Nairobi: The Nairobi Coffee Exchange auctioned a substantial volume of coffee, generating Sh.1.8 billion for farmers and estates.
According to Kenya News Agency, the recent auction saw 34,855 bags of 50 kilos each being traded, which marked a 6 percent decrease from the 37,204 bags auctioned in the previous week’s sale. The average price per 50-kilo bag fell by 7 percent to Sh. 43,590, a drop from Sh. 46,824 per bag in the prior week. This average price equates to Sh. 866 per kilogram of clean coffee, with farmers expected to receive Sh. 107 per kilogram of delivered coffee.
Gachatha Factory in Nyeri County achieved the highest price during the auction, securing Sh. 57,690 per 50-kilo bag for 43 bags of grade AA coffee. Premium grades of AA and AB made up 21,487 bags, accounting for 62 percent of the total traded volume.
Leading the brokers in trading volume, Alliance Berries managed to trade 13,564 bags, followed by Kirinyaga Slopes with 4,068 bags, New KPCU with 3,692 bags, KCCE-MA with 3,684 bags, and Minnesota Marketers with 2,831 bags. Other participating brokers included Cebba Trading with 2,841 bags, Kipkelion with 877, Murang’a Union with 696, Kiambu Coffee Union with 710, United Eastern Kenya with 829, Mt Elgon with 465, and Meru Union with 598 bags.
In terms of buyers, Ibero Kenya Ltd led by purchasing 10,682 bags worth Sh. 578 million, while C. Dorman Ltd acquired 6,044 bags for Sh. 356 million. Louis Dreyfus Company procured 3,564 bags for Sh. 166 million, Sasini (K) Ltd. bought 3,180 bags for Sh. 165.6 million, and Taylor Winch ltd purchased 3,161 bags for Sh. 156 million.
NCE Chief Executive Officer Lisper Ndung’u acknowledged the increased production of high-quality coffee, highlighting that premium grades have enabled farmers to achieve better earnings. Ms. Ndung’u urged cooperative societies to provide extension services to farmers to enhance yields and coffee quality.
“This auction reinforces the strength of Kenya’s coffee sector. The demand for our high-quality beans remains strong, but we must continue improving quality and market access to ensure farmers receive the best value for their produce. The prevailing impressive prices of the commodity were witnessed 15 years ago,” she stated.
The CEO emphasized the importance of transparency and direct market linkages in strengthening Kenya’s coffee trade.