Bloomberg News

Ugandan Coffee Exports May Rise 13% in June, Authority Says

June 14, 2011

(Updates with shipment forecast in fourth paragraph.)

June 14 (Bloomberg) -- Coffee exports from Uganda, Africa’s second-largest producer of the crop, may this month climb 13 percent from last year to 265,000 60-kilogram (132-pound) bags, according to the Uganda Coffee Development Authority.

The forecast is 4.6 percent higher than the 253,270 bags exported last month, the authority official, who declined to be named because he isn’t authorized to speak to the press, wrote in an e-mail today.

A secondary harvesting in the central and eastern regions, as well as the main crop in the western and southwestern regions has picked up momentum earlier than usual, according to the agency.

Shipments in the 12 months through September may decline to 2.6 million 60-kilogram bags, from a Sept. 20 forecast of 3.1 million bags, the authority said on April 13.

The revised forecast is 2.6 percent lower than 2.67 million bags exported last season, according to the authority. Exports from the start of the season on Oct. 1 through May declined to 1.75 million bags, from 1.78 million bags a year earlier, according to a tally of the agency figures by Bloomberg News.

Draught

East Africa’s third-largest economy had a draught from December to April, which the government blamed on climate change. More than 95 percent of Uganda’s crop is grown by small- scale farmers whose crop is predominantly rain-fed, according to the authority.

Uganda earned $243.6 million from the sales of the beans last season, down from $291.3 million a year earlier. Robusta beans, used in instant coffee, account for about 85 percent of the country’s annual coffee output.

The country consumes less than 3 percent of its annual output, according to the Eastern African Fine Coffee Association.

The East African nation plans to increase production to 4.5 million bags a season by 2015 through an ongoing replanting program, according to the agency.

To contact the reporter on this story: Fred Ojambo in Kampala at fojambo@bloomberg.net

To contact the editor responsible for this story: Alastair Reed at areed12@bloomberg.net --Editors: Sharon Lindores, Nicholas Larkin

To contact the reporter on this story: Fred Ojambo in Kampala at fojambo@bloomberg.net

To contact the editor responsible for this story: Alastair Reed at areed12@bloomberg.net


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