Open Access Journal

ISSN : 2456-1304 (Online)

International Journal of Engineering Research in Electronics and Communication Engineering(IJERECE)

Monthly Journal for Electronics and Communication Engineering

Open Access Journal

International Journal of Science Engineering and Management (IJSEM)

Monthly Journal for Science Engineering and Management

ISSN : 2456-1304 (Online)

Value Chain Analysis for Coffee in Karnataka

Author : M.N. Waghmare 1 P.N. Shendage 2 D.P. Kaledhonkar 3

Date of Publication :20th April 2018

Abstract: Coffee follows a complex chain from crop to cup wherein a coffee bean goes through various processes which adds value at each stage involving different actors. In this context, the present study was undertaken with objectives, to study the marketing actors involved in coffee value chain and how value added is distributed between the different actors. The study was carried out in Coorg district during 2013-14, 30 famers were randomly selected from two tahsils, three small curing works, five local roasters and exporting company were selected. The study revealed that there existed channels for both domestic and international markets. The different actors from coffee to cup include producers, hullers, agents, curers, exporters, roasters and retailers and finally consumers. Intermediaries had a major role in the chain. Most of the producers (75 per cent) sell their produce to the agents at the farm gate price. Main quality parameters checked were for moisture content, out turn of coffee, berry borers, and for the presence of Blacks and bits. It was also seen that curers directly purchase the produce from the farmers. From the curer level, it is either sold in domestic market or the international markets. Ten percent of the trade also takes place through ICTA auctions after curing stage wherein cured coffee is sold either to domestic roasters or the exporters. The roasters had a huge share in the value addition and their net margins were higher. The marketing problems include price variation, lack of storage and infrastructure facilities. There is a need to improve the livelihood of small producers to make them their position in the global market

Reference :

    1. Chattopadhayay S. and John P. (2007): Bitter Beans: An Analysis of the Coffee Crisis in India, Partners in Change (Organization: New Delhi, India), Dutch Coffee Coalition.
    2. Dass, S. K., Vashist, A. K. and Singh, C. (1991): Quantum, unit value and export value of coffee exports. Agricultural Situation in India, 39 (10): 751-755.
    3. Kaplinsky, R. and Morris, M. (2000): A Handbook for Value Chain Research, prepared for International Development Research Centre, Ottowa
    4. Ponte, S. and Daviron, B. (2005): The Coffee Paradox, Global Markets, Commodity Trade, and the ½ Promise of Development. Zed Books Ltd, US.
    5.  Schmitz, H. and Knorringa, P. (2000): 'Learning from global buyers', Journal of Development Studies, 37 (2): 177--205

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