KAMPALA – Bugisu Cooperative Union [BCU] owes Arabica coffee farmers Shs 6 billion, according to the latest press release circulated by management to media houses.
This follows yesterday’s reports in one of the leading dailies in the country alleging that BCU is stifling coffee farming in Bugisu Sub-region by delaying payment of the farmers who supply the union with coffee.
However, BCU management attributes the delayed payment of some of its farmers to the unstable coffee prices in the global market, which has forced them to hold on to the coffee stocks.
The press release adds: “It’s important to note that BCU collects farmers’ coffee for collective bargaining for better prices and our members are aware of this.”
The press release adds BCU currently has in its silos two million kilogrammes of coffee parchment. “We are waiting the stabilisation of global coffee prices before selling the coffee.”
It adds, “While we understand the members’ need for immediate liquidity, we also want to ensure that farmers don’t sell their coffee at very low prices. Rest assured, once the coffee prices stabilise and the coffee is sold, farmers will receive their payments.”
He said those running to the media don’t even patronize their societies, noting that most farmers who patronise the union as provided for in Article 30 of the Cooperative Societies Act CAP 112, have been paid.
According to the daily, some farmers accused BCU of delaying to pay them and diverting Shs 5bln to the redevelopment of Musundi House in Mbale City into a five-star hotel.
BCU in a press release says: “Regarding the redevelopment of Musundi House, the board, under the leadership of our chairperson, Nathan Nandala Mafabi, made the decision to convert the facility into a five-star hotel. This move aims to diversify the union’s business and create new revenue streams for the benefit of our members. Once the hotel is operational, it will provide opportunities for the farmers to benefit, considering Mbale’s new status as a city.”
BCU in a press release yesterday said it has established BCU SACCO to help farmers access loans at very low interest rates, adding that all that is required is for farmers to register with the SACCO. “We encourage all farmers to join the SACCO and take advantage of the benefits it offers.”
BCU says its board has registered several achievements including among others renovating the BCU estates in Busamaga in Mbale Northen City Division, securing titles for the BCU land in Bulambuli district, and establishing BCU radio, the only farmers’ radio in the country.
Arabica coffee in Bugisu Sub-region is grown in small gardens owned by individual farmers. This coffee is mostly organically grown. BCU sources the best beans from farmers who are rewarded with the best premium farm gate prices in the whole world.
Registered in 1954, BCU is not just another cooperative in Uganda. It is the mother that gave birth to the independence of the country. The Treasury bonds of BCU that were in USA and the UK were the determinants of giving Uganda Independence in 1962.
https://thecooperator.news/bcu-farmers-ask-for-equipment-to-produce-soluble-coffee/
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