India’s Coffee Output Falls, Export Outlook Uncertain Despite Record Prices

India’s Coffee Output Falls, Export Outlook Uncertain Despite Record Prices

India’s coffee exports are expected to drop over 10% in 2025 due to lower production and depleted stocks, despite record-high prices, industry officials say.

As the world’s seventh-largest coffee producer, India mainly grows robusta for instant coffee and some arabica. The export decline may tighten global supply, already impacted by Brazil’s weaker output.

Harvest delays and lower yields, caused by extreme weather, have reduced India’s 2024/25 crop. Increased exports in 2024, driven by high prices and EU regulations, further cut available stocks.

European buyers like Italy, Germany, and Belgium have slowed purchases due to high costs, though Indian robusta still holds a $250 premium over London futures. Meanwhile, farmers are holding back crops, expecting prices to rise further.

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