‘Uganda’s coffee is not on global supermarket shelves’

President Museveni showcases a brand of coffee packaged in Uganda. FILE PHOTO

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Latest figures from the Uganda Coffee Development Authority indicate that in June, there was a 7 per cent and 4 per cent decline in volume and value, respectively. Ms Betty Namwagala, the executive director Uganda Coffee Federation, had a one-on-one with Prosper Magazine’s Dorothy Nakaweesi on their role in promoting coffee, the country’s leading export commodity. Below are the excerpts:-

What is the role of Uganda Coffee Federation in the value chain?
Uganda Coffee Federation (UCF) is a membership organisation composed of all stakeholders from the coffee value chain including; farmers, exporters, traders, commercial banks, processors, insurance companies, clearing and forwarding companies and international coffee trading houses in Europe. UCF, through advocacy, monitors policy trends and legislation to ensure all policies are in the best interest of the industry. UCF also trains, provides market information to members and helps stakeholders in resolving disputes that may arise from transactions in the coffee business in Uganda.
UCF has evolved over time. Initially, it was called the Uganda Coffee Exporters Association but this was changed to UCF just after liberalisation of the markets.

After liberalisation, how has UCF implemented its role?
We work with other stakeholders such as government through Uganda Coffee Development Authority (UCDA) to resolve the challenges of the industry. When it comes to issues of tax, we consult Uganda Revenue Authority.

How was the coffee business affected after the liberalisation of the market?
After liberalisation, everybody was free to export. Some farmers with big volumes have organised themselves and started exporting directly. Yet there are those who cannot to do so. This does not mean the exporters have to go down to the grassroots to buy the coffee. They work through middlemen and traders to get coffee.

Uganda’s coffee exports have stagnated for years. Where is the problem along the value chain?
The price of coffee is not dependent on the exporters or Uganda per say. It is determined by the international market, so we cannot work outside that. This depends on the premium an exporter can negotiate depending on that particular type of coffee one is selling.

When we talk about the volumes being stagnant, everybody is concerned. Government has made efforts to work with the private sector and the farmers’ in as far as providing seedling is concerned. But we are not seeing so much change in our volumes. The volumes have stagnated at 2.5 to 3.5 million Kilogramme bags of coffee exported. But you cannot blame anybody for this performance. Some farmers have lost interest because they don’t see any value coffee brings to into their lives. Yet if they follow the good agronomical methods of growing and looking after their coffee plantations, they will earn big. But you cannot force them.

What strategies has UCF put in place to see that Uganda’s coffee volumes and value increase?
We can only ask government to continue supporting the industry. Also our members have gone back to work with the farmers and are training them, providing equipment. Others are helping the farmers to produce certified coffee which is highly demanded by the market. We are all trying because we need a vibrant coffee market. This will not only create more jobs for Ugandans but also reduce on poverty levels. So, farmers need to be helped to increase production. But how? Are there agro-in-puts for these farmers to use? How do we support the farmers to get water for their farms (storage) to be used during the dry season? Our soils are becoming depleted of nutrients because we are not giving back to them. These days, we hear of people using husks to produce bio energy by cement factories instead of applying them as organic manure into their farms. This calls for artificial fertilisers’ which are costly and sometimes substandard.

In 2013, an inclusive coffee policy with all stakeholders in the value chain was passed. What was UCF’s role and how have you implemented it?
Our role in the policy is to lobby, which we have continued doing. However, UCDA has drafted a National Coffee Strategy whose implementation we are still doing.

Coffee consumption is still very low, rated at less than 2 per cent in the country. Why do you think the consumption of coffee locally is still low?
It has to do more with the history that we have. Initially when coffee was introduced into the country, people thought it was only for export. This is the attitude we have to change as stakeholders so that they can start loving the coffee.
Secondly, there is a lot of negative information about health concerns of taking coffee. A lot of research has been done on coffee; it’s in a positive direction This is where we need to promote coffee consumption because of its benefits. We are just exporting the green coffee which carries less than what someone sold a cup of coffee.

What is your take on Uganda’s coffee branded as quality but is not anywhere on the international supermarket shelves?
It is a disturbing question. Uganda being the leading exporter of coffee in Africa and the 10th producer globally, our brand as a country is not seen anywhere on the global supermarket shelves even as our coffee is regarded of good quality. The other challenge is that once the coffee leaves Uganda, we don’t have a say. Mostly, it is used as a blend. There should be a deliberate effort to take Uganda’s coffee to the international supermarket, it gets lost but if we can identify some good coffees and they are reserved for exports and then we can be assured of branding our coffee and the country.

Which are some of the challenges UCF is experiencing in delivering its mandate?
UCF is a voluntary organisation. Not all stakeholders are members and those who are members can freely walkout but with the challenges of the industry, we need a bigger voice and this can happen if everybody is on board. We now see small coffee farmers and exporters making parallel organisations and they do almost similar work that UCF does. This leaves the industry disintegrated.