Indian coffee exports cross $2 billion mark on strong Russian buying

By Admin

02 Jan, 2026

India’s coffee industry has reached a historic milestone in 2025, with export earnings set to cross the $2 billion mark for the first time. This achievement highlights the growing global acceptance of Indian coffee and reflects strong demand from key international markets, particularly Russia, along with continued support from Europe and the Middle East.

According to provisional data from the Coffee Board of India and shipment permits issued up to mid-December, coffee exports touched nearly $1.97 billion by the end of 2025. Analysts expect the final figures to exceed $2 billion once remaining shipments are accounted for, marking a year-on-year growth of more than 20 percent compared to 2024.

Export growth despite lower volumes
Interestingly, the surge in export earnings has come despite a slight decline in overall export volumes. This trend mirrors global supply constraints and tighter availability of coffee beans across producing regions. Higher international prices for both Robusta and Arabica varieties have played a crucial role in boosting export value, helping exporters compensate for reduced physical shipments.

Firm global prices, combined with steady overseas demand, ensured that Indian coffee remained competitive and profitable in international markets throughout the year.

Russia drives fresh demand
Russia emerged as one of the standout markets for Indian coffee in 2025. The country significantly increased its imports, reflecting a shift in sourcing preferences amid changing global trade dynamics. Indian coffee has gained traction in the Russian market due to its consistent quality, distinctive flavour profile, and reliable supply.

This growing demand underscores India’s ability to adapt to evolving global consumption patterns and expand its presence in non-traditional markets.

Strong support from traditional markets
Alongside Russia, established markets such as Italy, Germany, Belgium, and the UAE continued to import large quantities of Indian coffee. These destinations absorbed both green coffee beans and value-added products, including instant and roasted coffee, reinforcing India’s position as a dependable supplier in the global coffee trade.

The sustained interest from Europe and the Middle East reflects long-term trust in Indian coffee’s quality standards and processing capabilities.

Policy support and supply chain improvements
Industry experts attribute the strong export performance to several enabling factors. Improvements in supply chain efficiency, targeted export incentives, and supportive government schemes have enhanced the competitiveness of Indian coffee exporters. Marketing initiatives led by the Coffee Board of India have also helped promote Indian coffee in international forums and new markets.

Additionally, rising global demand for specialty, traceable, and sustainably sourced coffee has worked in India’s favour, as producers increasingly focus on quality differentiation and certification.

Outlook for 2026
With export momentum expected to continue into 2026, India’s coffee sector appears well-positioned for further growth. While global demand patterns and trade relationships continue to evolve, the industry has opportunities to expand both in value and volume by tapping emerging markets and strengthening value-added offerings.

Crossing the $2 billion export mark is not just a numerical achievement but a strong signal of India’s growing influence in the global coffee landscape.