Government intervention sought to check cartels, say trade sources
With only a few weeks remaining for the coffee harvest to begin, a disparity in the prices of Robusta coffee in the international market and India has become a major cause for concern among growers in South India.
Though the price of coffee in India is usually based on international markets, especially the London market, a proportionate increase in the price of the produce overseas is yet to get reflected in the local market, according to trade sources.
While the price of Robusta coffee rose by about $70 a ton in the international market, the Indian market was yet to reflect the increase. According to Coffee Board data, the price of the produce (AB grade) in the international market was ₹165 a kg on October 29 but the growers here were getting only ₹140 a kg.
The trade sources contended that the likely reason for the disparity was ‘price cartelisation’ by some international buyers. Also, the number of buyers had been relatively low in India as the harvesting season here would begin only by the end of December, they added.
According to the board’s final estimates, the total coffee production in India during 2020-2021 stood at 3. 69 lakh tons, including 2.35 lakh tons of Robusta. Of this, a little more than 1.64 lakh tons were exported.
Recently, the Centre extended RoDTEP (Refund of Duties and Taxes on Exported Products) scheme to the coffee sector to boost exports. But the growers were not enthused, the sources added. Alleging that some international players were likely trying to enhance profits by not increasing the prices, the trade sources sought the Union Commerce Ministry’s intervention to stop such exploitation.
source: http://www.thehindu.com / The Hindu / Home> Business / by Staff Reporter / Kalpetta – October 30th, 2021
The past year has seen a spurt in speciality coffee offerings, as more local roasters get creative with the business of beans
When Divya Jayashankar set up Chennai’s first roastery, Beachville, back in 2018, the city was just beginning to look beyond traditional dark roasts and filter coffee. Back then, her imported small-batch roaster, grinder, and farm-sourced coffee blends with “no chicory, no robusta” were enough to take customers by surprise, she recalls.
Now, encouraged by adventurous customers, Divya is exploring naturally sun-dried coffee cherries as against washed Arabica, and the various ways they can be put to use. The latter, she says, “has what many consider to be a cleaner taste. But sun drying lets the flavour of the cherry leech into the bean with time, making it much more heavy-bodied and fruity: The market is moving towards more funky tasting coffees, and I want to experiment.”
Divya Jayaraman, founder of Beachville | Photo Credit: Special arrangement
She is not alone — a fraternity of coffee entrepreneurs alongside Divya are trying out a variety of processes, working with farmers, discoving different beans and playing with flavour profiles.
The growing competition is keeping him on his toes, admits Akshay Vaidyanathan who founded Kapi Kottai in 2019. While Divya looks into what she calls “the naturals”, Akshay’s latest product Hamir Kalyani is a test slow-controlled fermentation. “It’s a very technical process, but fermented coffee is definitely a trend now,” says Akshay, adding that his 2020 product named Curveball is double-fermented, resulting in an intensely fruity, admittedly polarising brew with a niche, but loyal, following.
These experiments are taking roasters into coffee estates, to the turf of growers and plantation owners, in an attempt to heighten flavours in coffee before they even take the form of beans. The latest in the fray, began their process plantation-first.
Kathryn Ahuja, founder of Kat & Kin Coffee Roasters | Photo Credit: Special arrangement
Kat & Kin Coffee Roasters was started by husband-wife duo Kathryn and Anek Ahuja in the middle of lockdown earlier this year. “I have been interested in coffee-making for 25 years, and was looking for a challenge,” says Kathryn.
They began with a visit to plantations in Chikmagalur after restrictions eased, where a patch of Ethiopian-origin heirloom coffee at MF Estate caught her fancy, “I knew I wanted to start with that bean”. The smooth-tasting floral coffee lends itself to multiple brewing styles, found the couple, making it the ideal launch for a new customer-base with varied preferences.
Then followed the investments: a roaster that took three months to be imported from Taiwan (“there are no roasting machines made in India,” says Anek), a commercial-scale grinder, and a years’ stock of coffee beans. “Harvest happens only once a year, so we must commit to the grower for that long,” explains Anek, adding with a laugh, “We burnt a lot of beans before we managed a good roast.”
