Categories: Business

Armed with organic tag, Araku farmers set to tap global organic coffee demand

Armed with the newly acquired organic certification, Adivasi farmers in the Araku area are all set to tap the huge demand for organic coffee in Europe and the United States. After three years of preparedness, about 2,000 farmers in the region are now eligible to market their coffee with the organic tag, which gives them an edge in terms of quality and price.

Tata hasagreed to procure 100 quintals of organic coffee, reflecting the interest among the coffee players on the organic produce.

High demand

“There’s a high demand for organic certified coffee in Europe and US . Girijan Cooperative Corporation applied for organic certification for over 2,000 farmers in two mandals, in six clusters, three years ago through Agricultural and Processed Food Products Export Development Authority (APEDA),” Kalpana Kumari, Managing Director of Andhra Pradesh Girijan Cooperative Corporation, told businessline.

“We told them how to change their farming practices to get the organic tag and earn additional income,” she said, adding, “The government gave ₹20 crore to the Corporation in 2014-15 for a coffee project and to procure coffee in the area.”

Kumari further said the Corporation is planning to expand the organic cover for more farmers so that their produce earns them additional income.

Market changed

The market has changed significantly over the years. Initially, only a few private companies were working through FPOs (Farmer Producer Organisations) to source the produce.

“Competition has increased since then. There is no need for marketing. Companies are tying up with the farmers at the fruit stage itself. The competition is so high that GCC doesn’t need to do procurement currently but focuses on price fixation,” she said.

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