Robusta coffee farmers in Ibanda, Uganda, have every reason to smile as they witness soaring prices for their beloved beverage. The current market trends have seen clean coffee beans being sold at an impressive rate of sh8,200 per kilogram, marking a significant increase from sh7,800 in mid-May. Farmers and traders are ecstatic about this development, as it represents the highest recorded price in the past five years. The surge in demand from coffee exporters and processors in Kampala is being credited as the driving force behind this price hike. Let’s delve deeper into the impact of these soaring prices and the expectations of the local coffee industry.
Agricultural Boom:
Tanazio Monday, a coffee farmer and processor from Rushango Town Council, expressed his excitement over the unprecedented prices. He revealed that this surge is the most significant upturn in coffee prices witnessed by farmers in over half a decade. The immediate impact has been tremendous, with some farmers revitalizing their abandoned plantations in response to the favorable market conditions.
Positive Projections:
Geoffrey Katatsya, a coffee trader in Ibanda town, foresees further price increases in the coming weeks, driven by growing demand and the superior quality of the beans. The robusta coffee harvest season commenced in mid-April and is expected to continue until the latter half of July. This prolonged season creates a favorable environment for coffee prices to rise even higher.
Arabica Coffee Market:
While robusta coffee prices soar, the scenario is quite different for arabica coffee beans. Currently trading at sh9,000 per kilo, down from sh9,500 previously, arabica beans have experienced a decrease in value. Katatsya attributes this drop to the lower quality of beans available, as the arabica coffee harvest season has already concluded. However, the market anticipates a resurgence in prices as the next harvest season for arabica coffee is slated to begin in September.
Market Indicators:
According to the Uganda Coffee Development Authority, indicative prices for June 5 reveal the following: Kiboko coffee at sh3,500-3,800, FAQ (fair average quality) ranging from sh7,500-8,000, arabica parchment at sh8,500-9,000, and clean Dry Uganda Arabica (drugar) coffee priced between sh8,000-8,500.
Robusta coffee farmers in Ibanda, Uganda, are enjoying an exceptional period as their product reaches record-breaking prices. The increased demand from coffee exporters and processors in Kampala has spurred this surge in value, providing a boost to the local economy and inspiring farmers to reengage with their neglected plantations. With projections of further price increases in the weeks ahead, the robusta coffee industry in Ibanda holds promising prospects. Meanwhile, arabica coffee prices have experienced a temporary decline due to the conclusion of the harvest season, but the market eagerly awaits the upcoming harvest to revive its value. As Uganda continues to make its mark in the global coffee market, the smiles on the faces of the robusta coffee farmers in Ibanda tell a tale of success and economic growth.
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