UCDA MONTHLY REPORT FOR SEPTEMBER 2009

In This Issue: -
• This is the twelfth monthly report for the coffee year (Oct/Sept.
2008/09).
• A total of 198,988 60-kilo bags of coffee worth US $ 18.30 m
were shipped in September 2009, representing a 6.5% and 31.7% drop in
volume and value respectively compared to a similar period last year.
• The volume of arabica went up by 151,838 bags (30.5%)
compared what was realised last year.
• Farm-gate prices for Robusta Kiboko ranged between Shs. 800 -
1,100 per kilo and FAQ was Shs. 2,000 – 2,400, same as last month. Arabica
parchment prices were in the range: Shs. 2,800 – 3,000 per kilo.
• Coffee exports in the coffee year (Oct/Sept - 2008/09) totalled
3,057,970 bags worth $ 291.3 m, a drop of 4.8% and 25.0% in volume and
value respectively compared to what was realised last year.
A total of 198,988 60-kilo bags of coffee worth US $ 18.3 m were
shipped during the month of September 2009 to various
destinations. This brings total coffee shipment during the year
(Oct/Sept 2008/09) to 3.06 m valued at $ 291.3 m, a drop of 4.8%
and 25.0% in volume and value respectively, compared to 3.2 m
bags worth $ 388.4 m recorded in the previous coffee year.
Figure 1 Comparative Coffee Exports in Oct/Sept - Robusta, Arabica & Totals in
60-Kilo Bags

Figure 1 illustrates annual performance in the last 3 years in terms

of coffee type: Robusta, Arabica and total. While there was an
overall drop in the volume of coffee exported, that of Arabica coffee
has been on an increase from 498,211 bags last year to 650,053
Page 1 UCDA Monthly Report: September 2009
 bags, an increase of 30.5%. The rise in volume is attributed to the
cyclic nature of the crop which was given boost by: (i) improved
agronomic practices, owed to good prices, that have mitigated the
incidence of Coffee Berry Disease in Arabica areas; (ii) availability of
rains in the Arabica areas, especially at the critical stage of bean
development; and (iii) an improvement in yield due to new planting,
rehabilitation and availability of extension services under the
ongoing coffee production campaign.
In contrast, there was an overall drop in Robusta quantities of
153,286 bags (11%) over the year, which is ascribed to: (i) extended
dry spell at fruition, resulting in floats; and (ii) the occurrence of
Black twig borer and persistence of coffee wilt disease, especially in
Central region, the hub of Robusta coffee.
Table 1.0 beneath represents monthly export performance on a
comparative basis in terms of coffee type (Robusta & Arabica) by
volume and value in the last 2 years
TABLE 1.0 COMPARATIVE COFFEE EXPORT PERFORMANCE – 60-KILO
BAGS; US$
2008/09 2007/08 %-Age Change
Qty Value $ Qty Value $ Qty Value $
G/ Total 3,057,970 291,285,317 3,211,256 388,348,483 -4.77 -24.99
October 179,564 21,003,596 172,576 17,649,992 4.05 19.00
 Robusta 151,485 17,185,337 132,179 12,746,997 14.61 34.82
 Arabica 28,079 3,818,259 40,397 4,902,995 -30.49 -22.12
November 266,722 27,598,387 198,864 21,000,153 34.12 31.42
 Robusta 220,258 21,705,523 165,986 16,742,817 32.70 29.64
 Arabica 46,464 5892,864 32,878 4,257,336 41.32 38.42
December 298,978 29,240,135 272,519 29,484,786 9.71 - 0.83
 Robusta 251,716 23,361,825 237,168 24,416,389 6.13 - 4.32
 Arabica 47,262 5,878,310 35,351 5,068,397 33.69 15.98
January 329,211 30,469,346 360,875 39,727,037 -7.94 -22.65
 Robusta 269,395 24,046,556 326,466 34,736,650 -16.56 -30.03
 Arabica 59,816 6,422,790 34,409 4,990,387 73.83 28.70
February 321,355 31,204,062 318,346 37,024,608 0.95 -15.72
 Robusta 250,114 22,641,801 281,916 31,609,614 -11.28 -28.37
 Arabica 71,241 8,562,262 36,430 5,414,993 95.56 58.12
March 256,579 23,938,257 279,248 36,298,208 -8.12 -34.05
 Robusta 195,857 16,794,596 238,938 30,141,261 -18.03 -44.28
 Arabica 60,722 7,143,661 40,310 6,156,947 50.64 16.03
April 205,725 19,084,254 237,226 31,755,492 -13.28 -39.90
 Robusta 142,893 11,779,982 177,037 22,315,520 -19.23 -47.21
 Arabica 62,832 7,304,272 60,189 9,439,993 4.39 22.62
May 220,620 20,264,161 231,442 29,486,780 -4.68 -31.28
 Robusta 157,999 12,909,669 178,309 21,476,544 -11.39 -39.89
 Arabica 62,621 7,354,492 53,133 8,010,236 17.86 -8.19
June 254,026 23,210,915 278,107 35,604,099 -8.66 -34.81
 Robusta 209,503 17,194,480 228,771 28,022,592 -8.42 -38.64
 Arabica 44,523 6,016,435 49,336 7,581,507 -9.76 -20.64
July 265,927 23,395,338 325,080 42,017,500 -18.20 - 44.32
 Robusta 216,127 16,941,851 289,684 36,693,251 -25.39 -53.83
 Arabica 49,800 6,453,488 35,396 5,324,249 40.69 21.21
August 260,275 23,576,802 324,127 41,507,604 -19.70 -43.20
 Robusta 204,026 16,437,263 276,757 34,705,424 -26.28 -52.64
 Arabica 56,249 7,139,539 47,370 6,802,180 18.74 4.96
September 198,988 18,300,064 212,846 26,792,224 -6.51 -31.70
 Robusta 138,544 11,220,734 180,160 22,309,379 -23.10 -49.70)
 Arabica 60,444 7,079,330 32,686 4,482,845 84.92 57.92

