Uganda is courting coffee buyers, roasters, importers and investors from the United Kingdom and Ireland to tap into its expanding coffee industry, offering opportunities in direct sourcing, speciality coffee, processing, value addition and access to regional markets.
To ensure this, government is banking on stronger commercial partnerships to increase exports, reverse declining market penetration in the UK and ensure that more Ugandan coffee finds its way into international cups.
The appeal was made during an engagement as part of the ongoing Uganda-UK and Ireland Coffee Familiarisation (FAM) Trip, which brought together coffee buyers, specialist roasters, green coffee importers, distributors and other industry representatives from the two European markets to experience Uganda's coffee industry first hand.
Speaking during the engagement held at Marriot Hotel in Kampala on Monday afternoon, Gordon Katwirenabo, the Assistant Commissioner for Coffee Quality Assurance and Value Addition at the Ministry of Agriculture, Animal Industry and Fisheries, said Uganda was keen to deepen its commercial relationships with international buyers and demonstrate why its coffee deserves a bigger place in the UK and Irish markets.
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"The United Kingdom consumes approximately 103 million cups of coffee every day. This represents an enormous market opportunity for Uganda. We are therefore excited to learn more about the UK market and explore how we can strengthen our commercial relationships with buyers, roasters, importers and distributors."
He told the group that Uganda is Africa's second-largest coffee producer and the continent's leading producer of Robusta coffee, with the country's favourable geographical conditions, diverse soils, altitude and climatic variations supporting the production of distinctive Arabica and Robusta varieties.
Katwirenabo said approximately 126 of Uganda's 146 districts are involved in coffee production, making the industry an important source of household income, employment and economic activity.
"For Uganda, coffee is not just another agricultural commodity. It is a strategic economic product that contributes significantly to our foreign exchange earnings and supports millions of livelihoods," he said.
"These figures demonstrate the importance of the sector to our national economy and the livelihoods of our people."
He said government is pursuing an ambitious coffee development agenda aimed at increasing production from approximately 3.5 million 60-kilogram bags in 2017 to 20 million bags by 2030.
Katwirenabo said the Uganda Coffee Development Strategy was designed to transform the sector through increased production, improved productivity, quality enhancement, value addition and expanded market access.
"Our ambition is not simply to produce more coffee, but to produce high-quality coffee that meets international market requirements and delivers better returns to farmers and businesses," he said.
He explained that government interventions include expanding coffee production, providing farmers with quality planting materials, improving access to affordable agricultural financing, strengthening farmer organisations and cooperatives, and promoting agro-processing.
The official from the Ministry of Agriculture told the coffee buyers, roasters and other investors that the Ugandan government is also encouraging joint ventures, strategic partnerships and the establishment of coffee-focused industrial and processing facilities to ensure that more value is retained within the country.
Uganda's coffee export performance has improved considerably, with the country exporting approximately 8.1 million 60-kilogram bags valued at US$2.1 billion during the last reporting year.
However, the officials said the country must now move beyond exporting predominantly green coffee and increase its participation in the more lucrative processing and finished-product segments of the international market.
"A significant proportion of our coffee is exported as green coffee. We therefore want to encourage more investment in processing, roasting, grinding and packaging so that Uganda can capture greater value from its coffee," Katwirenabo said.
He invited international investors to explore opportunities in modern coffee processing facilities, packaging, commercial coffee farming, irrigation, climate-smart agriculture and domestic market development.
"We also want to increase domestic coffee consumption and develop stronger partnerships with international buyers," he added.
Katwirenabo said investors could also partner directly with Ugandan farmers, cooperatives, processors and exporters to strengthen supply chains, improve quality, facilitate technology transfer and establish sustainable market linkages.
The domestic market, where approximately seven per cent of Uganda's coffee is consumed locally, also presents opportunities for investors in coffee shops, roasting businesses, hospitality and coffee tourism, he said.
Katwirenabo said investors establishing businesses in Uganda could benefit from access to the East African Community market, which serves approximately 300 million people, as well as the opportunities presented by the African Continental Free Trade Area.
Richard Kabonero, the Head of the Department of Regional Economic Cooperation and Economic and Commercial Diplomacy at the Ministry of Foreign Affairs, said the familiarisation trip demonstrated how Uganda's longstanding diplomatic relations with the United Kingdom could be translated into practical commercial partnerships.
He noted that the two countries enjoy historical relations founded on friendship, mutual respect and cooperation, which continue to provide opportunities for expanded trade, investment and people-to-people engagement.
"This familiarisation visit is a practical demonstration of how our enduring diplomatic relations can translate into meaningful commercial partnerships," Kabonero said.
He pointed out that agriculture remains a major pillar of Uganda's economy, providing livelihoods and income for millions of people, while coffee remains one of the country's leading agricultural exports.
Kabonero said the government had prioritised agricultural development, with particular emphasis on increasing production, expanding exports, promoting value addition and creating employment opportunities.
Through its economic and commercial diplomacy strategy, the Ministry of Foreign Affairs is working with Uganda's diplomatic missions abroad and other government institutions to turn international engagements into tangible economic benefits.
"In this regard, the Ministry of Foreign Affairs, through its Economic and Commercial Diplomacy Strategy, is working closely with Uganda's diplomatic missions abroad and relevant government institutions to translate diplomatic engagements into tangible trade, investment and employment opportunities," he said.
