It is expected that the price of coffee in bars will increase due to the price increase in foreign markets

2024-12-16 07:10:00, Ekonomi CNA

It is expected that the price of coffee in bars will increase due to the price

The selling price of coffee on foreign exchanges is reaching record levels. Due to the acceleration of price growth in foreign markets, after April 2024, with the increase in the price of coffee in bars, Albanian consumers are also expected to face next year.

The President of the Association of Bars and Restaurants, Enri Jahja, says that for several months the selling prices of coffee, especially robusta (which accounts for most of the world's production and use in our country) have increased, which is expected to be reflected in local bars.

Jahja predicts that the price increase will start from February next year, after new supplies.

The price of coffee on foreign exchanges has been increasing for months. This price increase is expected to be reflected in the price of coffee in bars and restaurants, especially robusta coffee, which is sold at a price of 60 or 70 Lek.

Its selling price in bars is cheaper than arabica coffee which is bought more expensively abroad. Consequently, from February of next year, the price increase in foreign markets is expected to be reflected in Albanian bars, especially robusta coffee. Even the increase in the price of Arabica coffee is expected to be inevitable, reflecting its changes in foreign markets", he asserts.

Also, an increase in coffee prices in values ??of 10 to 20 lek, were reflected since years according to the Association of Bars and Restaurants, influenced by the movements of import prices and the cost increase for the increase of the employee's salary fund.

According to data from the Ministry of Finance, 6,994 tons of coffee were imported for the period January-October. Compared to the same period last year, imports fell by 5.3%.

There are a total of 15.5 thousand bars in the country, from 22 thousand in 2015, being the second most preferred activity in the country, after the minority business. According to INSTAT business register data, 854 food and beverage services activities were closed in 2021, with a decrease of 5.2%.

How has the price of coffee changed on the stock market?

On the foreign exchanges on December 13, 1 ton of robusta coffee was sold at the price of 5,194 USD. The increase in the price of robusta coffee started at the end of April 2024, where the price reached 3,408 USD per ton against the price of 2,300 USD per ton in April 2023.

For 2024, it turns out that the price for robusta coffee peaked on November 29 at USD 5,409 per ton or 1.3 times higher than November 2023.

An increase was also noted for the sale of Arabica coffee in the markets. In the stock market, the current selling level for Arabica coffee is USD 6,724 per ton from USD 4,347 per ton in November 2023. The price increase is 54.6%. Compared to the previous month, the selling price of coffee has increased by 10.1%.

The cause of the price increase is the problems with coffee production, especially in Brazil, where the drought of August-September and the heavy rains of October damaged the crops with the coffee plant. This is expected to reduce production in 2025./ Monitor magazine