Thursday, April 24, 2014

Price on Coffee Beans Set to Increase Over Next Year

News out of Brazil that a drought might be impeding coffee crops has analysts predicting that coffee commodities will increase over the next year. Brazil, being the largest grower and exporter of coffee beans, affects the market as a whole. Exactly how much coffee bean prices will rise in Canada isn't yet known, but there is sure to be some change with an upward-trend.

While the price isn't expected to immediately the consumer/retail market, some predictions indicate that prices will rise as much as 25% over the course of the year. While the cost for a shot of espresso at home will only change $0.03-$0.04, peoples' daily habit will get a little more expensive.

One thing to watch for is companies substituting the lower quality robusta beans in lieu of higher quality arabica beans in their blends. While companies can't sell robusta as arabica beans, blends are mixes of different types of beans and seedy companies may attempt to make substitutions in order to save on costs.

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