EXPORT revenue for coffee last year reached K927 million - a 78% increase from the earnings of K521 million in 2010 - as production and exports soared to record levels.
Figures released for year ending December 2011 showed coffee production peaking at 1.5 million bags, surpassing the 1.2 million bags reached in 1998.
The 2011 production figures were also significantly high by 69% compared to 883,567 bags in 2010.
This was attributed to a number of factors including government intervention programmes, expanded smallholder plantings and favorable climatic conditions.
Exports as usual tracked production and increased to 1.22 million bags from 931,149 bags in 2010, representing a 32% increase.
Overall, this represented an average increase in the export volume of 9% increase over the last six years.
Higher exports reflected increased production, more coffee being moved onto the market as a result of the freight surety scheme and more importantly, grower response to high coffee prices.
A beaming Coffee Industry Corporation CEO Navi Anis predicted yesterday (Thursday) that coffee revenue would surpass the K1 billion mark in 2012.
“The CIC projects 2012 export earnings to further increase to K1 billion mark based on continued high world market prices, government intervention programs like the District Coffee Rehabilitation and Freight Surety Scheme - which is used to move coffee to markets from the remote and areas of the country,” he said.
|SIL Aviation Cessna 206 loading coffee bags at remote Owena in the Obura-Wonenara area of Eastern Highlands province.-Picture by PAUL GILMA of CIC|
“This positive outcome has been due to continued and consistently high world market prices of coffee and the sheer resilience of growers, and important stakeholders in the coffee business.
“Out of the total export earnings, a major portion of 66% was received by the growers while exporters and processors received 19 and 15% respectively.”
“With various plans, government interventions, donor partners/NGOs and stakeholder collaborations and assistance like the World Bank funded Productive Partnerships in Agriculture Projects (PPAP) project, CIC will continue to endeavor to effectively and efficiently deliver research, extension and development programmes to the industry at large for the benefit of coffee industry in the country.”