India Became the 7th Largest Producer of Coffee

Syllabus: GS3/Economy

Context

• As per the Commerce and Industry Ministry, India is now the seventh-largest coffee producer globally, with exports reaching 1.29 billion dollars in the last financial year.
  • This is nearly double the 719 million dollars worth of exports in 2020-21.

About

• Top buyers include Italy, Belgium, and Russia. 
• India primarily exports unroasted coffee beans, there is a growing demand for value-added products like roasted and instant coffee.
• Domestic consumption has also increased due to the rise of café culture, higher disposable incomes, and a growing preference for coffee over tea in India.

Coffee Production

• Brazil is the world’s largest coffee producer, contributing about 40% of global production, followed by Vietnam.
• India produces two types of coffee: Arabica and Robusta. 
  • Coffee is predominantly an export oriented commodity and 65% to 70% of coffee produced in the country is exported. 
• Areas: Coffee is traditionally grown in the Western Ghats spread over Karnataka, Kerala and Tamil Nadu. 
  • It is also grown in the nontraditional areas of Andhra Pradesh and Odisha as well as in the North East states. 
• Leading States: Karnataka leads in coffee production, followed by Kerala and Tamil Nadu. 

Climatic Conditions

• Coffee plants thrive in temperatures ranging from 15°C to 24°C. Extreme temperatures outside this range can adversely affect growth and yield.
• India cultivates all of its coffee under a well-defined two-tier mixed shade canopy, comprising evergreen leguminous trees.
  • Shade trees prevent soil erosion on a sloping terrain; they enrich the soil by recycling nutrients from deeper layers, protecting the coffee plant from seasonal fluctuations in temperature.

Coffee Board of India

• The Government of India established the ‘Coffee Board’ through a constitutional act “Coffee Act VII of 1942” under the administrative control of the Ministry of Commerce and Industry. 
• The Board comprises 33 members including the Chairman and the Secretary & Chief Executive Officer. 
• It is an organisation that promotes coffee production in India.

Source: AI