Despite hopes that coffee prices may decrease, the situation on the world market predicts even more price increases. This is reported by the Bloomberg agency, which notes that the upward trend in coffee prices will continue.

In particular, both Arabica beans, popular among coffee chains such as Starbucks, and the more affordable Robusta variety, continue to rise in price due to severe supply disruptions from Vietnam and Brazil. The increase in the cost of these varieties of coffee is caused by supply problems and insufficient quantities of beans on the market.

Across the coffee supply chain, sellers have already raised prices and are giving up discounts in an effort to preserve their margins. Many suppliers predict further price increases, which confirms the anxiety of the market.

Prices for Robusta beans, used to make instant coffee, have reached their highest levels since the 1970s. Earlier this month, the high price of Arabica beans was also recorded as the highest in two years.

Bad weather conditions have significantly affected the situation: prolonged droughts in Vietnam, a major producer of robusta, have led to a shortage of this type of coffee for the fourth year in a row. At the same time, dry weather in Brazil has reduced the Arabica crop, as damaged trees produce fewer grains.

The gap between Arabica and Robusta futures prices has become one of the smallest in history. This forces companies to look for lower-quality Arabica beans as a substitute for robustness in order to reduce raw material costs.

Thus, world coffee prices will remain high and may even rise further due to continued shortages of raw materials and unpredictable weather conditions.