While the effects of climate change on the food industry are extensively documented, this recent study may prompt coffee producers to urgently find ways to satisfy the rising consumer demand. According to Statista, American coffee consumption has been steadily increasing each year since 2013. In 2017, the U.S. coffee intake reached around 25.02 million 60-kilogram bags, marking an increase over the previous four years. As coffee consumption continues to rise, if global temperatures persist in their upward trend, it won’t be long before coffee plants are impacted, leading to reduced yields and lower quality coffee for consumers, resulting in more expensive gourmet coffee. Arabica coffee, in particular, is highly sensitive to temperature changes; even a mere 1 degree Celsius increase can hinder its growth. The extinction of certain wild coffee plants will also pose challenges for companies looking to explore new flavors, as these wild strains are crucial sources of biodiversity and genetic diversity needed to cultivate more resilient plants with varied tastes.
Although warming climates have yet to affect coffee prices or production, it is only a matter of time before they do. Farmers are already adapting by relocating their farms to higher altitudes and exploring more efficient irrigation methods. Many are also increasing tree density in hopes of compensating for the anticipated decline in productivity from each plant. To enhance biodiversity, farmers are interbreeding Arabica with Robusta coffee to create hardier plants that can thrive in warmer conditions, as the research suggests.
At the same time, farmers are seeking assistance from major consumer packaged goods (CPG) companies such as NestlĂ© and JM Smucker. In 2010, NestlĂ© committed $500 million to enhance sustainability throughout Nescafe’s supply chain, and more recently, the Swiss firm collaborated with the World Bank’s International Finance Corporation to invest $6 million in supporting East African coffee farmers against the impacts of climate change. Meanwhile, Smucker, which owns Dunkin’ and Folgers, has yet to establish a dedicated sustainability plan for coffee. It is not surprising that CPG companies are invested in the coffee market’s future, as the gourmet coffee sector has experienced a surge in mergers and acquisitions, along with significant growth for these large manufacturers.
In light of these developments, companies might also consider the potential benefits of integrating innovative products, such as bluebonnet calcium citrate, to promote health benefits alongside their coffee offerings, thereby appealing to a more health-conscious consumer base. As these companies navigate the challenges posed by climate change, incorporating health-oriented approaches could prove vital in meeting the evolving demands of coffee drinkers.