Why the price of your flat white is going up, and why that matters. Let’s talk about something that’s been quietly rising, and no, it’s not your rent. It’s the cost of coffee.
For years, coffee has been one of life’s most affordable luxuries. A few dollars gets you flavour, routine, comfort, and connection, all in one cup. But lately, you might’ve noticed the cost creeping up. Another 20 cents here. A couple of dollars more for a bag of beans. It’s not just your imagination. Coffee really is getting more expensive. And the reasons go far beyond inflation.
We’re not here to sugarcoat it. But we are here to offer some context, and to explain why paying a little more for your cup might be what keeps the coffee industry alive.
What’s behind the price increase?
The cost of coffee is tied to something called the C price. It’s the global benchmark for Arabica coffee, traded like other commodities on the open market. Just like oil or gold, the C price rises and falls based on market forces. It’s always been volatile, but in the past year, it’s hit some of the highest levels on record.
So what’s driving the change?
- Extreme weather events. Droughts in Brazil and Vietnam — two of the world’s largest coffee producers — have led to significantly reduced harvests.
- Rising production costs. Fertiliser, fuel, shipping, labour, and finance have all become more expensive.
- Currency fluctuations. A weaker AUD and NZD against the USD makes imported green coffee pricier for roasters in this part of the world.
- Global instability. Disruptions in key producing regions have made freight and logistics less reliable and more costly.
Even with strong, direct relationships with producers — like the ones we’ve built over the past 32 years — these pressures are unavoidable. Our partners are facing the same challenges, and paying them fairly is non-negotiable.
Why this affects your local cafe
Your local cafe isn’t just serving great coffee. They’re also covering rent, wages, training, power bills, and maintenance, all while trying to deliver something special, every day. When the cost of green coffee doubles, small businesses feel it first.
Without modest price increases, cafes are left with tough decisions. Cut quality? Cut wages? Cut corners?
None of those support a sustainable coffee culture. To keep things running — and to keep raising the bar — cafes need to increase their prices in step with rising costs. It’s necessary to protect the integrity of what they do and continue to provide a high-quality coffee experience.
What we’re doing to help
At Coffee Supreme, we’re in it for the long haul. We’ve spent decades building relationships with producers, cafes, and communities, and we’re committed to doing right by all of them.
Here’s how we’re supporting the industry:
- Paying above-market prices for high-quality coffee
- Maintaining direct relationships with producers and visiting them regularly
- Backing our cafe partners with training, education, and operational support
- Investing in sustainable practices, from regenerative farming to our B Corp certification
- Leading by example in our own cafes by adjusting prices to help set the standard for what sustainability really looks like.
We won’t cut corners. We’re focused on keeping quality high, relationships strong, and the coffee industry moving forward. As are our cafe partners.
What this means for your daily coffee
You’ll start to see small increases on your usual order. Maybe it’s a few cents on your long black, or a bump in the price of a bag of beans. It’s not about profit margins, it’s about sustainability.
Recognising the true cost of coffee helps create a future where everyone in the supply chain is respected and supported, from the people growing it to the people serving it. The price you pay today helps protect the coffee you love tomorrow.
So if your cup costs a little more, know that it’s going towards something bigger. It’s helping ensure great coffee stays possible, for everyone involved.
