A Kenyan coffee farmer picking ripe berries/ Courtesy.
NAIROBI, Kenya, Nov 11 – Coffee prices at the weekly Nairobi Coffee Exchange auction went up by 13 percent backed by higher prices at the global market.
This is the highest margin this year that has seen a 50 Kilogramme bag hit Sh40,419 from Sh34,818 in the previous sale.
The world market prices hit a high of 226 cents per pound (cts/lb) this week when compared with 200cts l/lb previously.
“The rise in price was occasioned by an upsurge in international prices from about 200cts/lb to today’s 226 cts/lb as well as better qualities offered for sale,” said NCE chief executive Daniel Mbithi.
Kenya benchmarks the prices of coffee at the New York Exchange, where the country sells most of its produce.
Kenya benchmarks the prices of coffee at the New York Exchange, where the country sells most of its produce.
The crop trading at the auction at the moment is being supplied from Eastern and parts of western Kenya and it is supposed to run the auction all the way to the end of November when the main season’s produce is expected to get to the market in low volumes with huge volumes expected in December.
Brazil which is one of the top world producers is facing challenges as frost destroyed most of the coffee bushes making international prices rise.
Coffee prices had dipped last week due to low quality beans offered for sale at the auction.
The value of coffee exports in 2020 went up by 9.5 percent to stand at Sh22.2 billion despite the Covid-19 pandemic.
The rise was boosted by high global prices despite volumes declining due to restrictions caused by the pandemic.
