Tag: القهوة الهندية

Dubai Buyer-Seller Meet Brews Opportunities for India’s Coffee Industry

Posted on by Qahwa World

The Coffee Board of India has orchestrated a significant milestone for the Indian coffee sector through a buyer-seller meet held in Dubai, signifying a pivotal moment in the industry’s global outreach.

This event, conducted alongside Gulfood 2024, was a collaborative effort between the Indian Embassy in the UAE and the Coffee Board of India. Indian Ambassador to the UAE, Sunjay Sudhir, emphasized Dubai’s strategic importance as a global trade hub and highlighted the forthcoming Bharat Mart at Jebel Ali free zone, underscoring their role in facilitating India’s global aspirations in the coffee sector.

Ambassador Sudhir accentuated Dubai’s unique position as a logistical powerhouse with a bustling port and efficient airport, providing an optimal platform for Indian coffee producers to directly showcase their diverse blends to international buyers and establish enduring brands.

KG Jagadeesha, CEO of the Coffee Board of India, delivered a comprehensive presentation during the meet, offering insights into the country’s expansive coffee industry. He spotlighted the vast coffee plantations spanning over half a million hectares, supporting numerous farming families, and emphasized India’s remarkable production and export rates surpassing domestic consumption. Jagadeesha underscored India’s notable contribution to the global coffee market, particularly as a leading exporter of instant coffee.

The growth trajectory of India’s coffee industry, producing a balanced mix of Arabica and Robusta beans since the establishment of the Coffee Board in 1950, was highlighted. Noteworthy is the fact that 35% of the country’s coffee exports now comprise value-added and specialty coffees, indicating a shift towards premium offerings.

India’s coffee, known for its shade-grown cultivation, sees the Robusta variety being valued at par with Arabica in the western market. This event not only celebrated the unique flavors and rich heritage of Indian coffee but also marked a strategic initiative to leverage Dubai’s logistical strengths in the global market.

Global Coffee Price Surge Propels Indian Exports to New Heights in 2024

Posted on by Qahwa World

India’s 2024 exports could rise 10% to 298,000 T
European buyers paying premium for Indian beans
Untimely rains, labour scarcity delaying harvesting

India’s coffee exports are likely to rise as much as 10% in 2024 as a rally in global prices prompts European buyers to pay premiums in order to increase purchases from the country, industry officials told Reuters.

The South Asian country – famous as a tea producer – is also the world’s eighth-largest coffee grower, mainly churning out the robusta beans used to make instant coffee. It also produces some of the more expensive arabica variety.

“The demand for Indian coffee, particularly robusta beans, is strong due to firm global prices resulting from production issues,” said Ramesh Rajah, president of the Coffee Exporters’ Association of India, predicting a rise in exports this year of up to 10%.

Robusta coffee is trading near its highest in at least 15 years as Vietnam, the world’s biggest producer, is expected to produce less in 2023/24 than the previous season.

India exports three quarters of its production mainly to Italy, Germany and Belgium.

Indian coffee typically commands a premium over the global benchmark because it is grown under shade, hand-picked, and sun-dried. However, this year, premiums are higher than normal due to a production shortfall, exporters said.

Coffee exports in 2024 could jump to 298,000 metric tons from last year’s 271,420 tons, said a Bengaluru-based dealer with a global trade house.

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Indian robusta cherry is fetching a premium of nearly $300 a tonne over London futures because of strong demand, he said.

WEATHER WOES
While export demand is good, traders are waiting for supplies to increase, which could bring down local prices, the dealer said.

This season’s robusta harvest is almost 20% complete, although rainfall in recent days in growing areas has been disruptive, said M M Chengappa, a coffee grower from Kodagu, in top producing Karnataka state.

The state-run Coffee Board has estimated that India’s production could rise to 374,200 tons in the 2023/24 season, which started on Oct. 1, up from last year’s 352,000 tons. However, farmers are saying that rainfall is limiting the upside in production.

“Torrential unseasonal rain in the last few days, along with the rains in December, has caused a lot of fruit droppings,” said Chengappa.

Harvesting is also slowed by labour scarcity, despite offers of higher wages, said exporter Rajah.

“Global prices are rising, but Indian farmers’ income is not rising in the same proportion due to higher production costs. They need to spend more on inputs and wages,” Rajah said.