Global Coffee Price Surge Hits Morocco: Consumers Face Higher Costs

The industrial roasters in the kingdom have decided to increase the price of Robusta coffee. Already, the "Mécafé" and "Kimbo" distributor has announced that it will charge an additional 10 dirhams per kilogram from August 1st, reports Maroc Diplomatique. Currently, the price of a ton of Robusta coffee is $2,756.

This decision is justified by the surge in world coffee prices, with annual production of around 170 million 60 kg bags. The composite indicator price of coffee, which reflects the weighted average of the prices of the four groups of coffee (Brazil and other naturals, Colombian milds, other milds and robustas), reached 183.19 US cents per pound in November 2022, an increase of 40% compared to November 2021, according to the International Coffee Organization (ICO). This increase is due to limited supply, affected by unfavorable weather conditions in the main producing countries, such as droughts, floods and other agricultural problems, as well as rising production costs due to soaring labor costs.

This increase will have consequences on the purchasing power of Moroccan households, who consume an average of 3 kg of coffee per person per year. It could also negatively impact the activity of catering professionals who face growing competition from mobile cafes.