Australia is grappling with the worst inflation in more than a decade, with our country's headline inflation rate at 3.5 per cent, well above the Reserve Bank's 2 to 3 per cent target.
President of the Cafe Owners & Baristas Association of Australia, David Pernham, warns that a flat white could soon surge up to $7 by the end of the year as cafe owners struggle with the growing cost of overheads.
Parnham told the ABC that "What's happening globally is shortages caused from catastrophes in places like Brazil with frosts, and certain growing conditions in some of the coffee growing areas."
He states that the cost of shipping has become "ridiculous."
"It's nearly five times the container prices of two years ago due to global shortages of containers and ships to be able to take things around the world."