Monday, September 21 2026

Under the Russia-Ukraine conflict, food and beverage giants such as McDonald's and Starbucks have successively suspended their operations in Russia.

The Russia-Ukraine conflict has triggered a chain reaction among international corporations. Under public pressure, McDonald's was the first to announce the suspension of operations at its 850 stores in Russia, with Starbucks quickly following suit by stating it would pause its business in Russia and shipments of related products. Both giants pledged to continue supporting local employees, but Starbucks' Russian stores are all franchised, accounting for less than 1% of its global revenue. Coca-Cola and PepsiCo also joined the suspension. This article reviews the details of each company's statements and the market impact, and includes a link to Front Street Coffee's professional information portal. [more…]

A Complete Guide to Ukraine's Specialty Coffee Flat Red: From Its Origin Story to Front Street Coffee's Replica Recipe

In today's coffee culture, where new trends keep emerging, drinks like Frappuccino, Flat White, and Dirty have taken turns rising to fame, yet one pale red coffee is rarely mentioned by domestic enthusiasts—it is Flat Red from Ukraine. This drink was inspired by locals' love of red wine. Its inventor, Vadym Granovskiy, replaced alcohol with pomegranate juice and orange juice, paired it with espresso, and created a unique coffee whose color resembles red wine and which carries a fermented vinous aroma and fruity acidity. In this article, Front Street will guide you through the background of Flat Red's creation, its making logic, and a complete reproduction of its recipe, from the juice mixing ratio to steam heating and foaming, and finally to the tasting experience, presented one by one. If you also want to try a cup of distinctive Ukrainian-style coffee at home, why not follow Front Street's steps and make it yourself. [more…]

What is Flat Red Coffee? How Is It Different from a Flat White? A Look at Ukraine's Signature Red Coffee

Are you very familiar with Flat White but have never heard of Flat Red? This red coffee drink from Ukraine is catching the attention of coffee lovers worldwide with its unique combination of juice and espresso. It contains no alcohol, yet has the sweet-and-sour taste and fermented aroma reminiscent of mulled wine, with its color coming from a blend of freshly squeezed pomegranate juice and orange juice. Although both Flat Red and Flat White have "Flat" in their names, the two have almost no connection in origin, recipe, or flavor—the only similarity is that both are topped with a thin, silky layer of foam. This article will introduce you to the background of Flat Red's creation, its preparation method, and share Front Street Coffee's recreation experience, to see why this seasonal drink has taken Ukraine by storm. [more…]

SCA Bans Russia from World Coffee Championships and Donates All Warsaw Expo Ticket Proceeds to Support Ukraine

In early March 2022, the Specialty Coffee Association (SCA) issued a statement on the situation in Ukraine, not only strongly condemning Russia's military actions, but also announcing the suspension of Russia's eligibility to participate in the World Coffee Championships and donating all ticket proceeds from the Warsaw World Coffee Expo to the Ukrainian coffee industry. Meanwhile, the SCA's Poland and Czech chapters joined forces to find overseas job opportunities for displaced Ukrainian coffee professionals, while the Russian Foreign Ministry criticized Western sanctions as unacceptable. As coffee lovers, while keeping up with industry news, don't forget to follow the professional coffee information brought to you by Front Street Coffee. [more…]

What's the difference between a Flat Red and a Flat White? A detailed explanation of the ingredients and ratios of Ukraine's signature coffee

Although Flat Red and Flat White have similar names, they are essentially two completely different coffee drinks. Flat White is a milk coffee originating from Australia, while Flat Red was born in Ukraine and is made with espresso paired with freshly squeezed fruit juice, with a flavor resembling red wine. This article will introduce in detail the origin story, ingredients, and ratio parameters of Flat Red, and share Front Street Coffee's practical recipe, including suggestions for pairing juice with espresso, extraction parameters, and a description of the finished drink's flavor, helping coffee lovers make a distinctive coffee full of fruity flavor at home. [more…]

