Coffee exports rise 41% in 2010-11

Aided by good domestic crop, favourable prices and robust demand from the international markets, India’s coffee exports jumped 41 per cent to 358,278 tonnes in the just-concluded coffee year, ended September. This is an all-time high for Indian coffee. The previous crop year saw export of 253,715 tonnes.

In value terms, exporters earned 87 per cent more at Rs 4,794 crore, compared to Rs 2,564 crore during the crop year-ended September 2010. The average price realisation rose 32 per cent to Rs 1,33,804 a tonne in the October 2010 to September 2011 period, as against Rs 1,01,058 during the corresponding period.

“We have seen the coffee sector reporting an all-time high in exports, mainly on account of a good domestic crop for the last two consecutive years, owing to good management practices and lesser occurrence of pest attacks. The exporters had more coffee in their hands for exports. The year, too, witnessed favourable prices in international markets, especially during January-September” a Coffee Board official said.

India largely exports coffee to Italy, Germany, Russia, Belgium and Spain. A significant trend witnessed in the last crop year was the emergence of Germany as the second-largest importer of Indian coffee, overtaking the Russian Federation. Exports to Germany went up 2.6 times to 34,664 tonnes, as against 13,171 tonnes last year.

Exports to Russia increased by 23 per cent to 33,695 tonnes as against 27,482 tonnes during the previous year. Italy continued to be the largest market for Indian coffee. Exports recorded an increase of 78 per cent to 83,811 tonnes, as against 47,094 tonnes exported in the previous year.

“Germany was a very active player in the international coffee market last year, as exports to Greece and Portugal dipped due to the worrisome economic scene in Greece, although it’s not a big market for Indian coffee. Germany gained at the cost of the Russian Federation, which may further pick up from Germany later this year. Italy has continued to be our top market and contributed significantly to overall exports from India,” said Ramesh Raja, president, Coffee Exporters’ Association.

During the first nine months of the present calendar year, India’s coffee exports stood at 295,269 tonnes as against 228,399 tonnes exported during the corresponding year, growth of 29 per cent.