Coffee is in a 'perfect price storm' — and it's finally starting to hit your wallet

Published On Feb 16, 2025, 11:12 AM

Coffee prices have surged over 30% year-to-date, largely due to adverse weather conditions in major coffee-producing countries like Brazil and Vietnam. As coffee prices rise, consumers are beginning to see the impact in their wallets, with average prices for roasted coffee increasing 2.5% and instant coffee spiking by 7.1%. Industry leaders are predicting that ongoing climate challenges and rising costs will lead to further price hikes in the coffee market in 2025, as they pass these costs onto consumers. However, some companies have locked in prices through prior purchasing agreements, softening immediate impacts on their pricing strategies.