It is a daily ritual for millions of Australians, but if you have noticed the price of your morning flat white or soy latte increase, brace yourself — it is likely to get worse.

By the end of the year, coffee lovers will be paying up to $7 for a regular cup as cafes nationwide struggle to absorb growing overhead costs warned David Parnham, president of the Café Owners and Baristas Association of Australia.

“What’s happening globally is there are shortages obviously from catastrophes that are happening in places like Brazil with frosts, and certain growing conditions in some of the coffee growing areas,” Mr Parnham said.

“The cost of shipping has become just ridiculous.”

Key points:

  • Prepare to be paying up to $7 a cup by the end of the year
  • Shipping costs and natural disasters in coffee regions are being blamed for the price increase
  • Australians consume one billion cups of coffee annually, but cafe owners say an increase in price won’t change that

It’s nearly five times the container prices of two years ago due to global shortages of containers and ships to be able to take things around the world.

Frosts in Brazil have impacted supply.(Supplied: Melbourne Coffee Merchants)

The pain will be felt from the cities to the outback, but Mr Parnham said the increase was well overdue, with the average $4 price for a standard latte, cappuccino and flat white remaining stable for years.

“The reality is it should be $6-7. It’s just that cafés are holding back on passing that pricing on per cup to the consumer,” he said.

But roaster Raoul Hauri said it hadn’t made a dent in sales, with more than 300 customers still coming through the doors for their daily fix. “No one really batted an eyelid,” he said. “We thought we would get more pushback, but I think at the moment people understand.

“It is overdue and unfortunately it can’t be sustained, and at some point the consumer has to bear that.”

Paving the way for Australian producers

While coffee drinkers will be feeling the pinch, Australian producers like Candy MacLaughlin from Skybury Roasters hopes the increasing cost of imports will pave the way for growth in the local industry, allowing it to compete in the market.

“[In the ] overall cost of business, we haven’t been able to drop our prices to be competitive, so we’ve really worked on that niche base,” Ms MacLaughlin said.

“All those things will help us to grow our coffee plantation once more.”

Candy and her husband Marion produce 40 tonnes of coffee annually but they are prepared to scale up operations(Supplied)

She said the industry could eventually emulate the gin industry, with boutique operations cropping up across the country.

“I think the demand for Australian coffee at the moment is an ever-changing landscape and more and more Aussies are starting to question where their food comes from, who is growing it”

“What you will get is all these kinds of niche coffee plantations who develop a very unique flavour profile and then market in funky packaging and appeal to certain markets,” she said.

“That’s where I see the next stage of the Australian coffee industry going.”

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Italy’s Paris wins World Cup downhill to prevent Swiss sweep, Odermatt closes in on overall title

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Dominik Paris prevented a Swiss sweep of the podium by winning a men’s World Cup downhill race in Kvitfjell, Norway on Friday, but the Italian veteran couldn’t stop Marco Odermatt from closing in on another overall title.

Paris claimed his record-extending fourth World Cup win in Kvitfjell after speeding down the 1994 Olympics slope in one minute, 44.67 seconds, beating Odermatt by 0.32 seconds and Stefan Rogentin by 0.63.

Odermatt’s second-place finish all but seals another overall title for the 27-year-old Swiss star. The three-time defending champion’s 80 race points put him 440 ahead of Henrik Kristoffersen, who does not race downhill or super-G, and 655 clear of Swiss teammate Loic Meillard.

Swiss skiers Franjo von Allmen and Alexis Monney were fourth and fifth, respectively. Their countrymen have dominated downhill races this season with 14 of 21 podium spots so far taken by Swiss skiers.

“It’s nice to be captain of such a great team,” Odermatt said. “The young guns, they are coming, they are pushing me a lot. I try to stay on the top.”

WATCH | Paris races to victory:

Italy’s Dominik Paris’ 1st World Cup victory of the season arrives at Kvitfjell

26 days ago

Duration 2:18

Dominik Paris of Italy claimed his twenty-third career World Cup win this time it comes in Kvitfjell, Norway.

Toronto’s James Crawford was the top Canadian, finishing 26th, 2.65 seconds behind Paris. Brodie Seger, of North Vancouver, B.C., finished 28th, Jeffrey Read, of Canmore, Alta., placed 32nd and Raphael Lessard, of Granby, Que., was 46th.

Odermatt can win a second straight Crystal Globe in downhill if he wins Saturday’s race. It would be his first win in Kvitfjell.

“I tried several times before in the downhill and never came better than seventh place. A great step,” said Odermatt, referring to his best finish in Kvitfjell.

WATCH | Canada’s Crawford’s finishes well back:

Canada’s James Crawford struggles at Kvitfjell World Cup downhill

26 days ago

Duration 2:25

Toronto’s James Crawford crossed the finish line with a time of 1:47.32 good enough for twenty-sixth place Friday at the men’s downhill in Kvitfjell, Norway.

Swiss skiers’ dominating run started in the Norwegian resort last year with a win by Niels Hintermann. The 29-year-old Hintermann said last month he was declared free of lymph node cancer.

The 35-year-old Paris won World Cup downhill races in Kvitfjell in 2016, 2019 and 2022, and Friday’s victory took his tally altogether to 19, joint-second on the all-time downhill winners list with Peter Muller of Switzerland. Only Austrian skier Franz Klammer won more (25).

“It’s a good hill for me,” Paris said after his first win for 14 months. The Italian had only two top-10 finishes this season.

Friday’s race was initially scheduled to take place in Garmisch-Partenkirchen, Germany on Feb. 2, but that was called off when fog prevented both training runs.

After Saturday’s downhill, a super-G is scheduled for Sunday.

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