Dec 18 – India’s coffee exports are on track to cross the $2 billion mark in calendar 2025, more than doubling in five years as global prices surge amid supply concerns in top producing nations.
Data based on export permits issued by the Coffee Board of India shows shipments up to December 16 stood at $1.968 billion, a 21 per cent increase from $1.63 billion recorded over the same period last year.
In rupee terms, export earnings rose 26 per cent to ₹17,106 crore, compared with ₹13,624 crore a year earlier.
“We will cross the $2 billion mark during this calendar year and also during the current financial year,” official sources said.
During the current financial year, exports from April 1 to December 16 were valued at $1.42 billion, up from $1.223 billion over the corresponding period last year.
The strong performance has been supported by higher global prices, which have more than doubled in recent years on supply worries in key producers Brazil and Vietnam.
However, while export earnings have risen, volumes have declined. Coffee shipment quantities fell by 6 per cent to 3.66 lakh tonnes up to December 16, from 3.91 lakh tonnes over the same period last year. Industry officials attributed the drop partly to some European buyers shifting to cheaper origins as Indian coffee prices remained elevated.
Indian robusta and arabica beans continue to attract a premium in international markets. The premium for Indian Robusta parchment AB is currently estimated at $1,000–$1,100 per tonne over London’s LIFFE prices, while Robusta cherry AB is trading at a premium of $400–$450 per tonne. For Arabica parchment, the premium is around 12–15 cents per pound over New York prices.
India is the seventh largest coffee producer globally and the fifth largest exporter, accounting for about 5 per cent of exports from coffee-producing countries worldwide.
Over the past four years, India’s coffee export earnings have consistently exceeded $1 billion, buoyed by firm prices.
The top five export destinations are Italy (about 18 per cent), Germany (11 per cent), Belgium (7.47 per cent), the Russian Federation (5.28 per cent) and the United Arab Emirates (5 per cent).
