agriculture 20 September 2026 Daily Monitor (Uganda)

Govt Links Falling Coffee, Cocoa Prices to Global Supply and Drought

The Ugandan government has urged coffee and cocoa farmers to remain calm amidst a significant drop in farm-gate prices. Minister Frank Tumwebaze attributes the decline to increased global supply from major producers and adverse domestic weather conditions, particularly drought. Source: https://www.monitor.co.ug/uganda/news/national/falling-coffee-cocoa-prices-driven-by-global-supply-drought-govt-5601770

Farm-gate prices for key coffee varieties in Uganda have seen a notable decrease, prompting reassurance from the Ministry of Agriculture, Animal Industry and Fisheries. According to ministry data, Robusta FAQ prices fell by approximately 14.5 percent from Shs13,500–Shs14,000 per kilogram in September 2025 to Shs11,500–Shs12,000 per kilogram in the first half of September 2026.

Minister Frank Tumwebaze stated that these price fluctuations are not indicative of diminished global demand but rather a response to anticipated shifts in international supply and existing inventories. He highlighted bumper harvests from major coffee-producing nations like Brazil and Vietnam as a key factor driving down global benchmarks for Robusta. Similarly, cocoa prices have experienced drops, influenced by a substantial increase in production from Ivory Coast and higher global stockpiles.

Beyond international market dynamics, domestic weather challenges have significantly impacted local output. Prolonged drought and high temperatures in key coffee-growing regions have adversely affected crop development and bean quality, leading to an estimated 10 percent reduction in crop yield in affected areas. This impact is reflected in export data, with July 2026 coffee exports down 15 percent compared to the previous year.

Despite the current downturn, the government assures farmers that coffee cultivation remains profitable, emphasizing that profitability depends on production costs, productivity, quality, and post-harvest handling. Measures are underway to mitigate the impact of climate change, including fertilizer subsidies, expanded irrigation schemes, and the distribution of drought-resilient planting materials. Farmers are strongly advised against harvesting immature cherries to avoid further price penalties.

https://www.monitor.co.ug/uganda/news/national/falling-coffee-cocoa-prices-driven-by-global-supply-drought-govt-5601770