Coffee Price Increases

The increase details below are from March 2007:-
The past 12 months have been a difficult time for all businesses in the UK but increases in all fuel and energy prices have hit manufacturing particularly hard. Couple to this the increases in green coffee over the past 12 months and Pennine Tea and Coffee Ltd have been left with no alternative but to increase prices from the 1st April 2007.
To help you understand the reason for this increase I have listed out the average national % increases applied to fuel and energy cost over the past year.

Product	% increase	Source
Electricity	9.5%	Energy Watch UK
Gas	22%	Energy Watch UK

Pennine Tea and Coffee Ltd has tried to minimize the impact of these increases but unfortunately from the 1st April prices of coffee will raise by 10%, this represents an increase of less than 1pence per cup. Unfortunately the cost of raw green coffee is still increasing and we may be put in the regrettable position of having to increase prices again later in the year, of course we will endeavour to keep any increase to a minimum.
An indicator of how green coffee has risen, in July 2006 the ICO daily composite indicator price was 85, in mid January 2007 it was 110, and increase of 29%.
I would like to take this opportunity to thank you for your valued custom.
Yours faithfully
K.J.Cooper.

April 2008 now sees another iminent increase for a variety of products:-
For more then six months we have seen price increases on a wide range of the products we supply, reasons given by manufacturers include:- Fuel cost increases as well as Gas and Oil price rises. Laminates used in packaging have increased in price, and yet again the cost price of Green Coffee has risen. Sterling has depreciated against the Dollar and Euro, causing the cost price of American origin products to go up. We have seen increases in the cost of Chocolate, Sugar, Whey Powder and Milk recently. The New York C Market for Arabica in November was hovering between 120-125 mark , at the end of February it was just under the 170 mark which is a phenomenal increase which no one can absorb.
Twinings infusions and green tea are increasing from 31st March 2008 but we will not be going up until 14th April 2008. Paper and clear cup increases have been made by all our suppliers due to the price of Oil, and the drop of the Pound against the Dollar and Euro. Border Biscuits and Grandma Wilds Biscuits will increase on 1st April due to increased fuel costs and major increases in the cost price of wheat.