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India Cuts 2008/09 Coffee Output Estimate by 5.6 pct

Source: Reuters
21/11/2008

Mumbai, Nov 20 - India's Coffee Board has lowered its estimate for total coffee output in 2008/09 by 5.6 percent, citing untimely rains in October in some parts of Karnataka, the largest growing state.

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Total coffee production is likely to come down to 276,600 tonnes from an earlier estimate of 293,000 tonnes, the Board said in its post-monsoon estimate released on Thursday.

The country produced a total 262,000 tonnes of coffee in 2007/08.

Coffee output is likely to fall 5 percent short of Coffee Board's earlier estimate, industry officials had told Reuters in late October.

In Karnataka, production in the three main districts has declined, which has affected the total output, the Board said. Total output in Karnataka is likely to come down by 8 percent to 197,975 tonnes.

Rain damage was more in arabica as the fruits were already ripe. In India, arabica arrivals started in November, a month ahead of schedule.

Heavy rains and hanging mist in some areas have also resulted in severe incidences of rot and leaf diseases, which also led to the decline in production, it said.

Arabica production during the period is estimated at 90,050 tonnes, a 10 percent fall from the earlier forecast. Robusta output is likely to be 186,550 tonnes, down 3.3 percent. 

Arabica is mainly used in premium coffees, while robusta is typically blended with arabica beans for a lower-cost option for brewed coffee, or processed into instant coffee.

India is the world's sixth largest coffee producer and exports 70-80 percent of its produce.



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