Uganda has earned Shs251.7 billion from coffee exports, the just-released monthly Uganda Coffee Development Authority (UCDA) report indicates.
According to the report, a total of 401,336 60-kilo bags of coffee valued at $65.94 million (Shs251.7 billion) were exported in December 2023. The coffee was exported at an average price of $2.74 (Shs10,460) per kilo, three cents lower than $2.77 (Shs10575) per kilo in November 2023, and 37 cents higher than $2.37 (Shs9048) per kilo in December 2022.
Farm-gate prices for Robusta Kiboko averaged Shs4,050 per kilo; Fair Average Quality (FAQ) Shs8,750 per kilo; Arabica parchment Shs 10,250 per kilo; and Drugar Shs9,250 per kilo.
The report shows that coffee exports in 2023 totaled 6.12 million bags worth $965.14 million (Shs3.6 trillion) compared to 5.63 million bags worth $860.45 million (Shs3.2 trillion) in the previous year 2022.
At least 72% of the total volume was exported by 10 exporters out of 49 companies that performed during the month, compared to 76% in November 2023. Sustainable Arabica fetched the highest price at $4.66 (Shs17791) per kilo.
Italy maintained the highest market share, followed by India, Germany, Morocco, and Spain. Coffee exports to Africa amounted to 56,253 bags, compared to 69,2882 bags in the previous month of November.
African countries that imported Ugandan coffee included Sudan, Morocco, Algeria, South Africa, Egypt, and Kenya. Europe remained the main destination for Uganda’s coffees, with a 67% import share, slightly lower than 68% in November 2023.
“Louis Dreyfus led in the market, followed by Sucafina, Olam International, Eurocaf Srl, Bernhard Rothfos, Ecom Agro Industrialist, Touton SA, Volcafe, Hamburg Coffee, and Koninklijke Douwe,” the report indicates.
World coffee production for 2023/24 is forecast to reach 171.4 million bags, 6.9 million bags higher than the previous year of 164.5 million bags, with higher output in Brazil, Colombia, and Ethiopia expected to more than offset reduced production in Indonesia.
Global exports are expected to increase by 8.4 million bags to 119.92 million bags, mainly due to strong shipments from Brazil. Global consumption is forecast at 169.5 million bags, with the largest increase in the European Union, the United States of America, and Brazil.
