In the latest report from the USDA Foreign Agriculture Service, Uganda's coffee sector is set for growth in the upcoming market year. Here's a breakdown of what to expect in terms of production, trade, and consumption:
Production
The FAS report predicts a 1.44% increase in Uganda's coffee production for 2024/25, with robusta and arabica beans both showing growth. Smallholder farmers, who make up the majority of coffee producers in the country, are expected to benefit from improved crop management techniques.
Marketing and Policy
Uganda's coffee industry operates in a liberalized market, allowing for direct transactions between farmers and traders. Certification programs such as Fairtrade and Rainforest Alliance have played a key role in promoting fair pricing and improving coffee quality.
Domestic Consumption
Ugandans are developing a taste for coffee, with consumption expected to rise by 1.52% in the upcoming market year. The growing number of coffee shops in the country is a testament to the increasing popularity of coffee culture.
Trade
Uganda's green coffee exports are projected to increase slightly in 2024/25, with the EU, United States, Morocco, and India being the main export destinations. To ensure compliance with the EU's deforestation-free products law, the government is working on a national traceability system for coffee farmers.
With favorable conditions and growing demand, Uganda's coffee sector is poised for a successful year ahead.