Brazil's Coffee Price Surge: 3 Corações and Melitta Respond to Economic Pressures

3 Corações and Melitta, two major coffee roasters in Brazil, are raising their prices due to increasing raw bean costs and tariffs. The hikes are influenced by adverse weather affecting crops and U.S. tariff actions. Consumers in Brazil are now seeking cheaper alternatives as prices climb.

The Brazilian coffee market is experiencing a significant shake-up as leading roasters 3 Corações and Melitta announce price increases. According to documents reviewed by Reuters, these changes are set to affect one of the world's largest coffee-consuming nations.

3 Corações, a joint venture between Sao Miguel and Strauss Group, revealed its plan to hike prices for roast and ground coffee by 10% and instant coffee by 7% from September 1 onward. Similarly, Melitta South America has committed to a 15% increase.

The price adjustments were triggered by a rise in raw bean costs, market volatility, and challenging climate conditions in Brazil. Consequently, consumers are feeling the pinch, leading to a shift toward more economical coffee brands.

(With inputs from agencies.)