Lok Sabha Question No. 49 (UNSTARRED), answered on 2019-02-04
Subject: Export and Production of Coffee
Ministry: COMMERCE AND INDUSTRY
Asked by: SHOBHA KARANDLAJE

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

## LOK SABHA UNSTARRED QUESTION NO. 49 TO BE ANSWERED ON  04 th  FEBRUARY, 2019

## EXPORT AND PRODUCTION OF COFFEE

## 49. KUMARI SHOBHA KARANDLAJE:

Will the Minister of COMMERCE & INDUSTRY ( वा ͨणÏय एवं उɮयोग मंğी ) be pleased to state:

- (a) whether  the  export  of  coffee  has  impacted  the  prices  of  coffee  in  the  domestic market  and  if  so,  the  details  thereof  along  with  the  demand  and  consumption  of coffee in domestic market;
- (b) whether there has been a gradual increase in the production of coffee in the country and if so, the details thereof during the last three years, State-wise;
- (c) the  quantum  and  value  of  coffee  exported  from  the  country  during  the  last  three years along with the revenue generated therefrom;
- (d) whether the Government proposes to provide support for the certification of organic coffee and if so, the details thereof along with the total quantity of organic coffee exported during the last three years; and
- (e) whether the Coffee Board has granted ad hoc bonus for the employees of Coffee Board since 2015-16 onwards and if so, the details thereof and if not, the reasons therefor?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI C. R. CHAUDHARY)

- (a) No, Madam. Coffee is primarily an export oriented commodity for India. The demand/ consumption  in  domestic  market  is  about  25%  to  30%  of  country's  total  coffee production  and  therefore,  does  not  drastically  impact  the  prices  of  coffee  in  the domestic market.
- (b)  Coffee production fell after reaching at peak in 2015-16 but there has been a gradual increase in the production of coffee in the country in the last two years. The production of coffee in the country during each of the last three years, State wise is as under:

(In MT)

| State     |   2015-16 |   2016-17 |   2017-18 |
|-----------|-----------|-----------|-----------|
| Karnataka |    251520 |    221745 |    222300 |

| Kerala               |   69230 |   63265 |   65735 |
|----------------------|---------|---------|---------|
| Tamil Nadu           |   17295 |   16335 |   17440 |
| Andhra Pradesh       |    9200 |    9800 |    9600 |
| Odisha               |     600 |     650 |     740 |
| North Eastern States |     155 |     205 |     185 |
| Total                |  348000 |  312000 |  316000 |

Source: Coffee Board, Bengaluru.

- (c) The quantum and value of coffee exported from the country during the last three years along with the revenue generated are as under:

| Year     | Quantity (MT)#   | Value (Rs.Crores)   |
|----------|------------------|---------------------|
| 2015-16  | 3,10,015         | 5,056               |
| 2016-17  | 3,43,933         | 5,447               |
| 2017-18* | 3,95,014         | 6,210               |

# The total coffee exports include export of Indian coffees as well as re-export of imported coffees after value addition.

* Provisional based on export permits issued
- (d) The details of the exports of Organic Coffee produced in India for last three years is as under:

Source: Coffee Board, Bengaluru

| Year    |   Export inMT |
|---------|---------------|
| 2015-16 |       2004.07 |
| 2016-17 |       2224.15 |
| 2017-18 |       2940    |

Source:  National Programme for Organic Production (NPOP)

Government  of  India  through  Coffee  Board  is  extending  financial  support  for  Organic certification of coffee estates at the rate of 50% towards the certification cost subject to a maximum of Rs. 50,000/- per individual grower / grower groups. These incentives are limited to initial 3 year conversion period. (e) The Coffee Board granted ad-hoc bonus for the year 2015-16 to the employees who were in  service  as  on 31.12.2016,subject to extension of  ad-hoc bonus to the employees of autonomous  bodies  by  the  Government  of  India.  No  orders  for  extension  of  ad-hoc bonus to the employees of autonomous bodies has been issued by the Government of

- India from 2015-16 onwards.

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