Colombia Coffee May Get More Pricey

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Since the peso is gaining value, Colombia's coffee agency may up the coffee export fee

Colombia's coffee industry may be in trouble, with Dow Jones recently reporting that an agency overseeing Colombia's coffee may increase an export fee on coffee beans.

The Colombina Coffee Growers Federation (Fedecafe), currently swipes $0.06 for every pound of coffee exported, but now that the peso is stronger, the $0.06 are worth less to them. A spokeperson told Dow Jones Newswires that the $0.06 "is barely half of what it was a few years ago."

Fedecafe is hoping to increase the export fee, which would not only decrease the profit margin of farmers, but also affect roasters on the supply chain. Buyers may turn to Guatemala instead, and the Colombian coffee crop has already been damaged by heavy rainfall.

Colombia's congress will have to approve the fee hike, so get your Colombian coffee while you can.