How we price our coffee
We are occasionally asked how we price our coffees and the short answer is; that we source coffee based on our values of being ethical, sustainable, high quality and traceable.
The geographical situation of svalbard also means that there are additional costs to us in getting our supplies.
In buying our coffee you essentially pay the livable wage of the farmer and the sustainability of the practice on their farm (we aim to be as transparent a possible).
Green coffee (Typically we pay up to 14USD per kg for specialty grade)
Shipping (literally half way around the world to get to us can prove to be a logistical nightmare)
Wage of roasters (roasting, bagging & quality control- Average wage is 200NOK per hour for our skilled workers)
gas, electricity, bags and maintenance (which is also influenced by recent fluctuating shipping prices)
Renting space and coffee storage (Anyone who lives in Longyearbyen knows this struggle and we need to keep the green coffee as fresh as possible, under 10C)
Insurance, fees, European import, customs
Profits (Our profit margins are not as high as most other roasters on the mainland. But our profits typically go towards equipment, education, research and development and business projects)
In truth we aim to make our coffee as affordable as possible whilst still covering our costs of production. Being part time certainly is an advantage in that sense.
Many developed nations enjoy their high standard of living as a result of past and sometimes current exploitation of much poorer nations, particularly when it comes to commodities such as coffee, tea and chocolate. The industry of commodities can be inherently biased against the producer.
We are under no illusion that we can affect major change as a small scale roastery to such a massive industry, but we can ensure that the farmers are paid a price that reflects the work that they put in year round and hopefully convince others to buy more ethically sourced products.
A 15 minute morning drink shouldn’t cause the people who produce it to suffer and financially struggle.