The Brewing Storm
How Climate Change and Global Demand Are Impacting Your Daily Coffee
For many of us, the day doesn't truly begin until we've had that first sip of coffee. It's a ritual, a comfort, and, for some, an absolute necessity. But have you noticed that your beloved cup of joe is costing more lately? Let's delve into the factors behind the rising coffee prices and what it means for you as a consumer.
Climate Change: A Bitter Reality for Coffee Production
Coffee cultivation is highly sensitive to climatic conditions. Recent years have seen extreme weather events wreak havoc on coffee-producing regions. In Brazil, the world's largest coffee producer, severe droughts followed by unexpected frosts have significantly reduced crop yields. Similarly, Vietnam, a major exporter of robusta beans, has faced adverse weather conditions that have hampered production.
Surging Global Demand: The Asian Awakening
While supply faces challenges, global demand for coffee continues to soar, particularly in Asia. Countries like China and India are experiencing a coffee culture boom, leading to increased consumption. This surge in demand, coupled with supply constraints, creates a classic economic scenario where prices are driven upward .
The Economic Ripple Effect: From Beans to Baristas
The spike in raw coffee bean prices doesn't just affect producers; it has a cascading effect throughout the supply chain. Coffee roasters have been absorbing these increased costs, but this approach isn't sustainable in the long term. Consequently, cafes, restaurants, and coffee shops are beginning to feel the pinch as these costs are passed down .
What Does This Mean for Your Wallet?
Historically, Australians have enjoyed relatively affordable coffee compared to many other countries. However, industry experts predict that the average price of a cup of coffee could rise from the current $4.50 to between $6 and $7. Some forecasts even suggest that prices could reach up to $12 per cup by the end of 2025 .
Navigating the Future: Quality vs. Cost
As prices rise, consumers may face decisions about their coffee habits. While some might opt for cheaper alternatives, others may choose to invest more in specialty brews, valuing quality over cost. For cafes and coffee shops, this underscores the importance of sourcing high-quality beans and transparently communicating the reasons behind price adjustments to customers.
A Changing Landscape, A Steadfast Commitment
The confluence of climate change and rising global demand is reshaping the coffee industry. While this presents challenges, it also offers an opportunity for consumers to become more informed about the journey of their coffee from bean to cup.
At Dad & The Frog, we’re not just watching these changes unfold—we’re actively responding. Our commitment to serving top-tier specialty coffee hasn’t wavered. Even as prices climb, we’re continuing to source beans from ethical, sustainable growers and roast them to perfection, so every cup you enjoy with us still delivers that rich, comforting experience you’ve come to expect.
We're also doubling down on consistency, service, and community—because you’re not just buying a coffee, you’re walking into your second home in Surry Hills. Whether you’re a weekday regular or a weekend wanderer, we promise to keep refining our processes, training our team, and delivering quality without compromise.
Yes, the price of coffee is rising—but your experience doesn’t have to suffer. If anything, we see it as our cue to do better, serve better, and be even more intentional with every cup we pour.
So next time you take that first sip at Dad & The Frog, know this: we’re in your corner, and we’re brewing with purpose.