West Asia tensions may cloud India’s coffee export momentum


Even as Indian coffee exports gain pace with the completion of the harvest, exporters are increasingly concerned about the escalating conflict in the West Asia, fearing an impact on the shipments. The uncertainty has already begun to disrupt logistics, with some shipping lines reportedly suspending cargo bookings to parts of the region.

The exporters’ apprehension is significant, given that West Asia and North Africa together account for nearly 20 per cent of India’s coffee exports.

“We are concerned over the West Asia problem as some shipping lines have said they will not accept any cargo to the region, while others have been not clear. West Asia is a big market for Indian coffee. So all of us are worried,” said Ramesh Rajah, President, Coffee Exporters Association.

During calendar year 2025, United Arab Emirates was the fourth largest buyer of Indian coffees after Italy, Russian Federation and Germany. Turkey, Jordan, Kuwait, Egypt and Libya are the other key buyers of Indian coffee in the West Asia and North African region. These countries accounted for about 20 per cent of the total Indian coffee exports of 3.84 lakh tonnes during 2025.

As per the Coffee Board data during calendar 2025, UAE imported 21,172 tonnes, followed by Turkey (17,073 tonnes), Libya (14133 tonnes), Jordan 11,178 tonnes, Egypt (7650 tonnes), Kuwait (5957 tonnes).

For the Indian coffee exporters Europe is the main market. “Since Europe was the main market, the US tariffs did not matter. But you know after Europe, the West Asia is the important market,” Rajah said.

Shipping line MSC Mediterranean Shipping Company, as a precautionary measure to the evolving situation, has suspended all bookings for worldwide cargo to the West Asia region.

Besides, a disruption in shipping route, trade also fears an increase in freight rates on rise in oil prices. “Oil prices have already jumped 10 per cent and that’s going to have an obvious impact on the freight rates, which could be a bigger variable,” said Praveen Kumar Kolimarla of Agrani Coffee and Commodities. Most of the Indian coffee cargo is going around Africa to the main market in Europe.

Indian coffee exports jumped around 40 per cent during January-February this year to 80,931 tonnes over corresponding last year’s 57,966 tonnes. In $ value terms, the shipments were up 38 per cent at $405 million in the first two months.

“We have seen a big pickup in shipments you know in the first two months and the demand is from Europe and West Asia,” Praveen said.

India grown coffees saw a 46 per cent increase during Jan-Feb period this year at 62,923 tonnes against 42,989 tonnes in the same period last year. Robusta Cherry and Arabica parchment witnessed higher demand compared to other varieties like Arabica cherry and Robusta parchment.

Re-exports during the period were up 20 per cent at 18007 tonnes over corresponding last year’s 14,977 tonnes. India imports coffees to re-export them as value added instant coffees.

For the calendar year 2025, Indian coffee exports crossed the record $2 billion mark, registering a 22 per cent growth over the previous year due to high prices and strong Russian buying.

Published on March 3, 2026



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