Starbucks Canada Price Hike Means 10 To 20 Cents More Per Drink

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TORONTO - Even with the price of coffee beans falling, a cup of joe at your neighbourhood Starbucks could be a little more expensive starting Tuesday.

The Seattle-based coffee chain says its Canadian stores are raising prices by 10 to 20 cents on select drinks.

Overall, about 10 per cent of the beverage menu will see a change, though whether it affects you will depend on what you order and where you live, the company said Monday.

"Ninety per cent of Canadian Starbucks beverages are not changing, including some of our most popular options and sizes," said company spokeswoman Carly Suppa in an email.

A coffee in a Venti cup — the largest size at Canadian stores — will go up by 10 cents in some provinces, she said. Lattes in a Grande or Venti cup will be 20 cents more, depending on the province.

Prices haven't changed on the drinks that are covered by the hike for a year and a half to three years, Suppa said.

Starbucks has about 1,345 company-operated and licensed stores across Canada.

Higher prices at Starbucks come even though some other U.S. coffee sellers are cutting their prices.

Last week, The J.M. Smucker Co. said it would drop what it charges for most of its coffee products because of declines in future prices for unroasted coffee beans.

But Starbucks said more than just coffee bean prices are factored into what customers pay.

"Coffee commodity costs are only part of our value equation, historically comprising between eight to 10 per cent of our overall store operating and occupancy expenses," Suppa said.

Other costs included in its food items are rent, labour, marketing, equipment, materials, distribution and other commodities associated with the business, she added.

In the United States, Starbucks also announced separate price changes to some of its drinks.

The company says small and large coffees will each go up by 10 cents U.S. in most areas of the country.

— with files from The Associated Press