India Sees 28% Surge in Coffee Exports and Record Production Estimates – CoffeeTalk

The Coffee Board of India reports significant growth in the country’s coffee exports, with 193,724 tonnes shipped from October to March 17, marking a 28% increase from the previous year. As India approaches 2026, its coffee sector is experiencing a transformative phase, moving away from merely being an exporter of robusta to playing a more strategic role in the global coffee economy, underpinned by record production estimates and rising values across both exports and imports.

For the 2024/25 coffee production season, the Board confirmed production at 363,500 metric tonnes, with robusta comprising over 70% of the output, reflecting a recovery after previous weather disruptions. Future projections for 2025/26 are optimistic, estimating a record 403,000 metric tonnes, driven by improved yields in Karnataka, Kerala, and Tamil Nadu. Arabica production is anticipated to increase to about 118,000 tonnes, while robusta output may surpass 284,000 tonnes.

Despite this optimism, significant risks remain; heavy rainfall has heightened disease susceptibility, particularly for arabica and robusta crops. Analysts from the USDA caution on production volatility linked to climatic challenges that affect traditional growing regions.

The financial landscape of India’s coffee market is noteworthy, with exports valued at US$1.8 billion in FY 2024/25, doubling over the last decade, and forecasted to reach nearly US$2.0 billion in 2025. This surge is attributed largely to elevated global prices and a favorable export mix, primarily to Europe, notably Italy, Germany, and Belgium, although newer markets in Russia, the Middle East, Japan, and South Korea are rapidly emerging.

Instant coffee has become a linchpin of export success, constituting roughly one-third of export earnings and solidifying India’s position as a key supplier in this segment. Despite strong output, imports also rose, with 2024 seeing approximately US$230 million worth of coffee imported, predominantly green robusta beans for instant coffee production, sourced mainly from Uganda, Vietnam, Brazil, and Indonesia. This trend highlights India’s evolving role as a processing hub in global coffee supply chains instead of indicating a domestic deficit.

While domestic consumption has risen from 84,000 tonnes in 2012 to 91,000 tonnes in 2023, it continues to represent a small fraction of total production, with current figures estimated at 1.3 to 1.5 million 60-kg bags. Instant coffee remains the primary driver of household demand, reflective of gradual but consistent growth in local coffee consumption.

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