Why is Coffee so Expensive Now?
Having a cup of coffee is an integral part of the day for many. However, the cost of a cup of coffee has risen in recent times leading to many asking the question: why is coffee so expensive now?
Reasons Behind Rising Costs of Coffee
Several factors are responsible for the continually rising price of coffee including:
- Global Supply and Demand – Coffee is a global commodity, and when supply is low prices tend to go up.
- Weather Conditions – Coffee is a fragile crop, meaning it can be affected easily by the weather.
- Shipping Prices – Since coffee is a global commodity, when shipping prices increase, so does the cost of coffee from one region to another.
- Labour Costs – The cost of labor for production and packaging also has an effect on the price of coffee.
- Tariffs and Taxes – Tariffs and taxes on coffee can also have a major impact on prices.
What it Means
Although the cost of coffee may be rising steadily, it is still relatively affordable when compared to other beverages. Ultimately, the cost increases are due to the global supply and demand of coffee, as well as the numerous external factors that must be considered. In the end, it’s important to remember that no matter what the cost, enjoying a cup of coffee is still an enjoyable experience.
