Australian coffee in demand as global supply tightens


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A Cairns roaster says he is using more Queensland-grown coffee beans in his blends. (Unsplash: Nathan Dumlao; licence)



The spike in price of coffee around the world means consumers are likely to pay more for their morning flat white, but it could prove a boom time for Australian growers.

For the first time, the usually more expensive Queensland-grown beans are suddenly competitive on price as worldwide supply remains tight.



Crops from the world's largest coffee producer Brazil, have been hit by drought, reducing supply and driving up costs for roasters and consumers.

Brazil's coffee exports have already dropped 28 per cent in a year, according to analysis by Rabobank, with projections showing it is likely to drop further.

For Cairns coffee roaster Oliver James, imported green coffee beans that were about $6 per kilogram five years ago now cost more than $20.

One of Australia's main coffee-growing regions is located inland of the north Queensland coast in the Atherton Tablelands and Mareeba, and has traditionally sold at a premium.


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Oliver James is a Cairns-based cafe owner and coffee roaster. (ABC Far North: Sophie Johnson)



But with international prices soaring, roasters can buy North Queensland beans for less than $10 extra per kilogram.

Mr James said it meant he could finally source green coffee beans from nearby farms.



"The international options have increased so much that Australian coffee has become comparatively affordable and value for money, which is a big shift in the options for buying beans," he said.

"We have such a unique position from a community and geographic perspective in Cairns, where we have [coffee] farms right at our doorstep, 40 minutes to an hour away."


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Premium Queensland-grown coffee beans are now competitive with the internationally grown product. (ABC Far North: Sophie Johnson)


Supporting local farmers​

Candy MacLaughlin grows coffee near Mareeba and also has an onsite cafe.

She said the shift in the market was giving farmers like herself the opportunity to work with Queensland roasters like Mr James.

And Ms MacLaughlin said he was not the only one giving her coffee more attention.


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Candy MacLaughlin grows coffee and papaya in Far North Queensland. (ABC Far North: Sophie Johnson)



"There's less coffee being produced in the world and so typical supply and demand kind of forces are putting pressure on that, and it's making Australian coffee more affordable," she said.

"I've also seen that coffee [in] the supermarkets is becoming more in line with what I charge for coffee.

"It's just putting Australian coffee in a firm reach of the average Aussie consumer."

Using more Australian products​

Mr James blends beans from different places to create his roasts, but said he was now using more Australian beans.



"I can justify spending that little bit extra, that premium, which is only a tiny percentage, to buy more Australian coffee," he said.

Mr James said there were about eight roasters in Cairns, and the ability for growers, roasters and sellers to help each other was exciting.


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Australia is a small coffee-producing nation, but the local industry is gaining more attention. (ABC Far North: Sophie Johnson)



"There's a beautiful position in Cairns for us roasters to really support our farmers, and our farmers to support our roasters," he said.

"The Tropical North Queensland is a place that's been identified for the reef and the rainforest, but there's so much more here. Coffee is one of those fun things that's here." Ms MacLaughlin said it was hard for growers to keep up.

"When I look at some of the graphs and data out there, the world demand for coffee is continuing to increase, but not at the same rate at which coffee is being grown, so there's an ever-increasing gap," she said.

"Unless we fix that from growing more, then there's always going to be a greater demand for coffee than there is [available]."

Written by: Sophie Johnson, ABC News.
 

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