Coffee prices on the rise, how eastern Iowa cafes deal with costs

MARION, Iowa (KCRG) - The Consumer Price Index has shown one of the largest spikes in coffee prices in decades, Iowa roasters are also seeing prices hit a 50 year high -- these increases have made a difference at local cafes.

Even though the National Coffee Association reports coffee adds nearly $350 billion to the U.S. economy each year, the vast majority of America’s coffee is imported.

Peter Orazem, an economics professor at Iowa State University, says President Donald Trump’s tariffs on coffee-exporting nations, especially Brazil, are playing a major role.

“Coffee is probably one of the best examples of how tariffs affect consumers because we don’t produce it locally,” Orazem said. “The consumers of coffee and they’re paying for the for the tariffs.”

Iowa Coffee Roasters in Marion