UCDA MONTHLY REPORT FOR MAY 2009

In This Issue: -
• This is the eighth monthly report for the coffee year (Oct/Sept.
2008/09).
• A total of 220,620 60-kilo bags valued at US $ 20.26 m were shipped in
May 2009, posting a 5% and 31% drop in volume and value
respectively compared to May last year.
• Unit export price averaged 153 cents/kilo, 2 cents down compared
April and March 2009.
• Farm-gate prices for Robusta Kiboko oscillated between Shs. 1,000-
1,200 per kilo and FAQ was Shs. 2,100 – 2,500 while Arabica
parchment prices averaged Shs. 2,600 per kilo.
• Coffee exports in the first eight months (Oct/May) of the coffee year -
2008/09 totalled 2,078,754 bags worth $ 202.80 m, 0.4% up in volume
and 16% down in value compared to a similar period last year.
• On a year-to-year basis, shipment in the 12 months (May/Apr 2008/09)
totalled 3.22 m bags, 7.7% up compared to a similar period last year.
This comprised Robusta –2.62 m bags and Arabica – 0.60 m bags
Coffee shipment from Uganda in the month of May 2009 totalled
220,620 60-kilo bags valued at US $ 20.26 m, representing a drop in
volume and value of 4.7% and 31.3%, respectively compared to the
same month last year as illustrated in table 1.0.
TABLE 1.0 COMPARATIVE COFFEE EXPORT PERFORMANCE – 60-KILO BAGS;
US$
2008/09 2007/08 %-Age Change
MONTHS Qty Value $ Qty Value $ Qty Value $
2,078,75 202,802,1 2,071,0 242,427,0
G/ Total
4 98 96 56 0.37 -16.35
21,003,59 17,649,99
October 179,564 6 172,576 2 4.05 19.00
 Robust
a 151,485 17,185,337 132,179 12,746,997 14.61 34.82
 Arabic
a 28,079 3,818,259 40,397 4,902,995 -30.49 -22.12
Novemb 27,598,38 21,000,15
er 266,722 7 198,864 3 34.12 31.42
 Robust
a 220,258 21,705,523 165,986 16,742,817 32.70 29.64
 Arabic
a 46,464 5892,864 32,878 4,257,336 41.32 38.42
Decembe 29,240,13 29,484,78
r 298,978 5 272,519 6 9.71 - 0.83
 Robust
a 251,716 23,361,825 237,168 24,416,389 6.13 - 4.32

Page 1 UCDA Monthly Report: May 2009

 Arabic
a 47,262 5,878,310 35,351 5,068,397 33.69 15.98
30,469,34 39,727,03
January 329,211 6 360,875 7 -7.94 -22.65
 Robust
a 269,395 24,046,556 326,466 34,736,650 -16.56 -30.03
 Arabic
a 59,816 6,422,790 34,409 4,990,387 73.83 28.70
31,204,06 37,024,60 (15.72
February 321,355 2 318,346 8 0.95 )
 Robust (11.28
a 250,114 22,641,801 281,916 31,609,614 ) (28.37)
 Arabic
58.12
a 71,241 8,562,262 36,430 5,414,993 95.56
23,938,25 36,298,20
-34.05
March 256,579 7 279,248 8 -8.12
 Robust
238,938 30,141,261 -44.28
a 195,857 16,794,596 -18.03
 Arabic
40,310 6,156,947 16.03
a 60,722 7,143,661 50.64
19,084,25 31,755,49
237,226 -39.90
April 205,725 4 2 -13.28
 Robust
177,037 22,315,520 -47.21
a 142,893 11,779,982 -19.23
 Arabic
60,189 9,439,993 22.62
a 62,832 7,304,272 4.39
20,264,16 29,486,78
231,442 -31.28
May 220,620 1 0 -4.68
 Robust
178,309 21,476,544 -39.89
a 157,999 12,909,669 -11.39
 Arabic
53,133 8,010,236 -8.19
a 62,621 7,354,492 17.86

