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Wednesday, September 22, 1999

Plan in offing to levy 50 paise cess on coffee exports 

Anupama Airy  
Wellington (Nilgiris), Sept 21: The Coffee Board of India has proposed to levy an additional 50 paise cess per kg on exports of coffee which would annually generate funds to the tune of Rs 10 crore.

This would mean imposing a total cess of Rs 1 per kg as against the 50 paise cess per kg existing on coffee exports.This proposal is under active consideration of the commerce ministry.

Speaking at the 106th annual general convention of UPASI, the Director Finance, Coffee Board of India, Ms Sharda Subramanium said that this proposal has been drafted to fund the promotional activities of coffee both in the domestic and the international market.

The coffee consumption in India has been very low and has been dwindling at a miserly figure of around 60 grams per capita consumption and the annual coffee consumption in the country is stagnating around 50-55,000 tonnes. "To enlarge the domestic coffee market, the board in consultation with the private sector has prepared a comprehensive project to promote the coffeedrinking habits in the country. Part of the funds collected by way of imposing an additional cess on coffee exports would be utilised to promote coffee consumption in the domestic market. The project is under consideration of the ministry and an decision in this regard is expected soon", added Subramanium.

The balance funds would be utilised to popularise Indian coffee on the international front and in the markets were our exports have been negligble. The Board plans to bring in roaster delegations from abroad and take them to coffee safaris in the coffee growing regions of India, arrange interactive sessions with various sections of the Indian industry besides other promotional activities such as the interactive web site where all interested parties can interact with the coffee industry in India.

Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.


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