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Tuesday, August 12, 2025
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HomeEconomyIndia's coffee exports surge to $1.29 Billion

India’s coffee exports surge to $1.29 Billion

India is now the seventh-largest coffee producer worldwide.

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New Delhi: India’s coffee exports have grown significantly, reaching $1.29 billion in the fiscal year 2023-24, almost double the $719.42 million in 2020-21, according to a recent press release from the Press Information Bureau in Delhi. This growth is fueled by rising global demand for India’s unique and flavorful coffee varieties. India is now the seventh-largest coffee producer worldwide

In January 2025’s first half, India exported 9,300 tonnes of coffee, primarily to Italy, Belgium, and Russia. Arabica and Robusta beans, which constitute approximately three-fourths of India’s coffee production, are primarily exported in unroasted form. However, there is a growing trend in the export of value-added products such as roasted and instant coffee.

This surge in exports coincides with a growing domestic consumption of coffee, driven by the rise of cafe culture, increasing disposable incomes, and a shift in drinking preferences. This trend is apparent in urban and rural areas. Domestic consumption has risen from 84,000 to 91,000 tonnes between 2012 and 2023.

India’s coffee industry is primarily concentrated in the Western and Eastern Ghats, known for their rich biodiversity. Karnataka is the leading producer, contributing 248,020 metric tonnes in 2022-23, followed by Kerala and Tamil Nadu. These regions’ shade-grown coffee plantations not only support the industry but also play a crucial role in environmental conservation.

To support the growing domestic and international demand, the Coffee Board of India has implemented several initiatives, including the Integrated Coffee Development Project (ICDP). This project focuses on improving yields, expanding cultivation to non-traditional regions, and ensuring the sustainability of coffee farming practices.

One notable success story is the Araku Valley project, where nearly 150,000 tribal families, in collaboration with the Coffee Board and the Integrated Tribal Development Agency (ITDA), have achieved a 20% increase in coffee production. This initiative, supported by loans from the Girijan Co-Operative Corporation (GCC), exemplifies how coffee farming can empower communities and contribute to the vision of Aatmanirbhar Bharat (Self-Reliant India).

These initiatives, coupled with export incentives and logistical support, are solidifying India’s position as a major player in the global coffee market, enhancing both domestic production and global competitiveness.


Also read: Blue Tokai, Black Baza, Third Wave—Indian entrepreneurs making coffee premium like wine, whiskey


 

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