Uganda Coffee Export Earnings Drop as Global Prices Weaken

KAMPALA, July 14, 2026 - Uganda’s coffee export revenues declined sharply in May 2026 as falling international prices and reduced shipment volumes affected monthly earnings, despite strong growth recorded over the past year. Coffee export earnings fell to $151.7 million in May 2026, compared with $242.5 million recorded during the same month in 2025. Export volumes also decreased by 21.6 per cent, dropping from 788,115 bags to 617,491 60-kilogram bags during the period. The decline was linked to weaker global coffee prices, driven by expectations of increased supply from major producing countries, particularly Brazil, where forecasts pointed to a stronger upcoming harvest. The average price of Ugandan coffee exports declined to $4.10 per kilogram in May, compared with $5.10 per kilogram during the same period a year earlier. Despite the monthly decline, Uganda’s coffee sector maintained strong annual performance, with exports reaching 8.6 million bags worth $2.3 billion over the 12 months ending May 2026. The annual figures represented growth in both export volumes and earnings, supported by increased production, expansion of coffee-growing areas and efforts to improve quality and competitiveness. Italy remained Uganda’s largest coffee export destination during May, accounting for more than a quarter of total exports, reflecting continued demand for Ugandan coffee in European markets. Coffee remains one of Uganda’s most important sources of foreign exchange and supports millions of households involved in farming, processing and trade. However, the latest decline highlights the sector’s exposure to global commodity market changes, with prices affected by weather conditions, production forecasts and international demand. Industry players are expected to continue monitoring global supply trends, especially developments in major producing countries, as Uganda seeks to maintain growth in its coffee export sector.