Rising Coffee Costs: Causes & Alternatives

UNDERSTANDING THE PRICE INCREASE

Climate Challenges

Coffee is cultivated in over 70 countries, but production is dominated by Brazil and Vietnam. In Brazil, the Minas Gerais region alone accounts for 30% of the country’s Arabica output. However, in recent years, this region has faced extreme droughts, with some areas experiencing over 120 consecutive days without significant rainfall. These conditions disrupt flowering, reduce yields, and strain the global supply chain (Digital Weekday, 2024; The Guardian, 2024).

Alternative producers like Vietnam, Colombia, and Ethiopia have also struggled with the impacts of global warming. Extreme weather patterns, including unpredictable rainfall and rising temperatures have hampered harvests in these regions, leaving them unable to compensate for Brazil’s losses.

Regulatory Changes

The European Union’s new Deforestation Regulation (EUDR) will ban the sale of coffee and other goods unless they come from deforestation-free land (no deforestation after December 31, 2020), comply with local laws, and pass strict checks. Traders are stockpiling coffee ahead of the changes, adding pressure to the supply chain. While supermarket prices remain low due to current agreements, they are expected to rise once the rules take effect.

Logistical Disruptions

The coffee supply chain is under significant strain due to multiple logistical challenges:

Suez Canal Congestion: Tensions and delays at this critical shipping route have disrupted global transport.

Cape Route Costs: As an alternative to the Suez Canal, the Cape of Good Hope route adds extra time and expense to shipments, further straining supply chains.

Shipping Container Shortage: A global shortage of containers has caused delays and increased costs for exporters. Without enough containers, exporters face longer wait times and higher fees, which ripple through the supply chain and ultimately drive up consumer prices (AD.nl, 2024).

These combined challenges paint a clear picture: coffee prices will likely continue to rise, with affordability becoming an increasing concern for consumers and businesses alike. The various factors driving coffee price increases—climate impacts, new regulations, and logistical challenges—make it difficult to predict exact costs. However, experts in the field suggest that a cup of coffee could rise to €5.50.

EXPLORING ALTERNATIVES: FUNCTIONAL HYDRATION

What will the future look like?

What will people rely on—sodas, energy drinks, sugary options? Not ideal.

Choosing to add a hydration station alongside or instead of the coffee machine can benefit employees while helping to reduce costs. Hydration systems like Aquablu REFILL+ provide a modern solution for shared spaces such as workplaces.

With zero sugar, flavored water enriched with vitamins and specific functionalities–like caffeine–, these systems offer tailored hydration options. Users can choose flavors, adjust intensity, and select water types—ambient, chilled, or sparkling—creating over 48 combinations. For those needing an extra boost, flavors like FOCUS, infused with caffeine and tasting of red fruits, provide a refreshing alternative.

A hydration station supports employee well-being, reduces waste, and elevates shared spaces with modern design and sustainability. Want to know how much you can save with REFILL+? Let’s get in touch.

UNDERSTANDING THE PRICE INCREASE

Climate Challenges

Coffee is cultivated in over 70 countries, but production is dominated by Brazil and Vietnam. In Brazil, the Minas Gerais region alone accounts for 30% of the country’s Arabica output. However, in recent years, this region has faced extreme droughts, with some areas experiencing over 120 consecutive days without significant rainfall. These conditions disrupt flowering, reduce yields, and strain the global supply chain (Digital Weekday, 2024; The Guardian, 2024).

Alternative producers like Vietnam, Colombia, and Ethiopia have also struggled with the impacts of global warming. Extreme weather patterns, including unpredictable rainfall and rising temperatures have hampered harvests in these regions, leaving them unable to compensate for Brazil’s losses.

Regulatory Changes

The European Union’s new Deforestation Regulation (EUDR) will ban the sale of coffee and other goods unless they come from deforestation-free land (no deforestation after December 31, 2020), comply with local laws, and pass strict checks. Traders are stockpiling coffee ahead of the changes, adding pressure to the supply chain. While supermarket prices remain low due to current agreements, they are expected to rise once the rules take effect.

Logistical Disruptions

The coffee supply chain is under significant strain due to multiple logistical challenges:

Suez Canal Congestion: Tensions and delays at this critical shipping route have disrupted global transport.

Cape Route Costs: As an alternative to the Suez Canal, the Cape of Good Hope route adds extra time and expense to shipments, further straining supply chains.

Shipping Container Shortage: A global shortage of containers has caused delays and increased costs for exporters. Without enough containers, exporters face longer wait times and higher fees, which ripple through the supply chain and ultimately drive up consumer prices (AD.nl, 2024).

These combined challenges paint a clear picture: coffee prices will likely continue to rise, with affordability becoming an increasing concern for consumers and businesses alike. The various factors driving coffee price increases—climate impacts, new regulations, and logistical challenges—make it difficult to predict exact costs. However, experts in the field suggest that a cup of coffee could rise to €5.50.

EXPLORING ALTERNATIVES: FUNCTIONAL HYDRATION

What will the future look like?

What will people rely on—sodas, energy drinks, sugary options? Not ideal.

Choosing to add a hydration station alongside or instead of the coffee machine can benefit employees while helping to reduce costs. Hydration systems like Aquablu REFILL+ provide a modern solution for shared spaces such as workplaces.

With zero sugar, flavored water enriched with vitamins and specific functionalities–like caffeine–, these systems offer tailored hydration options. Users can choose flavors, adjust intensity, and select water types—ambient, chilled, or sparkling—creating over 48 combinations. For those needing an extra boost, flavors like FOCUS, infused with caffeine and tasting of red fruits, provide a refreshing alternative.

A hydration station supports employee well-being, reduces waste, and elevates shared spaces with modern design and sustainability. Want to know how much you can save with REFILL+? Let’s get in touch.

