Many Ugandans have ignored the government’s call of engaging in agriculture and embracing enterprise selection to increase their household incomes.
Coffee farmers in Karangura sub county Kabarole district however, seem to be earning big from foreign coffee markets.
Notably, over 70 coffee farmers in Karangura have been producing coffee under the Karangura Peak Coffee Farmers Cooperative since 2013 exporting it to other countries.
Exporting coffee
Denis Mibiri, the Manager Karangura Peak Coffee Farmers Cooperative, reveals that about 56.7 tonnes of coffee are exported annually to South Africa, United Kingdom, Italy, and United States.
He however says, plans to increase production are under way considering the fact that they have been linked to new international buyers.
Mibiri, commended Kabarole district for the distribution of coffee seedlings through Local Economic Growth Support project- LEGs and over 250m Shs from Agriculture Cluster Development Project -ACDP for the construction of a storage facility, power and pulpier.
About KAPCCO
Karangura Peak Modern Coffee Farmers Cooperative Society Ltd) Kapcco, produces Arabica coffee from Mt Rwenzori region, at an altitude of 1900-2000 masl.
They can produce 4 containers of AA/AB grades with Fairtrade certification, which are selectively hand-picked, carefully processed under a traceable strategy which makes them unique. This cooperative works with about 705 farmers.
why invest in coffee?
Mean while according UCDA, 2016 Uganda, agriculture is dominated by small scale farmers. About 353,907
hectares were under coffee cultivation and coffee was primarily cultivated by an estimated 1.7 million households.
Uganda, is the 2nd largest coffee producer in Africa after Ethiopia, but one would wonder why invest in the coffee field?
Masereka, also a coffee farmer has said that his household income has improved through selling coffee whereby he has sustained his family by providing all the basic needs.
In the last quarter of the previously concluded financial year 2019/2020, the world was ravaged by COVID-19. Fortunately, Uganda’s coffee exports remained stable in a declining global economy.
According to the Hindu Business Line publication, Indian coffees are facing stiff competition from Ugandan ones in the Italian market, which they have dominated for over three decades now.
The Ugandan Robusta coffee, which is comparable to the Indian variety in terms of quality, are priced cheaper by at least $200 per tonne or about 20 per cent and is attracting buyers’ interest in Italy.
The increasing export share in Italy is a testament to Uganda’s good quality coffee.
Coffee price range in Uganda
In 2022, the approximate price range for Uganda Coffee is between US$ 1.58 and US$ 1.73 per kilogram or between US$ 0.72 and US$ 0.78 per pound (lb).
The price in Uganda Shilling is UGX 5646.05 per kg. The average price for a tonne is US$ 1580.89 in Jinja and Kampala.
Uganda’s import price for coffee in 2019 was US$1.37 per kilogram.
