The Indian Coffee Industry has been steadily growing over the years, with a steep increment in coffee consumption in recent years. Before 2000, coffee consumption in India grew at 2% per annum, but it has been uplifted in this century to 5% per annum with continuous growth.
As one of the largest coffee producers in the world, India constitutes about 3.5% of the world’s coffee production (around 3600 million kg). Maximum production takes place in the Southern and North-Eastern regions of the country, thanks to adequate weather conditions.
Indian Coffee Industry
According to reports, the coffee segment amounts close to $808M, expected to grow annually by 8.9% CAGR from 2020-2025. Despite having a low consumption because of Tea, India is the 3rd largest coffee producer in Asia. Nearly 80% of coffee grown in India is exported, making it a revenue-generating segment for India. Majorly, coffee is exported to Italy, Germany, Belgium, Turkey, and Russia.
The ever-evolving lifestyle of urban consumers to fast-paced lives leads to a drastic increment in the demand for coffee in India. Furthermore, the increase in cafe culture has also promoted the beverage in a fashionable and luxurious way. In India, Specialty coffee is escalating at a terrific pace. People are fascinated by the different types, varieties, flavors, and coffee brewing methods. This in turn led to a drastic rise in single-origin coffee beans with distinct flavored profiles.
Since 2012, coffee has become a topic of discussion, replacing wine. Everyone was fascinated by coffee bean production and the benefits associated with it. With coffee shops established in the country, job opportunities and entrepreneurship chances for the coffeeholics increased. This led to the establishment of a highly profitable coffee industry. Cafes started presenting both espresso-based beverages and manual brews like pour over / syphon, French Press, Aeropress, Chemex, etc. The range of coffee beverage options also increased from Cappuccino to Cold Brew.
Conclusion
The Indian Coffee market is still in the infancy stage with tons of growth prospects in the world. Major metropolitan cities like Delhi, Mumbai, Bangalore, and Chennai are already witnessing strong coffee culture with tremendous growth in the demand for coffee. Even cafes are setting up their own Micro Roastery to present unique coffee flavors and create their own customized blend for the standout beverage. Additionally, the Indian Government is showing severe interest in the Coffee Industry. They sanctioned an INR 1,000 Crore special package for proper cultivation of coffee in non-traditional areas, post-harvest infrastructure development, and establishment of coffee cultivation centers in various regions.
Indian Coffeeholics, it is our time to blossom in the Global Coffee Market. Your immense support for promoting Indian Coffee Brands is highly recommendable.