Nyeri factory fetches best price as coffee auction nets Sh566m
Business
By
Boniface Gikandi
| Sep 25, 2024
The coffee auction generated Sh566.3 million from the sale of 13,937 bags of coffee in the last weekly auction, new data shows.
This reflected an increase of Sh183.9 million compared to the last auction, which realised Sh382.4 million from the sale of 9,736 bags of the commodity. Nyeri-based Chorong’i Factory affiliated to Mutheka Farmers’ Cooperative Society, achieved the highest price of Sh42,183 per 50kg bag after its consignment was sold by Alliance Berries Ltd.
According to the weekly market report from the Nairobi Coffee Exchange (NCE), out of the 13,937 bags delivered to the auction market, 9,241 bags consisted of the premier grades of AA and AB, which fetched Sh391.9 million. NCE Chief Executive Lisper Ndung’u said the 15 dealers who participated in the market expressed interest in the premier grades of AA and AB. “Twelve brokers led the pack, with Alliance Berries Ltd delivering 3,976 bags followed by New KPCU with 2,447 bags and Kirinyaga Slopes with 1,408 bags,” said Ms Ndung’u.
She added that the next auction will be held on October 1, opening the coffee year 2024/2025.
Cooperative Principal Secretary Patrick Kilemi said the quality grades continue attracting the best prices at the auction. The government, he said, is working on strategies to revamp the coffee sector and urged farmers to work with regulators and other players in the value chain to effect the reforms.
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“Small-scale farmers are encouraged to apply for the Coffee Cherry Advance Fund to nurture their coffee trees and improve productivity and quality,” said Mr Kilemi.
In the coffee brokers category, Alliance Berries Ltd sold coffee worth Sh162.5 million, New KPCU Sh103.8 million, and Kirinyaga Slopes Sh54.8 million.
Others were Murang’a with 384 bags, which fetched Sh15.9 million, and United Eastern with 607 bags, which went for Sh24.2 million.
In the dealers’ category, Louis Dreyfus bought 4,293 bags of the commodity for 167.4 million followed by Taylor Winch with 2,131 bags, which fetched Sh88 million.