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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Canada updates travel advisories for U.S., China after recent tensions

Published:

Canadians are now facing updated travel advisories to the world’s two largest economies, after Ottawa warned travellers who stay in the United States for more than 30 days to make sure they register as required.

The advisory for the United States follows another update for travel to China, where Canadians with dual citizenship have been warned to use Canadian credentials when presenting to Chinese authorities.

“Canadians and other foreign nationals visiting the United States for periods longer than 30 days must be registered with the United States government,” the latest travel advisory to the United States said.

“Failure to comply with the registration requirement could result in penalties, fines and misdemeanor prosecution.”

The updated advisory said visitors can consult the U.S. Citizenship and Immigration Services website to check if they need to register and how to do so.

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30 days ago

Duration 2:20

It appears any Canadian travelling to the U.S. over land for more than 30 days will now have to register with the American government and be fingerprinted.

It said people can see if they have been automatically registered on entry to the U.S. by looking up their I-94 admission form on the U.S. Customs Border Protection website.

Many Canadians have changed travel plans to avoid the U.S. as a result of President Donald Trump threatened tariffs against Canada and repeated suggestions it become the 51st state.

Experts have said Canadian travel to the United States could be further stifled after a Vancouver woman was detained earlier this month for more than a week by U.S. authorities after having her work visa application denied while trying to enter at the Mexican border near San Diego.

Meanwhile, Canada has also updated its travel advisory to China after Foreign Affairs Minister Mélanie Joly said earlier this week that the country has executed four Canadian nationals in recent months.

WATCH | Canada condemns China after it executes 4 Canadians: 

Canada condemns China for executing Canadians over drug crimes

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Duration 14:08

Global Affairs Canada is condemning China after the country executed an unspecified number of Canadian citizens earlier this year over drug-related crimes. China’s embassy in Ottawa defended the executions on Wednesday, telling CBC News in an email that ‘whoever violates the law of China must be held accountable in accordance with the law.’

The updated advisory warned that Canadians should exercise “a high degree of caution” in China. This is especially true for those with dual citizenships, who may be denied access to Canadian consular services if they entered the country on a Chinese passport or identity card.

“Our ability to provide consular assistance in China is limited due to the level of transparency in China’s judicial system,” the advisory said. “It may also impact your ability to obtain effective legal assistance.”

Joly had said that all four of the Canadians executed in China were dual citizens and, according to Chinese authorities, facing charges linked to drugs and criminal activities.

Canada has condemned the executions, saying the death penalty “is irreversible and inconsistent with basic human dignity.”

China’s embassy in Ottawa has said “Chinese judicial authorities have handled the cases in strict accordance with the law,” adding that Beijing has a “zero tolerance” approach to drug crime.

China does not recognize dual citizenship.

The Canadian travel advisory to China also warned that non-violent acts such as financial crimes may incur “severe punishment” in the country. It adds that travellers may also face an exit ban if they are linked to people “in any open civil or criminal investigations, including business disputes.”

Ottawa said affected travellers may not realize an exit ban has been placed on them until they go through Chinese customs and immigration controls when trying to leave China.

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