Recently, global coffee prices have continued to rise rapidly, reaching the highest level in more than a decade, triggering concerns among Chilean consumers. Some predictions say that in the coming period, Chilean coffee prices may rise by 25%.

Chile's ADN radio website reported on the 24th, Chile relies on coffee imports, consumers will directly feel the impact of rising coffee prices. Chile Adolfo Ibáñez University (UAI) finance professor Ricardo Ubeda (Ricardo úbeda) predicted that additional logistics costs and a strong dollar or will lead to a 25% increase in Chilean coffee prices.

Higher-quality products such as coffee beans or Gourmet Coffee, which do not contain blends and directly reflect production and transport costs, will be the most affected. This means that consumers of brands such as Starbucks or Juan Valdez may face more significant price increases.

From the Chilean Consumer Price Index (CPI), in the first half of 2023, the price of ‘coffee and substitutes’ increased by 35.5 per cent year-on-year, slowed to 11.6 per cent at the end of 2023, and then rose by 3.6 per cent in October this year.

Intercontinental Exchange (ICE) arabica coffee (Coffea arabica) futures prices recently closed at $2.96 per pound, the highest since May 2011. According to the Chilean ‘Diario Financiero’ (Diario Financiero) compiled data, this year, as of November, the product's total increase has been more than 50 per cent. It is expected that in the coming months, the price of the product may exceed the all-time high of US$3.37 per pound.

The rise in coffee prices is said to be mainly due to the impact of climate change on major coffee-producing countries such as Brazil, Vietnam and Indonesia, creating uncertainty in global supply. Ubeda added that the coffee market is cyclical, meaning that any supply constraints could push prices up significantly.