Coffee Prices Rise Despite Falling Inflation

Whether it’s from the bakery, a trendy café, the office kitchen or brewed at home – coffee is a daily companion for many.

All the more noticeable, then, when that familiar ritual suddenly becomes more expensive. Despite a general decline in inflation, coffee prices continue to climb.

A price trend that outpaces inflation

In April 2024, the price of coffee beans in Germany was 12.2 % higher than in the same month the year before, according to the Federal Statistical Office. By comparison, food prices overall rose by just 2.8 %, and the general inflation rate stood at 2.1 %. Coffee clearly stands out in this context.

Why is coffee getting more expensive?

One of the main reasons lies in global supply chains. Import prices for raw coffee beans have surged, mainly due to weather-related harvest failures in key growing countries such as Brazil, Vietnam and Colombia. Droughts, heavy rainfall, and even wildfires have led to smaller yields – with noticeable effects on the global market. Compared to the previous year, import prices for unroasted coffee beans in April were up by around 53 %. Decaffeinated and roasted coffee also saw significant increases, with import prices rising by 35.8 %.
Higher transportation and energy costs are also driving prices. And even though general inflation is easing, coffee prices are unlikely to follow suit anytime soon. The global market is sensitive to climate fluctuations – and geopolitical uncertainties continue to have an impact.

Expensive, but still a favorite

Despite rising costs, coffee remains one of Germany’s most popular beverages. In 2023, the average person consumed around 169 liters. Last year’s figure dropped slightly to about 163 liters per capita, but consumption levels remain close to the highs seen during the pandemic. In fact, coffee imports actually increased again in 2024 compared to the previous year.

Between inflation and coffee breaks

Even with higher prices, coffee still holds its place in everyday routines. Whether as a morning ritual or an afternoon break – it remains an essential part of daily life.

Photo by Fatih Mehmet YILDIZ via Unsplash