Category: News

Indonesia Expands Coffee Exports with New Shipment to Saudi Arabia

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JAKARTA – Qahwa World

Indonesia has expanded its coffee export market with a new shipment of premium Arabica beans from the slopes of Mount Argopuro in East Java to Saudi Arabia, marking another milestone for the country’s growing smallholder coffee sector.

The shipment, totaling 15 tons and valued at around 3 billion rupiah (approximately 180,000 U.S. dollars), reflects Indonesia’s continued effort to strengthen its position in the global coffee trade and promote the role of micro, small, and medium enterprises in international markets. The consignment was officially dispatched on Monday, in a move hailed by government officials as a success story for local farmers and entrepreneurs.

Bagus Rachman, Deputy for Business Affairs at Indonesia’s Ministry of Micro, Small, and Medium Enterprises, said the export from Mount Argopuro demonstrates the competitiveness of Indonesian MSMEs on the global stage. He emphasized that more than 90 percent of the nation’s coffee plantations are managed by smallholder farmers, who have become the backbone of Indonesia’s coffee production and export activities. Rachman described the Argopuro shipment as a model of how medium-scale enterprises can become a driving force within the MSME ecosystem, creating added value and expanding export capacity.

According to Statistics Indonesia, the country’s coffee exports rose from 279.94 million kilograms in 2023 to 316.72 million kilograms in 2024, underscoring steady growth despite challenges from fluctuating prices and global demand pressures. East Java, where Mount Argopuro is located, remains one of Indonesia’s key coffee-producing regions, known for high-altitude Arabica beans characterized by their clean cup, moderate acidity, and distinct aroma.

Local officials in Situbondo Regency, the region surrounding Mount Argopuro, praised the export as a breakthrough for community-based farmer groups that have invested in quality improvement and post-harvest processing. They highlighted that Argopuro’s elevation, reaching about 1,800 meters above sea level, contributes to its unique flavor profile, making it increasingly sought after in Middle Eastern and Asian markets. The local government also called for stronger support programs to encourage youth participation in coffee farming and ensure long-term sustainability of production.

Data from Indonesia’s Ministry of Trade shows that the country exported coffee, tea, and related products worth more than 16 million U.S. dollars to Saudi Arabia in 2023. The new shipment from East Java is expected to deepen trade relations between the two nations, opening opportunities for future collaboration in the premium and specialty coffee segments. Saudi Arabia has become an emerging destination for Indonesian agricultural products, reflecting growing demand for high-quality Arabica beans in the region’s expanding coffee industry.

Industry observers say the success of this shipment could inspire similar initiatives across Indonesia’s coffee-growing provinces, including Aceh, North Sumatra, and South Sulawesi, where MSMEs are working to boost exports of specialty varieties. The government’s ongoing push to promote downstream processing, improve logistics, and introduce value-added branding is seen as essential to enhancing Indonesia’s competitiveness in international markets.

Indonesia, the world’s fourth-largest coffee producer, has long been known for its diverse range of beans, from Sumatra Mandheling to Java and Toraja. With global demand for Arabica and Robusta continuing to rise, initiatives like the Argopuro export are expected to help the country expand its share of premium coffee markets, create higher income for farmers, and reinforce Indonesia’s image as a leading origin in the world of coffee.

Global Coffee Market Reacts to Tariffs, Rate Cuts, and EU Regulation Uncertainty

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Dubai – Qahwa World

The global coffee market navigated a turbulent September as trade tensions, monetary policy shifts, and regulatory uncertainty reshaped investor sentiment and price dynamics. According to the International Coffee Organization’s (ICO) latest Coffee Market Report for September 2025, the sector was influenced by a combination of U.S. tariff policy, an interest rate cut by the Federal Reserve, and developments surrounding the European Union’s Deforestation Regulation (EUDR). Together, these factors created a complex environment of both optimism and caution across producing and consuming regions.

The month began with heightened uncertainty following the decision by the United States to maintain its 50% import tariff on coffee. This came despite a presidential executive order, issued on 8 September, that excluded several commodities from the existing tariff regime. Coffee, however, remained absent from the exemption list, as it is not considered a product that can be sufficiently produced within the U.S. to meet domestic demand. The policy stance kept traders and importers on edge, particularly in light of already tight global supplies and rising domestic roasting costs.

The ICO report noted that the continued imposition of tariffs has dampened export momentum from major producing countries, particularly Brazil, which remains the world’s largest coffee supplier. Exporters faced not only the direct cost of tariffs but also indirect consequences such as higher insurance premiums and delayed shipments. The United States, typically the second-largest destination for Brazilian coffee after Germany, saw imports fall sharply in August — down 46% year-on-year and 26% month-on-month, according to data from Cecafé.

