Jolt of sticker shock with the price of coffee up more than 20%
The National Coffee Association says 99% of all coffee consumed in the U.S. is imported.
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Before you take the first sip of joe, you might have gotten a jolt of sticker shock.
Retail coffee prices are up more than 20% since August last year according to the Bureau of Labor Statistics.
The National Coffee Association says 99% of all coffee consumed in the U.S. is imported.
Many coffee growing countries are slammed with tariffs by the Trump administration, like the top U.S. supplier, Brazil, facing an import tax of 50%.
Shipping costs are also rising and bad weather and droughts in places like Brazil and Vietnam are impacting harvests and production.
Big brands and small shops trying to absorb costs when supply goes down, prices go up.
"We may have to think about switching, you know, from Brazil to a Honduran coffee or a Colombian coffee or a Mexican coffee," said Robert Peck, CEO and co-founder of Commonwealth Joe Coffee Roasters. "At the end of the day, if you're not running a profitable business, you're not gonna be in business for very long."
