yearyear bookbook 2011/122011/12
As the Nile finds its way to the north, it creates some marvelous waterfalls and later streams that water the coffee grown in Uganda
50th Anniversary Edition
Uganda at 50 Years: Milestones of the Century and Strategies for the Future.
50th Anniversary Edition A Uganda Coffee Federation publication 1 2 50th Anniversary Edition 50th Anniversary Edition 3 year book 2011/12
As the Nile finds its way to the north, it creates some marvelous waterfalls and later streams that help nourish and water the coffee grown in Uganda
50th Anniversary Edition
Uganda at 50 Years: Milestones of the Century and Strategies for the Future. A Uganda Coffee Federation publication Editor: Betty Namwagala 0414 343 692/8 E: [email protected]
Associate Editor: Robert Waggwa Nsibirwa
Editorial Team Assistant editors: Samson Emong Helen Mirembe
Design &Layout: Ideas Advertising +256 312 109 544 E: [email protected]
Publishers: Uganda Coffee Federation 2nd Floor, Coffee House Plot 35 Jinja Road Tel: +256 414 343 692/77 E: [email protected] www.ugandacoffeetrade.com
4 50th Anniversary Edition 50th Anniversary Edition 5 Inside
7. President’s Statement 10. UCDA MD’s Statement 11. Executive Director’s Statement 12. Coffee: A Commodity that has stood the times 19. Coffee’s Contribution To Uganda’s Economic Development Since Independence 26. aBi Trust and Coffee Value Chain Development in Uganda 30. Milestones of the Century in Trade and Marketing Coffee in Uganda and Strategies for the next Century 36 Climate Change From A Farming Perspective 41. Third Uganda Coffee Day 47. Direction Of The Uganda Coffee Industry From The Farmer’s Perspective 51. Technical overview of environmental impact of land application of pulping effluent from wet coffee processing. 56. Production And Processing Problems Of Arabica Coffee Farmers In Eastern Uganda 66. Apendexes 72. What is UCTF 73. Ucf Member Benefits 74. Ucf Member Profile 78. Advertiser’s Index
6 50th Anniversary Edition President’s Statement
ganda exported just over 2.7m bags of coffee during the David Barry coffee year 2011-12 split 70% robusta and 30% arabica UCF President Uby volume. This was down about 400k bags from the previous year. Direct export earnings came to a total of $393m of which Arabica coffees contributed 43%. Volumes produced and exported were disappointing as most of us had envisaged total exports a little over the 3.0m bags mark but it seems various weather factors were adequately negative to severely impact the size of the Robusta component of the crops.
There were many positive efforts made in the industry by Uganda Coffee Development Authority and the private sector assisted by the Government of Uganda, Non-Governmental Organisations and Donors. These multiple efforts combined with relatively decent prices seem to have rekindled small holder and medium sized farmer’s enthusiasm for coffee growing. The UCDA report indicated that about 17million shade and coffee tree seedlings were planted during the year which is highly significant.
About half of the 44 registered exporters in the country each exported more than 1% of total country exports with the top 10 exporters responsible for around 80% of exports. Uganda coffee was directly exported to 37 countries outside of the enlarged EU which accounted for 67.5% of the total. Sudan remains a key destination for Uganda coffees taking over 400,000 bags during the year whilst the USA absorbed about 100,000 bags.
Uganda is following the international trend to certify more of its coffee. Coffee exporters and farmer organisations expanded their sustainable projects. Mr. Robert Waggwa Nsibirwa of the African Coffee Academy who was elected the chairman of the 4C association has brought to the table the issue of low coffee productivity, a topic largely overlooked by the certification standards but understood by everyone actually working with smallholder farmers.
One of the key features of the international market last year was the pronounced blend, changing from Arabicas to Robustas which took place in many markets. Price has been one of the One of the key features of the international market last key drivers of this development as it is increasingly clear that year was the pronounced blend, changing from Arabicas to economically hard-pressed consumers have not stopped drinking Robustas which took place in many markets. coffee but have rather switched to cheaper blends. The resulting fall in Arabica prices and differentials has been tough on Ugandan Arabica farmers and dealers but the adjustments have been made COFFEE FUTURES MARKETS PRICES (Oct 11 - Sep 12) and the business model remains intact and profitable. 250.00 200.00 Most of the people we speak to seem optimistic about the prospects 150.00 for coffee production in Uganda and it seems increasingly evident
US CTS / LB CTS US 100.00 that the focus on coffee over the last few years is starting to pay 50.00 dividends. We are optimistic about volumes in the coming coffee - year; and with decent enough prices and satisfactory weather we can look forward to both improving volumes and excellent ROBUSTA - LIFFE ARABICA - ICE ARBITRAGE qualities across the range of coffees produced.
50th Anniversary Edition 7 8 50th Anniversary Edition Structured commodity trade Are you a trader or exporter of products produced or processed in Uganda? Stanbic Bank provides tailor made trade finance solutions to meet your specific needs. Richard Wangwe Head, Agriculture Uganda
We offer structured trade and commodity finance: Warehouse Receipt Financing Trade Finance Export Facility To facilitate procurement and bulking of commodities To finance the purchase of coffee produced in the for export or sold locally. current season by pre-financing firm fixed price, fixed quantity off take contracts entered into with Pre and Post Season Agricultural Commodity international buyers. Stanbic Bank advances financing Financing Facility to buy coffee from buying companies for export. Facility to finance the purchase, processing, packaging and exportation of commodities for The above can either be self liquidating international export. collateral managed or financed against fixed assets Collateral Managed Agricultural Commodity Our Structured commodity trade finance solutions Warehousing Facility ensure faster payments from international buyers in Collateral managed facility to finance the import addition to providing customized financial solutions to of cereals and grains, that will be released against meet your cash flows needs. payment by the client for the purpose of milling and subsequent distribution to local markets.
Trade Finance Coffee Procurement Facility For procurement of processed coffee produced by local farmers, for on-sale to international buyers.
Contacts us at: Stanbic Bank - Agriculture Financing 9th Floor, Short Tower, 17 Hannington Road, Crested Towers Building. P O Box 7131 Kampala. Tel +256 417 154 000/446/210
Stanbic Bank Uganda Limited A financial institution regulated by Bank of Uganda License Number A1. 01350th Anniversary Edition 9 UCDA MD’s Statement
wish to congratulate all the coffee stakeholders upon completion Henry Ngabirano of the 2011/12 coffee year. The year was characterized by reduced MANAGING DIRECTOR, UCDA I coffee volumes compared to 2010/2011 due to weather related factors, pests and diseases and price fluctuations. As a result, coffee exports for the year were down by 13.4% and 12.5 % in volume and value respectively.
Coffee continues to play a vital role in Uganda’s economy contributing to about 20-30% of the foreign exchange earnings and employing over 3.5 million households. Due to its importance the Government of Uganda has always taken coffee as a priority export crop and it has featured in its many programs such as: Prosperity for All Programme (PFA); National Export Strategy (NES); Plan for Modernization of Agriculture (PMA) and National Agricultural Advisory Services (NAADS), among others.
In order to increase production, the Government through UCDA, has increased the momentum in coffee replanting and rehabilitation programme, through mass production of Coffee Wilt Disease Resistant planting materials using tissue culture and this is aimed at increasing coffee production and productivity. Support has also been given to the coffee scientists to do more research given that many challenges are foreseen as a result of climate change. With this, it is envisaged that by 2015 coffee exports will have increased to 4.5 million bags from the current annual average of 3 million bags.
The International Coffee Organization (ICO) predicts that, coffee production for the coming year will increase at an estimated volume of 144.1 million bags an increase of 7.2% compared to 134.4 million bags in 2011/12. Global coffee consumption is increasing steadily at 2.4% per annum. There is a growing demand for sustainable coffees in consuming countries and therefore this is an opportunity that we need to exploit.
Value addition at all levels of the coffee value chain is being promoted through wet processing in both Arabica and Robusta coffees, a practice that has improved on the quality and incomes of the farmers. UCDA will continue to ensure that quality standards are adhered through enforcement of Coffee Regulations. His Excellence the President has come out strongly to emphasize the importance of maintaining high quality Ugandan Coffee while the Police and Local Authorities have allied with UCDA to enforce it.
On behalf of UCDA Board, Management and Staff I wish to thank all coffee stakeholders who are doing a tremendous work in adding value to coffee. Special thanks go to all those exporters and development In order to increase production, the Government partners who have taken the initiative of helping farmers in terms through UCDA, has increased the momentum in of inputs, trainings and financial assistance. This has tremendously coffee replanting and rehabilitation programme, improved on production and quality of coffee. UCDA will always through mass production of Coffee Wilt Disease partner with you as we strive to make Uganda a distinguished Resistant planting materials using tissue culture and this is aimed at increasing coffee production and producer of high value coffee. To all the participants in the 10th African productivity Fine Coffees Conference and Exhibition, I wish you good deliberations and a pleasant stay.
10 50th Anniversary Edition ED’s Statement
t the time of liberalisation of the Uganda coffee industry Betty Namwagala and the enacting of the UCDA Statute in 1991, it was only Executive Director - UCF Athe Coffee Marketing Board and the Cooperative Societies that were eligible to export coffee. When liberalisation took effect, the private coffee exporters faced tremendous challenges but had no forum for addressing them and therefore decided to form an Association that would provide a voice for them and thus the Uganda Coffee Exporters Association (UCEA) was born.
However, in 1996 the Coffee Exporters realised that they could not operate in isolation, and therefore the Association resolved to bring other players on board and these included the farmers, processors, traders, exporters, logistic companies, insurance companies and banks. Although the regulatory mandate was maintained by the Government, the expansion of Membership gave the Association an edge to take charge of their affairs including efficiency, profitability and investments. As a result, the expansion rendered the Association non representative; and therefore the emergence of Uganda Coffee Trade Federation that was emerged and was incorporated in 1996. The Federation developed various systems and instruments aimed at assisting the coffee traders to work in a professional manner in their transactions and efficiently respond to the market forces both locally and globally. UCTF made a landmark in the policy arena through advocacy that removed many constraints in the coffee business, contributed to capacity building and helped to build a critical mass in the industry.
Leaving the Comfort Zone-Time for Change While there has been some landmarks registered, there has also been growing pressure from some circles within the coffee value chain demanding for change. Hence at the 2nd Uganda Coffee Day of 6th October 2011 where the Coffee Fraternity was well represented and under the Nakanyonyi Declaration of 2011, the Coffee industry decided to that it was time for the Uganda Coffee ‘Trade’ Federation to shed off the “Trade” and become Uganda Coffee Federation. Overall the change was a noble call to better reflect the broad membership of stakeholders in the coffee industry yet by and large the Federation has continued to serve not only its members but the entire sub-sector through organising platforms for knowledge sharing, networking and building business relationships; training, and promotion among others. Some of the factors that led to this include but not limited to: • Both backward and forward integration of members along the value chain; • Feeling of exclusion by some members that are not directly involved in coffee trade; • Need to appeal to new audience and grow membership. The Federation developed various systems and instruments aimed at assisting the coffee traders The future of the Federation involves consolidating the past to work in a professional manner in their trans- achievements while scanning the environment for potential actions and efficiently respond to the market challenges and opportunities at all levels of the coffee value chain forces both locally and globally. to ensure a thriving and sustainable coffee industry in Uganda. The Federation will also continue to offer value for money services so that members remain competitive in the global coffee industry.
50th Anniversary Edition 11 12 50th Anniversary Edition “Coffee: A Commodity that has stood the times.” By Frederick S.M. Kawuma, Secretary General, Inter-African Coffee Organisation (IACO).
Introduction
offee hastemperatures. In addition, to do well, coffee also requires its origins rich, porous soil, and in return the tree will yield very Cin Africa. good beans. Coffee is the economic mainstay for dozens Ethiopia is the of countries and employs over 25 million people, most birthplace of of who live in rural communities. Coffee stands out Arabica coffee,among natural commodities, with a reputation of being while Uganda is the second most traded commodity after oil. Coffee has the birthplace of maintained its important position through the decades. Robusta coffee. It is remarkable that Arabica coffee is ideally grown at higher altitudes that from the humble Robusta, and tends to be mild in its taste compared to beginnings in Robusta which mainly grows in lowland areas and under Eastern Africa, harsher conditions. There are exceptions however, where the cultivation of Arabica coffee is grown at altitudes below 1000 metres coffee has spread around the globe, above sea level such as in Costa Rica, and where Robusta between the Tropic of Cancer and is grown at altitudes above 1000 meters above sea level in the Tropic of Capricorn. Nonetheless, Uganda. In fact, the latter explains why Uganda’s Robusta Ethiopia and Uganda have an enormous is unique in taste and flavour compared to many other genetic resource pool, with so many Robustas. Generally, Arabica coffee trees produce much different coffee varieties some of which bigger beans, which also have higher intrinsic quality and still grow wild, and which provide a have lower caffeine. Robusta beans are generally smaller, sizeable bank of genetic material for and the taste is a bit harsh, and with slightly more caffeine the coffee researchers in their breeding than Arabica. There are so many coffee varieties some of programmes, whether for productivity which are used for research purposes, and by crossing the enhancement, disease resistance or new species with other known coffees, researchers have weather tolerant purposes. While been exploring the introduction of two new features to disease outbreaks have threatened commercially cultivated coffee plants – coffee beans coffee at different times, and a host of without caffeine and coffee trees that are self pollinating. pests have attacked it, and there had However, the many varieties are not commercially viable, been fears that the crop could easily be leaving only Arabica and Robusta, which in 2009/10 wiped out, it has remained resilient. accounted for 93.4 million bags worth US$15.4, of which about 70% is Arabica and 30% is Robusta. Indeed coffee has weathered many challenges over the years, but its Why is Coffee Important? production has continued to grow, as The coffee beverage is a popular drink the world over. The has its consumption. Coffee is a tropical proliferation of cafes in North America and Europe has crop, and does well in growing regions especially helped to popularise the drink. Big brand names that have moderate sunshine and rain, such as Starbucks have influenced a coffee consumption steady temperatures, for Arabica around culture the same way MacDonalds set the trend for fast 20ºC and Robusta around 25 ºC. Coffee foods. The caffeine in coffee beans is reputed to be the key will not appreciate extremes of weather attraction, but even with decaffeinated coffee the aroma such as cold winters or extremely hot itself is a great attraction.
The views presented in this article are those of the author and not of the Inter-African Coffee Organisation (IACO) nor of its Member states.
50th Anniversary Edition 13 supported production systems have all contributed to There are intrinsic qualities in coffee that the decline, in different proportions. The lack of support make it a unique beverage, and it fulfils whether in research, extension or access to finance, have the desires of many from romantic to had devastating effects on the coffee industry. In most stamina for concentrated study, the latter cases, coffee is primarily grown by smallholders, and helping students to keep alert especially thus plays a vital role in rural employment and income in periods of preparing for examinations. assurance. With its decline in some of the cases, the An interview with a coffee drinker or effects on the population and rural economies have been enthusiast will definitely give you a far reaching. Unfortunately the decline has been great variety of reasons for the love for coffee. in Africa, losing almost 50% of its previous market share, And they are all valid! over the last two decades. Other producing regions have taken advantage of the global market opportunities, as African coffee producers have a relatively seen in the increase in global exports from 80 million bags high dependence on revenues from in 1990/91 to 103 million bags in 2010/11. During that coffee exports, and coffee is a commodity period, Africa’s coffee exports declined from 18.6 million that is responsible for the employment bags to 10.6 million bags. Thus, in a growing market Africa and livelihood of about a significant has lost market share. While the commodity itself has proportion of the population. Over the withstood tough times, and in spite recessions demand last two decades, several African nations has grown, Africa now faces the challenge of regaining its have implemented far-reaching policies position in the global market place. of reform and liberalisation in their economies and in the coffee industry According to the International Coffee Organisation (ICO), in particular. Sub-Saharan economies in 2010 the total coffee sector employment was estimated are agrarian in nature and have to make at about 26 million people in 52 producing countries. swift progress towards industrialisation World coffee trade statistics and information given by the in order to reduce their dependence ICO also shows that for many countries, coffee exports are on agriculture for both employment not only a vital contributor to foreign exchange earnings and foreign exchange earnings. While but also account for a significant proportion of tax income a number of African countries have and gross domestic product. reported successful oil exploration, and positive mineral prospects exist in others, agriculture has to be given special attention in order to ensure food security.
While some of the producers have been Over the last two decades, several hard-wearing, unfortunately due to a African nations have implemented variety of reasons some of the other far-reaching policies of reform and coffee producing countries in Africa have liberalisation in their economies and had significant decline in production. Civil strife, inefficient marketing and poorly in the coffee industry in particular.
14 50th Anniversary Edition For several countries the average share back to the fold. However, they should not be taken for of coffee exports in total export earnings granted as they can easily move their investment into exceeded 10 percent in the period 2000– other higher income generating ventures, if they present 2010, although the importance of coffee themselves, and coffee lets them down. It is therefore for many countries is diminishing over imperative that in each country a system of support for time as their economies diversify. The the coffee sector is established, through private sector African countries that recorded significant networks and initiatives to adequately address the value dependence on coffee earnings were chain bottlenecks that may exist. If this is supported by a led by Burundi whose average share of policy framework that enhances efficiency and promotes coffee exports in total export earnings was business transactions, there are many positive ripple reported as 59%. Ethiopia was at 33%, effects that will be experienced. Rwanda at 27% and Uganda at 18%. Where will the Hope come from? The Imminent Threat Whereas production has declined in Africa, Brazil and The media keeps providing new Vietnam have significantly increased their production, information and statistics on environmental while the production in India too has been resilient. degradation, global warming, and so on. All In Africa, Ethiopia has taken the lead to ramp up these have a serious bearing on the coffee its production and others indicate that they will be industry because production may be even revamping their coffee sectors. If this becomes a reality, more endangered in some regions. Studies it will give hope to the consumers who are worried that have indicated that coffee consumption is their beloved beverage might become a dream. increasing at a rate of 2-3 percent a year, but other facts relating to production systems show that coffee supply in the long-term may be threatened by environmentally- damaging farming methods. It is also feared that farmers could switch to other crops or abandoning their land completely. This has already happened in Kenya, where coffee production has progressively shrunk as some coffee farms have been turned into real estate developments, while in some cases horticultural farming has been found more lucrative, and coffee trees have been replaced with other higher-income crops. Nevertheless, there have been those who have persisted and some of these continue to obtain rewarding prices at the coffee auction. It is not only in Africa where production has declined, as the same trend has been seen in Colombia where almost two thirds of the original volume of production has been shed! Uniform flowering and ripening of coffee is almost non existent in Uganda and most especially Robusta growing areas. . In different African countries, several studies have been undertaken over the years, in the agricultural sector, identifying certain crops as possessing great potential in terms of boosting the rural economy, and uplifting the welfare of the producers. For instance, in Uganda farmers were encouraged to rear silk-worms, grow vanilla, and some food The media keeps providing new information crops which would have been able to obtain and statistics on environmental degradation, better prices than those for coffee, but value global warming, and so on. All these have a chain constraints made it impossible to serious bearing on the coffee industry because realise the farmers’ dreams. Subsequently, production may be even more endangered in those who had abandoned coffee came some regions.