However, as the month progressed, a diplomatic thaw between Washington and Brasília offered a glimmer of optimism. Meetings between senior officials from both countries, held on the sidelines of the United Nations General Assembly in New York, were interpreted by market analysts as a potential first step toward resolving trade tensions. Though no formal changes were announced, the dialogue provided reassurance to traders that punitive tariffs might be reviewed later in the year, especially if inflationary pressure continues to ease in the United States.

Adding to the month’s market developments, the U.S. Federal Reserve cut its benchmark interest rate by 25 basis points on 17 September — its first such move since early 2024. The decision aimed to support economic growth amid signs of slowing consumer spending and lower manufacturing output. For coffee traders, the rate cut brought mixed implications. On one hand, cheaper borrowing encouraged speculative activity in commodity markets, which helped lift prices. On the other, the stronger U.S. dollar that followed the announcement increased costs for buyers using other currencies, especially in emerging markets.

The ICO observed that the daily volatility of the ICO Composite Indicator Price (I-CIP) rose to 13.8% in September, up from 11% the previous month, partly driven by the interplay of monetary and trade factors. The organization emphasized that such fluctuations reflect not only speculation but also genuine uncertainty about the future of trade flows and regulatory frameworks that govern the industry.

In Europe, a different kind of uncertainty unfolded. The European Commissioner for Environment, Oceans, and Fisheries, responsible for overseeing the Deforestation Regulation (EUDR), expressed concern over the readiness of the EU’s technical system for tracing commodities such as coffee, cocoa, and palm oil. The Commissioner admitted that the digital platform designed to monitor compliance might not be fully operational in time for the regulation’s official start date in January 2026. As a result, Brussels is now considering a one-year postponement of the EUDR’s implementation.

This potential delay was met with relief from coffee-producing nations and exporters, many of whom have voiced apprehension over the costs and logistical burdens of compliance. The regulation, adopted in 2023, requires companies importing into the EU to prove that their products do not contribute to deforestation or forest degradation. For coffee, that means exporters must provide precise geolocation data for every farm and ensure traceability across the supply chain. While the regulation aims to promote sustainable trade, several producing countries, including Ethiopia, Uganda, and Honduras, have warned that smaller farmers could be excluded from the European market if compliance deadlines remain too strict.

Market participants see the proposed delay as a temporary reprieve. “It gives exporters and cooperatives valuable time to adjust and strengthen traceability systems,” the ICO noted. However, the organization also cautioned that postponement does not remove the long-term challenge of compliance. Producers who fail to invest in sustainable certification and farm-level data systems risk losing access to the world’s most regulated and high-value coffee market.

By the end of September, the combined effects of tariffs, monetary easing, and policy uncertainty continued to shape market sentiment. The ICO Composite Indicator Price averaged 324.62 US cents per pound, up 9.3% from August, marking the highest level in two years. Yet, behind the price surge lay diverging regional realities: while exporters in Vietnam and Colombia benefited from strong demand and competitive logistics, producers in Brazil and Central America faced rising export costs and political tension around trade access.

The report concluded that these intersecting economic and regulatory developments have pushed the coffee industry into a phase of structural adaptation. With monetary policy softening in the United States, trade negotiations cautiously reopening, and the EU potentially adjusting its sustainability timeline, the final quarter of 2025 is expected to test the industry’s resilience. Analysts agree that while prices may remain high in the short term, long-term stability will depend on how swiftly producers, traders, and regulators can align under a more predictable and sustainable framework.

As the ICO noted, the coffee market of late 2025 is no longer defined solely by supply and demand but by the policies, regulations, and economic instruments that govern it. The cup of coffee on the global stage has never been more entangled with diplomacy, finance, and environmental accountability.

Global Coffee Prices Surge to 2-Year High

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Dubai – Qahwa World

The global coffee market witnessed a significant price surge in September 2025, marking one of the strongest monthly performances in recent years. According to the latest Coffee Market Report issued by the International Coffee Organization (ICO), the ICO Composite Indicator Price (I-CIP) averaged 324.62 US cents per pound, representing a 9.3% increase compared to August 2025 and a striking 25.4% rise year-on-year. The report reveals that while prices rose across all coffee groups, tightening certified stocks and persistent trade uncertainties continue to define the market’s volatile landscape.

The ICO noted that Arabica varieties led the monthly increase, with Colombian Milds climbing 10.1% to 403.77 US cents/lb, Other Milds advancing 9.3% to 400.21 US cents/lb, and Brazilian Naturals gaining 11.3% to 374.91 US cents/lb. Robusta, meanwhile, registered a more moderate yet notable 5.9% increase to 210.85 US cents/lb. The rise was mirrored on both major futures exchanges, with New York ICE prices up 11.5% to 366.31 US cents/lb, and London ICE prices increasing by 8.9% to 197.56 US cents/lb. The I-CIP fluctuated between 298.14 and 360.74 US cents/lb during the month, maintaining a median value of 323.44.

