Uganda asks Espresso farmers to enhance high quality, manufacturing in order to compete on the world market

Ugandan Coffee (Espresso) farmers should enhance high quality and production that may add value to their coffee if they’re to compete with Kenya and earn more money globally from their cash crop.

As a regional leader, Kenya continues to earn premium costs because of the prime quality of cash crops whereas Uganda solely grows about 10pc of total annual output with Robusta as essential exports.

Robusta is the primary ingredient for all instantaneous coffee, however within the profitable world market, primarily in America, the Arabica selection is probably the most favoured bean and often fetches higher prices.

According to the state minister for agriculture, Hon. Gume Fredrick Ngobi, Ugandans are loosing out to Kenya because of low production quality.

Fredrick Ngobi was speaking last week at the annual assembly of the Cooperative Insurance Company Uganda that passed off in Kampala recently.

The state minister stated;

There’s a need to harmonize produce costs in all East African Community countries in order that they will cut price and promote as one huge bloc as an alternative to single countries. Nonetheless, based on experts, Kenyan coffee beans have a much brighter sweeter taste with advanced tones of fruit and berry that few Ugandan beans can match other than the speciality varieties grown within the highlands.

He added;

I acquired reports indicating that whereas a 50-kilogramme bag of espresso in Kenya was at $700, in Uganda, it was solely being bought at $150 which he stated is discouraging to the farmers. Since we’re already working as an area, heads of cooperatives in Uganda ought to seek the advice of these in Kenya and different countries on how they’re retaining the costs of the farmers’ merchandise comparatively high.

During the general assembly, the CIC Group Chairman, Japheth Magomere stated;

We’re one as one big body, under the East African Farmers Federation to coach and assist farmers on how you can enhance the standard of their merchandise in order that they’re able to deal directly with the buyer without selling to an intermediary.

Based on CIC Uganda, the Nairobi Coffee Exchange figures present that at one level throughout February, a 50 bag kilo of AA Grade coffee was being bought at $679, a mirrored image of the high demand from international roasting houses who value the Kenyan beans’ blending qualities.

The CIC Uganda managing director, Zipporah Mungai called on cooperatives to hitch the insurance group in order that they will work collectively and restrict the high risks involved with the sort of activities cooperatives do.

We provide insurance coverage against fire, theft and burglary, travel insurance, motor comprehensive, motor commercial and many extras. And the most important part is that these cooperatives will have shares and determine on how the earnings made could be invested.

Ivan Asiimwe from the Uganda Cooperative Alliance revealed that insurance coverage is an enormous achievement for the Uganda cooperative movement as they’re benefiting twice from the insurance and the earnings from the shareholdings.

That is our company in partnership with our brothers from Kenya. Instead of getting insurance coverage from different insurance firms who we have now no say or control over, it’s good that now we have ours that will assist in pushing the cooperative agenda forward.

Co-operative Insurance Company (CIC) Africa Uganda Limited is a three-way partnership of CIC Insurance Group Kenya and the Co-operative movement in Uganda. CIC is now fully incorporated and licensed to transact General and Life Insurance business.

The Firm has two subsidiaries; CIC General Insurance Company Ltd and CIC Africa Life Assurance Company Ltd. The 2 subsidiaries transact General and Life assurance business respectively