three months.
March arabica coffee (KCH25) on Monday closed up +2.25 (+0.69%), and January ICE robusta coffee (RMF25) closed up +102 (+2.04%). Arabica coffee prices saw support from below-average rain in Brazil, the world's largest producer of arabica coffee.
Brazil's top coffee roasters including JDE Peet's, one of the world's biggest coffee companies, are set to hike prices domestically from early next year after adverse weather caused raw bean prices to spike.
Growers in Brazil, Vietnam and Colombia, who make up around 70% of production, have faced extremes linked to the El Niño climate pattern, which had significant impacts on the first half of 2024.
Arabica coffee prices have risen to their highest on record as dealers fretted over Brazil's crop outlook after one of the world's largest traders slashed its 2025/26 forecast for the country's arabica output.
March arabica coffee (KCH25) today is up +2.85 (+0.88%), and January ICE robusta coffee (RMF25) is down -10 (-0.20%). Arabica coffee prices are seeing support today from below-average rain in Brazil,
March arabica coffee (KCH25) on Tuesday closed up +1.35 (+0.41%), and January ICE robusta coffee (RMF25) closed up +33 (+0.65%). Arabica coffee prices traded higher on continued support from below-average rain last week in Brazil,
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The cost of coffee has hovered near record highs on the futures market after droughts in top-producing Brazil and Vietnam. Supermarket brands like Nescafé and Folgers have raised their prices.