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Coffee production in Bangladesh is a growing industry, with both Arabica and Robusta varieties being cultivated, particularly in the hilly regions of the Chittagong Hill Tracts. While Bangladesh relies heavily on coffee imports, local production is increasing and shows potential for expansion.
Here's a more detailed look:
Limited but Growing Production:
In fiscal year 2019-20, Bangladesh produced approximately 55.75 tonnes of coffee from 118.3 hectares of land.
Government Initiatives:
The government has implemented projects to support coffee cultivation, including distributing seedlings and providing technical assistance to farmers.
Commercial Coffee Farming:
Some large conglomerates, like Abul Khair Group and North End company, are also involved in commercial coffee farming, branding coffee from the Hill Tracts, Prothom Alo English reports.
Potential for High-Quality Coffee:
Experts believe that coffee grown in the Hill Tracts, especially Arabica, could rival the quality of coffee from Central and South America.
Challenges and Opportunities:
While the potential for coffee cultivation is promising, challenges include farmer knowledge and skills, as well as the need for proactive measures to fully tap into the potential, The Financial Express reports.
Market Growth:
The coffee market in Bangladesh is projected to grow, with revenue expected to reach US$31.43m in 2025 and US$48.97m by 2029. According to Statista reports.:
*Revenue in the Coffee Market is projected to reach US$31.43m in 2025.
*Revenue is expected to show an annual growth rate (CAGR 2025-2029) of 11.73%, resulting in a projected market volume of US$48.97m by 2029.
*With a projected market volume of US$2.88bn in 2025, most revenue is generated in the United States.
*In the Coffee Market, the number of users is expected to amount to 4.8 million users by 2029.
*User penetration will be 2.6% in 2025 and is expected to hit 2.7% by 2029.
*The average revenue per user (ARPU) is expected to amount to US$10.33. See more.
Sustainable Sourcing:
Some companies, like Nestlé, are focusing on sustainable sourcing and responsible coffee farming practices in Bangladesh.
Impact on Farmers:
Coffee farming is providing new income-generating opportunities for farmers, particularly in the Hill Tracts, Helen Keller Intl reports.
Variety Cultivation:
Both Robusta and Arabica coffee are being cultivated, with Robusta often yielding higher per hectare than Arabica, but Arabica potentially having better taste and aroma.
-SZK, based on online information
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