Neutral impactSector
India’s coffee shipments up 25% at 2.42 lakh tonne on strong demand in H1 of FY27
BusinessLine 1 hr ago·1 Oct 2026, 3:46 pm
India's coffee exports have surged by 25% to 2.42 lakh tonnes in the first half of the financial year, driven by robust global demand. This significant increase in shipment volumes suggests that Indian growers are successfully capitalizing on current market conditions, outpacing the growth seen in per-tonne realisation.
However, the sector faces headwinds as global price volatility has tempered the growth in revenue per tonne. While higher shipment volumes are a positive sign for the industry's output, the slower rise in realisation implies that profit margins may be under pressure. Investors should monitor how exporters manage these pricing dynamics in the coming months.
Moving forward, the key focus will be on the stability of international coffee prices and the pace of new orders. If global demand remains strong, it could help stabilize realisations despite current volatility, supporting the broader sector's growth trajectory.
Excerpt from BusinessLine
Sustaining the robust growth momentum, Indian coffee exports rose 25 per cent in volume during the first six month of the current financial year to over 2.42 lakh tonne. However, the value realisation in dollar terms grew at a slower pace of around 10 per cent due to the volatile trend witnessed in the global prices…Read the original at BusinessLine
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