After months of steady price increases, coffee prices in India have taken a sharp dip. Over the past three months, Robusta, the variety most widely cultivated in the country, has seen a 30% fall, while Arabica prices have dropped by 17%, according to the Coffee Board of India.

The primary reason for the decline is a better-than-expected harvest output from Brazil, the world’s largest coffee producer. Improved crop conditions have eased global supply concerns, reversing the price surge witnessed earlier this year.

In March 2025, Robusta cherry was priced at ₹264 per kg. It has now dropped to ₹206 per kg. Similarly, Robusta parchment, which was fetching ₹458 per kg, is now priced at ₹340 per kg. Arabica parchment fell from ₹540 to ₹504, and Arabica cherry declined from ₹340 to ₹284 per kg.

The price surge seen in March and April had prompted many farmers to hold on to their produce, hoping for even better returns. However, the unexpected drop has come as a blow to those who were waiting to sell at high prices.

Earlier forecasts had predicted a poor coffee production in Brazil due to excessive rainfall. But with the harvest turning out better than expected, global supply increased, leading to a price correction.