Portland, Oregon, one of the country's coffee capitals, is facing a brewing crisis. The city's specialty coffee shops and small roasters are still feeling the pinch from tariffs imposed on coffee imports by the US government.
"We're already paying $28.50 for a bag of coffee," said Laila Ghambari, owner of Guilder Coffee Company. "It's a lot of money for just one type of bean." The 2022 tariff on coffee imports may have been lifted last month, but it still affects Ghambari's business as any coffee already imported is subject to the tax.
The average retail price of ground coffee hit record highs in September, with prices reaching $9.14 per pound, up from around $4 a year ago. This surge in prices is largely due to demand for premium beans and climate issues that have affected coffee crops. However, independent coffee shops like Ghambari's are still feeling the strain.
"Any coffee that's already landed in the US is still subject to the tariff," Ghambari explained.
Not everyone feels the impact of tariffs equally, however. Christopher Hendon, a professor at the University of Oregon who studies the global coffee industry, says that consumers don't feel the pain as much as small business owners like Ghambari and her peers do.
"The consumer might not care today because the price didn't change all that much," he said, "but you might care if your local café disappears."
The impact on Ghambari's business was severe. She had to lay off two full-time employees and now only has one part-time employee left. Despite this, she remains optimistic about the future.
"It won't be until February when the first import of tariff-free coffees will land in my warehouse," she said.
For Wicker, who delivers coffee beans to cafes, lifting the tariffs could be a breath of fresh air.
"It's the coffee break I need," he said.
"We're already paying $28.50 for a bag of coffee," said Laila Ghambari, owner of Guilder Coffee Company. "It's a lot of money for just one type of bean." The 2022 tariff on coffee imports may have been lifted last month, but it still affects Ghambari's business as any coffee already imported is subject to the tax.
The average retail price of ground coffee hit record highs in September, with prices reaching $9.14 per pound, up from around $4 a year ago. This surge in prices is largely due to demand for premium beans and climate issues that have affected coffee crops. However, independent coffee shops like Ghambari's are still feeling the strain.
"Any coffee that's already landed in the US is still subject to the tariff," Ghambari explained.
Not everyone feels the impact of tariffs equally, however. Christopher Hendon, a professor at the University of Oregon who studies the global coffee industry, says that consumers don't feel the pain as much as small business owners like Ghambari and her peers do.
"The consumer might not care today because the price didn't change all that much," he said, "but you might care if your local café disappears."
The impact on Ghambari's business was severe. She had to lay off two full-time employees and now only has one part-time employee left. Despite this, she remains optimistic about the future.
"It won't be until February when the first import of tariff-free coffees will land in my warehouse," she said.
For Wicker, who delivers coffee beans to cafes, lifting the tariffs could be a breath of fresh air.
"It's the coffee break I need," he said.