India's coffee output may drop by 20% due to floods in 2018-19

India's coffee production is likely to drop by 20 per cent in the new marketing year starting October 2018 to around 2,53,000 tonnes because of severe floods in parts of Karnataka and Kerala, a Coffee Board official said.

The country is estimated to have harvested 3,16,000 tonnes of coffee in the 2017-18 marketing year (October-September), as per the board data.

"Coffee estates in Karnataka have been reduced to a pile of mud due to massive landslides. The industry is estimating coffee production in 2018-19 is likely to fall by at least one-fifth due to floods," the board official said.

Karnataka and Kerala account for 90 per cent of the country's coffee production.

As per the government's assessment, coffee crop has been damaged in 2.26 lakh hectare due to heavy rains, and losses are estimated to have been to the tune of Rs 654 crore.

The official said heavy rains lashed during August 8-20 had triggered flash floods and landslides in multiple locations in coffee growing districts of Kodagu and Hassan, as well as in Kerala.

In the current 2017-18 marketing year, Karnataka is estimated to have harvested 2,22,300 tonnes of coffee and Kerala 65,735 tonnes, the Board data showed.

The Karnataka government had last week sought the central government to provide Rs 654 crore funds for relief-affected coffee growers in the state.

India exports both Robusta and Arabica varieties of coffee to countries like Italy, Germany and Russia.