Since time immemorial, coffee has been the backbone of Uganda’s economy and a leading contributor of the economy through foreign exchange. Out of 135 districts in the country, 112 grow coffee, hence making it the backbone of the economy.
The constant development of coffee production has been attributed to the government’s effort to increase coffee production to 20 billion bags per year by 2025. Uganda’s coffee story is in a new and exciting phase. After stagnating at 3-4 million bags per year for nearly 15 years, production has doubled.
Production now stands at 8.1 million 60-kg bags. Coffee exports for calendar year 2021 totaled 6.77 million bags worth USD 718.57 million, compared to 5.49 million bags worth USD 520.01 million the previous year. This represents an increase of 23% and 38% in both quantity and value, respectively. Uganda is now the seventh biggest coffee exporter in the world.
However, the coffee industry is facing both local and international impediments, such as the National Coffee Register, as provided for in the National Coffee Act 2021, which will be a precursor to the creation of a National Traceability System (NTS) aligned with European Union Regulations on Deforestation-Free Products Requirements (EUDR).
The register will assign unique identifiers and geolocations to all coffee farms as required by the EUDR.
Additionally, the coffee industry in Uganda is indeed a backbone of our economy, not forgetting tourism, oil production, gold exports, and other agricultural products; hence, over 80% of Ugandans in rural areas from central and western Uganda basically rely on coffee farming.
According to the Uganda Coffee Development Authority (UCDA), Uganda earns over USD 900 million, and 1.8 million households are actively involved in coffee farming across the country, furthermore, out of 135 districts in Uganda 112 districts grow coffee an indication.