Up ahead
Now, Kat & Kin offers six coffees, including the popular Monsooned Malabar and a naturally processed product named Iced Honey. The roasters have also left their imprint beyond city and state limits — “While most of our customers are in Chennai, we are also getting repeat orders from a few people in Bengaluru and Hyderabad,” says Anek, adding, “In Chennai, the community of people brewing coffee other than filter coffee is growing. Some look at the process as an art form; I know people who prefer slow pour overs just because they find it calm and therapeutic.”
Meanwhile, Kapi Kottai sells not only to individual customers, but also to cafes and restaurants around the country. The bread bar in Mumbai, Mearth cafe in Chennai, One Dollar Moffee in Raipur, Three Beans Coffee Bar in Nagpur and Pot Boiler Coffee House in Kolkata are part of Akshay’s clientele.
Beachville, on the other hand, is putting more energy into serving its local, post-lockdown customers at the cafe that opened in October 2020. “The current trend is towards finding more interesting coffees and interesting ways of processing them,” says Divya, “But right now, the experiential angle seems more important than the blends per se. In the past year, we have been experimenting with what we serve at the cafe: kinds of cold brew, espresso-based beverages like a coconut water, coffee and mint espresso drink, and other beverages with tonics.”
It is only in the upcoming harvest season that Divya really plans to get into naturally processed coffees, and also importing coffees from Ethiopia and Columbia. “It is usually difficult for a grower to maintain consistency when the process is natural, but there are some estates that are doing some really good work,” she says. She sees reason for optimism not only in the rising customer base, but also in the growing retail price of coffee, which is an indicator of how much people value speciality products and “green products”. In the end, she says, it all comes down to the relationship you have with those who grow coffee, and how much you are willing to pay them for their labour.
source: http://www.thehindu.com / The Hindu / Home> Life & Style> Food / by Meghna Majumdar / Chennai – October 27th, 2021
The joint study found bird species richness to be higher in shade coffee plantations that had 78 species than in open coffee plantations that had 55 species
‘Alteration of canopy, woody plant composition can influence pattern of functional composition of resident birds’
Verdant coffee and tea plantations are more than an ideal backdrop for photos; they support a thriving avian population. In a study that underscores the need to understand the patterns and drivers of bird species composition and diversity outside Protected Area (PA) networks to develop landscape-level conservation strategies, researchers found that they varied in differently-managed plantations.
The findings were the result of collaborative work by Kannur University, Kerala, Salim Ali Centre for Ornithology and Natural History, Coimbatore, Ashoka Trust for Research in Ecology and the Environment (ATREE), Bengaluru, and Ferns Nature Conservation Society, Wayanad. It was published in July 2021.
Focussing on the coffee plantations in the Western Ghats, which are an important agro-ecosystem and help maintain a significant portion of regional avian diversity, the researchers compared the composition and functional diversity of resident birds between shade and open coffee plantations.
They counted 3,846 birds of 87 species, and found species richness to be higher in shade (78 species) than in open coffee plantations (55 species). “Interestingly, 32 species were unique to shade and nine were unique to open coffee plantations, with 46 species found in both types of plantation. Species richness and abundance were higher in shade coffee,” the study says, adding that the results reveal that different farm management practices can affect functional bird richness and its abundance in coffee plantations. They have made a case for retaining shade-trees of native varieties in coffee plantations to support high functional diversity, richness, and abundance of birds in the coffee plantation of the Western Ghats.
The study, ‘Resident birds show different patterns in species composition and functional diversity in differently managed coffee plantations in the Western Ghats, India’, was published by the Ornithological Science journal in July 2021.
Speaking to The Hindu, Santhanakrishnan Babu, one of the authors, said the study was conducted between May and August, 2016, in the northern part of Wayanad district. “Wayanad is a major coffee producer, producing 90% of the Kerala’s coffee. Our study aimed to understand how resident birds respond to differently-managed coffee plantations – shade and open,” he said.
