Fear of adverse effects on coffee crop due to late rains in the south

- Exports of coffee from the country are expected to increase as prices in the world market reach a seven-year high

The coffee market and industry in the country have recently seen a reversal of trends. Earlier, the consumption of homemade coffee increased during the lockdown and now the second wave of Corona is coming to an end and the process of reopening has started in various cities and states in the country and hotels and restaurants are reopening. Is. Meanwhile, the demand for instant coffee was seen to be special in household consumption during the lockdown and now the demand for normal coffee in bulk consumption is also seen to be special, market sources said.

Meanwhile, Karnataka, Kerala, Tamil Nadu v. The states have received heavy rainfall in July and August. The rains have adversely affected the coffee crop in these productive areas. According to coffee growers and plants in the area, the rains are likely to reduce the coffee crop by about 8 to 10 per cent at this stage.

However, according to the government-owned Coffee Board, the country's coffee production in the 2021-14 coffee season is estimated at around 3 lakh 4 to 30 thousand tonnes. Out of this, the crop of Rolsta coffee is estimated to be around 3 lakh 30 to 31 thousand tons. During the last coffee season of 2020-21, the total coffee production in the country was 3 lakh 40 to 5 thousand tons.

The new coffee season in the country starts from the beginning of October and ends in September of the following year. According to sources in the United Planters Association of South India, the recent heavy rains have raised fears of adverse effects on coffee production in the country and are projected to decline by about 10 per cent.

Sources in the committee said that despite the possibility of a decline in domestic production, coffee exports from the country are likely to improve this year. According to these sources, with the rise in coffee prices in the world market, the opportunities for overseas coffee exports from the country are looking bright at the present stage. News of the recent rise in Arabica coffee futures reached a new seven-year high at one point in the world market. The coffee futures have recently jumped above બે 2 per pound and traded at ૫ 3.05 to ૧ 8.10.

Coffee production in Brazil has been hit hard by unfavorable weather in coffee-producing areas. Even before this, the crop of 2021 was less prohibited and now with the weather becoming more unfavorable there, the crop is likely to fall even lower than the previous estimate, world market experts said. Although global coffee futures have recently rebounded to a high of બે 2 per pound, global coffee futures have risen about 5 to 20 per cent since the beginning of this year, according to world market sources.

The price of Arabica coffee has also gone up sharply due to the rise in the price of Rolsta coffee. Arabica coffee prices are hovering above 2,000 a tonne. The new coffee season is expected to begin in October in the hope that the rise in global coffee prices, which will continue till November, will create bright opportunities for coffee exports from India. Meanwhile, in the current calendar year of 2021, the total export of coffee from the country so far in the period from January 1 to date has been around two lakh 6 to 70 thousand tonnes.

During the same period last year, such exports were around two lakh 15 to 20 thousand tonnes. Coffee exports from India are mainly to Italy and to Germany and Belgium. Out of the total coffee production in the country, about 60 per cent is produced by Rolsta coffee and the remaining 20 per cent is produced by Arabica coffee. Last year, the production of Rolsta coffee in the country increased to around 3 lakh 6 to 7 thousand tonnes while the production of Arabica coffee was around 30 thousand to one lakh tonnes. Coffee prices in the world market started declining from 2015-16 and after a two-three year slump, the world market is now on the rise again.