There are a number of factors that can affect coffee prices, including supply and demand, weather conditions, and commodity market conditions.
On the supply side, coffee is a commodity that is grown in many countries around the world, and the amount of coffee that is produced can vary from year to year depending on a variety of factors such as weather conditions, pests and diseases, and political and economic conditions in the producing countries. If the supply of coffee is lower than usual due to these factors, it can lead to higher prices.
On the demand side, factors such as population growth, economic conditions, and changes in consumer preferences can all affect the demand for coffee. If demand for coffee is higher than the supply, it can also lead to higher prices.
Commodity market conditions, such as changes in currency exchange rates and the level of speculation in the market, can also affect coffee prices.
It is worth noting that the price of coffee can also be influenced by the costs of production and distribution, as well as taxes and other fees.