The Kerala government recently passed an order to chop all resident trees on private land except sandalwood. This will lead to extensive chopping of resident trees from the coffee plantations which will affect biodiversity, he added.
Another author Athira S. Variar and Mr. Babu said retaining shade trees of native varieties in coffee plantations is important for supporting high functional diversity, richness, and abundance of birds. “Shade plantations support several habitat specialists and range-restricted birds, and alteration of the canopy and woody plant composition can influence the pattern of the functional composition of resident birds. Since our study covered only one season, year-round study in these plantations may shed more light on the composition of resident, breeding and migratory bird species,” they said.
Conservation strategies
They have called for landscape-level conservation strategies. Author Anoop N.R. pointed out that the Forest Department has little authority over the plantations located outside forest areas, and trees in these plantations are increasingly being replaced with exotic trees such as Grevillea robusta. “To promote the protection of large native trees in coffee plantations, we recommend initiating programmes to provide financial incentives to private landowners. Education programmes will also help to improve community support for retaining texisting indigenous tree varieties and promote planting more of the same,” he recommended, adding that a framework needs to be developed with regard to which species can be planted and which must be maintained, or removed, from the plantations.
source: http://www.thehindu.com / The Hindu / Home> News> States> Karnataka / by K C Deepika / Bengaluru, October 04th, 2021
Deputy Commissioner Charulata Somal sips coffee at Raja Seat on Friday, on the occasion of International Coffee Day
Deputy Commissioner Charulata Somal said that the International Coffee Day celebrated in Kodagu, highlights the hard work of coffee growers, which is behind the taste of coffee.
She was speaking during the International Coffee Day programme observed by Rotary Misty Hills, at Raja Seat, on Friday.
The deputy commissioner added, “I got to know about every detail of coffee cultivation after I was posted to Kodagu. The dedication and effort by coffee growers in producing the best quality of coffee is commendable.”
Rotary Misty Hills president Anitha Poovaiah said that more than 1,500 visitors at Raja Seat were served coffee on account of International Coffee Day.
Rotary Deputy Governor H T Anil said that the quantity of coffee powder used by a person in India is 4 to 5 kg per year whereas, in a foreign country, a person uses 15 kg of coffee powder annually.
Therefore, there is a need to increase the usage of coffee in India, he added.
Misty Hills project director Devanira Tilak also spoke on the occasion.
Madikeri CMC commissioner Ramdas, horticulture department deputy director Sridhar, senior assistant director Pramod, Coffee Board deputy director Shivakumar Swamy and others were present.
‘Coffee export’
Kodagu Mahila Coffee Jagruthi Sangha distributed free coffee at various places in Madikeri on account of International Coffee Day.
The Coffee Day observed at Tadka House on Raja Seat Road was inaugurated by Kodava Samaja president K S Devaiah.
When the coffee industry was in distress women had started a unit to instil confidence in coffee growers in the district. The sangha has been promoting coffee consumption, said K S Devaiah.
Women have been actively engaged in managing coffee plantations and the industry. Kodagu’s coffee is known for its taste, he said.
Kodagu Coffee Growers’ Cooperative Society president M B Devaiah said the society is the largest coffee cooperative in Asia.
It is now mulling about exporting coffee and requires financial assistance from the government for exports, he added.
Advocate Pasura Preetham said the International Coffee Day is being observed since 2015.
Dr Mohan Appaji said that the consumption of coffee by those above 40 years is good for health.
Kodagu Mahila Coffee Jagruthi Sangha president Chitra Subbaiah, general secretary Anitha Nanda and others were present.
source: http://www.deccanherald.com / Deccan Herald / Home> State> Mangaluru / by DHNS, Madikeri / October 01st, 2021
Non-traditional coffee growing regions in India are having a moment in the sun
(Nathan Dumlao, Unsplash)
There was a time when coffee beans in India were assumed to have come from the South of India and the lush, verdant hills of Baba BudanGiri (regarded as the birthplace of coffee in India), Nilgiris and Kodagu in Karnataka that are known to be the key coffee producing regions in the country. Increasingly, places like Araku Valley near Visakhapatnam, Koraput in Odisha and Northeastern states such as Meghalaya and Nagaland as newer areas from where your favourite roasters have sourced their beans.
