Global Coffee Market Tightens as Brands and Tech Innovate

Global Coffee Prices Surge on Supply Challenges

Global coffee futures reached $386.13 per pound on September 3, marking a 58.13% increase year-over-year amid supply disruptions. Brazil’s 2025/26 Arabica crop is projected to decline by 13.6%, impacted by drought, frost, and erratic rainfall, while exports dropped 20.4% in July. These factors have pushed Arabica stock levels to a 14.5-month low, tightening global supply and driving prices upward (Woodpeckers Coffee, 27 Sep 2025).

Illy Launches Experiential Pop-Up in New York

Italian coffee brand illy has opened an interactive pop-up café in New York City, showcasing its sourcing and roasting philosophy. The space features guided cuppings, chef collaborations, limited-edition blends, and educational talks through late September, aiming to deepen consumer engagement with specialty coffee (Perfect Daily Grind, 26 Sep 2025).

Ugandan Coffee Expands in Japanese Market at SCAJ Exhibition

Ugandan coffee companies, supported by the Uganda Embassy in Tokyo, participated in the 2025 Specialty Coffee Association of Japan (SCAJ) Exhibition. The delegation included key producers like Bugisu Cooperative Union and Mountain Harvest. An 80-minute seminar titled “Discovering Uganda’s Coffee: From Bean to Cup” highlighted the country’s offerings, aiming to increase Ugandan coffee’s share in Japan’s growing market (SoftPower Uganda, 27 Sep 2025).

US Tariffs Impact Coffee Production and Market Dynamics

High US tariffs on imports are influencing coffee producers and companies to consider relocating production to the US to avoid costs. Brands such as Lavazza and illy are reportedly shifting production away from European hubs like Switzerland. This trend could reduce Europe’s coffee market size and reshape global supply chains (Food Navigator, 26 Sep 2025).