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Coffee prices Canada File: Coffee beans are held in Toronto. THE CANADIAN PRESS\/Chris Young <\/p>\nCTV News\u2019 Allison Bamford explains why coffee drinkers could soon see a relief in prices at grocery stores in Canada, but not at cafes. <\/p>\n
Relief may be brewing for Canada\u2019s coffee industry grappling with the bitter effects of a global price surge.<\/p>\n
Coffee prices have nearly doubled since 2020, largely driven by climate change and bad weather that has hurt crops in major coffee-producing countries.<\/p>\n
Recent data from Statistics Canada shows the average retail price of coffee is up 30 per cent year over year.<\/p>\n
Coffee prices Canada File: Coffee beans are held in Toronto. THE CANADIAN PRESS\/Chris Young <\/p>\n
But some experts suggest prices could improve later this year. Brazil, the world\u2019s largest coffee producer, is forecasting a record crop this upcoming season.<\/p>\n
Mike von Massow, food economist at the University of Guelph, says global coffee production is estimated to increase by four per cent.<\/p>\n
\u201cOver the next few months, we should start seeing some price relief in the coffee market,\u201d he said.<\/p>\n
Consumers will notice the biggest relief at the grocery store, according to von Massow, where sticker shock was most prominent. <\/p>\n
\u201cWe\u2019re probably not going to recover the whole 30 per cent, but I think we should see substantial decreases in the price of coffee at the grocery store,\u201d he said.<\/p>\n
Menu prices at coffee shops aren\u2019t likely to change much, if at all, he said, since many stores opted to absorb the increased costs.<\/p>\n
\u201cWhile we may see some price adjustments in those environments, what this will largely do is allow (coffee shops) to recover some of their margins and perhaps improve their viability,\u201d von Massow said.<\/p>\n
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Brazil Coffee File: Worker Hellen Vitoria harvests coffee beans on a plantation in Porciuncula, Rio de Janeiro state, Brazil, Thursday, July 17, 2025. (AP Photo\/Bruna Prado) <\/p>\n
Caf\u00e9 Del Rey, a coffee shop in downtown Saskatoon, has tried to strike the perfect blend when it comes to managing the increasing costs of its main ingredient.<\/p>\n
\u201cWe have tried to absorb some of those costs ourselves versus passing them onto the consumer,\u201d said owner Devereaux Gatin.<\/p>\n
It usually results in a 70\/30 split, Gatin said, which means consumers have only seen a marginal increase in menu prices.<\/p>\n
But in the last three years that the caf\u00e9 has been in operation, Gatin says he\u2019s seen significant cost increases in many of the essential ingredients, including milk, flour, sugar and cups. Often, the increases are associated with the packaging that the products come in, he said.<\/p>\n
The effects of inflation are noticeably impacting consumer behaviour, according to Gatin. <\/p>\n
\u201cOur customers that would maybe come in four to five days a week have been a little bit more conscious with their efforts,\u201d he said.<\/p>\n
It can be a constant balancing act for the business as Gatin tries to manage operating costs without compromising quality. <\/p>\n
But fluctuating coffee prices are just one piece of the puzzle. <\/p>\n
\u201cThe forecast is good for us, but the challenges are always on their way,\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":"CTV News\u2019 Allison Bamford explains why coffee drinkers could soon see a relief in prices at grocery stores…\n","protected":false},"author":2,"featured_media":508385,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[712,45,49,48,46],"class_list":["post-508384","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-apple-news","tag-business","tag-ca","tag-canada","tag-economy"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/508384","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=508384"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/508384\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/508385"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=508384"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=508384"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=508384"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}