While coffee has traditionally been grown in South India and a majority of well-known estates continue to supply the bulk of coffee beans to roasteries across the country, the rise of these so-called non-traditional areas has been some time in the making. The coffee world took notice of this when Araku Coffee, that sources its beans from the eponymous valley comprising highlands of the Eastern Ghats, won the Gold Medal for the best coffee pod in the Prix Epicures OR 2018 Award in Paris, France, a first for any Indian coffee brand. The next year, a GI tag followed for Araku Valley coffee, giving its identity a permanent market and the scope to demand better price for its coffee.
What comes as a surprise is that just two decades ago, there was no Araku coffee and no market selling these coffees even though the region has a century-old relation to coffee plantation. Instead, tribals grew cash crops while the region was part of the Red Corridor for Naxal insurgency. This writer’s visit to Araku Valley by train in 2009 was suspended after major Naxal activity was detected the previous night with a high possibility of the tracks being blown apart, the station superintendent at the time informed.
Cooperatives like Girijan Co-operative Corporation and NGOs like Naandi Foundation worked with tribals in the region and over the years, a collective group effort with 10,000 farmers from 520 villages joined Araku’s coffee cooperative to cultivate 12,300 acres of land with world-class coffee. It has been described as the largest bio-dynamic coffee cooperative in the world.
“We empowered tribals to give us the best coffee and that led to a revolution in quality. Around 12 years ago, most coffees scored around 60 but today the score is over 85,” Manoj Kumar, CEO of Naandi Foundation and co-founder of Araku Coffee says. The widely accepted definition of specialty coffee is coffee scoring 80 points or above on a 100-point scale by the Speciality Coffee Association of America (SCAA).
To qualify as a specialty coffee, the beans have to be graded by certified coffee tasters known as Q graders. Coffee scoring 80–84.99 is graded Very Good, coffee that scores 85–89.99 is graded Excellent while Coffee scoring from 90–100 is graded Outstanding.
Araku’s success on the global stage set the stage for other places to bring out their coffees. Koraput, a region bordering Araku that finds itself in Odisha with issues related to Naxalism, has seen its fortunes rise as tribals engage in producing coffee that are wowing coffee lovers with its nuanced flavour profiles. “Coffee grown in forests like Koraput are semi wild grown coffees compared to coffee estates, which are a deliberate attempt to grow coffee. This biodynamic form of coffee is one of the key reasons coffee drinkers will find hints of Indian gooseberry and pepper that are also grown in the forest. This attribute has made Koraput coffee much sought after,” Debu Mishra, who started Tribe-O Koraput coffee and retailed with Mumbai-based Dope Coffee Roasters last year before expanding to other roasters says. When I tried this coffee last year, there was a natural acidity to the beans that can sometimes be difficult to discern with estate-grown coffees in my collection.
For its part, Dope Coffee expanded and bought 600 kilos of coffee from Durgamadhab estate in Koraput early this year after working with Tribe-O Project, Koraput. As Riyaaz Amlani, CEO of Dope Coffee says, “Customers today care where their coffee comes from. As roasters, it’s exciting to experiment with these beans that have great texture and density. Next year, we’re planning to help the estate with harvesting and post-harvesting processes as well.”
The Northeast, too, has seen local coffee brands grow. Meghalaya’s Smoky Falls Tribe Coffee sources the bean from farmers in the Jaintia hills and Khasi hills. Nagaland’s Été gets its beans from farmers in the state. Vivito Yeptho, co-founder and managing director of Nagaland Coffee Pvt Ltd, has found takers in his home state and few repeat customers across the country who buy their beans. “If you taste coffees from South India, they have distinct notes which are familiar to most. Then again, not everyone will enjoy Nagaland coffee that has a different taste profile with spicy notes,” he says.
