India aims to double its Coffee exports to Russia

Chikamagalur, July 16: India aims to double its Coffee exports to Russia from the present 20,000 tons in next four years Union Minister of State for Commerce Jairam Ramesh has said.

Mr Ramesh who toured recently the three Coffee growing Districts of Kodagu, Chikmagalur and Hassan in Karnataka over the week end to interact with the growers, told newsmen who accompanied him that Russia was an important market for Indian Coffee but exports to that nation was showing a declining trend. Immediate attention would be given to double export of Coffee to Russia to 40,000 tons within next four years, he said.

He said that the Tea Blend Representative stationed at Russia would be entrusted to look after Coffee also.

Mr Ramesh said that of the total Coffee production in the country 70 per cent were being exported and last year the Coffee export was to the tune of 450 million dollars as compared to 350 and 270 million dollars respectively during the two previous years.

Besides, Russia other main markets for Indian Coffee were Italy, Belgium and Germany.

He said that export of Coffee to Italy was about 27 per cent, while it was 7 per cent to Belgium and five per cent to Germany.

Export to Russia was about 22 per cent last year.

Mr Ramesh said that more attention needs to be given to exploit Coffee market in United States, Australia, Japan and China. At present the export to US was to the tune of 5000 tons, Japan 4000 tons, to Australia. "We have to double the exports in the countries which are importing coffee from India and to make inroads into China. These four countries needs to be concentrated more to double the present export and to introduce Indian Coffee", he added.

Mr Ramesh said besides export, more attention needs to be given to boost domestic consumption. "Though the domestic market has shown increasing trend last year with 85,000 tons from 55,000 tons 10 years back, per capita consumption of Coffee in India was only 63 grams, while in France it was 11.3 kgs." "The Coffee consumption was mainly seen in Southern states of Tamil Nadu, Karnataka and Andhra Pradesh. Though in Karnataka the trend has increased in Tamil Nadu it was stagnant, while in Andhra Pradesh it was reducing and in Northern parts it was yet to pick up", he added.

Stating that his purpose of visit to Coffee growing Districts of Hassan, Chikmagalur and Madikeri in Karnataka was to hear the grievance of Coffee growers, he said that of the total Coffee grown in the country, small growers, owning less than 25 acres, grow about 60 per cent.

He said that though the Coffee growers faced problem mainly due to drought condition prevailed from 2003 to 2005, decline in prices in the international market following stock buildup by Brazil, the industry has recovered last year and further improvement was expected this year.

UNI