The report attributes much of September’s price escalation to several interconnected macroeconomic and policy-related developments that placed upward pressure on the market during the first half of the month. Among these, concerns over the long-term supply of coffee to the United States stood out, especially given the continued uncertainty surrounding import tariffs. Although on 8 September the U.S. administration issued an executive order revising tariffs for “aligned partners” with established trade agreements, coffee remained excluded from the list. The commodity continues to face a 50% import tariff imposed earlier in the year, as it is not yet categorized among products that the U.S. cannot sufficiently produce domestically. This policy has led to sustained apprehension among traders and exporters, particularly as U.S. certified Arabica stocks continue to decline.

The ICO underlined that certified stocks—used as a short-term substitute for coffee imports—are shrinking at an alarming rate, reinforcing market tightness. U.S. certified stocks of Arabica fell 19.3% in September to 0.66 million 60-kilogram bags, while London-certified Robusta stocks decreased 4.3% to 1.08 million bags. These drawdowns, the report states, indicate that the market is “starting to feel the squeeze,” signaling a bullish outlook for prices if replenishment remains weak.

However, the latter half of September brought developments that introduced downward pressure and tempered speculative enthusiasm. On 15 and 17 September, the ICE Futures U.S. exchange raised margin requirements for Arabica contracts twice in a single week. Higher margin requirements force investors to deposit more capital with brokers to cover increased credit risk, thus raising borrowing costs for both new and existing positions. The ICO explained that such moves can reduce liquidity and limit speculative demand, potentially stabilizing prices in overheated markets.

At the same time, discussions at the United Nations General Assembly between U.S. and Brazilian officials provided a momentary boost to market optimism. As the world’s largest coffee producer and the largest destination market sought to improve bilateral trade relations, investors interpreted the talks as a signal that tariff détente might eventually follow. Brazil’s exports have been under severe strain, declining for ten consecutive months due to both cyclical production factors and logistical issues at the port of Santos.

On the monetary front, the U.S. Federal Reserve’s 25-basis-point interest rate cut on 17 September had a nuanced impact. While the policy was intended to lower borrowing costs across the economy, it indirectly affected coffee prices by making speculative trading less expensive. The ICO noted that cheaper credit may have helped sustain trading volumes, adding volatility to a market already under pressure from tightening supplies.

The European Union also entered the spotlight in September after the EU Commissioner for Environment, Water Resilience and a Competitive Circular Economy raised concerns over the readiness of the EU Deforestation Regulation (EUDR) IT system. The Commissioner indicated that the system might not be able to handle the expected transaction volume, suggesting a possible one-year extension before enforcement begins. The EUDR, which aims to ensure that coffee and other commodities imported into the EU are deforestation-free, has been a major topic of concern among exporters since its adoption, and any delay could temporarily ease compliance-related pressures on coffee-producing nations.

Despite these counterbalancing developments, overall volatility continued to rise. The ICO reported that intra-day volatility of the I-CIP increased by 2.8 percentage points compared to August, averaging 13.8% in September. By category, Colombian Milds and Other Milds showed volatility of 14.0% and 13.7%, respectively, Brazilian Naturals 14.7%, and Robustas 15.0%. At the futures level, New York volatility stood at 15.2%, while London measured 16.2%, reflecting a minor uptick in speculative activity.

Price differentials also widened notably. The Colombian Milds–Other Milds differential expanded from 0.41 to 3.56 US cents/lb, while the Colombian Milds–Robustas differential rose 15.1% to 192.92 US cents/lb. The arbitrage between the London and New York markets, a key indicator of the spread between Arabica and Robusta, widened by 14.7% to 168.75 US cents/lb, the highest level of the year.

Overall, the ICO described September as a month defined by tightening supplies, speculative activity, and geopolitical uncertainty. The consistent decline in certified stocks, combined with unresolved tariff tensions and potential EUDR delays, continues to reinforce a bullish sentiment across the market. As the fourth quarter of 2025 begins, analysts expect coffee prices to remain elevated, with volatility likely to persist until structural issues—such as logistics bottlenecks, regulatory clarity, and weather-related production concerns—are addressed.

In summary, the ICO’s latest data depict a coffee market under strain but also opportunity. Prices are buoyed by constrained supply and investor sentiment, while trade policies and financial dynamics continue to influence short-term movements. With the I-CIP climbing above 320 US cents/lb for the first time in over two years and certified stocks hitting new lows, September 2025 may well be remembered as a turning point in the evolving balance between global coffee supply and demand.

Brazil Set to Overtake Vietnam as the World’s Largest Robusta Coffee Producer

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Brazil is on track to surpass Vietnam as the world’s leading producer of robusta coffee, according to a new report by Dutch bank Rabobank. The report highlights Brazil’s growing advantage due to robusta’s resilience to heat, drought, and disease — key traits as climate change increasingly threatens arabica production.

Rabobank estimates Brazil’s robusta output will reach 24.7 million 60-kg bags in 2025, up from 19 million bags in 2020. Meanwhile, Vietnam is projected to produce around 30 million bags in 2025/26, according to the U.S. Department of Agriculture.

Unlike arabica, which offers a milder flavor and is favored by premium brands such as Starbucks and Nespresso, robusta has a stronger taste and higher caffeine content. It is mainly used in instant coffee, espresso blends, and iced beverages.

Over the past five decades, temperatures in Brazil’s key coffee regions have risen by 1.3 to 1.6°C, while rainfall has decreased by up to 211 millimeters. To adapt, Brazilian farmers have increasingly relied on irrigation — now covering 71% of robusta farms — with this figure projected to reach 363,800 hectares by 2040.

Although the initial investment in robusta plantations is high (around $15,700 per hectare), its productivity is 170% higher per hectare than arabica, enabling cost recovery in about four years, Rabobank said.

The report also noted that Brazil has about 28 million hectares of degraded pastureland suitable for deforestation-free agricultural expansion, creating significant room for robusta growth.

Additionally, the EU’s exemption of instant coffee from deforestation regulations could boost global demand for robusta-based products, further accelerating Brazil’s rise in production.

August Export and Market Update

In August 2025, Brazil exported 3.1 million bags (60kg) of coffee — down 17.5% year-on-year (YOY) but up 14.3% compared to July, according to data from Cecafé. Despite the monthly recovery, exporters continue to face difficulties due to adverse weather conditions affecting the arabica harvest and the 50% U.S. tariff introduced in August. Moreover, even with a good harvest pace, coffee has been taking longer to reach exporters this year.

Exports to the United States dropped 46% YOY and 26% from July, totaling 301,000 bags. Despite the sharp decline, the U.S. remained Brazil’s second-largest destination, behind Germany, and continues to be the world’s top coffee importer in 2025.

The barter ratio — the amount of coffee needed to purchase one metric ton of fertilizer — improved significantly in August. Only 1.2 bags (60kg) were required to buy one ton of fertilizer (blend 20-05-20), down 29% from August 2024 (1.7 bags) and 26% from July (1.6 bags). The improvement was driven by rising coffee prices and falling fertilizer prices, particularly for urea, boosting producer profitability.

After several months of decline, coffee prices rebounded sharply in August, with arabica up 31% and conilon (robusta) up 32%. The price rally was fueled by slower Brazilian exports and low global inventories, while the new U.S. tariffs added further volatility. The move has prompted U.S. roasters to seek alternative supply sources. In the short term, the U.S. industry is expected to rely on existing inventories while awaiting potential tariff renegotiations. One immediate workaround has been the use of bonded warehouses, which allow coffee storage without immediate tariff payments. Since the tariff announcement on July 9, certified stocks in New York have fallen by 157,000 bags.

The EU Deforestation Regulation (EUDR) has also influenced trade flows. Anticipating compliance challenges, European buyers increased imports early in 2024, and a similar pattern is expected in the second half of 2025. Data shows that European coffee inventories have been building in recent months.

Weather conditions in August were seasonally dry, which supported the near-complete harvest. However, frost affected some arabica-producing regions, particularly in Cerrado Mineiro, where local cooperatives estimate potential losses of around 412,000 bags for the 2026 crop. While this raises concerns for the next harvest, analysts say the 2026/27 arabica and conilon cycle remains positive overall. In the coming weeks, market attention will turn to rainfall and flowering, as any threat to crop potential could further support coffee price gains.

Coffee Prices Surge as Brazil Faces Severe Dry Weather

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Dubai – Qahwa World 

Coffee prices soared to two-week highs on Friday amid forecasts of worsening dry conditions across Brazil during the critical flowering phase of the 2026/27 crop. December arabica futures rose 3.35%, while November robusta gained 4.74%, driven by fears that heat and drought could damage trees in the world’s largest coffee-producing country.

Climatempo reported that Brazil’s coffee regions will experience intensified dryness and above-normal temperatures in the coming week, raising concerns about yield losses. At the same time, remnants of Typhoon Bualoi have brought heavy rains and flooding to Vietnam’s Central Highlands, disrupting coffee farms and transport routes in the world’s top robusta producer.

The situation is further complicated by a 50% tariff on U.S. imports of Brazilian coffee, which has led to declining inventories. ICE-monitored arabica stocks fell to a one-and-a-half-year low of 538,606 bags, while robusta inventories dropped to a 2.25-month low of 6,345 lots. American buyers have reportedly canceled new contracts for Brazilian beans, tightening supply in the U.S. market.