Subko Coffee Roasters co-founder Rahul Reddy says: “The quality of the cup of coffee and its traceability is gaining traction. At Subko, we go by Lot numbers (specific quantities of beans collected from specific areas/portions, usually nanolots or microlots, on a coffee farm instead of picking all the coffee grown on the estate at one go) because everything is variable in coffee. The way I see it, as a roaster you are a curator of nuance,” adding that Garo Hills coffee from Meghalaya is among their highest-selling coffee.
The rise of coffee in non-traditional areas is still too small compared to overall coffee production in India. For example, of the 3,34,000 MTs of coffee produced in India in 2020-2021, only 11,500 MT came from non-traditional areas (comprising of North East, Odisha and Andhra Pradesh), according to the Coffee Board of India. However, coffee from these areas is projected to grow to 12,870 MTs for the 2021-2022 harvest season.
India’s most well-known roasters Blue Tokai has still to source coffee beans from these regions. Matt Chitharanjan, co-founder of Blue Tokai says that he would only consider selling coffees from non-traditional places if the coffee score crosses 82, which it hasn’t so far. “A coffee score below 82 is not unique for us. Then you’re just selling the coffee on its story. Araku is an exception but when we worked two years ago to elevate coffee scores in Andhra Pradesh we only saw a marginal improvement from 76 to 78. The real challenge is crossing that barrier.”
The rise of coffee in non-traditional areas is still too small compared to overall coffee production in India. For example, of the 3,34,000 MTs of coffee produced in India in 2020-2021, only 11,500 MT came from non-traditional areas (comprising of North East, Odisha and Andhra Pradesh), according to the Coffee Board of India. However, coffee from these areas is projected to grow to 12,870 MTs for the 2021-2022 harvest season.
India’s most well-known roasters Blue Tokai has still to source coffee beans from these regions. Matt Chitharanjan, co-founder of Blue Tokai says that he would only consider selling coffees from non-traditional places if the coffee score crosses 82, which it hasn’t so far. “A coffee score below 82 is not unique for us. Then you’re just selling the coffee on its story. Araku is an exception but when we worked two years ago to elevate coffee scores in Andhra Pradesh we only saw a marginal improvement from 76 to 78. The real challenge is crossing that barrier.”
Sunalini Menon, President, Coffeelab, Bengaluru says that the rise of coffees outside Chikmagalur can be attributed to a few reasons. According to her, “Talking about involving indigenous communities to produce coffee makes for a good story. Araku Coffee paved the way and made people realise that. The coffee from these regions has also seen simultaneous improvement. I am impressed with the how far coffee from Koraput has come. Finally, new coffee entrepreneurs need to stand out and sourcing coffees from non-traditional places is one surefire way of doing that.”
Beginner’s guide to buying coffee beyond Chikmagalur 1. Khar Single Estate Coffee from Nagaland Coffee 2. Durgamadhab Estate from Dope Coffee 3. Tribe Koraput Naturals from Dope Coffee 4. Garo Hills Experience Lot #2 from Subko Coffee Roasters 5. Tribe-O Project Koraput coffee from Marcs Coffees
Priyanko Sarkar is a Mumbai-based journalist and writer covering the beverage industry.
source: http://www.lifestyle.livemint.com / Mint Lounge / Home> Food> Drink / by Priyanko Sarkar / October 01st, 2021
The issue was discussed, among other things, in an interaction of Commerce Minister Piyush Goyal with coffee growers, roasters, exporters and other stakeholders at Coffee Board Head Office, Bengaluru.
Commerce Minister Piyush Goyal. (File)
The government will relook at the coffee law to make it suitable as per the present needs of the sector and facilitate its growth, the commerce ministry said on Saturday.
The issue was discussed, among other things, in an interaction of Commerce Minister Piyush Goyal with coffee growers, roasters, exporters and other stakeholders at Coffee Board Head Office, Bengaluru.
