Will coffee prices go up in 2026?
Robusta coffee prices** on ICE Futures Europe rose slightly, with the January 2026 contract at $4132/ton, up $23/ton, and September 2026 at $3792/ton, up $16/ton. Arabica on ICE Futures US climbed, March 2026 at 355. December 2026 at 323. The U. S. USD 22. USD 23. USD 32. CAGR of 3.coffee futures prices then climbed from roughly $2 a pound in may 2024 to a peak of $4 by april 2025, one of the steepest increases the market has seen in decades, according to intercontinental exchange data.Coffee prices remain high despite an earlier dip. As production recovers—especially in Colombia, the world’s second-largest Arabica producer—Arabica prices are projected to fall by 13 percent in 2026 and 5 percent in 2027, following a projected 50 percent increase in 2025.Coffee is expected to trade at 365. USd/Lbs by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 401.
What’s the future of coffee?
Due to the effects of climate change, the land suitable for coffee farming could shrink by 50% by 2050, according to a 2014 study. The analysis found that highly productive areas in the two largest coffee-producing countries in the world, Brazil and Vietnam, may become unsuitable for coffee in the future. By 2050, experts predict that climate change could kill off the 2 main coffee varieties we drink daily while also jeopardising 60 per cent of the planet’s 124 wild coffee plants. The news will come as a shock to Australia’s 11 million daily coffee drinkers ahead of World Coffee Day on 1 October.Due to the progression of global warming and the fact that consumption is outpacing production, it is said that the area where Arabica beans are grown will be halved by 2050. Meanwhile, global coffee demand is increasing year by year, and the imbalance between production and consumption is becoming more serious.However, the future does not look as bright for all wild coffee. A paper published in Science Advances found that of the 124 wild coffee species worldwide, 60% of them are in danger of dying out due to climate change, including the endangered wild relative of arabica.Coffee is in trouble. Even before the United States imposed tariffs of 50 percent on Brazil and 20 percent on Vietnam—which together produce more than half of the world’s coffee beans—other challenges, including climate-change-related fires, flooding, and droughts, had already forced up coffee prices globally.Caffeine levels aren’t the only things spiking for coffee drinkers lately. Prices for coffee have soared, fueled largely by volatile weather that’s reduced crop harvests among major growers like Brazil and Vietnam, according to analysts.
Why has coffee gone up again?
The Main Driver: US and Brazil Tariffs Brazil grows around 30% of the world’s coffee, and the United States is one of its biggest buyers. Recently, the US slapped heavy tariffs on a wide range of Brazilian imports, and green coffee got caught in the middle. Coffee Market Summary. The global coffee market size was estimated at USD 269. USD 369. CAGR of 5.Brazil. Situated in South America, Brazil is the top producer of coffee. They produce 2,68 million metric tons of coffee on average every year.