The coffee industry is experiencing a perfect storm of market forces, with Arabica prices soaring over $4.00 per pound—a historic high. Severe drought in Brazil, the world’s largest coffee producer, and extreme rains in Vietnam, the second largest, are significantly reducing global supply. Farmers are withholding coffee in response to these conditions, further tightening availability. On top of that, tariffs on imports from coffee-producing countries could drive prices even higher in the near future. All of this has left the coffee industry rattled and created a buzz in the news cycle as consumers question whether the price of their beloved beverage is going to sky rocket.
High green coffee prices and volatility are inescapable these days. Roasters are paying more for coffee and, according to our surveys, 57% of Roasters have already raised prices in response to rising input costs. For many, the question is no longer if they will need to adjust pricing, but how to communicate these changes to customers in a way that maintains trust and transparency.
Coffee shop menu board – Img by photobyphotoboy
Why Price Increases Are Necessary
When prices rise, customers naturally have concerns. Your role as a roaster is to help them understand the factors behind these increases and emphasize your commitment to quality. Here are a few key points to communicate:
- The Cost of Green Coffee is Rising – The combination of climate events, market speculation, and supply shortages has pushed coffee prices to levels not seen in years.
- Quality Over Compromise – Logistical issues and harvest cycles have led to scarcity in key origins. While one can find coffees from origins such as Guatemala and Honduras, high-grown, high-quality Centrals don’t become available until later in the harvest cycle.
- Tariffs May Further Impact Pricing – While we can’t predict the future, potential tariffs on coffee imports could drive prices even higher. We are actively monitoring the situation and will continue to update our customers as we learn more.
Coffee cup on coffee shop bar – Img by Olena ivanovas images
How to Communicate Price Increases to Customers
Price changes are never easy, but approaching the conversation with honesty and clarity can help maintain strong customer relationships. Here’s how:
- Be Transparent With Your Customers About the Why – Customers appreciate honesty. Explain the market realities in simple terms—rising costs due to supply chain disruptions, climate issues, and increased demand. Let them know that the price adjustments are necessary to continue offering high-quality coffee.
- Emphasize Value and Quality – If you’re raising prices, highlight what remains unchanged—your commitment to sourcing the best coffee, your roasting expertise, and the exceptional service your customers rely on.
- Provide Advanced Notice – Whenever possible, give customers a heads-up about upcoming price increases. This allows them to adjust their purchasing decisions and builds goodwill.
- Offer Temporary Alternatives – If your favorite coffees are temporarily out of stock, offer coffees with similar cup profiles to help customers find suitable replacements.
- Keep the Conversation Open – Encourage feedback and be available to address concerns. Whether it’s through email updates, social media, or direct conversations, let customers know that their business is valued and that you are committed to keeping them informed.
Latte art Img by Kevin Menajang from Pexels
Looking Ahead
The current challenges in the coffee market will continue to evolve, but one thing remains constant—our dedication to quality and to supporting our roasting partners. While we can’t control global coffee prices and tariffs, we can control how we respond to them. By staying informed, being transparent with customers, and maintaining a focus on quality, roasters can navigate these challenges successfully.
We have containers of fresh, high-quality coffees from Colombia, Guatemala, Honduras and more arriving shortly and many, many more on the water. Additionally, our team is here to help navigate the best options for each roaster’s needs. If you need help finding the right coffee for your needs during this period, our team of coffee professionals is on hand to assist. Check out our latest offerings, keep an eye on our Afloat page, and reach out with any questions—together, we’ll get through this, one cup at a time.
