Starbucks buy its raw materials in its production from many different suppliers around the world. All coffee beans have to meet high quality standard of Starbucks. In the same time, Starbucks builds a good relationship with suppliers. It works with coffee farmers to improve coffee quality and strengthen farming communities.
Starbucks in India buy all its raw materials including some type of coffee beans, milk, sugar, fresh products, and others from local suppliers because it helps to reduce cost of product prepared to import from other countries. For example, Starbucks in India store can use Arabica coffee beans which have a good quality and were grown in the south of India to make coffee in Starbucks house. Therefore, Starbucks in India need to find and deal with reliable local suppliers, and some necessary goods supplied can be sent from the US. However, Starbucks has to realize tariff in India.