UNDERSTANDING THE PRICE INCREASE

Climate Challenges

Coffee is cultivated in over 70 countries, but production is dominated by Brazil and Vietnam. In Brazil, the Minas Gerais region alone accounts for 30% of the country’s Arabica output. However, in recent years, this region has faced extreme droughts, with some areas experiencing over 120 consecutive days without significant rainfall. These conditions disrupt flowering, reduce yields, and strain the global supply chain (Digital Weekday, 2024; The Guardian, 2024).

Alternative producers like Vietnam, Colombia, and Ethiopia have also struggled with the impacts of global warming. Extreme weather patterns, including unpredictable rainfall and rising temperatures have hampered harvests in these regions, leaving them unable to compensate for Brazil’s losses.

Regulatory Changes

The European Union’s new Deforestation Regulation (EUDR) will ban the sale of coffee and other goods unless they come from deforestation-free land (no deforestation after December 31, 2020), comply with local laws, and pass strict checks. Traders are stockpiling coffee ahead of the changes, adding pressure to the supply chain. While supermarket prices remain low due to current agreements, they are expected to rise once the rules take effect.

Logistical Disruptions

The coffee supply chain is under significant strain due to multiple logistical challenges:

Suez Canal Congestion: Tensions and delays at this critical shipping route have disrupted global transport.

Cape Route Costs: As an alternative to the Suez Canal, the Cape of Good Hope route adds extra time and expense to shipments, further straining supply chains.

Shipping Container Shortage: A global shortage of containers has caused delays and increased costs for exporters. Without enough containers, exporters face longer wait times and higher fees, which ripple through the supply chain and ultimately drive up consumer prices (AD.nl, 2024).

These combined challenges paint a clear picture: coffee prices will likely continue to rise, with affordability becoming an increasing concern for consumers and businesses alike. The various factors driving coffee price increases—climate impacts, new regulations, and logistical challenges—make it difficult to predict exact costs. However, experts in the field suggest that a cup of coffee could rise to €5.50.

EXPLORING ALTERNATIVES: FUNCTIONAL HYDRATION

What will the future look like?

What will people rely on—sodas, energy drinks, sugary options? Not ideal.

Choosing to add a hydration station alongside or instead of the coffee machine can benefit employees while helping to reduce costs. Hydration systems like Aquablu REFILL+ provide a modern solution for shared spaces such as workplaces.

With zero sugar, flavored water enriched with vitamins and specific functionalities–like caffeine–, these systems offer tailored hydration options. Users can choose flavors, adjust intensity, and select water types—ambient, chilled, or sparkling—creating over 48 combinations. For those needing an extra boost, flavors like FOCUS, infused with caffeine and tasting of red fruits, provide a refreshing alternative.

A hydration station supports employee well-being, reduces waste, and elevates shared spaces with modern design and sustainability. Want to know how much you can save with REFILL+? Let’s get in touch.

UNDERSTANDING THE PRICE INCREASE

Climate Challenges

Coffee is cultivated in over 70 countries, but production is dominated by Brazil and Vietnam. In Brazil, the Minas Gerais region alone accounts for 30% of the country’s Arabica output. However, in recent years, this region has faced extreme droughts, with some areas experiencing over 120 consecutive days without significant rainfall. These conditions disrupt flowering, reduce yields, and strain the global supply chain (Digital Weekday, 2024; The Guardian, 2024).

Alternative producers like Vietnam, Colombia, and Ethiopia have also struggled with the impacts of global warming. Extreme weather patterns, including unpredictable rainfall and rising temperatures have hampered harvests in these regions, leaving them unable to compensate for Brazil’s losses.

Regulatory Changes

The European Union’s new Deforestation Regulation (EUDR) will ban the sale of coffee and other goods unless they come from deforestation-free land (no deforestation after December 31, 2020), comply with local laws, and pass strict checks. Traders are stockpiling coffee ahead of the changes, adding pressure to the supply chain. While supermarket prices remain low due to current agreements, they are expected to rise once the rules take effect.

Logistical Disruptions

The coffee supply chain is under significant strain due to multiple logistical challenges:

Suez Canal Congestion: Tensions and delays at this critical shipping route have disrupted global transport.

Cape Route Costs: As an alternative to the Suez Canal, the Cape of Good Hope route adds extra time and expense to shipments, further straining supply chains.

Shipping Container Shortage: A global shortage of containers has caused delays and increased costs for exporters. Without enough containers, exporters face longer wait times and higher fees, which ripple through the supply chain and ultimately drive up consumer prices (AD.nl, 2024).

These combined challenges paint a clear picture: coffee prices will likely continue to rise, with affordability becoming an increasing concern for consumers and businesses alike. The various factors driving coffee price increases—climate impacts, new regulations, and logistical challenges—make it difficult to predict exact costs. However, experts in the field suggest that a cup of coffee could rise to €5.50.

EXPLORING ALTERNATIVES: FUNCTIONAL HYDRATION

What will the future look like?

What will people rely on—sodas, energy drinks, sugary options? Not ideal.

Choosing to add a hydration station alongside or instead of the coffee machine can benefit employees while helping to reduce costs. Hydration systems like Aquablu REFILL+ provide a modern solution for shared spaces such as workplaces.

With zero sugar, flavored water enriched with vitamins and specific functionalities–like caffeine–, these systems offer tailored hydration options. Users can choose flavors, adjust intensity, and select water types—ambient, chilled, or sparkling—creating over 48 combinations. For those needing an extra boost, flavors like FOCUS, infused with caffeine and tasting of red fruits, provide a refreshing alternative.

A hydration station supports employee well-being, reduces waste, and elevates shared spaces with modern design and sustainability. Want to know how much you can save with REFILL+? Let’s get in touch.