Bangalore: Tata Coffee is all set to make a foray into Russia with its roast and ground pure coffee. This is the first time that the Rs 168-crore company is taking high-value roast and ground coffee to an export destination. Tata Coffee is already one of the largest exporters of instant coffee to Russia from India.

Speaking to FE, Tata Coffee managing director MH Ashraff said that the company has also decided to make an entry into Australia with instant coffee.

According to Mr Ashraff, Russia and Australia are the two fastest growing coffee consuming countries. The company has decided to get into these markets, as a part of its long-term strategy, to emerge as a global player with its own brand identity.

The decision to enter Russia with roast and ground coffee was prompted by the gradual change in the customer profile of coffee consumers in the country. "There is a new class of wealthy people in Russia and they can afford to have good quality coffee", Mr Ashraff pointed out.

Mr Ahsraff, however, said that he is yet to have a clear idea about the market potential for the roast and ground coffee in Russia. "I am not having the specific details, but we have clear indications regarding the demand. We will be there in the next couple of months".

Mr Ashraff said that Russia continues to be one of the fastest growing markets for coffee consumption. "There seems to be a definite shift in the people’s choice, with a section of them opting for coffee (Russia was otherwise known for its tea drinking culture)", he said. The average rate of growth in the Russian market is estimated between 15 and 20 per cent for the past couple of years.

Mr Ashraff was also bullish on his company’s fortune in Austraila. According to Mr Ashraff, Australia is emerging as a major destination for instant coffee. At present the consumption of coffee in Australia is estimated to be 40,000 tonnes per year. "We are targeting our entry into the Australian markets in the next three months"