Coimbatore, Sept. 18
The news of an upward increase in the pure coffee powder rates, albeit by Rs 10 a kg each time in a span of 7 months may not be good news for coffee addicts, but market sources contended to the decision being inevitable.
They said that they had deliberated about the present hike for over three months before announcing it. With this hike, pure coffee powder price has touched a high of Rs 190 a kg in the consuming state of Tamil Nadu, while it is said to be quoting at Rs 200 a kg in Karnataka.
Market sources said that planters were unwilling to offload the stock in the domestic market, as the export rates were looking good. "While the move is good for the country, the consumer has to pay a premium," lament sellers of retail coffee.
Sources also noted that the price of both - the raw coffee and packing material - had risen by 15 to 20 per cent in the last one month.
They do not foresee a further hike in pure coffee powder rates over the next couple of months, considering that the new crop position would be known by December.
The price of the blended coffee powder ranges between Rs 120 and Rs 150 a kg depending on the mix. The present hike is expected to have an impact on the selling rate of the blended coffee powder as well.