Adding to bullish sentiment, the U.S. National Oceanic and Atmospheric Administration raised the probability of a La Niña event to 71% for the October–December period, which could bring even drier weather to South America. Brazil’s crop agency, Conab, has already cut its 2025 arabica crop estimate by 4.9% to 35.2 million bags and total coffee production by 0.9% to 55.2 million bags.

The International Coffee Organization reported that global exports fell 1.6% in July compared to a year earlier, while Brazil’s Trade Ministry said unroasted coffee exports dropped 20.4% in the same month. Exporter group Cecafe noted a 28% decline in green coffee shipments to 2.4 million bags, with arabica exports down 21% and robusta plunging 49%.

Meanwhile, Vietnam’s 2025/26 crop is expected to rise 6% year-on-year to 1.76 million metric tons, the highest in four years, with exports increasing 7.8% to 1.14 million tons.

According to the U.S. Department of Agriculture, global coffee production for 2025/26 is forecast to reach a record 178.68 million bags, mainly supported by robusta output. However, trading firm Volcafe expects an arabica deficit of 8.5 million bags — the fifth consecutive year of shortages.

Overall, weather extremes, trade tariffs, and shrinking inventories are keeping global coffee markets on edge, reinforcing expectations of tighter supplies and elevated prices in the months ahead.

For the First Time in 133 Years, Maxwell House Changes Its Name to “Maxwell Apartment”

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In a historic move, Maxwell House has announced its first-ever name change since its founding in 1892. The iconic American coffee brand will temporarily rebrand as “Maxwell Apartment”, a shift designed to resonate with modern consumers and highlight its long-standing promise of affordable, great-tasting coffee.

The rebrand is more than symbolic: it reflects a reality in which nearly one-third of Americans rent apartments instead of purchasing homes, according to the U.S. Census Bureau. Rising housing costs and the growing trend of brewing coffee at home rather than frequenting cafés inspired the company to embrace the “apartment” lifestyle as part of its brand identity.

To celebrate the transformation, Maxwell House is offering consumers a 12-month “lease” of Maxwell Apartment coffee. Beginning on National Coffee Day (September 29, 2025), coffee lovers can purchase a full year’s supply on Amazon for under $40, a deal designed to save households more than $1,000 annually compared to daily café visits. Each package will include rebranded canisters and even an official lease agreement for fans to sign.

“Two-thirds of American adults drink coffee every day, which can add up quickly, especially these days,” said Holly Ramsden, Head of Coffee for North America at The Kraft Heinz Company. “Maxwell House believes no one should have to go without great tasting coffee. Maxwell Apartment delivers the same delicious taste people know and love, at a value that celebrates all our fans are doing to make smart choices in their lives.”

The company emphasized that only the name is changing. Consumers can expect the same flavor, aroma, and quality that Maxwell House has guaranteed for over a century under its “Good to the Last Drop” legacy. The Maxwell Apartment campaign is one of two major initiatives launching this fall, underscoring the brand’s continued commitment to providing both consistency and value in an increasingly competitive coffee market.

As Maxwell House leans into its new identity, the rebrand underscores a broader message: smart choices add up. Whether in housing or in coffee, the company wants consumers to know they can enjoy premium taste without paying premium prices.

SCA Officially Launches New Q Grader Program with Coffee Value Assessment

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The Specialty Coffee Association (SCA) has officially launched enrollment for its updated Q Grader program, marking the start of a new era for one of the most respected certifications in the global coffee industry.

The move follows the association’s acquisition of the program earlier this year from the Coffee Quality Institute (CQI), a historic shift that positions the SCA as the sole operator of a license long considered the gold standard for coffee evaluation. From October 1, 2025, all Q Grader courses worldwide will be delivered under the new system, aligned with the Coffee Value Assessment (CVA).

For years, the Q Grader license has been globally recognized as the highest credential in sensory evaluation, cupping, and green coffee grading. Graduates of the program have carried a certification that is not only respected but also vital to trade, communication, and quality assurance across the coffee value chain. The revamped program now integrates the CVA, a scientifically rigorous framework developed by the SCA and adopted in 2024 after years of research. Unlike the traditional cupping form it replaces, the CVA provides a broader picture of coffee’s qualities, considering not only intrinsic sensory characteristics but also extrinsic factors such as processing methods and certifications that influence market value.

The decision to integrate the CVA into the Q Grader curriculum represents the SCA’s commitment to driving progress in specialty coffee evaluation. Participants in the new program will undergo six days of intensive training and testing, designed to challenge their ability to detect differences and defects, describe sensory profiles, and apply the CVA in real-world contexts. The program has been tailored for experienced coffee professionals, enhancing their sensory acuity and preparing them to communicate coffee’s value with clarity and confidence. The result is a global network of modern Q Graders whose training reflects the latest advancements in sensory science and the continued evolution of the specialty coffee sector.

