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In recent years, coffee has become a beverage routine that I consume almost every day. I usually take my coffee as a bean and brew it myself at home. But the increase in coffee prices started to bother me because every time I went to buy coffee, I was faced with a different price, and I decided to do a little research and share this with you.

Hang tight, get used to the expensive coffee prices, and savor every sip if you’re drinking coffee right now. Because coffee prices, unfortunately, have reached the highest levels of the last 10 years. There are many reasons for this rise. Let’s take a look at the factors that cause coffee prices to increase together.

Global Warming

Global warming causes the world climate to change due to the increase in the average temperatures measured on land, sea, and air throughout the year. These climate changes have also affected the top 10 coffee exporting countries in the world. Of course, one of the most affected countries is Brazil.

The frost in Brazil in 2021 and the drought that followed have deeply affected the coffee-growing farmers. These adverse climatic conditions in Brazil caused the coffee trees to be damaged and unproductive, and even the farmers to uproot the damaged coffee trees. Considering that a coffee tree begins to produce crops approximately 5-6 years after planting, it seems inevitable that coffee prices will gradually increase due to the coffee shortage that will occur in the coming years.

Shipping Costs

The Covid-19 pandemic, which emerged in China in December 2019, affected every business line. One of the sectors that got its share from this situation and dragged the whole world into a negative spiral was the transportation sector. The shipping restrictions due to the pandemic, the shortage of containers have created a kind of domino effect. In this process, coffee suppliers, who had difficulty in predicting when they would procure their product, made a kind of panic purchases and excessive purchases. As you can guess, who can make these excessive purchases? of course, large companies with strong capital. Therefore, medium and small-sized companies had difficulty in finding products. If you see that coffee prices change in boutique coffee shops that you routinely visit and you are having trouble finding the coffee you want, this may be one of the main reasons.

This excessive purchase demand in the market causes the transportation traffic in the world to be compressed, thus making it more costly for us, who are the last coffee consumers, to reach the coffee.

Energy Crisis in the World

The increasing world population triggers demand for almost every product. Since the demand is high and the supply is not enough to meet it, the prices are also increasing. Unfortunately, this crisis is also experienced in the energy sector. Because of this excessive demand for energy, coffee roasting companies are faced with high bills. This is one of the reasons that triggered the increase in coffee prices.

Apart from the main reasons mentioned above, many reasons such as high labor costs, increase in packaging materials, inflation increases in almost every sector, sudden increases in consumer demand with the easing of the pandemic, and fertilizer prices will continue to trigger the increase in coffee prices. Because of all these reasons, the coffee market has a deficit of 5.2 million bags in 2021.

Unfortunately, many experts predict that these problems in the coffee market will continue for many years. I hope they are wrong. Believe me, as a coffee lover, it’s hard for me to imagine a world without coffee already.

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