"Do you drink coffee?" is no longer a simple question, as two words conceal much thought about the cost of this cup of coffee and its quality. Coffee has never been like this before, but prices have doubled recently, and its taste has also changed. This is just one example of the many costs of climate change that we experience in our lives. The climate crisis is not limited to scientific reports; it has become a "daily bill" that we pay with cash from our pockets, health, and future.

Perhaps you have wondered: why has your morning coffee become more expensive and of lower quality? But there are other important questions, for example: Have you recently noticed that the summer electricity bill is eating up a large part of your salary just because you want to "stay cool"? Have you stood in the market wondering in amazement about the crazy price increases of some products, and how the seasons have been lost from our farms?

All this is not just passing waves of inflation; it is the climate bill that the earth has started to collect from us regularly and without mercy. Therefore, we present in this series "The Climate Bill" a number of journalistic episodes about the biggest economic and humanitarian crisis facing our generation.

Climate Change and its Impact on Your Cup of Coffee

The London Climate Action Week (LCAW) discussed a critical intersection between climate change and macroeconomics: the increasing volatility in coffee production and prices globally, with profound implications for countries and livelihoods.

According to an analysis by the Overseas Development Institute (ODI) on its official website, the price of Arabica coffee contracts in the global market rose by 91% between July 2024 and June 2025, reaching historic levels. The primary reason is climate change, with droughts, heatwaves, and irregular weather patterns in Brazil and Vietnam, the world's largest coffee producers.

Studies indicate that by 2050, more than half of the current land suitable for Arabica coffee cultivation may become unsuitable if current warming rates continue. This threatens the continued rise in prices over the long term.

How is the world moving to solve the problem?

A new report by the Food and Agriculture Organization of the United Nations (FAO) revealed that global prices for coffee, cocoa, and tea have experienced significant fluctuations recently, exacerbated by structural vulnerabilities. This highlights the need to strengthen production systems, improve market transparency, and support a more balanced distribution of value across the value chain to enhance market stability and protect livelihoods.

“In recent years, global beverage prices have risen much faster than other agricultural commodities,” said Boubker Ben Belkacem, Director of the Markets and Trade Division at the Food and Agriculture Organization of the United Nations (FAO). “The combination of concentrated supply and increasing global consumption creates a fertile environment for significant price fluctuations. Weather shocks such as droughts, frosts, and heavy rains remain key triggers for price increases, while plant diseases, rising input costs, labor costs, geopolitical tensions, and shipping delays have increased pressure.”

The report calls for coordinated policy actions to address structural vulnerabilities and mitigate the impact of shocks. At the production level, strengthening resilience is crucial, including through investment in climate-resilient agricultural systems, effective pest and disease management, and improved risk management tools to stabilize output and income.

Moreover, enabling producers to develop their products within value chains, including through processing, certification, and branding, can increase their share of the value and foster more inclusive and sustainable development. Without these measures, global commodity markets for beverages will remain vulnerable to shocks, with risks continuing to threaten the livelihoods of millions of farmers, food security, and economic stability in producing countries.