The SCA has emphasized accessibility as a central pillar of the new launch. Recognizing that the Q Grader license is critical for professionals worldwide, the association has introduced a new country-specific pricing model. By dividing the world into five tiers based on economic conditions, the program ensures that participants in lower-income regions are not excluded from pursuing certification. This model makes the license more affordable, while an expanded network of Q Instructors opens new opportunities for education across diverse markets. From producers and exporters to roasters and importers, coffee professionals in every corner of the globe will have greater access to one of the industry’s most influential programs.

The updated program offers multiple pathways to certification. New entrants can register for the full Q Grader course, while experienced professionals may pursue fast-track options to upgrade or renew their credentials. Arabica and Robusta Q Graders, holders of the SCA Sensory Skills Professional Certificate, and Cup of Excellence judges are among those eligible for accelerated pathways, provided they complete the CVA for Cuppers course by December 31, 2025. A fast track is also available for those seeking to become Q Instructors, with eligibility extended to educators and evaluators including CVA Trainers, Q Instructors, Cup of Excellence Head Judges, and SCA Sensory Skills Authorized Trainers. After the fast-track window closes at the end of 2025, the SCA will require candidates to follow a more extensive pathway that includes both Q Grader certification and instructor onboarding.

The program is not only academically rigorous but also deeply practical. Learners will be evaluated through cupping sessions, sensory exercises, and green coffee assessments, testing their knowledge across physical, descriptive, affective, and extrinsic categories. Those who successfully complete the course will earn the globally respected Q Grader license, recognized across the coffee value chain as a mark of excellence. The SCA has positioned this as a crucial step toward building a more unified global language of quality, one that connects producers, traders, roasters, and consumers with a shared framework for evaluating coffee.

The launch of the new Q Grader program also reflects the strategic partnership between the SCA and CQI, which was first announced in April 2025. Under the terms of the agreement, the SCA will license the program for ten years, paying CQI $250,000 annually. While CQI is no longer involved in administering the program, the collaboration ensures that its original mission—supporting producers and enhancing coffee quality—remains central to the program’s future.

As the transition takes effect, questions remain about how quickly the new system will be embraced across the industry. Some professionals have expressed skepticism about the CVA’s necessity, while others have applauded its potential to capture the complexity of modern coffee markets. Regardless of these debates, the SCA is moving forward with confidence, positioning the new Q Grader program as a scientifically robust and globally inclusive certification.

The association has also committed to supporting learners with preparatory resources. For those new to coffee evaluation, the SCA recommends starting with its Intro to Cupping workshop, a foundational course designed to build skills in sensory analysis and cupping practices. For more advanced professionals, recommended reading lists and preparation activities are available to ensure readiness for the intensive Q Grader assessments.

With enrollment now open and courses already available in select regions, the SCA is calling on coffee professionals worldwide to take part in what it describes as a new era in coffee evaluation. The updated program is expected to strengthen professional standards, support communication and collaboration across the global value chain, and expand the very definition of specialty coffee. For those who pass, the Q Grader license remains not just a certificate but a symbol of credibility, expertise, and leadership in the evolving world of coffee.

Jacu Bird Coffee Escapes Trump’s Tariffs as Brazil’s Specialty Exports Collapse

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While Brazil’s premium coffee exports are reeling under heavy U.S. tariffs, one unusual specialty brew has managed to stay untouched: coffee produced from beans eaten and excreted by the Jacu bird.

In early August, U.S. President Donald Trump imposed a 50% tariff on Brazilian goods amid a political dispute with President Luiz Inácio Lula da Silva. The move has slashed U.S. imports of Brazilian specialty coffee by nearly 70% in August alone, according to the Brazilian Specialty Coffee Association. The damage has been especially severe for premium brands, long favored by American consumers.

Yet Jacu Bird coffee — a rare Arabica harvested at Fazenda Camocim in Brazil’s Atlantic Forest — has emerged unscathed. The beans are naturally processed through the digestive tract of the Jacu, a fruit-eating bird of the Penelope species, giving the coffee a distinctive floral aroma and balanced acidity.

“Americans don’t have the same vision as the Japanese, Asians, Saudis, or Europeans in seeking out this type of quality,” said Henrique Sloper, producer and CEO of Fazenda Camocim. “For us, the tariffs don’t affect this product.”

Jacu Bird coffee, which can fetch up to £960 ($1,300) per kilo, has gained strong followings in Japan, Europe, and parts of the Middle East. Its production was inspired by Indonesia’s famous Kopi Luwak, made from beans digested by civets.

Rogerio Lemke, agriculture supervisor at Fazenda Camocim, explained that the bird’s varied diet enhances the beans’ profile: “The Jacu eats fruit as well as coffee. Inside its craw, the coffee absorbs the fruit’s characteristics, adding complexity to the cup.”

While this niche product thrives, the broader sector is suffering. Brazil’s coffee exporters group Cecafe confirmed that specialty beans have been hardest hit by the tariffs, driving a “ruinous” decline in shipments to the U.S.

