By Marvin G. Perez
Rising food prices are eating into corporate earnings, and the coffee industry is no exception.
For seasoned traders paying the current price above $2.30 for a pound of Arabica beans this may not be so shocking, especially if they lived through the price spike to $3.18 a pound seen in 1997. But for younger entrepreneurs who entered the growing specialty market over the last few years, the price rally has jolted many.
Are prices heading towards $4 or $5 a pound? Or will world farmers, enjoying the highest quotes in more than 13 years, start producing enough coffee to meet growing demand?