Uganda’s coffee sector continued to demonstrate resilience and growth in March 2026, with export volumes increasing even as global prices moderated, according to the latest monthly report from the Uganda Coffee Development Authority.
A total of 671,152 60-kilogram bags of coffee were exported during the month, earning US$173.37 million (about Shs646.75 billion). This represents a 3.19% increase in export volumes compared to March 2025, reflecting strong production across key growing regions.
However, export earnings declined by 13.56% year-on-year, largely due to easing global coffee prices.
Strong Production Drives Export Growth
The increase in export volumes was attributed to improved harvests, particularly in Robusta-growing areas.
Robusta coffee exports rose by 7.04% to 567,405 bags, maintaining dominance with an 85% share of total exports. Arabica exports, meanwhile, totalled 103,747 bags.
Officials noted that while volumes grew, international prices softened in line with improved global supply forecasts.
The average export price stood at US$4.31 per kilogram, down from US$4.63 in February 2026 and US$5.14 in March 2025.
Annual Performance Shows Strong Expansion
Despite the monthly price adjustments, Uganda’s coffee sector posted a strong performance over the past year.
Between April 2025 and March 2026, the country exported 8.8 million bags valued at US$2.4 billion (Shs8.8 trillion), compared to 6.9 million bags worth US$1.8 billion in the previous period.
This represents a significant 28% increase in export volumes and a 36% rise in earnings, underlining the sector’s growing contribution to Uganda’s economy.
Prices and Premium Grades
At the farm level, prices remained relatively attractive for farmers. Robusta Kiboko averaged Shs5,650 per kilogram, while FAQ traded at about Shs12,000 per kilogram.
Arabica parchment averaged Shs15,000 per kilogram, with Drugar at Shs14,500.
Premium grades continued to command strong prices on the international market, with Mt. Elgon A+ fetching the highest at US$9.84 per kilogram, highlighting the value of quality improvements.
Export Markets and Buyers
Europe remained the leading destination for Uganda’s coffee, accounting for 62% of exports, followed by Africa at 21% and Asia at 12%.
Italy retained its position as the top market, taking 32.17% of Uganda’s coffee exports, followed by Sudan, Germany, India, and Morocco.
On the buyer side, global traders such as Sucafina, Olam International, and Louis Dreyfus continued to dominate purchases, reflecting sustained international demand for Ugandan coffee.
Industry Participation and Competition
A total of 83 exporting companies participated in the market during March, with the top 10 exporters accounting for 70% of total shipments.
Ugacof led with a 12.66% market share, followed by Kyagalanyi Coffee Ltd and Olam Uganda Ltd.
Outlook Remains Positive
Looking ahead, Uganda’s coffee exports are projected to reach 680,000 bags in April 2026 as the main harvest season peaks in regions such as Greater Masaka and the South West.
Globally, coffee production is expected to rise to a record 178.8 million bags in the 2025/26 season, driven by increased output in countries like Vietnam and Indonesia. This improved supply outlook is expected to keep prices relatively stable.
Continued Sector Support
The report also highlights ongoing efforts to strengthen the sector, including farmer training, distribution of over 500,000 coffee seedlings, and expanded quality assurance measures.
Thousands of farmers have been trained in good agronomic practices, climate-smart agriculture, and post-harvest handling, reinforcing Uganda’s commitment to sustainable coffee production.
As global demand remains strong and production expands, Uganda’s coffee industry is positioning itself for continued growth, with a focus on quality, value addition, and market diversification.