Coffee | Last Christmas, the store chains reduced the price of the kilva Juhla Moka – Now its price has risen wildly

In August It was so cold in Brazil that there was mild frost in the southern parts of the country. In September, the country was gripped by a drought that fueled huge wildfires in the Amazon rainforest and Pantanal wetlands.

So if the price of a package of coffee on the shelf of a local store has skyrocketed in recent days, it is largely explained by the extreme weather conditions that have ravaged Brazil.

The influence of weather conditions in Brazil on the price of coffee is considerable. The country’s share of the world’s coffee production is about 40 percent.

The price of Arabica, the world’s most cultivated coffee variety, rose on the world market as soon as the hailstorm raised concerns about the spoilage of Brazil’s coffee crop. The drought that hit the country in September again directly affected Arabica growing areas and reduced yields.

Finland as the most popular coffee brand named The price of Paulig’s Juhla Moka is around seven euros in both S-group and K-group stores.

At the Helsinki Postitalo K-market, a 500-gram Juhla Mokka package costs 7.15 euros. The price of the same package is also 7.15 euros in the S-market downstairs in Sokos, Helsinki.

Of course, the price may vary depending on the store and valid offers. Seven euros for a Juhla Moka still seems like a lot.

Last December, for example, HS told Juhla around Moka from the raging price war. The S group, Kesko and Lidl then reduced the price of a kilva coffee package.

In S group stores, a 500 gram Juhla Mokka package cost 2.99 euros before Christmas. In K group stores, you can get the package for the same price with a Plussa card. Lidl, on the other hand, offered its loyal customers two packages of Juhla Mokka for 5.95 euros.

If you compare Juhla Moka’s Christmas offer price with its current price, the price of a coffee package has increased by more than 140 percent.

Paul’s commercial manager Pia Teir just comment on the consumer price of the individual product. However, he can tell you about the world market price of coffee on a general level.

The world market price of coffee is determined on the stock exchange. However, its price development is difficult to predict because it is affected by many changing factors.

“Changes in the market price have been very strong in recent years due to the delicate balance of demand and production. The increase in extreme weather fluctuations has meant increasing disruptions in production. There has also been more disruption in the supply chain recently than before,” writes Teir in his email reply.

According to Teir, recently the concern about the lateness of Brazil’s rainy season has influenced the increase in the market price of coffee.

“In some production areas, it hasn’t actually rained at all during the entire Brazilian winter, and the start of the rainy season quickly is critical for the success of the 2025 harvest. It is unclear how long the prolonged drought of the trees will affect next year’s harvest, even if the rainy season finally begins.”

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“The increase in extreme weather fluctuations has meant increasing production disruptions.”

Coffee overall, the price has fluctuated rapidly in recent years and months.

Coffee, like other foodstuffs, was subject to inflationary pressure as consumer prices rose in the aftermath of the coronavirus pandemic and as a result of the effects of Russia’s war of aggression in Ukraine.

Coffee production costs remain at a higher level than before, even though general inflation has slowed down, says Pellervo’s director of agriculture and food research (PTT) Sari Forsman-Hugg.

“The inflationary pressures raised by the global crises and Russia’s war of aggression have eased, and food price trends have generally leveled off. The consumer prices of coffee and cocoa, as well as, for example, orange juice, are now above all reflected in extreme weather phenomena.”

Forsman-Hugg estimates that the world market price of raw coffee will continue to fluctuate. Weak harvests are becoming more common, as are extreme weather events.

“Extreme weather phenomena not only weaken crop prospects, but can also shrink the crop area and cause plant diseases. It is good to be prepared for the fact that these factors will affect the price of coffee in the future as well. Ultimately, it’s a matter of supply and demand, that is, if the supply of coffee weakens but the demand is still high, its price will rise.”

Forsman-Hugg points out, however, that coffee is often the so-called pull-in product of stores. Therefore, store chains may continue to compete with the price of Juhla Moka and sell it with a lower margin or even below the purchase price.

“Finns are also known to be coffee people, so it may be that they would rather compromise on something other than coffee.”