Every Friday, Perfect Daily Grind rounds up the top coffee industry news from the week.
Editor’s note
On 2 April, in a shocking yet predicted move, US President Trump announced sweeping tariffs on more than 180 countries. Effective 5 April, there is a universal 10% tariff on any imports coming into the US. For some countries, including major coffee-producing nations like Vietnam, Indonesia, and India, the “reciprocal” tariffs are higher.
Despite Trump’s claims that other countries pay for price hikes, it will be US importers that foot the bill, which will inevitably trickle down to consumers. Many products, including coffee, will become more expensive in the US in the coming months.
On the other side of the Atlantic, major European roasters, including Lavazza, illy, Nestlé, and Douwe Egberts, are in talks with grocery retailers about passing on rising green coffee costs to consumers. According to a recent Reuters article, retail prices for coffee could increase by up to 20% in the next few weeks.
Some supermarket chains, including Albert Heijn in the Netherlands, promise to absorb some of the additional costs. The company briefly ran out of JDE Peet’s products in March before restocking them at higher prices.
In Brazil, where the real has weakened against the US dollar, coffee prices are climbing even faster. Shortly after two quick consecutive hikes, major roaster 3 Coracoes raised its prices by over 14% in early March. According to ABIC, Brazilian supermarket coffee prices have already surged 40% this year, with more increases expected in the coming weeks.
The impact of high, sustained coffee prices is a global phenomenon, compounded by geopolitical instability and a trade war that is now well underway. It’s going to be a challenging, tough situation for many producers, exporters, importers, and roasters.
There could be, however, a silver lining. Many in the industry are pointing out that, due to the high C price, the gap between specialty and commercial-grade coffee has never been smaller. As supermarket coffee prices continue to rise, especially for lower-quality instant and roast & ground products, it could present a valuable opportunity for specialty coffee roasters to capture the attention of a new audience.
Top stories of the week
- Mon, 31 Mar – MTPak Coffee unveils UFO drip bags for single-serve specialty coffee. The disc-shaped stand rests on top of the cup, increasing the surface area and allowing for more precise pouring. Made from recyclable and compostable materials, they cater to the growing demand for sustainable, convenient coffee solutions. (Shanghai, China)
- Mon, 31 Mar – European green coffee stockpiles decline as prices stabilise. Data from the European Coffee Federation showed a decline of 1.7 million 60kg bags in January and February. This is smaller than the drop in global coffee exports reported by the International Coffee Organisation, indicating a possible slowdown in coffee consumption in Europe. (Brussels, Belgium)
- Tue, 1 Apr – Ritual Coffee to close historic Haight-Ashbury café in San Francisco. The pioneering Californian roaster will shutter the 9-year-old location on 11 April, citing operational challenges in the neighbourhood. Owner Eileen Rinaldi emphasised that the closure reflects broader urban business difficulties, not customer support. The company maintains three other Bay Area locations. (San Francisco, California, US)
- Tue, 1 Apr – Honduras signs International Coffee Agreement. The country’s Secretary of Foreign Affairs and International Cooperation, Amb. Eduardo Enrique Rein, signed the International Coffee Agreement 2022 at ICO headquarters in London, reinforcing its commitment to sustainable coffee production, improved farmer livelihoods, and climate action. Honduras is a founding member of the ICO. (London, UK)
- Thu, 3 Apr – Trump announces sweeping tariffs that will impact the global coffee trade. Over 180 countries are affected by the tariffs, including coffee-producing nations. Effective 5 April, there is a universal 10% tariff on any imports coming into the US. For some countries, including major coffee-producing nations like Vietnam, Indonesia, and India, the “reciprocal” tariffs are higher. Analysts warn the measures won’t boost domestic production but will increase prices for US importers, roasters, and consumers. (Washington, DC, US)
- Thu, 3 Apr – Amsterdam Coffee Festival celebrates its tenth anniversary. The 2025 event, which runs until 5 April at NDSM-Loods, is expected to attract over 10,000 visitors and 5,000 trade professionals. With more than 125 exhibitors, competitions, and workshops, the festival highlights coffee innovation and community in the Netherlands. (Amsterdam, the Netherlands)
Industry news
- Mon, 31 Mar – Starbucks partners with Global FoodBanking Network. The coffee chain will donate 7 million meals through GFN while expanding food bank capacity across Asia. Employees in 50 markets will volunteer during Starbucks’ Month of Good initiative, building on existing food rescue programmes in 30 countries. (Seattle, Washington, US)
- Mon, 31 Mar – Dutch Bros aims for 2,029 outlets by 2029. The drive-thru chain, now at 1,000 outlets across 18 US states, has appointed former KFC executive Brian Cahoe as Chief Development Officer to spearhead its expansion. CEO Christine Barone envisions long-term growth with a target of over 7,000 US stores. (Grants Pass, Oregon, US)