He described the visit, facilitated by the Uganda High Commission in London, as an important platform for establishing long-term commercial relationships, expanding access to the UK and Irish markets and exploring investment in coffee processing, value addition and distribution.
Kabonero urged the visiting delegation and Ugandan industry players to use the engagement to identify practical areas of cooperation rather than treating it as merely an opportunity to familiarise themselves with the country's coffee sector.
"We hope this engagement will go beyond familiarisation and generate concrete business partnerships, increase market confidence in Ugandan coffee, promote value addition and expand opportunities for our exporters and producers," he said.
The private sector also sees the visit as an opportunity to introduce international buyers to Uganda's unique coffee profiles and create direct business relationships that benefit producers, exporters and international roasters.
Robert Byaruhanga, President of the Uganda Coffee Federation, said the British market, with its consumption of approximately 103 million cups daily, offered enormous potential for Ugandan coffee.
"That is a remarkable figure and represents a significant market for Uganda's coffee. It translates into millions of cups and potentially millions of opportunities for Ugandan coffee producers and exporters," Byaruhanga said.
He said the federation was particularly interested in understanding the requirements of the UK market and identifying ways through which Ugandan coffee businesses could collaborate with buyers, roasters and other international industry stakeholders.
"Our objective is to introduce you to some of the finest coffees produced in Uganda and across East Africa. Uganda has exceptional coffee varieties and unique growing conditions that give our coffee distinctive qualities," he said.
Byaruhanga particularly highlighted coffee-growing areas stretching across the region towards Kabarole, noting that their geographical conditions contribute to distinctive coffee characteristics.
"The aroma, flavour and quality of these coffees are truly distinctive, and we are excited to introduce them to you," he said.
He encouraged the visiting delegation to use the trip to taste different coffees, interact with producers and understand the qualities that distinguish Uganda's coffee.
"This visit provides an opportunity to showcase what Uganda can offer, understand your market requirements and build partnerships that can benefit everyone involved in the coffee value chain," Byaruhanga added.
The British High Commissioner to Uganda, Lisa Chesney encouraged the visiting buyers and roasters to look beyond the commercial value of coffee and appreciate the people, communities and enterprise behind every bag.
She said the delegation brought together a valuable mix of expertise in green coffee importing, specialist roasting, retail, distribution, international market development and coffee storytelling.
"You bring an impressive range of experience, including green coffee importing, specialist roasting, retail and distribution, international market development and storytelling," Chesney said.
The High Commissioner said Uganda's export performance, which saw the country export 8.1 million bags worth US$2.1 billion, was impressive, but emphasised that the real value of the sector extended beyond the statistics.
"However, what excites me most is the story behind those figures. Behind every bag of coffee are farmers, cooperatives, women, exporters and communities whose skills, hard work and dedication sustain one of Uganda's most important economic sectors," she said.
The British High Commissioner to Uganda encouraged businesses interested in responsible investment and profit with purpose to explore Uganda's coffee industry, highlighting the investment opportunities within Uganda's domestic coffee market, pointing to the potential for increased consumption to stimulate local processing, create jobs and strengthen the hospitality and tourism sectors.
"We understand that if even one per cent of Ugandans increased their coffee consumption by four cups a week, this could potentially generate an additional US$47 million for Uganda's economy," she said.
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He added that coffee's growing place in British culture provided an opportunity for Ugandan producers and exporters to increase their visibility.
"Coffee has become an increasingly important part of British daily life. From espresso to Irish coffee and espresso martinis, coffee has become part of our culture and lifestyle. This presents an exciting opportunity for everyone in this room: to ensure that more of those cups tell the story of Uganda."
Uganda seeks to reverse declining exports to the UK
Despite Uganda's strong production and export performance, increasing its share of the UK and Irish markets remains a key priority.
Steven Nkayivu Ssenabulya, who represented Uganda's High Commissioner to the United Kingdom, said the familiarisation trip was part of broader efforts to identify new markets for Ugandan products and increase export earnings.
He said one of the objectives of Uganda's economic and commercial diplomacy strategy was to identify and pursue international market opportunities, particularly in the UK, to increase exports and foreign exchange earnings.
"Our intention through this activity is to bring together coffee industry players from both countries to discuss business opportunities, strengthen commercial relationships and promote Uganda's coffee in the UK and Irish markets," Ssenabulya said.
He observed that increasing production must be accompanied by stronger export volumes, value addition and market penetration.
"Uganda's coffee production continues to increase, creating opportunities for new buyers and markets. However, we must ensure that this growth is matched by increased export volumes, value addition and stronger market penetration," he said.
Ssenabulya revealed that the British High Commission had commissioned research earlier in the year to examine Uganda's coffee sector in the United Kingdom and Ireland, and one of the findings, he said, was that Uganda's coffee exports to the UK had been declining, a trend that government and industry stakeholders are keen to reverse.
"This trend needs to be reversed. We must stabilise and grow our export volumes and values," he said.
Ssenabulya said the findings pointed to opportunities for increasing Uganda's market share through improved competitiveness, value addition and stronger commercial partnerships.
"The research accordingly recommends establishing strong commercial partnerships with importers, roasters and distributors in the UK and Ireland. Today's engagement is intended to initiate these conversations and lay the foundation for sustained business relationships," he said.
"We want our international partners to have confidence that Ugandan coffee is produced responsibly and can meet the traceability and sustainability requirements of their markets," he said.