50th Anniversary Edition 15 Ethiopia, the natural home of the Arabica tree, is Africa’s non-tariff barriers that that restrict access of processed top Arabica exporter and leads the continent in domestic coffee products on the market in Organisation for Economic consumption. Co-operation and Development (OECD) countries. As long as African producers export unprocessed green coffee, it The strategy of the Ethiopian government to support is subject to the vagaries of extreme price fluctuations on the replacement of old trees and replanting new areas is the commodity exchanges. If a good proportion of the paying dividends as annual production and export figures exports were in the form of finished products ready for increase. Coffee is very significant in the lives of about 12 consumption, earnings would be more stable and would million Ethiopians who make their living from it, and this be substantially more than is the case with raw products. has serious macro-economic ramifications. With Ethiopia There are however, opportunities for developing the setting such a good pace, there are many lessons for other market within the African coffee consuming countries, African producing countries. Other countries, especially where benefits of the Regional Economic Communities Uganda, have attempted to follow Ethiopia’s example, but could be explored. are still a long way off. Ethiopia and Kenya have the greatest number of coffee researchers, and this also reflects on While the coffee market continues to be characterised the progress that has been made in the introduction of by strong demand from industrialised countries, African new planting materials, albeit Kenya has its own special producers have been largely unable to take advantage of problems that have inhibited coffee’s expansion. In the this market opportunity. For instance, the United States is case of Côte d’Ivoire, once Africa’s leading coffee producer, the biggest importer of coffee – accounting for more than civil strife decimated their crop but the sector is on its way 26 million 60-kilo bags in the calendar year 2011, according to recovery, and has very good promise. to the International Coffee Organisation (ICO). In terms of expenditure on coffee, the US spends approximately The African Coffee Research Network is promising a US$8.62 billion on coffee (imports) in the same year. The coordinated effort in addressing the research constraints ICO figures also show that Germany imported 20.9 million in Africa so as to provide the direction that the industry bags in 2011, worth about US$5.9 billion. Europe is the can take to emulate Brazil and Vietnam in increasing most important destination of African coffee, accounting productivity, while also ensuring that high quality coffee for over 90% of African coffee exports, all in the form is produced. One of the efforts that are needed is to of green coffee.1 The contrast is that while a 250-gram build the capacity of the coffee research institutions in pack of coffee will cost about US$5 on the shelves in the Africa, boosting the scientists, and providing the needed consuming countries (about US$20 per kg), the African resources, in order to address the concerns of the industry exporter may receive a price of US$1.50 per kg, and due with cutting edge research and innovations that will bring to the tariff and non-tariff barriers is unable to access the Africa back into the league of global coffee leadership, market for the finished product. When all the value added especially in quality terms. Through various collaborative to the product is in a developed country, the producing efforts, African coffee producing countries will be able to country fails to benefit from all the multiplier effects of share technologies, have exchange visits to share in best processing at origin. But this could be addressed through practices, promote policy reviews and appropriate actions targeting the African market for coffee – including the to revamp the coffee sector and seek joint technical North African countries, the Republic of South Africa and cooperation. the Middle East market.
African coffee producing countries suffer the fate of being 1 According to Statistics from FAO, the majority of coffee imports exporters of raw commodities, and where attempts are into the OECD countries from the producers occur in the form of green, made for value addition there are a number of tariff and unprocessed coffee -- 98% of American imports and 94% of European imports are raw, unroasted beans.
16 50th Anniversary Edition Thus a proportion could be exported as finished product; some could still go as green coffee, and also as premium or certified coffees.
It is noted that in most African countries there has been an emphasis on export volume where the pre-occupation has been with how to increase production. However, there has been a lack of investment in quality improvement, and coupled with poor planning and execution of any existing improvement agenda, and thus there has been prevalent low quality and declining productivity per hectare.
Another unfortunate trend has been the prevalence of most African coffee exports ending up geographical origin, which could be a single farm, or a an as commercial coffees, in the mass-market for agglomeration of coffee grown within a given locality or coffee in Europe. In spite of the declining trend in even from a single country, with unique characteristics. some African countries, there have been emerging innovations as seen in the new investments in When coffee is marketed as single-origin, the name estate production, in some parts by the new middle of the coffee is then usually the place it was grown to class while in others by foreign investors, which has whatever degree available, such as Yirgacheffe, Sidamo, altogether shown that coffee in Africa is resilient, Nyeri, Bugisu, Kilimanjaro, Mzuzu, etc. Single-origins are and will stand the test of time. viewed by some as a way to get a specific taste, and some independent coffee shops have found that this gives them a way to add value over large chains. Estate coffees are Conclusion a specific type of single-origin coffee. They are generally grown on a single farm, such as Mringa Estate in Tanzania, According to Hubert Weber, the global head of coffee Mzima Estate in Kenya, which might range in size from at Mondelez International Inc., the coffee industry a few acres to large plantations occupying many square risks running short of beans in coming years, if miles, or a collection of farms which all process their sustainable farming methods are not promoted. coffee at the same mill, such as the Kaweri in Mubende, Mondelez is a company that was carved out of Kraft Uganda or Munali farm in Zambia. Sometimes, micro-lot Foods Inc in 2012, and this may have been done so coffees are another type of specific single-origin coffee as to specifically focus on getting the right coffee from a single field on a farm, a small range of altitude, and for the future, in anticipation of the market needs specific day of harvest, and the Nairobi Coffee Exchange and tastes. In fact, in 2013, Mendelez is targeting sells many lots of this type. to source 65% of their coffee from sustainable production systems. It is certainly setting a good Indeed, I dare say, coffee has stood the test of time as pace for other players in the industry, and producers a commodity that is so dear to both its producers and are looking forward to receiving rewards for the consumers. Some have done a lot more than others in effort in their investments in sustainable farms. investing in research, production and even marketing, while others have done less. Some far too less than As investment in estates picks up, and farmer others! The test for the future is to see who will have groups sell their coffee either as a cooperative or taken more seriously their verbal or written commitments farmers association, there are opportunities in the or even political promises, beyond mere rhetoric, and market that can be grasped, of single origin coffees. demonstrated that they care for the producers of this African coffee producers can take advantage of valued commodity. The consumers will be delighted to this opportunity, whether it is for green or roasted know that something is being done, hopefully more that coffee. What is marketed as single-origin coffee they expected, to ensure that they will continue to enjoy is coffee that is grown within a single known the pleasure that comes from a lovely cup of coffee.
50th Anniversary Edition 17 UGACOF Limited, Bweyogerere, Kiira P.O. Box 7355, Kampala – Uganda Fax: +256 312 250020, Tel: +256 414 286288 / 126 E-mail: [email protected] 18 Web: www.ugacof.com 50th Anniversary Edition MINISTRY OF AGRICULTURE, ANIMAL INDUSTRIES AND FISHERIES COFFEE’S CONTRIBUTION TO UGANDA’S ECONOMIC DEVELOPMENT SINCE INDEPENDENCE By James Kizito-MayanjaPrincipal Information Officer, UCDA
2 History of Coffee Production in Uganda Uganda grows two types of coffee: Robusta and Arabica in the ratio of 4:1. Whereas Robusta was originally grown around Lake Victoria, Arabica, it is believed, originated from Malawi, hence its original name, Nyasaland. By 1914 European and Asian farmers had established 135 coffee plantations, occupying 58,000 acres of land. However, the crop was abandoned when prices fell in the 1920s. Coffee production was left to African smallholders, though at first the acreage was insignificant, by 1931, only 17,000 acres were under cultivation. The Coffee Board was set up in 1929, later becoming the Coffee Industry Board (1943) and then Coffee Marketing Board (1959).
The colonial government, eager to see the development of cash crop economy, divided the country into agro- 1 Introduction ecological zones, each specializing in a specific crop: offee continues to play a pivotal role in the tobacco in Acholi (Kitgum and Gulu), cotton in West Nile Ugandan economy contributing immensely and coffee in the Central region. In the 1950s extension Cto the export earnings to the tune of US$ 449 workers promoted a coffee-planting programme that million and US$ 393 million in Coffee Years 2010/11 saw coffee production reach 2 million 60kg bags by and 2011/12 respectively. It provides a livelihood to the early 1960s and more than 3 million by 1969/1970. about 1.32 million households out of the 3.95 million Civil wars during the 1970s affected coffee production agricultural households. Government has given coffee that reduced to about 2 million bags. These were also priority in the Ministry of Agriculture, Animal Industry exacerbated by the war in Luweero Triangle, a major and Fisheries’ Development Strategy and Investment coffee region from 1981-1986 (see graph 1). Plan (DSIP) as well as the National Export Strategy-NES (2008-2012) and its corresponding Gender Dimension Coffee continues to play a pivotal role UGACOF Limited, Bweyogerere, Kiira of the NES. All these interventions are in line with the in the Ugandan economy contributing P.O. Box 7355, Kampala – Uganda overarching National Development Plan-(NDP (2010/11- immensely to the export earnings to Fax: +256 312 250020, 2014/15) envisaged transforming the Ugandan economy the tune of US$ 449 million and US$ Tel: +256 414 286288 / 126 from a peasant economy to an industrialized modern one 393 million in Coffee Years 2010/11 and with a vibrant private sector. E-mail: [email protected] 2011/12 respectively. Web: www.ugacof.com 50th Anniversary Edition 19 and promoting coffee consumption domestically and Chart 1: Uganda's Coffee Exports and Value Since Independence 600 5 abroad. It was also responsible for implementing the
500 4 ICO quota system; 400 3 x. The two main functions of CMB were to export coffee 300 Millions 2 Millions and also to institute a minimum price for coffee 200 100 1 producers at the beginning of each cropping season, 0 0 setting marketing margins for private buyers. A central processing unit was constructed in 1967 with 1964/65 1969/70 1974/75 1979/80 1984/85 1989/90 1995/96 1999/00 2011/12 2004/05 2004/05 a capacity of 120 MT/hour; Coffee Years xi. Government’s diversification plan developed in Quantity (Million 60 Kilo Bags) Value in US $ Million 1966/67-1970/71; Source: UCDA Database xii. Coffee Rehabilitation Project (CRP) funded by European Economic Community (EEC) in 1982 aimed at reversing the declining coffee volumes by 3. Achievements in the Coffee Sector improving extension service delivery-pruning for both Robusta and Arabica and spraying in Arabica since Independence growing regions, coffee nurseries and acquisition of i. Cooperative Movement: started in 1913. The farm inputs, enhanced processing capacity of hullers Cooperative movement was very powerful with very and rehabilitation of agricultural training institutions; strong cooperative societies and unions: Bugisu xiii. Farming Systems Support Programme (FSSP), a sequel Cooperative Union, Sebei Cooperative Union, West of CRP which started in 1991 in 13 districts out of 25 and East Mengo Cooperative Unions, Wamala growing coffee then and focused on the coffee farming Cooperative Union, Masaka Cooperative Union, system as a whole. FSSP had 2 components: research Banyankole Kweterana Cooperative Union, Okoro and extension. This intervention was envisaged Cooperative Union, Busoga Co-operative Union with increasing yield per unit tree/area, improved quality coffee as a major commodity marketed. Currently, and release of some land to other crops. FSSP also it is only Bugisu Cooperative Union and Banyankole had a deliberate strategy of replacing the old non- Kweterana Cooperative Union which are still productive trees with the genetically pure and functional although Masaka Cooperative Union is also improved clones propagated by rooted cuttings; rebranding currently; xiv. In 1990, government liberalized the coffee industry as ii. In 1955, a Price Assistance Fund (PAF) was set up to cushion farmers against volatility in global coffee part of the IMF Social Adjustment programs (SAPs) that prices. This encouraged farmers to plant more coffee; emphasised privatization, liberalization and abolition of monopoly of marketing boards, CMB inclusive; iii. Uganda Cooperative Alliance was established xv. Partial release of 7 Coffee Wilt Disease Resistant lines in1961 to oversee the operations of the unions and by NARO; cooperative societies under them with the ultimate xvi. Replanting Programme under Strategic Export aim of empowering farmers and their cooperatives to Programme-Poverty Action Fund (2001-2004); market their produce profitably and sustainably; xvii. Continuous breeding for resistance to pests, diseases and drought in Robusta and Arabica areas; iv. Coffee farmers’ welfare changed considerably. xviii. Establishment of Farm Field Schools to disseminate Farmers who sold coffee started constructing iron technologies to farmers; sheets roofed and tiled houses especially in Buganda xix. Establishment of a private tissue culture laboratory region, bought motorcycles (Mwanyi Zabala) at AGT Buloba to complement the government , acquisition of more land and marrying more wives!!! laboratory at Kawanda Agricultural Research Institute v. There was a Cooperative credit scheme in 1961 (FAO) (KARI); administered by Co-operative Department of the xx. Formation of associations in the coffee value chain- Ministry of Co-operatives and Marketing; National Union of Coffee Agribusinesses and farm vi. Uganda ratified the International Coffee Agreement in Enterprises (NUCAFE), Uganda Coffee Farmers Alliance 1962; (UCFA), Uganda Coffee Federation (UCF) to cater for vii. Progressive Farmers Loan Scheme that provided specific constituents. credit to progressive farmers abandoned in 1964 xxi. Coffee farmers have continued to obtain viii. Uganda Census of Agriculture was conducted in about 70% of the export (FOB) price. Farmers’ 1963/65 and reported that 42% of the farmers in earnings from coffee rose from UGX. 105 billion Uganda grew Robusta coffee; in 2002 to UGX. 777 billion in 2012. ix. Coffee Marketing Board was established in 1959 with a monopoly control over coffee exports, internal marketing, quality control, collection of coffee tax
20 50th Anniversary Edition Among these are: formulation of a draft national coffee 4. Vision, Mission and, Mandate of policy, the draft national coffee strategy and revision of the coffee regulations 1994 to address the rapidly changing UCDA dynamics of the coffee industry both domestically and UCDA was established in 1991 to develop, regulate and globally. promote the coffee industry in a liberalized environment. UCDA’s vision is ‘Making Uganda a distinguished producer of high value coffee’. Its mission is ‘to promote and develop 5. Current Projects, policies and the coffee industry through provision of clean planting materials, support to research, quality assurance and Programmes being undertaken by provision of timely market information to stakeholders and any other matters therein’. It is governed by an industry UCDA based Board of Directors comprising representatives of farmers, processors, exporters; and one member from Projects each of the key line ministries - Agriculture, Animal • Northern Uganda Coffee Project; Industry and Fisheries; Trade, Industry and Cooperatives; • Netherlands Trust Fund Coffee Project with assistance and Finance, Planning and Economic Development. The from the International Trade Centre; Board provides strategic direction of UCDA and also • Development of Robusta Protocols with assistance evaluates Management’s performance of the planned from the Coffee Quality Institute, USA; interventions. • Organic Coffee Project in South-Western Uganda Good governance including corporate social responsibility (Kisoro); (CSR), neutrality, transparency, professionalism, integrity, • Quality Improvement project with USAID aBi-Trust. accountability to stakeholders and respect for the environment are values UCDA cherishes passionately. Policies • Draft National Coffee Policy UCDA has three technical departments and one • Draft National Agricultural Policy service department. The technical ones are: Quality • National Organic Agriculture Policy and Regulatory Services; Production and Strategy and • National Trade Policy Business Development and the other, the Finance and Administration. UCDA is a focal point for all international Programmes coffee matters. 1. Coffee Production Campaign 4.1 Objectives Under this campaign, exportable production is The statutory objectives of the Authority are to:- envisaged to reach 4.5 m 60-Kilo bags by 2015. This is hinged on four thematic areas: Research, Extension, 1. Promote, improve and monitor marketing of coffee to Inputs and credit and Farmer Organisations. District optimize foreign exchange and farmers’ earnings; Coffee Platforms and Steering Committees have been 2. Guarantee that the quality of coffee exports meets set up oversee the Coffee Action Plans. international standards; a. Research 3. Develop and promote the coffee and other Under research, multiplication of the 7 lines resistant related industries through research and extension to coffee wilt disease (CWD) is being undertaken with arrangements; propagation through vegetative means (cuttings 4. Promote the marketing of coffee as a value added and tissue culture). We are currently at the hardening product; stage of the coffee seedlings raised from the tissue culture laboratory at AGT Buloba. Nursery operators 5. Promote domestic consumption of Uganda coffee; with adequate facilities will be selected to undertake 6. Harmonize activities of coffee sub-sector associations this important stage in the multiplication after which in line with industry objectives; and the seedlings will be distributed to the farmers. 7. Formulate policies related to the coffee industry. Breeding for diseases and pests as well as drought resistance continues to be conducted at Coffee In order to contribute to the President’s Manifesto 2011- Research Institute (COREC) at Kituuza. 2016, UCDA has undertaken specific programmes to address production and productivity; marketing and value addition as well as ensuring an enabling policy and institutional environment to increase its efficiency and effectiveness in service delivery.
50th Anniversary Edition 21 The demand driven approach using the community based nurseries ensures that farmers raise their seedlings which are shared out among themselves and a surplus sold.
UCDA provides seed, polypots and technical advice
One of the Community Based Nurseries
Farmers who have adopted the new technologies have increased their yield per tree from a low of 0.5 kg to around 7 kg of clean coffee (Kase). Farmers are receiving a gross income of Shs. 8.64mln per hectare per year for Robusta and Sh.9.6 ml per year for Arabica. Through farmer competitions in which application of agro-inputs is assessed among other parameters, best farmers have been rewarded with prizes such as spray pumps, fertilizers, pruning saws, secateurs, solar panels. This has led to improved husbandry practices.
b. Extension & Technological Transfer authorities. The leaders do mobilize the farmers, with special emphasis on special interest groups UCDA has continued to implement a Community – the youth, disabled and women groups. UCDA Based Nursery (CBN) approach to meet the growing has distributed seedlings to these groups as well as demand for clean planting materials under the providing technical assistance. replanting programme. In this programme farmer groups receive certified coffee seed and technical C. Inputs and Credit guidance. A total of 1,244 CBNs have been established In partnership with Uganda National Agro-inputs Dealers’ with a capacity of generating 20 million seedlings per Association (UNADA), over 900 agro-inputs dealers were year. Local leaders, NAADS and development partners trained in proper agro-inputs use. Joint programmes have been very supportive in this area. by district coffee platform ensure that farmers are also Demo sites in most sub-counties to serve as Farmer trained in proper use of agro-inputs. The target is to have Field Schools (FFS) have been set up at sub county at least one agro-inputs dealer in each sub county in the level through which productivity enhancement coffee growing districts. technologies from research centres are passed on to On availability of credit, a number of farmer associations farmers. This has led to increased productivity and have set up savings and credit schemes for ease access to production. agro-inputs by members. For examples: Nsangi Coffee UCDA continues to offer extension services along Farmers Savings and Credit Association; and Paidha with NAADS, District Agricultural Offices and local Coffee Farmers Association in Wakiso and Nebbi Districts, respectively.
22 50th Anniversary Edition a. Farmer Organizations Collaborating with the National Union of Coffee Agribusinesses and Farm Enterprises (NUCAFE), Uganda Coffee Farmers Alliance (UCFA), Uganda Coffee Federation (UCF) and other stakeholders, coffee farmers continue to be mobilized into viable economic units. This has invariably eased provision of extension and financial services to industry players, leading to improved quality and bulk marketing. To date, 155 farmer association and 1,170 producer organizations have been established and legally registered under NUCAFE and Good post harvest handling practices guarantee UCFA respectively benefitting quality and better income over 200,000 farmers.
