Coffee is not only a fantastic drink but an essential global commodity. The most common species of coffee being harvested globally today are Arabica and Robusta. Interestingly, the Arabian bean takes about 70% of the World’s coffee production. This coffee species which is normally used for making specialty and higher grade coffee mainly comes from Latin America while Robusta is primarily grown in African and Asian countries.
Besides its sweet rich taste and aroma, coffee is an interesting commodity. The allure of a cup of cappuccino, Espresso, Latte and Americano is too irresistible for millions of consumers all over the World. As a result, many people cannot do without this commodity. Actually, it is estimated that about 2.5 billion cups of coffee are consumed each day globally. Well, this is one of the widely traded products in the World. Unsurprisingly, millions of people rely on this commodity directly or indirectly. As a matter of fact, coffee is only second to oil in terms of value internationally.
According to the World Bank, about 95 out of 140 developing countries generate at least 50% of their revenues from this commodity’s export annually. It is believed that more than 25 million families in developing countries produce coffee as a means of their daily livelihood.
With the price of a cup of coffee fluctuating with each passing day, it is important to ask yourself; what are some of the possible factors affecting the economics of coffee?
Market Price Volatility
It is not surprising how the coffee market can get volatile over a very short duration of time. While not every coffee consumer notices the fluctuation in prices, most consumers feel it when it happens. When the coffee market price gets volatile it leads to consumer confusion and annoyance.
It is a fact that the word overproduction is not very common in the coffee industry. For that, prices of this commodity also vary throughout its global market. The truth is that the coffee industry generates sales exceeding $70 billion yearly. Sadly, only about $5billion of this value goes back to the coffee producing countries. Consequently, this has affected the production level of coffee with many farmers in developing countries opting for other cash crops for their own good. In the end, the cost of a cup of coffee the consumers take keeps fluctuating with each passing day.
Number of consumers in the market
Coffee being an essential commodity reigns as the United States largest food import to date. Its global chain starts with coffee producers, a string of middlemen, importers, exporters, roasters, retailers, and consumers. Well, the bottom line is that when the demand for coffee exceeds the supply then consumers should prepare themselves to pay more for their cup of coffee.
By understanding the economics of coffee it will be easy for you to understand why you have to pay more or less for your cup of coffee the next time you order one.
Coffee is a healthy drink. It contains nutrients and antioxidants that can help to boost your health. It reduces the risk of several illnesses and infections according to study. Below are some of the benefits that you will enjoy when you make coffee one of your favorite drinks.
Increased energy levels
Coffee makes you smarter and increases your energy levels. You will feel less fatigue. Coffee contains caffeine, a stimulant that makes you active. Caffeine is easily absorbed into the bloodstream so you will enjoy its benefits within a short time after taking coffee. In your brain, it stops any neurotransmitters that can affect your brain. It boosts your mood, energy, moods and general cognition.
Coffee helps you to burn fats
Most of the commercial fat burning supplements contain caffeine. Since coffee also contains caffeine, it means that you too will enjoy its fat burning capability. It is a natural substance that is readily available. It also boosts your metabolism.
Coffee improves your physical activity
The caffeine contained in your cup of coffee stimulates your nervous system. It allows it to send signals to the fat cells to break down. It also increases adrenaline levels and puts your body ready for an intense physical activity.
The reason is that when it breaks the fat cells down your body uses them as fatty acids or its fuel. Therefore, it boosts your physical performance. It is advisable for you to take a cup, for instance, before going to the gym.
Coffee has important nutrients
One cup of coffee has several nutrients important to your body. These nutrients help to fight Type II diabetes. It does so by reducing of the disease in your body. It has blood sugars that assist diabetes patients to secrete insulin or resist its excess production. Take a cup of coffee every day to help regulate your insulin levels.
Coffee protects against dementia and Alzheimer’s disease
Alzheimer’s disease is one the disease neuro diseases that cause dementia, a disease that affects people in their upper sixties. The cure is not known, but coffee helps to prevent it.
Coffee protects your liver
There are many diseases that affect the liver such as hepatitis and fatty liver illnesses. They cause liver cirrhosis. Taking coffee helps you to protect you from this liver disease among other liver infections.
Coffee makes one happier by reducing depression
Depression is one the conditions that can highly affect your quality of life. People who take coffee regularly reduce their risks of getting anxious or depressed. Coffee is, therefore, important for your body.
Cappuccino is one of the coffee drinks. It consists of double espresso and milk. Surface is topped with milk foam. An espresso machine is used to prepare cappuccino. When preparing, you pour the double espresso, then hot milk of a similar amount. To prepare it, heat and texture the milk using the machine’s steam wand.
History of cappuccino
Cappuccino became popular among the Americans in the 1980s. It is for this reason that people think it is a new drink. However, it has existed for decades among the Italians. The Italian coffee drink can also have cinnamon to make it tasty.
It has a thick layer of foam as compared to other types of coffee. Cappuccino traces its roots from kapuziner. This was served in the 1700s in Viennese coffee houses. Italians first heard of it in the 1930s. You can form a simple shape on the upper heaviest layer.
Cappuccino is nutritious because its ingredients contain different types of nutrients required in the body. Let’s see this in the points below.
Cappuccino is a source of calories that the body requires to generate energy. A cup of cappuccino contains approximately 64 calories, assuming that it is 12 oz. if prepared with no fat milk then a cup of cappuccino has 75 calories. Prepared from whole milk, it has 120 calories. You can choose the one that best suits your preferences.
Cappuccino contains a high concentration of milk. It is the source of carbohydrates in cappuccino. If a cup of 12 oz is prepared using soy milk, it has 9 grams of carbohydrates. If prepared with non fat milk it has 11 grams yet one done with whole milk has 10 grams carbohydrates.
A single cup is therefore nutritional and beneficial to your body.
Cappuccino can help reduce fats and lose weight
Coffee has some level of caffeine. Since cappuccino is prepared from coffee, then it also has caffeine that the body can use to burn fats. It is essential for people involved in intense physical activity because it is a source of energy and fuel.
It contains potassium and magnesium, which are minerals that help your body to consume insulin better. Therefore, it works to regulate your blood sugar. It does so by reducing or controlling your cravings for sugars and snacks.
Increases assertiveness and reduces risk of cancer
A cup of cappuccino is beneficial to your healthy because it fights against prostate cancer and endometrial cancer by fighting the development of cancer cells.