Business

India Becomes Seventh-Largest Coffee Producer With $1.29 Billion Exports: Centre

India has achieved a significant milestone by becoming the seventh-largest coffee producer in the world, with exports reaching $1.29 billion in FY24. This marks a substantial increase from $719.42 million in 2020-21, the Ministry of Commerce and Industry announced on Monday.

In the first half of January 2025 alone, India exported over 9,300 tonnes of coffee. Leading buyers include countries such as Italy, Belgium, and Russia, reflecting a robust global demand for Indian coffee.

India Becomes Seventh-Largest Coffee Producer

Approximately three-fourths of India’s coffee production consists of Arabica and Robusta beans, which are predominantly exported as unroasted beans. However, the ministry noted that there is an increasing demand for value-added products such as roasted and instant coffee, which has further fueled the growth in exports.

India’s Rising Domestic Consumption

India’s domestic coffee consumption has also seen significant growth. In 2023, the country consumed 91,000 tonnes of coffee, up from 84,000 tonnes in 2012, indicating a steady rise in local demand alongside export growth.

Karnataka remains the leading coffee-producing state, contributing 248,020 metric tonnes (MT) in 2022-23. Kerala and Tamil Nadu follow as the next top producers, strengthening India’s position in the global coffee market.

Initiatives To Boost Coffee Farming

The government is actively supporting the growth of India’s coffee industry through the Integrated Coffee Development Project (ICDP). The initiative focuses on enhancing yields, expanding cultivation in non-traditional regions, and ensuring sustainability in coffee farming.

A notable success story from this initiative is Araku Valley, where nearly 150,000 tribal families, in collaboration with the Coffee Board and the Integrated Tribal Development Agency (ITDA), have increased coffee production by 20%.

These efforts are part of a broader strategy aimed at improving productivity, enhancing India’s global competitiveness in the coffee market, and ensuring the long-term sustainability of coffee farming in the country.

Also Read: Government Approves Rs 3,516 Crore Investment For White Goods Sector Under PLI Scheme

Purnima Mishra

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