The 4.7% drop in volume recorded in May notwithstanding, total

exports in the first eight months (Oct/May 2008/09) totalled
2,078,754 bags, 0.37% higher than what was recorded in a similar
period last year. The corresponding value however, fell by 16.4%
from $ 242.4 m to $ 202.8 m in tandem with the global price
movement.
The Chart below shows comparative export performance in the last 3
years in terms of coffee type, Arabica and Robusta, during the period
Oct/May. There was an improvement in Arabica coffee quantities
from 338,097 bags last year to 439,037 bags this year, a 30% rise.
The rise is largely due to adoption of improved agronomic practice
supported by good weather conditions, coffee planted continuing to
come into production and a noticeable reduction in the incidence of
pests and diseases.

In contrast, there has been a 5.7% drop in Robusta quantities during

the period, from 1,737,999 bags to 1,639,717 bags, which is
explained by the 4 months’ dry spell that affected the fly crop in the
Robusta growing regions.
Figure 1 Comparative Coffee Exports in Oct/May - Robusta, Arabica & Total in 60-Kilo Bags

Page 2 UCDA Monthly Report: May 2009

 On a year-to-year basis, coffee exports in the twelve months
(Jun/May 2008/09) totalled 3.22 m bags, comprising 2.62 m bags of
Robusta (81%) and 0.60 m bags of Arabica (19%); an improvement
of 7.7% compared to a year ago when 2.99 m bags – Robusta 2.52 m
bags (84%) and Arabica 0.48 m bags (16%) - were recorded.
1. EXPORTS BY TYPE AND GRADE
Table 2.0 shows coffee exports by type, grade and realised price for
each grade during the month of May 2009. The weighted average
price dropped from 155 cents per kilo in April and March to 153
cents. Realised prices for Robusta continued to drop from 151 ct/kilo
in February to 143 cents in March, to 137 cents in April, and to 136
cents in May. On the other hand, the weighted average price for
Arabica rose from 194 in April to 196 cent per kilo in May.
Among the Robusta grades, organic Robusta fetched the highest
price of 180 cents/kilo followed by washed Robusta at 153 cents, an
improvement from 176 cents for organic.
In the case of Arabica coffee, Organic Okoro realised the highest
price of 247 cents/kilo, followed by Bugisu AA at 227 cents, down
from 203 cents and 222 cents respectively recorded in April 2009.
TABLE 2.0 COFFEE EXPORTS BY TYPE, GRADE, & UNIT PRICE IN MAY
2009
– in 60-kilo bags; US $, US $/kg –
QTY
PRICE
TYPE/GRADE 60-Kilo %- Value $
$/Kilo
Bags AGE
20,264,16
G/TOTAL 220,620 1 1.53
ROBUSTA 157,999 100.00 12,909,66 1.36
9
Washed Robusta 283 0.18 26,017 1.53
Organic Robusta 1300 0.82 140,224 1.
80
Screen 18 16,474 10.43 1,429,228 1.45

