Coffee lovers will have to reach deeper into their pockets to buy their some of their favorite packaged coffees.
On Tuesday, S.J. Smucker (SJM) announced that coffee prices for its popular packaged brands would rise for the first time in three years. The higher coffee prices will affect popular SJM packaged brands including Folgers and Dunkin’ Donuts coffees, Reuters notes.
Coffee prices for SJM brands will increase about 9% on average. K-Cup coffee packs are not affected by the price hike. SJM attributed the rise in coffee prices to higher costs for coffee beans.
A drought in Brazil has dented the country’s coffee bean crop and sent arabica coffee bean prices surging on world markets. Higher retail prices for packaged coffees were seen as a likely consequence.
Last year, SJM trimmed the prices of Dunkin’ Donuts and Folgers coffees as coffee bean prices sank.
Shares of SJM slipped slightly in Tuesday morning trading.
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