The Rising Cost of Coffee & Chocolate – What It Means for You
TL;DR
☕ Coffee & Chocolate Prices Rising: Climate change, crop diseases, and geopolitics are to blame.
🍫 Chocolate Hit Harder: Cocoa prices up 126% (2023-2024)—price hikes coming late February.
💸 Coffee Holding Steady (For Now): Holding Under $60/kg, but increases are likely.
☕ Your Daily Cup: Cafes may raise prices by $0.50 to $1.00 by 2025.
🤝 What You Can Do: Support your local coffee shops and chocolatiers!
💬 Thoughts? Let us know in the comments!
There’s been a lot of buzz lately about rising coffee and chocolate prices, and we wanted to take a moment to break it down for you. Unfortunately, the news isn’t great, but we’re here to keep you informed and transparent about what’s happening.
How are Prices Determined?
To keep it simple, the base price of coffee is unfortunately not determined by producers in Brazil or Indonesia, but at the Intercontinental Exchange in New York. Simply called C price and using Grade 1 Arabica coffee beans as the benchmark, green coffee prices have reached a record high of USD 8.8/kg
For a producer, the price gives them a rough idea what would the lowest price be before adding cost premiums from but not limited to processing and/or varietal. It's great news to the producers as they do deserve to get properly compensated for their hard work and quality they are producing.
Why Are Prices Going Up?
The short answer? A perfect storm of challenges. Climate change, crop diseases, manpower shortages, and rising transportation costs are all playing a role. Add in geopolitical tensions, wars, and tariffs, and it’s no surprise that the cost of coffee beans and other natural ingredients is on the rise.
What Does This Mean for Us?
For now, our espresso coffee prices are holding steady under $60/kg. Will they stay there forever? We’re doing our best, but honestly, we can’t make any promises. Once our roasters update their inventory based on the new market prices, some adjustments are likely. Rest assured; we’ll do everything we can to keep things as fair as possible for you.
Chocolate Lovers, Brace Yourselves
Unfortunately, our chocolate products are taking a bigger hit. Cocoa prices have skyrocketed by 126% between 2023 and 2024 due to poor weather conditions and crop diseases in West Africa, where most of the world’s cocoa is grown. As a result, our Bellagio Chocolate Powder and all chocolate sauces will see a price increase once new stock arrives in late February.
How Will This Affect Your Daily Cup?
If you’re a coffee lover, here’s what you need to know: While we supply cafes and businesses, the decision to raise prices ultimately lies with individual establishments. For coffee drinkers, the impact on your daily latte or mocha will depend on your favorite café. Some places may absorb the costs, while others might raise prices slightly—think 0.50 to 1.00 more per drink. We predict most cafes will try to keep prices stable through 2025, but it’s hard to say for sure.
What Can You Do?
As consumers, you have the power to support the businesses you love. If your local coffee shop or chocolatier continues to deliver quality and value, show them some love! Every purchase helps them navigate these challenging times.
Let’s Talk!
We’d love to hear your thoughts. Are you noticing price changes at your go-to spots? How do you feel about the rising costs of coffee and chocolate? Drop us a comment below—we’re all in this together!