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Jul 27 2026 |

Coffee cultivation flourishes in Koshi Province, Boosting regional economy

Coffee cultivation flourishes in Koshi Province, Boosting regional economy

Jhapa- Coffee farming is experiencing significant growth across Koshi Province, with commercial cultivation now established in 12 districts, covering an area exceeding 2,000 hectares.

This expansion is transforming the agricultural landscape and providing a substantial economic boost to the region.

According to Ananta Dhungana, Public Information Officer at the National Tea and Coffee Development Board's Regional Office in Birtamod, coffee is now commercially grown in Ilam, Dhankuta, Bhojpur, Khotang, Sankhuwasabha, Okhaldhunga, Solukhumbu, Tehrathum, Udayapur, Morang, Panchthar, and Taplejung districts.

Over 5,000 farmers are actively engaged in coffee cultivation within the province.

Koshi Province currently produces between 90 to 100 metric tons of coffee beans annually, with an estimated market value of around Rs 200 million. Notably, more than half of this production is earmarked for international export, highlighting the growing global demand for Nepali coffee.

The province contributes approximately 20% of Nepal's total coffee production, which stands at an estimated 500 metric tons. Ilam district leads the way in Koshi Province, where over 2,000 farmers cultivate coffee across 900 hectares, yielding around 50 metric tons of beans. Significant expansion is also observed in Dhankuta (750 hectares), Morang (500 hectares), and Panchthar (350 hectares).

To further incentivize coffee farming, the National Tea and Coffee Development Board offers grants of Rs 750,000 to farmers and cooperatives cultivating coffee on 50 ropanis (approximately 2.5 hectares) of land.

Additionally, Rs 350,000 is provided to those establishing coffee seedling nurseries. In the last fiscal year (2081/82), the board invested Rs 23.7 million to expand coffee cultivation by 110 hectares across 24 local level governments in Koshi Province. For the current fiscal year, a budget of Rs 28.35 million has been allocated to support expansion in 23 local levels.

Dhungana emphasizes the suitability of Koshi Province for coffee cultivation, stating, 'Koshi Province is a fertile area for coffee cultivation.'

He also highlighted that market access for the produced coffee is not an issue. However, he noted a crucial challenge, 'Farmers are not sensitised to issues such as processing, quality, packaging, and trademarking, so they are unable to directly take it to the international market.' Addressing these areas will be key to unlocking the full export potential of Koshi's burgeoning coffee industry.-RSS


Published : July 25, 2025, 11:52 AM

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© 2026 All right reserved to biznessnews.com | Site By : Sobij