International Coffee Prices Set Absolute Record

The price of the most popular type of coffee, Arabica, has reached a historic high, primarily due to drought and rainfall issues in Brazil. Consumers will feel the effects of rising prices beginning in early 2025, reports BBC.

As of the beginning of this week, December 10, the price for Arabica coffee, the world's most recognized coffee variety, has been set at $3.34 per pound (approximately 0.45 kg). Over the past year, the price of Arabica coffee has surged by 80%.

Roasting companies had previously attempted to avoid raising prices for consumers in order to maintain their market share, but continuing in this manner has become untenable. All companies utilizing Brazilian coffee beans are planning to increase prices by 30%, according to Reuters.

It is noted that the previous record price for Arabica coffee was set in 1977 when Brazil, the world’s largest supplier of Arabica, was impacted by a frost in 1975 that wiped out two-thirds of its coffee plantations. Brazil experienced the most severe drought in the last 70 years in August and September 2024, followed by torrential rains.