The Uganda Coffee Development Authority (UCDA) says the local prices of coffee dropped by 53 percent in the country.
The Uganda Coffee Development Authority (UCDA) Executive Director, Mr Emmanuel Iyamulemye, said exporters have been monitoring the market that has in the last few days witnessed few movements.
Meanwhile, the Executive Director of Uganda’s National Union of Coffee Agribusiness and Farm Enterprises (Nucafe), Mr Joseph Nkandu, said that the fall in the price of coffee has forced some farmers to hold onto their stocks.
“We are holding on to stocks for a while until the prices get better. When this happens then we shall be able release the stock,”he said.
Uganda is Africa’s leading coffee exporter with about 4.6 million 60-kilogramme bags worth $508m (Shs1.9 trillion) exported annually.
The country currently exports 4.6 million 60-kilograme and is expected to increase to 20 million by 2025.
It would be recalled that prices of coffee globally decreased in July 2018 iindicating a fall of 4 per cent to $110.54.
According to analysis, this has resulted in some major exporters staying away from the market.