GRAND RAPIDS, Mich. — While coffee prices rise globally due to bean shortages and tariffs, one local business is keeping costs steady for customers.
Lantern Coffee Bar and Lounge in Grand Rapids has managed to maintain its prices despite industry challenges. The shop has even expanded its reach, now selling coffee beans nationwide through its online store.
Jon Bailey, co-owner of Lantern Coffee, says the business started roasting beans in-house last year, allowing them to work directly with small farmers in Colombia and Honduras.
"Our margins have been a little better, so we can actually afford to lower our prices by a tiny bit. For now, we'll see what happens, say in a year," Bailey said.
This direct-sourcing approach helps shield the business from volatile commodity markets.
"There's about a billion-pound shortage of coffee globally, which inflates the bottom floor-priced coffees, we don't buy at the bottom floor. We never have. We don't intend to," Bailey explained.
Another challenge facing the coffee industry is the 10% tariff the United States has placed on coffee bean imports. Bailey hopes these tariffs will be reconsidered.
"The tariffs will increase our cost. Our goal is to just absorb that cost, as long as it makes sense for us to," he said.
The business finds satisfaction in its growing national customer base.
"Someone in Illinois bought our coffee and sent us a really nice email. It just makes me really proud," Bailey noted.
Despite ongoing challenges in the coffee market, Lantern Coffee remains committed to its mission.
"Our goal at the end of the day is just to have an affordable cup of coffee for the city of Grand Rapids and be able to sell fun coffees to people all over the country," Bailey said.
The shop says it will continue working to avoid passing price increases to customers, even if coffee beans remain subject to tariffs.
This story was initially reported by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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