Uganda is set to remain a member of the Association of Coffee Producing Countries and the Inter-Africa Coffee Organisation, although it will have problems finding the membership fees.
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The country is the second largest coffee producer in Africa, and coffee is Uganda’s single largest earner of foreign exchange. Bad weather, crop disease and world prices plummeting 40% have taken a harsh toll however. Over the last six months Uganda earned just US$54.3m from coffee exports, 50% less compared to that exported during the preceding six months despite the fact that the amount exported had fallen by only 12%.
These difficulties brought into question Uganda’s ability to pay its membership fees of the African coffee organisations, and the International Coffee Organisation, as these amount to a total of US$400,000 a year. The country was mulling a decision to leave the organisations until they offered the opportunity to pay fees in instalments. William Nagagga, secretary of the state-run Uganda Coffee Development Authority, commented: “We have reconsidered our earlier decision after appeals from the two organisations.”
