Cafes turn to in-house roasting to manage rising costs

Cafes facing higher expenses are roasting coffee on site to control margins and create new revenue streams. Green bean prices exceeded four dollars per pound in early 2025, while rent, wages and other costs have climbed since the pandemic.

Operators report concrete savings from the shift. Teremok Coffee & Desserts founder Michael Safarov said weekly costs fell by 754 dollars after installing a compact roaster, allowing the machine to be paid off in under six months. The business replaced purchased decaf, drip and cold brew with its own output.

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The specialty coffee industry is expanding rapidly, with more roasters opening worldwide, particularly in emerging markets. This growth intensifies competition and squeezes margins for traders amid high costs and consolidation. Experts highlight both opportunities and challenges in the evolving supply chain.

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Bellwether Coffee has doubled the installed base of its Shop Roaster and grown its Green Coffee Marketplace to over 30 global coffees. This expansion comes as cafés increasingly adopt in-house roasting to enhance quality, margins, and branding. The company shipped more roasters in 2025 than in the prior five years combined.

President Donald Trump's tariffs on green coffee beans, imposed in April 2025 and later exempted, caused price volatility and uncertainty for Montana roasters. Helena-based roaster Steven Ladefoged described weekly fluctuations in costs due to negotiations with various countries. While some benefits emerged for other sectors, the measures raised retail prices and strained importers.

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Turkey's centuries-old Turkish coffee culture persists, but specialty coffee shops and roasters are proliferating across major cities. Younger consumers drive demand for espresso, filter, and milk-based drinks, while local brands eye global markets. Consumption has risen 15.6% annually, per the International Coffee Organisation.

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