High coffee prices are becoming a lasting reality for the industry. While many assert that this signifies a long overdue change, as coffee has historically been an undervalued commodity, price volatility affects all levels of the supply chain in various ways.

For coffee shops, in particular, margins are tighter than ever. Many are facing the difficult decision to raise their retail prices, seeking new ways to streamline operations and manage cash flow more effectively.

One solution is roasting coffee in-house. Although this gives café operators more oversight over their supply chains, there are still key considerations to factor in.

I spoke with Dajo Aertssen at Cafés MUDA and Jens Crabbe at MOK Coffee about their experience working with Stronghold machines.

You may also like our article on how automation can make the coffee sector more productive.

Rising coffee prices have become unavoidable

Over the last two years, green coffee prices have risen rapidly, with no definitive end in sight. In early February 2025, arabica futures surged to US $4.41/lb, their highest-ever levels, and have remained above US $3.50/lb in the weeks since.

The situation is the result of a complex web of interconnected factors, but is primarily attributed to the world’s two largest producers of coffee, Brazil and Vietnam, experiencing ongoing climate-induced supply shortages. Compounded by historically low global stockpiles, these disruptions in major producing countries have resulted in significant price hikes.

Sensing opportunity in this scarcity, commodity brokers and speculative investors have increasingly bet on continued price appreciation, further accelerating market volatility.

Green coffee has rarely been a product that offers roasters a high markup, but in a post-pandemic world, profit margins have become thinner as costs increase across the board – from labour to energy to packaging.

“Everything keeps getting more expensive, which is normal, but now it’s happening at a faster rate,” says Jens Crabbe, the founder of MOK Coffee, a specialty coffee roaster in Brussels, Belgium, which uses a Stronghold S9X machine. “Historically, coffee is a cheap product compared to tea, beer, and other alcoholic beverages, so it’s a necessary price increase; coffee is undervalued as a commodity.”

Because of its historical association with being a cheaper product, however, some consumers are reluctant to adjust to price increases.

“People who don’t want to pay higher prices might complain about paying a couple of Euros more for an excellent coffee, but will spend the same amount more on a can of craft beer, which is faster to make, probably locally made, and historically more expensive,” says Jens.

This ultimately puts roasters and coffee shops in precarious positions, striking a balance between absorbing and passing on additional costs.

Why more café owners are roasting their own coffee

Price volatility is becoming a lasting reality for the coffee industry. A recent UN report asserts that the residual impact of high coffee prices could affect consumers for the next four years, foreshadowing a significant shift in their behaviour. For many, visiting a coffee shop may become less of an affordable luxury, as they pivot to at-home consumption to manage monthly budgets.

Café owners inevitably have to make difficult decisions. With margins already slim, they will need to pass on some of the additional costs to consumers and find new ways to streamline operations.

One option is to start roasting coffee in-house, rather than relying on wholesale suppliers. While this decision allows businesses to have more control over their supply chains, it also comes with a number of crucial factors to consider before making the transition.

First and foremost, café operators need to look beyond the immediate impact of high coffee prices and understand how roasting can be integrated into a long-term vision for their business.

“Cafés that want to roast in-store shouldn’t do it because of price alone,” Jens tells me. “If your only motivation to roast yourself is because it’s cheaper, then it’s the wrong part to focus on. You also need to create added value to your business and the customer experience in their shop.

“Café owners should still take responsibility to learn if they want to become coffee roasters,” he adds. “Technology certainly helps, but you need to learn how to do it firsthand.”

Switching from wholesale suppliers to roasting in-store is a significant transition, but with it comes a greater connection to the product itself. Café operators are able to exert more control over their supply chains and the quality of the coffee they serve, empowering them to make more effective business decisions that streamline operations and improve efficiency.

Moreover, establishing closer relationships with producers, importers, and exporters adds more value to the wider supply chain, which can be marketed and communicated to consumers.

