Price of coffee up - KWWL - Eastern Iowa Breaking News, Weather, Closings

Price of coffee up

DUBUQUE (KWWL) -- Consumers are now starting to feel the effects after coffee trading prices hit a 13-year high on Wednesday.

The high point marked a 43 percent increase over the course of three months in coffee trading prices.

This filters down to coffee prices for major brands and local coffee shops, alike.

Last month the parent company of Folgers, Dunkin' Donuts and Millstone imposed an immediate average increase of 9 percent on most coffee products.

A spokesperson from Starbucks said the company plans on absorbing the cost but that its executives are closely monitoring the situation.

A Hy-Vee spokesperson said buyers have been seeing price increases since the beginning of August, but customers have not yet seen that affect in-store prices. She said, however, that another hike in market price might mean a increase in cost for customers.

Locally, some coffee shop owners are forced to pass the price increase on to customers.

Lenore Nesler owns Naughty Dog Coffee Bar & Deli in Dubuque. She said she has seen the price of coffee beans from her roaster in Madison, Wisconsin rise over the course of the past three weeks. She said she raised her price-per-cup to $2, which is an increase of more than 10 cents.

"I did tell them right away, you know, coffee went up a little bit and so I'm going to make a small change," Nesler said. "None of them decided not to buy coffee. They all decided to go ahead."

Nesler said it's all part of the daily grind.

"Like everything, coffee will rise and will continue to rise. You're dealing with other countries and there's all the import laws and everything," she said.

One customer comes to Naughty Dog Coffee Bar & Deli a couple of times a week and said he doesn't mind.

"If it doesn't cost, like, ten dollars a cup, I'll probably buy it, if it's good coffee," customer Bernie Sidley said, who drinks eight to ten cups throughout his day.

Experts say part of the hike in coffee prices over the past three months came, in part, from concerns over the future of shipping due to the BP oil spill.

Online Reporter: Becca Habegger

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