Coffee consumption rises and so do coffee bean prices 27 03 2009 - 05:27:00 PM

Did you know that coffee is one of the most traded products in the world after oil? In the UK alone we drink 70 million cups of coffee per day – that’s a lot of beans. In fact using a standard FLAVIA coffee drink, such as our Smooth Roast as a measure, that would be well over 4 billion coffee beans* per day.

Defying the rest of the financial market, coffee prices continue to rise, with Tanzanian beans climbing as much as 12% in one week for a top AA grade Arabica (Bloomberg). The independence of the coffee market from the rest of the commodities market, or indeed the equity market, is due to two factors.
Firstly, the price is dependant not only on weather but on the infrastructure and stability of the country of origin and secondly, it is dependant on demand.

Whilst these two factors interact to move prices around, it seems that the increasing current demand is pushing prices to an extreme high.

And far from cutting down on our global coffee intake, we are starting to drink more. With an increasing variety of coffee drinks on the market, catering to a wider range of tastes, coffee has become fashionable as well as functional. In addition, coffee consumption is no longer limited to wealthier nations. The growing consumerism in the developing world is pushing up demand for meat-based diets and this is likely to spill over into coffee consumption (Financial Times 20th March).

So, whilst coffee defies the rest of the market place, with prices soaring instead of falling, we will keep on buying it and bringing it to you, using only the freshest and finest ingredients available.

To find out more about coffee and its origins take a look at Source. Seal. Serve.

*On average a FLAVIA coffee drink contains 58 carefully roasted and ground coffee beans, all sealed in to preserve freshness and flavour.

Comments

[Fair Trade Coffee]

Yes, the power of coffee is a wonderful and mysterious thing. Thanks for the good info.