Page 3 UCDA Monthly Report: May 2009

 Screen 17 7,808 4.94 694,062 1.48
Screen 15 84,786 53.66 7,113,694 1.40
Screen 14 2074 1.31 176,017 1.41
Screen 13 2672 1.69 219,134 1.37
Screen 12 24,812 15.70 1,950,885 1.31
BHP 1199 5,750 3.64 383,757 1.11
Other Rob.1
12,040 7.62 776,651 1.08
ARABICA 62,621 100.00 7,354,492 1.96
Organic Okoro 720 1.15 106,667 2.47
Bugisu AA 8,710 13.91 1,184,052 2.27
Bugisu A 5,425 8.66 728,338 2.24
Arabica AB 5,270 8.42 651,367 2.06
Arabica CPB 2560 4.09 329,738 2.15
2.15
Bugisu C 1640 2.62 180,689 1.84
Bugisu PB 1320 2.11 164,102 2.07
Mixed Arabica 640 1.02 63,492 1.65
Wugar 4,000 6.39 521,564 2.17
Drugar 26,776 42.76 2,985,898 1.86
Other Arabicas 5,560 8.88 438,585 1.31
1
Represents such coffees like Sc.1299, Sc. 1599, Sc. 1899, etc. in robusta.
2. PERFORMANCE BY INDIVIDUAL EXPORTER
Table 3.0 below shows the performance of the individual coffee
exporting companies during the month of April 2009. The top 10
companies together held a market share of 92%, down from 94% in
the previous month. These included: Kyagalanyi Coffee Ltd – 17.8%
(15.4%), Kampala Domestic Store – 12.0% (13.9%), Savannah
Commodities Ltd. – 11.1% ((2.9%), Great Lakes – 10.3% (8.9%);
Kawacom (U) Ltd. – 10.2% (17.0%); and so on. The figures in
brackets indicate their performance in the previous month – April
2009.
The number of registered coffee exporting companies in 2008/09
has gone up from 29 last year to 37, the new ones being Coffee
World Ltd., Ankole Coffee Processors Ltd., Ankole Coffee Produce Co-
op Union Ltd., LD Commodities Ltd., Yaka (U) Ltd., Green Holdings,
Bagain (U) Ltd., and Queen Commodities Ltd.

Table 3.0 INDIVIDUAL EXPORTER PERFORMANCE IN MAY 2009

QTY %-age Market Share
EXPORTER 60-kilo Individual Cumulativ
bags e
GRAND TOTAL 220,620 100.00
1 Kyagalanyi Coffee Ltd. 39,237 17.78 17.8
2 Kampala Domestic 26,420 11.98 29.8
Store
3 Savannah Commodities 24,526 11.12 40.9
4 Great Lakes 22,786 10.33 51.2
Page 4 UCDA Monthly Report: May 2009
 5 Kawacom (U) Ltd. 22,498 10.20 61.4
6 Ugacof Ltd. . 18,548 8.41 69.8
7 Ibero (U) Ltd. 15,916 7.21 77.0
8 Olam (U) Ltd. 14,104 6.39 83.4
9 Job Coffee 11,780 5.34 88.8
1 Lake Land Holdings Ltd. 7,330 3.32 92.1
0
1 Wabulungu 5,124 2.32 94.4
1 Multipurpose
1 Coffee World. 4,170 1.89 96.3
2
1 Nakana Coffee Factory 2,338 1.06 97.4
3
1 Mbale Importers & 2,320 1.05 98.4
4 Exporters
1 Kitasha 700 0.32 98.7
5
1 Gumutindo. 640 0.29 99.0
6
1 Bakwanye 640 0.29 99.3
7
1 Coffee Service 640 0.29 99.6
8 International
1 UNEX. 320 0.15 99.7
9
2 Green Holding. 300 0.14 99.87
0
2 Kaweri Coffee 283 0.13 100.00
1 Plantation.

