[SAJ]

The price of coffee at retail tends to lag the wholesale price by about 60 days. Last year's crop, pretty much worldwide, was simply horrible due to **both** having had rain at the wrong time and a lack of rain at the wrong time. Plus, coffee consumption in China has gone more or less straight up for the past 3 years (this seems to be changing itself just now). Hence the huge price increases.

. Now for the good news. Wholesale arabica 'C' coffee, the type favoured in the US, peaked in price on 3 May at $3.11/lb and has now dropped back to within 2 cents/lb. of where it started the year. This year's crop is excellent, and the price would seem to have much further to fall, esp. if the mountains in Colombia, Minas Gerais, Espirito Santo and the coffee areas of Sao Paulo in Brazil get a normal rainfall in Oct-Dec. Better than even money that coffee prices, wholesale, return to the 1.50-1.70/lb range. T, his translates very roughly to about $2.97/lb at retail, or $5.20 for a 28-oz. can by Christmastime.

So, cheer for some nice rain in Sep-Oct-Nov in Colombia and Central Brazil, and cheer up!

[bgill]

I’d give up coffee for rain in Texas.

[Iron Munro]

Now for the good news. Wholesale arabica 'C' coffee, the type favoured in the US, peaked in price on 3 May at $3.11/lb and has now dropped back to within 2 cents/lb. of where it started the year.

That is good news. Thanks for the info.

But once a product goes through a price spike and a container downsize the price per ounce or pound never seems to fall back to the old levels. Still, any price drop is welcome.

We constantly see spin articles posted explaining that there is no inflation and that prices are actually going down. But Walmart and other grocers haven't got the word!