Coffee prices in the global market have been rising since the end of 2021. Brazil and Vietnam – major coffee suppliers – have faced severe climate change causing damage to their production. High global coffee prices are expected to persist until a new round of Brazil’s coffee output enters the market by 2025. Thailand, a coffee importer, will inevitably be affected by the price hikes. KResearch projects that Thai coffee imports in 2022 will reach approximately USD 163 million, growing 27 percent YoY.
Consequently, coffee producers and coffee shop operators will need to bear the high cost of coffee beans. That expense – along with other costs – could be passed on to consumers who may have to pay a higher price for a cup of coffee. Meanwhile, coffee farmers will likely benefit from competitive selling prices of coffee during the last quarter of 2022 and into the first quarter of 2023, thanks to global coffee output that remains limited. Looking ahead, Thai coffee producers should enhance their production quality to cushion the impact of global market price volatility.