India’s coffee journey dates back centuries, when Baba Budan brought seven mocha seeds to the hills of Karnataka. This momentous event unknowingly established India as one of the world’s leading coffee producers. Today, Indian coffee is not just a household name in India but has gained popularity worldwide. India is currently the seventh-largest coffee producer globally, with coffee exports reaching $1.29 billion in the financial year 2023-24, nearly double the $719.42 million recorded in 2020-21.
Indian coffee’s distinctive flavor and the increasing global demand have led to a significant boost in exports. In the first half of January 2025, India exported over 9,300 tons of coffee to key buyers such as Italy, Belgium, and Russia. The bulk of India’s coffee production consists of Arabica and Robusta varieties, exported primarily in unroasted bean form. However, the growing demand for roasted and instant coffee products has further accelerated exports.
Coffee consumption in India is on the rise, particularly in urban and rural areas. The increasing disposable income and the growing café culture have contributed to the surge in coffee consumption. Domestic consumption has grown from 84,000 tons in 2012 to 91,000 tons in 2023, underscoring the rising number of coffee enthusiasts and its integral role in daily life.
India’s coffee is predominantly grown in the ecologically rich Western and Eastern Ghats. Karnataka, the leading coffee-producing state, accounted for 248,020 tons of coffee production in 2022-23. Kerala and Tamil Nadu follow as the next largest producers. The shaded plantations in these regions not only support the coffee industry but also play a vital role in preserving the natural environment.
Improvements and Sustainability in Coffee Production: The Coffee Board of India has initiated several critical projects to boost coffee production, including the Integrated Coffee Development Project (ICDP). This initiative aims to enhance yields, expand cultivation in non-traditional areas, and ensure sustainability. The Araku Valley serves as a prime example, where tribal communities, supported by the Coffee Board and the Integrated Tribal Development Agency (ITDA), have increased coffee production by 20%.
India’s Role in the Global Coffee Market through Export Incentives: Export incentives and additional support mechanisms are strengthening India’s coffee industry, allowing it to stand tall in the global competitive arena. These efforts are instrumental in positioning India as a dominant player in the global coffee market, significantly contributing to the vision of a self-reliant India.