1. EXPORTS BY TYPE AND GRADE

Page 2 UCDA Monthly Report: September 2009
Table 2.0 reflects coffee exports in the month of September 2009 by
type, grade and realised unit price for each grade. There was an
improvement in the realised export price from 147 cents in July and
August to 153 cents per kilogramme in September. This was largely
due to a weak US dollar that prompted speculative buying supported
by limited origin selling.
The weight average price for Robusta type further went up from 131
cents in July to 134 cents in August to 135 cents per kilo in
September. Washed robusta, which accounted for 0.69% of the
robusta, fetched the highest price of 195 cents followed by Sc 17 at
152 cents.
On the contrary, there was a 7.8 % drop in the average realised
price for Arabica during the month from 212 cents per kilo in August
to 195 cents; the highest of 276 cents having been recorded Bugisu
SP that went to speciality markets.
TABLE 2.0 COFFEE EXPORTS BY TYPE, GRADE, & UNIT PRICE IN
SEPTEMBER 2009
– in 60-kilo bags; US $, US $/kg –
QTY
PRICE
TYPE/GRADE 60-Kilo Value $
% - AGE $/Kilo
Bags
1.5
G/TOTAL 198,988 18,300,066 3
Robusta 138,544 100 11,220,735 1.3
5
Washed Robusta 960 0.69 112,593 1.95
Screen 18 14,140 10.21 1,223,759 1.44
Screen 17 4,400 3.18 400,598 1.52
Screen 15 72,882 52.61 6,001,732 1.37
Screen 14 1,628 1.18 136,769 1.40
Screen 13 7,864 5.68 663,571 1.41
Screen 12 22,842 16.49 1,758,036 1.28
BHP 1199 7,150 5.16 476,151 1.11
Others – 6,678 4.82 447526 1.12
Robusta1 1.9
ARABICA 60,444 100 7,079,331
5
Bugisu SP 1,280 2.12 211,642 2.76
Organic Okoro 1,740 2.88 276,192 2.65
Organic Bugisu 1080 1.79 167,144 2.58
PR
Bugisu AA 4,892 8.09 725,878 2.47
Bugisu A 3,432 5.68 523,909 2.54
Arabica AB 3,220 5.33 459,170 2.38
Arabica CPB 2,240 3.71 298,838 2.22
Mixed Arabica 640 1.06 61,376 1.60
Wugar 1,660 2.75 253,018 2.54
Drugar 22,928 37.93 2,695,842 1.96
Others 17,332 28.67 1,406,322 1.35
1
Represents such coffees like Sc.1299, Sc. 1599, Sc. 1899, etc. in robusta.
2. LOCAL SITUATION