How in-store roasting impacts operations

Naturally, switching from buying roasted to green coffee has a number of implications for business owners. Not only is green coffee lower in cost per pound when compared to buying wholesale roasted coffee, but price volatility can also be easier to manage. Café owners are able to oversee the costs of green coffee directly, bypassing the additional costs from wholesale retailers, which would inevitably have to be absorbed or passed on to consumers.

As a result, business operators have more control over their cash flow management, although green coffee sourcing still requires careful planning.

“We, like every other company, have been faced with higher operating costs, says Dajo Aertssen, the CEO and head of coffee at Cafés MUDA, a specialty coffee roaster in Lille, France, and the official distributor of Stronghold machines in France, including sustainable roasters designed for in-store use.

“We buy or select our coffees around six months before we actually release them, when they’re still with the producer after drying,” Dajo adds. “This helps us plan ahead and not have to buy spot coffees that suddenly become more expensive because they’re more closely related to the C market. We have direct contact with producers, fix the prices outside of the C market, and work with them long term through importers that handle the logistics.”

Roasting your own coffee also diversifies revenue streams, which, as cash flow becomes tighter, has never been more important. Selling in-house roasted retail coffee often results in higher long-term profit margins compared to stocking wholesale coffee bags, building more resilience to weather future market challenges.

Finding long-term success with in-house roasting

The transition from café owner to roaster is a major one that comes with its own unique challenges and opportunities. Investing in a roasting machine, as well as the associated necessary equipment (such as green and roasted coffee storage silos) presents significant upfront costs, but coffee shops are likely to recoup the investment if they adopt a strategic approach to in-house roasting with a long-term vision.

“Within a year or two, many business owners are looking for a different machine, and it’s already a big investment,” Jens says. “If you buy a machine that’s too small, it could hurt you down the line. You have to roast for all of your B2C orders, so imagine if you want to take on B2B clients; buy the biggest roaster that you can.”

Historically, cafés roasting their own coffee might experience an initial dip in quality, as business owners and experienced baristas grapple with honing their roasting skills and knowledge. 

Today, meanwhile, modern roasting technology has largely helped eliminate this issue, automating and controlling the process. Roast profiles can be easily adjusted, which helps reduce waste, manage labour costs, and maintain quality standards during the transitional period.

“You should be able to leave the machine to roast by itself, which links back to the overarching point: you want to roast in store because you want to have more control over what you’re serving,” Jens says. “Roasting in store allows you to be more connected to your product and figure out your own style.

“Stronghold machines are intuitive; you can set the profiles to roast coffee automatically,” he adds. “The infrared sensors, which are more sensitive than probes, accurately display the bean surface temperature. Moreover, there are three heat exchange systems, which give the user more control over the process.”

Investing in equipment

Given the large upfront investment to buy roasting equipment, café owners need to select cost-effective, efficient models.

“Stronghold provides a separate smoke filter, so you don’t need to install a ventilation system,” Jens says. “If you need to start installing pipes, then you also need licenses, so they are low entry for roasting in-store. 

“They’re also electric, so it’s cleaner energy and creates a safer working environment,” he adds.

The ultimate goal should be to manage costs and diversify revenue streams, bolstering long-term business growth.

“We bought the S9X around six months ago to be more efficient in our workflow at the roastery, and it’s been a game changer for us. It’s easy to clean and use, and it helps us decrease labour costs and focus on developing and updating profiles,” Dajo tells me. “Once we’re happy, the machine replicates them, which reduces our labour costs and allows us to be more flexible with our wholesale coffee prices.”

Sustained high coffee prices signal a new era for the industry, and coffee shop operators are finding new ways to adapt and offset the costs. Roasting their own coffee in-house is proving to be one of the most effective strategies.

Although it requires significant investment and skill learning in the beginning, innovative new machines and technologies are helping café operators streamline their transition into in-house roasting, reducing labour costs and maintaining quality standards.

Enjoyed this? Then read our article on why some roasters are switching to electric machines.

Photo credits: MOK Coffee, Stronghold

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