The Standard Group Plc is a multi-media organization with investments in media platforms spanning newspaper print operations, television, radio broadcasting, digital and online services. The Standard Group is recognized as a leading multi-media house in Kenya with a key influence in matters of national and international interest.

Standard Group Plc HQ Office,
The Standard Group Center,Mombasa Road.
P.O Box 30080-00100,Nairobi, Kenya.
Telephone number: 0203222111, 0719012111
Email: [email protected]

NEWS & CURRENT AFFAIRS

The Nairobian

Farmers rake in Sh471m at auction as coffee trading year opens

Business

By Boniface Gikandi | Oct 02, 2024

**Farmers sort out coffee cherry at Kirimara-Mutanga Coffee factory yard in Nyeri.** [File, Standard]

The Nairobi Coffee Exchange (NCE) traded 11,480 bags of coffee during the weekly auction, earning farmers Sh471.2 million.

During the first auction of the 2024-2025 coffee trading financial year on Tuesday, 60 per cent of the deliveries consisted of grades AA and AB.

The proceeds from the weekly market were lower compared to the previous Sh566.3 million from the sale of 13,937 bags.

According to NCE’s weekly report, the Kikambuani Factory affiliated with Mbilini Cooperative Society in Machakos sold by New KPCU achieved the highest price of Sh39,572 per 50kg bag for AA-grade coffee.

Keep Reading

Nyeri-based Gichatha-ini Factory affiliated to Gikanda Cooperative Society had the second-best sale of AA coffee sold by Alliance Berries Ltd at Sh38,927 per bag.

NCE Chief Executive Lisper Ndung’u said 13 buyers participated in the auction, where Louis Dreyfus purchased 4,243 bags of coffee for Sh173.3 million followed by Ibero Kenya with 3,180 bags for Sh126.7 million.

Ms Ndung’u said 11 coffee brokers led by Alliance Berries Ltd, New KPCU and Minnesota presented the highest number of bags this week.

“The coffee brokers presented 7,000 bags of grade AA and AB that attracted the buyers. As the regulator, I plead with the farmers in the counties to increase production of the quality grades, which are in high demand,” she said.

Cooperative Principal Secretary Patrick Kilemi said in the new coffee year, the farmers are expected to double production of quality grades.

He said last coffee year earned the country Sh24.3 billion from the sale of 691,956 bags of coffee.

In the first auction, the PS said quality grades accounted for 61 per cent of the coffee brokers presented for sale.

“The government is working towards exploring new coffee markets and thus the need for the growers to increase production to 800,000 bags in the 2024-2025 financial year,” said Mr Kilemi.

In the auction, Alliance Berries Ltd sold 4,111 bags, fetching Sh168.6 million, while New KPCU sold 2,765 bags for Sh113.9 million.

The newly licensed Coffee Estates Bourgeosie presented 111 bags, which traded at Sh4,816,776, with Kenya Co-operative Coffee Exporters Limited (KCCE) presenting 491 bags, which went for Sh19,933,498.

Rockbern Coffee Group bought seven bags of coffee for Sh219,336.