Uganda coffee earnings plunge 37 percent in June as global prices weaken

KAMPALA, August 3, 2026 — Uganda’s coffee export earnings fell by 37.4 percent in June 2026 to US$175.5 million, as lower global prices and a decline in export volumes weighed on the country’s leading agricultural export.

According to the latest coffee export performance report released by the Agriculture ministry, Uganda shipped 744,540 60-kilogramme bags of coffee during the month, earning US$175.5mln [about Shs 651 billion], compared with the same month a year earlier. Export volumes fell by 24.2 percent, while the value of exports dropped by 37.4 percent compared with June 2025.

The average export price declined to US$3.9 per kilogramme in June, from US$4.1 in May and US$4.8 in June 2025, reflecting weaker international coffee prices.

Robusta accounted for the bulk of the shipments, with 668,216 bags worth US$147.3mln [Shs546bln], while Arabica exports stood at 76,324 bags valued at US$28.2mln [Shs105bln].

Robusta export volumes fell by 23.9 percent and value by 38.7 percent year-on-year, while Arabica volumes declined by 26.8 percent and value by 29.6 percent.

The report attributes the weaker performance partly to expectations of improved weather conditions and increased coffee supplies from major producing countries, particularly Brazil and Vietnam.

Annual export volumes rise

Despite the sharp decline recorded in June, Uganda’s coffee sector posted higher export volumes during the 2025/26 financial year.

The country exported 8.3mln 60-kilogramme bags worth US$ 2.18 billion [about Shs 7.9 trillion] in the 12 months to June 2026, compared with 7.7mln bags valued at US$2.21bln [Shs 8.1trn] in the previous financial year.

This represents a 7.7 percent increase in export volumes, although export earnings declined by 1.2 percent, says the report.

The increase in volumes was attributed to higher production, while the decline in earnings was linked to weaker global coffee prices amid increased output in Brazil and Vietnam.

The outlook for the global coffee market points to continued pressure on prices. The United States Department of Agriculture forecasts world coffee production in 2026/27 to rise by 10.8mln bags to a record 189.7mln bags, driven by increased production in Brazil, Ethiopia, Uganda and Vietnam.

Global coffee bean exports are also projected to reach a record 131.4mln bags, while consumption is forecast to rise to 179.7mln bags.

Uganda’s top exporters

UGACOF [U] Ltd emerged as the largest coffee exporter in June, accounting for 11 percent of total exports, up from 9.9 percent in May.

It was followed by Export Trading Company [U] Ltd with 10.8 percent, Ideal Quality Commodities Ltd at 8.3 percent, Jber Coffee Ltd at 7.9 percent and Kyagalanyi Coffee Ltd at 5.9 percent.

The top 10 exporters accounted for 66.2 percent of Uganda’s coffee exports during the month, up from 64.7 percent in May.

A total of 87 companies exported coffee during June, with 44 exporting both Robusta and Arabica, while others specialised in either variety.

Europe remains key market

Italy remained Uganda’s largest destination for coffee exports, taking a 31.3 percent share, up from 26 percent in May.

Sudan followed with 12.9 percent, Germany with 7.9 percent, India with 6.5 percent and Morocco with 5 percent.

The top 10 destinations accounted for 78.3 percent of Uganda’s coffee exports.

Europe remained the dominant market, accounting for 62 percent of Uganda’s coffee imports, up from 56 percent in May.

African countries imported 158,651 bags, representing 21 percent of Uganda’s total exports. Major African buyers included Sudan, Morocco, Algeria, Egypt, South Africa, Kenya, Tunisia, Libya and Cape Verde.

Sucafina was the largest foreign buyer, with an 11 percent market share, followed by Koninklijke Douwe Egberts at 7.4 percent and Louis Dreyfus at 5.2 percent.

Uganda steps up global coffee promotion

Uganda stepped up efforts to strengthen its position in international markets by participating in the World of Coffee Expo in Brussels, Belgium, from 25 to 27 June.

The country used the event to launch its new coffee brand, “Uganda Coffee, It’s in Our Nature”, with more than 20 Ugandan coffee exporters showcasing their products.

Uganda also held coffee cupping sessions highlighting the distinctive attributes and cup profiles of coffee produced across the country’s 11 agro-ecological zones. More than 5,000 cups of Ugandan coffee were served to expo visitors.

Meanwhile, efforts to improve production and quality continued, with 150 farmer training sessions reaching 4,741 farmers.

A further 271 farm visits provided technical support to more than 907 farmers, while 252 value-chain actors were inspected to strengthen quality standards, traceability and compliance.

The sector also conducted training on the European Union Deforestation Regulation [EUDR], traceability and coffee quality control, reaching 474 traders and processors.

For July, Uganda projects coffee exports of about 800,000 60-kilogramme bags as the main harvest season in Greater Masaka and the South-Western region winds down.

https://thecooperator.news/hoima-coffee-farmers-call-for-quality-seedlings-to-boost-production/

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