COFFEE (PROMOTION AND DEVELOPMENT BILL), 2022

July 29, 2022

The Ministry of Commerce and Industry is planning to replace the 80-year-old Coffee Act with the new Coffee (Promotion and Development Bill), 2022, which has been listed for the Monsoon Session of Parliament.

About:

  • The Coffee Act, 1942 was first introduced during World War II, in order to protect the struggling Indian coffee industry from the economic downturn caused by the war.
  • The government is now trying to scrap the law because the substantive portion of the Coffee Act, 1942, which deals with pooling and marketing of the commodity, have become redundant/inoperative.
  • The new legislation is now primarily concerned with promoting the sale and consumption of Indian coffee, including through e-commerce platforms, with fewer government restrictions.
  • It also aims at encouraging further economic, scientific and technical research in order to align the Indian coffee industry with “global best practices.”
  • While the Coffee Board continues to have limited control over marketing, exporters will still require a certificate from the statutory body.