Local coffee shops explain why prices are rising

BIRMINGHAM, Ala. (WBRC) - You may notice that you are paying more for your morning cup of coffee.

The owner of Red Bike Coffee, Danny Winter, said that since January 2024, the cost of coffee has risen 150%.

Winter said there are a variety of factors contributing to the rise in prices.

First, he said 85% of coffee comes from Brazil. The nation has been dealing with less rain and higher temperatures, which have caused a production strain.

In addition to the environmental struggles, a 50% tariff has been imposed on Brazil, and more people are drinking coffee.

“There are very limited places in the United States that you can grow coffee: California, Puerto Rico, and Hawaii - that may be it,” said Winter.

The owner of O’Henry’s Coffee, Blake Stevens, said they have seen the market fluctuate before.

“But there are also other factors - the bag prices, the labor, the facilities, the transportation cost,” said Stevens.

Some local roasters and brand names have raised the price of their coffee beans.

Mike McElwain is the owner of Red Cat Coffee. He said with the prices fluctuating, it’s a constant game of how much the consumer will pay versus the cost he spends on production.

“You can only go so far with retail prices. I don’t want to be the leader, but I don’t want to fall behind,” said McElwain.

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