What you need to know:
- Uganda has been trading its coffee under the 2007 ICO agreement, which stakeholders say does not favour farmers and other players.
Uganda Coffee Development Authority (UCDA) had said they are renegotiating new and better terms that favour Uganda’s interests as a coffee producing country.
The negotiations with the International Coffee Organisation (ICO), UCDA said in a statement yesterday, will lead to new agreements in case both parties agreed on certain details.
“We went into negotiations since last year, which have not [been] concluded yet,” UCDA.
Uganda has been trading its coffee under the 2007 ICO agreement, which stakeholders say does not favour farmers and other players.
Some coffee producing countries have questioned the agreement, arguing that it only favours consuming countries with the interest of farmers, especially in regard to getting a premium price and obtaining better quotas not catered for.
Therefore, in September last year, Uganda wrote to ICO indicating its intension to leave ICO unless certain fundamentals are addressed.
In a statement issued by the ICO Mr Jose Dauster Sette, the ICO chief administrative officer of the depositary, informed members that Uganda had notified the organisation of its intention not to extend its membership, noting that the withdrawal had become effective on February 2.
Mr Joseph Nkandu, the National Union of Coffee Agribusinesses and Farm Enterprises executive director, said whereas a withdraw notice had been issued, Uganda was not leaving ICO but seeking to ensure that its concerns are addressed.
What Uganda wants
Uganda wants ICO to start accepting its value added coffee and not only green beans.
UCDA is also seeking assurance on coffee price stability, which it says is decided by a few individuals, who prescribe a global price.