2. Sustainable Coffee Initiatives UCDA, in partnership with the private sector, is seizing the opportunity of the growing demand for Sustainable Coffees. In the national coffee strategy, UCDA targets farmers to produce 25% of coffee as Robusta dry cherries FAQ – Kase (Kiboko) sustainable coffee by 2015. Over 50,000 farmers have been registered with UCDA to produce coffee Farmers adding value and shifting from selling dry in the various sustainable and specialty initiatives: cherries to selling Fair Average Quality (Kase) Organic, Common Code for Coffee Communities 4. Quality Improvement and Value addition (4Cs), Fair trade, Utz Certified and Rain Forest Alliance (RFA). Some exporting companies such Value addition at farm-gate is being undertaken through as Kyagalanyi Coffee Ltd., Ibero (U) Ltd., Kawacom promotion of wet processing in Arabica and Robusta (U) Ltd, Good African Coffee, Gumutindo, and coffees, a practice that has greatly improved quality and Kaweri Coffee Plantation are working directly with returns to farmers. these farmer groups. Farmers in the Mt. Gorilla area (Kisoro), selling direct to Urth Caffe, USA received cattle; pulpers, water tanks, drying trays To promote domestic coffee consumption, UCDA has and tarpaulins to improve quality. These coffees partnered with the private sector to come up with attract a price of around $ 300 per tonne over the Ugandan coffee brands that occupy shelf-space in major conventional market. supermarkets in the city and towns. The favourable investment climate prevailing in the country has indeed 3. Coffee Production in Northernattracted investment in Cafes, Restaurants and Hotels Uganda where out-of-home coffees are served. A Special Intervention Programme for commercial coffee production in the districts of Acholi and Lango was developed. Close to 400 farmers in 23 sub-counties have planted around 500,000 UCDA, in partnership with the private coffee trees, intercropped with bananas to ensure sector, is seizing the opportunity of the household food security. UCDA gives farmers coffee seedlings, banana suckers and shade tree growing demand for Sustainable Coffees. seedlings. In the national coffee strategy, UCDA targets farmers to produce 25% of coffee as sustainable coffee by 2015.
50th Anniversary Edition 23 A variety of choice of Ugandan coffee brands
5. Provision of timely market information Conclusion Overall the importance of coffee to the Ugandan This is done on daily, monthly and annual basis economy cannot be over-estimated and its priority in reflecting the performance of the domestic and all Government’s policies and interventions is clear. Its global coffee markets through the website (www. strategic position as a poverty reduction enterprise ugandacoffee.org), radio programmes and mobile contributes significantly towards not only to the first phones (SMS-7197). UNDP’s millennium development goal but also the third, seventh and eighth goals which deal with gender equality 6. Enforcement of Coffee Regulations and women empowerment; environmental sustainability; and overseas development assistance respectively. From This is being done in collaboration with other the above outlook, UCDA programmes are geared towards stakeholders such as the Police and Local authorities. value addition along the coffee value chain to make it To ensure that coffee exported meets international more competitive both nationally and internationally. standards, all coffee lots undergo quality inspection It also acknowledges different stakeholders including and certification. development partners whose interventions in different areas along the coffee value chain with appreciable 7. Development of Robusta Protocols investments in the coffee industry in Uganda.
To enhance Uganda’s Robusta as a unique origin, Physical Address protocols have been developed for Robusta to Uganda Coffee Development Authority compete favourably in the Specialty segments of the Coffee House, Plot 35 Jinja Road market. This will boost Uganda’s export revenue and P.O. Box 7267, Kampala more importantly, farmers’incomes. General Line Tel: 256-414-256940/233073 256-031-2260470 Fax: 256-414-232912/414256994 Website: www.ugandacoffee.org
24 50th Anniversary Edition Plot 2219/2377, Bweyogerere, P.O.Box 14625, Kampala,Uganda Tel. +256 (0) 312 202425/6, Fax. +256 (0) 414 285684 www.armajarotrading.com 50th Anniversary Edition 25 Word from the MD Ugacof
am extremely honored to be part of this edition of the coffee year book. It’s an honor in a sense that I throughout the industry I find this publication very insightful and informative. Congratulations to the editorial !
I bring you warm greetings and Happy New Year wishes from Ugacof directors, members of staff and our business partners. it’s the combined efforts of this strong team at UCF that our company continues to play an important role in the industry.
The just concluded year was exciting and challenging in many respects, but I will restrict my observations to just two prominent exciting developments as we collectively ponder in an effort to overcome the challenges. The first and fore most was relative stability of the prices in the local market which directly benefits the first tier stakeholder (The farmer). It’s a common consensus that when a farmer has a smile it translates to the industry performance.
The second observation is the energized efforts to embrace the research. It was refreshing at the previous coffee day at Kituza research centre to hear the impassioned vigor of players about this vital aspect of ensuring crop sustainability.
We at Ugacof continue to walk our vision and mission which are geared at working with foot soldier (Ugandan coffee farmer) on the small farm and to ensure we keep holding the mantle high up as East Africa’s model in the coffee trade. We are currently working with over 10,000 farmers in our Kinoni, Masaka and Iganga areas. We are in the final stages to engage more farmers in the districts of Kamuli,Buikwe and Kayunga.
Ugacof is a trend setter in improving processing technology. We have invested in new processing machines and Robusta washing stations in different parts of the country. We are confident that such efforts will raise the bar and set the trends in attaining high quality Coffee in the region. I need to add our gratitude to the UCDA and other stakeholders in the sector for consolidating efforts towards quantity and quality improvement.
Ugacof predicts a brighter future for Uganda’s coffee sector and we are very much committed in maintaining both our presence and partnerships for a better coffee sector and Uganda . Enjoy the new season.
Kailash Natani.
26 50th Anniversary Edition aBi Trust and Coffee Value Chain Development in Uganda
he aBi Trust strategy supports market driven enterprises using a value chain approach Tfor specific commodity groups. Through a value chain analysis, opportunities, constraints and actors are identified to improve efficiency, effectiveness and competitiveness through technical and financial support. aBi Trust develops the Coffee value chain at three specific levels namely Global focus, National focus, and Partners (specific interventions through partners).
Globally, aBi Trust in collaboration with Uganda Coffee Development Authority (UCDA) supports the development, differentiation and validation of protocols for speciality coffee. Since Uganda is the birthplace of Fine Robusta coffee, our support to the Coffee Quality Institute (CQI) in collaboration with UCDA has developed and validated grading and cupping protocols. Robusta coffee can now be traded as a speciality coffee (Fine Robusta). The Trust facilitates the enabling environment at the National level through support to different institutions and fora; through Café Africa, the National Coffee Steering Committee (NCSC) is supported to address and devise strategies for the coffee sector development.
In collaboration with the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF) and UCDA taking lead, a National Coffee Policy has been developed. Support has been extended to the Uganda Coffee Federation (UCF) to develop its strategy; Uganda National Bureau of Standards (UNBS) through collaboration with UCDA is developing the code of practice to pursue OTA challenges. Developing and validating cupping and grading protocols and profiling of Uganda’s coffee is underway.
The current Coffee extension material is under review to suit the changing trends in collaboration with UCDA. Funds have been committed on the National Enquiry Point (NEP) and Centre of Excellence (CoE) as our areas of focus.
50th Anniversary Edition 27 National Organic Movement of Uganda Post-harvest technologies that include drying sheets, (NOGAMU) was supported in collaboration poly tunnels, GrainPro® products and washing stations with HIVOS to develop Production Manuals for Arabica and Robusta are being promoted among for Organic Robusta and Arabica growing farmers. systems in Uganda. In Uganda, collateral requirements pose a challenge for the agricultural sector participants who try to aBi Trust through Implementing Partners source funding for the different activities along the (IPs) supports several interventions which value chain. aBi established board guarantees to will result in increased incomes and help address the issue of lack of collateral and to help employment. deepen financial services through loan guarantee schemes and lines of credit. The IPs are usually Farmers Organisations (FOs), Enterprises (including small, These services are undertaken by financial institutions medium and large) and Business that have at least a 3% loan portfolio with agribusiness Development Services (BDS) providers. and a rural outreach network, among other The Trust facilitates market access mainly requirements. Enterprises including those along the through certifications for sustainability coffee value chain can access services from these (4C, UTZ, RFA and Organic among others) banks. and speciality coffees including Q and R fine coffees. Through financial services, many rural financial institutions like Opportunity Uganda, CRDB, Over 10 central washing stations HOFOKAM, and several SACCOs have received support mainly eco-pulpers and several hulling from the Trust to reach farmers. facilities have been supported under value addition. Addressing productivity At the producer level, Village Savings and Loan enhancement, Good Agricultural Practices Associations (VSLAs) are supported to harness are promoted through support to farmer financial discipline and cohesion among groups which field demonstrations, and nurseries for make adoption of other interventions easier. clean planting materials. In collaboration Gender for Growth (G4G) uses the household with UCDA, 18 nurseries have been approach through Farming as a Family Business supported to multiply the CWD-r material (FaaFB) to improve the livelihoods of farmers. Many and through IPs directly to make planting families have improved their incomes through vision material affordable and accessible. setting and joint planning.
The main focus is establishing mother gardens and nurseries for both Elite and Over 10 central washing Clonal coffee seedlings. Through a cost- stations mainly eco-pulpers share grant with Royal Plant Nurseries, and several hulling facilities the Trust is facilitating tissue culture have been supported under technology and weaning/hardening. At value addition. Addressing the nurseries aBi is promoting shade tree productivity enhancement, Good seedlings production under our Green Agricultural Practices are promoted Growth initiative because Climate Change through support to farmer field is negatively impacting coffee production. demonstrations, and nurseries for clean planting materials.
28 50th Anniversary Edition awacom, the Ugandan subsidiary of the ECOM The Bushenyi project for example constructed 2 nurseries, Group, was founded in 1996 and has been at the each housing 200,000 seedlings, and planted a mother Kforefront of Uganda’s coffee export trade for 17 garden, from which cuttings have been, and will continue years. The company has grown significantly since 1996, to be distributed to farmers. from a small company in rented premises, to a market leader, with processing units and buying stations A central pulpery throughout the country. near Sipi trading centre, in the Eastern part of Uganda was We believe the also established reason for the where centralized growth, is our wet processing focus on quality of the coffee and innovation, cherries guarantees and a continued consistent level of quality and crop control. Additionally, desire to bring the the wet mill is equipped with a dryer which ensures best of Uganda’s optimal drying of the processed parchment as well as a coffee to the world. state of the art Retractable Drying Roof structure.
Kawacom is recognized as the guarantor of high quality Kawacom’s Robusta and Arabica coffee within Uganda. Over the purchasing system last 13 years the company has positioned itself as the is such that farmers market leader in innovation, having spearheaded the conveniently deliver development of the first organic coffee projects in the fresh coffee cherries country. for collection and transportation to In 1998, Kawacom started the development of Certified the pulpery. The Coffees in Uganda and has continued to work closely high quality coffee with farmers which has led to the establishment of 8 attracts both higher projects, in the districts of Kapchorwa (East); Bugisu value and increased Arabica Coffee, Bushenyi (West); Robusta Coffee, Paidha demand resulting in an improved income to the farmers, (North West); Arabica Okoro Coffee, Kasese (Southwest); who have also undergone training on coffee handling in Drugar (Dried Uganda Arabica), Rukungiri (Southwest); the newly commissioned Farmers Training center. Natural Robusta, and 3 projects in Central region to boost the Natural Robusta volumes; Kiboga, Kikyusa and At Kawacom, coffee Kayunga. Kawacom is the only exporter that offers UTZ is more than just certified Drugar in Uganda. a business. It is a commitment to a Pioneering as the first producer to export Organic country, its culture and UTZ certified coffee, Kawacom continues to work and its incredible with farmers and their communities to ensure quality biodiversity. and sustainable agriculture and has recently acquired Rainforest Alliance certificate for Bugisu and Okoro coffees.
In addition to our already well established projects, we are playing our part in attempting to reverse the declining trend in coffee production. Kawacom has established coffee production and quality enhancement project nurseries in almost all areas of operation.
50th Anniversary Edition 29 Milestones of the Century in Trade and Marketing Coffee in Uganda and Strategies for the next Century
1938 in search of migrant labour, as people sought to sell MILESTONES OF THE CENTURY their labour in exchange for money. They settled in areas where they could find jobs according to their skills. Those Where it all began with farming experience found jobs in cotton and coffee growing areas in Buganda and parts of Eastern Uganda. orld over, there has always been This resulted into the introduction of colonial policies and ethnic integration groups and the monetary economy in Buganda and Uganda at large. Win Uganda, the story about immigration goes back to the 1920s where pull economic factors as cultivating cotton The Monetary Economy and later coffee that required a lot of labor led to massive migration from especially After the defeat of Bunyoro by the combined force of Rwanda and Burundi where immigrants British and Buganda in 1894, Buganda became a core entered Uganda in search of work. More of the protectorate, to make the protectorate self- immigrant workers came from Kenya supporting; the authorities introduced first cotton then and then Tanganyika. Famine moved big coffee as export crops in Buganda, before introducing portions of ethnic groups in search of food; them in other regions. apparently, a famine in Rwanda in 1948 frightened the Protectorate government By introducing taxes, the colonial Government made the into declaring a curb on migration for fear entire country get involved in the monetary economy. of Uganda’s food stocks being overtaxed, The hut tax of 1900 became the main encouragement an act based on earlier experience. Other for Baganda to grow cotton and coffee. It also became factors that led to the influx included wars; the main impetus forcing other ethnic groups to come to traders have always been found in unlikely Buganda, where opportunities to earn money existed so places, and Buganda was a major traders’ as to uplift their status, and meet their urgent needs. paradise. However, it was recorded that, as early as 1848, an Afghani was at the palace Before World War I, commoners were used on the Cotton of Kabaka Ssuuna, looking for business Estates but as time passed, they bought small parcels of opportunities. There was massive movement land from their erstwhile landlords. This land fragmentation of people from all around the Interlacustrine was aided by the British, who in 1927 forced the chiefs to region estimated at over 100,000 annually in limit severely the rents and obligatory labour they could
30 50th Anniversary Edition demand from their tenants. Thus the oligarchy of landed chiefs who had emerged with the Buganda Agreement of 1900 declined in importance, and agricultural production shifted to independent smallholders, who grew cotton, and later coffee, for the export market.
Later on as Sir Andrew Cohen, prepared Uganda for independence, he removed obstacles to African cotton ginning, rescinded price discrimination against African- grown coffee, encouraged cooperatives, and established the Uganda Development Corporation to promote and finance new projects. A typical village in Buganda, where different ethnic groups had settled, became a centre of economic activity. There was mutual benefit from the co-existence of these people, and coffee became the centre of important activities including weeding, picking, handling and processing. The role of coffee in ethnic integration in Uganda and making of nation therefore started in Buganda because; o Buganda was at the centre of economic and social change, partially because it was the centre of the Protectorate administration. o Buganda was the main coffee growing region (although cotton was also grown extensively at Series of the events the time, just as it was in other areas in the north, The Coffee Act of 1962 gave the Coffee Marketing east and western Uganda). o Board (CMB) access to all dry-processed robusta o Buganda saw the greatest ethnic integration- coffee for export. These exports accounted for both within the towns and in its villages, taking by some 85% of production. There were private far the largest number of immigrants from all over. exporters who operated coffee pulperies, processed and exported pulped and washed Early Exports Robustas, while the Bugisu Co-operative Union Early reports on Uganda coffee stated it to be potentially exported the wet processed prime arabicas an important export crop. In the early years of the known as “Bugisu”. twentieth century, the trade in this native coffee, mainly With production of pulped and washed from the Sese Islands, developed rapidly; in 1902 the value o robusta leveling at only 2000 tons per year in 1962, of the coffee exported was 892 Pound Sterling. But by that production continued to increase and by 1969 it had time Arabica coffee had been introduced and, because of reached some 40,000 tons. As a result of the leftist policies its earlier cropping, larger bean, and higher market value, of the government of Milton Obote, a new Coffee Act this was considered to be a more valuable species for was passed in 1969, which gave the total monopoly of cultivation for export. In 1903 the distribution Nyasaland the coffee export marketing to CMB. The subsequent Arabica coffee seedlings to Africans was commenced. years saw Uganda’s production of high quality washed coffees suffer from poor incentives resulting from the CMB monopoly in marketing which did not adequately B: Evolution of Coffee Trade in Modern Times reward the investment in high quality coffees. By the early 1960s there was a steady growth of coffee production and the share of coffee in the country’s foreign exchange earnings grew from 38% in 1961 to 58% in 1970. After mid-1970 and during most of the 1980s coffee remained the dominant export crop accounting for over 90% of total export receipts. (Agricultural Report, MAAIF: Early reports on Uganda coffee 45). This was mainly attributed to the problems the country stated it to be potentially an experienced during the period of the mid-1970s to early important export crop. In the 1980s. The insecurity and civil strife, over valued exchange early years of the twentieth rate, inefficient marketing systems and general economic mismanagement led to decline in production of other century, the trade in this native export crops such as cotton, tea, tobacco and others that coffee, mainly from the Sese could not withstand the local problems of production. This Islands, developed rapidly; in situation left coffee as the major export crop although it 1902 the value of the coffee remained confined to the poorly tendered ‘shambas. exported was 892 Pound Sterling.
50th Anniversary Edition 31 There was a decline in deliveries, caused by of Robusta coffee in Africa, Asia and Brazil, world farmers being reluctant to grow coffee, as a result of low production of Arabica in 1990/91 dropped to farm-gate pricing structures with no incentives. Little or below 70% of global coffee production. no investment in developing new plants from seedlings With the increasing competition in the coffee over a sustained period of some 30 years, coupled with o business after liberalisation, there has been of the unstable political and economic situation, drastically lack of discipline. The private sector has not come reduced crop production to a point where Uganda’s up with comprehensive measures to ensure that output dropped by nearly 30%. operators followed some code of ethics, as a first
step to introducing self-regulating mechanisms While emerging large estate farming was o in the coffee trade. In 1997, the Uganda Coffee abandoned, small-holders continued to grow Trade Federation, now Uganda Coffee Federation coffee. The co-operative structures, which were drafted a Code of Conduct but its implementation prevalent in the country since the early 1960’s, has been complicated by the fact that not all continued to dominate the primary marketing players subscribe to the Federation and are and in the 1980’s they accounted for some therefore not bound by it. 90% of the primary processing of coffee in the country. Unfortunately, these co-operatives o However, there still remains much room were largely controlled and influenced by the for provision of technical advice and support, government, and limited incentives existed for as well as training at the various levels in the private entrepreneurs and private processors coffee industry, in order to create awareness who operated under difficult conditions. With the and develop skills, aimed at enhancing the liberalisation of the country’s internal marketing quality of Uganda’s coffee. UCF has developed an system, more and more private processors internal marketing contract to guide the internal appeared on the market. It has to be noted that marketing transactions, and an arbitration system liberalisation of internal marketing, where private to expedite the resolution of trade conflicts. All processors were allowed more freedom, started these need technical and expert support until the way before the export liberalisation. system is fully established. o Upon liberalization of export marketing, the C: Important Historical Landmarks in the former government controlled Coffee Marketing Uganda Coffee Industry. Board (CMB) was transformed, in 1991, into a limited liability company, known as CMB Ltd Liberalisation has led to some of the most significant (CMBL). The original CMB’s coffee regulatory landmarks, which are summarised below: and quality assurance capabilities and expertise 1. Uganda joined the International Coffee Organization were homologued into a focal point under the (ICO) which came into being in 1962, and had to Ministry of Trade and Industry and formed as the conform to the export quota allocated by the ICO. Uganda Coffee Development Authority (UCDA). The passing of the UCDA Statute, in 1991, paved 2. The 1969 Coffee Act gave total monopoly of the way for the licensing of private coffee exporters coffee export marketing to Coffee Marketing Board to compete for the farmers’ coffee, resulting in (CMB), 100% owned by the Government of Uganda. better incentives and prices to the farmers. The objectives of the liberalisation policy were to 3. In November 1990, four co-operative unions were make the pricing system for Ugandan coffee allowed to export coffee under the guidance of more transparent, introduce keener competition, Union Export Services (UNEX). This was by Cabinet improve the quality of coffee and assist in helping decision, as a trial of liberalised marketing, ahead of to make crop financing available. the passing of the UCDA Statute. o During the early 1960s, the world saw 80% of its coffee made up of Arabica. Africa and Asia 4. In 1991, a limited liability company called Coffee produced 10% and Latin America 90% of the Marketing Board Limited (CMBL) was incorporated, world production. However, due to the expansion and was to take over the trading functions of the CMB.
o Whileemerging large estate farming was abandoned,small-holders continued to grow coffee.
