Coffee Auction in Nairobi Yields Sh1.9 Billion in Earnings for Farmers

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Nairobi: Increased volume of coffee traded at the Nairobi Coffee Exchange (NCE) on Tuesday has seen earnings for farmers and coffee estates hit Sh1.9 billion. During Sale 17 of the current financial year at the NCE, a total of 32,801 bags of coffee were traded, marking a 13 percent increase from the 28,971 bags sold in the previous week. The average price per 50-kilo bag rose by 8 percent to Sh47,564, up from Sh43,945 in last week’s auction. This equates to Sh146 per kilo of clean coffee, with farmers expected to receive approximately Sh117 per kilo.



According to Kenya News Agency, Kiawamururu Wet Mills Factory of Nyeri County secured the highest price of Sh57,645 per 50-kilo bag for a lot of 53 bags of grade AB coffee. Karumandi factory achieved the second-best price of Sh57,342 per bag of grade AA coffee, brokered by Alliance Berries Ltd. Other factories that achieved better prices for their premium grades include Guama, Gichuna Estate, Kangocho, Karani, Kangunu, Gatumbi, and Ruakiberu.



Eleven coffee brokers participated in the auction, presenting 10,116 bags of grade AA and 15,505 bags of grade AB, representing 78 percent of the total volume traded. Alliance Berries led 10 other brokers by selling 15,131 bags of coffee, earning Sh893.4 million. Kirinyaga Slopes Company traded 4,101 bags, fetching Sh236.7 million. New KPCU earned Sh216.6 million from 3,671 bags, KCCE netted Sh213.1 million for 3,782 bags, and CEBBL Ltd. traded 546 bags, earning Sh31.3 million.



The NCE report indicated that 17 local and international coffee buyers participated in the sale. C. Dorman bought 6,576 bags at Sh392.6 million, Ibero Kenya Ltd. acquired 5,799 bags at Sh326.1 million, and Sasini purchased 5,794 bags at Sh345.2 million. Other buyers, including Louis Dreyfus, Taylor Winch, and Kenyacof, also made significant purchases.



In her statement, NCE Chief Executive Officer Lisper Ndung’u noted that the latest auction saw Kenyan coffee maintain its competitive edge, with high-quality beans attracting strong prices despite market fluctuations. She emphasized the importance of improving quality and market access to ensure farmers receive the best value.



Ndung’u added that while high-grade coffee continued to attract strong bids, lower-grade categories such as UG2 and ML recorded relatively lower prices, highlighting the need for quality enhancement and market stabilization efforts. She stressed the importance of transparency and direct market linkages in strengthening Kenya’s coffee trade.



By focusing on sustainable and value-driven trade practices, Ndung’u remarked, Kenya could enhance farmer earnings and cement its position as a global leader in specialty coffee. As the coffee auction season progresses, stakeholders remain optimistic about the resilience of Kenya’s coffee industry, despite global economic uncertainties and climate-related challenges affecting production.