What's New :
Open Session on Write Craft for Optional Subjects. Register Here...

A crisis is brewing in the coffee industry

  • Published
    22nd Oct, 2022

Context:

Coffee cultivation is becoming an increasingly loss-making proposition in India. In addition to high input costs & labor shortages, changes in climate patterns are also affecting the industry.

The destruction caused by Rain patterns

  • Damage due to Erratic weather conditions: The plantation in Kerala, Karnataka, and Tamil Nadu has been devastated by recent heavy rains and dry spells between 2015 and 2018.
  • Need for weather-resistant Varieties: Heavy rainfall and landslides have resulted in infruit rot, stalk rot, and root rot. Sturdy and weather-resistant varieties of coffee may provide a solution.

Cost of financing and weak Infrastructure:

  • Producers are getting marginalized: The market is rapidly turning out to be a buyer-driver and producers are losing their influence.
  • Cost of Financing: The lending rates are at around 12%, which is too high compared to single-digit rates in other countries. Small growers are often left with little money to repay loans.
  • Higher cost Irrigation: Frequent power cuts and increasing cost of diesel make the irrigation activity costlier. There is a need to work on developing a reliable infrastructure.
You must be logged in to get greater insights.
GS Mains Classes GS Classes 2024 GS Classes 2024 GS Classes 2024 UPSC Study Material

Verifying, please be patient.

Our Centers

DELHI (Karol Bagh)

GS SCORE, 1B, Second Floor, Pusa Road, Karol Bagh, New Delhi - 110005 (Beside Karol Bagh Metro Station Gate No. 8)

Get directions on Google Maps

BHUBANESWAR (Jaydev Vihar)

GS SCORE, Plot No.2298, Jaydev Vihar Square, Near HCG Day Care, BBSR - 751013

Get directions on Google Maps

LUCKNOW (Aliganj)

GS SCORE, 2nd Floor, B-33, Sangam Chauraha, Sector H, Aliganj, Lucknow, UP - 226024

Get directions on Google Maps

Enquire Now