By Priyanka Deshpande
CNBC-TV18.com
Published May 6, 2024
The average price of Robusta variety of coffee is 193.65 cents a pound, the highest in 45 years.
Globally, a pound of coffee now costs 216.89 cents, that’s the highest in 13 years.
Coffee Board of India showed May futures price of coffee had hit nearly ₹370 a kilogram last week, compared to about ₹200 in mid-April.
The rising cost of coffee in global markets will eventually pinch the connoisseurs’ pockets too.
The biggest reason for the spike in coffee prices is the weather.
The coffee harvest in Vietnam, the world's largest coffee producer, has been poor for two seasons in a row.
The drought in Vietnam may bring the country’s coffee crop this year down by 20%, to the smallest output in four years, the government said on March 26.
Brazil, the second biggest producer of coffee, is also reeling under a dry spell that may affect the output.
Brazil's Minas Gerais, which reportedly accounts for about 30% of Brazil's Arabica crop, has received no rainfall last week.