Unit value realisation of coffee up 18%

The unit value realisation of domestic coffee has gone up by 17.7 per cent to Rs 92,180 a tonne in the first-two months of the 2007-08 crop year against Rs 78,296 a tonne during the same period last year, according to the Indian Coffee Board.

Coffee exports (permit issued) in October-November is down 8.26 per cent at 32,840 tonnes compared with last year's 35,800 tonnes. The total coffee exports in the previous crop year was 218,000 tonnes.

A K Devaiah, manager, coffee operations, ITC, said, "The world consumption was around 120 million bags as against 112 million bags last year. This has led to slight shortage in the global trade. Also various funds operating heavily in commodities market have driven prices higher."

"The higher demand scenario in the global coffee trade coupled with poor exports from India has led to higher realisation," said R Sundaram of Amirtha Coffee, Kushalnagar.

In the January-November period, exports were down 11.91 per cent at 207,000 tonnes compared with last year's 2.35 lakh tonnes.

Re-exports (value-added in India after importing) during the period were down to 15,694 tonnes compared with 29,823 tonnes last year. Instant coffee comprised a major portion of country's re-exports.