Arabica planters hit gold in Kodagu
With the price of coffee shooting through the roof, planters in Kodagu in Karnataka are in a celebratory mood. However, what is playing the spoil-sport is the acute shortage of labourers to pick the ripening coffee berries in the estates.
The Arabica variety growers are laughing all the way to the bank due to the all time high record prices because of the steep fall in production.
It is learnt that the production of Arabica coffee has drastically fallen in Brazil, Columbia and India during the year. However, the rise in the demand for coffee in the international market for Arabica coffee has reached all time high.
A number of coffee producing and exporting countries, such as Indonesia, Vietnam and Colombia, have seen lower-than-expected output. Brazil, the largest coffee grower, has been facing weather-related uncertainties, and its output may be down by 23%.
Now the market price of Arabica parchment coffee for 50 kg is around Rs 9,500. Arabica cherry fetches Rs 4,500 to Rs 4,800. In 1994, Arabica parchment coffee was fetching Rs 8,500 (for 50 kg bag).
The untimely rain in coffee growing region, berry border disease, shortage of labour has led to the overall decline in coffee production.
As against the Coffee Board estimate of 3,03,000 metric tonne coffee,
the actual production could be 2,80,000 metric tonne in India.
As there was less availability of Arabica coffee in America, Germany and Italy, growers expect the Robusta variety to fetch good price this year.
Now, Robusta cherry is fetching Rs 2,600 (50 kg bag) and parchment is priced around Rs 4,200.