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Wednesday, November 11, 1998

"Coffee export cancellations minimal" 

PRESS TRUST OF INDIA  
New Delhi, Nov 10: Stoppage of instant coffee exports to Russia and cancellation of robusta coffee shipments from India have not had any major impact on India's total coffee exports, commerce ministry sources said on Tuesday.

There was no cause for alarm due to cancellation of exports by some exporters or stoppage of instant coffee exports to Russia, the sources said.

The ministry had sought a report from the Coffee Board, which had said cancellation of exports due to non-availability of robustas was minimal.

Stoppage of exports to Russia had little influence on exports, the board had told the commerce ministry.

Industry sources said at least 5,000 tonnes of coffee contracted for exports had been cancelled, while instant coffee shipments had come to a halt since the beginning of last month.

When conduced, EK Bharat Bhushan, director, plantations in the commerce ministry, said India's coffee exports had been impressive this financial year.

A coffee board data said the country's coffee exports hadincreased to 1.29 lakh tonnes during April-September this year against 97,300 tonnes during the same period last year.

Industry sources said cancellation of export orders and stoppage of instant coffee shipments to Russia had in fact helped in improving domestic availability of coffee.

The coffee board denied there was any shortage of robusta coffee.

Coffee Board chairman SV Ranganath has said it was not available at the price at which the exporters were demanding it.

It was an issue of negotiating the prices with growers, who were looking for higher prices, he said.

The Coffee Board has also turned down a demand from the industry to allow imports of robusta coffee from Indonesia under open general license.

The board's contention to the industry's demand to allow imports was that statistics provided by exporters and roasters justifying imports was a proof enough of availability.

On the other hand, exporters concede that it was a lean export season now as new crops was yet to arrive.

Indiaexports two-thirds of the coffee it produces, though it contributes a meagre three per cent to global coffee production.

India's coffee production is estimated to be 2.33 lakh tonnes during the current crop year (October 1998-September 1999) against 2.30 lakh tonnes last year.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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