The global demand for Indian coffee touched a record high in the FY 2017-18 with exports aggregating 3.95 lakh tonnes. In 2016-17, the coffee exports were recorded at 3.53 lakh tonnes. The coffee demand has increased in Germany, Indonesia, USA, Poland, Libya, Spain, Tunisia, Ukraine, Italy and Belgium, Minister of State for Commerce and Industry C R Chaudhary said in a written reply to the Rajya Sabha yesterday.
“The demand/consumption in domestic market is about 25 percent to 30 percent of country’s coffee production and therefore, does not drastically impact the prices of coffee in the domestic market,” PTI reported citing him.
The southern states account for the bulk of coffee production in India. The state of Karnataka dominates the coffee production market with a share of 71 percent. Kerala with 21 percent and Tamil Nadu with 5 percent are the next in the list.
The are more than 250,000 coffee growers in the country and 98 percent of them are small time growers.
Near about 80 percent of the coffee is exported. About 70 percent of the coffee produce is bound for Germany, Russia, Spain, Belgium, Slovenia, United States, Japan, Greece, Netherlands and France. Most of the export is shipped through the Suez Canal.
Karnataka, Kerala and Tamil Nadu form the traditional coffee growing region in the country.
The region is followed by the new areas developed in the non-traditional areas of Andhra Pradesh and Orissa in the eastern coast of the country and with a third region comprising the states of Assam, Manipur, Meghalaya, Mizoram, Tripura, Nagaland and Arunachal Pradesh.