3. LOCAL SITUATION
The inflows of FAQ at export grading factories were slowly increasing
in volume and of good quality in appearance, moisture content and
in the cup. The price for FAQ hovered between Shs 2250 – 2,400/=
per kilo but farmer groups with sizeable quantities negotiated for better
prices. Arabica parchment prices averaged Shs. 2,500 per kilo. Harvesting
of Bugisu Arabica from Mt. Elgon area was at the tail-end so was that in
Kasese.
Coffee trading in the Masaka and southwestern regions is in full gear
supported by the onset of the dry season. The deliveries from the
area had a good outturn of around 57%.
Farmers and farmer groups have continued to demand for clean
planting materials and/or seed to raise their own seedlings for the
subsequent planting season. This is a result of the good farm gate
prices enjoyed by farmers in the last 3 year; and the fact that coffee
is key in the President’s Election Manifesto: 2006. However, the
continued depreciation of the shilling against the US Dollar has put
agro-inputs out of reach for most farmers.
4. COFFEE EXPORTS BY DESTINATION
Table 4.0 shows the main destinations of Uganda coffee during the
month of May 2009. Coffee shipments to EU countries totalled
163,353 bags (74.0%) in May up from 159,784 bags (77.7%) in April,
Page 5 UCDA Monthly Report: May 2009
 207,824 bags (81%) in March, 238,460 bags (74.2%) in February,
263,576 bags (82.1%) in January, and 250,177 bags (83.7%) in
December.
This was followed by Sudan with 37,792 bags (17.3%) compared to
32,197 bags (15.7%) in April, 17,152 bags (6.7%) in March, 59,090
bags (18.4%) in February, 32,550 bags (10.1%) in January 2009, and
30,000 bags (10.3%) in December 2008.

Table 4.0 MAIN DESTINATIONS OF UGANDA COFFEE IN MAY 2009

EXPORTER QTY %- Age Market Share
60-Kilo Individual Cumulativ
Bags e
GRAND TOTAL 100.0
220,620 0
1 EU1 163,353 74.04 74.04
2 Sudan 37,792 17.13 91.17
3 USA 14,491 6.57 97.74
4 India 2,400 1.09 98.83
5 Israel 664 0.30 99.13
6 Egypt 640 0.29 99.42
7 Kenya 640 0.29 99.71
8 Canada 320 0.15 99.85
9 South Africa 320 0.15 100.00
5. BUYERS OF UGANDA COFFEE
Table 5.0 represents the buyers of Uganda coffee in the month of
May 2009 where the top 5 in terms of quantity were: Ecom Agro
industrialists accounting for 10.2% against 16.6% in April; Sucafina –
8.3% (12.2%), Socadec – 8.1% ((3.9%), Aldwami – 8.1% (3.2%) and
Volcafe – 7.8% (9.7%), who collectively held a market share of
42.5%, down from 52.4% in April and 55.4% in March. The figures in
parenthesis stand for the market share held by each buyer in the
preceding month.
TABLE 5.0 BUYERS OF UGANDA COFFEE IN MAY 2009: 60-kilo
bags
QTY %-age Market Share
BUYERS 60-kilo Individual Cumulativ
bags e
GRAND TOTAL 220,620 100.00
1 ECOM AGRO INDUSTRIALISTS 22,498 10.20 10.20
2 SUCAFINA 18,200 8.25 18.45
3 SOCADEC 17,886 8.11 26.55
4 ALDWAMI 17,842 8.09 34.64
5 VOLCAFE 17,230 7.81 42.45
6 BERNARD ROTHFOS 15,916 7.21 49.67
7 OLAM INTERNATIONAL 14,764 6.69 56.36
8 DECOTRADE 10,420 4.72 61.08
9 COEX COFF 9,540 4.32 65.40
1 ICONA CAFE 9,118 4.13 69.54

1
EU countries are: Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland,
France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Poland,
Portugal, Rumania, Slovakia, Slovenia, Spain, Sweden, The Netherlands, and UK.

Page 6 UCDA Monthly Report: May 2009

 0
1
ABACO 7,700 3.49 73.03
1
1
STRAUSS COMPANY 7,407 3.36 76.39
2
1
HAMBURG COMPANY 6,544 2.97 79.35
3
1
AZIENDE 4,978 2.26 81.61
4
1
COFFTEA (SUDAN) 4,900 2.22 83.83
5
1
AMERECAN 4,740 2.15 85.98
6
1
LAMCO 4,738 2.15 88.12
7
1
OTHERS 26,199 11.88 100.00
8

