We know you’ve heard the whispers (or maybe even the panic): Is coffee really getting more expensive? Unfortunately, the answer is yes. But before you picture $10 flat whites, let’s break it down.
Why are coffee prices going up? Extreme weather in key coffee-growing regions, global shipping delays, soaring demand for specialty coffee, and a weaker Aussie dollar are all driving up costs. On top of that, market speculation and hedge fund investments in coffee futures are adding to price volatility.
The reality is that that this is impacting everyone from farmers to roasters to your local café. In this blog, I've broken down the key reasons for the price increases, as well as how it is affecting everyone from growers to home coffee lovers.
Quick Summary
- Extreme weather in Brazil, Vietnam, and India is cutting coffee supply.
- Shipping disruptions are increasing costs and causing delays.
- Global demand for specialty coffee is rising, especially in Asia.
- Traditional coffee markets like Australia, the U.S., and Europe keep growing.
- A weaker Aussie dollar makes imported coffee beans more expensive.
- Market speculation and hedge funds are driving price volatility.
Why Coffee Prices are Rising
Climate & Supply Chain Chaos
Coffee-growing regions around the world have been hit hard by extreme weather. Brazil - aka the biggest coffee producer in the world - has suffered both frost and drought, slashing supply for the 2025 crop. Meanwhile, Vietnam and India, which produce nearly half of the world’s robusta coffee, have also faced challenging conditions.
If that wasn’t enough, global shipping has been a nightmare. Rising freight costs, container shortages, and delays mean getting beans from farm to roastery is taking longer—and costing more.
More People Wanting Better Coffee
Coffee culture is booming worldwide. Countries that traditionally drank instant coffee (think China and parts of Southeast Asia) are switching to specialty coffee, meaning the demand for high-quality beans is higher than ever. At the same time, places like Australia, the U.S., and Europe aren’t slowing down either. More demand + less supply = higher prices.
The Aussie Dollar Isn’t Helping
Coffee is traded in U.S. dollars, so when the Australian dollar weakens, it costs local roasters more to buy green beans. On top of that, market speculation and hedge fund investments in coffee futures have added to price volatility, making it harder for businesses to predict costs.
How This Affects Coffee Prices
For Roasters (Like Us!)
Here at Coffee Beans Perth, we’re feeling the pinch at every stage. Green bean costs are up, shipping is more expensive, and like every small business, our operational costs (think wages, rent, electricity) are rising. We’re committed to sourcing high-quality coffee, but keeping prices reasonable while maintaining that quality is a tricky balance.
For Cafés
Cafés are dealing with these cost increases across the board. That means many will need to adjust prices to stay sustainable. Because while a small increase might seem noticeable, it helps keep your local café open, your barista paid fairly, and your coffee tasting as good as ever.
For You, the Coffee Lover
If you notice your morning coffee going up by 50c or $1, know that it’s not just about beans - it’s about keeping independent roasters and cafés afloat while ensuring farmers are paid fairly for the incredible work they do.
How You Can Support Your Local Coffee Community
- Keep supporting your favourite café: Small, gradual price increases mean your go-to spot can continue serving up top-notch coffee.
- Choose specialty coffee: Specialty roasters work hard to bring you ethically sourced, high-quality beans that support farmers and sustainable practices.
- Understand the bigger picture: The price of coffee isn’t just about what’s in your cup; it’s about an entire supply chain of people working to bring you the best brew possible.
The Bottom Line
Yes, coffee prices are rising. But the heart of Perth’s coffee scene remains unchanged: great people, great coffee, and a passion for quality.
At Coffee Beans Perth, we’re committed to sourcing, roasting, supplying incredible coffee, and keeping our community informed along the way. We appreciate your support as we navigate these changes, and we’ll always be here, making sure your caffeine needs are sorted.
So next time you sip your favourite brew, know that you’re not just enjoying coffee, you’re supporting an entire industry that thrives on quality, passion, and community.