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1 Ucda Monthly Report for January 2018 UCDA MONTHLY REPORT FOR JANUARY 2018 Highlights: This is the fourth report for the coffee year 2017/18. A total of 401,930 60-kilo bags of coffee valued at US$ 43.66 million were exported in January 2018 at an average weighted price of US $1.81/kilo, 3 cents lower than US$ 1.84/kilo last month. Farm-gate prices for Robusta Kiboko averaged Shs. 2,150/= per kilo; FAQ Shs.4,950/= per kilo, Arabica parchment Shs 5,950/= per kilo and Drugar Sh. 5,600/kilo. Coffee exports for 12 months (February 2017 to January 2018) totalled 4.77 million bags worth $549 million comprising Robusta 3.75 million bags worth $413 million and Arabica 1.02 million bags worth $136 million. 78.74% of the total volume was exported by 10 exporters, out of 42 who performed during the month compared to 77.09% in December 2017 The ICO Composite Indicator price increased from US Cents 114.00 per lb. in December 2017 to US cents 115.60 per lb. in January 2018. 1.0 COFFEE EXPORTS Coffee exports in January 2018 amounted to 401,930 60-kilo bags worth US $ 43,661,837 million comprising 311,567 bags ($ 31.48 million) of Robusta and 90,363 bags ($12.18 million) of Arabica (see Table 1). This was a decrease of 0.68% and 10.86% in quantity and value respectively. Table1: Comparative Coffee Export Performance – 60-kilo bags; US$ 2017/18 2016/17 %-age Change Coffee Year Qty Value $ Qty Value $ Qty Value $ Grand Total 1,612,883 179,509,653 1,446,751 175,036,210 11.48 2.56 Total Robusta 1,173,336 123,031,341 1,040,264 115,095,964 12.79 6.89 Total Arabica 439,547 56,478,313 406,487 59,940,247 8.13 -5.78 January 401,930 43,661,837 404,673 48,981,950 -0.68 -10.86 Robusta 311,567 31,481,816 304,787 33,973,480 2.22 -7.33 Arabica 90,363 12,180,021 99,886 15,008,470 -9.53 -18.85 December 386,217 42,719,520 425,241 51,515,317 -9.18 -17.07 Robusta 291,314 30,008,351 328,164 36,036,618 -11.23 -16.73 Arabica 94,903 12,711,169 97,077 15,478,699 -2.24 -17.88 November 443,100 49,387,020 407,693 50,345,770 8.68 -1.90 Robusta 310,759 33,117,191 278,245 31,508,240 11.69 5.11 Arabica 132,341 16,269,829 129,448 18,837,530 2.23 -13.63 October 381,636 43,741,276 209,144 24,193,173 82.48 80.80 Robusta 259,696 28,423,983 129,068 13,577,626 101.21 109.34 Arabica 121,940 15,317,294 80,076 10,615,548 52.28 44.29 Compared to the same month last year, both Robusta exports increased by 2.22% while Arabica exports decreased by 9.53% In terms of value, both Robusta and Arabica decreased by 7.33% and 18.85% respectively. Coffee exports for 12 months (February 2017-January 2018) totalled 4.77 million bags 1 worth US$ 549 compared to 3.54 million bags worth $ 371 million in the previous year (February 2016- January 2017).This was an increase of 34.75% and 47.98% in quantity and value respectively. Charts 1 and 2 give the comparative performance of exports by coffee type in both quantity and value in 2 coffee years during the first four months (October-January) of 2017/18 and 2016/17. Chart 1 shows an increase of export volume for both Robusta and Arabica over last year while chart 2 shows and increase in value for Robusta exports while it decreased slightly for Arabica exports 2.0 EXPORTS BY TYPE AND GRADE Table 2 shows coffee exports by type, grade and average realized price for each coffee grade during the month of January 2018.The weighted average export price was US$ 1.81 per kilo, 3 cents down 2 from US$ 1.84 per kilo the previous month. Robusta exports accounted for 77.52% of total exports compared to 75.43% last month. The weighted average Robusta price was US$ 1.68 per kilo compared to US$ 1.72 per kilo the previous month reflecting a decrease of US cents 4. Organic Robusta had the highest price of US$ 2.05 per kilo, fetching a premium of 17 cents over conventional Screen 18 sold at an average of US$ 1.88 per kilo. Arabica fetched a weighted average price of US$ 2.25 per kilo, US Cents 