India’s Coffee Exports Witness Sharp Decadal Growth

Export growth reflects global demand shift

India’s Coffee Exports Witness Sharp Decadal Growth: India’s coffee exports surged 125% in the last decade, rising from $800 million in 2014–15 to $1.8 billion in 2024–25, according to official data. The current year alone (2023–24) recorded $1.28 billion in exports. This shift shows India’s growing relevance in global specialty and value-added coffee.

Europe and Asia driving the demand

Europe remains the largest buyer, with countries like Italy, Germany, and Belgium leading imports. Emerging markets in Japan, Korea, and the Middle East have also fueled the growth. These regions favor shade-grown, sustainable coffee varieties due to rising environmental standards.

Coffee Board’s push for digitalisation and quality

The Coffee Board of India has led several digital reforms. It enabled online processing of RCMC, Export Permits, and Certificates of Origin using digital signatures. This streamlined documentation and helped exporters comply swiftly with global standards.

Strategic support for exporters

To remove hurdles, the board conducts regular meetings with exporters. It shares market intelligence and global price trends, helping coffee businesses make informed decisions.

Static GK fact: The Coffee Board of India operates under the Ministry of Commerce and Industry, established in 1942.

Incentives fuelling value-added exports

Exporters of value-added products receive a direct incentive of ₹3/kg. High-value green coffee shipped to long-distance markets like the US, Japan, and Australia receives ₹2/kg. A 40% machinery subsidy (up to ₹15 lakh) supports modernisation for roasting and packaging.

Sustainability aligns with global regulations

India’s coffee is grown under shade trees, supporting biodiversity and carbon capture. This aligns well with the EU’s deforestation-free law, helping Indian exporters meet strict sustainability benchmarks.

Static GK Tip: India is 7th in global coffee production and 5th in exports, with an output of ~3.6 lakh tonnes annually.

Role of startups and private players

Companies like South India Coffee Company and Vidi’s Coffee are making waves in the specialty export segment. Young entrepreneurs are now leveraging India’s unique coffee profiles to cater to global gourmet markets.

Employment and regional contribution

Nearly 2 million people depend on coffee cultivation and trade. Major producing states are Karnataka (largest), Kerala, and Tamil Nadu, contributing over 90% of India’s coffee output.

Static Usthadian Current Affairs Table

India’s Coffee Exports Witness Sharp Decadal Growth: