A lowering of the 2013-14 coffee production estimates is on the cards.
Coffee Board Chairman Jawaid Akthar, who chaired a session on Commodity Outlook here this afternoon at the United Planters’ Association of Southern India annual conference, said that a 10 per cent drop in the post blossom estimate could not be ruled out.
The Board has placed the post blossom estimate at 3.47 lakh tonnes, which is 9.05 per cent higher over the 2012-13 target of 3.20 lakh tonnes.
“Good blossom showers followed by delayed backing showers and drought and continuous heavy rainfall has affected the crop, causing fruit drop and incidence of black rot and stalk rot in certain high rainfall area,”Akthar said.
Growers, however, expect production to fall by 20-25 per cent compared with the Coffee Board’s conservative estimate of a 10 per cent drop.
Going by estimates, it appears that 2013-14 should have been a record year for coffee production, but it will probably not be.
“Augmenting production to retain export share and meet domestic demand is a major challenge at this juncture,” Akthar said and added that the Board has a scheme for replantation and expansion in traditional and new areas.
“We have found that coffee can be grown in Darjeeling. The area under coffee is growing, particularly in Andhra Pradesh,” he said.
Meanwhile, stagnation in productivity is said to be affecting the cost-competitiveness of the industry. The board has initiated programmes to strengthen transfer of technology and capacity building by setting up of Directorate of Extension.
On prices, Akthar said: “Indian prices are close to international prices at present. Arabica attained a high of Rs 287/kg during November 2011, 5 per cent over international price (Rs 274/kg), and robusta, a high of Rs 163/kg during December 2012, 41 per cent over the international price (Rs 116/kg).