coffee in uganda

Uganda earns $61.98 million from coffee exports in January

Uganda collected US$ 61.98 million from exporting 402,212 60-kilo bags of coffee in January, registering a 9.80% decline in quantity but an increase of 56.44% in value compared to the same month last year, according to Uganda Coffee Development Authority (UCDA).

Compared with December of 2021, there was a decline in both value and quantity as 536,889 60-kilo bags of coffee valued at US$75.25m were sold the previous month.

The January exports comprised 315,265 bags of Robusta valued at US $40.07 million and 86,947 bags of Arabica valued at US$ 21.91 million, according to the UCDA report.

According to the report, although Robusta decreased by 20.76% in quantity, it increased by 22.62% in value, while Arabica exports increased by 80.84% and 215.67% in quantity and value respectively.

“The decrease in Robusta exports was mainly attributed to correction where two consecutive good harvests were associated with lower yields this year also characterized by a drought in some regions,” reads the report.

“This led to a shorter main harvest season in Central and Eastern regions as well as a short fly crop in Greater Masaka and South-Western regions. Shortage of containers and congestion at the Malaba border also affected exports. The Increase in Arabica coffee exports is due to an on-year cycle characteristic of Arabica coffee production. Shortage of shipping containers in Vietnam and weather-related concerns in Brazil fueled an increase in global prices.”

The top 10 export companies in the month of January were Ideal Quality Commodities Ltd, which led with 12.50%, followed by Ugacof (U) Ltd (11.98%), Olam Uganda Ltd (9.79%), Touton Uganda Limited (8.44%), Kawacom (U) Ltd (7.92%), Louis Dreyfus Company (U) Ltd (7.45%), Kyagalanyi Coffee Ltd (7.09%), Ibero (U) Ltd (5.07%), Grainpulse Ltd (4.41%) and Besmark Coffee Company Ltd (3.91%).

Italy maintained the highest market share with 30.03%, followed by Sudan (17.02%), Germany (10.15%), Belgium (6.34%), and Spain (5.61%).

Coffee exports to Africa amounted to 97,554 bags, a market share of 24% and the leading buyers were Algeria, Sudan, Morocco, Egypt, South Africa, South Sudan and Kenya, according to the report, which says that “Europe remained the main destination for Uganda’s coffees with a 58% imports share.”

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