Coffee Farmers In India Protest, Alleging Price Suppression And Cartelization By Traders – CoffeeTalk

Karnataka’s coffee growers are facing a new challenge this season: alleged cartelisation by local traders buying raw coffee from small growers, who make up nearly 90% of the state’s coffee farmers. Robusta coffee, which dominates Karnataka’s production, had surged to a record Rs 15,000 per 50kg bag earlier this year. However, prices now hover between Rs 11,000 and Rs 12,500, leaving many growers frustrated. They allege local buyers are exploiting the situation to keep farm-gate prices artificially low.

Hundreds of coffee growers from across Kodagu gathered in Gonikoppal to protest injustice in the name of export permits (EP). The meeting, chaired by Karnataka Rajya Raitha Sangha Kodagu district president Kadyamada Manu Somaiah, passed key resolutions and mapped out strategies for future protests. Some planters say local market dynamics have become detached from global benchmarks, as the price of coffee in India is typically influenced by international markets.

The distress is not confined to Kodagu, as growers report similar struggles in Chikkamagaluru and Hassan (Sakaleshpur), another major coffee-growing district. Dr. Babu Reddy, deputy director (research) at Coffee Board of India’s market intelligence unit, said the board’s role was limited to awareness efforts. “Indian coffee has continued to fetch good prices as Brazil is struggling to match the demand due to various factors,” he said.

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