Insights

Industry Initiative: The Specialty Coffee Transaction Guide

by | Dec 13, 2021

Category: Miscellaneous

Key Insight

In short, the guide provides a compass to specialty coffee buyers by providing transparency into what other buyers are actually paying for a pound of x or y quality coffee from z region.

‘Why is the specialty coffee price set to the C price and the not cost of production?’

The role of the C price, the coffee commodity price used as a  global benchmark, has been the subject of much debate for the coffee industry, especially in Specialty Coffee circles. Coffeelands itself has dedicated much ink to the issues created by the C price: beginning with The Scandal of the C Price, and followed by Extreme Price Volatility Undermines the Coffee Sector and Proposing an Alternative Benchmark for Coffee Prices: The C-5.

Much of these criticisms are based on the disruptions caused by the volatility characteristic of the C Price. As Paul Hicks puts it, “More stable prices would enable coffee producers to plan and invest based on prices they can reasonably expect for their product, and mitigate the boom-and-bust cycle that has characterized the coffee market the last many years.”