Karnataka’s Coffee Cultivation Area Stagnant for 15–20 Years, Says KPA Chairman
Bengaluru: Karnataka’s coffee-growing area has remained unchanged for nearly two decades despite the State contributing more than 70% of India’s total coffee production, with restrictive land conversion regulations, inadequate financial support and climate-related challenges limiting the sector’s growth, according to Karnataka Planters Association (KPA) Chairman M. Salman Baseer.
Karnataka produces approximately 2.5 lakh to 2.8 lakh metric tonnes of coffee annually across nearly 2.46 lakh hectares. However, the cultivated area has seen little or no expansion over the past 15 to 20 years, said Baseer, a coffee grower from Sakleshpur.
He pointed to several challenges confronting planters, including limited access to government-backed credit, insufficient replantation subsidies, expensive institutional loans and a shortage of high-yielding coffee varieties suited to changing climatic conditions.
Baseer said India must prioritise productivity improvements rather than expanding cultivation into additional land, particularly as international competitors such as Brazil and Vietnam continue to strengthen their production capacities.
He advocated climate-resilient farming methods, high-density planting, modernised legislation and long-term financial assistance for periodic replantation. He also stressed the importance of preserving the Western Ghats’ ecological significance, where coffee is cultivated under natural shade.
Need for premium branding and export infrastructure
Baseer said India lacks dedicated export facilities equipped with modern warehousing and value-added processing infrastructure, resulting in higher logistical expenses.
He called for stronger international marketing of Indian Arabica and Robusta varieties, highlighting their shade-grown cultivation and hand-picked quality to establish them as premium, sustainably produced coffees.
He also recommended shifting from bulk exports of unprocessed green coffee towards higher-value products, including soluble coffee, to improve export earnings and strengthen India's position in international markets.
Coffee growers seek crop insurance and loan relief
The KPA has repeatedly urged the Union government to extend the Pradhan Mantri Fasal Bima Yojana (PMFBY) to coffee, tea and rubber plantations. Baseer said prolonged droughts and excessive, unseasonal rainfall have severely affected yields, leaving growers financially vulnerable.
He attributed the exclusion of plantation crops partly to administrative divisions between the Ministries of Commerce and Agriculture, which, he argued, have complicated efforts to extend crop insurance protection.
According to Baseer, more than 2,000 coffee growers across Karnataka are experiencing serious financial difficulties, with outstanding loans estimated at ₹400 crore to ₹500 crore. Several growers are also facing stringent recovery proceedings by banks under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act.
The association is seeking a comprehensive loan repayment moratorium, a suspension of coercive action against plantation assets and more flexible one-time settlement arrangements.
Baseer said the KPA would continue pressing the government to clarify Section 31(i) of the SARFAESI Act and secure explicit protection for coffee plantation land against distress auctions, similar to safeguards available to certain traditional agricultural holdings.
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