Sloper admitted the farm’s other coffees, which form the bulk of production, are facing losses: “America is the largest coffee market in the world, and we’re shut out. In the short term, it’s very bad. But in the medium and long term, it may push us to open other markets.”

For now, the Jacu Bird — once seen as a nuisance in coffee groves — has unexpectedly become a symbol of resilience in Brazil’s struggling specialty coffee industry.

Bain Capital Submits Bid to Acquire Costa Coffee from Coca-Cola

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US private equity firm Bain Capital has made an initial bid to acquire Costa Coffee from beverage giant The Coca-Cola Company, according to sources familiar with the matter.

The bid was submitted through Bain Capital’s Special Situations unit, which has invested more than $17bn since its launch in 2018 and currently manages over $21.6bn in assets. The investment group already counts boutique bakery-café chain Gail’s and restaurant brand PizzaExpress among its portfolio.

The development follows less than two weeks after Apollo Global Management, once considered the frontrunner, withdrew its interest in the UK-based coffee chain. Reports indicate that Coca-Cola has received fewer offers than expected for Costa, which operates more than 4,100 outlets worldwide. London-based TDR Capital, which has stakes in UK supermarket Asda and QSR brand Popeyes, also submitted a preliminary bid last month.

Coca-Cola has been exploring a sale of Costa since August 2025, nearly seven years after acquiring the company from Whitbread in January 2019 for $4.9bn. Speaking after Coca-Cola’s second-quarter earnings release earlier this year, CEO James Quincey admitted that the group’s investment in Costa Coffee “is not where we wanted it to be.”

A sale would likely see Coca-Cola incur losses of several billion dollars compared to its original purchase price. However, the company is expected to retain ownership of Costa’s ready-to-drink (RTD) beverage portfolio.

Founded in 1971, Costa Coffee is the UK’s largest coffee chain, with its home market accounting for around two-thirds of its global footprint. The brand reported 9% year-on-year sales growth in the 12 months ending 31 December 2023, reaching £1.2bn ($1.6bn), with the UK contributing 96% of total sales.

Worth $58.5 Billion: US Coffee Market Slows Under Cost Pressures

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The US branded coffee shop industry, one of the largest in the world, is showing signs of strain as growth slows amid rising costs and a tough economic climate. According to new industry research, the market is now worth around $58.5 billion, achieving 6.6% annual sales growth — a dip from last year’s 7%.

Despite the cooling pace, the market continues to expand in size and scale. Net outlet growth reached 4.2% in 2025, bringing the total to more than 45,200 stores across 588 brands, although this marks a slowdown from the 5.1% growth recorded in 2024.

Expansion Meets Resistance

Big players are still adding stores. Starbucks, Dunkin’, Dutch Bros, and 7 Brew each expanded by more than 100 outlets over the past year. Yet, broader growth has been curbed by record-high green coffee costs, persistent inflation, and a 50% tariff on Brazilian imports, which together create unprecedented pressure on operators.

Drive-thru coffee chains are leading the charge. Dutch Bros surpassed 1,000 locations, while Arkansas-based 7 Brew posted the fastest expansion rate in the sector. Black Rock Coffee Bar, following its $294 million IPO in September 2025, is also preparing for nationwide growth.

Adding to the competitive landscape, China’s Luckin Coffee and Cotti Coffee have entered the US market. At the same time, more than 50 independent café businesses grew to five or more outlets, officially stepping into the branded chain category.

Consumers Pay More, Confidence Drops

Sales figures were propped up by higher menu prices. Over the last year, the average cost of a 16oz latte, cappuccino, or filter coffee rose by 3%, while iced coffee went up by nearly 5%.

Although more than half of US industry leaders reported positive sales, fewer than a third described overall trading conditions as favorable — down sharply from 2024. Just 20% of executives expect conditions to improve in the coming year, and more than one-third now predict that coffee shop sales will lag behind US GDP growth.

Non-Dairy Options Go Mainstream

One of the most notable shifts in consumer trends has been the removal of surcharges for plant-based milks. Eighteen of the 20 largest coffee chains — including Starbucks, Dunkin’, and Dutch Bros — now serve oat, almond, and other dairy alternatives without extra charges.

Still, nearly two-thirds of industry leaders believe that surcharges remain justified due to higher costs, and more than half of customers indicated they would pay extra for their preferred alternative milk. Almond milk continues to dominate demand.

Outlook to 2030: Resilience and Adaptation

Even with mounting headwinds, the sector shows long-term resilience. Market forecasts project that the US branded coffee shop industry will exceed $63 billion within a year and reach $82.4 billion by 2030, supported by outlet growth to more than 57,700 stores nationwide.

Industry experts say growth will increasingly depend on portfolio adjustments and new strategies to meet evolving customer expectations in a challenging economy.

