(Spy Reports, West Nile) – Civil society organizations in Uganda, led by the Southern and Eastern Africa Trade and Information Negotiations Institute (SEATINI), have launched a major five year project aimed at enhancing the coffee value chain in the country. This initiative, named “Fair for All,” specifically targets coffee farmers in the Mbale and Mubende districts. The project is being implemented by a coalition that includes the Agency for Community Empowerment (AFCE), Uganda Agribusiness Alliance (UAA), Eastern and Southern Africa Small Scale Farmers Forum (ESAFF), Civil Society Budget Advocacy Group (CSBAG), and Oxfam in Uganda.

Coffee, as one of Uganda’s leading export crops, plays a crucial role in the country’s economy, alongside other traditional cash crops like cotton, tea, and tobacco. However, the government’s recent push to promote large scale, foreig -owned coffee plantations has raised concerns. The government aims to boost coffee production to 20 million bags by 2025 through various incentive schemes. Critics argue that these efforts often prioritize the interests of foreign investors over those of small and medium-sized indigenous coffee producers and local landowners.

Sam Tumugarukire, the Monitoring and Evaluation Manager at SEATINI Uganda, emphasized that the new project will focus on supporting small-scale coffee producers and workers who are directly affected by the expansion of large-scale coffee production. The project aims to defend their rights and interests against the challenges posed by both the government and large-scale plantation owners.

This initiative is not only about protecting small farmers but also about empowering civil society to influence policies at multiple levels—sub-national, national, and international. These policies will be designed to safeguard the rights of small-scale coffee producers and the communities involved in the coffee trade and value chains.

A key aspect of the project is its advocacy for public policies and private sector practices that strengthen the position of small and medium-scale farmers within the coffee value chain. These efforts will focus on securing better prices for coffee, improving access to finance, and encouraging public investment in processing and value addition.

Additionally, Tumugarukire highlighted that the project will work to enhance the capacity of citizens, particularly women and youth, to participate in oversight and voice their concerns on fiscal, trade, and investment-related regulations and processes.

Africa Kiiza, a Trade Policy Analyst at SEATINI Uganda, pointed out that one of the major issues the project aims to address is the low returns farmers currently receive for their coffee. When coffee is exported as raw beans, farmers miss out on significant value. For instance, Arabica coffee grown in Mbale is often bought cheaply and exported to Germany, where it is processed into Nescafe, a product that is sold at a much higher price. The lack of readily available markets for their coffee forces farmers to sell at lower prices, and this project seeks to change that.

The project has received praise from local officials, including Ruth Wambi, the Commercial Officer of Mbale District. Wambi expressed her gratitude to SEATINI, stating that the project will make a meaningful difference in the lives of farmers. She emphasized the importance of value addition as a key strategy for farmers to fight poverty and improve their livelihoods.

In line with its goals, SEATINI Uganda also plans to develop a mobile app as part of the project. This app will serve as a tool for reporting human rights violations within the coffee value chain, ensuring that farmers and workers have a platform to voice their concerns.

Uganda Coffee Trends

The Uganda Coffee Development Authority (UCDA) reported that in August 2021, the country exported 700,990 60-kilogram bags of coffee, valued at $75.09 million (approximately UGX 264.7 billion). This included 636,458 bags of Robusta coffee, worth $65.24 million, and 64,532 bags of Arabica coffee, valued at $9.85 million. Compared to the same period the previous year, this represents an increase of 34.89% in quantity and 63.06% in value.

The increase in Robusta coffee exports was largely driven by newly planted coffee trees that started yielding, supported by favorable weather conditions. Additionally, global coffee prices saw a positive trend during July and August, partly due to concerns over frost in Brazil, which led exporters to release their stocks.

Arabica coffee exports also saw a modest increase in quantity, but a more significant rise in value, driven by higher global prices.

Over the 12-month period from September 2020 to August 2021, Uganda exported a total of 6,414,696 60-kilogram bags of coffee, valued at $607.81 million. This marked an increase of 22.97% in quantity and 21.02% in value compared to the previous year.

These figures highlight the growing importance of coffee as a key export commodity for Uganda, as well as the potential benefits that the new project could bring to small scale farmers in the country. The “Fair for All” initiative, with its focus on improving the coffee value chain, offers a promising opportunity to enhance the livelihoods of these farmers and contribute to the broader economic development of the country.

PS – This Article was published in October 2021 by The Spy Reports.