Coffee Cultivation in India – History, Geography and Economic Significance

“From the misty hills of Chikmagalur to the lush slopes of Nilgiri, India’s coffee is brewing global recognition. Let’s trace the rich history and journey of coffee cultivation in the country.”

India’s rich coffee heritage dates back to the 17th century when Baba Budan brought the first coffee beans from Yemen to Chikmagalur, Karnataka. Since then, the country’s lush hills of the Western and Eastern Ghats have nurtured some of the finest Arabica and Robusta beans in the world. In this blog, we explore the fascinating journey of coffee plantation in India.

History of Coffee Cultivation in India:

1. The story of coffee cultivation in India began in 1600 AD when the legendary holy saint Baba Budan smuggled seven coffee beans from Yemen to Mysore in India. He planted seven seeds of coffee in the courtyard of his hermitage on Baba Budan Giris in Chikkamagaluru district, Karnataka.
2. For a significant period, the plants remained as a garden curiosity and spread slowly as backyard plantings.
3. The Dutch, who occupied parts of India during the 17^th century, also played a significant role in spreading coffee cultivation in India.
4. It was during the 18th century that the commercial plantations of coffee were started. Since then, the Indian coffee industry has made rapid strides and earned a distinct identity in the coffee map of the world.

Climatic conditions required for coffee cultivation:

• It requires a hot and humid climate for its growth.
• Required temperature ranges between 15°C and 28 °C.
• Rainfall: 150 to 250 cm.
• Soil type: Well-drained, loamy soil containing a good deal of humus and minerals like iron and calcium are ideal for coffee cultivation. Less suitable Soil Conditions are heavy clay soils, Sandy soils.
• Altitude: Grown on hill slopes between 600 to 1,600 metres.
• Shade and Dry Weather: Requires shady trees for growth.
• Dry weather is necessary at the time of ripening of the berries.

Coffee Cultivation in India:

1. India is a small producer of coffee accounting for only 2.5% of the world’s production. Notably, Brazil is the world’s largest coffee producer, contributing about 40 per cent of global production. Meanwhile, Vietnam is the second-largest coffee producer.
2. India’s coffee is grown over 4.90 lakh hectares and produces 3.63 lakh metric tonnes of coffee. 
3. Notably, coffee is traditionally grown in the Western Ghats, spread over Karnataka, Kerala and Tamil Nadu. Karnataka produces the most with over 70% of the total output.

4. Coffee cultivation in India is also expanding rapidly in the non- traditional areas of Andhra Pradesh and Odisha as well as in the Northeast states.
5. Coffee is predominantly an export oriented commodity, with 70 per cent of the country’s production being exported to more than 120 countries, earning $1.80 billion during 2024–25, while the rest is consumed within the country.
6. Approximately three-fourths of India’s coffee production consists of Arabica and Robusta beans.
7. Domestic consumption has increased from 84,000 tonnes in 2012 to 91,000 tonnes in 2023.
8. The two main varieties of coffee, viz., Arabica and Robusta, are grown in India. 

1. Arabica –
   1. It is a mild coffee, but with the beans being more aromatic, it has a higher market value compared to Robusta beans.
   2. Arabica is grown at higher altitudes than Robusta. The cool and equable temperature, ranging between 15 degrees Celsius and 25 degrees Celsius, is suitable for Arabica.
   3. Arabica is more suitable for large holdings, whereas Robusta is suitable irrespective of the size of the farm. 
   4. The harvest of Arabica takes place from November to January, while for Robusta it is December to February. 
   5. Arabica is susceptible to pests and diseases such as the white stem borer, leaf rust, etc., and requires more shade than Robusta.
2. Robusta –
   1. Robusta has more strength and is, therefore, used in making various blends.
   2. For Robusta, a hot and humid climate with a temperature ranging from 20 degrees Celsius to 30 degrees Celsius is suitable.

• India’s coffee is primarily grown in the ecologically rich Western and Eastern Ghats, areas famous for their biodiversity.
• Karnataka leads in production, contributing 248,020 MT in 2022-23, followed by Kerala and Tamil Nadu.
• These areas are home to shaded plantations that not only support the coffee industry but also play a vital role in preserving the natural environment. It also helps to maintain the ecological balance of these biodiversity hotspots.

India’s Global Position in Coffee production:

• India is the 7^th largest producer globally, after Brazil, Vietnam, Colombia, Indonesia, Ethiopia, and Honduras.
  • India has a share of about 3.50% in the global Coffee production.
  • India’s coffee export reached $1.29 billion in FY 2023-24, almost double the $719.42 million in 2020-21.

• India is the 5th largest exporter, exporting over two-thirds of its coffee production.
• Key export markets: Italy, Belgium and Russia.

