Coffee exports jump 42% in Jan-Apr 2010

Coffee exports from India, Asia's third biggest producer, rose by 42 per cent to 1,00,574 tonnes in the first four months of 2010 on strong global demand and domestic supplies, according to the Coffee Board of India.

In value terms, coffee exports surged to Rs 1,025 crore during the January-April period of 2010 from Rs 763.38 crore in the same period in 2009, it said.

"Exports have increased due to a rise in demand for robusta variety of coffee and increase in the re-export of processed coffee," an Coffee Board official told PTI.

The country had shipped only 70,843 tonnes of coffee in the same period last year as demand lowered due to global economic recession, he said.

According to the data released by the apex body for promotion and marketing of the crop, export of Arabica stood at 21,734 tonnes, while the shipment of robusta, which is stronger in caffeine content than Arabica, was about 51,173 tonnes during the January-April period of 2010.

The overseas sale of instant coffee stood at 8,670 tonnes, whereas the re-export of processed-coffee was about 18,871 tonnes in the review period.

Companies such as Tata Coffee, Nestle and NKG Jayanti Coffee Pvt Ltd shipped maximum quantity to Italy (27,970 tonnes), Russia (12,646 tonnes) and Germany (9,442 tonnes).

Coffee Exporters Association President Ramesh Rajah said, "Exports are back to normal now as compared to last year. There have been good shipments from December 2009 up to April, thanks to improved demand and higher domestic crop."

However, the big concern is whether India will be able to continue with higher shipments in the coming months with stronger rupee, he noted.

"Strengthening of rupee and hike in ocean freight rates may hit shipments adversely despite higher domestic supplies," he said.

According to the Coffee Board, total output is estimated to be higher at 2.89 lakh tonnes in the 2009-10 coffee year, against 2.62 lakh tonnes last season. The coffee year runs from October to September.

In the October-April period of the 2009-10 year, the country's coffee exports rose to 1,45,352 tonnes, against 1,06,991 tonnes in the same period last year.