India is the 6th largest producer of coffee in the world, producing around 317,000 tonnes annually. Coffee production is concentrated in the states of Karnataka, Kerala, and Tamil Nadu. India produces mild, shade-grown Arabica and Robusta coffee varieties. While coffee production and exports have increased in recent years, the industry faces challenges such as rising production costs, declining coffee quality, pest infestation, and price fluctuations in the global market. Domestic coffee consumption is also growing and estimated at over 1 lakh tonnes annually.

1. SUBMITTED BY : 71,72,74,75,76
GROUP : 6

2. 1.COFFEE : INDIAN SENARIO
• The world’s best shade-grown ’mild’ coffees
• India is the only country that grows all of its coffee under shade. Typically mild and not too
acidic, these coffees possess an exotic full-bodied taste and a fine aroma.
• India is the sixth¹ largest (after Brazil, Colombia, Vietnam, Indonesia and Ethiopia) producer
of coffee producing an estimated 317 000 tonnes in 2016-17.
Factors Arabica Robusta
Soils
Deep, fertile, rich in organic matter, well
drained and slightly acidic (Ph6.0-6.5)
Same as Arabica
Slopes Gentle to moderate slopes Gentle slopes to fairly level fields
Elevation 1000-1500m 500-1000m
Aspect North, East and North- East aspects Same as Arabica
Temperature 150 C – 25 0 C ; cool, equable 200 C – 300 C; hot, humid
Relative humidity 70-80% 80-90%
Annual rainfall 1600-2500 mm 1000-2000 mm
Blossom showers March- April (25-40mm) February – March (25-40 mm)
Backing showers April-May (50-75 mm) well distributed March-April (50-75 mm) well distributed

3. Map of India showing the various regions

4. Post Monsoon coffee crop forecast for the season 2016-17
• The post monsoon crop forecast for the year 2016-17 is placed at
316,700 MT, which shown a marginal reduction of 3,300 MT (-1.03%)
over the post blossom estimate of 2016-17 of 320,000 MT.
• Compared to post blossom estimate, Arabica production estimate
has shown a decline of 3,800 MT (-3.80%) while Robusta has shown
a marginal increase of 500 MT (0.23%).
• Though the South – West monsoon was weak ,if the monsoon rains
are severe, the berry drop could be about 5%.

5. • When compared to post blossom estimate of 2016-17, the
reduction in post monsoon estimate has mainly come from
Karnataka to the tune of 3,045 MT followed by Tamil Nadu 1000
MT, but Kerala has reported a marginal increase of 850 MT.
• The drop in 2016-17 post monsoon estimates has mainly come
from Karnataka to the tune of 25,220 MT followed by 5,940 MT in
Kerala and 735 MT in Tamil Nadu.
• The reason for reduction in production estimates of 2016-17 is
attributed to the delayed blossom and backing showers coupled
with high temperatures, hot and humid weather,(showers were
scanty and isolated in nature).

6. • Coming to the state wise post monsoon estimate compared to the
post blossom estimate, in Karnataka state the maximum decline is
seen in
 Chikkamagaluru district to the tune of 5,385 MT (-7.01%) both in
Arabica (2,350 MT or -6.06%) and Robusta (3,035 MT or -7.98%).
 Hassan district has reported a marginal decline of 375 MT or -
1.20%,
 But Kodagu district recoded an increase of 2,715 MT or 2.24%
mainly from Robusta.

7. 2.AREA ,PRODUCTION , PRODUCTIVITY OF COFFEE IN
INDIA

14. TOP EXPORTING COUNTRIES OR AREAS IN 2015-16
Source: UN Comtrade

15. 3.PRODUCTION AND EXPORT:INDIA Vs.
WORLD*
2011-12 140623 5233 3.72 108982 5044 4.63
2012-13 150858 5303 3.52 109966 5020 4.57
2013-14 152105 5075 3.34 115033 4789 4.16
2014-15 146643 5450 3.72 111933 5102 4.56
2015-16** 147994 5800 3.92 119440 5982 5.01
in ‘000bags of 60 kilo each
Source : ICO & Coffee Board

17. 2012-13 297800 3000 299288 855.46 4552.75 152119
2013-14 256000 3300 299561 767.75 4648.76 155186
2014-15 260000 3600 272323 790.97 4807.38 176532
2015-16 265000 3850 318059 791.77 5175.91 162734
2016-17 270000 4000 358458 848.60 5685.56 158612
COFFEE EXPORTS-TARGESTS AND ACHIEVEMENTS

18. EXPORT OF COFFEE FROM INDIA TO DIFFERENT COUNTRIES-
FY 2016-17*

20. RE-EXPORT OF COFFEE TO DIFFERENT COUNTRIES-FY20116-
17

21. DOMESTIC MARKET OF COFFEE

22. • According to a consultancy firm, Technopark, the
organised café market is estimated to be around Rs 6,700
crore in 2015-16 and is projected to grow to Rs 15,100
crore by 2020 at a compounded annual growth rate
(CAGR) of 15%.
• The chain cafe market is approximately 27% of the total
organised cafe market at Rs 1,800 crore in 2015-16 and is
estimated to be 36% of the total organised market by
2020.
• The chain café market is estimated to grow at a CAGR of
20%.
"Over 1 lakh tonne coffee consumed in domestic market"

23. CROP YEAR QUANTITY
(In thousand 60kg bags)
2012-13 2000
2013-14 2100
2014-15 2200
2015-16 2250
2016-17 2250
4.Domestic consumption of coffee in India
export (imported goods), typically after they have undergone further processing or manufacture
Source: ICO

24. 5. TYPE OF TRADE AND Domestic market price

26. MARKET ANALYSIS
Source : Coffee Board

27. 6.ISSUES AND CHALLENGES IN COFFEE
• Cost of production is going high.
• Quality issues
• High domestic demand
• High labour charges & other labour issues.
• Older plantations.
• Climate change/climate issues.
• Shifting cultivation.
• Adopting mono cropping by cutting down shade trees.
• Investment and infrastructure
• Lack of investment – both in terms of finance and education – is also causing problems for
the coffee industry.
• Extensive use of chemical fertilizers and pesticides.(This type of industrial coffee farming
leads to severe environmental problems, such as pesticide pollution, deforestation and the
extinction of songbirds through habitat destruction)
• Pests and diseases Infestation's.
• Macro economic forces (economic output, unemployment, inflation, savings and investment)
and market manipulation
• Often sizeable price fluctuations .