Coffee and Conservation: India’s brewing success story

India’s coffee exports are on a remarkable growth trajectory, surging from US$ 719.42 million in 2020-21 to US$ 1.29 billion in 2023-24. In 2024-25, exports have already reached US$ 1.24 billion by December, a 42.2% YoY increase. Major buyers like Italy, Belgium, and Russia drive demand, while value-added products like instant and roasted coffee are gaining traction.

Domestically, the rise of café culture and premiumization has boosted consumption, growing from 84,000 tonnes in 2012 to 91,000 tonnes in 2023. India’s shade-grown coffee, cultivated in the Western and Eastern Ghats, champions sustainability while supporting biodiversity.

Initiatives like the Integrated Coffee Development Project are expanding production into non-traditional regions, empowering 150,000 tribal families in areas like Araku Valley. As the global coffee market races toward US$ 186.4 billion by 2033, India is brewing a bold future with innovation, quality, and sustainability at its core.

coffee

India’s coffee exports are witnessing an impressive growth in the last few years. In 2023-24, exports reached US$ 1.29 billion as compared to US$ 719.42 million in 2020-21. The surge has continued this year, as exports have further increased by 42.2% YoY to reach US$ 1.24 billion in April-December 2024-25. This means that coffee exports in these 9 months are almost at the level of the entire previous year.

A release by the Department of Commerce, Government of India, highlighted that India’s this growth is fuelled by increasing global demand for its rich and unique flavours. In the first half of January 2025 India’s coffee exports stood at 9,300 tonnes, with Italy, Belgium, and Russia as leading buyers. While unroasted beans are the primary exports, there is a growing demand for value-added products like roasted and instant coffee, further fuelling the export boom.

For the period of April-November 2024, exports were led by Instant Coffee (not flavoured) at US$ 325.22 million (YoY growth of 21%), followed by Coffee Rob Cherry Other Grade at US$ 273.62 million (YoY growth of 103%) and Coffee Rob Cherry AB at US$ 236.8 million (YoY growth of 76.9%). 

There is also a steady rise in consumption in the domestic market, led by the growing cafe culture and higher disposable incomes. Moreover, there is a growing penetration of coffee in a predominantly tea drinking nation. As a result, domestic coffee consumption has increased from 84,000 tonnes in 2012 to 91,000 tonnes in 2023. The growing market is also embracing premiumisation, encouraging global giants to rapidly expand their market presence. For instance, Starbucks started with high profile stores in major cities in 2012 and has since rapidly penetrated second and third tier cities with smaller drive through outlets. Now it has over 375 stores in 50 cities, serving over 400,000 customers this week.

India coffee_TPCI

India’s coffee is largely grown in the ecologically rich Western and Eastern Ghats, which are famous for their biodiversity. Karnataka, also known as Coffee Country, leads in production, contributing 248,020 MT in 2022-23, followed by Kerala and Tamil Nadu. By maintaining shade-grown plantations in these regions, the producers are not just developing the coffee industry but also preserving the natural environment and amintaining the ecological balance of these biodiversity hotspots.

India coffee production_TPCI

To enhance coffee production and meet growing demand the Coffee Board of India has focused on improving yields and growing coffeee in non-traditional regions under the Integrated Coffee Development Project (ICDP). A major success story of these initiatives has been the Araku Valley, where nearly 150,000 tribal families in collaboration with the Coffee Board and the Integrated Tribal Development Agency (ITDA) have increased coffee production by 20%.

The global coffee market is likely to reach a value of US$ 186.4 billion by 2033, at a CAGR of 4.85% from 2025 to 2033. The leading drivers are the growing consumption of coffee around the world, coupled with rising demand for high-priced premium coffee goods and specialty coffee culture, according to Renub Research.

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