Context: India is among the top 10 coffee-producing countries. India produced about 4,00,000 tonnes of coffee in 2022-23.
| Global Ranking |
- India is the sixth largest producer of coffee in the world, after Brazil, Vietnam, Colombia, Indonesia, Ethiopia and Honduras.
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| Types of Coffee |
- India produces two types of coffee:
- Arabica: It has high market value due to its mild aromatic flavor.
- Robusta coffee: It is used in making blends due to its strong flavor.
- Robusta is the majorly manufactured coffee with a share of 72% of the total production.
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| Major States |
- Karnataka is the largest producer of coffee with 70% of the total coffee production in India.
- Kerala is the second-largest producer of coffee accounting only for 23% of the total production.
- Tamil Nadu is the third-largest producer with 6% of the coffee production.
- Tamil Nadu’s coffee is made in the Nilgiri district, a major Arabica growing region.
- Orissa and the northeastern areas have a smaller proportion of production.
- The South Indian coffee is an admixture of coffee and chicory powders which is a herb native to Europe and Asia. Chicory is grown mainly in Uttar Pradesh and Gujarat.
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| Coffee Export |
- According to the Food and Agriculture Organization (FAO) statistics, India is the eighth largest exporter of coffee by volume.
- In 2021-22, the total exports recorded a 42% rise to US$ 1.04 billion from the 2020.
- In FY23, export of coffee stood at US$ 610.23 million, a 32.54% rise as compared to previous year.
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| Export Destinations |
- Italy, Germany, Belgium, and the Russian Federation are the largest importers of coffee from India, with an average total share of about 45%.
- The other coffee importing countries are Libya, Poland, Jordan, Malaysia, the US, Slovenia, and Australia.
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| Export Trend |
- India majorly exports Robusta coffee beans, a coffee bean species with low acidity and high bitterness compared to Arabica coffee.
- Green coffee beans, used in preparations of coffee (31% of which is instant coffee) also have a significant share in India’s export basket.
- Almost one-third of India’s total coffee exports constitute instant coffee.
- India’s specialty coffee is also a popular product which is distinguished by careful cultivation practices, a clear origin, a routine of plucking and special processing, branding, handling, and appearance.
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| Government Initiatives |
- The Government supports the non-traditional coffee-growing regions under Coffee Development Programmes (CDP).
- In accordance with the national policy of tribal development, coffee cultivation is being encouraged in non-traditional areas such as Andhra Pradesh, Orissa, Maharashtra, the northeastern states, and Andaman and the Nicobar Islands.
- Under the Export Promotion scheme the government aims to maximize export earnings by enhancing the market share of value-added coffees and high-value differentiated coffees in important high-value international markets.
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