World: Expensive cup of coffee, the price hike for Arabica and Robusta does not slow down

Published 2024년 9월 23일

Tridge summary

Coffee prices are experiencing a significant increase due to concerns about weather conditions potentially impacting the 2024-25 harvests, exacerbated by fears related to EU anti-deforestation regulations and geopolitical tensions affecting container costs. The Ice financial market has seen record highs in prices for both the robusta and arabica varieties, with robusta prices reaching over $4,200/ton, a 27% increase since mid-March. This surge has led to a 15% increase in the cost of a cup of espresso in Italy since 2021. The situation is further complicated by the exit of Indonesia, a major robusta producer, from the market, leaving Vietnam's competitive advantage diminished due to flat production and record Brazilian exports. Senior analyst Filippo Roda at Areté anticipates that these high prices are here to stay, with no return to 2021-22 levels, due to a lack of supply caused by unfavorable weather and increasing speculation.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The alarms about coffee price increases continue, after the alarm raised by entrepreneurs at the end of August, which was echoed by consumer associations. Assoutenti, for example, estimated a 68% increase in the raw material compared to last year for the robusta variety. According to the association, in Italy, where espresso alone drunk at the bar generates a turnover of 7 billion euros per year, the cost of a cup has increased by 15% since 2021, with peaks in particular in some cities. And the situation shows no signs of stabilizing: according to analysts, coffee is among the main raw materials to see rising prices. The EU is the leading global importer of green coffee with approximately 34% of the total (source: USDA). According to Eurostat data, in 2023 the European Union imported 44.2 million bags of coffee. 63.8% of imported coffee is of the Arabica variety, 35.6% of the robusta variety. Italy is the EU's second largest importer, with approximately 23% of the total (10.4 ...

Source: Il sole 24 ore