Lok Sabha Question No. 82 (UNSTARRED), answered on 2017-07-17
Subject: Production and Export of Coffee
Ministry: COMMERCE AND INDUSTRY
Asked by: SRINIVAS KESINENI

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA

## UNSTARRED QUESTION NO. 82 TO BE ANSWERED ON 17 th  JULY, 2017

## PRODUCTION AND EXPORT OF COFFEE

## 82. SHRI KESINENI NANI:

Will the Minister of COMMERCE & INDUSTRY ( वािणÏय एवं उɮयोग मंत्री ) be pleased to state:

- (a) the  details  of  coffee  production  in  the  country  during  the  last  three  years  and  the current year, year-wise indicating the rate of growth therein and the current position of India among other coffee producing countries in the world;
- (b) the  total  quantity  and  value  of  coffee  exported  from  the  country  during  the  said period, country-wise;
- (c) whether  any  steps  are  being  taken  by  the  Government  to  improve  the  working conditions of coffee plantation workers and if so, the details thereof; and
- (d) whether  there  is  any  proposal  for  allowing  Foreign  Direct  Investment  in  coffee plantations in India and if so, the details thereof along with its present status?

## ANSWER

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## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE)

(SMT. NIRMALA SITHARAMAN)

- (a) The details of coffee production in the country during the last three years and the current year, year-wise indicating the rate of growth rate in coffee production, is as follows:

| Year      |   Production (Tonnes) |   %change over previous year (%) |
|-----------|-----------------------|----------------------------------|
| 2014-15   |                327000 |                             7.39 |
| 2015-16   |                348000 |                             6.42 |
| 2016-17*  |                316700 |                            -8.99 |
| 2017-18** |                350400 |                            10.63 |

During the current year, India stands 7 th position in the World in terms of coffee production.

- (b) The total quantum and value of coffee exported from the country during last three years are as under;

| Year                                |   Quantity(MT) |   Value (Rs. Crores) |
|-------------------------------------|----------------|----------------------|
| 2014-15                             |         272323 |                 4807 |
| 2015-16*                            |         318059 |                 5176 |
| 2016-17*                            |         356445 |                 5650 |
| 2017-18* (01.04.2017 to 11.07.2017) |         119025 |                 1936 |

* Based on permits issued

The country - wise export of coffee and revenue generated during last three years and the current year details are enclosed in Annexure-I.

- (c) The working conditions of coffee plantation workers are governed in accordance  with  the  Plantation  Labour  Act  1951,  Equal  Remuneration  Act 1976,  Employees  Provident  Fund  and  Miscellaneous  Provisions  Act  1952, Gratuity Act 1972, Bonus Act 1965, Workman Compensation Act 1923. The Plantation  Labour  Act  (PLA),  1951,  administered  by  Ministry  of  Labour  & Employment and enforced by the concerned state governments requires the employers  to  provide  the  workers  with  housing,  medical  facilities,  sickness and maternity  benefits  and  other  forms  of  social  security  measures.    There are provisions for educational facility for the children, drinking water, conservancy,  canteens,  crèches  and  recreational  facilities  for  the  benefit  of the tea plantation workers and their families in and around the work places in the  tea  estates.  The  Labour  Department  of  the  State  Governments  monitor the implementation of the provisions of this Act.

Apart from the above, Coffee Board has been providing the welfare support to children  of  labourers  and  tiny  farmers  under  the  scheme  'Integrated  Coffee Development Project'. Educational stipend and financial assistance is provided to the children of labourers and children of tiny growersin order to ensure that the children of plantation workers pursue higher studies after X th class.  During  the  XII  Plan  period,  an  amount  of  Rs.10.34  crore  has  been extended to 41,927 beneficiaries.

- (d) As  per  extant  Foreign  Direct  Investment  (FDI)  policy,  FDI  upto  100%  under the  automatic  route  is  permitted  in  Coffee  plantations  subject  to  sectoral conditions.    For  sectors  under  automatic  route  no  prior  approval  of  the Government or the Reserve Bank of India is required.

## India's total coffee exports - country wise

Quantity in Metric Tonnes and Value in Rs. Crores

|                    | 2014-15   | 2014-15   | 2015-16*   | 2015-16*   | 2016-17*   | 2016-17*   | 2017-18* (1.4.2017 to 11.7.2017   | 2017-18* (1.4.2017 to 11.7.2017   |
|--------------------|-----------|-----------|------------|------------|------------|------------|-----------------------------------|-----------------------------------|
| Country            | Qty       | Value     | Qty        | Value      | Qty        | Value      | Qty.                              | Value                             |
| ITALY              | 59968     | 999.31    | 79653      | 1139.60    | 83821      | 1158.46    | 28340                             | 412.57                            |
| GERMANY            | 25021     | 466.71    | 27600      | 463.23     | 34933      | 549.78     | 14252                             | 227.67                            |
| RUSSIAN FEDERATION | 20994     | 388.88    | 27838      | 470.89     | 29087      | 507.59     | 8597                              | 155.47                            |
| BELGIUM            | 12082     | 248.88    | 16600      | 305.85     | 20046      | 367.71     | 6282                              | 129.19                            |
| TURKEY             | 15852     | 276.35    | 14292      | 243.12     | 17230      | 280.96     | 3922                              | 68.68                             |
| POLAND             | 4422      | 67.06     | 6507       | 92.22      | 11139      | 172.3      | 4292                              | 68.05                             |
| SLOVENIA           | 8102      | 115.17    | 10886      | 134.65     | 10289      | 123.4      | 3553                              | 49.99                             |
| SPAIN              | 5421      | 80.84     | 6297       | 81.97      | 9631       | 127.25     | 3512                              | 50.06                             |
| GREECE             | 5919      | 88.42     | 6646       | 86.14      | 7790       | 103.47     | 1619                              | 24.49                             |
| U.S.A.             | 5763      | 102.87    | 5742       | 95.96      | 7383       | 131.25     | 2802                              | 47.58                             |
| OTHERS             | 108779    | 1972.88   | 115998     | 2062.28    | 125096     | 2127.61    | 41854                             | 702.53                            |
| Total              | 272323    | 4807.37   | 318059     | 5175.91    | 356445     | 5649.78    | 119025                            | 1936.28                           |

*****

*Based on export permit.