Page 3 UCDA Monthly Report: September 2009

On the local scene, farm-gate prices received by farmers were a bit
mixed, ranging from Shs. 800 and Shs. 1,100 per kilo of Kiboko
largely due to quality variations; farmers with very good quality
coffee in terms of out-turn and in sizeable quantities received up to
Shs. 1,100 per kilo. However, a good number of farmers, confident of
the quality of their coffee, pooled their coffee together, milled it and
sold it as FAQ.
In the arabica areas, especially Okoro County, West Nile region, the
2009/10 crop set early and around 700 tonnes of parchment were
traded in the month of September at a price that varied between
Shs. 2,300 to Shs. 2,550 per kilo, depending on out-turn, which
ranged between 78 – 81%.
Meanwhile, harvesting of the 2008/09 coffee crop is slowly peaking
momentum but the drying process is being slowed down by the
onset of El Nino rains.
While the stocktaking exercise to establish the level of opening
coffee stocks within the supply chain – farm, processor and exporter
- is still in progress, preliminary reports show substantial stocks at
buying store and primary processing levels.
On the Stem Borer pest, which is reported in the districts of
Luweero, Mukono, Kayunga and some parts of Jinja, farmers are
advised to cut the infested coffee branches and burn them insitu to
destroy eggs in the stem.
3. PERFORMANCE BY INDIVIDUAL EXPORTER
Table 3.0 below shows export performance by each individual coffee
exporting company during the month of September 2009 in terms of
quantity and market share.
Table 3.0 INDIVIDUAL EXPORTER PERFORMANCE IN SEPTEMBER 2009
EXPORTER QTY %-age Market Share
60-kilo Individu Cumulativ
bags al e
GRAND TOTAL 198,988 100.00
1 Kyagalanyi Coffee Ltd. 58,338 29.32 29.32
2 Kawacom (U) Ltd. 26,626 13.38 42.70
3 Great Lakes Coffee Co. Ltd. 26,384 13.10 55.80
4 Job Coffee Ltd. 14,115 7.09 62.89
5 Ibero (U) Ltd. 12,442 6.25 69.14
6 Lakeland Holdings Ltd. 12,065 6.06 75.21
7 UGACOF Ltd. 10,704 5.54 80.75
8 Olam (U) Ltd. 7,940 3.99 84.74
9 Savannah Commodities 6,840 3.44 88.17
10 Kampala Domestic Store 6,326 3.18 91.35
11 Pan Afric Impex Ltd. 5,950 2.99 94.34
12 Nakana Coffee Factory Ltd. 5,102 2.56 96.91
13 Bakwanye Trading Co Ltd 1,280 0.64 97.55
14 Anderson Investments Ltd. 1,080 0.54 98.09
15 Kamba Petroleum (U) Ltd 1,002 0.50 98.60
16 Gumutindo Co-op Society 846 0.43 99.02
17 LD Commodities 668 0.34 99.36
18 Mbale Importers & Exporters 640 0.32 99.68

Page 4 UCDA Monthly Report: September 2009

 19 Kaweri Coffee Plantation 640 0.32 100.00

The top 10 companies together shipped 181,780 bags (91.4%) to

various destinations, a further concentration from 86.6% in July and
90.5% in August. These included: Kyagalanyi Coffee Ltd with 29.3%
down from 15.8% in August, followed by Kawacom (U) Ltd. – 13.4%
(5.5%); Great Lakes – 13.1% (9.4%); Job Coffee – 7.1% (7.9%); Ibero
(U) Ltd. – 6.3% (5.4%); Lakeland Holdings Ltd. – 6.1% (12.06%), and
so on; where the figures in parenthesis show the respective
performance in August 2009.
4. COFFEE EXPORTS BY DESTINATION
Table 4.0 represents the main destinations of Uganda coffee during
the month of September 2009 in terms of quantity and market
share. EU member countries continue to be the main destination of
Uganda coffee, accounting for 146,620 bags (74.2%) up from
165,349 bags (63.0%) in August, 186,667 bags (70.2%) in July,
181,884 bags (71.0%) in June, 163,353 bags (74.0%) in May,
159,784 bags (77.7%) in April, 207,824 bags (81%) in March,
238,460 bags (74.2%) in February, and 263,576 bags (82.1%) in
January.
Imports to Sudan, the second main destination of Uganda coffee,
totalled 16,800 bags (8.4%) down from 59,470 bags (22.9%) in
August; 48,250 bags (18.1%) in July, 46,530 bags (18.2%) in June
2009; 37,792 bags (17.3%) in May; 32,197 bags (15.7%) in April,
17,152 bags (6.7%) in March, 59,090 bags (18.4%) in February, and
32,550 bags (10.1%) in January 2009.
Table 4.0 MAIN DESTINATIONS OF UGANDA COFFEE IN SEPTEMBER 2009
QTY %- Age Market Share
60-Kilo
Individual Cumulative
bags
GRAND TOTAL 198,988 100.00
E
U[1] 146,620 74.17 74.17
Sudan 16,800 8.44 82.61
India 13,980 7.03 89.63
USA 8,828 4.44 94.07
Switzerland 3,960 1.99 96.06
Israel 3,070 1.54 97.60
South Africa 2,240 1.13 98.73
Syria 1,310 0.66 99.39
Japan 600 0.30 99.69
Australia 320 0.16 99.85
Taiwan 300 0.15 100.00
5. BUYERS OF UGANDA COFFEE

