India exported 3.98 lakh tonnes of coffee in 2022 but coffee shipments from India declined by 5.4% that is 3.77 lakh tonnes in 2023 due to fall in the shipment of Robusta coffee. On the other hand, the shipment of Arabica coffee beans rose by 5.79% to 46,869 tonnes in 2023 from 44,302 tonnes in 2022.
Report of Coffee Board
According to the recent report by the Coffee Board of India, the exports of Robusta coffee beans declined 15% to 1.87 lakh tonnes in 2023 from 2.20 lakh tonnes in 2022. The reason being prolonged dry spell from December 2022 to March 2023, harvesting month for Robusta beans which was followed by poor pre-monsoon rains, stated in the report by IBEF, 2023.
India ranks 6 in Global Coffee Production with Karnataka being the largest leading coffee producing and coffee cultivating state, according to the Coffee Board of India. India produces 4,00,000 tonnes of coffee annually, 75% of the produce is exported and the remaining 25% is consumed domestically, according to a latest report by India Brand Equity Foundation (IBEF), 2023.
There are two main types of coffee which are exported across the world, namely, Arabica and Robusta. Arabica Coffee has a mild aromatic flavor and shares higher market value, whereas Robusta Coffee contains more caffeine than Arabica, and has a strong and earthy flavor. After Vietnam and Indonesia, India is a significant producer of high quality Robusta beans.
Top five importers of coffee
The top five importers of coffee from India are Italy (20%), Germany (10%), Belgium (7%), Russia (6%) and United States (5%) as alleged in a report on the Indian Coffee Market. Although the affecting reasons for the decline of Robusta coffee can be multiple, the factors could be tough competition with Brazil and Uganda. The COVID-19 pandemic disrupting the global trade and unfavorable weather conditions affecting coffee production.