32 50th Anniversary Edition 5. Parliament passed the UCDA Statute in 1991, and tax avoidance practices engaged in by unscrupulous the Uganda Coffee Development Authority (UCDA) traders and businessmen who joined the exporters’ was formed. UCDA was created as a statutory body ranks greatly contributed to an uneven ground charged with the responsibility of monitoring and leading to unfair competition. regulating the coffee industry, as well as advising Government on policy issues. 14. In 1994 a Government appointed Task Force recommended the setting up of the Coffee Research 6. In 1991, to compete with the CMBL, five (5) private Centre (COREC). In 1996 the Coffee Research companies were licensed to export coffee. This was Centre was finally established under the National in addition to the co-operative unions which had Agricultural Research Organisation (NARO) at started to export in 1990 after the cabinet decision Kituuza, Mukono District. to break the CMB monopoly. 15. The Uganda Coffee Farmers Association (UCFA) 7. In 1992, the Minister of Finance abolished the export came into being in 1995 to mobilise coffee farmers tax on coffee, allowing exporters to retain 100% of to address problems faced by the coffee farmers their proceeds. and also to address problems of quality control at the farm level. In 2003, UCFA changed name to 8. In 1992, Government permitted pre-financing the National Union of Coffee Agribusiness Farm arrangements and the formation of Joint Venture Enterprises (NUCAFE) as a response to members’ companies. This introduced a new dimension to the needs. coffee business in Uganda, increasing the liquidity in the coffee export business and greatly reducing 16. In 1995 the mandatory floor (minimum) export the problems of crop financing. The restriction to prices structure of UCDA was abolished and was railway transport was also eased. replaced with indicative prices, as a World Bank conditionality before the release of one tranche in 9. The Uganda Coffee Exporters Association (UCEA) was the IDA structural adjustment credit to Uganda. founded in 1992 by the private coffee exporters. It was later officially registered in 1993, and eventually 17. By September 1996, there were more than 180 acted as a forum which brought together all the coffee export licenses issued. This was made coffee exporters. easier by the liberalisation of the foreign exchange market and guaranteeing of repatriation of profits. 10. A study was launched in 1993 by the Government, However, due to management problems, and other and a joint GOU/World Bank Task Force was factors, many coffee exporters ended up in serious commissioned to study the extent of the Coffee trade and financial difficulties that forced them from Subsector Reforms and advise Government on exporting. Currently the total number of exporters further actions to be undertaken. range between 35 and 45.
11. In 1994, the CMBL and the co-operative unions 18. On the global scene, it should be noted that the under UNEX became members of UCEA. The coffee quota system collapsed in 1989. exporters’ association was later transformed into a more encompassing trade association known as the Uganda Coffee Trade Federation (UCTF) in 1996, to bring together all those involved with coffee trade in Uganda. This now includes registered companies of coffee exporters, processors, roasters, brokers, traders, coffee growers, banks, insurance companies, transporters, input suppliers, clearing and forwarding companies. 1. In 1994, the CMBL and the co-operative unions under UNEX 12. The UCDA Statute was amended in 1994, to ease trade and allow for more participation of the became members of UCEA. industry players in the decision-making process. The The exporters’ association was minister’s powers were reduced and the structure of later transformed into a more the board of UCDA was modified to include more private sector representatives. encompassing trade association known as the Uganda Coffee 13. In June 1994, the coffee export tax was re-introduced, as a “coffee stabilisation tax”, with much influence Trade Federation (UCTF) in from the IMF. This tax was later abolished in June 1996, to bring together all those 1996. Its implementation was, however, tainted involved with coffee trade in with allegations of gross mismanagement (unevenly applied). Widespread complaints of tax evasion and Uganda.
50th Anniversary Edition 33 STRATEGIES FOR THE NEXT CENTURY
ost liberalization, the coffee supply chains are now (UCDA) has been training especially the young reasonably competitive and efficient but these have generation to roast, grind and brew coffee, in Pposed some big challenges that have to be addressed addition to organizing barista championships in the next century and these include among the others; as a way of boosting domestic consumption. Government has been inviting investment into Mainstreaming coffee research; the current state • soluble coffee production and this is expected to of coffee research in Uganda cannot respond be on the government agenda until it materialises. immediately to the industry demands. Although the establishment of the Coffee Research Institute • It is estimated that by June 2012, the population has almost been assured by the government, of Uganda was 34million with 66% of the it goes beyond an Institute. Uganda has the population engaged directly or indirectly in potential of being one of the biggest coffee Agriculture. Due to the growth in population, land producers but is still constrained by limited that was previously under coffee has been lost to research, lack of sufficient infrastructure, human other enterprises like real estates, factories while and capital resources. This is compounded by the other areas have been diverted to crops that the prevalent incidences of pest and disease give quicker returns like maize and beans. With breakup in various coffee growing areas and the receding availability of land, the future lies drastic weather changes associated with climate with productivity and therefore Coffee research change and global warming that adversely affect should work around the clock to find better production and yields. yielding varieties yet the farmers should also follow the good agricultural practices to increase Over 90% of the coffee in Uganda is produced • their yield per hectare. This should be followed by by smallholder farmers, who have been growing differentiated marketing to realise the maximum coffee by default. These will only receive technical benefits. assistance or extension services if they subscribe to a given Farmer Organisation. Therefore government must have deliberate effort to attract more investments in medium to large scale coffee farms so that out growers can also the Coffee industry in Uganda has tap into the knowledge and experience of the In conclusion, undergone a lot of transformation but if the future is not big brother; have access to technical support in well planned by a combined effort of all the stakeholders, crop production and new technologies leading to it may be bleak. The coffee industry has maintained its higher yields and productivity; with the ultimate status as the main cash crop of Uganda and it’s up to all aim of transforming into more highly skilled and the players to maintain its glory. commercially-oriented farmers. • Domestic coffee consumption is still low in Uganda estimated at around 3% to 5%. However in the recent past we have seen the number of coffee shops and roasters increasing to over 30. The Uganda Coffee Development Authority
34 50th Anniversary Edition DID YOU KNOW THAT!!!!!!!!!!!!!!!
coffee tree has n 1675 the king of A a lifespan of IEngland banned about 50 to 70 years coffee houses, though it can go up claiming they were to over 100 years places where people met while producing to conspire against excellent coffee if him Some of the well maintained. worlds most powerful business, including Lloyds of London and the New York Stock offee increases in Exchange, started life as a coffee houses. C volume during roasting by 18.60%. he rise of Islam contributed greatly to popularity of coffee. The religion prohibited drinkingT alcohol but coffee was considered an hen shopping acceptable drink. W for perfume, you can take some coffee with you in awaii is the only state in the United States your bag and have H that grows coffee. a good sniff in between smelling each perfume to refresh your nose!
50th Anniversary Edition 35 0% of the world here is less 7 consumes T caffeine in Arabica coffee dark roast than which is mild and in medium roast. aromatic. The It is because, the remaining 30% longer the beans are drinks Robusta roasted, the more which is more bitter caffeine burns off. tasting and has 50% more caffeine than Arabica. nts don’t like A coffee, so you he first Espresso can use coffee to T machine was keep them away introduced in 1822 from you plants or by the French, but out of your rooms. it was the Italians Just put the used who perfected and coffee grounds distributed it. around the plants or on the ant tracks in your house.
36 50th Anniversary Edition CLIMATE CHANGE FROM A FARMING PERSPECTIVE By: Tony Mugoya
hereas Climate change has been defined as the variation in global there is no or regional climates over time. It reflects changes in the Wuniversal variability or average state of the atmosphere over time definition of weather scales. These changes can be caused by processes that are or climate, some internal to the earth, external forces such as variations in terms are generally sunlight intensity or, more recently, human activities. acceptable in defining these two phenomena. Climate change may occur over long and short timescales Simply put, weather from a number of factors such as the recent warming of is the state of the the earth’s surface that is referred to as “global warming”. atmosphere; the In the context of environmental policy, the term “climate degree that it is hot or cold, wet or dry, calm change” often refers only to changes in modern climate, or stormy, clear or cloudy. Weather commonly including the rise in average surface temperature known refers to day-to-day temperature and as global warming. In some cases, the term is also used precipitation (water that falls from the sky to the with a presumption of human causation. earth’s surface such as rain). On the other hand, climate is the average atmospheric conditions Climate change may refer to a change in average weather over longer periods of time. conditions, or in the distribution of weather around the average conditions; for instance more or fewer extreme The most common weather conditions on earth weather events. Climate change is caused by factors may include wind, cloud, rain and dust storms. that include human-induced alterations of the natural Climate includes the statistics of temperature, world. Human activities are reported to be causing global humidity, atmospheric pressure, wind, warming. Many times climate change is often used to precipitation, atmospheric particle count and describe human-specific impacts. other meteorological elemental measurements in a given region over long periods. Climate can The term climate change mitigation refers to attempts be contrasted to weather, which is the present to reduce human-induced causes of climate change; condition of these elements and their variations particularly global warming. Climate change mitigation over shorter periods. refers to efforts to reduce or prevent emission of
50th Anniversary Edition 37 greenhouse gases which cause global warming. Mitigation can mean using new technologies and renewable energies, making older equipment more energy efficient, or changing management practices or consumer behavior. Climate change mitigation is about reducing the carbon footprint of human activities. Climate change adaptation refers to efforts targeted to reduce vulnerabilities and build resilience to the impacts of climate change.
Another school of thought has argued that there is no climate change per say but naturally occurring cycles of extreme weather patterns. Whatever the argument, it is true that farming activities have been adversely affected by unpredictable and Early planting was a best practice. This involved planting extreme weather conditions especially in recent at the onset of rains and harvesting just before the dry times. Crop production and livestock rearing have season. This ensured food security. In Uganda, food crops been particularly affected. Small scale farmers in were often intercropped with perennials like coffee. developing countries who are at the bottom of the With the current unpredictable rains, it is now difficult value chains are most vulnerable and increasingly for farmers to determine with certainty the onset of the exposed to numerous challenges caused by the planting season. Many smallholder farmers who attempt changing weather patterns. to plant early have been disappointed when the rains suddenly stop in the middle of the traditional “rainy Farming activities in the tropics have been season” which results in crop failure and yield losses. Such plagued by frequent droughts, uneven rains and farmers are said to have been “caught by the season” and unpredictable weather. It is now difficult for small they are normally faced with food insecurity until the scale farmers to predict with certainty the onset of next harvest. This results in inadequate food supply and the rainy season or how long it will last. In recent malnutrition. It is common these days to see many fields times, it has been observed that rains fall in months of stunted crops that have been “caught by the season”. that were known in the past to be part of the “dry Even perennial crops like coffee have not been spared by season”. Similarly, the old “rainy seasons” are now these uneven rains. characterized by very hot and dry spells. In some places within the tropics especially in Africa, the Sudden dry spells especially after flowering of coffee droughts have become prolonged and frequent reduces coffee yields of many farmers. The drought not while the rains have become more intense and only affects flowering but also leads to fruit abortion, poor unevenly distributed. All these changes have bean filling which results into light beans or floats and low adversely affected agricultural activities. coffee bean quality, and in worst cases scorching of the coffee trees. These sudden adverse weather conditions Climate change has continued to distort four main have been attributed to the harmful effects of climate socio-economic aspects of life in African farming change. The reduced yields result into diminished income communities especially among the most vulnerable security for coffee farmers. people living in rural areas who are predominantly smallholders. In short, climate change is a threat to Smallholder farmers in Africa rely mainly on family labour. food security, income security, social stability and Since unpredictable weather patterns are affecting not cultural heritage. only yields but also the predictability of incomes, farming Small scale farmers in Africa have been practicing is becoming less attractive to the youth as a viable and agriculture under given farming systems for secure economic enterprise. This has resulted in the youth generations. abandoning farming and looking for other enterprises These farming systems were selected to ensure food that are perceived to provide secure incomes. And hence, and income security as the main priorities. In the climate change is affecting the social stability of farming past, smallholder farmers knew with certainty the communities. seasons for planting and harvesting. In many parts of Africa, even the months of the year were named There is currently a considerable shortage of labour after the weather conditions and the corresponding among smallholder farms where it is mainly the elderly farming activities. The calendar year was divided who have remained engaged in farming activities. into a farming calendar of activities. In Africa, the average age of farmers is raising. This is
38 50th Anniversary Edition exacerbated by the fact that most smallholders hailstones and floods. This climatic paradox is now a lack adequate finances to employ hired labour. common experience. In Eastern Uganda, rains have often The youth have preferred to migrate to urban caused fatal landslides in coffee growing communities areas in search for blue and white collar jobs. along the slopes of Mount Elgon. This rural urban migration has not necessarily Warm and humid conditions associated with climate led to improved incomes. On the contrary, rural change are known to favour increases in pest populations urban migration has often led to increased beyond their economic injury levels. In addition, disease urban unemployment , poverty and insecurity incidence has been correlated with warmer temperatures. especially among people living in slums. Disease vectors are also known to be sensitive to temperature and humidity which also affects their In traditional African societies, harvests were distribution; particularly at their altitudinal and latitudinal special occasions. The harvest seasons were limits. This means that certain vector-borne diseases also seasons of celebrations. These celebrations may be introduced to regions that have not previously were marked by elaborate festivities and encountered them. social events. It was after the harvests, that There is need for entire societies to adapt to climate change. communities organized parties and cultural Farming communities, being the most vulnerable, need activities. It was during this time that multi- to be the focus for climate change adaptation initiatives. talented African artists, musicians, poets, Farmers should be assisted to assess their options for philosophers and story tellers released their adapting to their specific climate change challenges. new compositions. It was during this time that the rich African oral literature was passed from These options could be in the areas of technological one generation to another. inputs, new approaches and diversifying farm enterprises. There is need to empower local farming communities with Harvests were often welcomed by music information, technologies and expertise to implement extravaganzas. Communities living near the appropriate climate change adaptation strategies. These Great River Nile often used a variety of drums, options may include provision of accurate weather data xylophones and other musical instruments. to enable farmers to make decisions and generate local In the evenings of the harvest periods, it was solutions. common to listen to the rhythmic beats of the big drum punctuated by the high pitched Farmers especially coffee growers need to receive staccato of the alligator skinned long drum; information and to access an early warning system for against a background of the thunderous roar droughts and pest infestations. There is need to promote of the mighty waters of the Nile cascading appropriate plant densities and shade management, through its numerous waterfalls. Music from use of fertilizers and soil conservation, water harvesting various percussion, string and wind instruments and micro-irrigation. Research should focus on disease completed the African symphony. resistance as well as drought tolerant varieties. The task of managing the adverse effects of climate change requires Irregular weather patterns have disrupted these a concerted effort and collective responsibility. There is traditional African social events since harvest need for the entire agricultural sector in general and the times are now varied and depend on the coffee industry in particular to work together to promote time of planting of each farmer. It is common adaptive strategies on a large scale. The time for action is for some farmers to enjoy a bumper harvest now. while others count their losses. The drumbeats of celebrations have long gone silent. Many The writer is the Executive Director, Uganda Coffee youth and young farmers have not experienced Farmers Alliance these traditional ceremonies associated with e-mail: tony.mugoya@ucfa. harvests. The rich African culture is faced by a or.ug telephone: +256 772 309 599 direct threat of extinction. Harvests were often welcomed by The onset of rains after a prolonged dry season is often a bittersweet experience. It is “sweet” in music extravaganzas. Communities the sense that the rains are a welcome relief after living near the Great River Nile often a long dry spell. It is “bitter” in that many times these first torrential rains are characterized used a variety of drums, xylophones by strong winds and sometimes come with and other musical instruments.
50th Anniversary Edition 39 40 50th Anniversary Edition THIRD UGANDA COFFEE DAY: reflection of the past 50 years
s the entire nation braced for Golden Jubilee of 9th October 2012, the coffee fraternity celebrated it on 4th October 2012 to coincide with the Uganda Coffee Day that is Acelebrated on the first Thursday of October. Because of much importance the industry attaches to research, it was just necessary to take event to the Coffee Research Centre (COREC), Kituuza, Mukono District under the theme “Uganda @50 Years: Milestones of the Century and Strategies for the Future.” The Chief Guest was Dr. Emily Twinamasiko, the Director General of NARO under whose docket the Centre falls. Other speakers for day included Mr. Robert Waggwa Nsibirwa, President of Africa Coffee Academy, Mr. Hannington Karuhanga, Managing Director Savannah Commodities and Mr. John Schulter, Director Café Africa and Mr. Francis Chesang, the Production Manager of UCDA. Dr. Twinamasiko informed the Coffee fraternity that reinstating COREC as an Institute was in its final stages and assured the stakeholders that once this had been achieved; it will have the mandate to headhunt, train, and retain the right personnel. It will also be in position to source for financial support to ensure proper execution of their duties in accordance to the industry requirement and elevate its level to international standards.
While Uganda is the second biggest coffee producer in Africa, and the biggest Robusta coffee producer on the continent, it has only six coffee scientists in comparison to 31 from Kenya and 27 in Tanzania. This has negatively impacted on the coffee production in Uganda especially in responding to the growing challenges like higher yielding, pest and disease resistant and drought resistant varieties. She expressed gratitude to the coffee stakeholders for the support they have offered to the Centre.
Although the theme this year seemed to have deviated from the usual tissue culture and the Coffee Wilt Disease resistant (CWDr) varieties, it was impossible to avoid it as it is always synonymous with production. It is generally believed that the matters of stagnated coffee production will only be solved by the rapid multiplication and distribution of these varieties to the farmers. This was echoed by Mr. Robert Waggwa Nsibirwa, in his address, he informed the stakeholders that this was on course and the farmers were eagerly waiting for the new materials. He added that the number of farmer groups was increasing; and government through UCDA had intensified its support in replanting and promoting productivity. The other notable achievement was the emergence of the Coffee traders Association commonly known as the middlemen and this was highly welcomed by the stakeholders as a move towards better coffee quality. In terms of trade, Mr. Nsibirwa said that the there had been a remarkable reduction of Robusta coffee volumes in the first half of the coffee year and seismic changes in global washed Arabica coffees that had led to a switch to Robustas and natural Arabicas causing the relative prices of washed Arabicas to tumble. He concluded by reassuring the stakeholders that despite the challenges, the Uganda Coffee industry was still vibrant with a good reputation in the global market. Mr. John Schluter gave a history on the evolution of coffee processing both at primary and secondary level in Uganda like the introduction of pulped and washed Robusta in 1955, that later collapsed and is now being revived; the rise, fall and stabilisation of the number of coffee exporters due to post liberalization market dynamics; and consequently the search for value addition quality, certification and domestic consumption promotion.
