SEATTLE -- Just weeks after proclaiming that its coffee prices would hold steady [see story], Starbucks said it is planning price hikes to offset skyrocketing costs for green coffee and other key raw ingredients, including dairy, sugar and cocoa.
The retail coffee giant said that while it has no plans to raise prices across the board in Starbucks stores, it does plan to increase prices on "select beverages" in certain markets.
It expects to maintain or lower the price of some of its most popular beverages, including some espresso beverages and, in most markets, its popular $1.50 tall brewed coffee. It plans to raise prices of labor-intensive and large-size beverages.
The company said it could not rule out raising the price of packaged coffee in other channels in the coming months.