Uganda’s coffee exports hit a new record in June, driven by a good harvest in most coffee-growing regions, particularly in the Greater Masaka area and the south-west of the country.
Exports of coffee beans jumped 51.9 per cent from the previous year to an all-time high of 1,014,062 60-kilogram bags, the Ministry of Agriculture, Animal Industry and Fisheries said Friday in a report.
The value of those exports reached a record high of $289.6mn (Shs1 trillion), marking an increase of 78.1 per cent compared to the same month last year.
The average export price per kilogram of coffee was $4.76 (Shs17,070), which was 36 cents lower than the previous month but 70 cents higher than the price of $4.06 in the same month last year.
Exports of robusta beans increased 47.6 per cent year-on-year to 907,058 bags, while their value rose 65.6 per cent to $248.6mn. Meanwhile, exports of arabica beans increased by 54,123 bags, with their value soaring by $28.5mn to $41mn.
“The value of coffee [compared to a year ago] was higher due to the high global coffee prices that were prompted by supply concerns in Brazil and Vietnam as the two biggest producers of arabica coffee and robusta coffee respectively experienced prolonged dry weather conditions,” said the report.
The ministry of agriculture said it expects coffee exports to fall to 900,000 bags this month as the main harvest season comes to an end in the Greater Masaka region and the south-west, and as the smaller second harvest north of the Equator also draws to a close. Furthermore, the ministry’s assessments indicate that farmers and traders are holding onto their stocks in the hope that prices will rise.
