Transparency on Coffee Price Adjustments
Dear Valued Customers,
We understand you may have noticed a recent increase in our coffee prices, and we want to provide transparency on the reasons behind this adjustment, as well as the likelihood of future changes. Our commitment remains to sourcing the highest quality coffee from around the world at competitive prices, but the past 18 months have presented unprecedented challenges in the global coffee market.
​
Market Conditions
The cost of green coffee has become highly volatile due to several factors, including unpredictable weather patterns, supply chain disruptions, and shifting global market demands. As a commodity, coffee prices are influenced by global trading and farm-level costs. Historically, annual market fluctuations were modest, averaging around $0.25. However, over the past year, severe drought conditions and economic pressures have disrupted this stability.
Eighteen months ago, the market price for green coffee commodities was approximately $1.70 per pound. Today, it has surged past $4 per pound, with a $0.20 increase in just the past 48 hours. These extreme fluctuations make it difficult to predict when or where prices will stabilize. This commodity price serves as the baseline cost, which is added to the amount charged by individual farms. While farm-specific pricing may vary, all suppliers are subject to the same increases dictated by the global commodity exchange.
We understand that these changes may be concerning, and we want to assure you that we are closely monitoring the situation while remaining committed to delivering the highest quality coffee at the most competitive prices possible.
​
Pricing Adjustments
Our price changes are a direct result of increased procurement costs, compounded by weight loss during the roasting process. For every $1 spent on green coffee, we must charge approximately $1.25 to account for this loss. While we are working diligently to minimize further increases, maintaining sustainable margins is essential to ensuring product availability and the long-term viability of our business. Despite these industry-wide challenges, we continue to offer competitive pricing, remaining below many local competitors.
​
Our Commitment to You
Your support is invaluable to us, and we appreciate your understanding as we navigate these unprecedented market conditions. Please do not hesitate to reach out with any questions or concerns. We remain dedicated to delivering the exceptional quality and service you have come to expect from us.
​
Thank you for your continued trust and partnership.
Sincerely,
Darren & Andrea Jones
White Blossom Coffee Co.
(posted on 2/6/2025)