India's Coffee Export Value Soars 40% to Exceed $1.54 Billion in April-Feb
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Synopsis
India's coffee exports have surged by 40% to exceed $1.54 billion during April-Feb 2024-25, marking a significant increase from $1.10 billion the previous year. This growth is supported by rising global demand and increasing domestic consumption.
Key Takeaways
- 40% increase in coffee exports.
- Exports reached over $1.54 billion.
- Top markets include Italy and Germany.
- India is the fifth-largest exporter of coffee.
- Domestic consumption rose to 91,000 tonnes.
New Delhi, March 20 (NationPress) India's coffee exports have achieved a remarkable 40% increase during the April-Feb period of the current financial year, exceeding $1.54 billion. This is a significant rise from $1.10 billion during the same timeframe last year, based on data from the Ministry of Commerce.
In February, coffee shipments abroad rose by 22% to reach $178.68 million, up from $146.08 million in the previous year, according to official statistics.
When measured in Rupees, exports surged by 43.37%, reaching Rs 13004.75 crore during April-Feb 2024-25, compared to Rs 9,070 crore in the same 11-month duration last year.
The principal markets for Indian coffee include Italy, Germany, Russia, Belgium, the United Arab Emirates (UAE), and the United States.
India ranks as the seventh-largest coffee producer and the fifth-largest coffee exporter globally. Coffee prices are at peak levels due to supply shortages caused by adverse weather in major producing nations like Brazil and Vietnam. India exports more than two-thirds of its over 3.5 lakh tonnes of coffee production.
In the last four years, India's coffee exports have nearly doubled, reaching $1.29 billion in FY 2023-24 from $719.42 million in 2020-21, as stated by the Commerce and Industry Ministry on Monday.
The surge in coffee exports is largely attributed to growing global demand for its distinctive and rich flavors. Approximately three-fourths of India's coffee output consists of Arabica and Robusta beans, primarily exported as unroasted beans. However, there is a rising demand for value-added products, including roasted and instant coffee, which is further propelling the export growth.
Indian coffee cultivation primarily occurs in the ecologically vibrant Western and Eastern Ghats, renowned for their biodiversity. Karnataka is the leading producer, contributing 248,020 MT in 2022-23, followed by Kerala and Tamil Nadu. These regions support shaded plantations that not only benefit the coffee industry but also play a crucial role in environmental conservation, maintaining the ecological balance of these biodiversity-rich areas.
Additionally, with the rise of the café culture, an increase in disposable incomes, and a growing preference for coffee over tea, coffee consumption in India is on the rise. This trend is evident in both urban and rural settings, with domestic consumption climbing from 84,000 tonnes in 2012 to 91,000 tonnes in 2023.
