Uganda’s year-on-year coffee exports fetch Shs 4trn
Uganda has the potential to earn between US$ 1.5bln-2.2bln per year by 2025-2030.
KAMPALA, June 16, 2024 – Uganda’s coffee exports for the twelve months [June 2023-May 2024] totaled 6.02 million bags worth US$ 1.07 billion [about Shs 4 trillion] compared to 5.73mln bags worth US$ 839.18mln in the previous year [June 2022-May 2023], according to Uganda Coffee Development Authority [UCDA], a government agency mandated to supervise the coffee subsector in the country.
UCDA in its May report says the figures above coffee bags and revenue earned during the period under review represent an increase of 5.17 percent and 27.85 percent in quantity and value respectively.
Uganda has the potential to earn between US$ 1.5bln – 2.2bln per year from 20mln bags of coffee by 2025 – 2030, as expressed in the Coffee Roadmap if the conditions/activities set for production and export of the country’s traditional cash crop are all met.
Meanwhile, coffee exports in May 2024, amounted to 553,529 60-kilo bags, worth US$ 127.30mln. This was comprised of 473,693 bags of Robusta valued at US$ 107.92mln and 79,836 bags of Arabica valued at US$ 19.38mln. This was an increase of 22.16 percent and 73.81 percent in quantity and value respectively compared to the same month last year.
By comparing quantity of coffee exported by type in the same month of last year [May 2023], Robusta increased by 44.23 percent and 136.28 percent in quantity and value respectively, while Arabica exports decreased by 35.98 percent and 29.68 percent in quantity and value respectively.
“The monthly coffee exports volume for Robusta was higher than the previous year as the newly harvested main crop from Masaka and Southwestern regions was at peak. Arabica exports were however lower than last year due to a smaller harvest in Elgon region,” says UCDA monthly report.
Outlook for June 2024
Coffee exports are projected to be 550,000 60-kilo bags. Harvesting of the main crop south of the equator [Masaka and South Western regions] is at the peak while harvest of the fly crop North of the equator is also on going.
Global Situation
World coffee production for 2023/24 is forecast to reach 171.4mln bags, 6.9mln bags higher than the previous year of 164.5mln bags, due to expected higher production in Brazil, Colombia, and Ethiopia . Global exports are expected to increase by 8.4mln bags to 119.92mln bags, mainly due to strong shipments from Brazil.
On the other hand, global consumption is forecast at 169.5mln bags, with the largest increase in the European Union, the United States of America, and Brazil. Ending inventories are expected to continue to tighten to a 12-year low of 26.5mln bags, according to foreign reports.
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