Coffee Too Popular?
Sep 10
Could we coffee enthusiasts be driving a trend that will turn around and bite us?
In reports in a number of financial journals this week, Arabica coffee beans on the “New York Board of Trade could climb more than 20 percent in the next 12 months and outperform some of this year’s best commodities investments, including copper and silver.”
So what, you might say.
But look who is really driving the price increase:
“Demand for the beans is coming from Procter & Gamble Co., whose Folgers brand is the best-selling U.S. coffee, and Kraft Foods Inc., the maker of Maxwell House. Coffee sellers are turning to the arabica beans traded mostly in New York after a cheaper coffee variety called robusta rallied to a seven-year high in London last month.”
The thought of the evil giants of the coffee world getting their hands on decent quality coffee, and thereby driving the price up for all of us is a depressing one indeed.
The full story is here