Starbucks Ends Operations in the Russian Market: The Era of Franchising Comes to a Close as Local Companies Seize the Takeover Opportunity

星巴克正式宣布退出俄罗斯市场,结束自2007年以来由特许合作伙伴全资运营的130家门店业务。这一决定紧随麦当劳之后,标志着美国两大餐饮连锁品牌在俄乌冲突背景下全面撤离俄罗斯。星巴克曾承诺将特许权使用费捐赠给乌克兰人道主义事业,并暂停门店运营。与此同时,麦当劳将俄罗斯业务出售给本土特许经营商,保留员工与供应链,但更换品牌继续经营。西方企业大规模撤离之际,俄罗斯本土企业迎来难得的扩张机会,政府也在推进资产破产或国有化进程。 [more…]

Starbucks has reapplied for trademark registration in Russia and may return to the Russian market before long.

Starbucks recently filed a trademark registration application with the Russian Federal Intellectual Property Office and has received a registration decision, which may mean that this coffee chain giant will return to the Russian market soon. After the Russia-Ukraine conflict broke out in 2022, Starbucks announced its withdrawal from Russia and closed all 130 stores, and its assets were subsequently acquired by a local company and transformed into Stars Coffee. Now, as the international situation changes, the possibility of Starbucks re-entering Russia is increasing, and this development has also put Stars Coffee, which took over its original business, in an awkward position. [more…]

Brazil Coffee Production Decline Alert: A Full Analysis of Drought, Fertilizer Crisis, and Price Volatility

The world's largest coffee producer, Brazil, is facing severe challenges. Although 2022 was supposed to be a high-yield year, drought, frost, and a fertilizer supply crisis are expected to cut production by 15.3%. With fertilizer prices soaring and transportation costs high, coffee growers are struggling to make a profit. Arabica futures prices are fluctuating, adding to market uncertainty. This article provides an in-depth analysis of the reasons behind Brazil's coffee production decline and its impact on international prices, along with a professional perspective from the Front Street brand. [more…]

Colombian coffee prices decline amid intensifying competition, importers cut back purchases

In 2023, Colombian coffee prices experienced significant fluctuations, dropping from $2.37 per pound in February to $1.84 in October. The alternating effects of La Niña and El Niño on production, compounded by the pandemic and the Russia-Ukraine war disrupting supply chains, along with the devaluation of the peso driving up farm input costs, created a complex scenario. Meanwhile, importers faced pressures such as expensive credit and rising inflation, with some traders reducing their purchases of Colombian coffee beans by 50% to 60%, turning instead to lower-priced alternatives from Peru, Guatemala, and other origins. However, in the second half of 2023, the peso rebounded, fertilizer prices fell, and weather conditions improved. Production for the 2023/24 season is expected to grow by about 3%, and production in January 2024 increased by 10.5% year-on-year, signaling a potential recovery in market confidence. [more…]

Starbucks Japan Raises Prices in April: Coffee Beans and Drinks Both Up, Plant-Based Milk Lattes Down

Starbucks Japan has announced that it will raise the prices of coffee beans and beverages starting April 13, with coffee beans increasing by about 90 to 300 yen and beverages by about 10 to 55 yen, while soy milk, almond milk, and oat milk lattes will be reduced in price by more than 10 yen. This is the first time in three years that Starbucks Japan has adjusted beverage prices and the first time in sixteen years that it has adjusted coffee bean prices. Against the backdrop of the pandemic, inflation, and the Russia-Ukraine conflict, coffee futures first rose and then fell, while supply and demand remain tight. Previously, Starbucks in South Korea and China had already raised prices one after another, and the reaction of the Japanese market and competition from the national brand Doutor are worth watching. Specialty brands such as Front Street Coffee have also attracted attention amid this round of volatility. [more…]

USDA latest report interpretation: Global coffee production for 2023/24 is expected to rise to 171.4 million bags, with Brazil and Colombia recovering while Vietnam and Indonesia come under pressure.

