Coffee (Credit: Economic Times)
Public outcry in Jordan over 50% increase in coffee prices
The price of a cup of coffee in Jordan has seen a significant increase, rising from 50 fils to 75 fils in street cafés.
This abrupt hike has sparked dissatisfaction among consumers, many of whom rely on this popular beverage as part of their daily routine.
- Details behind the price increase -
Complaints submitted to Roya reveal that the price of a kilogram of coffee has surged from JD 12.60 to JD 14.80, marking an increase of JD 2.20, inclusive of sales tax, as reported by coffee distribution companies. As a result, the price for 250g has risen to JD 3.70 from JD 3.15.
The 50 percent rise in the cost of coffee in street cafés has raised concerns among Jordanians, who view this drink as essential. Coffee shop owners attribute the price surge to rising costs for raw materials sourced from local distributors.
- Factors behind global price increases -
According to coffee distribution companies, the price surge is largely due to a significant rise in global raw coffee prices, which increased by 80 percent during 2024.
Economic reports indicate that global coffee prices have climbed by 25.01 percent since the start of 2025, driven by several key factors:
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Decline in global production: Coffee supply chains have been affected by drought and climate changes in Brazil, the world’s largest coffee producer. Production in the Minas Gerais state dropped by 20 percent in 2024, significantly impacting global supply.
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Rising shipping and production costs: Geopolitical tensions, including conflicts in the Red Sea region, have driven up shipping costs. In some countries, such as Egypt, the cost of importing coffee has doubled, impacting markets in Jordan.
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Increased prices of key ingredients: The price of cardamom, a vital ingredient in Jordanian coffee, has surged by 58 percent over the past year, further contributing to the increase in overall coffee prices.
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Supply chain disruptions: Delays at Brazilian ports and new regulations in the EU regarding deforestation have intensified supply challenges, exacerbating pressure on prices.
- Public outcry -
Many Jordanians have voiced their frustration over the steep rise in coffee prices, which hold significant cultural importance.
S.Q., an Amman resident, stated, “The increase in the price of a cup of coffee to 75 fils has become a significant burden, especially since I drink more than one cup daily, and this rise comes amid rising living costs in general.”
Lina Mahmoud, a mother of three, added: “Coffee is not just a drink; it is part of our daily traditions. The increase of two dinars per kilogram makes us consider reducing our consumption, which is frustrating.”
Citizens are calling on the government to intervene, regulate prices, and alleviate the financial burden on low-income families.
- Economic implications -
This price increase poses significant challenges for consumers and small cafés that depend on coffee as a core product. The rise of JD2 per kilogram may compel café owners to increase prices on other beverages to cover rising costs, adding further pressure on consumers.
Moreover, the 50 percent increase in the price of a cup of coffee could impact its consumption among Jordanians, particularly in the context of already challenging economic conditions.
Global reports indicate that coffee prices surged by 175 percent between 2023 and 2024. The International Coffee Organization (ICO) warns that continued production pressures are expected through 2025-2026 due to ongoing climate challenges in Brazil, which could lead to further declines in output.
While farmers in major producing countries like Brazil and Honduras have faced rising fertilizer and labor costs, they have not significantly benefited from the increase in coffee prices.
- Potential opportunity for local industry -
Some economic experts suggest that this crisis may present an opportunity to bolster the local coffee industry in Jordan.
By encouraging local producers to enhance product quality and develop alternatives, Jordan could reduce its dependence on imports while supporting its agricultural sector.