India, Feb. 18 -- Coffee prices in Karnataka's Kodagu and Chikkamagaluru markets that recently surged to historic levels was driven by a global supply crunch, according to officials familiar with the matter. Arabica Parchment, a premium coffee variety, soared to Rs.29,600 per 50 kg bag in Chikkamagaluru, while Kodagu recorded an even higher price of Rs.29,800, marking an unprecedented peak.

The sharp rise on February 11 was attributed to severe crop losses in Brazil and Vietnam - world's leading coffee producers - due to adverse weather conditions. Experts predicted that recovery will take at least five to eight years, as new coffee plants require time to mature and yield produce.

"Coffee prices are heavily influenced by weather conditi...