Coffee growers expressed concerns over losing their lands in view of the notices issued by banks under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act.
source: http://www.indianexpress.com / The Indian Express / Home> India / by ENS, Economic Bureau, New Delhi / September 19th, 2021
Adverse weather, strict lockdowns because of the COVID-19 pandemic and severe logistical bottlenecks have disrupted the global coffee market making your morning brew dearer.
The global shortage is a blessing for India where FY21 output jumped 12%. India is the world’s seventh-largest coffee producer but not a major consumer, and exporters have better availability of containers compared with Vietnam and South America and are getting good prices (Image: Shutterstock)
Global coffee prices are soaring because of lower availability from the main producing countries, which has created a demand-supply mismatch in the international market for the beverage.
Adverse weather, strict lockdowns because of the COVID-19 pandemic and severe logistical bottlenecks have disrupted the global coffee market and raised prices to multi-year highs for both varieties of coffee — Robusta that has more caffeine and a stronger, bitter taste, as well as the Arabica grade that has a smoother and sweeter taste.
Moneycontrol looks at what is driving the international coffee market and what it means for India.
Sharply rising prices
Robusta coffee futures soared to more than $2,000 per tonne last week, having risen about 50 percent this year; while in July the Arabica grade had risen to the highest since November 2014, making the beverage more costly around the world. Robusta prices had been slightly lower than Arabica for more than a year but last week’s move brought them on par with Arabica.
Brazil ignited the coffee market
Coffee prices started rising because of adverse weather in Brazil, the world’s biggest producer of the bean for the last 150 years. Output in the country is expected to fall to the lowest in nearly two decades.
After erratic rainfall, the Brazilian crop was hit by extremely cold weather, which damages coffee plants. Many coffee plants in Brazil developed spots on their leaves as the cold weather was the worst since 1994.
The coffee crop is even more vulnerable to damage when a cold spell hits the plants that have already been weakened by a drought. The damage is so severe that some plantations in Brazil may need to plant a new crop, which will take years to mature.
Other major producers
Supply from Vietnam, the second-biggest producer, has been disrupted by lockdowns because of rising COVID-19 cases. The government has imposed a lockdown in Ho Chi Minh City, a coffee exporting hub, while movement of the beans from plantations to cities is also affected. As a result, Vietnamese coffee is unable to reach consumers around the world.
The third-largest producer, Colombia, also has problems. Supply was disrupted because of a series of anti-government protests in the country, which raised Colombian prices to a record in May this year and affected supply as well as the market sentiment globally.
Logistics adds to the woes
Like various other commodities and goods, coffee is also suffering from very high freight costs and shortage of containers. The problem is quite severe in South America and is raising the cost of Brazilian and Colombian coffee. There are several cases of vessels not being available despite being booked in advance, which creates sudden supply glitches.
Implications for India
The global shortage is a blessing for India, which is the world’s seventh-largest coffee producer but not a major consumer as the country’s favourite beverage is tea.
India produces mostly the Arabica variety of coffee, 70 percent of which is exported. Exporters are getting good prices and the output in 2020-21 increased by 12 percent, according to data from the Coffee Board.
Indian exporters also have better availability of containers compared with Vietnam and South America. This is because containers coming in with cashew imports are being used to ship out coffee, traders say. Indian coffee imports have increased about 10 percent so far this year.
Outlook
Prices may rise further as concerns about the weather continue to dog the market. Arabica coffee futures rose on August 30 because of forecasts of adverse weather, indicating more stress for beleaguered crops in top supplier Brazil, according to a Bloombergreport. Key producing regions in Brazil are forecast to face adverse weather in the coming weeks, it said. This can further increase global coffee prices.
(The author is an independent journalist)
source: http://www.moneycontrol.com / MoneyControl.com / Home> News> Business / by Himangshu Watts / September 01st, 2021
This week, Rage Coffee announced that it has raised $5 million in series A funding. A look at the company’s plans, including new launches, key markets and corporate tie-ups.
