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Friday, October 18, 2024

Rising Global Demand Boosts Coffee Exports to INR 7,771.88 Cr

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With global demand for Indian coffee rising, the country’s coffee exports reached INR 7,771.88 crore in the first half of FY25, up 55% from INR 4,956 crore in the same period last year.

India exports 2.2 lakh tonnes coffee

This increase shows the rising global demand for Indian coffee and is an important moment for the country’s agricultural sector. According to IANS, From April to September, India exported 2.2 lakh tonnes of coffee, up from 1.91 lakh tonnes YoY, marking a 15% increase, according to the Coffee Board of India.

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Meanwhile, Coffee prices have risen remarkably in international markets due to expected European export regulations. Coffee buyers now pay an average of Rs 352 per kg for Indian coffee, up from Rs 259 per kg earlier.

Italy tops list of Indian coffee customers

Notably, Italy is the biggest buyer of Indian coffee, taking 20% of total exports. Germany, Russia, the UAE, and Belgium together import 45% of Indian coffee. In the 2023-24 crop year, India produced nearly 3.6 lakh metric tonnes of coffee. In 2021-22, Indian coffee exports were worth $1.016 billion, up 38% from 2020-21. That year, India was the world’s fifth largest coffee exporter, with about 6% of global exports.

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As coffee exports play a major role in India’s coffee industry. The major state of the country producing coffee is Karnataka which produces about 70% of India’s coffee. Kerala, the second-largest coffee producer, contributes 20%. Tamil Nadu is third with 5.7%.

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