Americans' Coffe Guzzling Is Pushing Bean Prices Higher
Laura Lorenzetti wrote an article about prices raising for coffee in America on July 1,2016. Because more people are wanting coffee, the demand is now way higher making the prices skyrocket. The world demand for coffee is on its way to being a new world record and America is in the lead to helping make that happen. Global coffee consumption is expected to grow 1.2% over the next year starting with October, and American consumption is expected to be up 1.5% this year alone, according to Bloomberg. Coffe has also reached peak popularity in China, Japan, and India, which are expected to demand more java than ever locally. The price for arabica coffe features was up 20% in June, making the biggest monthly gain since Frebruary 2014. Arabica coffee futures are estimated to reach $1.50 by the second half of 2017. Prices for robusta coffee beans that are used in instant coffee, are also up, gaining 4.2% last month. Because cropping season for the beans that are mostly used there is a huge possibility that coffee could now cost an arm and leg. Farmers might have to plant even more so that the coffe never runs out or they would have to come up with another product that is more fulfilling for buyers.