Coffee farmers earn Sh822.5 million from weekly auction

Business
By Boniface Gikandi | Feb 07, 2024
Coffee berries. [Kibata Kihu, Standard]

Kenya's coffee market this week earned Sh822.5 million from the sale of 16,468 bags down from Sh833.3 million that was paid to the growers a week ago.

The delivery at the Nairobi Coffee Exchange (NCE) decreased to 17,468 bags from the previous trading where the marketing agents had 20,821 bags.

During Tuesday's sale at the Nairobi Coffee Exchange (NCE), 17 buyers bought 4,258 bags of AA grade that fetched Sh267,036,243.81($1,663,777.22).

The grades AB were 7,334 bags and fetched Sh367.4 million ($2,289,356.34), and at total of 2,038 bags of grade C sold at Sh75.3 million ($469,388.84).

Seventeen buyers participated in the auction with four leading ones being Ibero Kenya, Kenyacof, C. Dormans, and Sasini who purchased 85 per cent of the commodity.

Ibero Kenya purchased 4,227 bags, Kenyacof 3,698 bags, C.Dorman Ltd 3,209 bags and Sasini 2,939 bags.

NCE Chief Executive Officer Risper Ndung'u said the online trading received from the marketing agents 1,016, 955 million kilogrammes of the commodity that sold at an average of $251.98 per 50-kilogramme bag of coffee.

"The activities at the NCE have been impressive and we encourage the farmers' cooperatives to utilise the online trading platform," said Ndung'u.

At the same time, the Kenya Coffee Producers Association (KCPA) noted that the utilisation of NCE by farmers in cooperatives and estates is at 75 per cent.

The Association's chairman Peter Gikonyo said activities at the exchange stabilised in October after the users gained confidence in coffee reforms.

"We have observed stability in the sector and we are now focusing on increasing production cost to maximum returns to the growers," said Mr Gikonyo.

New KPCU was conspicuously absent from the market as Kirinyaga Slopes presented the highest volume of 5,897 bags, followed by Alliance Berries 4,643 bags.

Murang'a County Coffee Dealers made a second appearance since they entered the market on August 15 last year with 266 bags.

Share this story
Court declines to lift orders blocking Safaricom sale as Vodafone loses bid to exit case
President William Ruto’s administration has suffered a major blow after the High Court declined to lift orders barring it from selling a 15 per cent stake in Safaricom valued at over Sh205 billion. 
Kenya blockchain industry urges faster stablecoin adoption amid new digital asset rules
Kenya’s fintech and blockchain industry is stepping up calls for faster adoption of stablecoins as a solution to Africa’s costly and slow cross-border payment systems.
Activist files petition to block fuel price hike, seeks conservatory orders
A consumer rights activist has moved to the High Court seeking to suspend fuel prices announced for May and June, argues increases unconstitutional, economically harmful.
Government launches construction of 114 solar mini grids in 14 counties
Villagers from 14 underserved counties have reason to smile following the launch of the construction of 114 solar mini-grids in the region.
Kenya's cybersecurity skills gap persists despite training efforts
A growing shortage of cybersecurity professionals with practical skills continues to hit the country despite more than 1,000 young people graduating under the Cyber Shujaa Programme. 
.
RECOMMENDED NEWS