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Starbucks raises coffee prices in China


09:15, February 01, 2012

John Culver, President of Starbucks China and Asia Pacific, Jan 30, 2012. (Photo/Agencies)

BEIJING - Seattle-based coffee chain Starbucks Corp. on Tuesday raised prices in its 500 Chinese mainland stores, the first price hike for its mainland stores in five years.

The price of the chain's coffee will be increased by 1 to 2 yuan ($0.16 to $0.32) starting Tuesday, according to Li Jing, a spokesperson for Starbucks China.

Market analysts attributed the price hike to rising costs for raw materials, labor and logistics.

Earlier this month, the popular coffee chain raised prices by an average of about 1 percent in the northeastern US following a similar move in California and south Florida last November.

Starbucks has aggressively expanded its presence in China in recent years. It aims to increase its number of Chinese mainland stores to 1,500 by 2015.


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