Question : FINANCIAL INCENTIVES TO COFFEE PRODUCERS



(a) whether Government have decided to provide financial incentives to the producers of coffee to arrest falling exports and increase its global market share;

(b) whether any strategy to increase India’s market share in coffee has been evolved; and

(c) if so, the details thereof?

Answer given by the minister


MINISTER OF THE STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JAIRAM RAMESH)

(a) to (c) India has exported a total quantity of 211765 MT, 201517 MT and 249029 MT of coffee during the years 2004-05, 2005-06 and 2006-07 respectively. The value realization during these years has been Rs. 1225 crore, Rs. 1510 crore and Rs. 2008 crore respectively. It may thus be noted that though quantity of export of coffee has remained nearly constant except in the year 2005-06 where there is some decline in exports, due to per unit realization the value of exports have gone up.
Coffee Board is extending technical and financial assistance to coffee farmers for replantation, water augmentation, quality upgradation, pollution abetment, expansion of coffee area, consolidation, construction of drying yards and pulpers. For increasing export of coffee from India and to increase India’s market share in the world market, a number of steps, like participation in targeted trade fairs; holding buyer-seller meets at key destinations; conducting cupping sessions to popularize the strengths of Indian differentiated coffees; holding India International Coffee Festival once in 2 years; incentives to exporters to augment export of high value differentiated coffees to far off markets like United States of America, Canada and Japan; incentives to export high value coffees like washed Robusta, Speciality Coffees, estate brands and soluble coffees of Indian origin, have been taken.