{"id":450188,"date":"2026-02-03T01:21:13","date_gmt":"2026-02-03T01:21:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/450188\/"},"modified":"2026-02-03T01:21:13","modified_gmt":"2026-02-03T01:21:13","slug":"coffee-price-inflation-is-up-31-since-2024-but-good-news-may-be-coming-national","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/450188\/","title":{"rendered":"Coffee price inflation is up 31% since 2024 \u2014 but \u2018good news\u2019 may be coming – National"},"content":{"rendered":"

Canadian coffee<\/a> drinkers have been paying significantly more over the past year compared to previous years, as recent data shows skyrocketing food inflation<\/a> \u2014 particularly for that cup of joe.<\/p>\n

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Coffee prices<\/a> increased by an average of 31 per cent in December 2025 compared to a year prior, according to Statistics Canada data last week. That compares to a five per cent increase for all food products purchased in stores, and a 2.4 per cent increase for all goods and services in the same period.<\/p>\n

At the retail level, the price of roasted or ground coffee in Canada was an average of $7.12 for 340 grams in December 2024, while in December 2025 it was $9.35.<\/p>\n

Still, there is no indication Canadians are drinking significantly less coffee as a result of these price increases.<\/p>\n

\u201cWe just like our morning kick, and perhaps it\u2019s darker winters and shorter days or the ubiquitousness of Tim Hortons \u2014 we have become a significant coffee culture,\u201d says food economist Mike von Massow at the University of Guelph.<\/p>\n

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\u201cCanada is, and has been for some time, sort of a coffee-addicted nation.\u201d<\/p>\n

\t\t\t\tWhy coffee is so expensive right now\n\t\t\t\t\t\t<\/p>\n

A wide range of factors can contribute to the prices consumers pay in stores and at fast-food retailers, restaurants, bars and coffee shops.<\/p>\n

Coffee beans are particularly sensitive to changes in weather, which is becoming more of an issue as climate change creates more frequent extreme and unpredictable conditions like droughts as the earth\u2019s temperature increases.<\/p>\n

\u201cCoffee is really the canary in the coal mine for climate change. While many crops are much more affected by the higher degree of variability that we\u2019re getting with climate change, the small temperature increases are having a significant impact on coffee,\u201d says von Massow.<\/p>\n

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\u201cYields are going down, disease problems are happening, and so we\u2019re going to have to adjust where we\u2019re producing coffee. So coffee production is going down, demand is not changing. And so basic \u2018economics 101,\u2019 supply goes down \u2014 price goes up.\u201c<\/p>\n

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One way climate change can lead to higher coffee prices is through extended periods of drought, which means there may be lower crop yields. This was the case in some regions over the past year, which is one of the main reasons why coffee prices are elevated right now and may stay high for several more months.<\/p>\n

More ideal conditions are being reported in places like Brazil, both now and in the coming months, which means when it comes time to harvest again, there may be higher crop yields, which could help stabilize prices.<\/p>\n

\u201cThe good news is that there\u2019s many places in the world that produce coffee. So as a result, if the price gets high, more production will come forward. And indeed, what we\u2019re seeing right now is a function of weather \u2014 maybe climate change,\u201d says Barry Prentice, director of the Transport Institute at the University of Manitoba.<\/p>\n

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\u201cThe Brazilian market has been hit hard by a drought. They\u2019re now getting rains. And so the coffee production looks like it\u2019s coming back. So this may be a two-year anomaly, and then we\u2019ll get back to our more normal pricing.\u201d<\/p>\n

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Tariffs also play a role in how coffee prices change.<\/p>\n

After U.S. President Donald Trump started a trade war by imposing tariffs<\/a> on virtually all countries, some consumers saw prices for goods and services increase, including for coffee.<\/p>\n

In November 2025, Trump removed some tariffs, including on coffee products<\/a> from nations that produce the beans.<\/p>\n

Canada\u2019s reciprocal tariffs on U.S. products were also removed last year and the current terms of the Canada-United States-Mexico Agreement (CUSMA) mean most imported products, including coffee, are free from U.S. tariffs.<\/p>\n

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Although those tariffs have mostly been removed, some of the spike in coffee prices could be because those coffee products which were hit by tariffs may still be on the shelves of stores and warehouses, and even in the grinders and brewing machines of local coffee shops and restaurants.<\/p>\n

\u201cIn 2025, we saw an additional factor, and that was when Canada put retaliatory tariffs on the U.S., which included coffee, and you might say, \u2018Well, coffee isn\u2019t produced in the U.S., why is that an issue?\u2019 Some of our smaller roasters are buying coffee from brokers in the U.S.,\u201d says von Massow.<\/p>\n

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\u201cWe\u2019re burning through some of that inventory of product that came in under the tariffs and to those brokers, and now we\u2019re hoping to see some relief from the tariff portion of those price increases.\u201d<\/p>\n

The question for now is whether coffee producers will be able to adapt, including to the uncertain environment and climate change that could cause more challenges in future years.<\/p>\n

\u201cI expect that we will see some resilience-building activities around coffee and climate change. If it\u2019s susceptible to small changes in temperature, we might see coffee production move up the mountain a little bit or move to areas that were previously too cool for coffee but now are reaching the right temperature. But that takes time,\u201d says von Massow.<\/p>\n

It\u2019s not just coffee, either. Climate change is forcing almost every arm of the food supply chain to adapt in order to continue to meet the demand of consumers.<\/p>\n

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\u201cWe\u2019re starting to see the impacts of climate change on the food system, and coffee is one example. It\u2019s a very sensitive plant in terms of its conditions that it doesn\u2019t just grow everywhere. You have to the right conditions,\u201d says Prentice.<\/p>\n

\n\t\t&copy 2026 Global News, a division of Corus Entertainment Inc.\t<\/p>\n","protected":false},"excerpt":{"rendered":"Canadian coffee drinkers have been paying significantly more over the past year compared to previous years, as recent…\n","protected":false},"author":2,"featured_media":450189,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[45,49,48,6093,14497,1849,8334,46,135],"class_list":["post-450188","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-ca","tag-canada","tag-climate-change","tag-coffee","tag-consumer","tag-donald-trump-tariffs","tag-economy","tag-inflation"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/450188","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=450188"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/450188\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/450189"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=450188"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=450188"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=450188"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}