Clean Arabica coffee beans, organically grown in Araku by tribals, has been a premium seller on the National Commodity & Derivatives Exchange Limited (NCDEX). The Girijan Cooperative Corporation
sold 700 million tonnes of the virgin product, known as Arakku Coffeee, in the market last week.
14 serious bidders
The Araku Coffee has some 14 serious bidders and most of it has been bought by a couple of exporters, GCC Vice Chairman and Managing Director A.S.P.S. Ravi Prakash told The Hindu here on Friday.
“The demand for Araku Coffee stored at our godown at Narsipatnam in the district is significant in view of the fact that the demand for coffee from traditional sellers has fallen,” he said.
The conventional trading platform ICTA-Bengaluru has only seen four to five MT of coffee being bought while Araku Coffee has sold close to 70 MT per day, he explained.
The Araku Coffee has commanded a premium over Arabica coffees from across India. Thousands of tribal farmers harvest coffee beans which are pooled by the GCC and processed. The Coffee Board has classified the Arabica from the region as Araku Coffee. The distinct flavour has given it a high demand in overseas markets, Mr. Prakash said.
The tribals, who were being paid around Rs 90 per kg by middlemen, are now getting Rs.90 as first instalment from the GCC and the balance amount is remitted into the account of the farmer on realisation from sale. This year it is Rs.165 per kg of Arabica Parchment and Rs.72 per kg of cherry. The GCC procured 1,400 MT of coffee cherry and produced 800 MT of clean coffee.
“We have put up for sale 770 MT and are planning to hold 30 MT for retail sales,” the GCC chief executive officer said.
The GCC is selling powdered coffee as GCC Araku Coffee and is soon to launch 70:30 blend of coffee and chicory to be sold as GCC Vaisakhi. It is also planning to enter instant coffee market to address all categories of coffee lovers, he said.
