The Ministry of Finance, Planning, and Economic Development has revealed that Italy is still the largest consumer of Uganda’s coffee, as per the performance monthly report for January 2024.
According to the Finance Ministry, this accounted for 45% of the total coffee exports in Uganda, compared to 27.68% recorded the previous month.
“Italy remained the major market for Uganda’s coffee exports, accounting for 45% of the total coffee exports during December 2023,” the report shows in part.
Italy was followed by India, Germany, Morocco, and Spain at 12.05%, 11.47%, 6.12%, and 5.96%, respectively.
The report further shows that coffee exports during the month amounted to USD 65.94 million, a 6.7% decrease from the 70.68 million registered in November 2023.
The Ministry attributes this decrease partly to delayed harvests and the drying of newly harvested coffee caused by heavy rains.
However, when compared to the same month the previous year, coffee exports grew by 10.8%, from USD 59.54 million in December 2022 to USD 65.94 million in December 2023.
The ministry said that the increase can be attributed to an increase in coffee prices globally.
The Finance Ministry said that in December 2023, Uganda exported general merchandise worth USD 616.36 million, a 0.2% rise over the USD 615.05 million exported in November 2023.
The ministry attributes this increase to higher export earnings from simsim, tobacco, and cotton registered during the month.
In contrast to the same month the previous year, goods exports increased by 65.8% from USD 371.81 million in December 2022 to USD 616.36 million in December 2023, owing to increased revenues from gold, cotton, oil re-exports, and tobacco, among others.
The East African Community (EAC) remained the top destination for Uganda’s exports in December 2023, accounting for 37.6% of the total market share, according to the report.
Finance officials say that the Democratic Republic of Congo is the largest consumer of Uganda’s exports, constituting 24.2% of the total exports to the region.
“Middle East and Asia emerged as the second and third top destinations for Uganda’s exports,” the Ministry of Finance conveyed.
Uganda aims at doubling its total agricultural exports, including coffee, from USD 6.629 billion to USD 12 billion by 2027, according to the government, with a focus on expanding production and increasing exports within various coffee sectors.
President Yoweri Kaguta Museveni has played a prominent role in promoting Uganda’s coffee exports, particularly through efforts to increase value addition and diversify markets.
In December 2023, Russia opened its market for Ugandan coffee, which created opportunities for Uganda’s coffee industry.
