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  Global meltdown drags down coffee exports  
 

REPUBLICA

KATHMANDU, Nov 14: The export of Nepali organic coffee to overseas market declined in the last fiscal year due to the impact of global financial crisis.


According to Nepal Tea and Coffee Development Board (NTCDB) -- a government authority set up to promote tea and coffee, coffee exports dropped to 88,100 kg in fiscal year 2008/09 from 127,000 kg recorded during the preceding year.

“Demands for Nepali organic coffee from overseas markets plunged due to global financial recession. As if it were not enough, coffee production has been going down for a couple of years due to attack of white stem borer (Xylotrechus quadripes) on coffee farms,” said Krishna Prasad Ghimire, managing director of Highland Coffee Promotion Company, one of the major coffee exporters.

Bhola Shrestha, a coffee technician at NTCDB, said white stem borer has come as a major threat to coffee production as it is not possible to control the disease through treatment. He suggested farmers to immediately burn the coffee plant that has contracted the deadly disease.

Coffee production in major producing districts, including Syangja and Gulmi, has dropped by over 20 percent due to the disease, according to farmers. Production has not increased despite increment of coffee farming areas from 81 hectares to 1,531 hectares in 2008/09.

According to NTCDB, total production of parched coffee and cherry stood at 265 tons and 267.7 tons respectively. The number of farmers producing Arabica variety of specialty coffee has also increased to 21,000 in 2008/09 from 18,000 a year earlier.

The stagnant production has also led increment in coffee imports. Nepal imported 20,000 tons more coffee in 2008/09 than 84,400 tons imported in the last fiscal year.

Talking to mediapersons on the eve of National Coffee Day, Binaya Mishra, executive director of NTCDB, said Saturday that the recently enforced three-year strategic plan was aimed at addressing various problems plaguing production and promotion of coffee. Increasing production and productivity, strengthening sub-sector of coffee and marketing of domestic coffee within and outside the country are some of the programs included in the strategy.

“We are also arranging additional land in Pokhara, Okhaldhunga and Solukhumbu to boost coffee production,” said Mishra.

Stating that promotion of coffee in international market has been affected due to the delay in registration of national coffee logo in Company Registrar´s Office, Shyam Prasad Bhandary, president of Federation of Nepal Coffee Entrepreneurs, demanded the government to approve the logo at the earliest and pave way for easy access of Nepali organic coffee to international markets.

Nepali coffee is being exported to Japan, USA, and South Korea and other European countries.

 
Published on 2009-11-14 23:45:57
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Global Meltdown Drags Down Coffee Exports
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