E 1
EU countries are: Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia,
Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta,
Poland, Portugal, Rumania, Slovakia, Slovenia, Spain, Sweden, The Netherlands, and UK.
Page 5 UCDA Monthly Report: September 2009
Table 5.0 shows the buyers of Uganda coffee in the month of
September 2009 in terms of volume and percentage market share.
The top 10 buyers together held a market share of almost 74% up
from 70% in August, 73.6% in July and 73.2% in June. Ecom Agro
industrialists topped the list with 26,626 bags – 13.4% against
40,420 bags (15.5%) in August, 30,618 bags (11.5%) in July and
25,592 bags (10.1%) in May; and was followed by Socadec with
24,769 bags (12.5%).
TABLE 5.0 BUYERS OF UGANDA COFFEE IN SEPTEMBER 2009:
60-kilo bags
QTY %-age Market Share
BUYERS
60-kilo Individu Cumulativ
bags al e
GRAND TOTAL 198,988 100.00
1 ECOM AGRO INDUSTRIALISTS 26,626 13.38 13.38
2 SOCADEC 24,769 12.45 25.83
3 VOLCAFE 16,938 8.51 34.34
4 BERNARD ROTHFOS 13,402 6.74 41.08
5 DECOTRADE 13,300 6.68 47.76
6 STRAUSS CO 12930 6.50 54.26
7 TATA COFFEE 12,180 6.12 60.38
8 HAMBURG COFFEE 11,114 5.59 65.96
9 ABACO 8,050 4.05 70.01
10 OLAM INTERNATIONAL 7,940 3.99 74.00
11 SUCAFINA 6,136 3.08 77.08
12 COEX COFFEE 3,960 1.99 79.07
13 ALDWAMI 3,500 1.76 80.83
14 OTHERS 38,143 19.17 100.00

6. COFFEE DEVELOPMENT AND PROMOTIONAL ACTIVITIES

• At the 103rd Session in London, the International Coffee Council
(ICC) passed a resolution to extend the International Coffee
Agreement 2001 for a year ending September 30, 2010. The
provisions of the new ICA 2007 are to come into force as soon as
the conditions for entry are met. The Council also extended the
deadlines for signature and ratification until September 25, 2010.
• Under the replanting programme that is aimed at replacing the
old coffee trees and those affected by coffee wilt disease,
480,000 seedlings were issued out to various farmers and farmer-
groups in Central, Western and some parts of Busoga region.
• Three coffee Farmer groups from Kasese, Nebbi and Kapchorwa
participating in production of Specialty coffees, especially
organic, undertook a coffee quality training session at UCDA to
appreciate quality to the tastes of the American market. These
farmer groups do export coffee directly to the US. Johann Wulf of
Coffee Legends, one of the facilitators, assured the farmers of a
ready market for quality coffee and would assist them in
marketing.

Page 6 UCDA Monthly Report: September 2009

 • Uganda Coffee Trade Federation (UCTF), a body that brings
together all those that handle coffee in one way or the other, was
nominated an alternate of ICO Private Sector Consultative Board
(PSCB) to serve a two-year term running from October 01, 2009.
In another event, EAFCA marked the tenth anniversary of its
existence on September 18, 2009 during which the Executive
Director, Mr. Phillip GITAO highlighted the achievements, which
included: Promotion of specialty coffee; Capacity building of the
members through training; and other annual events - Taste of
Harvest competitions, know-your-cup and the National Barista
Championship.
He thanked UCDA, the Specialty Coffee Association of America
(SCAA) and the Coffee Quality Institute for their support.
7. OUTLOOK FOR OCTOBER 2009
Coffee exports in the month of October, the first month of the coffee
year 2009/10, are envisaged to reach 180,000 bags largely from the
carryover stocks as harvesting of the 2009/10 crop is just beginning
in most areas and rains are likely to slow the drying process.
8. UPCOMING EVENTS
• A four--day workshop focusing on processing, roasting,
packaging and diversification on a sustainable basis in the
coffee industry, organized by UCDA in partnership with
Uganda National Chamber of Commerce and Industry to be
hosted at Musa Courts, shall take place on October 05 – 08,
2009. Members of the coffee fraternity, especially processors
are called upon to register with the Chamber.
• UCDA along with LEAD to conduct training in October of coffee
roasters in basic roasting, blending and cupping skills in an
attempt to improve domestic coffee consumption.
• From October 06 - 12, 2009, the UCDA Stand at UMA
Showground, Lugogo shall showcase the entire coffee supply
chain – good agronomic practices, processing, roasting and
brewing on top of serving ready-to-drink coffee. Leading
coffee roasters such as Star Coffee, Zigoti Coffee, Elgonia,
Salati shall be among the exhibitors. The event, which marks
the 47th Independence anniversary, will generate interactive
opportunities for industry players.
• The Annual Coffee Stakeholders’ Meeting, which is being
organized by the National Steering Committee of the Coffee
Production Campaign, shall be held on October 22, 2009 at
Hotel Africana.

Page 7 UCDA Monthly Report: September 2009