ST. PETERSBURG, Fla. — Thousands of pounds of coffee beans funnel through the hopper, drop into the roaster, and fall into the cooling bin at Look Alive Coffee in St. Petersburg — a routine that husband-and-wife co-owners Kelly and Michael Packard have built their business around since opening in February 2024.
Now, for the first time since tariffs sent coffee costs soaring, the roaster is seeing some money come back.
One supplier gave Look Alive a credit for tariffs paid — a small but welcome break after months of financial pressure.
"But we did see about $1,500 back, which is great. Yeah, and we rolled that into, you know, our existing purchasing with that same importer, so it definitely helped us out," Michael Packard said.
The relief is modest. Coffee prices are up 52% over the past two years, according to the U.S. Bureau of Labor Statistics, and are nearly 3 times higher than they were in the early 1980s. Packard says many of his other importers still haven't offered any refunds.
"But we have, you know, we bought 1000s of pounds of coffee from other importers that we've yet to hear any communication from, and of course, definitely not any refunds as of yet," Packard said.
The Packards opened Look Alive Coffee in 2024, months later tariffs began driving up costs. In November 2025, coffee was exempted from reciprocal tariffs, but the financial rollercoaster had already taken a toll on the young business.
"Here we are faced with trying to gain everybody's trust and build a name for ourselves, but then all of a sudden, boom! Coffee's almost, you know, 40, 50 percent more expensive overnight," Packard said.
“How did you survive?” Tampa Bay 28 reporter Michael Paluska asked.
"We survived because, well, one, I think we were small enough at the time when things were first getting going," Packard said.
"There wasn't a massive impact. It's not like we had a portfolio of 50 or 60 partners as we have now, and we would have had to, you know, make a lot of tough decisions. But I think, yeah, we just adapted as everybody else did. You know, we had to increase our prices; we were transparent about it. I think that was the key," Packard said.
Now, with tariff pressures easing slightly, Packard says his attention has shifted to a different threat. Meteorologists at Tampa Bay 28 say El Niño is predicted to be one of the strongest on record. The coffee belt — stretching across parts of Asia, Africa, and Latin America — could see record rainfall or extreme drought, threatening supplies and keeping prices volatile.
"You know, there's a lot of challenges that are keeping the coffee market volatile, and so yeah, the future to me, like one of the biggest things that I'm paying attention to for the future is market volatility, and really we're combating that by doing more of that forward buying," Packard said.
For now, the Packards say they're focused on what they can control — roasting quality coffee and serving their community, one cup at a time.
"Now we get to serve people and drink coffee all day, and it's great," Packard said.
Share Your Story with Michael
A lot goes into the price of paradise and Michael Paluska focuses on every aspect. From the job market and housing to how Florida’s growth impacts our state’s wildlife. Send Michael tips to keep these important conversations going.
.
Challenges over Florida's school bus and school speed zone camera face setbacks as legal battles continue
Cameras catching drivers who illegally pass stopped school buses or speed through school zones are generating millions of citations across Florida — and a growing wave of legal challenges.