6. COFFEE DEVELOPMENT AND PROMOTIONAL ACTIVITIES

• Inauguration of UCDA Board of Directors: On May 12, 2009, the
Minister of Agriculture, Animal Industry & Fisheries (MAAIF), Hon.
Hope Mwesigye, MP, Kabale district, officially inaugurated the
UCDA Board. In her inaugural speech, the Minister thanked the
Board members for accepting the responsibility and called upon
them to create synergies with agencies and departments within
the ministry for the benefit of the ordinary farmer. She cautioned
them that they had come in when the coffee industry is faced
with a number of challenges – coffee wilt disease, low soil
fertility, old age of coffee trees, prices volatility – but basing on
their individual expertise further improvements are expected.
The minister was accompanied by the Minister of State for
Agriculture Hon. Henry Bagire and the Permanent Secretary Mr.
Vincent Rubarema
In response, the Chairman of the Board, Eng. Fabian Tibeita, in
his maiden speech thanked the Minister for the trust bestowed
on them and promised to work closely with the ministry’s
agencies and departments for the benefit of the ordinary farmer.
On the need for planting material, he vowed to increase the
availability of planting materials.
The Board members include representatives from: Farmers (2),
Processors (2), Exporters (2), MTTI (1), MoFPED (1), MAAIF (1),
UCDA MD and the Chairman.
• Under development activities, with technical assistance from the
University of Florida, organic coffee farmers in the districts of
Sironko (115), Kapchorwa (67), Nebbi (50), and Luweero (45)
were trained in production and certification requirements by the
US National Organic Programme.
• Under the replanting initiative, over 450,000 seedlings were
given out and planted by farmer groups in the districts of
Bushenyi, Kanungu, Rukungiri, Ntungamo, Masaka, Mpigi,
Page 7 UCDA Monthly Report: May 2009
 Mukono, Wakiso, Kiboga, Mubende, Mityana, Iganga, Mayuge and
Kapchorwa.
• A farmer group from Kasese, Ms Change Agents, was facilitated
by UCDA to sell their coffee, 20 m/tonne, to the final consumers
in the USA. The farmers had earlier on been trained in good
handling practices that include grading and cupping to ensure
good quality. This act brought a lot of excitement to farmers who
vowed to look after their coffee well for better pay.
• Establishment of Technology Development Sites in Mid-Northern
Uganda continued and 17 of them in Acholi and 5 in Lango were
planted with coffee, PHIA banana suckers and Albizia shade
trees. 36,000 coffee plantlets were planted by technically
trained contact farmers in Mid Northern Uganda and 24,000 will
follow before the end of the rains
• UCDA participated in the 6th Eastern Regional Trade Fair held in
Mbale stadium from May 28, 2009; the UCDA stand showcased
good agronomical practices and techniques to mitigate the
incidence of pests and diseases in Arabica coffee. Farmers were
able to taste their own coffee which was brewed and served to
them throughout the event.
8.0 OUTLOOK FOR JUNE 2009
Coffee exports in the month of June are projected at to reach
270,000 bags (16,200 tonnes) as coffee harvesting and marketing of
the main season south of the equator intensifies. Meanwhile,
farmers are advised to take advantage of the ongoing rains to plant
coffee under the replanting programme; and to improve on their
husbandry practices for better returns.
9.0CALENDAR OF EVENTS
 UCDA, USAID-LEAD and the Coffee Quality Institute (CQI) are to
hold a Q-Graders’ and Star Cuppers’ training course that is to run
for the period June 08 – 11, 2009 at UCDA premises, Lugogo
Showground. The training is envisaged to impart quality
improvement knowledge to participants, which will result in a rise
in the volume of coffee sold to the specialty market. Through this
training, participants shall be able to taste Robusta samples from
all over the world.
 Uganda is to participate in the Specialty Coffee Association of
Europe (SCAE) under the theme ‘Wonderful Coffee’ due to take
place June 26 – 28, 2009 in Cologne, Germany.
Jh.thomsen@scae.com

Page 8 UCDA Monthly Report: May 2009