India’s coffee exports to cross $2 billion in FY26; Board projects record earnings

Kochi: India’s coffee exports are set to reach unprecedented levels in the 2025–26 financial year, with earnings expected to surpass approximately ₹18,145 crore ($2 billion), according to the Coffee Board.

Exports in 2024–25 stood at approximately ₹16,330 crore, while figures up to early February 2026 already show shipments worth ₹15,604 crore. With two months of the financial year still remaining, the Board is confident that the $2 billion target will be achieved. Encouragingly, between January 1 and February 9 alone, coffee exports were valued at ₹2,134.60 crore.

A recent India–UK trade agreement is expected to provide a significant boost, particularly for instant coffee and other value-added products. Currently, the UK accounts for 1.7 per cent of India’s coffee exports, but tariff-free access for processed products will enable Indian exporters to compete more effectively with suppliers in Germany and Spain. Value-added products already make up about 38 per cent of India’s total coffee exports.

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Despite the surge in export value, the volume of shipments fell in 2025. Coffee exports dropped by 4.47 per cent, from 4,02,000 tonnes in 2024 to 3,84,000 tonnes. Arabica exports fell sharply from 44,315 tonnes to 15,607 tonnes, while Robusta declined from 2,07,000 tonnes to 1,80,000 tonnes. Adverse weather conditions in Brazil and Vietnam disrupted global supply chains, driving up international prices. This explains why India’s export earnings rose even as volumes declined.

India ranks seventh in global coffee production, with Karnataka, Kerala and Tamil Nadu accounting for 96 per cent of the country’s output. Production for 2025–26 is estimated at 4,03,000 tonnes. On the export front, India holds fifth place worldwide, with Italy being the largest buyer, taking 18.09 per cent of shipments.