50th Anniversary Edition 41 As a way forward, Mr. Schulter urged the stakeholders to brace for competition from other origins by investing in research and technology along the coffee value chain; advised that the continued growth in washed Robustas and Arabicas producers had to invest water supply and its purification as well as good management of waste products that should Abesigwa Growers Cooperative Union - 1956 be converted to organic fertilisers.
He noted that the rising real estates and population growth will lead to relocation of processing facilities upstream towards producers; and it will be the farmers decision on whether to ensure food security through planting food crops or cash crops like coffee. The other major determinant of production will be availability of agricutural labour that is currently scarce and expensive. Thus the future lies in scientic way of production and adaption of new technology. Mr. Francis Chesang who represented the managing director of UCDA informed the Coffee industry players about the different strategies UCDA had in place to increase coffee production and productivity and these included; Promote and support the adoption of good agronomic practices (proper spacing, pruning, mulching, etc) at farm level, coffee growing in new areas and expansion of acreage in traditional coffee growing districts, promote use of high yielding, diseases and pest resistant varieties, support the use of agro inputs in the coffee subsector, mainstream participation of women and youth in the entire coffee value chain, management of coffee pests and diseases and Promote and support medium and large scale coffee farming as the future of the coffee industry.
In regard to climate change mitigation strategies, Mr. Chesang informed the stakeholders that UCDA will support the environmental and biodiversity conservation practices in the coffee production systems, irrigation development structures and work with the Coffee researchers to develop and distribute drought resistant coffee varieties. This Coffee Day registered over 450 participants from across the coffee value chain and this time the speeches were punctuated with entertainment, and field visits. The next Coffee Day will be celebrated on Thursday, October 3rd 2013.
42 50th Anniversary Edition 50th Anniversary Edition 43 44 50th Anniversary Edition 50th Anniversary Edition 45 Buule Ronald proud of his Coffee Garden
46 50th Anniversary Edition DIRECTION OF THE UGANDA COFFEE INDUSTRY FROM THE FARMER’S PERSPECTIVE
sangi Coffee Farmers Uganda Coffee Federation caught up with Association [NCFA] located Mr. Ronald Buule, the Chairman to get his Nin Nsangi Sub County; inspiration about the Coffee industry in Wakiso District is a community Uganda. Based Association whose mission is to establish a sustainable system What motivated you to form Nsangi for poverty alleviation among Q CFA? farmers through market- based agricultural practices. It was As a coffee farmer I realized that middlemen were earning much more money compared started in 2004 and registered to the coffee farmers and this was due to the in 2005 with a few members but fact that most farmers were ignorant about the prevailing prices. Some of them were currently has 853 members some selling red cherries, kiboko and flowers. So I of whom have expanded their came up with an idea of sensitizing farmers to boundaries beyond Nsangi but collectively bulk their coffee, process and sell it as a group to the local exporters and we started still retain their commitment to with Savannah Commodities that I knew very operate under to their Association. well. With the assistance from Progresso, a Netherlands based Organisation; Q Since its formation how has the association impacted the coffee NCFA started exporting its coffee community in Nsangi? in 2010 but still maintains its business relationships with some For starters as an association; coffee exporters. Some of its • Through sensitization and training many buyers include Cafériver based farmers have been able to appreciate coffee as a crop of their choice to the in the Italy, JP Group Markets extent that even those who had wanted to international in collaboration sell off their land for other opportunities with Shangai Hai based in China, have had to think twice and quashed such ideas; Sucafina and Supremo. • More coffee has been grown since the association avails farmers with planting materials. It is worth noting that if one came to Maya the centre of NCFA, he would be surprised to find that almost t was started in 2004 and all homesteads have got a considerable number of coffee trees; Iregistered in 2005 with a few members but currently has 853 • Improved coffee quality through training in harvesting and post harvest training members some of whom have that the association gives to farmers; expanded their boundaries • Better prices come with quality and beyond Nsangi but still retain information flow, in fact farmers get up to their commitment to operate date prices; under to their Association.
50th Anniversary Edition 47 • Sharing of opportunities, new ideas, knowledge and a) Daily income. technology among members; b) Monthly income. • The youth have been captured through the formation of the coffee youth club that concentrates c) Long term income or seasonal income. on games and sports. The Association has got a high number of youths engaged in coffee production - Nsangi has created a system of “DO IT YOURSELF” and from here, other youths have been advised to where a farmer can make his or her own fertilizers join agriculture; notably coffee having seen their through MM Technology. The farmer can then use role models; these fertilizers in his garden and sell the rest.
• Some village roads have been constructed with the - Farmers should look at diversification as the best help of the Association sensitizing the farmers and approach to eradicating poverty. Many would-be the youth towards the community support. farmers have abandoned agriculture due to the associates risks and uncertainty. If farmers embraced mixed agriculture taking coffee as a major income Q Gender is an important aspect in the coffee earner, they would smile all the way to the bank industry, How have you promoted the gender without feeling the pinch of the financial crisis. aspect to Nsangi coffee community?
We encourage both men and women to diversify their resources to maximize their earnings. Even if coffee is the main crop, we encourage ladies to plant bananas in the coffee garden to enhance food security. They also do livestock farming concentrating on mainly poultry and piggery. Women are also encouraged to do handicraft in their leisure time.
However, as we attract the male youths through sports and games notably football, Nsangi has also done the same arrangement with female youths through netball though the former is more popular.
Q You pride yourself into producing and exporting quality coffee, please share with us the best practices other farmers should emulate.
When the producer exports quality coffee, he/she is expected to get good money compared to what he has been getting before.
- A smart coffee farmer is expected to look at three stages of income;
48 50th Anniversary Edition ABOUT THE INDUSTRY:
Q In your opinion do you think we are capable of producing more than 4 million bags?
Yes, I believe we are capable of producing more than four million bags as a country but this can only be achieved if farmers are availed with high yielding, disease resistant planting materials, intensified extension services especially as far as good agricultural practices are concerned, encouraged to add value to their coffee (selling FAQ or Graded coffee in order to fetch good market), and to appreciate the importance of coffee.
Q Why are you so much passionate about the Q What are some of the challenges the youths in youth involvement in coffee production? coffee production face today, and how can they First of all my passion for coffee dates back on 2000 when overcome such challenges? I got some land with coffee in it from my grandparents - Inadequate land for expansion, most youths and decided to maintain that land. Currently I have about are farming on small pieces of land passed onto them 90acreas of land under coffee. By the time I entered by their parents and this caters for both food and cash coffee production, I was still a young man and even now crops; I still qualify as a youth. There is a lot I have got from coffee and I wouldn’t want to be selfish that is why I have - Inadequate usage of agricultural inputs for persuaded many youths to go into coffee production. example fertilizers are very vital to increase productivity especially where land is scarce. In order to have sustainable and booming coffee industry, the youth must take the lead because they are - These problems can be addressed by availing still energetic, able to adopt new technologies and can youths with some agricultural loans and if possible the take on the coffee business to the next generations. government can lease land to the youths though the major problem here is leaving the land after the lease Q Why do you think the youth have abandoned period has expired. coffee production? Q What advice would you give to the other youths - They generally have a negative attitude towards aspiring to embrace coffee production as an farming/agriculture. occupation?
- Lack of knowledge about profitability of coffee These youths should always take coffee farming as a business. business and should aim at maximizing their earnings. - Many of them may have the knowledge and are willing to join the coffee industry but do not have Q Do you support the idea of revamping our land. cooperatives as a way of improving aspects of the Uganda industry?
Q What measures do you suggest the coffee Yes, I do support the revamping of the cooperatives industry as a whole should take to attract the because is advantages cannot be underestimated but youth back to coffee growing? they have to come in knowing that the Uganda coffee industry is fully liberalized. There is a very big difference - We should sensitize the youths and train them about the benefits and profitability of coffee farming between the pre and post liberalization period and the business. Nsangi CFA has started this and the results are cooperatives should come in ready to embrace these encouraging. For example with the youths in Nsangi CFA, changes. we compared the incomes of a person riding a motor Your last word cycle and a coffee farmer and realized that a farmer was earning more so we are now getting more youths We request for government intervention to help the coming for advice on coffee. farmers, associations or cooperatives that would wish to enter the export market. This is a vulnerable group and - Formation of clubs where youths can get could fall prey to the exploitation of the buyer who may together and share information about coffee farming as fail to fulfill part of his obligation. Nsangi CFA has had a business. that problem but it may not be the last victim.
50th Anniversary Edition 49 are Bringing the best out of your Coffee
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Continuous Flow Dryer Coffee Huller Polisher • In a Cimbria dryer the coffee • For hulling both dry parchment moves through a changing airflow and cherry coffee of any kind called mixed-flow drying. With this system the water has time to move from the inside the kernels to the outside. Thereby it is possible to De-Stoner obtain homogenous and economic • For separation of heavy materials drying. from coffee such as stones, metallic particles etc.
Cross Beater Huller Pre-Cleaner & Graders • High performance even with not • For pre-cleaning/grading of coffee. perfectly dried coffee • integrated unhulled cherry extraction system by means of a swinging screen • finest hulling results even with high incorporation percentage of small cherries; Gravity Separator
Bulking & Bagging • For separating according to specific weight. • Coffee bulking High speed weighing , Re-bagging or bulk loading.
CIMBRIA EAST AFRICA Ltd. Member of the Cimbria Group of Companies Muiri Lane 10, Off Langata Road P. O. Box 24580, 00502 - Nairobi, Kenya Phone: +254 051 800 63 54/5/7 Cell : + 254 722 37 43 29 Fax: + 254 020 815 57 30 E-mail: [email protected] Web: www.cimbria.com 50 50th Anniversary Edition Technical overview of environmental impact of land application of pulping effluent from wet coffee processing.
Fermentation can be done with extra water or, in “Dry 1. About wet coffee processing Fermentation”, in the fruit’s own juices only.
et processing of Arabica coffee (Coffea Arabica) produces higher quality and receives higher prices on the world market compared to coffee The fermentation process has to be carefully W monitored to ensure that the coffee doesn’t prepared by dry method. acquire undesirable, sour flavors. For most In wet process, the skin covering the coffee/beans (Figure coffees, mucilage removal through fermentation 1) is removed before they are dried. Coffee processed by takes between 24 and 36 hours, depending on the the wet method is called wet processed or washed coffee. temperature, thickness of the mucilage layer and The wet method requires use of specific equipment and concentration of enzymes. End of fermentation is substantial quantities of water. The coffee cherries are assessed by feel, as the parchment surrounding sorted by immersion in water and bad or unripe fruit will the beans loses its slimy texture and acquires float while the good ripe fruit will sink. The cherry skins a rougher “pebbly” feel. When fermentation and some of the pulp is removed by pressing the fruit by is complete, the coffee is thoroughly washed machine in water through a screen. The bean will still have with clean water in tanks or in special washing a significant amount of pulp on it that needs to be removed machines. and this is done either by ferment-and-wash method or a newer procedure called machine-assisted wet processing, b) Machine-assisted wet processing method: In machine-assisted wet processing, fermentation is not aquapulping or mechanical demucilaging. These methods used to separate the bean from the remainder of the pulp; are briefly explained below. rather, this is done through mechanical scrubbing. This process can considerably reduce water use and associated a) Ferment-and-wash method: In this method of pollution impacts. In addition, removing mucilage by wet processing the remainder of the pulp is removed by machine is easier and more predictable than removing it breaking down the cellulose by fermenting the beans with by fermenting and washing. microbes and then washing them with large amounts of water.
50th Anniversary Edition 51 However, by eliminating the fermentation conditioner. In tropical Africa, specifically Uganda land step and prematurely separating fruit and disposal of this effluent or irrigation of coffee plantations bean, mechanical demucilaging can remove is a logical option. This option is especially necessary in an important tool that mill operators have of coffee plantations located in prevalently dry areas with influencing coffee flavor. Furthermore, the high evaporation rates (4-6 mm/day) and a marked lack ecological criticism of the ferment-and-wash of surface water resources (lakes or rivers) that would method increasingly has become disputable, provide irrigation water or where the watertable is low since a combination of low-water equipment plus settling tanks allows conscientious mill hence reducing risk to aquifer pollution. operators to carry out fermentation with limited pollution. 2. Wastewater constituents of environmental concern
Mucus in the pulp effluent will contribute biochemical oxygen demand (BOD) to the effluent. BOD will however only serve the beneficial function of a soil conditioner (manure) for the coffee trees.
If the coffee plantation uses pesticides and herbicides, residual concentrations in wastewater when higher than national standards, could affect soil quality, groundwater, birds and animal species. Typical herbicides and pesticides used on Uganda coffee plantations are Glyphosphate, Figure 1: Structure of coffee berry and beans: Dimethoate, Diazinon and Furadan. 1: center cut 2: bean (endosperm) 3: silver skin (testa, epidermis), 4: parchment (hull, endocarp) 5: pectin layer 3. Environmental fate assessment 6: pulp (mesocarp) 7: outer skin (pericarp, exocarp) In one study, laboratory analysis was undertaken for a grab sample of effluent from a small pulping unit. In the sample, all herbicides and pesticides had lower concen- trations than the maximum levels stipulated by National Wet processing of coffee produces wastewater Environment Management Authority (NEMA) except Di- whose disposal can be challenging. Depending methoate. This technical assessment therefore focuses on on the processing technology applied, dimethoate. quantities of coffee waste water is varying , but most often is used in a 1 : 1 ratio. Modern mechanical mucilage removal machines Properties of dimethoate are outlined below. producing semi-washed coffee use only a) Use profile about 1 m3 per tonne fresh cherry (without finish fermentation and washing) whereas the . Active ingredient (ai): O,O-dimethyl-S-(N-methyl- traditional fully washed technique without carbamoylmethyl) phosphorodithioate. recycling uses up to 20 m3 per tonne of cherries. . Type of use: Insecticide Characteristics of waste water from coffee processing include a high Biological Oxygen . Typical use: In USA, USEPA allows application of Demand (BOD) of up to 20000 mg/l and a dimethoate on terrestrial food and feed crops, terrestrial Chemical Oxygen Demand (COD) of up to non-food crops, indoor food uses, indoor non-food uses, terrestrial non-food, outdoor residential, forestry use and 50000 mg/l as well as an acidity of below pH aquatic non-food industrial use in which it is applied 4. Ecologically sensitive coffee farms reprocess to sewage systems. Uganda’s ministry responsible for the wastewater along with constituent shell agriculture (MAAIF) allows use of this chemical as a and mucilage as compost to be used as a soil pesticide.
52 50th Anniversary Edition on a thin layer of relatively dry soil. Under these conditions, . Target Pests: A wide range of insects, including the soil degradates (dimethylphosphoric acid and but not limited to midges, scale, aphids, mites, leaf miners, dimethylthiophosphoric acid) accumulated and persisted flea hoppers and plant bug. for a longer time than in an aerobic soil. Therefore, at the coffee plantations, these degradates may persist at the soil surface especially in dry seasons. . Formulation Type: Dimethoate is marketed as either a wettable powder, emulsifiable concentrate or as a ready-to- use liquid. Wettable powders typically have 25% Dimethoate hydrolyzes very slowly at pH of 5 to 7, but in active ingredient (ai) while in emulsifiable concentrates, ai alkaline soils, it degrades rapidly to desmethyl dimethoate can be up to 57.0% and dimethylthiophosphoric acid with a half-life of only 4.4 days at pH 9. b) Historic use profile Under aerobic soil conditions, dimethoate degrades faster than in poorly aerated (or anaerobic) soils. The anaerobic Use of dimethoate is not unique to Uganda alone. The half-life is approximately 22 days, with the major non- pesticide is widely accepted and used all over the world. volatile degradate being desmethyl dimethoate. Information below are excerpts from a compilation of Dimethoate is highly mobile in loam, silt loam, sandy loam The Biological and Economic Analysis Division (BEAD) of and sandy soils. Office of Pesticide Programs, USEPA on use of dimethoate in 1993 on 41 crops throughout the USA (Ali 1995): Dimethoate will not easily evaporate from the soil surface. The USEPA study showed that the chemical had low . In 1993 a total of 1.3 to 2.2 million pounds of active volatility since after 30 days, only 2.7% of the applied ingredient were applied to 4,701,000 to 6,062,000 chemical had volatilized. acres.
. Field crops alone account for 42-47% of the total dimethoate applied in 1993, totaling approximately 880,000 to 1,034,000 pounds of active ingredient.
. Ten to fifteen percent of the total dimethoate applied during 1993 was to citrus crops, totaling 220,000 to 330,000 pounds of active ingredient. c) Fate of dimethoate in soil
Detailed studies conducted on dimethoate by USEPA in 1999 established that the insecticide is a mobile, yet non-persistent organophosphate chemical. This means that once in soil, it readily biodegrades. The primary route of dissipation is microbially-mediated hydrolytic1 and oxidative degradation in aerobic soil, particularly under moist conditions, with a half-life2 of 2.4 days. The major degradate is carbondioxide- CO2, accounting for approximately 62% of the applied chemical after 14 days. Two non-volatile degradates, desmethyl dimethoate and dimethylthiophosphoric acid, were identified at levels less than 2%. These resultant products consist of carbon and phosphorus, which are natural constituents of soil.
The USEPA study established that dimethoate does not photodegrade, i.e. get destroyed by action of light (since the degradation rates and products were essentially the same for under light and dark experimental conditions). Although dimethoate does not photodegrade on soil, the study provided information on degradation of dimethoate 1 Hydrolysis is a chemical reaction in which a substance reacts with water and gets changed into other substances, as starch into glu- cose or natural fats into glycerol and fatty acids. 2 Half-life is time taken by a substance to decay to half of its original weight.
