Rwanda: Relief for Farmers As Coffee Prices Rise By 13 Percent

26 January 2020

Coffee farmers will get at least Rwf26 more per kilogramme thanks to the new price set by the National Agricultural Export Development Board (NAEB).

The new price represents a 13.6 per cent increase in their revenues compared to the previous one as it

At a meeting held on January 21 that brought together NAEB, Rwanda Coffee Cooperatives' Federation (RCCF) which represents farmers, as well as coffee exporters that the new prices were set at Rwf216 up from Rwf190.

RCCF said that the farmers were not happy with the previous prices but they had no other option.

As a result, they called for Government support to help them make good profits from their investments.

Pie Ntwari, a Communications Officer said one of the factors that led to the increment includes the increase of 9 per cent in coffee price at the international market.

Uwamurera Verediyana, a farmer and member of Dukunde Kawa Nyagisozi - a cooperative of coffee farmers in Nyaruguru District, welcomed the new prices.

"We are somewhat encouraged with this price rise because last year, revenues from coffee were not good for the farmers," she said but was not fully satisfied.

"If that price is increased to, say, Rwf250, we will be happy with it," she said indicating that based on the investments made by a farmer and efforts they required to produce the crops, they need to get Rwf300 a kilogramme.

Normally, the coffee price is set based on factors such as the international market trends, [currency] exchange rates as well as investments by farmers.

Theopiste Nyiramahoro, President of RCCF concurred with NAEB that for a farmer to produce one kilogramme of cherries, they invest Rwf177.

"Farmers are happy with this price because there is at least improvement compared to the previous price. Rwf216 for a kilogramme of coffee cherries after investing Rwf177 to produce it will result in some profit," she said.

Nyiramahoro said that farmers along Kivu belt namely, Rutsiro, Karongi, Nyamasheke and Rusizi have already started harvesting their coffee, while those in other parts of the country will be harvesting from March this year.

Late last year, the Government subsidised the sector to ensure that farmers do not incur losses because the farm gate price was to be reduced to Rwf170 a kilogramme, which was below farmers' investment.

Harvested coffee cherries from Rwanda's Western Province being collected. Rise in coffee price has been welcome by farmers. Photo credit of Kivu Noir Coffee. / Courtesy

entirenganya@newtimesrwanda.com

Follow https://twitter.com/EmNtirenganya

See What Everyone is Watching

More From: New Times

Don't Miss

AllAfrica publishes around 800 reports a day from more than 140 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.