February coffee exports rise sharply as volumes climb despite softer prices

Earnings increase modestly as global prices ease on improved supply outlook

Rows of filled burlap coffee bags prepared for export shipment, showing company branding, stacked in a warehouse.
Bags of coffee beans ready for export at a warehouse in Kampala © Uganda Business News

Uganda’s coffee export volumes rose sharply in February, as higher production and continued growth in arabica shipments outweighed a decline in global prices.

The country exported 651,933 60-kilogram bags during the month, valued at $181mn (Shs645.8bn), according to the Ministry of Agriculture, Animal Industry and Fisheries. Volumes increased 15 per cent year on year, while earnings rose 5.8 per cent.

The average export price fell to $4.63 per kilogram, down from $4.71 in January, reflecting weaker global prices amid improved supply expectations, including stronger production forecasts in Brazil.

Arabica exports, which accounted for 21.4 per cent of total shipments, rose 54 per cent by volume to 139,696 bags. Earnings from the variety increased 71 per cent to $56.3mn — 31 per cent of total receipts — supported by robust demand for higher-grade beans.

Arabica fetched an average of $6.72 per kilogram, compared with $4.06 for robusta. Mt Elgon A+ commanded the highest price at $9.99 per kilogram.

Robusta exports rose 7.5 per cent by volume to 512,237 bags, but earnings declined 9.8 per cent to $124.7mn, reflecting lower prices. The variety accounted for about 78.6 per cent of total exports.

The ministry attributed the increase in volumes to improved production, while noting that prices continued to ease in line with global trends as expectations of a supply surplus in the 2025/26 season strengthened.

For the 12 months to February, Uganda exported 8.8mn bags worth $2.5bn, compared with 6.3mn bags valued at $1.6bn in the previous period — increases of 41 per cent and 61 per cent respectively.

Europe remained the largest destination, taking 58 per cent of shipments, though its share declined from the previous month. Italy retained the biggest market at 28.8 per cent, followed by Sudan at 10 per cent and Germany at 8.4 per cent.

African markets increased their share to 22 per cent, up from 17 per cent in January, with Sudan and Morocco among the leading destinations.

Ugacof remained the largest exporter with a 14.4 per cent market share. The top 10 exporters accounted for 66 per cent of shipments, slightly lower than the previous month, indicating a marginal easing in concentration.

The ministry projects exports of around 650,000 bags in March, with the main harvest in Greater Masaka and south-western regions expected to peak in April and May.

Farm-gate prices declined further during the month, with robusta kiboko averaging Shs5,750 per kilogram, down from Shs6,250 in January. Arabica parchment prices also fell to Shs15,500 per kilogram.

($1 = Shs3,568.23, February period average)