Tim Hortons Inc. chief executive Don Schroeder is optimistic that a good year for Colombian coffee crops could mean the price of your morning cup of joe will hold steady for the foreseeable future.
While the head of Canada’s iconic coffee and doughnut chain didn’t make any promises about holding back from price increases, he did provide a glimpse of a brighter future for coffee lovers who were burned last year when a smaller crop and bad weather helped raise the price of a cup of coffee.
“We see this year there should be some relief by the time we get into the third and certainly the fourth quarter of this year,” Schroeder said in an interview Thursday.
“Brazil has just started harvesting what is likely to be a record size crop. As that starts to hit the market, it’s going to ease the pressure... on the overall price of coffee.”
He added: “Our hope is that the price of coffee to our store owners will be able to keep stable.”
Schroeder noted that other factors also influence the price of a cup of coffee, such as operating costs at its franchised locations. However, he noted, the industry has reached a calmer period compared with a year ago when the economy was particularly shaky.
“Last year, because there was so much uncertainty, we were reviewing the (pricing) situation almost on a monthly basis,” he said.