Heavy rains dampen coffee production estimates

Coffee production has registered only a marginal increase to 2.95 lakh tonnes, down from the earlier expectation of 3 lakh tonnes, due to heavy rains in Karnataka, the main producing belt.

Earlier, the Coffee Board had predicted a marginal increase in production to 2.91 lakh tonnes against 2.88 lakh tonnes in the previous year.

"We were expecting the production to touch 3 lakh tonnes. But the crop size would now be less due to heavy rains in most parts of the coffee growing regions in Karnataka last week," Coffee Exporters' Association President Ramesh Rajah said.

He said the forecast by the board seemed "reasonable" though "we feel that the production would be 2.95 lakh tonnes".

The Coffee Board, in its post-blossom forecast, has pegged arabica output to increase to 1,00,750 tonnes from 99,700 tonnes, while robusta production would advance to 1,90,250 tonnes from 1,88,300 tonnes.

The industry had hoped of a better crop in the 2007-08 season after the pre-monsoon showers in Karnataka. Farmers in the Chikmagalur district are likely to produce only 71,100 tonnes of coffee next year compared to the 72,500 tonnes of estimated production in the current year.