Besides being a very popular beverage, coffee earns foreign exchange to the tune of Rs 1,700 crores for India every year. Coffee was introduced into India by the British and annual production of coffee beans is around 2,83,000 tonnes. Presently, India exports 82 per cent of its coffee products and retains the remaining 18 per cent for domestic consumption. Compared to the USA, India's domestic consumption of coffee is very low. India's per capita consumption of coffee is only 54 grams, whereas in the USA it is 14,000 grams.

Tata Coffee Limited (formerly Consolidated Coffee Limited) is the largest coffee plantation company in Asia. The company is into all varieties of coffee like cream coffee, roasted and ground coffee powder and instant coffee. The company has its own plantations in places like Kodagu. Tata has introduced "Jiffy" vending machines as well for its coffee. Vice President (Marketing) of Tata Coffee Limited, Harish Bijoor, in an interview with bangalorebest.com shared his views of the Indian coffee industry.

In the past few years the price of coffee in India has fluctuated considerably. What was the reason?
Bumper crop from Indian coffee growers in those years was the main reason for the fluctuation in coffee prices. There was abundant supply of coffee but demand remained limited. This affected coffee prices at that time.

What about the export scenario and competition from Brazil?
Brazil is the largest producer of coffee in the world. It produces about 26 per cent of the world's coffee. But Indian coffee has international demand because of its good quality and flavour.

How has the Government's liberalisation policy helped the coffee industry?
The government's liberalisation is good for the coffee industry since there is complete freedom to market it.

Which are the coffee growing areas in India?
In India, Karnataka accounts for 73 per cent of the country's coffee production. Kerala and some parts of Tamil Nadu are also the traditional coffee growing areas in India. There are a few non-traditional coffee growing areas in Orissa.

What suggestions do you have to improve the coffee industry in India.
We should have a national coffee policy. We should centrally decide what to grow and how much to grow and when not to grow. We need to believe in branding. We need to establish both domestic and international brands in coffee. We must create domestic generic promotion campaigns. On his front, the Coffee grower needs to understand the nitty gritty of producing the right quality (of coffee) for the international market.

What is the future of the Indian coffee industry, especially with so many artificial beverages coming into the market?
It all depends on the World Trade Organisation (WTO) regime. The WTO regime is more an opportunity than a threat to the Indian coffee industry. Indian coffee has to become WTO-ready. Only then can we expect a pivotal role for India in the world coffee market.

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