It is a daily ritual for millions of Australians, but if you have noticed the price of your morning flat white or soy latte increase, brace yourself — it is likely to get worse.

By the end of the year, coffee lovers will be paying up to $7 for a regular cup as cafes nationwide struggle to absorb growing overhead costs warned David Parnham, president of the Café Owners and Baristas Association of Australia.

“What’s happening globally is there are shortages obviously from catastrophes that are happening in places like Brazil with frosts, and certain growing conditions in some of the coffee growing areas,” Mr Parnham said.

“The cost of shipping has become just ridiculous.”

Key points:

  • Prepare to be paying up to $7 a cup by the end of the year
  • Shipping costs and natural disasters in coffee regions are being blamed for the price increase
  • Australians consume one billion cups of coffee annually, but cafe owners say an increase in price won’t change that

It’s nearly five times the container prices of two years ago due to global shortages of containers and ships to be able to take things around the world.

Frosts in Brazil have impacted supply.(Supplied: Melbourne Coffee Merchants)

The pain will be felt from the cities to the outback, but Mr Parnham said the increase was well overdue, with the average $4 price for a standard latte, cappuccino and flat white remaining stable for years.

“The reality is it should be $6-7. It’s just that cafés are holding back on passing that pricing on per cup to the consumer,” he said.

But roaster Raoul Hauri said it hadn’t made a dent in sales, with more than 300 customers still coming through the doors for their daily fix. “No one really batted an eyelid,” he said. “We thought we would get more pushback, but I think at the moment people understand.

“It is overdue and unfortunately it can’t be sustained, and at some point the consumer has to bear that.”

Paving the way for Australian producers

While coffee drinkers will be feeling the pinch, Australian producers like Candy MacLaughlin from Skybury Roasters hopes the increasing cost of imports will pave the way for growth in the local industry, allowing it to compete in the market.

“[In the ] overall cost of business, we haven’t been able to drop our prices to be competitive, so we’ve really worked on that niche base,” Ms MacLaughlin said.

“All those things will help us to grow our coffee plantation once more.”

Candy and her husband Marion produce 40 tonnes of coffee annually but they are prepared to scale up operations(Supplied)

She said the industry could eventually emulate the gin industry, with boutique operations cropping up across the country.

“I think the demand for Australian coffee at the moment is an ever-changing landscape and more and more Aussies are starting to question where their food comes from, who is growing it”

“What you will get is all these kinds of niche coffee plantations who develop a very unique flavour profile and then market in funky packaging and appeal to certain markets,” she said.

“That’s where I see the next stage of the Australian coffee industry going.”

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Liberals lagging other parties in candidates as election call could be days away

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With a federal election call likely in a matter of days, no political party has nominated candidates to all 343 ridings, with Prime Minister Mark Carney’s Liberals behind all the other national parties.

The Conservatives lead the pack, with 258 out of 343 ridings filled as of last week. 

The NDP is in second place, with 217 candidates ready as of Tuesday.

In third place, the Green Party has nominated 208 candidates.

The Liberal Party is at 185.

WATCH | When will there be a federal election?: 

When Canada could have an election

26 days ago

Duration 0:39

CBC News chief correspondent Adrienne Arsenault and Power & Politics host David Cochrane discuss the potential timing of a Canadian election, which would likely be April 28 or May 5.

The Bloc Québécois, which only runs candidates in Quebec, has names for 53 of the province’s 78 ridings. Though only 11 were officially nominated as of Tuesday, the party points out 29 of its current 33 MPs have announced they plan to run again, and some 16 other people have been announced as candidates.

“It’s important to remember that the Liberals just went through a leadership campaign and many MPs, before the Liberal leadership contest and before the resignation of Mr. Trudeau, were clearly dissatisfied with their leader and some threatened to walk out the door,” said Cristine De Clercy, a political science professor at Trent University.

De Clercy pointed out Carney’s new leadership, along with the rising fortunes for Liberals in the polls, may change the calculus for some potential candidates.

“It’s difficult to recruit candidates when you’re not sure if the incumbent is leaving or not,” she said. 

But as it looked like Carney would win the leadership race, some incumbents who had previously announced they were not running changed course, such as Industry Minister Anita Anand and Saint John-Rothesay MP Wayne Long. 

Still, Melanee Thomas, a professor of political science at the University of Calgary, said the number of Liberal nominees is unusually low this close to a campaign.

“It is just about half of the candidates that they need,” she said. “That’s got to get up there before they drop the writ.”

Thomas, who ran for the NDP in 2004 and 2006 under Jack Layton, also said it is little surprise the Conservatives are ahead of everyone else. 

“They’ve been agitating for an election for months,” she said. 

A man in a blue suit stands in front of a Canadian flag.
Pierre Poilievre’s Conservatives have the most nominees in place ahead of a possible snap election this spring. (Adrian Wyld/The Canadian Press)

De Clercy agreed, saying the Conservatives “clearly are on the ball.” 

Thomas said parties which are preoccupied with meeting gender and diversity quotas to better represent Canadian demographics tend to have longer nomination periods. She pointed to the NDP’s constitution having such obligations.

Little time for vetting before snap election

Both Thomas and De Clercy said one hazard for all parties is vetting candidates too quickly.

De Clercy said there’s the risk that candidates have made online posts, potentially dating back to when they were teenagers, that could become a problem for the party if they were to resurface during the campaign.

Rushing to fill the vacant spots “leaves parties and candidates vulnerable to gaffes,” Thomas agreed. 

Though Parliament is officially prorogued until March 24, Carney is an unelected prime minister, with no seat in the House.

Since his victory in the Liberal leadership race last week, many senior elected officials have said Canadians need a government with a strong mandate to lead the country amid the economic threats represented by U.S. President Donald Trump.

“The prime minister is committed to the electoral process,” Anand told CBC’s Power and Politics host David Cochrane on Monday.

“I know the prime minister would like to have a seat in the House of Commons, and we would very much like to see him sitting there with us as the prime minister of this country,” she said. 

The opposition parties have threatened to vote down the Liberal government in a non-confidence motion if Parliament resumes before an election.

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