50th Anniversary Edition 53 d) Potential for ground water contamination Conclusion Although dimethoate is similar to many other organophosphate insecticides with respect to its mobility, The marginal low residual concentration of dimethoate it is not likely to persist in the environment and therefore found in pulping effluent at study coffee plantation should not leach to groundwater under most conditions. limited posed no environmental risk to wild fauna, soil, In aerobic soil, dimethoate will degrade with a half-life of groundwater and stormwater or runoff because of the less than 3 days. Dimethoate may persist longer under following reasons: anaerobic conditions, with half-life of 22 days. However it is believed that most of dimethoate will degrade . A USEPA study on dimethoate established before encountering depths at which soil conditions are that the pesticide would readily degrade in anaerobic. Residual chemical concentration detected normal aerobic soil with half-life of only 2.4 to in the wastewater sample was small (0.0255 mg/l) and 3 days. would only require 2 half-lives (or 6 days) to degrade to . The relatively short persistence of dimethoate 0.003 mg/l, which is below the national standard of 0.004 on soil surface means that its potential for mg/l. stormwater contamination is low. . Dimethoate concentration in the wastewater e) Potential to contaminate surface runoff is so low that land application will not pose risk to wild fauna. The USEPA study found dimethoate to have low affinity to attach to soil particles. The low soil-water partitioning of dimethoate (Kd values of 0.06, 0.30, 0.57, and 0.74) indicates that the chemical does not readily attach ______(adsorb) onto soil particles. Hence contamination of runoff will be primarily by dissolution in stormwater as References and bibliographies opposed to adsorption to eroding soil particles/sediment. Besides its low soil-water partitioning, the relatively short Ali, Ghulam. 1995. Typical annual usage (1993) and persistence of dimethoate on soil surface means that its percentage of various US crops treated with potential for stormwater contamination will be low. In dimethoate. Biological and Economic Analysis addition, the low soil-water partitioning of dimethoate Division, Office of Pesticide Programs, USEPA. will allow leaching to remove a substantial amount of Becker, Stephen. 1991. Dissipation of Dimethoate from the chemical from the top 1-inch layer of soil that is Soil Following Application to Bean, Grape and ordinarily available for runoff during rainstorms. All these Bare ground Plots Located in Fresno County, CA. aspects combined, abate the risk of the pesticide residues Unpublished study performed by EPL Bio-Analytical contaminating surface water once pulping wastewater is Services, Inc., and California Agricultural Research, applied on land at the plantation. Inc. and submitted by Dimethoate Task Force, Germany. MRID: 42884403. f) Avian toxicity California Environmental Protection Agency, Department of Pesticide Regulation. 1993. Sampling for pesticide As part of the 1999 USEPA study, a 30-day daily oral residues in California well water: 1993 Well inventory. administration test on six male and female wild ducks Data Base. CEPA-DPR. Sacramento, CA indicated that the lowest daily oral dosage that produced Dell’Omo, G. And R.F. Shore. 1996b. Behavioral effects one or two deaths by the end of the 30-day period (30- day of acute sublethal exposure to 63 deimethoate on empirical minimum lethal dosage) was 6.0 mg/kg/day. If wood mice, Apodemus sylvaticus: I. Field studies an average wild duck in that USEPA study weighed 2 kg, on radio-tagged mice in a cereal ecosystem. Arch. the lethal quantity of dimethoate the bird would take in a Environ. Contam. Toxicol. 31:91-97. day before dying is 12 mg. In wastewater from the study Dell’Omo, G., R. Bryenton, and R.F. Shore. 1997. Effects plantation, concentration of dimethoate detected was of exposure to an organophosphate pesticide on 0.0255 mg/litre (or 612 mg in the 24,000 litres that was behavior and acetylcholinesterase activity in the discharged). To make up this lethal dosage, a single 2-kg common shrew Sorexz araneus. bird would have to ingest 2% of all dimethoate in effluent Jacobson, B. and B. Williams. 1994. Dissipation of discharged by the plantation- an absolute impossibility! Dimethoate in Soil Under Field Conditions When Hence there is very low risk to wild birds when wastewater Applied to Bare Ground in New York. Unpublished from pulping is used for land application at the plantation. study performed by ABC Laboratories, Inc. and The risk would be much less for larger wild animals. submitted by Cheminova Agro A/S, Denmark. MRID: 43388002. Jacobson, B. and B. Williams. 1994. Dissipation of Dimethoate in Soil Under Field Conditions With Grain
54 50th Anniversary Edition Sorghum in Texas. Unpublished study performed by “The wet method requires use of ABC Laboratories, Inc. and submitted by Cheminova Agro A/S, Denmark. MRID: 43388001. specific equipment and substantial Kenaga, E.E. 1973. Factors to be considered in the quantities of water. The coffee evaluation of the toxicity of pesticides to birds in cherries are sorted by immersion in their environment. In: Environmental quality, global aspects of chemistry toxicology and technology as water and bad or unripe fruit will applied to the environment. Vol. II (eds. Coulston, F. float while the good ripe fruit will and F. Korte), Academic Press, NY. sink. The cherry skins and some of England. 593pp. In. Smith, G.J. Pesticide use and toxicology in relation to wildlife. U.S. Fish and U.S. Fish and the pulp is removed by pressing Wildlife Service, Resource Publication 170. the fruit by machine in water
By: Eng. Lammeck KAJUBI: through a screen. The bean will still BScEng (1.1 Hons), MEngSc(Env) Queensland, REng (Uga.) have a significant amount of pulp CEO, Air Water Earth (AWE), civil & environmental engineering consultants. on it that needs to be removed www.awe-engineers.com and this is done either by ferment- [email protected] Tel: 078-2580480 and-wash method or a newer procedure called machine-assisted wet processing, aquapulping or mechanical demucilaging.”
50th Anniversary Edition 55 PRODUCTION AND PROCESSING PROBLEMS OF ARABICA COFFEE FARMERS IN EASTERN UGANDA By Dr. Ahmad Jazayeri Bridge Commodities Ltd [email protected]
I. General Background offee accounts for 22% of Uganda’s export with Arabica representing on Caverage 25% of the annual procurement of green coffee equivalent to 38,000 MT . Arabica coffee alone contributes to almost 5% of Ugandan export earnings. In addition, Arabica coffee production is significant to farmer’s cash income. Of the approximately 1.7 million coffee farming households in Uganda, 28% are involved in Arabica coffee production. The Eastern region (around Mount Elgon) is one of the principal Arabica coffee producing regions in Uganda. The Bugisu coffee from this region is comparable to the best of Ethiopia and Kenya coffees. In 2011, the Eastern region represented 2/3 of the total area in Uganda under Arabica coffee cultivation with approximately 36,000 ha, 52.5 million trees and 312,493 households (UCDA Annual report, 2011, p.51) . UCDA does not provide production data by district in its annual report and therefore it is difficult to know the actual volumes for the Eastern region. One can however estimate that with an average yield of about 0.7 MT/ha of green coffee, the output is approximately 24000 MT.
56 50th Anniversary Edition 56 The table below summarizes the key statistics for Arabica coffee in the Eastern region:
Shade Management - The canopy cover that provides II. Problem Statement shade is inadequate and there is generally poor canopy management which is either too thin or in some highland nspite of the significance of coffee production for areas too thick. The shade trees are an integral part of Ithe economy as a whole and for smallholder cash the long-term ecological sustainability of coffee growing income, there are significant barriers facing the system which protects bio-diversity is key to sustainability. producers that must be overcome for Uganda to Shade trees are particularly important for protection of the get the full benefits of its Arabica coffee potential soil and stabilizing the slopes in areas of high population in the Mount Elgon region1. density with high soil depletion and erosion rates such as Mount Elgon coffee growing areas. Undisturbed by Land Shortage - Farmers own very small plots human intervention, Arabica coffee evolved under the used for both coffee and food production which forest canopy in Ethiopia. The bio-diverse eco-system compete for soil nutrition, shade, and mulching. maintained a balance between coffee trees, shade trees, Furthermore, the small size of land (average ¼ acre) birds, insects, predators, weeds, soil moisture, micro- does not provide sufficient income for capitalization organisms and soil stability. Such high diversity systems of the farm leading to the vicious circle of low input are ecologically more stable than high-input species-poor and low output which perpetuates poverty. Land coffee fields. The high input systems with no shade tend shortage also prevents the planting of additional to reduce bio-diversity due to tree clearance and frequent shade trees. use of chemicals that disturb the balanced eco-system through eliminating the birds, and killing the predators Soil Fertilization and Composting - Yields are such as ants, spiders, and micro-organisms that prevent getting lower each year as the soil nutrients are harmful fungus. Coffee leaf miners, antracnosis, and mined by food and tree crops with inadequate Brown Eye Spot are attributable to the loss of biological replacement. The major deficiency is nitrogen diversity. Shade can considerably inhibit the activity of caused by continuous cropping and soil leakage the Coffee Stem Borer because it prevents the insect from due to rains. Composting techniques are not laying eggs. Similarly, outbreaks of nematodes and root common and farmers often do not know or diseases are often caused by a reduction of microbial appreciate that organic matter including manure activity and diversity in the soil due to fertilizers, pesticides must be transformed before it can be absorbed by and herbicides. the tree. Coffee pulp is directly spread on the soil without being decomposed. On average, coffee Coffee trees need shade to slow down their fruit pulp takes 6 to 9 months to be decomposed to a maturation; large coffee beans are usually found under level that can be useful as fertilizer. The farmers shade with heavier weight of cherries, improved cup waste much of the organic material such as crop quality (especially body and acidity), with a reduced residue from the bean and maize harvests. The percentage of fallen fruit of over 20%. It also lowers the organic manure and pulp, when available, are percentage of reject fruits that are diseased, mummified, dumped near the homestead which overtime sunburnt or dried, maintain a cool air temperature for the benefits the nearby trees while those in the tree, and protect the tree from direct sunburn all resulting outlying area have inadequate soil nutrition. in superior cup quality. For example, photosynthesis is sharply lowered at temperatures above 26 degrees that 1 - The following observations are based on the author’s walking tour and interviews with farmers and dealers of the Sironko can be caused by direct sunshine on the tree. Moderate and Bulambuli coffee growing areas from 29 November to 11 December 2012. 50th Anniversary Edition 57 shade can prevent leaf rust and give higher commonly available, the farmers are not adopting them fertility. Direct sunshine lowers the levels of as required because of the apparent shortage of land potassium, calcium and zinc in the soil while and the competition for space between shade trees and shade promotes these nutrients. The main food crops. Shade trees are stronger than coffee trees and mechanism for biological soil improvement can be a good protection against landslides which have is the permanent root system which improves devastated many lives in the region. nutrient recycling from the subsoil to the top soil through the leaf system, reduces Pest and Disease Control - Various pests and diseases leaching losses, and fixes nitrogen. With are present in the area. Amongst the pests; the most similar soil nutrition, shaded trees have better prevalent are the mealy bug, antestia, coffee berry borer, leaf retention and are taller than trees with coffee stem borer, and leaf miner. Such pests impact the little or no shade. Shade prevents the growth terminal buds, the flowering areas, the berries, and the of weed by blocking the sun and the fallen stem of the coffee tree. The main cause of an increase leaves act as mulch and prevents germination in the incidence of pests and diseases is the imbalance and spread of weeds. A permanent shade in the eco system brought about by deforestation, of 50% eliminates weeds completely and intensification of coffee production, and use of chemicals therefore saving considerably on labour cost that kill the predators and eliminate the natural balance for weeding. Most farmers are not aware of in the eco system. The recommended insecticide against the correct spacing for the required canopy most pests is dimethoate which kills on contact by acting cover of at least 50%. on the insect’s nervous system. A major problem with domethoate is that it is highly toxic and can have negative Banana trees which are only a temporary lateral damage on water streams, micro-organisms, birds canopy for young trees are in many instances and insect predators such as spiders. In this regard, it is used as the only canopy even for the mature instructive to note that the State of Hawaii, home to the trees. The SL 14 Arabica tree for example famous Kona coffee, dimethoate is banned due to its high grows as high as or even taller than a banana toxicity but is widely used in Uganda. tree and therefore the banana tree cannot be an effective canopy for this variety which is the Banana trees which are only a most common and the most recommended temporary canopy for young coffee tree. The tree species that have proven effective in the region for providing the canopy trees are in many instances used cover are alibizia, acacia, cordia and Gliricidia as the only canopy even for the sepium which is an exotic leguminous tree mature trees. The SL 14 Arabica with fast germinating leaves that are used for tree for example grows as high mulching. There are fruit trees such as mango, avocado and citrus trees that can grow high as or even taller than a banana and tall and act against soil erosion in addition tree and therefore the banana to providing good shade. There is controversy tree cannot be an effective over the use of fast growing trees for poles canopy for this variety which is and timber such as acacia. This issue needs further research under Ugandan conditions. the most common and the most Although the seedlings for the shade trees are recommended coffee tree.
58 50th Anniversary Edition Organic alternatives currently registered for coffee in Hawaii are Volck® Supreme Oil (especially for mealy bug), Safer’s® Insecticidal Soap Concentrate (for most insects), and Clean Crop® Superior 70 Oil. These are much safer organic pest control solutions. Other organic and non-chemical solution is to introduce natural predators which require research and adaptation although this has not yet been done sufficiently in Uganda. Integrated Pest Management in Indonesia shows that organic alternatives are available and can be developed by the farmers themselves for pest control such Mulching - Mulching, which involves spreading fresh as using natural predators to eliminate the or decomposed plant material on the surface of the insects that cause damage to crops instead of soil between coffee trees is insufficiently practiced. using expensive and dangerous chemicals. A Mulching is needed to decrease weed growth, keep 50% shade cover, as explained above, are an the soil moist with a moderate pH, and increase the important part of the solution. organic matter. Part of the problem is that much of the grass in the area is used for animal feed and little is left Amongst the diseases, the most prevalent are for mulching. A major issue is awareness of the benefits the fungi causing leaf rust and coffee berry of mulching. There are also trade-offs that need to be disease. Again although these fungi can be achieved between intercropping beans and coffee and controlled by routine spraying with copper mulching at the completion of bean harvest. Some oxide, organic alternatives are available and farmers tend to burn the crop residues which could be should be promoted to avoid creating “toxic used as mulch. Maize leftovers, locally growing grasses trails” in the mountain. Chicken, turkey, especially along the river banks could be slashed and peacocks, guinea fowl, pheasants, lizards, and used as mulch. the birds pick bugs and while their droppings add nitrogen to the soil. Animal roaming Pest and Disease Control - Various pests and diseases under the trees should be encouraged. are present in the area. Amongst the pests the most Regular pruning of the diseased branches prevalent are the mealy bug, antestia, coffee berry borer, and their elimination from the farm is also coffee stem borer, and leaf miner. Such pests impact the effective. Adequate shade reduces fungus terminal buds, the flowering areas, the berries, and the growth and prevents leaf rust. Interestingly, stem of the coffee tree. Although, the recommended poverty has prevented many farmers in insecticide against most pests is dimethoate which greater of use chemical pesticides and this kills on contact by acting on the insect’s nervous may be a blessing in disguise. system, a major problem with domethoate is that it is highly toxic and can have negative lateral damage on water streams, humans, and birds. In this regard, it is instructive to note that the State of Hawaii, home to Amongstthe diseases, the the famous Kona coffee, dimethoate is banned due to its high toxicity yet the chemical is widely used in mostprevalent are the fungi Uganda. Organic alternatives currently registered for coffee in Hawaii are Volck® Supreme Oil (especially for mealy bug), Safer’s® Insecticidal Soap Concentrate (for causingleaf rust and coffee most insects), and Clean Crop® Superior 70 Oil. These are much safer organic pest control solutions. Other berry disease. organic and non-chemical solution is to introduce
50th Anniversary Edition 59 natural predators which require research and adaptation but that has not yet been done sufficiently in Uganda. Integrated Pest Management in Indonesia shows that organic alternatives are available and can be developed by the farmers themselves for pest control such as using natural predators to eliminate the insects that cause damage to crops instead of using expensive and dangerous chemicals.
Amongst the diseases, the most prevalent are the fungi causing leaf rust and coffee berry disease. Again although these fungi can be controlled by routine spraying with copper oxide, organic alternatives are available and should be promoted to avoid creating “toxic trails” in the mountain. Chicken, turkey, peacocks, guinea fowl, pheasants, lizards, and the birds pick bugs and with their droppings add nitrogen to the soil. Animal roaming under the trees should be encouraged. Regular pruning of the diseased branches and their elimination from the farm is also effective. Poverty has prevented many farmers in greater of use chemical pesticides and this may be a blessing in Intercropping - Careful planning is needed to ensure disguise. However it should be noted that an optimal planting of coffee trees with food crops. For in cases of severe attack, there may be no example, beans should be the bunch variety and not the short term alternative but to spray. climbing variety that are heavy feeders and can compete with the coffee tree. Banana has long routes that can take De-stumping and pruning - Many nutrition away from the coffee tree. Planting maize with highland trees have between 20 to 40 coffee trees is not a good idea as the maize will practically years and require de-stumping which suffocate the coffee. Fertilization should consider the need involves integral stumping of the entire for all the crops and not for coffee alone. Bananas need tree followed by maintenance of three sunshine and should be planted in the more exposed stems together with recommended areas while coffee trees require at least 50% shade. In management. A casual observation of the lowlands area banana is more important while in the the trees in the area shows one stem with highlands coffee is more important. Coffee farmers need seven to 8 vertical branches all with poor to be sensitized that that a well-managed garden can yields. Correct pruning after two to three provide a moderate shade for coffee without affecting the yields of good performance of a branch growth of the bananas which should be planted where is not practiced with the consequence of there is most light. falling productivity of the tree. Another observation is that many farmers Price and Processing at Farm level - According to local especially in highland areas do not have estimates, almost 50% of the coffee is sold as red cherries adequate pruning scissors and saws which to washing stations and dealers who pulp and dry the are often locally replaced by using knives product2. or axing that disturb the trees. 2 - Currently red cherries are sold at UGX 900/kg while the price of dry parchment coffee ranges between USH 4000 to USH 5000. Consid- ering that on average 55% of the red cherry is pulp and mucilage, the red cherry price is equivalent to selling the parchment at half price.
60 50th Anniversary Edition The highland farmers are generally poorer than lowland farmer with less income generation alternatives and resort Coffee inter-planted with banana. more frequently to selling red cherries. Labour shortage, need for cash, and the poor accessibility to working pulpers further compel the farmers to sell the red cherries before transforming them into parchment. The pulpers used in the region are predominantly manufactured by Bental fabricated some 50 years ago. According to one estimate, the ratio of hand pulpers to farmers is about 1:50. Many farmers do not have access to such devices and must pay UGX 10,000 per day to borrow a pulper from a neighbour.
Good drum or disk hand pulpers are currently very expensive (over UGX 2 million for a Brazilian type from Pinhalense). The cheaper chain driven Chinese or Indian types are available in Mbale at UGX 700,000 but they are fragile and do not last for a long time. The spares are rarely available.
It should be added that hand pulping of red cherries at farm level has a number of disadvantages as it is not possible to have full control on the processing conditions by each individual farmer in terms of the pulping efficiency, quality of the water used, fermentation and drying all of which affect the quality of coffee. The old and worn-out hand-pulpers (some dating from 50 years ago) nip the beans, are inefficient and have a poor parchment turnout. A hand count revealed that almost 10% of the cherries are not pulped and there is a lot of parchment mixed up with the pulp.
The use of unclean water and uncontrolled fermentation A young woman has borrowed a pulper for her father. methods increase the risk of contamination. Coffee is washed after a-two-day fermentation by using baskets that are taken to nearby streams for washing. The environmental pollution during the pulping season is very significant with many streams brownish and dirty.
Drying - The weather conditions for drying is also a big challenge, more so in the highland, because of the frequency of the rains especially during the first two months of the season when rains are very frequent. The most common method is drying on tarpaulin sheets recovered from World Food Programme (WFP) tents. Local dealers buy the wet parchment with 30-40% moisture from the farmers and dry them in the trading centres thereby adding value and earning between UGX 200 to 500 extra per kg.
The traditional use of raised tables using rollable papyrus mats are unfortunately more and more infrequent.
The bulking of parchment by the dealers who buy wet parchment from the farmers and dry it in trading centres leads to a non-homogeneous product which subsequently An old (1930) Bental hand pulper used by a farmer in attracts a lower price at the international market. the mountain near Namuserere.
