Coffee industry challenges
As fellow coffee lovers, we wanted to give you an important update on the current challenges affecting the coffee industry. As you may already be aware, raw coffee prices have been steadily rising since 2023, and in 2024/25 they reached historic highs…
• January 2023 - $1.70/lb
• January 2024 - $1.97/lb
• January 2025 - $3.40/lb *
*Since Jan this year coffee has reached an all-time record high of $4.30/lb+. At the time of writing, it is currently trading between $3.80 to $4/lb which represents a 120% to 135% rise, compared to 2023 levels.
What has caused this?
In short, Brazil (Arabica) and Vietnam (Robusta), the world's two biggest producers of coffee, have suffered from two consecutive years of poor harvests from weather related reasons. Set this against increasing global demand and pressure on supply is immense, meaning that stocks of raw coffee are at record lows. The result, a perfect storm which commodity market speculators have exploited, and seemingly continue to, driving up the price of raw coffee to record highs.
Consider the coffee farmers
We do have to acknowldege that the price of raw coffee has been too low for too long. Coffee farmers cannot be expected to subsidise our cups of coffee by providing us with raw coffee prices that do not enable them to make a living, let alone improve the quality of their lives and communities. An adjustment was needed. However, the speed and level of the current hike is causing real pain upstream for roasters, and anyone selling or serving coffee. Therefore if you've seen a recent rise in the price of coffee from your favourite café or retailer, it is a result of such an unprecedented increase. The entire industry is having to navigate record high input costs at an already challenging time, and in a very short space of time.
Quality, trust & cost
Maintaining our coffee blend integrity and quality is vital. As is focussing on maintaining price stability and competitiveness as much as possible, even during such turbulent times. Our commitment to our coffee growers cannot be undervalued either.
Therefore, as of 1st April 2025 we are having to initiate a small cost increase across our coffee products online:
250g - 25 pence per bag
500g - 50 pence per bag
Capsules - 1 pence per capsule
Coffee Bags - 2 pence per bag
Price increases are not something we take lightly (indeed, in the 10 years from 2011/12 to 2021, we rarely had to) However, today we all find ourselves in an altogether different environment. One of historically high coffee prices and ever-increasing competition. Our commitment to our customary product and customer service excellence is essential if we are to navigate through and keep providing you with the Mozzo magic you have come to trust and love.
Once again, thank you for your continued support, and here is hoping for a little more stability in coffee market and wider economy in the not-too-distant future.
Further references:
BBC News, NBC and The Guardian, among others, have all covered the situation, should you want to read further please find these articles below:
NBC – A Global Coffee Price Spike Is About To Drip Into Your Cup
BBC News – Coffee Price Surges To Highest On Record
The Guardian - Coffee drinkers face price rises as costs on global markets hit record high
Reuters - Global coffee trade grinding to a halt, hit hard by brutal price hikes
Perfect Daily Grind - How high could coffee prices go – and what would it mean for the industry?
