Climate Change and Extreme Weather: Major coffee-growing regions, such as Brazil and Vietnam, are facing extreme droughts and unpredictable weather conditions. These events lead to lower yields and deteriorated crop quality, significantly impacting coffee production.
Increased Global Demand: Growing interest in coffee in countries like China has driven up worldwide demand. This trend places pressure on supply chains and contributes to higher prices.
Logistical Issues: Reduced water levels in the Panama Canal and other logistical challenges are complicating the transportation of coffee from producers to distributors, resulting in further cost increases.
These global factors inevitably reflect in coffee prices in the Czech Republic. The price of green coffee has increased by more than 80%, putting pressure on retail prices. Coffee shop owners and roasters in the Czech Republic face the dilemma of how to manage these rising costs. Some are considering adjusting prices for end customers, while others are looking for ways to reduce operational costs or offer alternative products. It is expected that the price of an espresso could rise by a few crowns, which may influence consumer habits.
With ongoing climate change and rising demand, it is likely that coffee prices will remain unstable. For consumers, this means preparing for potential further price increases, while producers and distributors will need to find innovative solutions to overcome these challenges.