50th Anniversary Edition 61 The unpredictable weather, drying on the ground, and dust all affect the quality.
Rural Roads Walking in the mountain towards the end of the rainy season showed the poor state of the roads. Some of the best coffee growing areas are not reachable by trucks and the produce must be carried by motorcycles or on head. Many of the existing roads are not drivable during the rainy season. Some communities are totally disconnected to the road network.
Financial Services for Farmers - Financial services offered by the commercial banks are unavailable at the local level. Farmers who need a bank account have Tarpaulin sheet on the ground used for drying to go to Mbale and operate a personal account at a parchment coffee (Budadiri). commercial bank purely for receipts and payments which are also provided by the mobile money service providers. However, the critical requirement is adapted agricultural loans, adapted savings services, and micro-insurance which are not provided by banks or mobile money providers. Seasonal loans are needed to buy inputs, simple tools for pruning, de-stumping and labour. Labour is required for picking, pulping, washing, spraying etc. which is highly required at the end of March and beginning of April when application of fertilizers and weeding is done. Because of lack of adequate security and regular income, most banks shy away from lending to farmers and the existing agricultural credit schemes are difficult to access for most smallholders.
Traditional Papyrus mat and table for drying coffee used by a lead farmer (rarely seen nowadays).
The use of unclean water and uncontrolled fermentation methods increase the risk of contamination. Coffee is washed after a-two-day fermentation by using baskets that are taken to nearby streams for washing. The environmental pollution during the pulping season is very significant with many streams brownish and dirty.
Stuck on the Budadiri Namuserere road.
62 50th Anniversary Edition III Towards Solutions
ithout a doubt the above-mentioned of generating, adopting and extending sustainable Wissues have and continue to hamper agriculture within the localities where they make their coffee production, processing and above livelihoods. In FFS, farmers take the roles of experts, all coffee quality. What is required is to trainers, and researchers. The FFS is a group of farmers ensure that the smallholders, who are organized under a lead or advanced farmer and supervised the foundation of the coffee sector, are by a especially trained external facilitator to motivate empowered and supported so that the and guide the discussion towards factors affecting rest of the edifice does not collapse. The coffee production, methods for addressing soil fertility, farmer-first strategy proposed below crop yield, environmental protection, disease and pest is therefore inspired from the author’s control, and other issues of common interest including experience and conviction that without networking, marketing and business management major investments in building the based on experiments, observations and analysis. It is an smallholders capacity and income, the application of the principal that information is highest coffee sector and coffee production are at the lowest level and where “truth” emerges through likely to decline and deteriorate in the conversation and consensus and not through imposition near future. of the theoretical views of researchers or extension workers. The FFS generates recommendations through a group consensus for developing the best locally adapted Improved and Sustainable Coffee and site-specific agricultural practices through farmer’s Production own discovery. To increase and improve sustainable coffee production, the two principal ingredients Such an approach has already been applied in 87 countries are farmer education and access to tools including Uganda. The approach was introduced and inputs. In providing farmer education, originally in 1986 by Food and Agricultural Organisation there is need for a radical break with the (FAO) for Integrated Pest Management in Indonesia with old centralized top down training and successful and encouraging results. Tanzania and Kenya visit (T&V) system where technology have integrated the FFS methods in their extension was supposed to be transferred from systems. The FFS method was used effectively in Uganda research stations via the extension agent in 1999 to 2002 period in a number of districts for fighting to the farmer in a one-way flow and against the Banana Wilt Disease. Although HE President where the extension agent is the supplier Museveni in a 2008 speech directed all government of knowledge. A modification of this agencies involved in agriculture to actively implement the approach into a “demand driven” system FFS methodology, not much has happened since. FAO has is also not satisfactory because “demand been active using this approach in disaster areas but not “ requires awareness of what should be in coffee growing or more agriculturally active areas. demanded which may not be there and, even worse, the demand is expected to be supplied by the government extension agents. This centralized and non-participatory lecturing approach has proven costly and ineffective. In Uganda, A more cost-effective and sustainable for example, coffee extension is the approach is the Farmer Field School responsibility of UCDA which has 1 agent (FFS) which involves empowering the for over 50,000 farmers and in most coffee farmer to remove the dependency on farmers have never seen any extension external expertise and develop the agent. capability of generating, adopting A more cost-effective and sustainable and extending sustainable agriculture approach is the Farmer Field School (FFS) within the localities where they make which involves empowering the farmer their livelihoods. to remove the dependency on external expertise and develop the capability
50th Anniversary Edition 63 Through the FFS as the driving vehicle, the At least nine FFS networks in Eastern Africa support about lead farmers (here understood as farmers 2,000 FFSs with close to 50,000 direct beneficiaries3. The with established coffee nurseries) should FFS and the networks are particularly encouraging in be supported to expand their nurseries to terms of strengthening the role of women and could be a minimum of 40,000 seedlings for coffee used for promoting the Women in Coffee agenda. and 10,000 for shade trees. Extension packages should be made available for Improved Ecological Processing Capacity experimentation and adaptation after Farm level coffee processing can be substantially practical field trials by the farmers through improved through the establishment of mechanized the FFS on shading, mulching, composting, Eco-Pulper Units (EPUs) located in key trading centres stumping, pruning, pest and disease in coffee growing districts. The eco-pulpers can increase control, and best intercropping practices value addition for farmers, substantially accelerate for improved overall farm and business coffee processing and quality resulting in mostly P-grade management. Through an MOU with the coffees, minimize environmental pollution of water lead farmer, he/she could offer land and bodies and streams currently used for washing coffee, labour and volunteer to host the school provide a controlled and quick drying facility, reduce and in exchange for donor or government eliminate the risks of coffee contamination, and allow the investment for a training hall, plant mucilage, currently dissolved in water and wasted, to be materials, lab facilities, power, curriculum, collected mechanically without fermentation for sale to printed material, and other training the pharmaceutical industry as pectin. The eco-pulper requirements for a field school. The FFS units can further establish vermicomposting areas for the could also be designed as a company for a transformation of the pulp into organic fertilizer that will one-stop-shop with a store for supplying be made available to coffee farmers to replace chemical inputs and tools such as sprayers, pruning fertilizer usage. scissors, seeds, and chemicals linked to a financial institution, cooperative or a Donor and government funds would be mobilized microfinance organization. for the establishment of enterprises through public/ private partnership. Commercial operators (SMEs) and The normal duration of the FFS is a full local communities should be supported by donor and year after which farmer students graduate government funds to this end. The donors have an and new farmers can be admitted. There interest in supporting such investments due to the high should be small school fee to cover the economic returns and the externalities in terms of poverty operating costs of the school operated by alleviation and reduction in environmental pollution. the lead farmer. In many cases, graduates The local commercial entrepreneurs can enter into a are found to become influential members partnership with a local community for the allocation of their community due to their superior of land while the investor together with the donor can knowledge. An unintended but positive build the required building and purchase the machinery. consequence of FFS implementation has With preliminary estimates, such an enterprise can be been the emergence of FFS Network of the established at the cost of about $ 50,000 for a 1MT/hour graduates in various countries including pulping capacity or an actual low cost of only $ 5000/year Uganda. These networks provide a number in terms of depreciation value. of benefits such as advocacy for farmer empowerment and women, information 3 - Federating Farmer Field Schools in Networks for Improved Ac- sharing on marketing opportunities, and cess to Services, siteresources.worldbank.org/INTARD/.../Module3-IAP2. pdf, A. Braun, G. Khisa, D. Duveskog, K. Davis. bulking for the purchase of inputs.
TheFFS and the networks are particularly encouraging in terms of strengtheningthe role of women and could be used for promoting the Women in Coffee agenda.
64 50th Anniversary Edition The operating costs for such a unit can range supply and expand the domestic coffee market. Hotel and between $1500 and $ 3,000 depending on location restaurant owners need to be educated about Ugandan and staff qualifications. The income is substantial coffee and why they should be keen to serve fresh as most farmers selling red cherries would most Ugandan and not instant coffee. The author experimented likely use the service at a fee. with a blend of Robusta and Arabica medium roasted The unit must have a drying yard with green house and ground to the point of becoming like flour (so-called for accelerated drying and a warehouse for storing Turkish grind). The coffee dissolves in water to a high parchment coffee. The service should be offered extent leaving only a small amount of fine residue in the on a fee basis and not by buying the red cherries cup and it can easily substitute instant coffee. from the farmers as is practiced at present. The stored parchment can then be used as collateral Roasting units should be installed to provide coffee for a line of credit to farmers who have brought roasting and packaging services for the public at an their cherries to the station. affordable cost. This facility will enable the capable local farmers to sell roasted coffee, green cleaned coffee as well Financial Services for Coffee Growers as parchment if they wish. Local businesses may buy green Financial services targeted to coffee farmers can coffee and roast it at such facilities for sale in their shops be made available through collateral management or nearby markets. This will support the local enterprises of the parchment produced at the Eco-Pulping in many districts. Information exchange and coffee tours Units (EPUs). The farmers can store their dry to the coffee growing areas for tourists can further make parchment coffee at the warehouses adjacent Ugandan coffee more visible to foreign visitors who will to the EPUs and benefit from financial services become the goodwill ambassadors of Ugandan coffee in securitized by the parchment coffee through their own countries. standby arrangements with commercial banks. Moreover, the FFS Networks can be capitalized for offering microfinance services for consumption and business loans to farmers. Such microfinance Conclusion arrangements may provide proximity services such as: (a) seasonal loans in-kind, (b) interest his article has tried to summarize the key constraints bearing and commitment based savings accounts, Tof coffee production in Mt Elgon and hopefully will (c) life, health, and crop micro-insurance products, trigger a useful debate on the topic. The key conclusion and (d) improved financial literacy for the farmers. that needs to be emphasized is the gap between the great potential of coffee in Mt. Elgon and the actual production Expanding the Domestic Consumption Market levels constrained by technical, financial, institutional and through Roasting and Tasting environmental factors. These constraints can be addressed Individual farmers, dealers and local exporters only with far sighted vision and leadership based on have difficulty in roasting and cup tasting their a consistent and long term investment strategy in the own coffees before sale. This limits their ability to smallholder economy, in new processing technologies, negotiate and know their coffee. Additionally, most and market development. Ugandan farmers produce Ugandans, including many from coffee growing one of the best coffees in the world, let us not disappoint areas, have never roasted coffee and don’t know them! “ how to do it. In most hotels, even in Kampala, the common coffee is the instant coffee especially Nescafe. It is also amusing to find that on many official occasions, including those supported by UCDA; the guests are served imported Nescafe or other instant coffees.
To expand the domestic consumption market for Ugandan coffee, the first step is to make roasting easy and affordable in coffee growing areas and elsewhere. This can generate a vibrant roasted and ground coffee business based on locally grown coffees. A roasting plant that can roast for a fee for minimum quantities of about 25 kg on order can
50th Anniversary Edition 65 Uganda’s Coffee Exports from 1964/65 - 2011/12. AVG COFFEE QUANTITY VALUE AVG PRICE Appendixes PRICE No. No SEASON (60 Kg Bags) US $ US $/Kg US $/Kg 1 1 64/65 2,158,736 76,820,312 0.59 0.27 2 2 65/66 2,855,621 106,126,982 0.62 0.28 Appendix 1 3 3 66/67 2,637,862 146,548,850 0.93 0.42 4 4 67/68 2,967,825 139,078,017 0.78 0.35 5 5 68/69 2,670,201 162,473,613 1.01 0.46 6 6 69/70 3,193,638 185,874,447 0.97 0.44 7 7 70/71 3,032,609 130,818,018 0.72 0.33 8 8 71/72 3,139,559 145,469,659 0.77 0.35 9 9 72/73 3,677,100 175,549,153 0.80 0.36 10 10 73/74 3,283,183 228,518,975 1.16 0.53 11 11 74/75 2,861,399 175,337,140 1.02 0.46 12 12 75/76 2,431,524 245,222,753 1.68 0.76 13 13 76/77 2,449,737 558,512,578 3.80 1.72 14 14 77/78 1,742,575 312,097,360 2.99 1.35 15 15 78/79 2,353,031 389,108,354 2.76 1.25 16 16 79/80 2,219,802 433,471,715 3.25 1.48 17 17 80/81 1,973,458 230,463,637 1.95 0.88 18 18 81/82 2,785,647 322,030,310 1.93 0.87 19 19 82/83 2,194,888 295,259,322 2.24 1.02 20 20 83/84 2,519,024 392,677,096 2.60 1.18 21 21 84/85 2,500,031 367,591,092 2.45 1.11 22 22 85/86 2,392,198 390,362,568 2.72 1.23 23 23 86/87 2,280,206 308,594,658 2.26 1.02 24 24 87/88 2,318,341 263,239,573 1.89 0.86 25 25 88/89 3,114,396 294,867,882 1.58 0.72 26 26 89/90 2,364,751 139,566,731 0.98 0.45 27 27 90/91 2,085,004 121,343,113 0.97 0.44 28 28 91/92 2,030,829 101,442,768 0.83 0.38 29 29 92/93 2,088,642 108,873,991 0.87 0.39 30 30 93/94 3,005,205 273,658,850 1.52 0.69 31 31 94/95 2,792,753 432,651,034 2.58 1.17 32 32 95/96 4,148,803 388,916,157 1.56 0.71 33 33 96/97 4,237,114 355,126,641 1.40 0.63 34 34 97/98 3,032,338 276,476,134 1.52 0.69 35 35 98/99 3,647,989 282,995,511 1.29 0.59 36 36 99/00 2,917,257 164,763,789 0.94 0.43 37 37 00/01 3,074,773 104,776,424 0.57 0.26 38 38 01/02 3,146,381 83,936,951 0.44 0.20 39 39 02/03 2,663,888 104,787,094 0.66 0.30 40 40 03/04 2,523,042 115,705,844 0.76 0.35 41 41 04/05 2,504,890 162,146,235 1.08 0.49 42 42 05/06 2,002,324 170,362,075 1.42 0.64 43 43 06/07 2,704,236 256,580,844 1.58 0.72 43 44 07/08 3,211,256 388,412,769 2.02 0.91 44 45 08/09 3,054,848 291,832,877 1.59 0.72 45 46 09/10 2,668,971 266,673,061 1.67 0.76 47 10/11 3,149,423 448,890,669 2.38 1.08 48 11/12 2,726,249 392,698,138 2.40 1.09 Source: Uganda Coffee Development Authority
66 50th Anniversary Edition Appendix 2
COFFEE EXPORTS BY DESTINATION FOR COFFEE YEAR 2011-12
Quantity in 60 kilo Bags
DESTINATION QUANTITY %age Mkt share
2011-2012 2011-2012 1 EU 1,828,300 67.06 2 Sudan 427,573 15.68 3 USA 106,489 3.91 4 India 72,868 2.67 5 Ecuador 65,291 2.39 6 Switzerland 42,130 1.55 7 Russia 34,101 1.25 8 Morocco 20,347 0.75 9 South Africa 18,931 0.69 10 Vietnam 17,974 0.66 11 Kenya 17,584 0.64 12 Middle East 15,559 0.57 13 Tunisia 14,607 0.54 14 Egypt 8,973 0.33 15 Algeria 7,988 0.29 16 China 7,815 0.29 17 Japan 7,059 0.26 18 Australia 7,040 0.26 19 Taiwan 2,800 0.10 20 Singapore 1,540 0.06 21 Mexico 960 0.04 22 Hongkong 320 0.01 Total 2,726,249 100.00 Source: Uganda Coffee Development Authority
50th Anniversary Edition 67 Appendix 3