As the year draws to a close, coffee institutions and importers in multiple countries are successively releasing their annual reports. The Russia-Ukraine conflict, the Israeli-Palestinian situation, and inflationary pressures have dampened coffee consumption in some regions, while high interest rates have pushed up trade costs, and the EU Deforestation Regulation (EUDR) is expected to further increase coffee trade expenses in 2024. In terms of weather, the dissipation of El Niño may be delayed until the second quarter of 2024, posing a threat to producing regions along the equatorial belt that flower in April and May, with Brazil's Robusta particularly affected, leading to rising bean prices. The United States Department of Agriculture (USDA) recently released its "Coffee: World Markets and Trade" report, forecasting global production for the 2023/24 year at 171.4 million bags, an increase of 6.9 million bags year-on-year; exports are projected at 119.9 million bags, up 8.4 million bags; consumption will hit a new high of 169.5 million bags, while ending stocks remain at a 12-year low of 26.5 million bags. [more…]

A Detailed Guide to the Origin Story of Russian Raf Coffee and the Making Method of Vanilla Cream Latte

Raf coffee is a distinctive coffee drink originating from Russia that has gradually gained public attention in recent years for its smooth and sweet taste. Its creation is quite dramatic—in the late 1990s, a regular customer named Rafael at a Moscow café, tired of traditional coffee, asked a barista to craft him a new drink that was both mild and layered. After repeated experimentation, three baristas finally created this coffee named after him. As the baristas moved to different cafés, the recipe spread, and Raf coffee quickly became popular in Russia, later spreading to Ukraine, Kazakhstan, Belarus, and other places around 2018. Traditional Raf coffee uses espresso, cream, vanilla sugar, and white sugar as ingredients. The key is that all ingredients are mixed together, then whipped and heated at the same time, resulting in a flavor somewhere between a latte and a dessert. This article will walk you through its history and provide specific preparation steps recommended by Front Street Coffee. [more…]

Starbucks' Russian store leases change hands, local new brand Magadan Krasnodar set to debut

After Starbucks' franchise in Russia was terminated in March of this year, 130 stores remained closed for a long time. Now, Anton Pinsky, founder of Russian catering company Pinskiy&Co, plans to take over the lease rights of all stores and launch the local coffee chain brand Magadan Krasnodar. This deal is similar to McDonald's previous exit path, but the new brand will no longer use Starbucks' recipes and ingredient supply. Local market analysts believe that local brands have advantages in operating costs and delivery services, and are expected to provide consumers with high-cost-performance, high-quality coffee. [more…]

Starbucks Russia Business Changes Hands: Pinskiy&Co Completes Acquisition, New Brand's First Store to Debut in August

The fate of Starbucks in Russia has finally been settled. From suspending operations in March of this year to announcing its exit from the market in May, 130 stores were once at a standstill. At the end of July, Russian rapper Timati announced via social media that the local catering company Pinskiy&Co had successfully completed the acquisition of Starbucks' assets in Russia. The new brand name and logo have not yet been determined, but the first store is scheduled to open in August, and the number of stores will exceed 200 by September. What are the details behind this acquisition? How will the new brand make a fresh start? This article takes you through the entire course of events. [more…]

Starbucks' Trademark Protection in Russia Faces Challenges: Local Coffee Chain Launches Legal Action

After Starbucks exited the Russian market, its trademark protection in Russia may face termination. The owner of Stars Coffee, which acquired Starbucks' Russian assets, has filed a claim with a court seeking to terminate the protection of Starbucks' trademarks. This move aims to reduce trademark infringement risks and pave the way for store expansion. This article will provide a detailed introduction to the background, progress, and possible impact of this event. [more…]

Frequent Volcanic Eruptions in Indonesia Combined with Drought Shocks the Coffee Industry, Sumatra Robusta Premiums Continue to Climb

