(TheLastPatriotNews.com) – In a new development leaving hard-working Americans to foot the bill, years of mismanagement by global elites have pushed coffee prices to dizzying heights not seen since 1977.
See a graph showing coffee prices since 1977 in the tweet below!
A combination of bureaucratic government overreach and climate woes has crippled Brazil’s coffee supply, the world’s largest producer.
American consumers are facing rising costs at their favorite coffee shops.
Arabica coffee prices skyrocketed recently, reaching levels unseen since 1977, leading to potential price increases for consumers.
On the New York market, a pound of Arabica beans hit a staggering $3.20, a 30-year high, while the all-time high remains $3.38 from 1977.
The rally is a result of global supply concerns.
Brazil faces severe drought, jeopardizing future crop production and threatening global coffee supply. “Farmers are choosing to sell only what is necessary, thus limiting the coffee supply in the local market,” according to Guilherme Morya, senior analyst at Rabobank, cited by The Daily Sabah.
Vietnam, another major producer, is also struggling with dry conditions affecting their Robusta bean output.
Consequences of these production issues extend beyond Brazil and Vietnam, with geopolitical issues adding strain.
Shipping disruptions in the Red Sea, potential US tariffs, and future EU deforestation regulations all contribute to escalating costs.
Coffee futures reached their highest in over four decades, highlighting the magnitude of this crisis.
Arabica beans used in specialty brews have surged as much as 3.9%, escalating the burden on consumers.
As the stockpiles dwindle and production falters, Americans are left to bear these heightened expenses.
“Coffee futures extended their rampant rally to the highest in more than four decades in New York on global supply worries, threatening to further raise costs for consumers,” writes Bloomberg in a report.
Despite rains aiding coffee flowering in Brazil, the future remains uncertain.
There are significant concerns about flowers not attaching, risking production loss next season.
The already high production costs are further exacerbated by geopolitical uncertainties, threatening even more significant shortages.
Global consumers are bracing for more than just a caffeine hit as rising coffee prices hit their wallets.
NY Coffee prices are headed toward the highest price in history
For fifty years Coffee had remained range bound.
Will resistance hold the rally or is price headed toward 600 $KC_F pic.twitter.com/dzKdgVb9ZF— Peter Brandt (@PeterLBrandt) November 27, 2024
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