Coffee prices to stay high until 2024 says Lavazza as it warns over earnings

Lavazza has warned over a double-digit drop in earnings this year amid surging coffee bean costs and said its prices are not set to come down for consumers until 2024.

The Italian coffee giant said it is braced for a hefty drop in underlying earnings over 2023 as it looks to limit price hikes.

It raised its prices by 6.2% in 2022, but saw its costs jump to 550 million euros – almost double its underlying earnings last year.

Giuseppe Lavazza, chairman of Lavazza, told the PA news agency that it has not increased prices further in 2023, but that this is impacting its profits as it faces “unprecedented” increases in coffee bean prices.