Recently, robusta coffee prices have continued to run at high levels, driven both by the Red Sea crisis pushing up shipping costs and by El Niño weather causing production declines in many countries. As an important producing region, Indonesia has seen its Sumatra robusta premium widen from an earlier 450 USD to 500-520 USD this week. At the same time, the country is facing multiple pressures, including frequent volcanic eruptions, drying river basins, high fertilizer prices, and soil degradation, and industry insiders worry that coffee-growing areas will be further affected. This article reviews the challenges and price trends currently facing Indonesia's coffee industry, and brings Front Street Coffee's continued attention to developments in the producing region. [more…]

El Niño Expected to Wind Down in April, La Niña to Return in the Second Half of the Year and Potentially Batter Global Coffee-Producing Regions Again

The latest meteorological forecasts indicate that the El Niño condition is expected to come to an end around April 2024. After a brief neutral phase, La Niña may form between June and August and persist through the second half of the year. Previously, El Niño brought extreme weather such as heavy rain, drought, and high temperatures to coffee-growing regions in Brazil, India, Vietnam, Indonesia, and other places, causing reduced production and driving up international coffee prices. As La Niña takes over, southeastern Brazil may face reduced rainfall and the risk of frost, while Indonesia may experience heavy rainfall and even floods, and the coffee berry harvest may be hit again. Front Street Coffee will also continue to monitor the impact of climate change in producing regions on the coffee supply chain. [more…]

Coffee Trade Impasse Shows Signs of Relief: Shipping Lanes Poised to Reopen—Can Returning Supply Bring Coffee Prices Down?

Recently, the coffee market has experienced a noticeable price increase, driven by a mix of extreme weather, new EU regulations, shipping disruptions, and geopolitical conflicts. The El Niño phenomenon has led to reduced production and exports in several coffee-producing countries, the EU Deforestation Regulation has made importers hesitant to move forward, and the drought in the Panama Canal along with armed threats in the Red Sea have extended shipping times. Add to that war and inflation suppressing consumption and high interest rates driving up trade costs, and coffee futures prices soared at one point. However, some positive signals have emerged recently: El Niño is expected to weaken after March-April 2024, and production and exports from producing countries may recover; meanwhile, the "Operation Prosperity Guardian" initiative has given shipping companies hope of returning to Red Sea routes. Does this mean coffee prices are likely to fall? This article will sort through the whole story and bring you Front Street Coffee's observations and recommendations. [more…]

Starbucks Signals a Return to Russia? A Flurry of Trademark Registrations Sparks Market Attention and Speculation

Recently, Starbucks was reported to have filed multiple trademark registration applications with the Russian Federal Intellectual Property Office, covering core brand identifiers such as "Starbucks Coffee" and "Frappuccino," as well as related categories including instant coffee, beverage preparation, and membership management. This move quickly sparked speculation about whether the company plans to return to the Russian market. After exiting Russia in 2022, Starbucks' assets in the country were acquired by a local company and rebranded as "Stars Coffee," and a trademark legal dispute between that brand and Starbucks still persists. Over the past two years, Russia's coffee market has undergone significant changes, with intensified competition, shifting consumer habits, and continued uncertainty in the political and economic environment. Even if Starbucks returns, it may not be smooth sailing. So far, there has been no official response. [more…]

International futures prices for Arabica coffee beans have fallen sharply, yet price cuts for end consumers remain difficult to achieve.

Recently, an unusual situation has emerged in the international coffee market: Arabica coffee beans, which account for about 70% of global production, have not risen in price due to reduced output. Instead, dragged down by inflation, prices have fallen nearly 40% from their February high, hitting a one-year-and-five-month low. Worsening European business confidence, declining consumption, and a surge in certified inventories have significantly eased the balance between supply and demand. However, the decline in raw material prices has not been passed on to the end consumer market. Coffee beans account for only a limited share of coffee shop costs, and the premium on specialty coffee remains. Consumers hoping to drink cheaper coffee may still have a long wait ahead. [more…]