2 higher than US Cents 2.23 in December 2017. The highest price was for Mt. Elgon AAB sold at US $ 3.50 per kilo each. It was followed by Sustainable Arabica Sipi Falls at a unit price of US$ 3.40 per kilo. Table 2: Coffee Exports by Type, Grade & Unit Price in January 2018 in 60-kilo bags; US $, US $/kg Value in %-age Unit Quantity Value Price Coffee type/ Grade %-age Quantity US $ 60-Kilo Bags $/Kilo TOTAL 401,930 100.00 43,661,837 100.00 1.81 ROBUSTA 311,567 31,481,816 1.68 ORGANIC ROBUSTA 1,375 0.44 168,967 0.54 2.05 WASHED ROBUSTA 335 0.11 40,121 0.13 2.00 SCREEN 18 24,792 7.96 2,794,597 8.88 1.88 SCREEN 17 18,223 5.85 2,061,061 6.55 1.89 SCREEN 15 146,708 47.09 15,224,031 48.36 1.73 SCREEN 14 5,950 1.91 689,588 2.19 1.93 SCREEN 12 78,284 25.13 7,829,369 24.87 1.67 BHP 1199 19,165 6.15 1,323,712 4.20 1.15 Other Robustas 16,735 5.37 1,350,370 4.29 1.34 12,180,021 100.00 2.25 ARABICA 90,363 100.00 ORGANIC BUGISU 1,200 1.33 191,271 1.57 2.66 SIPI FALLS 5,950 6.58 1,212,766 9.96 3.40 ORGANIC DRUGAR 640 0.71 95,239 0.78 2.48 MT.ELGON A+ 740 0.82 145,297 1.19 3.27 MT ELGON AA 504 0.56 89,866 0.74 2.97 MT ELGON AB 16 0.02 3,360 0.03 3.50 MT. ELGON A 6,691 7.40 937,770 7.70 2.34 BUGISU A+ 3,200 3.54 562,162 4.62 2.93 BUGISU AA 8,391 9.29 1,235,587 10.14 2.45 BUGISU AB 7,301 8.08 1,056,508 8.67 2.41 BUGISU PB 160 0.18 27,839 0.23 2.90 BUGISU A 3,700 4.09 521,739 4.28 2.35 MIXED ARABICA 600 0.66 65,873 0.54 1.83 WUGAR 13,017 14.41 1,780,041 14.61 2.28 DRUGAR 28,729 31.79 3,577,467 29.37 2.08 OTHER Arabicas 9,524 10.54 677,236 5.56 1.19 3.0 INDIVIDUAL EXPORTER PERFORMANCE Table 3 shows the performance of the individual coffee exporting companies in the month of January 2018 in terms of quantity and market share. Kyagalanyi Coffee Ltd led with a market share of 15.39% compared to 14.65% last month. It was followed by Ugacof (U) Ltd- 13.16% (18.04%); Ideal Quality Commodities (U) Ltd-11.61% (10.54%); Olam (U) Ltd- 8.04% (7.48%); Touton (U) Ltd-6.78% (5.08%); Ibero (U) Ltd-6.54% (7.91%); Export Trading Company Ltd-6.52% (2.59%); Kawacom (U) Ltd– 5.09% (3.84%); 3 Besmark Coffee Company Ltd-2.83% (3.89%) and Great Lakes Coffee Company Ltd- 2.78% (2.855%) The first 10 exporters held a market share of 78.74% compared to 77.09% in December 2017 reflecting increasing concentration at this level. Out of the 42 exporters who performed, 13 exported Robusta Coffee only while 10 exported Arabica coffee only. The figures in brackets represent percentage market share held in December 2017. Table 3: Export Performance by Individual Companies in January 2018 EXPORTING COMPANY POSITION QUANTITY (Bags) PERCENTAGE MARKET HELD IN SHARE DECEMBER Robusta Arabica Total Individual Cumulative Total 311,567 90,363 401,930 100.00 1 Kyagalanyi Coffee Factory 2 36,448 25,427 61,875 15.39 15.39 Ltd 2 Ugacof (U) Ltd 1 52,251 640 52,891 13.16 28.55 3 Ideal Quality Commodities 3 45,350 1,322 46,672 11.61 40.21 Ltd 4 Olam Uganda Ltd 5 26,135 6,200 32,335 8.04 48.21 5 Touton Uganda Limited 6 13,415 13,840 27,255 6.78 54.99 6 Ibero (U) Ltd 4 26,288 26,288 6.54 61.53 7 Export Trading Company (U) 12 22,168 4,020 26,188 6.52 68.05 Ltd 8 Kawacom (U) Ltd 8 9,734 10,725 20,459 5.09 73.14 9 Besmark Coffee Company 7 8,726 2,630 11,356 2.83 75.96 Limited 10 Great Lakes Coffee Company 9 11,180 11,180 2.78 78.74 Ltd 11 Commodity Solutions (U) Ltd 11 9,258 700 9,958 2.48 81.22 12 Ld Commodities (U) Ltd 21 4,809 4,340 9,149 2.28 83.50 13 Nakana Coffee Factory Ltd 17 8,560 8,560 2.13 85.63 14 Coffee World Ltd 10 5,664 1,980 7,644 1.90 87.53 15 Kampala Domestic Store Ltd 13 6,471 5 6,476 1.61 89.14 16 Bulamu Coffee Buyers, 18 6,330 6,330 1.57 90.72 Proc.& Exports Ltd 17 Ishaka Quality Commodities 24 5,230 5,230 1.30 92.02 Ltd 18 Tata Uganda Lmited 19 4,500 4,500 1.12 93.14 19 Ankole Coffee Processors Ltd 15 3,850 3,850 0.96 94.09 20 The Edge Trading (U) Ltd 36 3,157 13 3,170 0.79 94.88 21 Bakhsons Trading Co.
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