Bharat Sethi is the Delhi-based founder of Rage Coffee. He says that nearly 75% of the company’s sales are from parts of the country other than South India.
Rage Coffee has seen growth zoom during the pandemic, as people confined to their homes ordered and drank more coffee . Earlier this week, the New Delhi-based FMCG coffee startup announced that it had raised $5 million as part of its A series funding round led by Sixth Sense Ventures. In April 2021, it had raised an undisclosed amount from investors led by Refex Capital.
The company, founded in 2018, targets millennials. Around 75% of its sales come through online channels, and the rest through the offline route. It sells instant coffee, ground coffee and cold brew bags of coffee in flavours like Irish hazelnut, crème caramel and mint mocha.
In an interview, Rage Coffee founder and CEO Bharat Sethi spoke about the company’s growth during the pandemic period, development of new products including filter coffee, potential tie-ups and strategy to expand abroad. Excerpts:
How has the pandemic affected sales? Is Rage Coffee’s growth continuing after the second wave?
When the pandemic began, we were well positioned with quality coffee products using arabica beans. With more people ordering online, we doubled our marketing efforts paving the way to leapfrog the growth. From 2020-21 we grew ten times. From April to August this year, we have seen three times growth so far.
We are expecting a revenue of Rs 35 crore this fiscal compared to Rs 5 crore last year. The annualised recurring return will be much higher, in the range of Rs 65-75 crore.
Usually, instant coffee makers use robusta coffee beans. Has using the costlier arabica beans helped you in the domestic market, which, apart from South India, prefers tea to coffee?
The market is changing with availability of good products. Nearly 75% of our sales are from parts of the country other than South India. From our research, we knew that caffeine kick and sensory aspects like taste and aroma are equally important for a coffee drinker. So, we decided to use arabica beans that provide good flavour and aroma.
Our products provide 90 to 120 mg of caffeine in a single serving, compared with 30 to 40 mg of many other instant coffees available in the market. It is comparable to high-end roasted coffee. We use crystallised freeze-drying process to preserve the aroma… We source coffee beans from Coorg and Chikmagalur, and from Ethiopia.
South India prefers filter coffee mostly. Considering that majority of your sales are from outside the region, do you have plans to offer filter coffee?
Yes, we are planning to launch it by the first week of September. It will be a blend of robusta and chicory with a dash of bitterness. We believe that if made in the right manner, it will have demand in the entire country. It will be our first robusta coffee product and one more addition to the ground coffee category.
What is the size of your institutional sales? Do you have corporate tie-ups?
Of our institutional sales, 80% goes to the hotel, restaurant and catering (Horeca) segment. We are exploring the possibility of tie-ups with corporates. In most cases, we can’t come to an agreement on the prices. Many organisations have coffee-vending machines, a segment we have not ventured into yet. But we have plans to enter the coffee equipment business later. However, our products find increasing use in corporate gifting.
Are you looking at associating with airlines or railways?
Yes, we are in talks with Spice Jet and Indian Railways. Pricing is the issue. But we think we can offer products cheaply with some changes. We need to change the packaging and weight without compromising on the quality of the product. We may have to use plastic packets, which could help avoid damage during shipment. We can cover the risk of lower margin through huge volumes. At present, the company uses natural materials for packaging.
Do you plan to expand outside the country?
We have presence in the US and in the UK in Europe. The instant coffee segment in the US is growing rapidly because of convenience aspect. We sell through Amazon and through independent retailers and specialty stores. Europe is not as big a coffee drinking nation as America.
We are also starting out in the Gulf region through the UAE. The region has a mix of instant coffee and commercial coffee equipment drinkers. Instant coffee has a good market in Saudi Arabia, where we have signed up with a distributor, and are in the process of dispatching the consignment.
Any new products in the pipeline?
