March 22, 2022

The cost of coffee

O custo do café
We all know that the price of products is defined by the relationship between supply and demand, however, there are external factors that can also influence this price.
In the case of coffee, a natural food product, these external factors together with increases in demand lead to price fluctuations very similar to oil.
We are currently in an upward cycle in the price of coffee, partly as a result of climate change leading to extreme weather events in coffee-producing countries.
From the cold weather in Brazil, temperatures in Colombian production regions and the global logistics crisis, the price of coffee is currently over 150% of its value in 2019 and 2020, reaching historic highs. Like all price cycles, there will come a time when this value will stabilize (at least we hope so). But we know one thing: previous prices will hardly be reached again and we have to learn to “live” with this new reality.

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