CQI Marks International Coffee Day with New Chapter in Coffee Quality Journey

Posted on by Qahwa World

Dubai – Qahwa World

On International Coffee Day 2025, the Coffee Quality Institute (CQI) announced a historic transition: the conclusion of its Quality Evaluation Program after more than two decades and the launch of a new chapter focused on advancing coffee quality and sustainability.

Michael Sheridan, Chief Executive Officer of CQI, emphasized the milestone: “As we turn the page, I want to honor the nearly 20,000 people who have earned Q Grader Certification since the inception of the program: you are the vanguard in a global movement for coffee quality. And I want to specially recognize the Q Instructors who have trained and certified all those Q Graders: you are pioneers who have held a light to the darkness, and your work helped to catalyze a revolution in coffee quality in the span of a single generation.”

A Fresh Look for a New Era

To mark this transition, CQI unveiled a refreshed logo and website, designed to evoke coffee’s origins. The institute underlined that while its visual identity has evolved, its mission remains constant: improving the quality of coffee and the lives of the people who produce it.

Focus on Post-Harvest Processing

Sheridan highlighted the growing importance of CQI’s Post-Harvest Processing (PHP) Program. In September alone, CQI welcomed 14 new instructors for the PHP Generalist Course, expanded its training pool, and set a course for releasing an all-new PHP Professional Course by the end of 2025. Preparations are also underway for the PHP Expert Course in 2026, with students, instructors, mentors, and guest lecturers already engaged.

“Innovation in post-harvest processing has never been more important in the coffee market,” Sheridan noted. “Our PHP Program is helping reduce risk and expand opportunity for everyone in coffee supply streams.”

Global Partnerships and Impact

CQI also announced new partnerships to expand its global reach. In collaboration with Peet’s Coffee in the U.S., CQI will deliver post-harvest processing education to suppliers, while a partnership with Sinar in the U.K. will enhance access to advanced processing technology.

Additionally, the CQI Global Coffee Fund has awarded support for several initiatives:

Let’s Talk Coffee in Peru

Scholarships for participants in the Women-Powered Coffee Summit (WPCS) in Mexico

Staffing for the Taste of Harvest in Burundi

Engaging the Coffee Community

As CQI transitions beyond the Q program, Sheridan underscored the importance of dialogue with the global coffee community. CQI will convene producer-focused discussions at major events, including the WPCS in Mexico and Sintercafé in Costa Rica, and will launch a global survey in October to gather input from stakeholders worldwide.

“I hope you will take time to respond and make your voice heard,” Sheridan said. “Coffee needs your leadership.”

With this transition, CQI signals a future shaped by collaboration, innovation, and a continued commitment to quality at every stage of the coffee value chain.

JDE Peet’s Calls on Coffee Industry to Embrace Regenerative Agriculture Roadmap

Posted on by Qahwa World

Amsterdam – Qahwa World

On International Coffee Day, JDE Peet’s (EURONEXT: JDEP) marked the tenth anniversary of its Common Grounds farmer programmes with a strong call for the global coffee industry to implement the Regenerative Agriculture Coffee Roadmap. The company stressed that urgent action is needed to secure the future of coffee as climate change continues to disrupt production through unseasonal weather, rising temperatures, and shifting rainfall patterns.

Laurent Sagarra, Vice President of Engagement at JDE Peet’s, said that resilient supply chains benefit everyone, from consumers and companies to farmers themselves. He noted that the company has already reached nearly one million farmers over the past decade, but warned that the scale of climate risk demands faster, collective action. “We cannot wait another century to support the millions of farmers who still need help,” he said. “The time to act is now.”

JDE Peet’s farmer programmes, launched in 2015 as part of the company’s Common Grounds sustainability strategy, aim to strengthen coffee-growing communities by promoting regenerative agriculture, improving farmer livelihoods, and fostering thriving coffee regions. Using a data-driven approach verified by independent assessments, the programmes have already made measurable progress. More than 835,000 farmers in 29 countries have benefited, half of the farms involved have adopted regenerative practices such as soil management and water conservation, and 83.2 percent of the company’s green coffee is now responsibly sourced worldwide, including 100 percent in Europe.

The roadmap JDE Peet’s is urging the industry to adopt outlines proven regenerative practices that can reduce greenhouse gas emissions, restore ecosystems, and boost coffee production. Studies suggest that supporting farmers to transition could increase global coffee exports by 30 percent, improve the incomes of more than three million smallholder farmers, and cut emissions by 3.5 million tons of CO₂e annually.

With 12.5 million coffee farmers worldwide, many managing less than one hectare of land, the company underlined that the challenges cannot be met by one player alone. As it celebrates ten years of engagement with farmers, JDE Peet’s is pressing the entire industry to join forces in ensuring that coffee has a sustainable and resilient future.