We are looking at coffee concentrates, chewables, snacking and supplement items. Right now, 75% of the coffee sales is controlled by a few multinationals. With some products we have and some we are planning to launch, we will be directly competing with them. We are also in the process of R&D for introducing new flavours.
source: http://www.moneycontrol.com / MoneyControl.com / Home> News> Trends> Features / by PK Krishnakumar / August 24th, 2021
A file photo of a server collecting coffee from a container in a restaurant. | Photo Credit: K. Murali Kumar
‘Nations should jointly combat issues in coffee sector’
Coffee growing countries, India, Brazil, and South Africa, should collaborate to combat common challenges they face such as global price volatility, high cost of production, and labour shortage, suggested International Coffee Organisation (ICO).
At the opening session of the two-day IBSA Coffee Festival on Wednesday, ICO executive director Jose Sette said India, Brazil, and South Africa had several opportunities to work together to address common issues they face in the coffee growing, processing, and marketing fronts.
India produced over 3,20,000 tonnes of green coffee in the last harvest season that ended in March 2021. Karnataka alone accounts for over 70% of the country’s total coffee production, with Kodagu, Chikkamagaluru, and Hassan districts being the State’s coffee heartlands.
Coffee Board chairman M.S. Boje Gowda said, “It is great that we are joining hands with the international coffee community to improve the coffee scene of India and this exercise means a lot for coffee farmers across the country, and especially for an army of them in Karnataka.”
Suresh K. Reddy, Ambassador of India in Brazil, said coffee production had increased 34% in that country in the last two decades although the area under production had only reduced. Indian coffee community had to adopt cost-effective growing techniques and yield enhancing practices from Brazil, he recommended.
“We are also looking forward to collaborating with Brazil in enhancing domestic consumption of coffee in India,” said Mr. Reddy. India’s per capita coffee consumption is around 200 grams while it is 6 kg in Brazil.
Mr. Reddy further said time had come for the commodity apex body, Coffee Board, to position itself as a holistic organisation for the overall development, promotion, and growth of Indian coffee.
Jaideep Sarkar, High Commissioner of India in South Africa, said under the free trade agreements of WTO regime, it was tough for individual governments to promote their own coffees beyond a point and therefore working together was the best option for the global coffee growing community.
Andre Aranha Correa do Lago, Ambassador of Brazil in New Delhi, said, India was beginning to see a lot of speciality coffee coming via exports and this would open up newer opportunities for coffee entrepreneurs in India to process, value add, and re-export.
“We want to be part of the growing India coffee story and IBSA is an ideal platform for a unique partnership between these coffee producing countries,” Mr. Lago added.
source: http://www.thehindu.com / The Hindu / Home> News> States> Karnataka / by Mini Tejaswi / Bengaluru – August 05th, 2021
In what could be more financial stability for coffee growers in Odisha, Tata Coffee has agreed to procure coffee from the State. Announcing the development, Chief Minister Naveen Patnaik today informed coffee procured from growers in Koraput district by the Tribal Development Co-operative Corporation of Odisha Ltd (TDCCOL) will be sold by Tata Coffee across the country and abroad.
Patnaik further informed Tata Coffee has agreed to keep the uniqueness of Koraput Coffee intact while selling it in the market.
He hoped the cooperation of Tata Coffee will help the socio-economic development of coffee growers in the State. This will also ensure livelihood of tribals get secured, the Chief Minister added.
He heaped praised on Sulochana Khara from Kasamapadar village and said, “Khara has set an example for others as a successful coffee grower by selling over 200 kg coffee beans to TDCCOL. Her contribution in popularizing Koraput Coffee is commendable.”
The State government provided forest land rights of 46,000 acres to 30,000 families till June 2021. The TDCCOL procured 28,790 kg coffee beans from 193 tribal coffee growers in Laxmipur, Kashipur, Dasmantpur, Nandapur, Lamataput, Koraput and Pottangi blocks of Koraput district in 2020-21.
Official sources said the government targeted to grow coffee in 80 hectares more in 2021-22.
source: http://www.sambadenglish.com / Sambad English / Home> Odisha Latest / by Sambad English Bureau / August 08th, 2021
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