Significance of Coffee Cultivation in India’s Economy:

• Coffee plays a vital role in India’s economy as a major export commodity. It contributes significantly to the nation’s foreign exchange earnings. 
• Between January and August 2024, India’s coffee exports were valued at US$ 1.19 billion, marking a 45% year-on-year growth over the same period in 2023.
• India’s dominance in Robusta production helps meet diverse demands in both domestic and international markets. 
• Moreover, strong European demand underscores India’s growing importance in the global coffee supply chain. 
• Since most Indian coffee is shade grown, it naturally complies with the European Union Deforestation Regulation (EUDR) norms.
• Overall, India’s coffee sector remains a key driver of agricultural exports and rural livelihoods. With sustained policy support and market innovation, the industry can continue to thrive amid evolving global trends.

Coffee Board of India:

• During the 1940s, the coffee industry in India faced significant challenges due to the Second World War, resulting in very low prices and the ravages of pests and diseases.
• In response to this crisis, the Government of India established the ‘Coffee Board’ through “Coffee Act VII of 1942”, under the administrative control of the Ministry of Commerce and Industry.
• Notably, with liberalisation and economic reforms in the 1990s, the Coffee Board’s monopoly over marketing and exports was abolished. 
• The Coffee (Amendment) Act, 1993, operationalized in September 1996, ended the pooling system.
• After pooling was discontinued, the Coffee Board serves as the friend, philosopher and guide to the coffee sector, covering the entire value chain. 
• The core activities are primarily directed towards research & development, transfer of technology, quality improvement, extending development support to growing sectors, and promotion of coffee in export and domestic markets.
• The Board comprises 33 members, including the Chairman, the Secretary & the Chief Executive Officer.
• The Headquarter of Coffee Board of India is in Bengaluru.
• The Board functions through six statutory committees. They are appointed for a one year term.
• The functions of each committee as per the Coffee Act are:

1. Executive Committee:
   1. It deals with functions specifically assigned to it under the Coffee Rules. 
   2. In addition to that, it deals with matters not specifically assigned to the Propaganda, Marketing, Research, or any other committees constituted by the Board.
2. Propaganda Committee:
   1. It deals with matters relating to the promotion of sale and increasing the consumption in India and elsewhere of the coffee produced in India.
3. Marketing Committee: 
   1. It deals with the coffee marketing scheme as set forth in the Act and Rules.
4. Research Committee:
   1. It deals with the promotion of agricultural and technological research in the interest of the coffee industry in India.
5. Development Committee: 
   1. It deals with the measures that may be undertaken for the development of coffee estates.
6. Quality Committee: 
   1. It deals with all issues relating to the improvement in the quality of coffee produced in India.

• The Board also had one non-statutory committee, viz., the Audit Committee, which deals with the matters relating to annual accounts and also studies.

• The Coffee Board of India has launched several important initiatives to enhance coffee production.
  • Under the Integrated Coffee Development Project (ICDP), the focus is on improving yields, expanding cultivation in non-traditional regions, and promoting sustainable farming practices.
  • These initiatives form part of a comprehensive strategy to strengthen India’s coffee sector, boost productivity, and enhance global competitiveness.
  • A remarkable example of success is seen in the Araku Valley, where around 1,50,000 tribal families, in collaboration with the Coffee Board and the Integrated Tribal Development Agency (ITDA), have increased coffee production by 20%.
  • This growth is supported by loans from the Girijan Co-Operative Corporation (GCC), ensuring financial empowerment for farmers.
  • Overall, these efforts highlight how coffee cultivation not only fuels economic growth but also empowers tribal communities and aligns with the vision of Aatmanirbhar Bharat.

Conclusion:

Coffee cultivation in India beautifully balances heritage, geography, and sustainability. From Baba Budan’s first seeds in Chikkamagaluru to the vast plantations across the Western and Eastern Ghats, Indian coffee has grown into a symbol of both tradition and global excellence. The country’s shade grown Arabica and Robusta varieties not only support biodiversity and rural livelihoods but also strengthen India’s position in the global coffee market.

With rising domestic consumption, expanding exports and government initiatives promoting sustainable farming, the future of coffee cultivation in India looks promising. As the nation continues to innovate and adapt to climate and market challenges, India stands poised to brew even greater success on the world stage.

Sources:

1. https://www.pib.gov.in/PressNoteDetails.aspx?NoteId=153674&ModuleId=3
2. https://economictimes.indiatimes.com/news/economy/agriculture/india-seventh-largest-coffee-producer-in-the-world-government/articleshow/117403142.cms
3. https://www.mapsofindia.com/indiaagriculture/coffee-production-map.html

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