The US Department of Agriculture (USDA) has pegged India's coffee production marginally down at 2,75,000 tonnes in the 2010-11 marketing year starting October.
"Assuming normal weather through harvest, 2010-11 marketing year (MY) coffee production is forecast at 2,75,000 tonnes," USDA said in its latest report. Production of robusta variety would be 1,75,000 tonnes, while that of arabica at 1,00,000 tonnes, it said, quoting industry sources.
In the ongoing MY 2009-10 ending September, India's coffee output is estimated at 2,89,000 tonnes, it said. Coffee cultivation is mainly confined to southern states of Karnataka, Kerala and Tamil Nadu.
Noting that the production outlook for MY 2010-11 presents a mixed picture, USDA said, "Although several coffee growing regions have received good pre-blossom and back up showers, rainfall has been poor in some parts of Coorg and Tamil Nadu."
It further said that high temperatures in February and March could affect robusta production to some extent, though heavy December 2009 rains left enough moisture in the soil, which may help compensate for the lack of pre-blossom showers.
Meanwhile, higher coffee price realisation during the past 3-4 years has prompted coffee growers to apply more farm inputs and follow better agronomic practices, supporting higher production, it said.
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"According to industry sources, India's coffee production will stabilise at around 300,000 tonnes once the replanted trees come into full bearing," it noted.
Out of 2,20,000 coffee holdings in the country, 2,18,000 holdings belong to small farmers having less than 10 hectares, which account for 70 per cent of coffee production.