Uganda targets higher coffee export earnings
A new African Union strategy aims to boost local processing and continental trade for coffee.
Uganda aims to increase coffee export earnings by focusing on local processing and expanded continental trade, reducing reliance on raw bean exports. This initiative follows figures showing African coffee producers earn less than US$3 billion annually from a global market exceeding US$465 billion. The African Union has designated coffee as a strategic commodity to help producers capture more value through processing, roasting, packaging, and direct market access.
Inter-African Coffee Organisation (IACO) Secretary-General Ambassador Solomon Rutega shared these figures with Uganda’s Chargé d’Affaires in Ethiopia, Margaret Kafeero, in Addis Ababa. Rutega stated that processing coffee locally could raise its value from US$2 per kilogram of raw beans to US$40 per kilogram of finished products. This transformation could improve the livelihoods of over 10 million households across Africa dependent on coffee production.
The strategy aligns with Uganda's efforts to boost domestic processing, create jobs, and increase earnings for farmers and exporters. Kafeero confirmed Uganda's support for expanding African coffee trade under the African Continental Free Trade Area (AfCFTA), leveraging its 1.5 billion consumer market. Ethiopia, which produces 39% of Africa's coffee, and Uganda, with 23%, are central to this plan.
Why it mattersUgandan farmers and exporters will benefit from increased earnings and improved livelihoods through local coffee processing and expanded trade.