COFFEE EXPORTERS’ PERFORMANCE FOR 2011/12 - QUANTITY 60KG BAGS AND VALUE USD Robusta Arabica Total Quantity Value Quantity Value Quantity Value Ugacof(U) Ltd 368,964 41,871,687 60,905 11,369,163 429,869 53,240,850 Kyagalamyi coffee Ltd 198,236 22,473,896 190,722 35,216,529 388,958 57,690,425 Olam (U) Ltd 281,658 34,119,738 49,558 10,407,374 331,216 44,527,112 Kawacom (U) Ltd 78,953 9,806,408 175,209 37,434,105 254,162 47,240,513 Ibero (U) Ltd 150,759 18,583,399 18,301 4,307,855 169,060 22,891,254 Job Coffee 79,228 9,768,329 74,762 14,764,409 153,990 24,532,738 Kampala Domestic Stores 143,266 14,548,243 350 43,982 143,616 14,592,225 Savannah Commodities 82,300 9,327,688 45,805 8,726,717 128,105 18,054,406 Greatlakes Co. Ltd 14,420 1,734,115 96,348 23,907,789 110,768 25,641,904 Panafric Impex(U) Ltd 94,980 12,143,550 94,980 12,143,550 Lakeland Holdings 39,563 4,470,242 21,100 3,756,189 60,663 8,226,431 Nakana Coffee Factory 58,910 7,569,988 58,910 7,569,988 Penform Trading Ltd 53,972 6,609,617 1,900 218,520 55,872 6,828,137 LD Commodities (U) Ltd 44,101 5,502,461 10,499 2,053,584 54,600 7,556,045 Armajaro Uganda Limited 46,519 6,302,523 46,519 6,302,523 Kamba Petroleum 26,374 2,863,109 16,928 3,467,523 43,302 6,330,631 Kitasha Coffee Buyers 37,097 4,260,193 37,097 4,260,193 Mbale Importers & Exporters 6,412 779,390 15,260 3,293,131 21,672 4,072,522 Ankole CoffeeProducers 20,866 2,151,482 286 61,879 21,152 2,213,361 Kisuule A & Sons 17,168 2,070,082 17,168 2,070,082 Wabulungu MultPurpose 12,760 1,605,213 3,674 952,599 16,434 2,557,812 Risala (U) Ltd 12,968 1,331,904 1,332 126,858 14,300 1,458,762 BakwanyeTrading Ltd 654 87,429 12,080 2,467,635 12,734 2,555,064 Gumutindo CoffeeCoop 11,580 2,855,065 11,580 2,855,065 Coffee Services 7,973 625,275 3,151 715,292 11,124 1,340,567 Ankole Coffee Processors 8,168 1,040,625 2,720 507,358 10,888 1,547,983 ZigotiCoffeeWorks Ltd 5,938 773,360 5,938 773,360 Kaweri Coffee Plantation 4,320 594,925 4,320 594,925 Nile Highlands 3,500 809,301 3,500 809,301 Bukonzo Joint Co-op 166 16,439 1,754 466,176 1,920 482,615 AndersonInvestments 1,600 183,599 320 91,006 1,920 274,605 Export Trading Co. Ltd 1,920 264,129 1,920 264,129 Coffee World Ltd 980 123,414 640 96,509 1,620 219,922 Commodity Solutions 1,368 179,271 1,368 179,271 Green Holdings 1,280 198,943 1,280 198,943 Budadiri Arabica Coffee 960 175,028 960 175,028 Qualicoff (U) Ltd 700 74,139 700 74,139 KabumTrading Ltd 640 151,332 640 151,332 Gatto Estates 250 31,416 288 24,577 538 55,992 TransgazCompany Ltd 345 44,723 345 44,723 Katuka Development Trust Ltd 320 44,021 320 44,021 Masai Tours & Travel Ltd 221 55,689 221 55,689 Total 1,904,176 223,976,023 822,073 168,722,115 2,726,249 392,698,138 Source: Uganda Coffee Development Authority
68 50th Anniversary Edition Appendix 4
UGANDA COFFEE EXPORTS BY GRADE - 2011-12 QUANTITY IN 60-KILO BAGS; VALUE IN USD$ and UNIT VALUE IN US $/KILO GRADE QUANTITY VALUE UNIT VALUE TOTAL 2,726,249 392,698,138 2.40 ROBUSTA 1,904,176 223,976,023 1.96 1 ORG ROBUSTA 6,770 841,500 2.07 2 WASHED ROB 10,239 1,377,595 2.24 3 UTZ ROBUSTA 990 137,545 2.32 4 SCREEN 18 236,315 30,471,309 2.15 5 SCREEN 17 85,100 10,783,739 2.11 6 SCREEN 15 941,857 116,726,527 2.07 7 SCREEN 14 5,700 671,036 1.96 8 SCREEN 13 334 39,762 1.98 9 SCREEN 12 325,877 37,967,855 1.94 10 OTHER ROB 290,994 24,959,155 1.43
ARABICA 822,073 168,722,115 3.42 11 SPECIALITY 640 227,049 5.91 12 SIPI FALLS 1,060 306,695 4.82 13 BUGISU B 766 221,532 4.82 14 BUG RFA 320 88,889 4.63 15 OKORO AA 1,000 274,764 4.58 16 ORG WUGAR 2,448 660,396 4.50 17 BUGISU C 2,480 645,719 4.34 18 ELGON A 3,040 768,263 4.21 19 ORG BUGISU 7,700 1,937,399 4.19 20 ARA-C/PB 2,480 617,901 4.15 21 WHITE NILE 5,650 1,401,702 4.13 22 BUGISU SUSTAINABLE 1,600 383,495 3.99 23 BUGISU AA 72,306 17,292,782 3.99 24 BUGISU A 14,560 3,415,596 3.91 25 RWENZORI 474 109,348 3.84 26 SUPREMO 2,520 576,194 3.81 27 BUGISU PB 8,988 2,047,155 3.80 28 MT.ELGON 16,084 3,643,367 3.78 29 ORG -DRUGAR 6,478 1,445,068 3.72 30 WUGAR 44,264 9,813,030 3.69 31 BUGISU AB 38,554 8,364,285 3.62 32 ORG-OKORO 3,414 733,219 3.58 33 DRUGAR 475,747 100,026,017 3.50 34 BUGISU A+ 12,725 2,643,578 3.46 35 BUGISU SU 1,380 262,899 3.18 36 OKORO 1,740 301,907 2.89 37 OKORO A 4,620 733,338 2.65 38 MIXED ARA 3,040 461,908 2.53 39 OTHER ARA 85,995 9,318,621 1.81 Source: Uganda Coffee Development Authority
50th Anniversary Edition 69 176,498 146,266 121,778 136,090 295,001 161,901 616,388 312,562 314,782 288,813 373,579 362,807 137,504 260,327 344,787 1,699,791 Value US$ Value 5-Yr Totals Totals 5-Yr 7,669 4,389 Units 64,682 21,689 79,556 517,841 244,688 123,075 148,201 894,560 252,542 269,598 484,081 190,946 463,306 1,679,076 US$ 6,795 Value Value 44,546 21,457 26,752 72,126 86,011 53,981 75,507 23,306 81,872 94,025 136,218 466,659 101,111 126,117 104,369 2011 163 3,436 1,675 Units 17,936 89,246 55,650 25,587 21,552 28,402 70,791 65,524 23,932 188,623 110,469 502,378 112,637 22,474 30,077 35,121 38,206 68,263 19,919 68,662 60,169 55,181 78,687 52,656 71,358 72,388 20,914 127,651 283,891 Value US$ Value 2010 918 863 3,727 Units 16,478 54,555 11,891 23,376 32,373 99,139 51,633 50,629 80,369 23,601 166,251 159,433 361,716 27,829 26,275 23,097 23,186 59,761 57,170 29,066 45,224 49,519 55,787 99,314 30,203 58,846 82,796 103,372 280,209 Value US$ Value 2009 931 548 3,910 Units 11,882 17,888 21,501 44,446 32,000 94,440 91,967 44,950 55,246 38,541 106,562 181,324 390,344 28,790 50,746 22,834 48,183 13,214 47,222 66,448 18,250 39,611 69,209 46,121 64,394 77,504 40,032 124,436 403,179 Value US$ Value 2008 781 5,349 2,055 8,982 7,960 Units 97,365 24,965 46,022 29,042 66,671 88,959 37,694 54,525 58,950 200,640 325,155 US$ Value Value 22,782 65,783 15,936 19,571 38,553 47,629 66,301 23,816 33,451 40,720 62,850 40,469 19,104 23,049 124,711 265,853 2007 SELECTED UGANDA FORMAL EXPORTS BY QUANTITY AND VALUE (USD $ ‘000) 2007 - 2011 (USD $ VALUE AND QUANTITY BY EXPORTS FORMAL SELECTED UGANDA 522 5,267 3,602 9,404 Units 16,230 31,681 87,148 44,015 26,384 72,772 47,474 43,674 99,483 45,922 164,540 101,233 Kg Unit Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne 000Litres 000 Litres Appendix 5 Appendix Roses & Cut flowers Roses & Cut Gold & Gold Components Cocoa beans Cocoa Cotton Non - Traditional Exports Products and Fish Fish Products Petroleum Tea Tobacco Sugar & Confectionary Animal/Veg Fats & Oils Fats Animal/Veg Iron & Steel Cement Coffee Coffee Maize Maize Beer Telephone for Cellular for Telephone Traditional Exports Traditional
70 50th Anniversary Edition 496 1,142 1,545 3,167 5,112 3,389 69,019 73,077 64,900 61,560 12,920 10,405 84,873 21,518 87,202 61,576 35,419 86,756 20,482 1,952,829 8,406,261 0 584 443 471 822 3,474 1,243 5,641 1,238 59,112 14,175 20,351 38,497 43,695 72,648 16,295 160,031 158,220 376,475 130,194 255 163 426 875 298 1,654 1,218 1,443 2,957 5,475 3,484 18,442 20,428 17,318 16,317 17,647 26,162 18,469 33,067 452,126 2,159,076 53 761 299 139 669 148 314 135 1,579 3,682 9,122 3,720 38,254 35,920 14,841 87,738 29,518 21,218 22,635 88 128 429 294 496 722 545 3,985 7,404 4,352 4,290 16,456 10,200 12,882 12,505 18,120 18,835 10,096 17,061 374,099 1,618,604 7 88 471 283 723 918 111 142 235 2,904 7,612 3,271 33,323 24,417 12,065 75,401 32,314 12,178 10,869 69 118 166 932 617 780 1,076 3,908 7,500 5,146 4,908 5,996 16,736 14,720 13,369 13,172 11,748 10,878 10,188 393,931 1,567,612 7 66 695 320 333 198 254 1,616 2,630 3,290 6,558 3,136 3,706 5,160 38,289 38,140 12,107 82,041 17,172 28 211 481 580 649 1,536 5,332 1,822 8,916 4,375 3,039 10,435 17,630 15,884 10,870 20,033 17,003 13,099 12,518 419,686 1,724,300 30 10 95 396 304 239 192 1,949 3,250 3,114 6,052 5,021 3,329 25,426 37,211 14,154 65,368 23,081 13,042 43 148 430 256 6,950 5,447 8,696 1,331 1,976 1,117 1,551 9,724 6,124 3,187 6,262 10,099 17,325 14,324 18,114 312,987 1,336,669 4 55 23 101 684 194 422 1,151 5,945 5,798 7,361 9,153 2,142 2,269 24,739 22,532 65,927 28,109 20,942 kgs ,000 ,000 Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne Tonne 000Kwh 000 Litres Source: Statistical Abstracts - Uganda Bureau of Statistics (UBOS) of Statistics - Uganda Bureau Abstracts Statistical Source: Total Exprts (USD) Total Ground nuts Ground Other Products Rice Bananas Beans & other Legumes Sesame seeds Electric current Other Precious Metals Other Precious Cobalt Soya beans Soya Fruits Pepper Hoes & Hand tools Soap Live animals Live Plastic Products Plastic Water hides Cattle Vegetables Vanilla
50th Anniversary Edition 71 our vision
To have sustainable WHAT IS coffee production and trade in Uganda
UCF our mission Engage and work with all stakeholders [esp. UCDA, NUCAFE, COREC] in the coffee industry to promote sustainable coffee production and trade
our goal
Sustain and increase volumes and quality of traded coffee
The UCF caters for the interests of all those involved in every branch of the coffee industry in Uganda, providing a forum for discussion of all issues that affect the coffee trade in Uganda. The cardinal aims of the federation are to provide representation of all key players in the coffee trade in Uganda in all matters that pertain to their operations and to provide a common forum for private sector interests in the coffee industry in Uganda.
strategic objectives that will underpin the association plans:
1. Efficient, effective and profitable operations of members’ businesses.
2. Increased volume and quality of coffee produced, processed and exported.
3. Professional competition, good camaraderie and industry cohesion.
4. Relevant, accessible and unique intelligence Uganda coffee value chain information.
72 50th Anniversary Edition UCTF MEMBER BENEFITS
The federation has set up a system aimed at rendering a range of services to its members, which include.
• Facilitating policy dialogue on coffee related issues on behalf of the coffee trade and industry in Uganda. We monitor policy trends and ensure that the interests of the sector are taken care of through a constructive consultation process.
• Coordination of trade related issues on behalf of the coffee industry for the benefit of members
• Provision of vital trade information that is critical to the trade activitiesss of the members. We also publish the Coffee Year Book, Uganda Coffee News and a monthly newsletter.
• Provide Networking opportunities for members through such activities as the CEO Forum, dinners and other special events.
• Coordination of training –aimed at enhancing the skills of its members in coping with the challenges of the liberalized coffee trade locally and internationally (areas including marketing quality and documentation. Beneficiaries have included managers, marketing executives, quality controllers, local coffee roasters, as well as hotel and restaurant operators.
• Technical advice on coffee related matters.
• Programmes aimed at enhancing the quality of Ugandan Coffee including monitoring of members adherence to the UCTF code of conduct.
• Arbitration services aimed at resolving disputes regarding contracts entered into locally by UCTF members or other parties (in the coffee business) who may choose to use such services.
• Promotion of Uganda coffee:- Did you know that the Uganda Coffee home-page developed in 1995, was one of the first web pages on Uganda? Did you know that UCTF hosted the first ever internet Coffee Tasting session in the world, between Kampala and Washington D.C?
50th Anniversary Edition 73 UCF MEMBERSHIP PROFILE
1. ORDINARY MEMBERS / COFFEE EXPORTERS
Name ARMAJARO UGANDA LIMITED Name JOB COFFEE LTD Address P.O. BOX 14625 Address P.O Box 4152, Kampala Location Plot 2219/2377, Bweyogerere Kampala Location Plot 555/7, Kawempe Industrial Area Telephone +256 414 285842 Telephone +256 414 255914/ 312 262993 Fax +256 414 285684 Fax +256 414 251783 Email [email protected] Email [email protected] / jobcoffee@ Contact Mr. Guy Speakman-Country Manager. yahoo.com Contact Mr. Ayub Kalule - Managing Director
Name EXPORT TRADING COMPANY (U) LTD Name KAMPALA DOMESTIC STORES Address P.O. Box 21679 Kampala Address P.O Box 25604 Kampala Location Plot 26/27 Namanve Industrial Park Location 6/8 Nyondo Close, Bugoloobi Industrial Telephone +256 414 254642 Area Fax +256 414 254645 Telephone +256 414 235597 Email [email protected] Fax +256 414 235304 Contact Mr. Mukeshi Halai Email [email protected] Trade Exporter Contact Mr. Ishak K. Lukenge - Managing Director
Name GREAT LAKES COFFEE COMPANY Name KAWACOM UGANDA LTD LIMITED Address P.O Box 22623 Kampala Address P.O. Box 27198 Kampala Location Plot M284, Ntinda Industrial Area Location Plot M289 Ntinda Industrial Area Kampala Telephone +256 414 286961 Telephone +256 414 22611/9 Fax +256 364 286960 Fax +256 414 505632/ 222612 Email [email protected] Email [email protected] Contact Mr. Telis Nicolaides - Managing Director Contact Mr. Roy Lugone - Managing Director
Name IBERO (UGANDA) LTD Name KAWERI COFFEE PLANTATIONS LTD Address P.O Box 23139, Kampala Address P.O. Box 264 Mubende Location 7th Street Industrial Area Location Plot 1 Kitemba, Mubende Telephone +256 414 34 2621/9, 343629 Telephone +256 362 600600 Fax +256 414 34 2646 Fax + +256 362 600610 Email [email protected] Email [email protected] Contact Mr. Eugene Nsereko - Commercial and Contact Mr. Jeremy P. Hulme – Managing Director Operation Manager
74 50th Anniversary Edition Name KYAGALANYI COFFEE LTD Name SAVANNAH COMMODITIES LTD Address P.O Box 3181 Kampala Address P.O Box 6217 Kampala Location Plot 1-3 Spring Road 5th Street Industrial Location 4/5 Nyondo Close, Bugoloobi Industrial Area Area Telephone +256 414 344021/ 251447 Telephone +256 414 252541 Fax +256 414 230145 Fax +256 414 258254 Email [email protected] Email [email protected] Contact Mr. David Barry - Managing Director Contact Mr. Hannington Karuhanga – Managing Director
Name LAKELAND HOLDINGS LTD Name UGACOF LTD Address P.O. Box 29129 Kampala, Uganda Address P.O Box 7355 Kampala Location Plot 9 3rd Street Industrial Area Location Plot 246 Kireku, Bweyogerere Telephone +256 414 345120 Telephone +256 414 250024/25 Fax +256 414345113 Fax +256 312 250020 Email [email protected] Email [email protected] Contact Mr. George Namude Bwire-Managing Contact Mr. Micheal Nuwagaba Director
Name LD COMMODITES LTD Address P.O. Box 35021 Kampala Location Plot 278/79 Ntinda Industrial Area, Kampala Telephone +256 414 285614 Fax +256 414 286322 Email [email protected] Contact Mr. Matthiau Simian.
Name OLAM (U) LTD Address P.O Box 23436 Kampala Location Plot 7/9 Mapeera Road, Nalukolongo Industrial Area- Kampala Telephone +256 414 566731/ 566886 Fax +256 414 251013 Email [email protected] Contact Mr. Iyer Suresh- Managing Director
50th Anniversary Edition 75 2. ALLIED MEMBERS
Name Africa Coffee Academy Name ICONA CAFE Address P. O. Box 23648, Kampala, Uganda Address Principe De Vergara 136 2800 Z Madrid Location Plot 31B Bandali Rise, Bugoloobi, Country Madrid, Spain Kampala Telephone +3491 3837700 Telephone +256 752 442480 Fax +3490 2337700 Fax +256 414 342082 Email [email protected] Email [email protected] Contact Mr. Vicente Olazabal. Contact Mr. Robert W. Nsibirwa – President / CEO Trade Coffee Buyer Trade Coffee Academy Name KENFREIGHT (U) LTD Name AUDIT CONTROL AND EXPERTISE (U) Address P.O. Box 7492 KAMPALA LTD Location Plot 1906, Jinja Rd, Bweyogerere Address P. O. Box 22749, Kampala, Uganda Telephone +256 041 287801/286955 Location Plot 31 Clement Hill Road, Kampala Fax +256 041 286950 Telephone +256 414 233973/ 348425 Email [email protected] Fax +256 414 235471 Contact Mr. Pule Humphrey. Email [email protected] Trade Transport & Logistics Contact Mr. Amos Tumwesigye, Country Manager Trade Collateral Managers / Credit Support Name SPEDAG INTERFREIGHT (U) LTD Organisation Address P.O. Box 4555 Kampala Location Plot 284 Nakawa Industrial Area, Kampala Name EAGLE EYE AFRICA LTD Telephone +256 414 505805/6 Address P.O. BOX 25300 Fax +256 414 505803 Location Plot No. 83, 6th Street industrial Area. Email [email protected] Telephone +256 414346625/6 Contact Mr. Martin J. Richner – Regional Exports Fax +256 414346624 Manager Email [email protected] Contact Mr. Shahzad B. Tejani. Trade Organic growers.
76 50th Anniversary Edition Trade Transport & Logistics Name NK LOGISTICS (U) LTD Name STANBIC BANK Address P.O. Box 27188, Kampala Address P.O. Box 7131 Kampala Location Plot 1900 Block 216 Old Kira Road, Location Plot 17, Hannington Road - Crested Room 29 Towers - Kampala Telephone +256 414 288372 Telephone +256 414 234710/11/13-24/+256 312 224 Fax +256 414 288373 111/600 Email [email protected] Fax +256 414 231116 Contact Mr. Steven Kintu- Managing Director Email [email protected] Trade Transport & Logistics Trade Commerical Bank
Name ORIENT BANK LTD Name TRANSAMI (U) LTD Address P.O. Box 3072 Kampala Address P.O. Box 5501 Kampala Location Plot 6/6A, Kampala Road Location Plot M611 Ntinda Road Telephone +256 414 236012-5 Telephone +256 414 336000 Fax +256 414 348039 Fax +256 414 286458 Email [email protected] Email [email protected] Contact Mark Harwood – Executive Director Contact Koen Rombouts - Transport & Trade Commercial Bank Logistics Manager Trade Transport & Logistics
50th Anniversary Edition 77 Advertisers’ Index
kawacom Inside Front Cover
Spedag Interfreight Page 3
Audit Control Services Page 5
Stanbic Bank Page 8
Ugacof Page 18
Armajaro Page 25
Job Coffee Page 36
Cimbria Page 50
Ibero Page 55
Kyagalanyi Inside Back Cover
UCDA Back Cover
On Behalf of the Board, Members, and Management of Uganda Coffee Federation (UCF), I Wish to Convey our Sincere Appreciation for your Support Towards the Publication of the Coffee Year Book 2011/2012 – Betty Namwagala - Editor.
78 50th Anniversary Edition 50th Anniversary Edition 79 Uganda Coffee Development Authority
VISION MISSION
To promote and oversee Making Uganda the development of the coffee sub-sector through a distinguished production of clean planting producer of materials, support to research, high value coffee value addition, quality assurance and timely dissemination of market information to stakeholders
OBJECTIVES SERVICES RENDERED
Promote, monitor and improve marketing of coffee to optimise foreign Support coffee development through exchange and farmers’ earnings production extension services Ensure that the quality of coffee Identity priority areas for investment exports meet Internation standards in the coffe industry Promote coffe as a value added product Support production of clean planting Promote coffe as a value added product materials through coffee research Promote domestic consuption of and nurseries development Uganda coffee Uganda coffee Provide price and production forecasts Harmonise activities of coffee sub-sector associations in line with industry goals Register and license coffee sector players Policy analysis and developement Maintain a register of sales contracts Provide regulatory and quality assurance services during buying, processing & marketing Promote coffee value addition
If you have enjoyed Uganda Coffee tell others ... If not satisfied tell us:
Coffee house, Plot 35, Jinja Road P.O. Box 7267, Kampala, Uganda Tel: +256-41-4-256940, +256-31-2-260470 Fax: 256-41-4-232912 80E-mail:[email protected] website:http//www.ugandacoffee50th Anniversary Edition