India’s coffee exports crossed $1 billion for the first time in the eleven months of the year, as exports to Europe nearly doubled, prompting even Prime Minister Narendra Modi to boast about India’s growing prowess in the coffee market.
“Today, I feel happy when, along with Indian tea, our coffee is also spreading its fragrance in the world. It is making a splash in the markets,” Prime Minister Narendra Modi said in his reply to the Motion of Thanks on the President's Address in Lok Sabha.
2024 also marked the first year since 2012, when coffee exports had jumped over 50 percent, according to the analysis of data from the Ministry of Commerce. Coffee exports from India had declined 2.5 percent in 2023 but were up 30.1 percent the year before.
Exports had reached $660.8 billion in 2011, but since dwindled between $400-500 range in the subsequent years.
Europe remains the top coffee destination
India’s top three coffee importers—Italy, Germany and Belgium—have primarily contributed to this rise.
While the share of these three nations had declined post-Covid, 2024 seems to show signs of recovery.
The three countries' share of India’s coffee exports was 51.5 percent in 2024, the highest in five years, compared with 42.2 percent the previous year.
A significant push comes from Italy and Germany. The share of Germany in India’s coffee exports was the highest since 2011 and almost double the levels witnessed prior to the pandemic.
India exports coffee worth $179 million to the European nation, accounting for 16.7 percent of its exports.
Italy’s share also jumped in India’s coffee exports to 27.9 percent compared with 19.5 percent in 2023.
Asia’s share rises slower, Middle East declines
The jump in Europe trade has been accompanied by a much slower growth in Asia’s share and a decline in some parts of Middle East.
Exports to Jordan for instance, halved in 2024, while Turkey’s exports also witnessed a decline during this period.
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