Posted on 05/26/2021 5:35:02 AM PDT by blam
Brazil’s federal government is projecting total coffee output in the world’s top-producing country will slump for the 2021 growing season, according to Reuters.
Companhia Nacional de Abastecimento (Conab), the government’s food supply and statistics agency, said total coffee output would plunge 22.6% in 2021, to an expected 48.8 million 60-kilo bag.
Conab forecasts an output of 33.36 million bags of Arabica this season and 15.44 million of Robusta.
There are two main species of coffee: Arabica and Robusta. Starbucks purchases only Arabica beans cultivated at high altitudes. About 70% of the world’s Arabica beans are grown in Brazil. Starbucks, and many other coffee chains, could soon feel the burn as wholesale price increases will likely be passed onto consumers.
We’ve already mentioned coffee shortages are brewing as global supplies are shifting into a deficit as drought in Brazil slashes output. This has resulted in surging wholesale prices and US supplies slumping to a six-year low. Savor today’s cheap cup of joe because retail prices will rise.
More on the drought and how crop and food prices are skyrocketing to multi-year highs, and the culprit is likely due to La Nina, a weather pattern characterized by the cooling of the equatorial Pacific that triggers atmospheric shifts and causes droughts in some regions of the world and wetter conditions in others.
Brazil has been devastated by drought during its traditional rainy season.
ICE Coffee futures for Arabica coffee have soared to multi-year highs on output declines in South America.
Meanwhile, La Nina has disrupted weather patterns worldwide, leading to terrible droughts in South and North America. Consequently, food prices have soared to the highest levels in a decade.
As much as the Federal Reserve expects “transitory” inflation – La Nina altering weather patterns could exacerbate food inflation and create years of elevated crop and food prices.
They tried to grow coffee here in the USA back in the 1800’s.
Didn’t work out......................
So instead of not paying $5.00 at Starbucks, I won’t be paying $8.00.
I guess I’ll manage.
And then proceeds to roast them to char, giving their “coffee” a distinct burnt flavor. They could use any beans from anywhere and still achieve the same end result.
hey buddy, can you spare a $20 for a cup of joe?
Dunno why the article singled out Starbucks. All coffee will likely go up in price. I don’t go to Starbucks but I do drink coffee.
“And then proceeds to roast them to char, giving their “coffee” a distinct burnt flavor. They could use any beans from anywhere and still achieve the same end result. ”
Excellent observation. I attended a conference years ago where the coffee served was the basic Starbucks coffee, without all the flavorings and additives. I could barely choke the stuff down.
I paid $1.25 at the gas station this morning. It might spike to $1.35
I’m good.
You beat me to it. I cannot fathom why people continue to patronize this place.
It’s not called Charbucks for nothing. Burnt swill. I’d patronize a drive-up coffee stand before I’d walk into a Charbucks. Plus, I have my own 3spresso machine, a Chemex and a Bialetti stove top coffee maker. I am thus ready for the apocalypse.
Women’s coffee- $8.50
Men’s coffee - $1.25
...hey, why am I so fat..
I’m a little surprised that Starbucks charges a premium for Brazilian. Heck, even Folgers has a 100% Colombian line. Most decent coffee houses have non-Brazilian sources for their premium brews: Colombia, Sumatra, Papua New Guinea, Tanzania, Kenya etc.
Based on the coffee futures chart, these prices are not that much different than there were four years ago. In fact they were higher in 2014. It appears they were below average in 2019. Now they are going back to normal.
It is funny there are two fat women in my office that order Starbucks coffee several times a week from the place down the street from my office.
Personally, the Kurig/coffee service that my company provides for free is fine with me. One cup a day.
FYI, my wife is in great shape and drinks Dunkin’s every chance she gets.
does portillos have coffee?
That’s because Charbucks uses more milk than coffee. They need the bitterness to make the hot ice cream taste like it has coffee in it.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.