- Tue, 1 Apr – Black Rifle Coffee Company appoints new Chief Commercial Officer. Former Red Bull Vice President Kim Evanoff, with 20 years of sales and retail experience, joins Black Rifle Coffee Company to drive commercial strategy and partnerships. The appointment comes as the company narrows losses and boosts its growing wholesale business. (Salt Lake City, Utah, US)
- Tue, 1 Apr – ZUS Coffee appoints former EY exec as new Group CFO. Malaysian coffee chain ZUS Coffee has named former EY Managing Partner Preman Menon as its new Group CFO. With over 700 stores in Malaysia and expansion plans in the Philippines, ZUS aims to grow to 850 outlets in Malaysia and 250 in the Philippines by the end of 2025. (Kuala Lumpur, Malaysia)
- Wed, 2 Apr – illycaffè warns tariffs will push up US prices. CEO Cristina Scocchia expressed concerns that US tariffs under Trump’s plan will force price hikes. The company is considering building a US plant to mitigate long-term impacts, as higher tariffs risk raising costs for American consumers. (Trieste, Italy)
- Fri, 4 Apr – European branded coffee shops hit five-year growth peak. Project Café Europe 2025 reports a 4.7% rise to 51,042 outlets, driven by strong demand despite record green coffee prices and rising costs. Forecasts predict that the market could exceed 60,900 outlets by 2030, with a 3.6% compound annual growth rate. (London, UK)
New launch
- Mon, 31 Mar – Rancilio Group launches iSteam Pro automated steam wand. The new system offers one-touch operation with customisable foam and temperature settings for dairy and plant-based milks. Compatible with Classe 20 and Specialty Invicta machines, it features pre-purge cleaning and ten recipe slots. (Milan, Italy)
- Tue, 1 Apr – Schaerer debuts its accessible coffee technology at Internorga. The Swiss manufacturer unveiled three new features at Internorga: the Best Foam milk system for Coffee Skye, a wheelchair-accessible interface for Coffee Soul, and a smartwatch integration solution with turnpike for real-time service alerts. (Hamburg, Germany)
Milestone
- Mon, 31 Mar – Tim Hortons fuels record profits for South Korea’s BKR. South Korean franchise group BKR saw its operating profit rise 60% YoY to ₩38.4bn (US $26.1m) due to licensed Tim Hortons expansion, streamlined operations, and new menu additions. BKR now operates 17 stores, targeting 150 by 2029. (Seoul, South Korea)
- Tue, 1 Apr – La Marzocco celebrates the 125th anniversary of Michelin Guide. La Marzocco, in collaboration with Caffè Carlito and Código 1530, will mark the milestone at the Congrès Robert Schuman in Metz, France. The event gathers 1,300 chefs and hospitality leaders, who will enjoy quality coffee and expertly crafted coffee and tequila cocktails. (Metz, France)
- Wed, 2 Apr – illycaffè posts record 2024 results despite rising costs. The group reported 6% revenue growth (€630m) and 42% net profit increase, driven by strong US and European performance. Howeverm CEO Cristina Scocchia warns of margin pressures from doubled green coffee prices in 2025. (Trieste, Italy)
- Thu, 3 Apr – Cooks Coffee secures NZ $2.6m bank funding. Cooks Coffee finalised a 15-year NZ $1.6m and a five-year NZ $1m loan with Bank of New Zealand to refinance all debt. Chairman Keith Jackson says this move will lower finance costs and bolster growth across its 100+ outlets in nine markets. (Parnell, New Zealand)
- Fri, 4 Apr – Reborn Coffee reports 2024 FY revenues up 8%. Revenues rose to US $5.9m from US $5.5m, driven by new store openings and enhanced marketing. Q4 revenues increased 31% to US $1.8m, though gross margins slipped. The net loss was US $4.8m, with financing commitments of up to US $60m underway. (Brea, California, US)
- Fri, 4 Apr – Black & White Coffee Roasters joins FairWave Specialty Coffee Collective. The North Carolina roaster has partnered with FairWave to enhance operations while maintaining its distinct brand identity. Co-founder Kyle Ramage will continue to lead the brand, while Lem Butler moves on from the company. The collaboration offers access to resources and a broader industry network. (Raleigh, North Carolina, US)
Business for sale
Trade & production
- Wed, 2 Apr – Coffee futures rebound ahead of Trump’s “Liberation Day”. Coffee futures in New York and London recovered, with May Arabica closing at US 389.05 cents/lb (up 2.5%) and ICE Robusta at US $5,372/tonne. The rally comes amid a weak dollar and technical expiries, just before new tariffs take effect, adding to market uncertainty. (New York City, New York, US)
Research
Events & competitions
- Tue, 1 Apr – Café Show Vietnam 2025 is set for 17 to 19 April. The ninth edition will take place at SECC, featuring over 450 exhibitors from 15 countries, alongside the 2025 Vietnamese Barista Championships and the Asia Latte Art Battle. Last year’s event drew 30,000 visitors to Vietnam’s premier coffee trade exhibition. (Ho Chi Minh City, Vietnam)
Here are a few coffee news stories from previous weeks that you might find interesting. Take a look:
- Thu, 27 Mar – Costa Coffee appoints new exec to lead US travel retail growth. David Ferreira is the new Senior Director of Strategic Sales for the US, following his tenure at JDE Peet’s. Ferreira will drive retail travel expansion by partnering with concessionaires and F&B operators to enhance Costa’s presence across key US travel hubs. (London, UK)
Photo credits: COFFeEAST
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